LOS ANGELES, Feb. 2, 2004 (PRIMEZONE) -- Occidental Petroleum Corporation (NYSE:OXY) announced today that, including acquisitions, it replaced 184 percent of its 2003 worldwide production of 200 million barrels of oil equivalent (BOE) at an average finding, development and acquisition cost of $4.27 per BOE.
Worldwide proven reserve additions from all sources in 2003 totaled approximately 368 million BOE, resulting in a year-to-year increase of 6 percent to 2.47 billion BOE of proven reserves, a company record. Occidental's 2003 year-end reserves-to-production ratio was 12.4 years.
Discoveries and extensions added 147 million BOE (40%), acquisitions added 107 million BOE (29%), improved recovery added 102 million BOE (28%) and revisions added 12 million BOE (3%) to worldwide proven reserves.
Approximately 50 percent of the 2003 worldwide reserve additions came from U.S. operations, replacing 147 percent of U.S. production of 125 million BOE. In addition, the company replaced 246 percent of its international production of 75 million BOE. The Dolphin Project, which involves the development and sale of 2 billion cubic feet per day of natural gas and associated liquid hydrocarbons from Qatar's giant North Field, accounted for 107 million BOE of the reserve additions included in discoveries and extensions. Occidental has a 24.5 interest in the Dolphin Project.
For the three-year period, 2001-2003, Occidental's average annual reserve replacement rate was 156 percent at an average finding, development and acquisition cost of $4.53 per BOE. These costs exclude the effect of asset retirement obligations which is consistent with prior practice.