$OXY

Shah Gas Field Suspension in UAE Forces Occidental to Trim Annual Output Forecast

Occidental Petroleum (OXY) lowered its full-year 2026 production forecast on Tuesday, citing the significant impact of the Iran war on its international operations.The company now expects total production to range between 1.41 million and 1.46 million barrels of oil equivalent per day, a slight reduction from its previous guidance of 1.42-1.48 mmboe/d.International output specifically was revised downward to 218,000 to 228,000 boe/d, as regional hostilities continue to obstruct key energy infrastructure.The guidance cut follows a prolonged suspension at the Shah gas field in the UAE, where Occidental holds a 40% interest.Operations at the facility, one of the world's largest sour gas fields, have remained offline since an Iranian drone strike on March 16.Despite these geopolitical headwinds, Occidental reported that its total first-quarter production of 1,426 Mboed actually exceeded the high end of its quarterly guidance, bolstered by strong performance in the Permian Basin, the Rockies, and the Gulf of Mexico.Financial results for the first quarter reflected a volatile energy market. Occidental's oil and gas pre-tax income rose to $1.0 billion, up from $0.7 billion in the fourth quarter of 2025.This growth was driven by an 18% quarterly increase in average worldwide realized crude oil prices, the company said.However, these gains were partially offset by lower domestic gas prices, which fell 10% to $1.01 per Mcf.Looking ahead, the company's ability to hit its revised targets remains tied to the stability of its Middle Eastern assets.While US shale production remains a core strength, continued closure of the Shah field and broader regional supply losses have forced the producer to adopt a more conservative outlook for the remainder of 2026.

Research Alert: Oxy: A Q1 Eps Beat And A Stronger Balance Sheet

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:OXY posted Q1 adjusted EPS of $1.06 vs. the $0.87 consensus, a $0.47 beat, while production of 1,426,000 boe/d exceeded guidance but declined 3.7% sequentially. The Permian Basin contributed 787,000 boe/d (55% of total), with Oil & Gas pre-tax income rising to $1.0B from $0.7B in Q4 as liquids pricing improved with oil realizations up 18% to $69.91/b and NGL prices rising 14% to $18.99/b, though domestic gas realizations fell 10% to $1.01/Mcf due to Permian congestion. The company made significant balance sheet progress, reducing principal debt to $13.3B following $7.1B in repayments and advancing toward its $10.0B milestone, while cash increased to $3.8B. The OxyChem divestiture provided financial flexibility despite occurring at a cyclical trough. We expect near-term free cash flow to improve further given crude prices remain materially higher since the Iran conflict began February 28, with free cash flow before working capital reaching $1.7B vs. capex of $1.6B.

Occidental Petroleum Q1 Adjusted Earnings Rise, Revenue Falls

Occidental Petroleum (OXY) reported Q1 adjusted earnings late Tuesday of $1.06 per diluted share, up from $0.87 a year earlier.Analysts polled by FactSet expected $0.60.Revenue for the three months ended March 31 was $5.23 billion, down from $5.70 billion a year earlier.Analysts surveyed by FactSet expected $5.44 billion.

Earnings Flash (OXY) Occidental Petroleum Posts Q1 Revenue $5.23B, vs. FactSet Est of $5.44B

Earnings Flash (OXY) Occidental Petroleum Posts Q1 Adjusted EPS $1.06, vs. FactSet Est of $0.60

US Land Rig Count Slides as Permian Activity Softens, RBC Says

The US land rig count slides for a second consecutive week, pressured by a pullback in oil-directed drilling, RBC Capital Markets strategists said in a note on Sunday.Total US land rig count fell by six week-on-week to 525, RBC analysts said, citing Baker Hughes. The decline was driven by the oil-directed side of the business, which saw six units sidelined, bringing the total to 389. Gas-oriented activity held steady at 129 rigs.The Permian Basin, the largest US shale region, saw activity edge lower, with the rig count slipping by one to 241. RBC said that the Permian Basin continues to dominate US drilling, accounting for about 62% of oil-directed rigs in the Lower 48 and 47% of total land rigs.The most active drilling companies in the Permian are Helmerich & Payne (HP) with 88 rigs, Patterson-UTI Energy (PTEN) with 32 rigs, and Nabors Industries (NBR) with 29 rigs. Exxon Mobil (XOM) led the operators with 34 rigs, followed by Occidental (OXY) with 20 and ConocoPhillips (COP) with 17.Eagle Ford activity climbed one rig to 43, while the Williston Basin was unchanged at 28. Gas-focused regions showed modest strength, with the Haynesville Shale gaining two rigs to 58, while Appalachian Basin activity held flat at 37.RBC said that private operators continue to play a significant role in key basins, though their share of activity has declined in some areas. Private firms in the Permian accounted for 39% of active rigs, down from 43% a year earlier, while in the Eagle Ford their share fell to 37% from 46%.Private operators, by contrast, still dominate the Haynesville, accounting for about 72% of rigs, unchanged from last year.Price: $124.79, Change: $+1.60, Percent Change: +1.30%

