Occidental Petroleum (OXY) 10-K risk factor changes: FY2020 vs FY2019

Occidental’s financial results correlate closely to the prices it obtains for its products, particularly oil and, to a lesser extent, [removed: natural gas and NGL,] [added: NGL] and its chemical [removed: products.][added: products and natural gas.]

Prices for oil, [added: NGL and] natural gas [removed: and NGL] fluctuate widely.

Historically, the markets for oil, [added: NGL and] natural gas [removed: and NGL] have been volatile and may continue to be volatile in the future.

If the prices of oil, [removed: natural gas, or] NGL [added: or natural gas] continue to be volatile or decline, Occidental’s operations, financial condition, cash flows, level of expenditures and the quantity of estimated proved reserves that may be attributed to our properties may be materially and adversely affected.

[removed: | Ø | Worldwide] [added: ■Worldwide] and domestic supplies of, and demand for, oil, [added: NGL,] natural [removed: gas, NGL] [added: gas] and refined products; [removed: |]

[removed: | Ø | The] [added: ■The] cost of exploring for, developing, producing, refining and marketing oil, [added: NGL,] natural [removed: gas, NGL] [added: gas] and refined products; [removed: |]

[removed: | Ø | Operational] [added: ■Operational] impacts such as production disruptions, technological advances and regional market conditions, including available transportation capacity and infrastructure constraints in producing areas; [removed: |]

[removed: | Ø | Changes] [added: ■Changes] in weather patterns and climate; [removed: |]

[removed: | Ø | The] [added: ■The] impacts of the members of [removed: OPEC] [added: the Organization of the Petroleum Exporting Countries (OPEC)] and other non-OPEC member-producing nations that may agree to and maintain production levels; [removed: |]

[removed: | Ø | The] [added: ■The] worldwide military and political environment, including uncertainty or instability resulting from an escalation or outbreak of armed hostilities or acts of terrorism in the United [removed: States,] [added: States] or elsewhere; [removed: |]

[removed: | Ø | The] [added: ■The] price and availability of alternative and competing fuels; [removed: |]

[removed: | Ø | Technological] [added: ■Technological] advances affecting energy consumption and supply; [removed: |]

[removed: | Ø | Domestic] [added: ■Domestic] and foreign governmental regulations and taxes; [removed: |]

[removed: | Ø | Shareholder] [added: ■Shareholder] activism or activities by non-governmental organizations to restrict the exploration, development and production of oil, [removed: natural gas] [added: NGL] and [removed: NGL; |][added: natural gas;]

[removed: | Ø | Additional] [added: ■Additional] or increased nationalization and expropriation activities by foreign governments; [removed: |]

[removed: | Ø | The] [added: ■The] impact and uncertainty of world health [removed: events; |][added: events, including the COVID-19 pandemic;]

[removed: | Ø | Volatility] [added: ■Volatility] in commodity [removed: futures] markets; [removed: |]

[removed: | Ø | The] [added: ■The] effect of energy conservation efforts; and [removed: |]

[removed: | Ø | Global] [added: ■Global] inventory levels and general economic conditions. [removed: |]

The long-term effects of these and other conditions on the prices of oil, [added: NGL,] natural [removed: gas, NGL] [added: gas] and refined products are [removed: uncertain,] [added: uncertain] and there can be no assurance that the demand or pricing for Occidental’s products will follow historic patterns or recover meaningfully in the [removed: near term.][added: near-term.]

[removed: | Ø | Adversely] [added: ■Adversely] affect Occidental’s financial condition, liquidity, ability to reduce debt, pay [removed: dividends,] [added: dividends and] finance planned capital expenditures, ability to repurchase shares and results of operations; [removed: |]

[removed: | Ø | Reduce] [added: ■Reduce] the amount of oil, [added: NGL and] natural gas [removed: and NGLs] that Occidental can produce economically; [removed: |]

[removed: | Ø | Cause] [added: ■Cause] Occidental to delay or postpone some of its capital projects; [removed: |]

[removed: | Ø | Reduce] [added: ■Reduce] Occidental’s revenues, operating income or cash flows; [removed: |]

[removed: | Ø | Reduce] [added: ■Reduce] the amounts of Occidental’s estimated proved oil, [added: NGL and] natural gas [removed: and NGL] reserves; [removed: |]

[removed: | Ø | Reduce] [added: ■Reduce] the carrying value of Occidental’s oil and natural gas properties due to recognizing impairments of proved properties, unproved properties and exploration assets; [removed: |]

[removed: | Ø | Reduce] [added: ■Reduce] the standardized measure of discounted future net cash flows relating to oil, [added: NGL and] natural gas [removed: and NGL] reserves; [removed: |]

[removed: | Ø | Limit] [added: ■Limit] Occidental’s access to, or increase the cost of, sources of capital such as equity and long-term debt; and [removed: |]

[removed: | Ø | Adversely] [added: ■Adversely] affect the ability of Occidental’s partners to fund their working interest capital requirements. [removed: |]

In [removed: 2019,] [added: 2020,] management elected to hedge a portion of Occidental’s expected [removed: 2020 oil] [added: 2021 natural gas] production to enhance cash flow [removed: stability following the Acquisition.][added: stability.]

In the future, management may [removed: elect] [added: continue] to hedge some of the risk of oil, [added: NGL and] natural gas [removed: and NGL] price fluctuations.

[removed: Past or future commodity] [added: Commodity] price risk management activities may prevent us from fully benefiting from price increases and may expose us to [removed: regulatory] [added: regulatory, counterparty credit] and other risks.

| [removed: 6 |] OXY [removed: 2019] [added: 2020] FORM 10-K | [added: | | 7 | | |]

| [removed: ] [added: ] | [added: | |] RISK FACTORS | | [added: | | | |]

Oil, [added: NGL and] natural gas [removed: and NGL] exploration and production activities are subject to numerous risks beyond our control, including the risk that drilling will not result in commercially viable oil, [added: NGL and] natural gas [removed: and NGL] production.

[removed: | Ø | Equipment] [added: ■Equipment] failures; [removed: |]

[removed: | Ø | Construction] [added: ■Construction] delays; [removed: |]

[removed: | Ø | Escalating] [added: ■Escalating] costs or competition for services, materials, supplies or labor; [removed: |]

[removed: | Ø | Property] [added: ■Property] or border disputes; [removed: |]

[removed: | Ø | Disappointing] [added: ■Disappointing] drilling results or reservoir performance; [removed: |]

The COVID-19 pandemic has adversely affected our business and the ultimate effect on our operations and financial condition will depend on future developments, which are highly uncertain.

The COVID-19 pandemic has adversely affected the global economy, disrupted global supply chains and created significant volatility in the financial markets.

In addition, the pandemic has resulted in travel restrictions, business closures and the institution of quarantining and other restrictions on movement in many communities.

As a result, there has been a significant reduction in demand for and prices of crude oil, NGL and natural gas.

If the reduced demand for and prices of crude oil, NGL and natural gas persist for a prolonged period, our operations, financial condition, cash flows, level of expenditures and the quantity of estimated proved reserves that may be attributed to our properties may be materially and adversely affected.

Our operations also may be adversely affected if significant portions of our workforce are unable to work effectively, including because of illness, quarantines, government actions or other restrictions in connection with the pandemic.

We have implemented workplace restrictions in our offices and work sites for health and safety reasons and continue to monitor national, state and local government directives where we have operations and/or offices.

Further, our business plan, including our financing and liquidity plan, includes, among other things, planned divestitures.

If general economic conditions or conditions in the energy industry persist at current levels for an extended period of time, we may not be able to complete these transactions on favorable terms, in a timely manner or at all.

The extent to which the COVID-19 pandemic adversely affects our business, results of operations and financial condition will depend on future developments, which are highly uncertain, including the scope and duration of the pandemic and actions taken by governmental authorities and other third parties in response to the pandemic.

The COVID-19 pandemic may also materially adversely affect our operating and financial results in a manner that is not currently known to us or that we do not currently consider to present significant risks to our operations.

To the extent the COVID-19 pandemic may continue to adversely affect our business, operations, financial condition and operating results, it may also have the effect of heightening the other risks described herein.

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In 2019, Occidental entered into 2020 Brent-priced 3-way collars combined with 2021 call options on the same volume to manage its near-term exposure to cash flow variability from oil price risks in 2020.

The 2021 call options were sold to enhance the upside retention in 2020.

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|  | | | RISK FACTORS | | | | | |

or increased use of land, water and other natural resources, safety, the manufacturing of chemicals, asset integrity management, the marketing or export of commodities, security and environmental protection, all of which may restrict or prohibit activities of Occidental or its contractors, increase Occidental’s costs or reduce demand for Occidental’s products.

In addition, violation of certain governmental laws and regulations may result in strict, joint and several liability and the imposition of significant civil and criminal fines and penalties;

The following are examples of actions and decisions recently taken by federal and state governments that impact Occidental’s businesses:

In January 2021, the Colorado Oil and Gas Conservation Commission (COGCC) adopted new regulations that impose siting requirements or “setbacks” on certain oil and gas drilling locations based on the distance of a proposed well pad to occupied structures.

Pursuant to the regulations, well pads cannot be located within 500 feet of an occupied structure without the consent of the property owner.

As part of the permitting process, the COGCC will consider a series of siting requirements for all drilling locations located between 500 feet and 2,000 feet of an occupied structure.

Alternatively, the operator may seek a waiver from each owner and tenant within the designated distance.

While Occidental is currently evaluating the impact of these regulations on its business, at this time, Occidental does not anticipate significant near-term changes to our development program in the DJ Basin based on these regulations.

However, as a result, certain of Occidental’s proved undeveloped (PUD) reserves have been derecognized as they no longer meet the regulatory certainty criteria to be considered proved reserves.

Occidental’s ability to reestablish previously derecognized PUD reserves, as well as establishing new PUD locations, will depend upon Occidental establishing a history of obtaining drilling permits under the new regulations and thus meeting the SEC’s “reasonably certain” threshold for adding PUD reserves.

Occidental currently believes it will be able to successfully navigate the new setback guidelines.

An executive order was issued in January 2021, *Tackling the Climate Crisis at Home and Abroad*, that mandated an indefinite pause on new oil and gas leasing on federal lands, onshore and offshore, while a comprehensive review of oil and gas permitting and leasing process is conducted by the U.S. Department of the Interior.

