OCCIDENTAL PETROLEUM CORPORATION

Vicki A. Hollub President & Chief Operating Officer Credit Suisse Energy Summit February 23, 2016 Cautionary Statement

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. 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. Factors that may cause Occidental's results of operations and financial position to differ from expectations 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; 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 productionormanufacturingorfacility 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. 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 1, Item 1A “Risk Factors” of Occidental's 2015 Form 10-K.

2 Why own Oxy?

Large Integrated Majors Independent E&Ps Company Market Cap ($B) Company Market Cap ($B) XOM $328 COP $41 CVX $156 Oxy EOG $37 RDS $142 Uniquely APC $21 TOT $100 Positioned PXD $20 BP $94 APA $15 ENI $51 MRO $6 Characteristics Characteristics • Low or no growth • Generally higher growth • Higher returns • Lower returns • Stronger B/S; lower risk • Weaker B/S; higher risk $50 • Little or no free cash flow • Free cash flow billion • Consistent dividend growth • Little or no dividends • Moving from gassy to oily Oxy has positive elements of both groups, appealing to investors who seek a combination of moderate growth, above average returns and consistent dividend growth.

Updated as of 2/5/2016 3 Why own Oxy?

Balance sheet Portfolio of Assets • Ended 2015 with $4.4 Billion • Long life cash flow assets cash • Significant growth potential • Debt of $8.3 Billion (25% • Flexibility to ramp activity debt to capitalization ratio) up or down depending on market conditions

People Strategy • Maintain and continue to • Invest in projects that develop staff generate long term value with returns above cost of capital • Increase use of advanced technology and data • Leverage fast growth analytics Resources with low decline EOR

4 Key Messages & Strategy

Overriding Goal is to Maximize Total Shareholder Return • We believe this can be achieved through a combination of:

• Oil and gas production growth of 5% to 8% per year over the long-term; − Executing on our capital program with a focus on growing our U.S. oil production

• Allocating and deploying capital with a focus on achieving well above cost-of-capital returns (ROE and ROCE); – Return Targets* • Domestic – 15+% • International – 20+% − Continued improvement in our capital and drilling efficiency − Start-up of long-term projects

• Providing consistent, annual dividend growth;

• Maintaining a strong balance sheet.

*Assumes moderate product prices 5 Cash Flow Priorities

1. Base/Maintenance Capital

2. Dividends

3. Growth Capital

4. Share Repurchase

5. Acquisitions

6 Execution Of Our Strategic Initiatives

 Closed the sale of Williston Basin properties Williston Sale  Progressed our efforts to exit from 16 MBOED – FY15 non-core operations in Middle East $0.6 bn pre-tax proceeds  Reached understanding on terms of payment with the Republic of Ecuador for ~$1 billion. MENA Exits Ongoing  Continued progress on construction of Iraq the OxyChem Ethylene cracker on Libya 60 MBOED –4Q15 schedule and on budget for start-up in Bahrain

early 2017 Yemen Core Assets  Exited 2015 with ~$4.4 billion of cash

7 Oxy Runs A Focused Business

Oil and Gas Focus Areas OxyChem United States • Leading position in the Permian Basin High FCF, moderate • Permian Resources growth business. is a growth driver

Oxy Midstream • Al Hosn Project, MENA Integrated pipeline and Oman and Qatar marketing business to • Additional opportunities maximize realizations. for growth with partner countries Oxy will be positioned to grow Latin America • Highest margin • Oil production operations • Earnings & Cash Flow in Colombia. per share • Additional opportunities • ROCE for moderate growth • Dividend stream with partner.

8 Permian Basin Is The Core Domestic Asset

• Largest oil producer and operator in Permian Basin. • Significant investments in infrastructure to support the upstream provide low operating costs, advantaged realized prices and competitive advantages. • ~60% of Oxy’s Permian oil production is from CO2 related EOR projects – Oxy’s most profitable business. • The EOR business (mainly CO2) will continue to generate significant FCF. • Permian Resources is the cornerstone growth asset of the domestic business. • Substantial acreage position with significant resource development potential. Oxy Acreage • We have shifted toward horizontal drilling Oil Pipelines and expect the Resources business to grow CO2 Pipelines rapidly.

