Houston-based Occidental Petroleum said last week that production in first quarter was 576,000 boed – near the highend of guidance of 551,000 to 571,000 boed. Oxy attributed Q1 production to “better-than-expected performance from wells not considered top performers.” Vicki Hollub, president and CEO, said May 8, “Our Delaware teams are achieving impressive performance results by applying the same proprietary subsurface workflows that have generated remarkable success in our primary benches.”
Oxy is forecasting Q2 production at about 1,252,000 boed – including about 583,000 boed from Permian Basin. Capital spending in Q1 was $1.7 billion with slightly more expected in Q2. Fullyear capex is $6.4 billion to $6.6 billion weighted to first half to set the stage for rising output in second half. “You’ll see that capital drop, and you’ll see the production increase,” Richard Jackson, president-U.S. onshore resources, added.