LOS ANGELES, Sept. 27, 2005 (PRIMEZONE) -- Occidental Petroleum Corporation (NYSE:OXY) announced today that it has lifted its first cargo of Libyan crude oil since returning to its historic contract areas in that Country. This high quality cargo, which consists of approximately 900,000 barrels with an API gravity of 36 degrees and low sulfur content, will be delivered to the United States. This is the first shipment of a U.S. company's equity share of Libyan crude oil to the U.S. market since the U.S. lifted economic sanctions on Libya that were in place for nearly 20 years.
In announcing the sale, Dr. Ray R. Irani, Chairman, President and Chief Executive Officer said, "This is an important milestone for Oxy as we resume our operations in Libya. Moreover, the resumption of shipments of Libyan oil to the U.S. is a significant development for domestic energy markets that are struggling to recover from the devastating impact of Hurricanes Katrina and Rita on the nation's energy infrastructure. Above all, it reflects the on-going improvement in U.S.-Libya relations."
Current estimates indicate that Occidental's net Libyan production will contribute approximately 22,000 barrels per day to the company's year-end 2005 production exit rate, an increase from earlier estimates of 12,000 to 15,000 barrels per day.
Occidental's Libyan holdings, which include three producing properties and interests in 13 exploration blocks, encompass an area of approximately 130,000 square kilometers, making Occidental the largest net working interest holder of oil and gas acreage in the country.
Statements in this presentation that contain words such as "will," "expect" or "estimate," or otherwise relate 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: exploration risks, such as drilling of unsuccessful wells; global commodity pricing fluctuations and supply/demand considerations for oil, gas and chemicals; higher-than-expected costs; political risk; 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.