9 Source: IHSEnergy Feb and Mar Total Operated Production, Thousand BOEPD Oxy istheLargestPermianBasin Producer 2014, 6 MCF/BOE excl 2014, 6MCF/BOE uding estimated CO 2 production. Cumulative 2.3 million 10 % of total BOEPD 2016 Permian Strategy

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

11 Permian Resources – Drilling Inventory

Continuing to lower economic hurdle points through reservoir characterization and optimization, improved productivity, reduced well costs, and faster time to market 100%

• Total of ~8,500 locations in Drilling Inventory Based on Q4 Costs horizontal inventory

Better Well Productivity and • ~3,400 total locations Lower Cost economic at less than $60 / 60% barrel which is an increase 48% of approximately 700 locations from previous 40% version

• ~350 locations economic 14% below $40 / barrel 4%

12 Permian Resources Production Growth

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

– Oil production grew 49% 118 ~123 year-over-year to 76 MBOD. 116 110 109 – Oil production is expected 98 to continue to grow at rates higher than total 75 production.

• Reached goal of 120 MBOED in November, one year and one 71 71 74 76 62 month ahead of original goal 43

2014 2015 1Q15 2Q15 3Q15 4Q15 1H16E Production (MBOED)

13 Permian Resources Cost Reduction

Permian Resources Operating Costs / BOE

$15.00 $13.20 $13.03 • Focus on reducing field

$11.39 $10.87 operating costs during 2015

$10.00 $9.73 • Downhole expense ($/boe) reduced 34% from 4Q14

• Company operated operating $5.00 expense down ~30% ($/boe) from 4Q14

$- 4Q14 1Q15 2Q15 3Q15 4Q15

Surface Downhole Supports Energy Other

14 Permian Resources –Manufacturing Mode

Move to Manufacturing Mode Significantly Reduced Well Cost

WELL COST DRILL DAYS Delaware Wolfcamp A 4,500’ HZ Delaware Wolfcamp A 4,500’ HZ

$12.0 50 $10.9 45 43

$10.0 40 37 35 $8.0 $5.6 30 $6.2 $6.0 $5.5 25 20 20 19 $3.2 17 $2.8 $4.0 15 14 $5.3 10 $2.0 $2.9 $2.6 5 GROSS WELL COST $MM GROSS WELL $- - 2014 Current Best 2014 1Q15 2Q15 3Q15 4Q15 Best Drilling Completions Rig Release to Rig Release

15 Permian Resources – Manufacturing Mode

Move to Manufacturing Mode Significantly Reduced Well Cost

WELL COST DRILL DAYS East Midland East Midland Wolfcamp A 7,500' Hz Wolfcamp A 7,500’ Hz $12.0 50 46 45 $10.0 $9.2 40 35 $8.0 31 30 $5.5 $6.0 $6.0 $5.3 25 20 20 18 17 $4.0 $3.7 $3.4 15 13 10 $2.0 $3.7

GROSS WELL COST $MM GROSS WELL 5 $2.3 $1.9 $- - 2014 Current Best 2014 1Q15 2Q15 3Q15 4Q15 Best

Drilling Completions Rig Release to Rig Release

16 Permian EOR

CO2 Supply & Processing • 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

• Infrastructure would be hard to duplicate

17 World Leader in CO2 Enhanced Oil Recovery

U.S. CO2 EOR Projects Size of bubble = CO2 EOR Production Volume

3,500

3,000 Occidental 2,500

2,000 • Inject 1.9 billion cubic feet a day Kinder Morgan 1,500 • Operate 31 CO2 EOR projects Apache 1,000 Chevron Exxon 500 Hess Denbury Anadarko Number of Injection Number Wells 0 0 5 10 15 20 25 30 35 40 Number of Projects