In conducting this review, the Secretary of the Interior is required to consider whether to adjust royalties associated with oil and gas resources extracted from public lands and offshore waters to account for corresponding climate costs.

In addition, effective January 20, 2021, the Department of the Interior issued an order temporarily elevating the decision-making approval previously delegated to the Department of the Interior’s agencies and bureaus, including the Bureau of Ocean Energy Management (BOEM) and the Bureau of Land Management (BLM), to issue any onshore and offshore fossil fuel authorization for, including but not limited to a lease, amendment to a lease, affirmative extension of a lease, contract or other agreement or permit to drill to the leadership of the Department of the Interior.

Occidental is continuing to evaluate the overall impact of these new regulatory issuances on its oil and gas operations on federal leases.

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As an example of local governmental actions, some counties in Colorado have amended their land use regulations to impose new requirements on oil and gas development while other local governments have entered memoranda of agreement with oil and gas producers to accomplish the same objective.

Further, voters in Colorado have proposed or advanced ballot initiatives restricting or banning oil and gas development in Colorado.

In the event that these ballot initiatives are adopted or the county-level regulations are implemented in areas where we conduct operations, we may incur significant costs to comply with such requirements or may experience delays or curtailment in the permitting or pursuit of exploration, development or production activities.

For example, the EPA issued rules restricting methane emissions from hydraulically fractured and refractured gas wells, compressors, pneumatic controls, storage vessels, and natural gas processing plants.

In addition, in August 2019, the EPA issued the Affordable Clean Energy rule that designates heat rate improvement, or efficiency improvement, as the best system of emissions reduction for carbon dioxide from existing coal-fired electric utility generating units.

increase and adversely affect our reputation.

| Ø | Damage to and destruction of property and equipment; |

Occidental’s commodity-price risk management may prevent us from fully benefiting from price increases and may expose us to regulatory and other risks.

To the extent that we engage in activities to protect Occidental’s cash flows from commodity-price declines, we may be prevented from realizing the full benefits of price increases above the levels of the derivative instruments used to manage price risk.

In addition, Occidental’s commodity-price risk management may expose us to the risk of financial loss in certain circumstances, including instances in which the following occur:

| Ø | Occidental’s production is less than the notional volume; |

| Ø | The counterparties to Occidental’s hedging or other price risk management contracts fail to perform under those arrangements; or |

| Ø | A sudden, unexpected event materially impacts oil, natural gas or NGL prices. |

Occidental incurred indebtedness and other payment obligations in connection with the Acquisition.

LIBOR tends to fluctuate based on general interest rates, rates set by the Federal Reserve and other central banks, the supply of and demand for credit in the London interbank market and general economic conditions.

to submit rates for the calculation of LIBOR after 2021.

The U.S. Federal Reserve, in conjunction with the Alternative Reference Rates Committee, is considering replacing U.S. dollar LIBOR with a newly created index, calculated based on repurchase agreements backed by treasury securities.

Risks related to Occidental’s Acquisition of Anadarko

Occidental may not be able to integrate Anadarko successfully, and many of the anticipated benefits of combining Occidental and Anadarko may not be realized.

Occidental acquired Anadarko with the expectation that the Acquisition will result in various benefits, including, among other things, operating efficiencies.

Achieving those anticipated benefits is subject to a number of uncertainties, including whether Occidental can integrate the business of Anadarko in an efficient and effective manner.

Occidental cannot ensure that those benefits will be realized as quickly as expected or at all.

If Occidental does not achieve anticipated benefits, costs could increase, expected net income could decrease, the stock price could decline, and future business, financial condition, operating results and prospects could suffer.

The integration process could take longer than anticipated and involve unanticipated costs.

Disruptions of each company’s ongoing businesses, processes and systems or inconsistencies in standards, controls, procedures, practices, policies and compensation arrangements could adversely affect the combined company.

Occidental may also have difficulty addressing differences in corporate cultures and management philosophies and harmonizing other systems and business practices.

Although Occidental expects that the elimination of certain duplicative costs, as well as the realization of other efficiencies related to the integration of the two businesses, will over time offset the substantial incremental transaction and Acquisition-related costs, Occidental may not achieve this net benefit in the near term, or at all.

Moreover, even if the integration of Anadarko is successful, the integration process places a significant burden on Occidental’s management and internal resources.

The diversion of management’s attention away from day-to-day business concerns and any difficulties encountered in the integration process could adversely affect our financial condition, results of operations or cash flows.

Future results will be negatively impacted if Occidental does not effectively manage its expanded operations.

With completion of the Acquisition, the size of Occidental’s business has increased significantly.

Occidental’s continued success depends, in part, upon its ability to manage this expanded business, which poses substantial challenges for management, including challenges related to the management and monitoring of new operations and associated increased costs and complexity.

Occidental cannot assure that it will be successful or that it will realize the expected operating efficiencies, cost savings and other benefits from the combination currently anticipated.

Occidental’s consolidated financial statements include an uncertain tax position greater than the amount of the tentative tax refund received.

It is possible that Occidental may not ultimately succeed in defending this deduction.

Occidental announced a $15 billion divestiture program in connection with the Acquisition.

The following discussion should be read together with the Consolidated Financial Statements and the Notes to Consolidated Financial Statements, which are included in this Form 10-K in Item [removed: 8,] [added: 8] and the information set forth in Risk Factors under [added: Part 1,] Item 1A.

| INDEX | [added: | |] PAGE | [added: | |]

[removed: | [Strategy](#s27E4F9A1E1CA5431924E6CD462239BD2) | [19](#s27E4F9A1E1CA5431924E6CD462239BD2) |][added: STRATEGY]

| [removed: [Oil and Gas Segment](#s096AB4B10EA752E598A8BE5862109688)] [added: OIL AND GAS SEGMENT] | [removed: [19](#s096AB4B10EA752E598A8BE5862109688)] | [added: | | | | | | | | | | | | |]

| [removed: [Chemical Segment](#sDB46D97C06695266BFA87F6108A63666)] [added: CHEMICAL SEGMENT] | [removed: [30](#sDB46D97C06695266BFA87F6108A63666)] | [added: |]

| [removed: [Marketing and Midstream Segment](#s2ECDC570AFEF52F5BA7C652575F50C82)] [added: MIDSTREAM AND MARKETING SEGMENT] | [removed: [31](#s2ECDC570AFEF52F5BA7C652575F50C82)] | [added: |]

| [removed: [Segment Results of Operations and](#s816ED0057B5C5AEBB7DCA072299C8D7D) Items Affecting Comparability] [added: SEGMENT RESULTS OF OPERATIONS AND ITEMS AFFECTING COMPARABILITY] | [removed: [33](#s816ED0057B5C5AEBB7DCA072299C8D7D)] | [added: |]

| [removed: Income Taxes] [added: INCOME TAXES] | [removed: [37](#s4A038A3685365E55BBAAACDA13EE1FCD)] | [added: |]

| [removed: [Consolidated Results of Operations](#s3A9656FBC5285EF5893411AB430B1C44)] [added: CONSOLIDATED RESULTS OF OPERATIONS] | [removed: [37](#s3A9656FBC5285EF5893411AB430B1C44)] | [added: |]

| [removed: [Liquidity and Capital Resources](#s5B4BE00D21F458F89D5F5A2CB2064C00)] [added: LIQUIDITY AND CAPITAL RESOURCES] | [removed: [40](#s5B4BE00D21F458F89D5F5A2CB2064C00)] | [added: |]

| [removed: [Off-Balance Sheet Arrangements](#sBB9FA3C10CDC5CD5BA50DE1AA7DC51BD)] [added: OFF-BALANCE SHEET ARRANGEMENTS] | [removed: [42](#sBB9FA3C10CDC5CD5BA50DE1AA7DC51BD)] | [added: |]

| [removed: Commitments and Obligations] [added: COMMITMENTS AND OBLIGATIONS] | [removed: [42](#s05BFDE7027425FD7AD640127852AED3C)] | [added: |]

| [removed: [Lawsuits, Claims, Commitments and Contingencies](#s2897442D0F8B5894B46A3ECFB63B2D65)] [added: LAWSUITS, CLAIMS, COMMITMENTS AND CONTINGENCIES] | [removed: [43](#s2897442D0F8B5894B46A3ECFB63B2D65)] | [added: |]

| [removed: [Environmental Liabilities and Expenditures](#s5A20D3EAB18E5EBDAF3FCDECF849E6B8)] [added: ENVIRONMENTAL LIABILITIES AND EXPENDITURES] | [removed: [44](#s5A20D3EAB18E5EBDAF3FCDECF849E6B8)] | [added: |]

| [removed: Global [Investments](#sF7D7611A79AB5B1B9B4ECCB29B627241)] [added: GLOBAL INVESTMENTS] | [removed: [46](#sF7D7611A79AB5B1B9B4ECCB29B627241)] | [added: |]

| [removed: [Critical Accounting Policies and Estimates](#s378067A494DA5E09881CE753EC781E1F)] [added: CRITICAL ACCOUNTING POLICIES AND ESTIMATES] | [removed: [46](#s378067A494DA5E09881CE753EC781E1F)] | [added: |]

| [removed: [Significant Accounting and Disclosure Changes](#s32ADA589C03F58D6BF6B6D0110F3445D)] [added: SIGNIFICANT ACCOUNTING AND DISCLOSURE CHANGES] | [removed: [49](#s32ADA589C03F58D6BF6B6D0110F3445D)] | [added: |]

| [removed: [Safe Harbor Discussion Regarding Outlook and Other Forward-Looking Data](#s38DD7164D51751919B6EDD626A463420)] [added: SAFE HARBOR DISCUSSION REGARDING OUTLOOK AND OTHER FORWARD-LOOKING DATA] | [removed: [50](#s38DD7164D51751919B6EDD626A463420)] | [added: |]

| [removed: 18 |] OXY [removed: 2019] [added: 2020] FORM 10-K | [added: | | 19 | | |]

| [removed: ] [added: ] | [added: | |] MANAGEMENT’S DISCUSSION AND ANALYSIS | | [added: | | | |]

Occidental seeks to meet its strategic goals by continually measuring its success against key performance [removed: metrics] [added: indicators] that drive total stockholder return.

