LOS ANGELES, April 15, 2003 (PRIMEZONE) -- Occidental Petroleum Corporation (NYSE:OXY) announced today the closing of three acquisitions in the Permian Basin during the first part of 2003. These three transactions will result in proved reserve additions totaling an estimated 73 million barrels of oil equivalent (BOE) for a net acquisition cost of approximately $235 million, or roughly $3.20 per BOE.
"As a result of these acquisitions, our net production is expected to increase effective April 15th by an average of 10,000 barrels of oil equivalent (BOE) per day. We are increasing our 2003 production forecast from 525,000 to 535,000 BOE per day," said Dr. Ray R. Irani, Chairman and CEO of Occidental Petroleum Corporation. "These transactions further fortify our industry leading position in the Permian Basin and are consistent with our strategy of focusing on large, long-lived assets in our core geographic areas. We currently operate a majority of the properties in which we are increasing our interests. We expect to fund these acquisitions from free cash flow and have no plans to enter the capital markets."
Statements in this presentation that contain words such as "will" or "expect," or otherwise related to the future, are forward-looking and involve risks and uncertainties that could significantly affect expected results. Factors that could cause results to differ materially include, but are not limited to: global commodity pricing fluctuations, and supply/demand consideration, for oil, gas and chemicals; higher-than-expected costs; and not successfully completing (or any material delay in) any expansion, capital expenditure, acquisition, or disposition. Occidental disclaims any obligation to update any forward-looking statements.