World's Energy

02-02-2009 - Energy Business Review - Despite down, the oil company claims to have grown the production by 5.4 percent. Occidental Petroleum has reported a net income of $443 million, or $0.55 per diluted share, for the fourth quarter of 2008, compared to $1.45 billion, or $1.74 per diluted share, for the same quarter of 2007. The company has reported net sales of $4.02 billion for the fourth quarter of 2008, compared to $5.52 billion for the same period of 2007. Occidental Petroleum said that it has reported a net income of $6.86 billion, or $8.35 per diluted share, in 2008, compared to $5.4 billion, or $6.44 per diluted share, in 2007. For the year 20008, Occidental has reported net sales of $24.22 billion, compared to $18.78 billion in 2007. Oil and gas segment earnings were $339 million for the fourth quarter of 2008, compared with $2.461 billion for the same period in 2007. The fourth quarter of 2008 core results were $996 million after excluding pre-tax losses of $599 million relating to the impairment of assets and $58 million for rig termination costs, said the company. Ray Irani, chairman and CEO of Occidental Petroleum, said: “The current oil and gas industry cost structure is higher than what the current product prices can support. In order to protect our returns, we are announcing a 2009 capital program of $3.5 billion. “We believe that with this level of capital, we will achieve our targeted returns in the current price environment as well as grow our production volumes in the coming days.” Occidental Petroleum is an international oil and gas exploration and production company with operations in the United States, Middle East/North Africa and Latin America regions.