In addition to efficient capital allocation and deployment discussed [removed: below,] [added: below in *“Oil and Gas Segment - Business Strategy”,*] Occidental believes the following are its most significant [removed: metrics:][added: performance indicators:]

| [removed: OIL AND GAS SEGMENT] [added: [Oil and Gas Segment](#i7e353a5c21064401ae05ccfab320f1aa_79)] | | | [added: [23](#i7e353a5c21064401ae05ccfab320f1aa_79)] | | [added: |]

In each core operating area, Occidental’s operations benefit from scale, technical expertise, decades of high-margin inventory, environmental and safety [removed: leadership,] [added: leadership] and commercial and governmental collaboration.

These attributes allow Occidental to bring additional production quickly to market, extend the life of older fields at lower [removed: costs,] [added: costs] and provide low-cost returns-driven growth opportunities with advanced technology.

With the completion of the Acquisition, Occidental became [added: one of] the largest U.S. [removed: producer] [added: producers] of [removed: oil] [added: liquids, which includes oil, condensate] and [removed: liquids in the second half of 2019,] [added: NGL,] allowing Occidental to maximize cash margins on a [removed: BOE] [added: Boe] basis.

[removed: The] [added: Since the Acquisition, Occidental has focused on its divestiture program to divest of non-core assets to pay down near-term debt maturities, however, the] advantages that Occidental’s [removed: diversified] portfolio provides, coupled with unmatched subsurface characterization ability and the proven ability to execute, ensures that Occidental is positioned for full-cycle success in the years ahead.

The oil and gas segment [removed: continues to focus on integration of the newly acquired assets and efforts to realize] [added: has realized] synergies [removed: at an early stage] to deliver lower breakeven costs and generate excess free cash flow.

| [added: 20 | | |] OXY [removed: 2019] [added: 2020] FORM 10-K | [removed: 19] | [added: |]

[removed: As a result of Occidental’s strategic positioning,] [added: Despite the pandemic impacts on commodity prices and the overall economy as discussed above,] Occidental’s assets [added: are strategically positioned to] provide [removed: current production and] a future portfolio of projects that are flexible and have short-cycle investment paybacks.

[removed: Ø Operating] [added: ■Operating] and developing areas where reserves are known to exist and optimizing capital intensity in core areas, primarily in the Permian Basin, DJ Basin, Gulf of Mexico, UAE, [removed: Oman, Qatar] [added: Oman] and [removed: Colombia;][added: Algeria;]

[removed: Ø Maintaining] [added: ■Maintaining] a disciplined and prudent approach to capital expenditures with a focus on high-return, short-cycle, cash-flow-generating opportunities and an emphasis on creating value and further enhancing Occidental’s existing positions;

[removed: Ø Focusing] [added: ■Focusing] Occidental’s subsurface characterization and technical activities on unconventional opportunities, primarily in the Permian Basin;

[removed: Ø Using enhanced oil recovery] [added: ■Using EOR] techniques, such as CO2, water and steam floods in mature fields; and

[removed: Ø Focusing] [added: ■Focusing] on cost-reduction efficiencies and innovative technologies to reduce carbon emissions.

In [removed: 2019,] [added: 2020,] oil and gas capital expenditures were approximately [removed: $5.5] [added: $2.2] billion and primarily focused on Occidental’s assets in the Permian Basin, [removed: the] DJ Basin, Gulf of Mexico and Oman.

The following table presents the average daily West Texas Intermediate [removed: (WTI),] [added: (WTI) and] Brent [added: prices for oil in dollars per barrel ($/Bbl)] and New York Mercantile Exchange (NYMEX) [added: natural gas] prices for [removed: 2019] [added: 2020] and [removed: 2018:][added: 2019:]

| | | [removed: 2019] | | | | [removed: 2018] [added: 2020] | | | | [added: | | 2019 | | | | | |] % Change | | [added: |]

| WTI [removed: oil ($/barrel)] [added: Oil ($/Bbl)] | | [added: | | | |] $ | [removed: 57.03] [added: 39.40] | | | [added: | |] $ | [removed: 64.77] [added: 57.03] | | | [removed: (12] | [removed: )%] | [added: (31) | | % |]

| Brent [removed: oil ($/barrel)] [added: Oil ($/Bbl)] | | [added: | | | |] $ | [removed: 64.18] [added: 43.21] | | | [added: | |] $ | [removed: 71.53] [added: 64.18] | | | [removed: (10] | [removed: )%] | [added: (33) | | % |]

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| Current Business Outlook and [Strategy](#i7e353a5c21064401ae05ccfab320f1aa_76) | | | [20](#i7e353a5c21064401ae05ccfab320f1aa_76) | | |

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| CURRENT BUSINESS OUTLOOK AND STRATEGY | | |

Occidental’s operations, financial condition, cash flows and levels of expenditures are highly dependent on oil prices and, to a lesser extent, NGL and natural gas prices, the Midland-to-Gulf-Coast oil spreads and the prices it receives for its chemical products.

The worldwide economy has been severely impacted by the ongoing effects of the COVID-19 pandemic, which began during the first quarter of 2020.

In the first quarter, travel restrictions and stay-at-home orders were implemented for much of the world to limit the spread of COVID-19.

Though certain restrictions have been lifted, some areas have recently reinstated stay at home orders and oil and gas demand remains below pre-pandemic levels.

On April 12, 2020, certain members of the OPEC and 10 non-OPEC partner countries (OPEC+) agreed to production cuts intended to mitigate the oil supply and demand imbalance to stabilize prices.

On January 5, 2021, OPEC+ agreed to extend the cuts through March 2021.

These production cuts coupled with declining U.S. production helped mitigate the supply and demand imbalance.

While the spot WTI oil price has recovered to above $60.00/Bbl as of the date of this filing, the average daily WTI oil price fell from $57.03/Bbl in 2019 to $39.40/Bbl in 2020 or 31 percent.

We expect that the oil supply and demand balance and consequently oil prices in the near-term will continue to be influenced by the duration and severity of the COVID-19 pandemic; the effectiveness and pace of the distribution of the recently approved vaccines; and OPEC+ and U.S. production levels.

LIQUIDITY

In response to the dramatic drop in oil prices and the current macroeconomic environment, Occidental has taken significant measures to increase its near and mid-term liquidity and address near-term debt maturities.

Specifically, during 2020 Occidental:

■Reduced its 2020 capital budget to $2.6 billion from a range of $5.2 billion to $5.4 billion, a midpoint reduction of approximately 50%;

■Made significant cuts to its 2020 operating and corporate costs.

On an annualized basis, Occidental has realized $1.5 billion of overhead savings and over $900 million in operating cost savings, of which a majority is expected to remain permanent in future years;

■Reduced the quarterly common stock dividend to $0.01 per share from $0.79 per share, effective July 2020, which on an annualized basis, will reduce its common stock dividend outlay by approximately $2.9 billion;

■Elected to pay the preferred stock dividend paid in the second and third quarters of 2020 in the form of shares of common stock, in lieu of cash, preserving $400 million of liquidity.

Occidental elected to pay the dividend paid in the fourth quarter in cash.

The Board of Directors will continue to assess market conditions and Occidental's financial condition on a quarterly basis to determine whether the preferred stock dividend will be paid in shares of stock, in cash or a combination of shares of common stock and cash;

■Entered into a new receivable securitization facility that provides additional liquidity of up to $400 million;

■Issued $7.0 billion in senior unsecured notes (the Senior Notes Offerings) during 2020 to extend certain debt maturities in 2021-2023 to 2025-2031;

■Since the Acquisition, completed significant asset divestitures for net proceeds of approximately $8.2 billion;

■Used the net proceeds from asset sales, cash on hand and Senior Notes Offerings to retire or tender $6.0 billion of 2021, $2.7 billion of 2022 and $264 million of 2023 maturities; and

■Exchanged approximately 27.9 million WES common units to retire a $260 million note payable to WES due 2038.

In 2019, Occidental entered into three-way oil collar and call derivative instruments to reduce its exposure to commodity price risk and increase the predictability of near-term cash flows.

The majority of the collars settled in 2020 with the receipt of cash of $960 million.

The remaining $52 million settled in 2021.

See [Note](#i7e353a5c21064401ae05ccfab320f1aa_202) [](#i7e353a5c21064401ae05ccfab320f1aa_202)[9](#i7e353a5c21064401ae05ccfab320f1aa_202) [- Derivat](#i7e353a5c21064401ae05ccfab320f1aa_202)[ives](#i7e353a5c21064401ae05ccfab320f1aa_202) in the Notes to Consolidated Financial Statements in Part II, Item 8 of this Form 10-K.

Occidental believes the actions outlined above enhance its liquidity position to fund its operations.

Occidental will continue to evaluate the economic environment, as well as the commodity price environment, and may make further adjustments to its future levels of expenditures and operating and corporate costs.

However, the ultimate impact of the COVID-19 pandemic on Occidental's results of operations, cash flows and financial position are unknown, and those impacts could be material.

| | |

| --- | --- |

| | | |

| --- | --- | --- |

| |

| --- |

| STRATEGY |

Occidental is focused on delivering a unique shareholder value proposition through continual enhancements to its asset quality, organizational capability and innovative technical applications that provide competitive advantages.

Occidental’s integrated business provides conventional and unconventional opportunities through which to grow value.

| Ø | Maintaining a sustainable and sector-leading dividend; |

| Ø | Allocating capital to high-return, short-cycle and long-cycle, cash-flow generating opportunities across its integrated business; |

| Ø | Generating free cash flow growth to reduce debt and return cash to shareholders; |

| Ø | Achieving production growth rates of up to 5% over the long-term; and |

| Ø | Maintaining a strong balance sheet to secure business and enhance shareholder value. |

Price volatility is inherent in the oil and gas business, and Occidental’s strategy is to position the business to thrive in an up- or down-cycle commodity price environment.

On August 8, 2019, Occidental closed on its acquisition of Anadarko.

The Acquisition added to Occidental’s oil and gas portfolio, primarily in the Permian Basin, DJ Basin and Gulf of Mexico, as well as a significant economic interest in WES.

Post-Acquisition, Occidental’s diversified portfolio provides numerous competitive advantages.

Occidental is now the largest oil and gas leaseholder in the United States on a net acreage basis with ample opportunities in the Permian Basin, DJ Basin, Powder River Basin and the Gulf of Mexico with the ability to selectively deploy capital in a way that optimizes capital intensity.

