Occidental Petroleum Corp plans to use the bonanza from high oil and gas prices to accelerate debt payments and cash distribution to shareholders but will not rise oil production, Chief Executive Vicki Hollub said on Wednesday.
White House officials have been urging oil producers to invest in extra oil production to bring fuel prices down to consumers. The top oil producers in the U.S. and Europe posted record earnings in the second quarter, but kept a check on investments.
Occidental on Tues posted higher than expected earnings in the second quarter, but cut its 2022 output outlook for the main unconventional basin in the United States, knocking its shares down more than 6% to close at $60.99.
The company also told it resumed a buyback program after reaching its short-term debt reduction goals in the second quarter.