Three additional Permian Basin operators who produce hundreds of thousands of barrels of crude oil have announced multi-billion-dollar profits for 2022Q2. Houston-based Occidental Petroleum reported $3.6 billion in profits for the quarter that ended June 30 compared to a $97 million loss in 2021Q2. Oxy produces about 1.1 million boed globally, including 493,000 boed from Permian Basin.
Irving-based Pioneer Natural Resources said it earned $2.4 billion in 2Q compared to $380 million in 2021Q2. Pioneer expects production to reach 623,000 to 648,000 boed in 2022 compared to 617,332 boed in 2021. And Midland-based Diamondback Energy reported 2Q profits of $1.4 billion. Those announcements followed record profit announcements for 2Q by Chevron and ExxonMobil.
Houston Chronicle reported, “The stellar earnings reports come as Europe and its allies are working to replace oil and gas imports from Russia in retaliation for Moscow’s invasion of Ukraine. That has put a renewed focus on producers in the U.S. to increase output in hopes of both meeting the world’s energy needs while bringing down oil prices. Investors in oil and gas companies, however, have been pushing for capital discipline and increased returns.” Oxy CEO Vicki Hollub told the Chronicle, “Our ability to consistently deliver outstanding operational results combined with our focus to improve our balance sheet has positioned us to increase the amount of capital returned to shareholders.”