As the acquired assets are integrated and developed, Occidental will utilize its subsurface and operating expertise to improve productivity and reduce full cycle costs.

| Ø | Health, safety and environmental and sustainability-related performance measures; |

| Ø | Achieving debt reduction targets; |

| Ø | Total shareholder return, including dividends; |

| Ø | Maintaining investment grade credit metrics; |

| Ø | Return on capital employed (ROCE) and cash return on capital employed (CROCE); |

| Ø | Specific measures such as earnings per share, per-unit profit, production cost, cash flow, finding and development costs and reserves replacement percentages; and |

| Ø | Acquisition-related synergy and divestiture targets. |

| | | | | |

| --- | --- | --- | --- | --- |

Through the Acquisition, Occidental acquired modern 3D seismic data pertaining to approximately 450,000 square miles of core domestic development areas.

This resulted in a 40% increase in Occidental’s Permian seismic inventory.

BUSINESS ENVIRONMENT

| | | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| | | | | | | |

| --- | --- | --- | --- | --- | --- | --- |

Included in Occidental’s total net acres is approximately 7 million net acres of primarily undeveloped minerals that pass through Colorado, Wyoming and into Utah.

Occidental holds fee ownership of oil and gas, mineral and hardrock mineral rights in this area.

Note: Operations sold include South Texas (sold in April 2017), Piceance (sold in March 2016) and Williston (sold in November 2015).

the basin.

| COMMODITY PRICE RISK | [added: | |]

Price changes at current global prices and levels of production affect Occidental’s pre-tax annual income by approximately [removed: $260] [added: $200] million for a $1 per barrel change in oil prices and [removed: $90] [added: $85] million for a $1 per barrel change in NGL prices.

If domestic natural gas prices varied by [removed: $0.50] [added: $0.10] per Mcf, it would have an estimated annual effect on Occidental’s pre-tax income of approximately [removed: $185] [added: $35] million.

| | | [added: | | | |] Maturity Periods | | | | | | | | | | | | | | | | | | | [added: | | | | | | | |]

| Source of Fair Value Assets/(Liabilities) *millions* | | [removed: 2020] | | | | [removed: 2021] [added: 2021 | | | | | | 2022] and [removed: 2022] [added: 2023] | | | | [removed: 2023] [added: | | 2024] and [removed: 2024] [added: 2025] | | | | [removed: 2025] [added: | | 2026] and thereafter | | | | [added: | |] Total | | |

| Prices actively quoted | | [added: | | | |] $ | [removed: (63] [added: (97)] | [removed: )] | | [added: | |] $ | — | | | [added: | |] $ | — | | | [added: | |] $ | — | | | [added: | |] $ | [removed: (63] [added: (97)] | [removed: )] |

| Prices provided by other external sources | | [removed: 36] | | | | [removed: 8] [added: (1)] | | | | [removed: 1] | | [added: 2] | | [removed: 1] | | | | [removed: 46] [added: —] | | | [added: | | | — | | | | | | 1 | | |]

| Total | | [added: | | | |] $ | [removed: (27] [added: (98)] | [removed: )] | | [added: | |] $ | [removed: 8] [added: 2] | | | [added: | |] $ | [removed: 1] [added: —] | | | [added: | |] $ | [removed: 1] [added: —] | | | [added: | |] $ | [removed: (17] [added: (96)] | [removed: )] |

| [removed: 50 |] OXY [removed: 2019] [added: 2020] FORM 10-K | [added: | | 53 | | |]

| [removed: ] [added: ] | [added: | |] QUANTITATIVE AND QUALITATIVE DISCLOSURES | | [added: | | | |]

| INTEREST RATE RISK | [added: | |]

The swaps have an initial term of 30 years with mandatory termination dates in September [removed: 2020] [added: 2021] through 2023 and a total notional amount of [removed: $1.475] [added: approximately $1.5] billion as of December 31, [removed: 2019.][added: 2020.]

As of December 31, [removed: 2019,] [added: 2020, Occidental had a net liability of approximately $1.4 billion based on] the fair value of the swaps of negative [removed: $1.4] [added: $1.8] billion [removed: net liability was offset by $104] [added: netted against $374] million in posted cash [removed: collateral, resulting in a net $1.3 billion liability.][added: collateral.]

A 25-basis point decrease in implied LIBOR rates over the term of the swaps would result in an additional liability of approximately [removed: $101] [added: $173] million on these swaps.

As of December 31, [removed: 2019,] [added: 2020,] Occidental had [removed: $4.5 billion of variable-rate] [added: variable rate] debt [added: with a notional value of $1.1 billion] outstanding.

A 25-basis point increase in LIBOR interest rates would increase gross interest expense approximately [removed: $11] [added: $3] million per year.

As of December 31, [removed: 2019,] [added: 2020,] Occidental had [removed: $34.3 billion of fixed-rate] [added: fixed rate] debt [added: with a fair value of $32.7 billion] outstanding.

A 25-basis point change in Treasury rates would change the fair value of the [removed: fixed-rate] [added: fixed rate] debt approximately [removed: $680] [added: $600] million.

The table below provides information about Occidental’s [added: long-term] debt obligations.

| *millions except percentages* | | [added: | | | |] U.S. [removed: Dollar Fixed-Rate] [added: Dollar Fixed-Rate] Debt | | | | [added: | |] U.S. [removed: Dollar Variable-Rate] [added: Dollar Variable-Rate] Debt | | | | [added: | |] Total (a) | | |

| 2024 | | [added: | | | |] 3,898 | | | | [added: | |] — | | | | [added: | |] 3,898 | | |

| Weighted-average interest rate | | [removed: 4.09] | | [removed: %] | | [removed: 3.15] [added: 4.78%] | | [removed: %] | | [removed: 3.98] | | [removed: %] [added: 1.73%] | [added: | | | | | 4.68% | | |]

[removed: | (a) | Excluded] [added: (a)Excluded] net unamortized debt premiums of [removed: $914] [added: $748] million and debt issuance cost of [removed: $125] [added: $156] million. [removed: |]

| FOREIGN CURRENCY RISK | [added: | |]

[removed: Additionally, all of Occidental’s consolidated] international oil and gas subsidiaries have the United States dollar as the functional currency.

As of December 31, [removed: 2019,] [added: 2020,] the fair value of foreign currency derivatives used in the marketing operations was immaterial.

| [added: 54 | | |] OXY [removed: 2019] [added: 2020] FORM 10-K | [removed: 51] | [added: |]

| CREDIT RISK | [added: | |]

The majority of Occidental’s counterparty credit risk is related to the physical delivery of energy commodities to its customers and [removed: their] [added: any] inability [added: of these customers] to meet their settlement commitments.

Occidental actively evaluates the creditworthiness of its counterparties, assigns appropriate credit [removed: limits,] [added: limits] and monitors credit exposures against those assigned limits.

Occidental also enters into [removed: future] [added: futures] contracts through regulated exchanges with select clearinghouses and brokers, which are subject to minimal credit risk as a significant portion of these transactions settle on a daily margin basis.

Certain [removed: over-the-counter] [added: OTC] derivative instruments contain credit-risk-contingent features, primarily tied to credit ratings for Occidental or its counterparties, which may affect the amount of collateral that each party would need to post.

The [removed: aggregate] fair value of derivative instruments with credit-risk-contingent [removed: features for which a] [added: features, that were] net [removed: liability position existed] [added: liabilities] at December 31, [removed: 2019] [added: 2020] was [removed: $787] [added: $104] million (net of [removed: $169] [added: $374] million [removed: collateral), primarily related to acquired interest-rate swaps,] [added: collateral)] and [removed: $68] [added: $787] million (net of [removed: $1] [added: $169] million [removed: of] collateral) [removed: existed] at December 31, [removed: 2018.][added: 2019.]

As of December 31, [removed: 2019,] [added: 2020,] the substantial majority of the credit exposures were with investment grade counterparties.

Occidental believes its exposure to credit-related losses at December 31, [removed: 2019,] [added: 2020,] was not material and losses associated with credit risk have been insignificant for all years presented.

| DERIVATIVE INSTRUMENTS HELD FOR NON-TRADING PURPOSES | [added: | |]

As of December 31, [removed: 2019,] [added: 2020,] Occidental had derivative instruments in place to reduce the price risk associated with future oil production of [removed: 350 thousand barrels per day.][added: 350Mbbl/d.]

As of December 31, [removed: 2019,] [added: 2020,] these derivative instruments were at a [removed: $68] [added: $42] million net derivative liability position.

The following table shows a sensitivity analysis based on both a 5% and 10% change in commodity prices and their effect on the net derivative liability position of [removed: $68] [added: $42] million at December 31, [removed: 2019:][added: 2020:]

| *millions except percentages* | | | | | | | | | | | [added: | | | | | | | | | |]

A $0.25 change in the Midland-to-Gulf-Coast oil spreads impacts total year operating cash flows by $65 million.

| | | | | | |

| --- | --- | --- | --- | --- | --- |

| | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- |

| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

Debt amounts represent principal payments by maturity date.

| 2021 | | | | | | $ | 371 | | | | | $ | 27 | | | | | $ | 398 | |

| 2022 | | | | | | 1,006 | | | | | | 1,052 | | | | | | 2,058 | | |

| 2023 | | | | | | 949 | | | | | | — | | | | | | 949 | | |

| 2025 | | | | | | 2,900 | | | | | | — | | | | | | 2,900 | | |

| Thereafter | | | | | | 24,964 | | | | | | 68 | | | | | | 25,032 | | |

| Total | | | | | | $ | 34,088 | | | | | $ | 1,147 | | | | | $ | 35,235 | |

| Fair Value | | | | | | $ | 32,678 | | | | | $ | 1,128 | | | | | $ | 33,806 | |

Additionally, all of Occidental’s consolidated

| | | | | | |

| --- | --- | --- | --- | --- | --- |

| | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- |

|  | | | QUANTITATIVE AND QUALITATIVE DISCLOSURES | | | | | |

| --- | --- | --- |

Credit-risk-contingent features are primarily related to interest rate swaps.

| --- | --- | --- |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| \+ 5% | | | | | | | | | $ | (67) | | | | | | | | $ | (25) | |

| \- 5% | | | | | | | | | $ | (26) | | | | | | | | $ | 16 | |

| \+ 10% | | | | | | | | | $ | (102) | | | | | | | | $ | (60) | |

| \-10% | | | | | | | | | $ | (15) | | | | | | | | $ | 27 | |

As of December 31, 2020, Occidental had derivative instruments in place to reduce the price risk associated with future gas production of 530 thousand MMbtu/d.

