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Occidental Beats Q2 Production Guidance, Raises Full-Year Outlook

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Occidental (OXY) released Q2 earnings Wednesday, reporting global production of 1.433 million barrels of oil equivalent per day, exceeding the high end of its guidance.

Occidental said its Gulf of Mexico and Permian business units outperformed in the quarter.

Gulf of Mexico total production averaged about 144,000 boe/d. Of this, oil accounted for 121,000 b/d, while natural gas liquids stood at 11,000 b/d and natural gas stood at 74 million cubic feet per day.

Permian Basin total production averaged 804,000 boe/d. Of this, oil accounted for 407,000 b/d, while natural gas liquids stood at 213,000 b/d and natural gas stood at 1.106 billion cubic feet per day.

The Permian Basin reported a 25% increase in average wells per pad.

Occidental spent about $1.6 billion of net capex in the Permian Basin in H1 2026, running 20 gross rigs, 15 on a net basis, to bring 256 wells online, and expects full-year Permian capex of roughly $3.1 billion, with 19 gross rigs, 14 net, delivering 485-515 wells online.

In the Rockies, the company spent about $0.4 billion in H1 2026 across three gross rigs, two net, for 84 wells online, and projects full-year Rockies capex near $0.8 billion, with three gross rigs, three net, bringing 150-170 wells online across the DJ and Powder River basins.

Occidental raised its full-year 2026 average production guidance by about 3,000 boe/d to a range of 1.423 million boe/d to 1.453 million boe/d, after Q2 production beat guidance by 23,000 boe/d.

Production strength in the Gulf of Mexico and Permian output, partly offset by Middle East disruptions, prompted this revision, Occidental said. The company guided Q3 average production of 1.40 million boe/d to 1.44 million boe/d.

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