Raymond James Adjusts Occidental Petroleum PT to $75 From $64, Maintains Outperform Rating

Occidental Petroleum (OXY) has an average rating of Hold and mean price target of $65.29, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)Price: $59.32, Change: $+0.60, Percent Change: +1.02%

Sector Update: Energy Stocks Fall Late Afternoon

Energy stocks fell late Friday afternoon with the NYSE Energy Sector Index and the State Street Energy Select Sector SPDR ETF (XLE) each falling 1.1%.The Philadelphia Oil Service Sector Index dropped 0.6%, and the Dow Jones US Utilities Index declined 0.5%.West Texas Intermediate crude oil fell 3% to $101.93 a barrel, and global benchmark Brent dropped 1.9% to $108.33 a barrel. Henry Hub natural gas futures rose 0.8% to $2.79 per 1 million BTU.In corporate news, Exxon Mobil (XOM) and Chevron (CVX) reported declines in Q1 earnings amid supply disruptions due to the Middle East war, though the results came in ahead of Wall Street's estimates. Exxon shares fell 0.6%, and Chevron declined 1.2%.BP (BP) is considering exiting part or all of its operations in the UK North Sea in order to strip assets and pay down debt, Bloomberg reported. BP shares fell 2.1%.Portland General Electric (POR) shares fell 4% the company reported Q1 earnings and revenue that missed estimates.Occidental Petroleum (OXY) appointed Chief Operating Officer Richard Jackson to succeed Vicki Hollub as president and CEO, starting June 1. Occidental shares declined 3.3%.

Sector Update: Energy Stocks Fall Friday Afternoon

Energy stocks were lower Friday afternoon, with the NYSE Energy Sector Index decreasing 1.5% and the State Street Energy Select Sector SPDR ETF (XLE) shedding 1.4%.The Philadelphia Oil Service Sector Index fell 0.9%, and the Dow Jones US Utilities Index decreased 0.4%.Front-month West Texas Intermediate crude oil declined 3.3% to $101.62 a barrel, and the global benchmark Brent crude contract dropped 2.1% to $108.09 a barrel. Henry Hub natural gas futures was steady at $2.77 per 1 million BTU.In corporate news, Exxon Mobil (XOM) and Chevron (CVX) reported year-over-year declines in their Q1 earnings on Friday amid supply disruptions due to the Middle East war, but the figures came in ahead of Wall Street's estimates. Exxon shares were down 1.1%, and Chevron fell 1.5%.BP (BP) is considering exiting part or all of its operations in the UK North Sea in order to strip assets and pay down debt, Bloomberg reported. BP's upstream operations in the UK could fetch about $2.7 billion from a full divestment, the report said. BP shares were down 2.2%.Occidental Petroleum (OXY) said Friday its board has appointed Chief Operating Officer Richard Jackson to succeed Vicki Hollub as president and chief executive, starting June 1. Occidental shares declined 3.4%.

Occidental Petroleum Names Richard Jackson CEO, President

Occidental Petroleum (OXY) said Friday its board has appointed Chief Operating Officer Richard Jackson to succeed Vicki Hollub as president and chief executive officer, starting June 1.Hollub will retire on that date but will remain on the company's board of directors, the company said.

Morgan Stanley Adjusts Price Target on Occidental Petroleum to $73 From $53, Maintains Equalweight Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $64.38, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

Interest Grows in North American Hydrocarbons as Middle East Conflict Endures, Says WoodMac