As of December 31, 2020, these derivative instruments were at a $25 million net derivative asset position.

The following table shows a sensitivity analysis based on both a 5% and 10% change in commodity prices and their effect on the net derivative asset position of $25 million at December 31, 2020:

| | | | | | | | | | | | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| *millions except percentages* | | | | | | | | | | | | | | | | | | | | |

| Percent change in commodity prices | | | | | | Resulting net fair value position-asset (liability) | | | | | | | | | Change to fair value from December 31, 2020 position | | | | | |

| \+ 5% | | | | | | | | | $ | 13 | | | | | | | | $ | (12) | |

| \- 5% | | | | | | | | | $ | 37 | | | | | | | | $ | 12 | |

| \+ 10% | | | | | | | | | $ | 1 | | | | | | | | $ | (24) | |

| \-10% | | | | | | | | | $ | 51 | | | | | | | | $ | 26 | |

| |

| --- |

These sensitivities are additionally dependent on marketing volumes and cannot be predicted reliably.

| | |

| --- | --- |

| | | |

CASH-FLOW HEDGES

Occidental’s marketing operations, from time to time, store natural gas purchased from third parties at Occidental’s North American leased storage facilities.

As of December 31, 2019, and 2018, Occidental had approximately 6 Bcf and 5 Bcf of natural gas held in storage, respectively, and had cash-flow hedges for the forecast sales, to be settled by physical delivery, of approximately 3 Bcf and 4 Bcf of stored natural gas, respectively.

In October 2019, $125 million of notional interest rate swaps were terminated.

In January and February 2020, Occidental extended September 2020 mandatory termination dates to September 2021 and September 2022 for swaps with a notional value of $500 million and $150 million, respectively.

Debt amounts represent principal payments by maturity date including amounts assumed from the Acquisition except WES debt.

| | | | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| 2020 | | $ | — | | | $ | — | | | $ | — | |

| 2021 | | 3,426 | | | | 2,956 | | | | 6,382 | | |

| 2022 | | 3,214 | | | | 1,500 | | | | 4,714 | | |

| 2023 | | 1,213 | | | | — | | | | 1,213 | | |

| Thereafter | | 21,126 | | | | 68 | | | | 21,194 | | |

| Total | | $ | 32,877 | | | $ | 4,524 | | | $ | 37,401 | |

| Fair Value | | $ | 34,260 | | | $ | 4,535 | | | $ | 38,795 | |

| | | | | | | | | | | |

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |

| \+ 5% | | | $ | (270 | ) | | | $ | (202 | ) |

| \- 5% | | | $ | 100 | | | | $ | 168 | |

| \+ 10% | | | $ | (525 | ) | | | $ | (457 | ) |

| \-10% | | | $ | 254 | | | | $ | 322 | |

For information regarding legal proceedings, see the information under [removed: the caption “Lawsuits,] [added: Lawsuits,] Claims, Commitments and [removed: Contingencies”] [added: Contingencies] in the [removed: MD&A] [added: Management’s Discussion and Analysis] section of this [removed: report] [added: Form 10-K] and in [Note 11 - Lawsuits, Claims, Commitments and [removed: Contingencies](#s9B5C9FD68DE054A8A11DD3C778EF36D0)] [added: Contingencies](#i7e353a5c21064401ae05ccfab320f1aa_211)] in the Notes to Consolidated Financial Statements.

On July 17, 2019, an Occidental subsidiary received a draft consent agreement and final order from the EPA regarding alleged violations under the CAA and various sections of the EPA’s Chemical Accident Prevention Provisions at the Convent, Louisiana facility.

The EPA’s order includes allegations associated with process reviews, procedures and recordkeeping.

The EPA’s revised draft settlement proposal includes a civil penalty of $121,457.

Occidental is currently negotiating a resolution of this matter with the EPA.

On September 13, 2019, an Occidental subsidiary received a draft consent agreement and final order from the EPA regarding alleged violations under the CAA and various sections of the EPA’s Chemical Accident Prevention Provisions at the Geismar, Louisiana facility.

The EPA’s order includes allegations associated with operating procedures, inspections, contractor reviews, medical protocols in the emergency response plan, administrative updates and four historical on-site incidents.

The EPA’s revised draft settlement proposal includes a civil penalty of $734,182.

| | |

| --- | --- |

[removed: Form 10-K][added: Form 10-K]

| ☑ | [added: | |] Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 | | [added: | | | |] ☐ | [added: | |] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 | | [added: | | | |]

| | [added: | |] For the fiscal year ended | [added: | |] December 31, [removed: 2019] [added: 2020] | | [added: | | | |] For the transition period from to | | [added: | | | |]

Commission File [removed: Number 1-9210][added: Number 1-9210]

| State or other jurisdiction of incorporation or organization | | [added: | | | |] Delaware | | | | [added: | | | | | | | |]

| I.R.S. Employer Identification No. | | [added: | | | |] 95-4035997 | | | | [added: | | | | | | | |]

| Address of principal executive offices | | [added: | | | |] 5 Greenway Plaza, Suite 110 | | [added: | | | |] Houston, | [added: | |] Texas | [added: | |]

| Zip Code | | [added: | | | |] 77046 | | | | [added: | | | | | | | |]

| Registrant’s telephone number, including area code | | [added: | | | |] (713) | [added: | |] 215-7000 | | | [added: | | | | | |]

| Title of Each Class | [added: | |] Trading Symbol | [added: | |] Name of Each Exchange on Which Registered | [added: | |]

| Common Stock, $0.20 par value | [added: | |] OXY | [added: | |] New York Stock Exchange | [added: | |]

| Large Accelerated Filer | [added: | |] ☑ | [added: | |] Accelerated Filer | [added: | |] ☐ | [added: | |] Emerging Growth Company | [added: | |] ☐ | [added: | |]

| Non-Accelerated Filer | [added: | |] ☐ | [added: | |] Smaller Reporting Company | [added: | |] ☐ | | | [added: | | | | | |]

The aggregate market value of the registrant’s Common Stock held by nonaffiliates of the registrant was approximately [removed: $45.0 billion,] [added: $17.0 billion] computed by reference to the closing price on the New York Stock Exchange [removed: composite tape] of [removed: $50.28] [added: $18.30] per share of Common Stock on June [removed: 28, 2019.][added: 30, 2020.]

At January 31, [removed: 2020,] [added: 2021,] there were [removed: 895,224,961] [added: 931,554,718] shares of Common Stock outstanding, par value $0.20 per share.

Portions of the registrant’s definitive Proxy Statement, relating to its [removed: 2020] [added: 2021] Annual Meeting of Stockholders, are incorporated by reference into Part III of this Form 10-K.

| TABLE OF CONTENTS | | [added: | | | |] PAGE | [added: | |]

| Part I | | | [added: | | | | | |]

| Items 1 and 2. | [removed: [Business] [added: | | [Business] and [removed: Properties](#sE982C883A65A5FF4B0692849D7A72D84)] [added: Properties](#i7e353a5c21064401ae05ccfab320f1aa_19)] | [removed: [2](#sE982C883A65A5FF4B0692849D7A72D84)] | [added: | [2](#i7e353a5c21064401ae05ccfab320f1aa_19) | | |]

| [added: GENERAL] | [removed: [General](#s7A810B6CDA4D5853ADE4563882BAC430)] | [removed: [2](#s7A810B6CDA4D5853ADE4563882BAC430)] |

| [added: AVAILABLE INFORMATION] | [removed: [Available Information](#s5567F66EEBF15383BFE3A3582B6D3001)] | [removed: [2](#s5567F66EEBF15383BFE3A3582B6D3001)] |

| [added: OIL AND GAS OPERATIONS] | [removed: [Oil and Gas Operations](#sF26BFF4EC59C5EDBB1E2F0A4ED2B9046)] | [removed: [3](#sF26BFF4EC59C5EDBB1E2F0A4ED2B9046)] |

| [added: CHEMICAL OPERATIONS] | [removed: [Chemical Operations](#sC84F75CB44A557D8A03A04DA66EF2466)] | [removed: [4](#sC84F75CB44A557D8A03A04DA66EF2466)] |

| [added: MIDSTREAM AND MARKETING OPERATIONS] | [removed: [Marketing and Midstream](#s2ECDC570AFEF52F5BA7C652575F50C82) Operations] | [removed: [5](#sC2C1049B17865E718B1FC6CA162E46E9)] |

| [added: ENVIRONMENTAL REGULATION] | [removed: [Environmental Regulation](#s9A592B410F94575DB13465BAD2AF79B9)] | [removed: [5](#s9A592B410F94575DB13465BAD2AF79B9)] |

| Item 1A. | [removed: [Risk Factors](#sB9D751338FD053D0B3FA93F9BD5EB251)] | [removed: [6](#sB9D751338FD053D0B3FA93F9BD5EB251)] | [added: [Risk Factors](#i7e353a5c21064401ae05ccfab320f1aa_49) | | | [7](#i7e353a5c21064401ae05ccfab320f1aa_49) | | |]

| Item 1B. | [removed: [Unresolved] [added: | | [Unresolved] Staff [removed: Comments](#sBAB342DB9EF05175BF00F473C9406CC3)] [added: Comments](#i7e353a5c21064401ae05ccfab320f1aa_52)] | [removed: [13](#sBAB342DB9EF05175BF00F473C9406CC3)] | [added: | [15](#i7e353a5c21064401ae05ccfab320f1aa_52) | | |]

| Item 3. | [removed: [Legal Proceedings](#s32CE8635693655C08335051EEED51BEF)] | [removed: [13](#s32CE8635693655C08335051EEED51BEF)] | [added: [Legal Proceedings](#i7e353a5c21064401ae05ccfab320f1aa_55) | | | [15](#i7e353a5c21064401ae05ccfab320f1aa_55) | | |]

| Item 4. | [removed: [Mine] [added: | | Mine] Safety [removed: Disclosures](#s35D2B9C22D4B5A7FB11CC3AF979F07A8)] [added: Disclosures] | [removed: [13](#s35D2B9C22D4B5A7FB11CC3AF979F07A8)] | [added: | [15](#i7e353a5c21064401ae05ccfab320f1aa_3374) | | |]

