OCCIDENTAL PETROLEUM CORPORATION

Fourth Quarter 2015 Earnings Conference CallFebruary 4, 2016

2

Cautionary Statements

Forward-Looking Statements

Portions of this presentation contain forward-looking statements and involve risks and uncertainties that could materially affect expected results of operations, liquidity, cash flows and business prospects. Actual results may differ from anticipated results, sometimes materially, and reported results should not be considered an indication of future performance. Factors that could cause results to differ include, but are not limited to: global commodity pricing fluctuations; supply and demand considerations for Occidental's products; higher-than-expected costs; the regulatory approval environment; reorganization or restructuring of Occidental's operations, not successfully completing, or any material delay of, field developments, expansion projects, capital expenditures, efficiency projects, acquisitions or dispositions; uncertainties about the estimated quantities of oil and natural gas reserves; lower-than-expected production from development projects or acquisitions; exploration risks; general economic slowdowns domestically or internationally; political conditions and events; liability under environmental regulations including remedial actions; litigation; disruption or interruption of production or manufacturing or facility damage due to accidents, chemical releases, labor unrest, weather, natural disasters, cyber attacks or insurgent activity; failure of risk management; changes in law or regulations; or changes in tax rates. Words such as “estimate,” “project,” “predict,” “will,” “would,” “should,” “could,” “may,” “might,” “anticipate,” “plan,” “intend,” “believe,” “expect,” “aim,” “goal,” “target,” “objective,” “likely” or similar expressions that convey the prospective nature of events or outcomes generally indicate forward-looking statements. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this presentation. Unless legally required, Occidental does not undertake any obligation to update any forward looking statements, as a result of new information, future events or otherwise. Material risks that may affect Occidental’s results of operations and financial position appear in Part I, Item 1A “Risk Factors” of the 2014 Form 10-K.

Use of non-GAAP Financial Information

This presentation includes non-GAAP financial measures. You can find the reconciliations to comparable GAAP financial measures on the “Investors” section of our website.

Permian Resources growth exceeded our expectations as we reached our 2016 growth target of 120,000 BOED a year early. We increased production by 35,000 BOED, a 47% year over year growth rate.

The Al Hosn gas project reached full production capacity and delivered 35,000 BOED of annual production growth.

In total, we delivered 81,000 BOED of production growth, a ~14% increase from 2014 levels.

We reduced production costs by ~14%, corporate overhead by ~16% and average drilling and completion costs in Permian Resources by ~33%.

3

Fourth Quarter 2015Execution Of Our Growth Strategy

4

Fourth Quarter 2015Production Growth

* Ongoing operations; excludes Williston & Hugoton production volumes

362

416

2014 2015

Total Oil Production*(MBOD)

Total Company Production*(MBOED)

571

652

2014 2015

Closed the sale of Williston Basin properties

Progressed our efforts to exit from non-core operations in Middle East

Reached understanding on terms of payment with the Republic of Ecuador for ~$1 billion.

Continued progress on construction of the OxyChem Ethylene cracker on schedule and on budget for start-up in early 2017

Exited 2015 with ~$4.4 billion of cash

5

Fourth Quarter 2015Execution Of Our Strategic Initiatives

Williston Sale

16 MBOED – FY15

$0.6 bn pre-tax proceeds

Libya

Bahrain

Iraq

Yemen

MENA Exits Ongoing

Core Assets

60 MBOED – 4Q15

Fourth Quarter 2015Strategy

6

Overall strategy is to invest in projects that generate long-term value, achieving returns well above our cost of capital while maintaining a conservative balance sheet

• Our assets in Permian EOR, Colombia, ISND in Qatar, Dolphin, Al Hosn and OxyChem provide significant earnings, require relatively low maintenance capital and provide free cash flow in this low-price environment.

• Permian Resources provides shorter-cycle production growth, establishing base production that supports our cash flow priorities.

