SEGMENTS

6 Months Ended

Jun. 30, 2024

Segment Reporting [Abstract]

SEGMENTS

NOTE 11 - SEGMENTS

Occidental conducts its operations through three segments: (1) oil and gas; (2) chemical; and (3) midstream and marketing. Income taxes, interest income, interest expense, environmental remediation expenses and unallocated corporate expenses are included under corporate and eliminations. Intersegment sales eliminate upon consolidation and are generally made at prices approximating those that the selling entity would be able to obtain in third-party transactions. The following table presents Occidental’s industry segments:

millions	Oil and gas (a)		Chemical		Midstream and marketing (b)		Corporate and eliminations (c)		Total
Three months ended June 30, 2024
Net sales	$	5,469	$	1,274	$	282	$	(208)	$	6,817
Income (loss) before income taxes	$	1,639	$	296	$	116	$	(416)	$	1,635
Income tax expense	—		—		—		(465)		(465)
Income (loss) from continuing operations	$	1,639	$	296	$	116	$	(881)	$	1,170
Three months ended June 30, 2023
Net sales	$	4,941	$	1,375	$	616	$	(230)	$	6,702
Income (loss) before income taxes	$	1,059	$	436	$	(30)	$	(138)	$	1,327
Income tax expense	—		—		—		(467)		(467)
Income (loss) from continuing operations	$	1,059	$	436	$	(30)	$	(605)	$	860
millions	Oil and gas (a)		Chemical		Midstream and marketing (b)		Corporate and eliminations (c)		Total
Six months ended June 30, 2024
Net sales	$	10,384	$	2,460	$	381	$	(433)	$	12,792
Income (loss) before income taxes	$	2,877	$	550	$	83	$	(865)	$	2,645
Income tax expense	—		—		—		(769)		(769)
Income (loss) from continuing operations	$	2,877	$	550	$	83	$	(1,634)	$	1,876
Six months ended June 30, 2023
Net sales	$	10,266	$	2,780	$	1,367	$	(486)	$	13,927
Income (loss) before income taxes	$	2,699	$	908	$	(28)	$	(518)	$	3,061
Income tax expense	—		—		—		(938)		(938)
Income (loss) from continuing operations	$	2,699	$	908	$	(28)	$	(1,456)	$	2,123

(a)    The three and six months ended June 30, 2024 included a $10 million and $54 million international legal settlement provision, respectively. The three and six months ended June 30, 2023 included a $180 million impairment related to undeveloped acreage in the northern non-core area of the Powder River Basin and a $29 million impairment related to an equity method investment in the Black Butte Coal Company. The six months ended June 30, 2023 included a $26 million litigation settlement gain.

(b)    The three and six months ended June 30, 2024 included $35 million and $157 million of income from equity investments respectively, related to Occidental's share of WES's gains on asset divestitures. The three and six months ended June 30, 2024 also included $5 million of net derivative gains and $86 million of net derivative losses, respectively. The three and six months ended June 30, 2023 included $48 million and $40 million of net derivative gains, respectively.

(c)    The three months ended June 30, 2024 included $29 million of acquisition-related costs made up of $15 million of financing costs and $14 million of transaction costs relating to the CrownRock Acquisition. The six months ended June 30, 2024 included $85 million of acquisition-related costs made up of $59 million for financing costs and $26 million of transaction costs relating to the CrownRock Acquisition. The three and six months ended June 30, 2024 included a $20 million income tax expense related to the Algeria contract renewal. The three and six months ended June 30, 2023 included a $68 million deferred tax charge related to the Algeria contract renewal and a $260 million gain related to a Maxus environmental reserve adjustment