| | [removed: Information About Our [Executive Officers](#s373FCC1110D5520BB21515FB7F398270)] | [removed: [14](#s373FCC1110D5520BB21515FB7F398270)] | [added: [Information about our Executive Officers](#i7e353a5c21064401ae05ccfab320f1aa_61) | | | [15](#i7e353a5c21064401ae05ccfab320f1aa_61) | | |]

| Part II | | | [added: | | | | | |]

| Item 5. | [removed: [Market] [added: | | [Market] for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity [removed: Securities](#s95C63E66B32E5450BF8D95689BEA06A4)] [added: Securities](#i7e353a5c21064401ae05ccfab320f1aa_67)] | [removed: [15](#s95C63E66B32E5450BF8D95689BEA06A4)] | [added: | [16](#i7e353a5c21064401ae05ccfab320f1aa_67) | | |]

| Item 6. | [removed: [Selected] [added: | | [Selected] Financial [removed: Data](#s8A4C651F5BF15D169806FDB9154CEEDE)] [added: Data](#i7e353a5c21064401ae05ccfab320f1aa_70)] | [removed: [17](#s8A4C651F5BF15D169806FDB9154CEEDE)] | [added: | [18](#i7e353a5c21064401ae05ccfab320f1aa_70) | | |]

| Item 7. | [removed: [Management’s] [added: | | [Management’s] Discussion and Analysis of Financial Condition and Results of Operations [removed: (MD&A)](#sDB63156254175422A8756EC7065D90F5)] [added: (MD&A)](#i7e353a5c21064401ae05ccfab320f1aa_73)] | [removed: [18](#sDB63156254175422A8756EC7065D90F5)] | [added: | [19](#i7e353a5c21064401ae05ccfab320f1aa_73) | | |]

| Item 7A. | [removed: [Quantitative] [added: | | [Quantitative] and Qualitative Disclosures About Market [removed: Risk](#s26F4F0BC54965E83B51AB39821E20977)] [added: Risk](#i7e353a5c21064401ae05ccfab320f1aa_127)] | [removed: [50](#s26F4F0BC54965E83B51AB39821E20977)] | [added: | [53](#i7e353a5c21064401ae05ccfab320f1aa_127) | | |]

| Item 8. | [removed: [Financial] [added: | | [Financial] Statements and Supplementary [removed: Data](#sA6A13D6617165CFAB509652644A31F36)] [added: Data](#i7e353a5c21064401ae05ccfab320f1aa_130)] | [removed: [53](#sA6A13D6617165CFAB509652644A31F36)] | [added: | [56](#i7e353a5c21064401ae05ccfab320f1aa_130) | | |]

| Item 9. | [removed: [Changes] [added: | | [Changes] in and Disagreements with Accountants on Accounting and Financial [removed: Disclosure](#sAFAE6187B72E51FF91CFF1412565C438)] [added: Disclosure](#i7e353a5c21064401ae05ccfab320f1aa_259)] | [removed: [125](#sAFAE6187B72E51FF91CFF1412565C438)] | [added: | [135](#i7e353a5c21064401ae05ccfab320f1aa_259) | | |]

| Item 9A. | [removed: [Controls] [added: | | [Controls] and [removed: Procedures](#s2AB75D632AD0576AB25F3DCC2759AB65)] [added: Procedures](#i7e353a5c21064401ae05ccfab320f1aa_262)] | [removed: [125](#s2AB75D632AD0576AB25F3DCC2759AB65)] | [added: | [135](#i7e353a5c21064401ae05ccfab320f1aa_262) | | |]

| Item 9B. | [removed: [Other Information](#s2D68EB9C348E50E98BCC1D6C3C9895B3)] | [removed: [125](#s2D68EB9C348E50E98BCC1D6C3C9895B3)] | [added: [Other Information](#i7e353a5c21064401ae05ccfab320f1aa_271) | | | [135](#i7e353a5c21064401ae05ccfab320f1aa_271) | | |]

| Part III | | | [added: | | | | | |]

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| Warrants to Purchase Common Stock, $0.20 par value | | | OXY WS | | | New York Stock Exchange | | |

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Indicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report.

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| | | | Human Capital Resources | | | [2](#i7e353a5c21064401ae05ccfab320f1aa_25) | | |

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| | [Employees](#sE6C41FB6C8D05C8B92AAE02599ECD100) | [2](#sE6C41FB6C8D05C8B92AAE02599ECD100) |

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| EMPLOYEES |

Occidental employed approximately 14,400 people at December 31, 2019, which included approximately 1,000 employees who have been seconded to WES.

Occidental has 10,000 employees located in the United States.

Occidental employed approximately 10,400 people in the oil and gas and marketing and midstream segments and 3,000 people in the chemical segment.

An additional 1,000 people were employed in administrative and corporate functions.

Approximately 500 U.S.-based employees and 900 international-based employees are represented by labor unions.

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In connection with the Acquisition, Occidental agreed to sell to TOTAL S.A. (Total) all of the assets, liabilities, businesses and operations of Anadarko’s operations in Algeria, Ghana, Mozambique and South Africa (collectively, the Africa Assets).

Occidental completed the sale of Mozambique LNG assets for approximately $4.2 billion in September 2019.

The remaining Africa Assets are classified as held-for-sale and not considered part of Occidental’s ongoing international operations as of December 31, 2019.

In January 2020, Occidental completed the sale of South Africa assets to Total.

The closing of the sale of the remaining Africa Assets is conditioned on the receipt of required regulatory and government approvals, as well as other customary closing conditions.

Year-to-date sales volumes exclude Anadarko sales prior to the date of the Acquisition and all sales related to the Africa Assets.

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| International (c) | 400 | | 200 | | 2,572 | | 1,029 | | | 397 | | 202 | | 2,650 | | 1,041 | | | 408 | | 198 | | 2,626 | | 1,043 | | |

| Total | 1,970 | | 740 | | 6,700 | | 3,827 | | | 1,583 | | 486 | | 4,095 | | 2,752 | | | 1,515 | | 445 | | 3,831 | | 2,598 | | |

| Total | 211 | | 64 | | 530 | | 363 | | | 153 | | 36 | | 308 | | 240 | | | 139 | | 31 | | 296 | | 220 | | |

| (c) | Excluded reserves of 125 MMBOE and sales of 12 MMBOE related to the Africa Assets. |

Included in the marketing and midstream segment is Occidental’s equity method investment in WES.

From the date of the Acquisition to December 31, 2019, WES was a consolidated subsidiary in Occidental’s financial statements.

|  | RISK FACTORS | |

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| OXY [removed: 2019] [added: 2020] FORM 10-K | [removed: 13] | [added: | 15 | | |]

| [removed: ] [added: ] | [added: | |] OTHER INFORMATION | | [added: | | | |]

| INFORMATION ABOUT OUR EXECUTIVE OFFICERS | [added: | |]

The following table sets forth the executive officers of Occidental as of February [removed: 27, 2020:][added: 26, 2021:]

| [removed: |] Name Current Title | [added: | |] Age at February [removed: 27, 2020] [added: 26, 2021] | [added: | |] Positions with Occidental and Employment History | [added: | |]

| [removed: |] Marcia E. Backus Senior Vice [removed: President] [added: President, General Counsel and Chief Compliance Officer] | [removed: 65] | [added: | 66 | | |] Senior Vice President, General Counsel and Chief Compliance Officer since December 2016; Senior Vice President, General Counsel, Chief Compliance Officer and Corporate Secretary, 2015-2016; Vice President, General Counsel and Corporate Secretary, 2014-2015; Vice President and General Counsel, 2013-2014; Vinson & Elkins: Partner, 1990-2013. | [added: | |]

| [removed: |] Christopher O. Champion Vice [removed: President] [added: President, Chief Accounting Officer and Controller] | [removed: 50] | [added: | 51 | | |] Vice President, Chief Accounting Officer and Controller since August 2019; Anadarko Petroleum Corporation: Senior Vice President, Chief Accounting Officer and Controller, 2017-2019; Vice President, Chief Accounting Officer and Controller 2015-2017; KPMG LLP: Audit Partner, 2003-2015. | [added: | |]

| [removed: |] Kenneth Dillon Senior Vice President | [removed: 60] | [added: | 61 | | |] Senior Vice President since December 2016; President - International Oil and Gas Operations since June 2016; Senior Vice President - Operations and Major Projects, 2014-2016; Senior Vice President - Major Projects, 2012-2014. | [added: | |]

| [removed: |] Vicki Hollub President and Chief Executive Officer | [removed: 60] | [added: | 61 | | |] President, Chief Executive Officer and Director since April 2016; President, Chief Operating Officer and Director, 2015-2016; Senior Executive Vice President and President, Oxy Oil and Gas, 2015; Executive Vice President and President Oxy Oil and Gas - Americas, 2014-2015; Vice President and Executive Vice President, U.S. Operations, Oxy Oil and Gas, 2013-2014. | [added: | |]

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| Peter J. Bennett Vice President | | | 53 | | | Vice President since 2016 and President, Commercial Development U.S. Onshore Resources and Carbon Management since October 2020; President and General Manager of Permian Resources and the Rockies, 2020; Senior Vice President, Permian Resources, 2018-2020; President and General Manager - Permian Resources New Mexico, 2017-2018; Chief Transformation Officer, 2016-2017; Vice President Operations Planning & Portfolio Management, 2016; Vice President Operations Portfolio & Integrated Planning, 2015-2016; Vice President Operations Planning & Optimization, 2014-2015. | | |

| Richard A. Jackson Senior Vice President | | | 45 | | | Senior Vice President since November 2020; President Operations U.S. Onshore Resources and Carbon Management since October 2020; President and General Manager, EOR and Oxy Low Carbon Ventures, LLC, 2020; President Low Carbon Venture, 2019-2020; Senior Vice President, Operation Support, 2018-2019; Vice President, Investor Relations, 2017-2018; President and General Manager Permian Resources Delaware Basin, 2014-2017; Vice President of Drilling Americas, 2011-2014. | | |

| Robert L. Peterson Senior Vice President and Chief Financial Officer | | | 50 | | | Senior Vice President and Chief Financial Officer since April 2020; Senior Vice President, Permian EOR, 2019-2020; Vice President Permian Strategy, 2018-2019; Director Permian Business Area, 2017-2018; President OxyChem, 2014-2017. | | |