Fourth Quarter 2015Cash Flow Priorities

1. Base/Maintenance Capital

2. Dividends

3. Growth Capital

4. Share Repurchase

5. Acquisitions

7

• Expect continued improvement in cost structure

– Strategic Initiatives

– Lower workovers

– Lower downhole maintenance

– Lower energy costs

8

Fourth Quarter 2015Improved Cost Structure

$13.50

$11.57

2014 2015

Production Costs($/boe)

Overhead (SG&A)($ millions)

$1,503

$1,270

2014 2015

Fourth Quarter 20152016 Capital Outlook

Maintenance Sustaining Growth

2015 2016E

$5.6

$2.8 - $3.0

9

2016 Capital Budget($ in bln)

• Carefully reduce activity levels without harming the strong progress on growth prospects

• Fund only those opportunities that exceed hurdle rates of return

• 2016 plan approximates expected cash from operations at around current prices

• Majority of the program will be allocated to the Permian Basin and to completing long-term projects in Chemicals and Midstream

• In Permian Resources, drilling activity focused in the Midland and Delaware near existing infrastructure, to achieve higher returns

• In Permian EOR, a modest increase for building out facilities and systems to handle and inject greater quantities of CO2, with 1-2 year production response time

• Multiple long-term investments to drive cash flow and earnings growth

– Al Hosn

– Ethylene cracker JV

– Ingleside terminal

– Gas processing

• Capital spending will continue to decline and cash flows and earnings expected to grow as projects start-up.

• Increased flexibility on capital budget in 2016 and 2017

Committed Project Capital($ in millions)

10

Fourth Quarter 2015Committed Project Capital Declining

$1,300

$800

$500

$100

2014 2015 2016E 2017E

Fourth Quarter 20152016 Capital Outlook

Maintenance Sustaining Growth

2015 2016E

$4.4

~$2.0

11

Oil & Gas Capital Budget($ in bln)

Maintenance Sustaining Growth

Chemicals and Midstream Capital Budget($ in bln)

$1.2

~$1.0

2015 2016E

~560570 – 585

Core Assets2015

Other DomesticDeclined

PermianResources

Growth

Al HosnFull Capacity

Block 62 OmanStart-up

2016 CoreProduction

Outlook

• Expect total production from core assets to grow 2% - 4% over 2015 levels– Core assets exclude Bahrain, Libya, Iraq, Yemen, Williston and Piceance Basins

– Full year contribution from Al Hosn and start-up of Block 62 in Oman should add ~35,000 BOED of production

– Modest increase in Permian Resources and flat Permian EOR

2 – 4% Core AssetsProduction

Growth in 2016

Company-wide Oil & Gas Production from Core Assets (MBOED)

12

Fourth Quarter 20152016 Production Outlook

• Continue to build on our strategy to focus on our existing strong Permian position

– In total Permian business, replaced 115% of production through our drilling program

– In Permian Resources segment, replaced 214% of production through the drilling program, excluding net sales and revisions

• 2015 Oil and Gas drilling program added 149 MMBOE barrels of proved reserves

• FY 2015 proved reserves totaled 2.2 BBOE

– 79% proved developed, up from 71% proved developed at YE 2014

– 74% liquids of total proved reserves

13

Fourth Quarter 2015Reserves

• Total company capital expenditures 2015 were $5.6 billion, a 36% reduction from 2014

• Oil and Gas spent $4.4 billion, with Permian Resources expenditures comprising 50% of the total, and the remaining $1.2 billion split between Chemicals and Midstream.

14

Fourth Quarter 2015Capital Program

2014 2015

$8.7 bn

Capital Program

Midstream & Chemicals

Permian Resources

Remaining Oil & Gas

Permian Resources

Remaining Oil & Gas

Midstream & Chemicals

$5.6 bn

15

Fourth Quarter 20152016 Capital Breakdown – Oil & Gas

• Domestic− Overall spending levels in the

Permian will decline

• International− Spending levels in MENA will

decline by ~56% mostly from the Al Hosn gas project and the exit from several countries

2016 Capital Budget$2.8 - $3.0 billion

Chemicals18% Permian Resources

21%

Permian EOR17%

International24%

Exploration & Other4%

Midstream16%

16

Fourth Quarter 20152016 Capital Breakdown – Chemicals & Midstream

• Includes $500 million of committed capital for projects to be completed by YE 2016

• Chemicals− Includes the Ingleside Ethylene joint

venture project that we expect to complete late 2016 and be commissioned in 1Q 2017

− We expect OxyChem to be free cash flow positive through the construction of this project.

