The following discussion should be read together with the Consolidated Condensed
Financial Statements and the notes to Consolidated Condensed Financial
Statements, which are included in this report in Part I, Item 1; the information
set forth in Risk Factors under Part II, Item 1A; the Consolidated Financial
Statements and the notes to the Consolidated Financial Statements, which are
included in Part II, Item 8 of Occidental's Annual Report on Form 10-K for the
year ended December 31, 2021; and the information set forth in Risk Factors
under Part I, Item 1A of the 2021 Form 10-K.
INDEX

PAGE


  Cautionary Statement Regarding Forward-Looking Statements              22
  Current Business Outlook                                               23
  Consolidated Results of Operations                                     24
  Segment Results of Operations and Items Affecting Comparability        26
  Income Taxes                                                           31
  Liquidity and Capital Resources                                        31
  Environmental Liabilities and Expenditures                             32
  Lawsuits, Claims, Commitments and Contingencies                        32



                                       21

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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS





Portions of this report contain forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. All statements other than
statements of historical fact are "forward-looking statements" for purposes of
federal and state securities laws, and they include, but are not limited to: any
projections of earnings, revenue or other financial items or future financial
position or sources of financing; any statements of the plans, strategies and
objectives of management for future operations or business strategy; any
statements regarding future economic conditions or performance; any statements
of belief; and any statements of assumptions underlying any of the foregoing.
Words such as "estimate," "project," "predict," "will," "would," "should,"
"could," "may," "might," "anticipate," "plan," "intend," "believe," "expect,"
"aim," "goal," "target," "objective," "commit," "advance," "likely" or similar
expressions that convey the prospective nature of events or outcomes are
generally indicative of forward-looking statements. You should not place undue
reliance on these forward-looking statements, which speak only as of the date of
this report. Unless legally required, Occidental does not undertake any
obligation to update, modify or withdraw any forward-looking statements as a
result of new information, future events or otherwise.
Although Occidental believes that the expectations reflected in any of its
forward-looking statements are reasonable, actual results may differ from
anticipated results, sometimes materially. In addition, historical, current and
forward-looking sustainability-related statements may be based on standards for
measuring progress that are still developing, internal controls and processes
that continue to evolve and assumptions that are subject to change in the
future. Factors that could cause results to differ from those projected or
assumed in any forward-looking statement include, but are not limited to: the
scope and duration of the COVID-19 pandemic and ongoing actions taken by
governmental authorities and other third parties in response to the pandemic;
Occidental's indebtedness and other payment obligations, including the need to
generate sufficient cash flows to fund operations; Occidental's ability to
successfully monetize select assets and repay or refinance debt and the impact
of changes in Occidental's credit ratings; assumptions about energy markets;
global and local commodity and commodity-futures pricing fluctuations; supply
and demand considerations for, and the prices of, Occidental's products and
services; actions by OPEC and non-OPEC oil producing countries; results from
operations and competitive conditions; future impairments of our proved and
unproved oil and gas properties or equity investments, or write-downs of
productive assets, causing charges to earnings; unexpected changes in costs;
availability of capital resources, levels of capital expenditures and
contractual obligations; the regulatory approval environment, including
Occidental's ability to timely obtain or maintain permits or other governmental
approvals, including those necessary for drilling and/or development projects;
Occidental's ability to successfully complete, or any material delay of, field
developments, expansion projects, capital expenditures, efficiency projects,
acquisitions or dispositions; risks associated with acquisitions, mergers and
joint ventures, such as difficulties integrating businesses, uncertainty
associated with financial projections, projected synergies, restructuring,
increased costs and adverse tax consequences; uncertainties and liabilities
associated with acquired and divested properties and businesses; uncertainties
about the estimated quantities of oil, NGL and natural gas reserves;
lower-than-expected production from development projects or acquisitions;
Occidental's ability to realize the anticipated benefits from prior or future
streamlining actions to reduce fixed costs, simplify or improve processes and
improve Occidental's competitiveness; exploration, drilling and other
operational risks; disruptions to, capacity constraints in, or other limitations
on the pipeline systems that deliver Occidental's oil and natural gas and other
processing and transportation considerations; general economic conditions,
including slowdowns, domestically or internationally, and volatility in the
securities, capital or credit markets; inflation; governmental actions, war
(including the Russia-Ukraine war) and political conditions and events;
legislative or regulatory changes, including changes relating to hydraulic
fracturing or other oil and natural gas operations, retroactive royalty or
production tax regimes, deep-water and onshore drilling and permitting
regulations and environmental regulation (including regulations related to
climate change); environmental risks and liability under federal, regional,
state, provincial, tribal, local and international environmental laws and
regulations (including remedial actions); Occidental's ability to recognize
intended benefits from its business strategies and initiatives, such as
Occidental's low carbon ventures businesses or announced greenhouse gas
emissions reduction targets or net-zero goals; potential liability resulting
from pending or future litigation; disruption or interruption of production or
manufacturing or facility damage due to accidents, chemical releases, labor
unrest, weather, power outages, natural disasters, cyber-attacks or insurgent
activity; the creditworthiness and performance of Occidental's counterparties,
including financial institutions, operating partners and other parties; failure
of risk management; Occidental's ability to retain and hire key personnel;
supply, transportation, and labor constraints; reorganization or restructuring
of Occidental's operations; changes in state, federal or international tax
rates; and actions by third parties that are beyond Occidental's control.
Additional information concerning these and other factors that may cause
Occidental's results of operations and financial position to differ from
expectations can be found in Occidental's other filings with the SEC, including
Occidental's 2021 Form 10-K, Quarterly Reports on Form 10-Q and Current Reports
on Form 8-K.
                                       22
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CURRENT BUSINESS OUTLOOK





