Occidental Petroleum could trim 2020 spending on coronavirus impact

Published 28/02/2020, 17:34
Occidental Petroleum could trim 2020 spending on coronavirus impact

Feb 28 (Reuters) - Occidental Petroleum Corp OXY.N Chief

Executive Vicki Hollub said on Friday that the company is ready

to reduce spending this year if oil markets continue to be

roiled by global coronavirus fears.

"As global commodity prices have declined sharply in recent

days, we are prepared to reduce our spending if the current

environment does not improve," Hollub said on a call with

analysts. "We are monitoring the situation closely and retain

the flexibility to adjust our budget if needed."

Occidental plans spending of $5.2 billion to $5.4 billion,

well below the $6.36 billion it spent last year.

It reported a quarterly loss on a more than $1.7 billion in

impairment and other charges on Thursday.

It has been aggressively cutting costs by laying off staff

and selling assets to pay down its $38.54 billion debt pile

following its $38 billion acquisition of Anadarko Petroleum.

Shares were down 4.5% on Friday morning to $30.69.

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