01—Abstract
Summary
Summary of the 8-K filed November 9, 2026. Cited figures are marked; the original filing is the authoritative source.
Occidental Petroleum Corporation reported its third quarter 2026 financial and operational results, highlighting significant progress in debt reduction and strong cash flow generation.
The company achieved a key milestone by reducing its principal debt to $10.0 billiona, with a total of $10.4 billion of debt retired year-to-date. This robust deleveraging was supported by $4.1 billion in operating cash flow and $2.8 billion in free cash flow (before working capital) generated during the quarter. Total global production for the quarter averaged 1,427 thousand barrels of oil equivalent per day (Mboed), exceeding guidance.
The company reported diluted earnings per share (EPS) of $1.61b and adjusted EPS from continuing operations of $1.91. Management expressed optimism regarding the strengthened balance sheet, emphasizing its role in advancing the company's strategy to generate over $4.0 billion in annual sustainable cash flow by 2030. This strategic focus is aimed at enhancing capital returns and delivering long-term shareholder value.
While oil prices saw a decrease quarter-over-quarter, domestic natural gas prices experienced a significant increase, providing a partial offset. The company also noted specific operational achievements, including strong performance in its Permian and Rockies business units, despite temporary production curtailments in the Gulf of America due to pipeline constraints.
02—Key points
Key Highlights
- Reduced principal debt to $10.0 billion, retiring $10.4 billion year-to-date.
- Generated $4.1 billion in operating cash flow and $2.8 billion in free cash flow (before working capital) in Q3 2026.
- Achieved global production of 1,427 Mboed, surpassing guidance.
- Reported EPS of $1.61 and adjusted EPS from continuing operations of $1.91.
- Average WTI and Brent crude oil prices were $85.79 and $91.62 per barrel, respectively.
- Domestic natural gas prices increased significantly by 209% quarter-over-quarter.
- Midstream and marketing pre-tax adjusted income exceeded guidance.
03—Questions
Frequently Asked Questions
What is Occidental Petroleum's current debt level and debt reduction progress?
Occidental Petroleum reached a significant milestone by reducing its principal debt to $10.0 billion as of the third quarter of 2026. The company has retired $10.4 billion of debt year-to-date.
How did Occidental Petroleum perform in terms of cash flow generation during the third quarter?
In the third quarter of 2026, Occidental Petroleum generated $4.1 billion in operating cash flow and $2.8 billion in free cash flow before working capital from continuing operations. Capital expenditures for the quarter were $1.3 billion.
What was Occidental Petroleum's production volume for the third quarter of 2026?
The company reported global production of 1,427 thousand barrels of oil equivalent per day (Mboed) for the third quarter of 2026, exceeding the mid-point of their guidance. Production in the Permian and Rockies business units performed strongly, offsetting temporary curtailments in the Gulf of America.
How did commodity prices impact Occidental Petroleum's results in the third quarter?
Average worldwide realized crude oil prices decreased by 11% to $85.91 per barrel compared to the previous quarter. However, domestic natural gas prices saw a substantial increase of 209%, improving from negative $1.48 per Mcf in Q2 to $1.61 per Mcf in Q3.
04—Continue