Occidental's operations, financial condition, cash flows and levels of
expenditures are highly dependent on oil prices and, to a lesser extent, NGL and
natural gas prices, the Midland-to-Gulf-Coast oil spreads and the prices it
receives for its chemical products. The average WTI $/bbl for the three months
ended March 31, 2022 was $94.29, compared to $57.84 for the three months ended
March 31, 2021. The return of oil demand to its pre-pandemic levels coupled with
the ongoing global impact of the Russia-Ukraine war and whether the oil industry
will be able to sustain a continued supply response have resulted in a
significant increase in benchmark oil prices. It is expected that the price of
oil will be volatile for the foreseeable future given the current geopolitical
risks and the effects on oil demand resulting from COVID-19-related travel
restrictions and stay-at-home orders in certain international countries.
Occidental does not operate or own assets in either Russia or Ukraine, but
continues to monitor any impacts resulting from the Russia-Ukraine war on the
global markets for its commodities.

2022 PRIORITIES
Occidental's capital and operational priorities for 2022 are intended to
maximize cash flow by sustaining 2021 production levels. Occidental's cash flow
priorities remain to continue to reduce financial leverage while concurrently
instituting a shareholder return framework and to maintain a robust liquidity
position. In the current commodity price environment, Occidental expects to fund
its operational and capital requirements, return capital to shareholders in the
form of an increased dividend and institute an active share buy back program
with cash flows from operations. During the first quarter of 2022, Occidental
generated cash flow from continuing operations of $3.2 billion and incurred
capital expenditures of $858 million.

LIABILITY MANAGEMENT
In the first quarter of 2022, Occidental used cash on hand to reduce debt with
maturities ranging from 2022 through 2049 by $3.3 billion. Occidental has
remaining near-term debt maturities of approximately $362 million in 2023 and
$1.4 billion in 2024. Subsequent to March 31, 2022, but before the date of this
filing, Occidental paid off additional debt with maturities ranging from 2024 to
2049 and principal of $263 million.
Occidental's $2.3 billion Zero Coupons can be put to Occidental in October of
each year, in whole or in part, for the then accreted value of the outstanding
Zero Coupons. The Zero Coupons can next be put to Occidental in October 2022,
which, if put in whole, would require a payment of approximately $1.1 billion at
such date. Occidental currently has the ability to meet this obligation and may
use available capacity under the RCF to satisfy the put should it be exercised.
The remaining interest rate swaps with a fair value of $372 million, net of
collateral, as of March 31, 2022, have mandatory termination dates in September
2022 and 2023. The interest rate swaps' fair value, and cash required to settle
them on their termination dates, will continue to fluctuate with changes in
interest rates through the mandatory termination dates. Depending on market
conditions, liability management actions or other factors, Occidental may enter
into offsetting interest rate swap positions or settle or amend certain or all
of the currently outstanding interest rate swaps.
As of March 31, 2022, Occidental had approximately $1.9 billion of cash and cash
equivalents on hand, and as of the date of this filing, $4.0 billion of
borrowing capacity and no drawn amounts under its RCF, which matures in June
2025. Additionally, Occidental has up to $400 million of available borrowing
capacity and no drawn amounts on its receivables securitization facility which
matures in December 2024. Occidental expects its cash on hand and funds
available under its RCF to be sufficient to meet its debt maturities, operating
expenditures and other obligations for the next 12 months from the date of this
filing.

