Occidental plans sale of Middle East oil stake

Restructuring plans are aimed at lifting its valuation

Occidental also said it was considering strategic alternatives for some oil and gas assets in the US Rocky Mountain region. Photograph: Reuters

Occidental also said it was considering strategic alternatives for some oil and gas assets in the US Rocky Mountain region. Photograph: Reuters

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Occidental Petroleum plans to sell a minority stake in its Middle East and North African operations, part of a restructuring meant to lift its valuation.

The company also said it was considering strategic alternatives for some oil and gas assets in the US Rocky Mountain region, which have lower returns. It did not specify what options.

Occidental has spoken openly since April about striking a deal to reduce its exposure to the politically volatile Middle East and North Africa, part of a broader plan to split up the fourth-largest US oil company.

“Our goal is to become a somewhat smaller company with more manageable exposure to political risk,” chief executive Stephen Chazen said.

Shares of Occidental fell 1.4 per cent after the announcement as some investors hoped for more details about the restructuring. – (Reuters)

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