• U.S. Midstream− Decreasing by ~$100 million from 2015

levels, driven mainly by the completion of gas processing plants in the Delaware Basin and Ingleside Terminal

Chemicals18% Permian Resources

21%

Permian EOR17%

International24%

Exploration & Other3%

Midstream16%

2016 Capital Budget$2.8 - $3.0 billion

Chemicals18% Permian Resources

21%

Permian EOR17%

International24%

Exploration & Other4%

Midstream16%

• Domestic oil production (Bbl/d)

• Total company production (BOED)

• Core results**

• Core diluted EPS**

• 4Q15 CFFO before Working Capital

• 4Q15 Capital Expenditures

• Cash balance @ 12/31/2015

Results190,000

11% year / year growth*

671,000

($129) million

($0.17)

$0.94 billion

$1.17 billion

$4.4 billion

Fourth Quarter 2015Core Results

17*Excludes California, Hugoton and Williston operations**See Significant Items Affecting Earnings in the Earnings Release Attachments.

3672

668

~560

FY2015 ReportedProduction

Domestic Asset Sales Non-Core MENA 2015 Core Assets

Core Assets - Oil & Gas Production (MBOED)

18

Fourth Quarter 20152015 Production from Core Assets

9

672 1 671(4)12

(19)

3Q15 Permian OtherDomestic

Colombia MENA ex.Iraq

Iraq 4Q15

Fourth Quarter 2015Oil and Gas Total Company Production

Company-wide Oil & Gas Production (MBOED)

• In 4Q15, total company oil and gas production volumes averaged 671,000 BOED, a decrease of 1,000 BOE in daily production from 3Q 2015.

19*Excludes Williston operations.

301

315 2 (2)(3)

312

4Q14 3Q15 Oil NGLs Natural Gas 4Q15

Fourth Quarter 2015Oil and Gas Domestic Production

Domestic Oil & Gas Production (MBOED)

• Exceeded our domestic oil production growth guidance with a year over year increase of 19,000 BOD or about 11% led by our Permian Resources assets.

20Note: Excludes California, Hugoton and Williston Operations

WorldwideOil ($/bbl)

WorldwideNGLs ($/bbl)

Domestic Nat.Gas ($/mmbtu) WTI NYMEXBrent

Realized Prices Benchmark Prices

4Q15 $38.68 $14.02 $1.75 $42.18 $44.71 $2.44

WTI % 92% 33% 72%*

Brent % 87% 31%

3Q15 $47.78 $14.68 $2.24 $46.43 $51.17 $2.78WTI % 103% 32% 81%*Brent % 93% 29%

4Q14 $71.58 $27.39 $3.56 $73.15 $76.98 $3.99

WTI % 98% 37% 89%*Brent % 93% 36%

21

Fourth Quarter 2015Oil & Gas Realized Prices

* As a % of NYMEX

BeginningCash Balance

12/31/14

CFFO BeforeWorkingCapital

Change inWorkingCapital &Capital

Accruals

CapitalExpenditures

Dividends ShareRepurchases

Debt Issuance Sale Proceeds& Other

Ending CashBalance12/31/15

FY 2015($ in millions)

$4,400

$4,800

$7,800

4Q15LT Debt / Capital 22%

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Fourth Quarter 2015YTD 2015 Cash Flow

($5,600)

($2,100)

($2,300)

($600)$1,500

$900

• S&P Rating affirmed at single A with stable outlook

• Financial flexibility to invest through the cycle and return cash to shareholders

• Annualized cash flow changes ~$100 million for a ~$1.00 / barrel change in realized oil prices

• Annualized cash flow changes ~$40 million for a ~$0.50 / Mmbtu change in realized natural gas prices

23

Fourth Quarter 20152016E Sources & Uses of Cash

2016 Illustrative Sources & Uses of Cash

Sources Uses

Beginning Cash Balance

Ecuador Payments & Asset Sales

4Q15 Annualized Cash Flow

@ $42 / barrel Debt Reduction

Capital Program

Dividends

~$1.2 bn

~$3.6 bn

~$4.4 bn

~$0.7 bn

~$2.3 bn

<$3.0 bn

• FY 2016 Total Production Outlook – Core Assets (Excludes Iraq, Libya, Bahrain, Yemen, Williston & Piceance)

