Occidental Petroleum Announces First Quarter of 2011 Income

Occidental Petroleum Corporation (NYSE:OXY) announced core income of
$1.6 billion ($1.96 per diluted share) for the first quarter of 2011,
compared with $1.1 billion ($1.35 per diluted share) for the first
quarter of 2010. Net income for the first quarter of 2011 was $1.5
billion ($1.90 per diluted share), compared with $1.1 billion ($1.31 per
diluted share) for the first quarter of 2010.

In announcing the results, Dr. Ray R. Irani, Chairman and Chief
Executive Officer, said, 'The first quarter of 2011 core income of $1.6
billion was 45-percent higher than the first quarter of 2010. Our oil
and gas production for the first quarter of 2011 increased over 4
percent, as compared to the first quarter of 2010, to 730,000 BOE per
day.?

QUARTERLY RESULTS

Oil and Gas

Oil and gas segment earnings were $2.5 billion for the first quarter of
2011, compared with $1.9 billion for the same period in 2010. The
increase in the first quarter of 2011 results was due to higher crude
oil prices and higher sales volumes in the Middle East, partially offset
by higher operating costs and DD&A rates.

For the first quarter of 2011, daily oil and gas production volumes
averaged 730,000 barrels of oil equivalent (BOE), compared with 701,000
BOE in the first quarter of 2010. Volumes increased over 4 percent,
primarily in domestic gas and NGL production and Middle East/North
Africa crude oil volumes. The domestic gas increase was from the new
acquisition in South Texas, which closed in the first quarter of 2011.
The Middle East/North Africa increase included new production from Iraq
and higher volumes from the Mukhaizna field in Oman.

As a result of higher year-over-year average oil prices affecting
production sharing and similar contracts, production was negatively
impacted in the Middle East/North Africa, Long Beach and Colombia by
12,000 BOE per day. Dolphin and Elk Hills volumes were also lower from
planned maintenance and production shut-downs in the first quarter of
2011.

Daily sales volumes increased over 6 percent from 685,000 BOE per day in
the first quarter of 2010 to 728,000 BOE per day in the first quarter of
2011.

Oxy's realized price for worldwide crude oil was $92.14 per barrel for
the first quarter of 2011, compared with $74.09 per barrel for the first
quarter of 2010. Worldwide realized NGL prices rose from $47.48 per
barrel in the first quarter of 2010 to $52.64 per barrel in the first
quarter of 2011. Domestic realized gas prices dropped from $5.62 per Mcf
in the first quarter of 2010 to $4.21 per Mcf for the first quarter of
2011.

Chemicals

Chemical segment earnings for the first quarter 2011 were $219 million,
compared with $30 million for the same period in 2010. The first quarter
of 2011 results reflect strong export sales, higher margins resulting
from improved supply/demand balances across most products, including
calcium chloride, and lower energy costs.

Midstream, Marketing and Other

Midstream segment earnings were $114 million for the first quarter of
2011, compared with $94 million for the first quarter of 2010. Earnings
for the first quarter of 2011 reflect increased income from the pipeline
business, higher margins in the marketing and trading business,
partially offset by lower margins in the gas processing business.

About Oxy

Occidental Petroleum Corporation is an international oil and gas
exploration and production company with operations in the United States,
Middle East/North Africa and Latin America regions. Oxy is the fourth
largest U.S. oil and gas company, based on equity market capitalization.
Oxy's wholly owned subsidiary, OxyChem, manufactures and markets
chlor-alkali products and vinyls. Occidental is committed to
safeguarding the environment, protecting the safety and health of
employees and neighboring communities and upholding high standards of
social responsibility in all of the company's worldwide operations.

Forward-Looking Statements

Portions of this press release contain forward-looking statements and
involve risks and uncertainties that could materially affect expected
results of operations, liquidity, cash flows and business prospects.
Factors that could cause results to differ materially include, but are
not limited to: global commodity pricing fluctuations; international
political conditions; supply and demand considerations for Occidental′s
products; not successfully completing, or any material delay of, any
development of new fields, expansion projects, capital expenditures,
efficiency-improvement projects, acquisitions or dispositions; potential
failure to achieve expected production from existing and future oil and
gas development projects or acquisitions; exploration risks such as
drilling unsuccessful wells; any general economic recession or slowdown
domestically or internationally; higher-than-expected costs; potential
liability for remedial actions under existing or future environmental
regulations and litigation; potential liability resulting from pending
or future litigation; general domestic and international political
conditions; potential disruption or interruption of Occidental′s
production or manufacturing or damage to facilities due to accidents,
chemical releases, labor unrest, weather, natural disasters, political
events or insurgent activity; failure of risk management; changes in
laws 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 uncertainty of future 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
press release. 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 1, Item 1A 'Risk Factors? of the 2010 Form 10-K, available
through the following toll-free telephone number, 1-888-OXYPETE
(1-888-699-7383) or on the Internet at http://www.oxy.com.
You also can obtain a copy from the SEC by calling 1-800-SEC-0330.

Occidental Petroleum Corporation

Richard S. Kline (media)

richard_kline@oxy.com

310-443-6249

or

Chris
Stavros (investors)

chris_stavros@oxy.com

212-603-8184

or

For
further analysis of Occidental's quarterly performance,

please
visit the web site: www.oxy.com