Forecast - Production | Capital Markets | Capital Expenditure | Impairment | Capex Decrease | Capital Expenditure - 2020
Oxy Cut Another $100 Million From 2020 Capex; Impairment
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According to a recent SEC filing, Occidental Petroleum (Oxy) has updated its 2020 capital plans and expected production (the company first announced its plans in November 2019).
Annual production is expected to grow 2% in 2020 (to ~1,373 MBOEPD) with the full-year capital budget of $5.2 - $5.4 billion (down $100 million from previous estimates).
Source: Shale Experts E&P Assets Database
Pro forma capital spending excluding discontinued operations and WES for the full-year 2019 is expected to be $8.2 billion, $400 million below Occidental’s 2019 pro forma capital budget of $8.6 billion.
November 2019 Capex Guidance.
Source: Oxy November 2019 Presentation, via Shale Experts Presentation Manager
Impairment
The company also said its expects to take a $1.65 billion impairment charge in Q4 2019 related to the sell down of its stake in Western Midstream Partners and other costs from its Anadarko Petroleum acquisition.
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