The depth and duration of the disruption to global energy supplies by the closure of a single waterway in the Middle East's cluster of oil producing countries has prompted increased interest in resources available elsewhere, Wood Mackenzie said in an opinion article on Monday.While there were already plans to increase production from various geographies before the Iran war, the conflict has provided additional momentum to bring these forth, according to the article's author, Ed Crooks, Wood Mackenzie Vice Chair for the Americas and Energy Gang podcast host.Venezuela has been moving faster to raise output, something facilitated by the capture of President Nicolas Madura in January. Legislative reforms have passed in the National Assembly giving clarity of maximum royalties and taxes.At the same time, state oil company PDVSA lost exclusive control of oil production and sales, the article said, making way for private players to have control of their own projects and access to arbitration.Foreign oil companies have set out plans to boost the country's output. Chevron (CVX) said it can boost its production in Venezuela by 50% over an 18-24 month timespan and Repsol is aiming for the same increase within 12 months.Shell (SHEL) is said to be in negotiations with Venezuela's government to develop more gas assets and could take final investment decisions before the end of the year if conditions are right.Elsewhere, there was record revenue generated by a lease sale of areas in Alaska's National Petroleum reserve, Crooks noted, while in the Gulf of Mexico, which the US government recognizes as Gulf of America, Occidental Petroleum (OXY) said it had made an oil discovery that would extend the working life of its production facilities.BP (BP) last month said it received approval from the US Bureau of Ocean Energy Management to develop its $5 billion Kaskida project.Claudia Sheinbaum, Mexico's president, said she was in favor of increasing natural gas production through development of unconventional resources to reduce dependence on the US which provides about 75% of Mexico's gas. It now targets output of 3.2 billion cubic feet per day from unconventional sources by 2035.Given the lead times involved in establishing more projects, companies need relative certainty of future commodities prices and change in output to decide on whether investing is viable.There is no sign of any general uptick in US energy industry activity at present with no increase in the number of drilling rigs operating in the US around mid-April, the article said.Venezuela has been able to achieve an increase as a result of easing of US sanctions, with output rising to 1.1 million barrels a day in March from 900,000 in January. But resources like those in Alaska or the Gulf of America will need years to reach the market.Venezuela may have some capacity to boost LNG supply if its gas can be piped to Trinidad to supply the Atlantic LNG liquefaction plant there.Meanwhile Eni (E) and Repsol have reached a deal with Venezuela's government through which they will export gas from the Perla field using a floating LNG vessel. There is also an opportunity for gas to be piped to Colombia, which would free up the LNG it otherwise uses.

Scotiabank Adjusts Price Target on Occidental Petroleum to $57 From $46, Maintains Sector Perform Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $64.38, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)Price: $56.26, Change: $-0.07, Percent Change: -0.12%

US Active Rig Count Slips by 1 Week Over Week, US-Focused Service Firms Perform Strongly in Q1: RBC

Baker Hughes (BKR) US active land rig count fell by one week over week to 529, RBC Capital Markets said on Monday, while the US oil land rig count was flat at 397.The gas land rig count decreased by two in the week to 125, while miscellaneous rigs increased by one. The US oil land rig count fell by four month over month, while the gas land rig count fell by six over the same period.The Permian Basin's active rig count was flat over the week at 242. That region alone has 61% of the Lower 48 rigs and 46% of total land rigs in the US.US December production, based on EIA data, was 13.2 million barrels a day, rising 1% year over year, mainly driven by rising offshore production, which climbed 12% year over year.At the same time, land production decreased by an average 111,000 barrels per day as increases in New Mexico were partially offset by reductions elsewhere.Natural gas withdrawals in the US were 132 billion cubic feet per day, up 4% and supported by gains in Louisiana and New Mexico, RBC said.The three most active drillers in the Permian Basin are Helmerich & Payne (HP), with 88 rigs and 35% of the total, Patterson-UTI Energy (PTEN) with 31 rigs and Nabors Industries (NBR) with 27 rigs.The most active Permian operators are Exxon Mobil (XOM) with 34 rigs, Occidental (OXY) with 20 and ConocoPhillips (COP) with 16.In Haynesville, the rig count fell by 1 to 55 and the three most active drillers were Helmerich & Payne with 10 rigs, Independence Contract Drilling (ICD) with 9 and Precision Drilling (PD) with 8.WTI crude stocks fell by 5% week on week, RBC said.NOV (NOV) lowered its first quarter guidance due to financial impacts from disruption in the Middle East during March. Its updated EBITDA guidance is for $177 million,RBC has downgraded NOV to sector perform it said, noting less compelling risk/reward opportunity in its shares.Stocks in RBC's coverage universe within oil and gas services have risen by 36% this year with US-focused firms outperforming those with exposure in the Middle East.

Susquehanna Adjusts Price Target on Occidental Petroleum to $67 From $60, Maintains Positive Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $63.92, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

Citigroup Adjusts Price Target on Occidental Petroleum to $62 From $67, Maintains Neutral Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $63.40, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

Roth Capital Adjusts Occidental Petroleum PT to $55 From $45, Maintains Neutral Rating

Occidental Petroleum (OXY) has an average rating of Hold and mean price target of $63.04, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

Capital One Securities Cuts Occidental Petroleum Price Target to $67 From $69, Maintains Equal Weight Rating

Occidental Petroleum (OXY) has an average rating of Hold and mean price target of $63.04, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)Price: $58.97, Change: $+0.97, Percent Change: +1.66%

JPMorgan Adjusts Price Target on Occidental Petroleum to $64 From $63, Maintains Neutral Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $63, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)

Jefferies Adjusts Price Target on Occidental Petroleum to $58 From $47, Maintains Hold Rating

Occidental Petroleum (OXY) has an average rating of hold and mean price target of $63, according to analysts polled by FactSet.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://finwires.com/en/contact)