Occidental Petroleum Corporation

Occidental Petroleum Corporation, also known as Oxy, is a leading multinational energy company headquartered in the United States. Founded in 1920 in Los Angeles, California, it has grown significantly to become one of the major players in the oil and gas industry.

Early History and Expansion

The pivotal moment in Occidental's history came in 1957 when Armand Hammer acquired a controlling interest in the company and became its President and CEO. Under Hammer's leadership, Oxy expanded its operations internationally during the 1960s. It established a presence in Peru, Venezuela, Bolivia, Trinidad, and the United Kingdom.

Soviet Union Deal

One of the notable agreements during Hammer's tenure was the phosphate-for-natural-gas deal with the Soviet Union in 1973. Under this agreement, Occidental exported phosphate mined in Florida in exchange for natural gas from the Soviet Union, converting it into ammonia, potash, and urea through Hammer's firms.

Challenges and Developments

In August 1973, Libya nationalized 51% of Occidental's assets. Despite this, Oxy continued its operations and negotiated a 35-year oil exploration agreement with Libya in 1974. The agreement stipulated that 81% of the oil extracted would go to the Libyan government, with Occidental retaining 19%.

Notable Acquisitions

Occidental has been involved in several significant acquisitions over the years. In 1968, the company acquired Hooker Chemical Company, a manufacturer of thermoset plastic phenolic resins. In 2019, Occidental made headlines with its acquisition of Anadarko Petroleum, a move that further solidified its position in the energy sector. This acquisition was partly financed by Berkshire Hathaway.

Leadership

Vicki Hollub has been the President and CEO of Occidental Petroleum since April 2016. She is noted for being the first woman to lead a major American oil company, guiding Occidental through significant strategic decisions, including the acquisition of Anadarko Petroleum.

Environmental Engagement

Occidental has been actively involved in addressing environmental concerns, including cases related to environmental responsibility and sustainability, especially following its acquisition of Anadarko.