– Total volumes of 570,000 – 585,000 BOED

• FY 2016 US Production Outlook – Core Assets (Excludes Williston & Piceance)

– Total volumes of 270,000 – 285,000 BOED

– Oil production growth of ~4%, partially offset by natural gas declines

– Nearly 70% of domestic volumes expected to be oil

– Permian Resources volumes of 123,000 BOED in 1H 2016

• FY 2016 International Production Outlook – Core Assets (Excludes Iraq, Libya, Bahrain & Yemen)

– Total volumes of ~300,000 BOED

– Assumes ~60,000 BOED from Al Hosn

24

Fourth Quarter 2015FY 2016 Production Outlook – Core Assets

• 1Q16 Total Production Outlook

– Total production of 620,000 – 630,000 BOED

– Permian Resources of ~121,000 BOED

– Middle East volumes impacted by ~15,000 BOED due to scheduled maintenance turnarounds at Al Hosn and Dolphin

25

Fourth Quarter 20151Q16 Production Outlook

26

• The realignment of our business helped us make strong progress in lowering our SG&A costs in 2015 by more than $200 million.

• In the current environment, we expect to reduce these costs by at least another $100 million into 2016.

• Actions completed− Sale of corporate airplanes and hangar− Closure and sale of former California headquarters

• Actions ongoing− Costs associated with exiting non-core assets− Replacement of contract workers with own employees− Voluntary severance program− Reduction in subscriptions and renegotiations of contracts and licenses− Fewer expat workers− Foregoing salary increases and capped bonuses

Fourth Quarter 2015Targeted SG&A Reductions

Oil & Gas Segment

• FY 2016E Total Production – Core Assets– 570,000 – 585,000 BOED

• FY 2016E Domestic Production – Core Assets– 270,000 – 285,000 BOED– Permian Resources of ~123,000 BOED in 1H 2016– Oil production growth of ~4% partially offset by

natural gas declines

• FY 2016E Int’l Production – Core Assets– ~300,000 BOED– Assumes ~60,000 BOED from Al Hosn

• 1Q16E Production– Total production of 620,000 – 630,000 BOED– Permian Resources production of ~121,000 BOED– ~15,000 BOED impact in MENA due to scheduled

maintenance at Al Hosn and Dolphin

DD&A – FY 2016E• Oil & Gas: ~$15.00 / BOE• Chemicals and Midstream: $675 mm

Production Costs• Domestic Oil & Gas: ~$13.00 / BOE

Exploration Expense• ~$25 mm in 1Q16E• ~$75 mm in FY 2016E

Chemical Segment• ~$140 mm pre-tax income in 1Q16E

Corporate• FY 2016E Domestic tax rate: 36% • FY 2016E Int'l tax rate: 55%• Interest expense of $70 mm in 1Q16E

27

Fourth Quarter 20151Q16 & FY 2016 Guidance Summary

Fourth Quarter 2015Permian Resources Production

28

• Total production grew 40% year-over-year to 118 MBOED.

– Oil production grew 49% year-over-year to 76 MBOD.

– Oil production is expected to continue to grow at rates higher than total production.

• Reached goal of 120 MBOED in November, one year and one month ahead of original goal 43

71 62 71 74 76

2014 2015 1Q15 2Q15 3Q15 4Q15 1H16EProduction (MBOED)

Oil NGL Gas

75

98109

116 118 ~123110

895

1,176

1,247

1,204

1,487

1,659

2015 Avg.

H.B. MORRISONB 12H

PRIEST E 1H

Peak 24 Hour 30 Day

Well Performance: Texas Delaware – Wolfcamp A

29

Fourth Quarter 2015Delaware Basin Recent Performance

• Peck State 258 6H - 12 month cumulative production:

384 Mboe – 84% oil

• Buzzard State 9H - 12 month cumulative production:

318 Mboe – 75% oil

• Moore Hooper 3H - 6 month cumulative production:

205 Mboe – 67% oil

248

228303

Boepd / 1000’