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| | Oscar K. Brown Senior Vice President | 49 | Senior Vice President - Strategy, Business Development and Supply Chain since November 2018; Senior Vice President - Corporate Strategy and Development, 2017 - 2018; Senior Vice President - Business Development, 2016 - 2017; Bank of America Merrill Lynch: Managing Director and co-head of Americas Energy Investment Banking, 2010 - 2016. |

| | Cedric W. Burgher Chief Financial Officer and Senior Vice President | 59 | Senior Vice President and Chief Financial Officer since May 2017; EOG Resources: Senior Vice President, Investor and Public Relations, 2014-2017; QR Energy L.P.: Chief Financial Officer, 2010-2014. |

| | Edward A. “Sandy” Lowe Executive Vice President | 68 | Executive Vice President since 2015; Group Chairman - Middle East since 2016; Senior Vice President, 2008-2015; President - Oxy Oil & Gas International, 2009-2016. |

| | Robert Palmer Senior Vice President | 64 | Senior Vice President since July 2017; President - Domestic Onshore Oil and Gas Operations, Oxy Oil and Gas since June 2019; Senior Vice President - Technical Support, 2017-2019; President and General Manager - Colombia, 2012-2017. |

| | Glenn M. Vangolen Senior Vice President | 61 | Senior Vice President, Business Support since February 2015; Executive Vice President, Business Support, 2014-2015; Senior Vice President - Oxy Oil & Gas Middle East, 2010-2014. |

| 14 | OXY 2019 FORM 10-K |

| MARKET INFORMATION, HOLDERS AND DIVIDEND POLICY | [added: | |]

Occidental’s common stock is listed and traded on the New York Stock Exchange under the ticker symbol “OXY.” The common stock was held by approximately [removed: 27,700] [added: 28,200] stockholders of record at January 31, [removed: 2020,] [added: 2021,] which does not include beneficial owners for whom Cede and Co. or others act as nominees.

The declaration of future dividends is a business decision made by the Board of Directors from time to [removed: time,] [added: time] and will depend on Occidental’s financial condition and other factors deemed relevant by the Board.

| SHARE REPURCHASE ACTIVITIES | [added: | |]

Occidental’s share repurchase activities for the year ended December 31, [removed: 2019,] [added: 2020,] were as follows:

| Period | | [added: | | | |] Total Number of Shares Purchased | | | | [removed: Average Price Paid per] [added: | | (a) | | | Average Price Paid per] Share | | | | | [added: | | | |] Total Number of Shares Purchased as Part of Publicly [removed: Announced Plans] [added: Announced Plans] or Programs | | | | [added: | | | | |] Maximum Number of Shares that May Yet Be Purchased Under [removed: the Plans] [added: the Plans] or Programs | | | | [added: | | | | |]

| [removed: Third] [added: Third] Quarter [removed: 2019] [added: 2020] | | [added: | | | |] — | | | | | [added: | | | | | | |] $ | — | | | | [added: | | | |] — | | | | | | | [added: | | | | | | | |]

[removed: | (a) | There were no] [added: (a)All 2020] purchases [added: were] from the trustee of Occidental’s defined contribution savings [removed: plan in the fourth quarter of 2019. |][added: plan.]

[removed: | (b) | Represents] [added: (b)Represents] the total number of shares remaining at year end under Occidental’s share repurchase program of 185 million shares. [removed: The program was initially announced in 2005. The program does not obligate Occidental to acquire any specific number of shares and may be discontinued at any time. |]

| [added: 16 | | |] OXY [removed: 2019] [added: 2020] FORM 10-K | [removed: 15] | [added: |]

| [removed: ] [added: ] | [added: | |] OTHER INFORMATION | | [added: | | | |]

| PERFORMANCE GRAPH | [added: | |]

The following graph compares the yearly percentage change in Occidental’s cumulative total return on its common stock with the cumulative total return of the Standard & Poor’s 500 Stock Index (S&P 500), which includes [removed: Occidental, and] [added: Occidental] with that of Occidental’s peer group over the five-year period ended December 31, [removed: 2019.][added: 2020.]

The graph assumes that $100 was invested at the beginning of the five-year period shown in the graph below in: (i) Occidental common stock, (ii) the stock of the companies in the S&P [removed: 500,] [added: 500] and (iii) each of the peer group companies’ common stock weighted by their relative market capitalization within the peer [removed: group,] [added: group] and that all dividends were reinvested.

Occidental’s peer group consists of [removed: Apache Corporation, Canadian Natural Resources Limited,] [added: BP p.l.c.,] Chevron Corporation, ConocoPhillips, [removed: Devon Energy Corporation,] EOG [removed: Resources] [added: Resources,] Inc., ExxonMobil Corporation, [removed: Hess Corporation, Marathon Oil Corporation,] [added: Royal Dutch Shell plc,] Total S.A. and Occidental.

[removed: ][added: ]

| Fiscal Year Ended December [removed: 31] [added: 31,] | [removed: 2014] | | [added: 2015] | | [removed: 2015] | | | | 2016 | | | | [added: | |] 2017 | | | | [added: | |] 2018 | | | | [removed: 2019] | | [added: 2019] | [added: | | | | | 2020 | | |]

| Occidental | [added: | |] $ | 100 | | | [added: | |] $ | [removed: 87] [added: 110] | | | [added: | |] $ | [removed: 96] [added: 119] | | | [added: | |] $ | 104 | | | [added: | |] $ | [removed: 91] [added: 75] | | | [added: | |] $ | [removed: 65] [added: 35] | |

| [removed: 16 |] OXY [removed: 2019] [added: 2020] FORM 10-K | [added: | | 17 | | |]

Occidental’s current annualized dividend rate is $0.04 per share.

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| First Quarter 2020 | | | | | | — | | | | | | | | | | | | $ | — | | | | | | | | — | | | | | | | | | | | | | | |

| Second Quarter 2020 | | | | | | 157,808 | | | | | | | | | | | | $ | 24.40 | | | | | | | | — | | | | | | | | | | | | | | |

| October 1 - 31, 2020 | | | | | | — | | | | | | | | | | | | $ | — | | | | | | | | — | | | | | | | | | | | | | | |

| November 1 - 30, 2020 | | | | | | 164,077 | | | | | | | | | | | | $ | 12.70 | | | | | | | | — | | | | | | | | | | | | | | |

| December 1 - 31, 2020 | | | | | | 313,698 | | | | | | | | | | | | $ | 17.65 | | | | | | | | — | | | | | | | | | | | | | | |

| Fourth Quarter 2020 | | | | | | 477,775 | | | | | | | | | | | | $ | 15.95 | | | | | | | | — | | | | | | | | | | | | | | |

| Total 2020 | | | | | | 635,583 | | | | | | | | | | | | $ | 18.05 | | | | | | | | — | | | | | | | | | 44,206,787 | | | (b) | | |

The program was initially announced in 2005.

The program does not obligate Occidental to acquire any specific number of shares and may be discontinued at any time.

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| Peer Group | | | $ | 100 | | | | | $ | 125 | | | | | $ | 139 | | | | | $ | 127 | | | | | $ | 136 | | | | | $ | 90 | |

| S&P 500 | | | $ | 100 | | | | | $ | 112 | | | | | $ | 136 | | | | | $ | 130 | | | | | $ | 171 | | | | | $ | 203 | |

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|  | | | OTHER INFORMATION | | | | | |

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| --- |

Occidental’s current annualized dividend rate of $3.16 per share has increased by over 500% since 2002.

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| First Quarter 2019 | | 2,690,000 | | | | | $ | 66.94 | | | | 2,690,000 | | | | | | |

| Second Quarter 2019 | | — | | | | | $ | — | | | | — | | | | | | |

| Fourth Quarter 2019 | | — | | (a) | | | $ | — | | | | — | | | | | | |

| Total 2019 | | 2,690,000 | | (a) | | | $ | 66.94 | | | | 2,690,000 | | | | 44,206,787 | | (b) |

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| Peer Group | $ | 100 | | | $ | 83 | | | $ | 104 | | | $ | 107 | | | $ | 95 | | | $ | 103 | |

| S&P 500 | $ | 100 | | | $ | 101 | | | $ | 113 | | | $ | 138 | | | $ | 132 | | | $ | 174 | |

| *millions, except per-share amounts* | [removed: 2019 (a)] | | [added: 2020] | | [added: | | | | 2019 (a) | | | | | |] 2018 | | | | [removed: 2017] | | [added: 2017] | | [removed: 2016] | | | | [removed: 2015] [added: 2016] | | |

| RESULTS OF OPERATIONS [removed: (b,c)] [added: (b)] | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Net sales | [added: | |] $ | [removed: 20,393] [added: 17,809] | | | [added: | |] $ | [removed: 17,824] [added: 20,911] | | | [added: | |] $ | [removed: 12,508] [added: 17,824] | | | [added: | |] $ | [removed: 10,090] [added: 12,508] | | | [added: | |] $ | [removed: 12,480] [added: 10,090] | |

| Income (loss) from continuing operations | [added: | |] $ | [removed: (507] [added: (13,533)] | [removed: )] | | [added: | |] $ | [removed: 4,131] [added: (507)] | | | [added: | |] $ | [removed: 1,311] [added: 4,131] | | | [added: | |] $ | [removed: (1,002] [added: 1,311] | [removed: )] | | [added: | |] $ | [removed: (8,146] [added: (1,002)] | [removed: )] |

| Net income (loss) attributable to common stockholders | [added: | |] $ | [removed: (985] [added: (15,675)] | [removed: )] | | [added: | |] $ | [removed: 4,131] [added: (985)] | | | [added: | |] $ | [removed: 1,311] [added: 4,131] | | | [added: | |] $ | [removed: (574] [added: 1,311] | [removed: )] | | [added: | |] $ | [removed: (7,829] [added: (574)] | [removed: )] |

| Net income (loss) from continuing operations attributable to common stockholders - basic per common share | [added: | |] $ | [removed: (1.20] [added: (15.65)] | [removed: )] | | [added: | |] $ | [removed: 5.40] [added: (1.20)] | | | [added: | |] $ | [removed: 1.71] [added: 5.40] | | | [added: | |] $ | [removed: (1.31] [added: 1.71] | [removed: )] | | [added: | |] $ | [removed: (10.64] [added: (1.31)] | [removed: )] |

