Company: OXY-WT
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000797468-25-000029
Chunk: 90

Company: OCCIDENTAL PETROLEUM CORP /DE/
Filing Date: 2025-02-18
Form: 10-K
Item: Item 8
Chunk 90
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 Oil and Gas Information(Unaudited)

STANDARDIZED MEASURE, INCLUDING YEAR-TO-YEAR CHANGES THEREIN, OF DISCOUNTED FUTURE NET CASH FLOWS

For purposes of the following disclosures, future cash flows were computed by applying to Occidental’s proved oil and gas reserves the unweighted arithmetic average of the first-day-of-the-month price for each month within the years ended December 31, 2024, 2023 and 2022, respectively, unless prices were defined by contractual arrangements, and exclude escalations based upon future conditions. The realized prices used to calculate future cash flows vary by producing area and market conditions. Future operating and capital costs were forecast using the current cost environment applied to expectations of future operating and development activities to develop and produce proved reserves at year end.

Future income tax expenses were computed by applying, generally, year-end statutory tax rates (adjusted for permanent differences, tax credits, allowances and foreign income repatriation considerations) to the estimated net future pre-tax cash flows. The discount was computed by application of a 10% discount factor. The calculations assumed the continuation of existing economic, operating and contractual conditions as of December 31, 2024, 2023 and 2022. Such assumptions, which are required by regulation, have not always proven accurate in the past. Other valid assumptions would give rise to substantially different results.

STANDARDIZED MEASURE OF DISCOUNTED FUTURE NET CASH FLOWS

millionsUnited StatesInternationalTotalBalance as of December 31, 2024  Future cash inflows$159,735 $31,110 $190,845 Future costs Production costs and other operating(69,335)(11,652)(80,987)Development costs (a)(22,149)(2,507)(24,656)Future income tax expense(9,034)(3,339)(12,373)Future net cash flows59,217 13,612 72,829 10% discount factor(24,480)(5,478)(29,958)Standardized measure of discounted future net cash flows$34,737 $8,134 $42,871 Balance as of December 31, 2023Future cash inflows$143,471 $35,020 $178,491 Future costsProduction costs and other operating(58,864)(10,921)(69,785)Development costs (a)(19,404)(3,706)(23