190255

OXY Operated Acreage

85% Oil

66% Oil

196

806

1,476

1,750

1,131

2,023

2,498

2015 Avg.

CEDAR CANYON 28FEDERAL 6H

CEDAR CANYON 27FEDERAL 6H

Peak 24 Hour 30 Day

Well Performance: New Mexico 2nd Bone Spring

OXY Operated Acreage

30

Fourth Quarter 2015Southeast New Mexico Recent Performance

• Cedar Canyon 27 State 4H - 12 month cumulative production:

252 Mboe – 79% oil

• Misty 35 Fed Com 4H – 9 month cumulative production:

263 Mboe – 83% oil

80% Oil

Boepd / 1000’

576

478

266190

403

349

82% Oil

43

37

20 19 17

14

-

5

10

15

20

25

30

35

40

45

50

2014 1Q15 2Q15 3Q15 4Q15 Best

DRILL DAYSDelaware Wolfcamp A 4,500’ HZ

$5.3

$2.9 $2.6

$5.6

$3.2 $2.8

$-

$2.0

$4.0

$6.0

$8.0

$10.0

$12.0

2014 Current Best

GR

OSS

WEL

L C

OST

$M

M

WELL COSTDelaware Wolfcamp A 4,500’ HZ

Drilling Completions

Fourth Quarter 2015Permian Resources - Manufacturing Mode

Move to Manufacturing Mode Significantly Reduced Well Cost

$10.9

$6.2$5.5

Rig Release to Rig Release

31

Well Performance: East Midland - Wolfcamp A

32

Fourth Quarter 2015East Midland Basin Recent Performance

• Adams 4231 #1WA - 3 month cumulative production:

117 Mboe – 92% oil

• Adams 4201WA - 6 month cumulative production:

180 Mboe – 91% oil

• Merchant 1401A - 6 month cumulative production:

142 Mboe – 72% oil

OXY Operated Acreage

Boepd / 1000’

89% Oil

83% Oil

225191

196

137111

165

907

1,132

1,841

1,113

1,345

2,167

2015 Avg.

MERCHANT 1409A

ADAMS 4231 #1WA

Peak 24 Hour 30 Day

89% Oil

83% Oil

46

31

20 18 17

13

-

5

10

15

20

25

30

35

40

45

50

2014 1Q15 2Q15 3Q15 4Q15 Best

DRILL DAYSEast Midland Wolfcamp A 7,500’ Hz

$3.7 $2.3 $1.9

$5.5

$3.7 $3.4

$-

$2.0

$4.0

$6.0

$8.0

$10.0

$12.0

2014 Current Best

GR

OSS

WEL

L C

OST

$M

M

WELL COSTEast Midland Wolfcamp A 7,500' Hz

Drilling Completions

Fourth Quarter 2015Permian Resources - Manufacturing Mode

Move to Manufacturing Mode Significantly Reduced Well Cost

$9.2

$6.0$5.3

Rig Release to Rig Release

33

$13.20 $13.03

$11.39 $10.87

$9.73

$-

$5.00

$10.00

$15.00

4Q14 1Q15 2Q15 3Q15 4Q15

Permian Resources Operating Costs / BOE

Surface Downhole Supports Energy Other

• Focus on reducing field operating

costs during 2015

• Downhole expense ($/boe) reduced 34%

from 4Q14

• Company operated operating expense

down ~30% ($/boe) from 4Q14

34

Fourth Quarter 2015Permian Resources Cost Reduction

35

Fourth Quarter 2015Permian EOR

• Stable and low-decline base production at an advantaged cost

• Permian EOR business remains profitable in the current downturn

• EOR business is expected to generate free cash flow this year in the current oil price environment.

