Occidental divests some upstream assets worth $1.2 billion

Occidental Petroleum announced on Tuesday it had signed two deals to sell some upstream assets for a combined $1.2 billion to unidentified buyers.

The transaction, which includes non-operated Rockies assets and Permian Basin properties that are not included in the company's short-term development plans, is expected to be completed by the end the current quarter.

The company stated that it intended to use the proceeds of the transaction to reduce its debt.

Houston-based Occidental said it also achieved near-term repayment targets of $4.5 billion during the fourth quarter after it completed the $12 billion purchase of privately-held CrownRock in August of last year.

LSEG data shows that the company, adjusted for production, also reported a profit per share of 80 cents, exceeding analysts' estimates of 70 cents.

The quarterly global production increased by 18.6% to 1.46 million barrels equivalent per day (MMboepd), compared with the previous year.

The oil and Gas firm, however, reported a loss of $297m in the fourth quarter on Tuesday. This was compared to a profit $1.03bn a year ago. (Reporting from Tanay Dhumal, Bengaluru. Editing by Anil d'Silva.)

(source: Reuters)