01—Abstract
Summary
Summary of the 8-K filed October 13, 2026. Cited figures are marked; the original filing is the authoritative source.
Occidental Petroleum (OXY) filed an 8-K on October 13, 2026 under Item 2.02 (Results of Operations and Financial Condition), furnishing Exhibit 99.1, a preliminary "Third Quarter 2026 Earnings Considerations" document.
The filing is not a full earnings release: it does not report net income, EPS, or total revenue, and it explicitly states the figures are preliminary, not comprehensive, and not an estimate of third-quarter earnings. Its main purpose is to flag factors that management believes will affect Q3 2026 results, so investors should treat it as a partial, unaudited data set ahead of the full report. The key operational issue is a temporary September curtailment at certain Gulf of America facilities, caused by a third-party gas pipeline constraint and maintenance.
Gulf of America net sales volumes for the quarter were about 110 Mboed, and domestic lease operating cost rose to $8.54a/boe. Total company production remained within guidance, and the company said partial restoration has occurred with the rest expected once the pipeline constraint is resolved. Oil made up 48.8% of total company production.
On pricing and cash flow, realized worldwide oil averaged $85.91b/Bbl against WTI of $85.79 and Brent of $91.62, implying roughly 100% of WTI and 94% of Brent. Crude oil collar settlements reduced operating cash flow before working capital by $94 million.
Average diluted shares were 1,012.8 million. Realized domestic natural gas was $1.61c/Mcf, about 54% of NYMEX, and worldwide NGL realizations were $24.63/Bbl, about 29% of WTI.
02—Key points
Key Highlights
- Preliminary Q3 2026 factors only: the 8-K furnishes Exhibit 99.1 with partial, unaudited estimates and says it is not an earnings estimate or comprehensive results.
- Gulf of America curtailment in September, tied to a third-party gas pipeline constraint and maintenance, cut net sales volumes to about 110 Mboed; partial restoration has occurred.
- Domestic lease operating cost rose to $8.54/boe in the quarter, reflecting the unplanned downtime.
- Total company production is within guidance, and oil was 48.8% of production.
- Crude oil collar settlements reduced operating cash flow before working capital by $94 million in Q3 2026.
- Worldwide realized oil of $85.91/Bbl was roughly in line with WTI ($85.79), but below Brent ($91.62), at 94% of Brent.
- Domestic natural gas realized only about 54% of NYMEX ($1.61 vs. $2.97/Mcf), and NGL realizations were about 29% of WTI; average diluted shares were 1,012.8 million.
03—Questions
Frequently Asked Questions
Is this 8-K a full Q3 2026 earnings release?
No. It is a preliminary summary of factors management believes will affect Q3 2026 results. It omits net income, EPS, and total revenue, and it states that it is not comprehensive and not an estimate of Q3 earnings. The full results will come in a separate release.
How much did the Gulf of America downtime affect the quarter?
The filing gives Gulf of America net sales volumes of about 110 Mboed for the quarter and domestic lease operating cost of $8.54/boe, which reflect the downtime. It does not quantify the revenue or earnings impact. Total company production stayed within guidance, and partial restoration is underway, with the remainder expected once the third-party pipeline constraint is resolved.
Why was operating cash flow reduced by crude collars?
Crude oil collar settlements for Q3 2026 reduced operating cash flow before working capital by $94 million. Collars are hedges that set a price floor and ceiling, so when prices rose above the ceiling, the company paid out on those contracts.
How did realized prices compare to benchmarks?
Worldwide realized oil was $85.91/Bbl, essentially equal to WTI at $85.79 (about 100%) but about 94% of Brent at $91.62. Domestic natural gas realized $1.61/Mcf, about 54% of NYMEX at $2.97, and worldwide NGL realized $24.63/Bbl, about 29% of WTI. The gas and NGL discounts are notable for investors.
What should investors watch next?
Investors should look for the full Q3 2026 earnings release and 10-Q for final results, the timing of full restoration of Gulf of America volumes after the pipeline constraint clears, and any updated guidance. The filing also includes standard forward-looking statement cautions and notes that the figures are subject to finalization.
04—Continue