• South Hobbs:

− Started CO2 injection into Phase 1 in September (ahead of schedule)

CO2 Supply & Processing

0

500

1,000

1,500

2,000

2,500

3,000

3,500

0 5 10 15 20 25 30 35 40

Num

ber o

f Inj

ectio

n W

ells

Number of Projects

Denbury

Chevron

Apache

Anadarko

Oxy

Kinder Morgan

Hess

Exxon

Size of bubble = CO2 EOR Production Volume

All of Oxy’s CO2 operations

are in the Permian Basin

• Oxy is the largest handler of CO2 in the Permian- Injects 1.9 billion cubic feet a day- Operates 31 CO2 EOR projects Source: Oil & Gas Journal 2014 Biennial EOR Survey

Fourth Quarter 2015World Leader in Enhanced Oil Recovery

U.S. CO2 EOR Projects

36

Fourth Quarter 2015Permian EOR Cost Structure

Permian EOR can operate at cash costs as low as $22 per BOE

Sensitive to O&G Prices Partially Discretionary

$14.1

$4.7

$4.7

$4.0

$2.7

$0

$5

$10

$15

$20

$25

$30

$35

Well, SurfMaint

Injectant Energy Taxes SG&A

$ / B

OE

2015 Permian EOR Cost Structure$55 WTI, $3.00 NYMEX

$10.8

$4.0

$2.2

$3.2$1.8

$0

$5

$10

$15

$20

$25

$30

$35

Well, SurfMaint

Injectant Energy Taxes SG&A

$ / B

OE

2015 Permian EOR Cost Structure$35 WTI, $2.00 NYMEX

37

38

Fourth Quarter 2015Permian EOR

• Cash Operating Expense reduced by $4.36 / BOE in 4Q14 to 4Q15

• Savings were driven by productivity gains and supplier cost reductions

• Well maintenance job productivity improved 32% in 4Q15 versus 4Q14

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

4Q14 1Q15 2Q15 3Q15 4Q15

$/B

OE

Cash Operating Expense ($/BOE)

Supports & Other EnergyInjectant Surface Ops and MaintenanceWorkover / Well Enhancement Downhole Maintenance

$20.82 $20.03

$18.16 $18.36$16.46

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

2000

2005

2010

2015

2020

2025

2030

Gro

ss B

OPD

WF Base Forecast BOPD

Historical BOPD

WF Base Forecast + Phase 1 & 2

South Hobbs Unit Base and CO2 Flood Forecast

Main Oil Column CO2 Flood:

• Started CO2 injection into Phase 1 in September, 2015 (ahead of schedule)

• Phase 1 and Phase 2 will develop 28 MMBOE at just over $10 / BOE

39

Residual Oil Zone (“ROZ”) Potential:

• Four pattern initial development to begin in 2016.

• Full ROZ expansion ~50 patterns; 80 MMBOE

Waterflood Phase 1 & 2 CO2Flood

ROZ Initial Development

Fourth Quarter 2015South Hobbs: CO2 Flood and Expansion Areas

Given the current oil price environment, we will focus on investment to achieve four core goals:

Accelerate geoscience, characterization and modeling programs to enhance recovery, productivity and field economic returns

Minimize base decline and set up major growth programs in both Resources and EOR segments

Focus resources on game changing technologies and applications

Accelerate continued improvements in execution and cost

40

Fourth Quarter 20152016 Permian Strategy

Fourth Quarter 2015Permian Resources – Drilling Inventory

• Total of ~8,500 locations in horizontal inventory

• ~3,400 total locations economic at less than $60 / barrel which is an increase of approximately 700 locations from previous version

• ~350 locations economic below $40 / barrel

Continuing to lower economic hurdle points through reservoir characterization and optimization, improved productivity, reduced well costs, and faster time to market

Drilling Inventory Based on Q4 Costs

Better Well Productivity and

Lower Cost

4%

14%

40%

48%

60%

100%

41

Fourth Quarter 2015Permian Summary

• 2016 activity focused on core locations with minimal infrastructure investments

• Analyze appraisal data to support future development and initiate seed projects for long term growth in EOR

• Reduce rig count in Permian to 2-4 rigs

• Technical staff and engineers will focus on long-term projects, enhancing base production, and preparing full field development plans for to ramp up activity when oil prices recover.

42

147 145 145 145 144 143 ~143

75110 98 109 116 118 ~123

2014 2015 1Q15 2Q15 3Q15 4Q15 1H16EProduction (MBOED)

EOR Resources

222243 254 260 261255 ~266

FOURTH QUARTER 2015 EARNINGS CONFERENCE CALL Q&A