Occidental Petroleum 2Q profit flat, revenue up

Occidental Petroleum boosts domestic production but 2Q earnings are roughly flat

Associated Press

LOS ANGELES (AP) -- Occidental Petroleum Corp. said Tuesday that second-quarter earnings were roughly flat, as a slight increase in production offset a decline in the price of oil overseas.

Production rose in California and the Permian Basin of Texas but fell in Colombia due to insurgent activity, Occidental said.

Net income was $1.32 billion, or $1.64 per share, compared with $1.33 billion, or $1.64 per share, a year earlier. Occidental said that excluding a gain from selling a stake in a Brazilian chemical plant and other items, it would have earned $1.58 per share.

Revenue rose 3 percent to $5.96 billion.

Analysts, who usually exclude special items from their calculations, expected earnings of $1.60 per share on revenue of $6.18 billion, according to FactSet.

Compared with a year ago, Occidental got paid more for U.S. oil and natural gas but less for oil from the Middle East and North Africa. Worldwide, the company got about 1 percent less for a barrel of oil in the quarter — $97.91 per barrel compared with $99.34 a year ago. Production costs fell to $13.40 per barrel from $14.99 a year earlier.

Occidental Petroleum shares fell $2.70, or 3 percent, to $87.78 in morning trading.

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