DEBT RATINGS
As of March 31, 2022, Occidental's long-term debt was rated Ba1 by Moody's
Investors Service, BB+ by Fitch Ratings and BB+ by Standard and Poor's. Any
downgrade in credit ratings could impact Occidental's ability to access capital
markets and increase its cost of capital. In addition, given that Occidental's
current debt ratings are non-investment grade, Occidental may be requested, and
in some cases required, to provide collateral in the form of cash, letters of
credit, surety bonds or other acceptable support as financial assurance of its
performance and payment obligations under certain contractual arrangements such
as pipeline transportation contracts, environmental remediation obligations, oil
and gas purchase contracts and certain derivative instruments.
As of the date of this filing, Occidental has provided required financial
assurances through a combination of cash, letters of credit and surety bonds.
Occidental has not issued any letters of credit under the RCF or other committed
facilities. For additional information, see Risk Factors in Part I, Item 1A of
Occidental's 2021 Form 10-K.

                                       23
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CONSOLIDATED RESULTS OF OPERATIONS





Occidental's operations and cash flows can vary significantly based on changes
in oil, NGL and natural gas prices and the prices it receives for its chemical
products. Such changes in prices could result in adjustments in capital
investment levels and how such capital is allocated, which could impact
production volumes. Significant changes have occurred in the macro-economic
environment over the previous year, which have led to an increase in commodity
prices, chemical product pricing, and correspondingly Occidental's results of
operations and cash flows. Occidental's results of operations and cash flows are
driven by these macro-economic effects rather than seasonality. In November
2020, the SEC issued a final rule to Regulation S-K which permits the option to
discuss material changes to results of operations between the current and
immediately preceding quarter. Occidental has elected to discuss its results of
operations on a sequential-quarter basis starting with this filing. The
implementation of this approach will provide more meaningful and useful
information to investors to measure performance from the immediately preceding
quarter. In accordance with this final rule, Occidental is not required to
include a comparison of the current quarter and the same prior-year quarter for
future filings.

                                                                                                   Three months ended
millions, except per-share amounts                 March 31, 2022           December 31, 2021          March 31, 2021
Net sales                                       $        8,349          $            7,913          $        5,293
Income from continuing operations               $        4,876          $

1,561 $ 299

Income from continuing operations - basic $ 4.96 $ 

           1.44          $         0.11
Income from continuing operations -
diluted                                         $         4.65          $             1.39          $         0.10



Q1 2022 compared to Q4 2021
Excluding the impact of asset impairments, gains and losses on sales of assets
and equity method investments, gains and losses on derivative mark-to-market
adjustments, acquisition-related costs, and the tax impact due to the legal
entity reorganization, the increase in income from continuing operations for the
three months ended March 31, 2022, compared to the three months ended December
31, 2021, was primarily due to higher crude oil prices, partially offset by
lower crude oil sales volumes in the oil and gas segment.

Q1 2022 compared to Q1 2021
Excluding the impact of asset impairments, gains and losses on sales of assets
and equity method investments, gains and losses on derivative mark-to-market
adjustments, acquisition-related costs, and the tax impact due to the legal
entity reorganization, the increase in income from continuing operations for the
three months ended March 31, 2022, compared to the three months ended March 31,
2021, was primarily due to higher crude oil, NGL and natural gas prices, lower
DD&A rates in the oil and gas segment, higher realized prices and margins across
most chemical product lines, partially offset by lower crude oil sales volumes.

                                       24

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