| Net income (loss) attributable to common stockholders - basic per common share | [added: | |] $ | [removed: (1.22] [added: (17.06)] | [removed: )] | | [added: | |] $ | [removed: 5.40] [added: (1.22)] | | | [added: | |] $ | [removed: 1.71] [added: 5.40] | | | [added: | |] $ | [removed: (0.75] [added: 1.71] | [removed: )] | | [added: | |] $ | [removed: (10.23] [added: (0.75)] | [removed: )] |

| Net income (loss) attributable to common stockholders - diluted per common share | [added: | |] $ | [removed: (1.22] [added: (17.06)] | [removed: )] | | [added: | |] $ | [removed: 5.39] [added: (1.22)] | | | [added: | |] $ | [removed: 1.70] [added: 5.39] | | | [added: | |] $ | [removed: (0.75] [added: 1.70] | [removed: )] | | [added: | |] $ | [removed: (10.23] [added: (0.75)] | [removed: )] |

| FINANCIAL POSITION (b) | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Long-term debt, net | [added: | |] $ | [removed: 38,537] [added: 35,745] | | | [added: | |] $ | [removed: 10,201] [added: 38,537] | | | [added: | |] $ | [removed: 9,328] [added: 10,201] | | | [added: | |] $ | [removed: 9,819] [added: 9,328] | | | [added: | |] $ | [removed: 6,855] [added: 9,819] | |

| Stockholders’ equity | [added: | |] $ | [removed: 34,232] [added: 18,573] | | | [added: | |] $ | [removed: 21,330] [added: 34,232] | | | [added: | |] $ | [removed: 20,572] [added: 21,330] | | | [added: | |] $ | [removed: 21,497] [added: 20,572] | | | [added: | |] $ | [removed: 24,350] [added: 21,497] | |

| MARKET CAPITALIZATION [removed: (d)] [added: (c)] | [added: | |] $ | [removed: 36,846] [added: 16,124] | | | [added: | |] $ | [removed: 45,998] [added: 36,846] | | | [added: | |] $ | [removed: 56,357] [added: 45,998] | | | [added: | |] $ | [removed: 54,437] [added: 56,357] | | | [added: | |] $ | [removed: 51,632] [added: 54,437] | |

| CASH FLOW FROM CONTINUING OPERATIONS [removed: (b,c)] | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Operating: | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Cash flow from continuing operations | [added: | |] $ | [removed: 7,203] [added: 3,842] | | | [added: | |] $ | [removed: 7,669] [added: 7,336] | | | [added: | |] $ | [removed: 4,861] [added: 7,669] | | | [added: | |] $ | [removed: 2,520] [added: 4,861] | | | [added: | |] $ | [removed: 3,251] [added: 2,520] | |

| Investing: | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Capital expenditures | [added: | |] $ | [removed: (6,355] [added: (2,535)] | [removed: )] | | [added: | |] $ | [removed: (4,975] [added: (6,367)] | [removed: )] | | [added: | |] $ | [removed: (3,599] [added: (4,975)] | [removed: )] | | [added: | |] $ | [removed: (2,717] [added: (3,599)] | [removed: )] | | [added: | |] $ | [removed: (5,272] [added: (2,717)] | [removed: )] |

| Payments for purchases of assets and businesses | [added: | |] $ | [removed: (28,088] [added: (114)] | [removed: )] | | [added: | |] $ | [removed: (928] [added: (28,088)] | [removed: )] | | [added: | |] $ | [removed: (1,064] [added: (928)] | [removed: )] | | [added: | |] $ | [removed: (2,044] [added: (1,064)] | [removed: )] | | [added: | |] $ | [removed: (109] [added: (2,044)] | [removed: )] |

| Sales of assets, net | [added: | |] $ | [removed: 6,143] [added: 2,281] | | | [added: | |] $ | [removed: 2,824] [added: 6,143] | | | [added: | |] $ | [removed: 1,403] [added: 2,824] | | | [added: | |] $ | [removed: 302] [added: 1,403] | | | [added: | |] $ | [removed: 819] [added: 302] | |

| Cash provided (used) by all other investing activities, net | [added: | |] $ | [removed: (573] [added: (410)] | [removed: )] | | [added: | |] $ | [removed: (127] [added: (540)] | [removed: )] | | [added: | |] $ | [removed: 181] [added: (127)] | | | [added: | |] $ | [removed: (284] [added: 181] | [removed: )] | | [added: | |] $ | [removed: (858] [added: (284)] | [removed: )] |

| Financing: | | | | | | | | | | | | | | | | | | | | [added: | | | | | | | | | |]

| Cash dividends paid | [added: | |] $ | [removed: (2,624] [added: (1,845)] | [removed: )] | | [added: | |] $ | [removed: (2,374] [added: (2,624)] | [removed: )] | | [added: | |] $ | [removed: (2,346] [added: (2,374)] | [removed: )] | | [added: | |] $ | [removed: (2,309] [added: (2,346)] | [removed: )] | | [added: | |] $ | [removed: (2,264] [added: (2,309)] | [removed: )] |

| Purchases of treasury stock | [added: | |] $ | [removed: (237] [added: (12)] | [removed: )] | | [added: | |] $ | [removed: (1,248] [added: (237)] | [removed: )] | | [added: | |] $ | [removed: (25] [added: (1,248)] | [removed: )] | | [added: | |] $ | [removed: (22] [added: (25)] | [removed: )] | | [added: | |] $ | [removed: (593] [added: (22)] | [removed: )] |

| Proceeds from long-term debt, net - Occidental | [added: | |] $ | [removed: 21,557] [added: 6,936] | | | [added: | |] $ | [removed: 978] [added: 21,557] | | | [added: | |] $ | [removed: —] [added: 978] | | | [added: | |] $ | [removed: 4,203] [added: —] | | | [added: | |] $ | [removed: 1,478] [added: 4,203] | |

| Payment of long-term debt, net - Occidental | [added: | |] $ | [removed: (6,959] [added: (8,916)] | [removed: )] | | [added: | |] $ | [removed: (500] [added: (6,959)] | [removed: )] | | [added: | |] $ | [removed: —] [added: (500)] | | | [added: | |] $ | [removed: (2,710] [added: —] | [removed: )] | | [added: | |] $ | [removed: —] [added: (2,710)] | |

| Proceeds from issuance of common and preferred stock | [added: | |] $ | [removed: 10,028] [added: 134] | | | [added: | |] $ | [removed: 33] [added: 10,028] | | | [added: | |] $ | [removed: 28] [added: 33] | | | [added: | |] $ | [removed: 36] [added: 28] | | | [added: | |] $ | [removed: 37] [added: 36] | |

| Cash provided (used) by all other financing activities, net | [added: | |] $ | [removed: 431] [added: (805)] | | | [added: | |] $ | [removed: 9] [added: 431] | | | [added: | |] $ | [removed: —] [added: 9] | | | [added: | |] $ | — | | | [added: | |] $ | — | |

| DIVIDENDS PER COMMON SHARE | [added: | |] $ | [removed: 3.14] [added: 0.82] | | | [added: | |] $ | [removed: 3.10] [added: 3.14] | | | [added: | |] $ | [removed: 3.06] [added: 3.10] | | | [added: | |] $ | [removed: 3.02] [added: 3.06] | | | [added: | |] $ | [removed: 2.97] [added: 3.02] | |

| WEIGHTED-AVERAGE BASIC SHARES OUTSTANDING | [removed: 810] | | [added: 919] | | [added: | | | | 810 | | | | | |] 762 | | | | [removed: 765] | | [added: 765] | | [removed: 764] | | | | [removed: 766] [added: 764] | | |

[removed: | (a) |] Summary [removed: financial information included the impact of the Acquisition, see Note 3 - The Acquisition in the Notes to Consolidated Financial Statements. Summary] results of operations from the date of the Acquisition to December 31, 2019 included the results of WES, a previously consolidated subsidiary. [removed: The summary results of operations also included a loss as a result of no longer consolidating WES of approximately $1 billion. See Note 1 - Summary of Significant Accounting Policies in the Notes to Consolidated Financial Statements. |]

[removed: | (b) | See] [added: (b)See] the MD&A section of this report and the Notes to Consolidated Financial Statements for information regarding acquisitions and dispositions, discontinued operations and other charges affecting comparability. [removed: |]

[removed: | (d) | Market] [added: (c)Market] capitalization is calculated by multiplying the year-end total shares of common stock [removed: outstanding, net of] [added: issued, less] shares held as treasury stock, by the year-end closing stock price. [removed: |]

| [added: 18 | | |] OXY [removed: 2019] [added: 2020] FORM 10-K | [removed: 17] | [added: |]

| [removed: ] [added: ] | [added: | |] MANAGEMENT’S DISCUSSION AND ANALYSIS | | [added: | | | |]

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| Total assets | | | $ | 80,064 | | | | | $ | 107,190 | | | | | $ | 42,159 | | | | | $ | 42,026 | | | | | $ | 43,109 | |

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(a)Summary financial information included the impact of the Acquisition, see Note 3 - The Acquisition in the Notes to Consolidated Financial Statements in Part II Item 8 of this Form 10-K.

See Note 1 - Summary of Significant Accounting Policies in the Notes to Consolidated Financial Statements in Part II Item 8 of this Form 10-K.

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| Total assets | $ | 109,330 | | | $ | 43,854 | | | $ | 42,026 | | | $ | 43,109 | | | $ | 43,409 | |

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| (c) | The 2019 results include results of operations and cash flows related to the Acquisition for the period beginning August 8, 2019 through December 31, 2019. |

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| INDEX TO CONSOLIDATED FINANCIAL STATEMENTS | [added: | |] PAGE | [added: | |]

| [Report of Independent Registered Public Accounting Firm on Consolidated Financial [removed: Statements](#s01883868263C58A3924ACF2EF0F7842B)] [added: Statements](#i7e353a5c21064401ae05ccfab320f1aa_133)] | [removed: [54](#s01883868263C58A3924ACF2EF0F7842B)] | [added: | [57](#i7e353a5c21064401ae05ccfab320f1aa_133) | | |]