Oil & Gas Journal 2012 Biennial EOR Survey 18 Permian EOR Cost Structure

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

2015 Permian EOR Cost Structure 2015 Permian EOR Cost Structure $55 WTI, $3.00 NYMEX $35 WTI, $2.00 NYMEX $35 $35

$30 $2.7 $30

$4.0 $25 $25

$4.7 $1.8 $20 $20 $3.2 $4.7

$ / BOE $2.2 $15 $ / BOE $15 $4.0

$10 $10

$14.1 $10.8 $5 $5

$0 $0 Well, Surf Injectant Energy Taxes SG&A Well, Surf Injectant Energy Taxes SG&A Maint Maint

Sensitive to O&G Prices Partially Discretionary

19 Permian EOR Cash Costs

Cash Operating Expense ($/BOE)

$25.00 • Cash Operating Expense reduced $20.82 $20.03 by $4.36 / BOE in 4Q14 to 4Q15 $20.00 $18.16 $18.36 $16.46 • Savings were driven by $15.00 productivity gains and supplier cost reductions $/BOE $10.00 • Well maintenance job productivity improved 32% in 4Q15 versus 4Q14 $5.00

$0.00 4Q14 1Q15 2Q15 3Q15 4Q15 Supports & Other Energy Injectant Surface Ops and Maintenance Workover / Well Enhancement Downhole Maintenance

20 Denver EOR Unit: Battery 5 Development

Waterflood

Primary CO2

Battery 5 Redevelopment Project: • Develops both Main Oil Column & Residual Oil Zone • Requires deepening 150 wells • Develops 21 MMBOE net at a $4.80 per BOE

21 Hobbs: CO2 Flood and Expansion Areas

North Hobbs: South Hobbs:

• Phase 1 added 35 MMBOE (Injection started • Started CO2 injection into Phase 1 in in 2003) September (ahead of schedule) • Phase 2A Project will develop 13.7 MMBOE • Phase 1 & 2 will develop 28 MMBOE at at $13.82 per BOE (Injection Starts in 6/2016) $10.60 per BOE • ~93% oil production • 100% oil production North Hobbs Oil Production

22 Permian EOR

ROZ Projects development cost South Hobbs ranges from $3 - $7 per BOE Residual Oil Zone (“ROZ”) Potential: • Four pattern to begin in 2016. • Full ROZ expansion: – ~50 patterns; 80 MMBOE

“Stranded Oil in the Residual Oil Zone by L. Stephen Melzer, Advanced Resources International and the U.S. 23 Department of Energy, February 2006. Permian EOR is a Large, Highly Economic Resource

Unrisked, gross resource potential of up to 1.9 billion barrels

• 2015 EOR CAPEX = $500MM Unrisked, Gross Reserves and − Complete and begin CO2 injection at Resources South Hobbs

− Start Expansion on North Hobbs CO2

• Expected to generate free cash flow in current oil price environment. Undeveloped CO2 Developed 1.9 bn 2.0 bn • EOR and Resources deliver advantaged scale, infrastructure and expertise synergies across Permian. Undeveloped 0.3 bn

24 Permian Summary

EOR Resources • 2016 activity focused on core locations with minimal infrastructure investments ~266 255 254 260 261 • Analyze appraisal data to support 243 future development and initiate 222 seed projects for long term growth 118 ~123 110 98 109 116 in EOR 75 • Reduce rig count in Permian to 2-4 rigs

• Technical staff and engineers will 147 focus on long-term projects, 145 145 145 144 144 143 enhancing base production, and preparing full field development plans for to ramp up activity when oil prices recover. 2014 2015 1Q15 2Q15 3Q15 4Q15 1H16E Production (MBOED)

25 2016 Capital Outlook

2016 Capital Budget • Carefully reduce activity levels without ($ in bln) harming the strong progress on growth prospects $5.6 • Fund only those opportunities that exceed hurdle rates of return • 2016 plan approximates expected cash from operations at around current prices $2.8 - $3.0 • 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

2015 2016E • In Permian EOR, a modest increase for building out facilities and systems to handle Maintenance Sustaining Growth and inject greater quantities of CO2, with 1-2 year production response time

26 Committed Project Capital Declining

Committed Project Capital • Multiple long-term investments to ($ in millions) drive cash flow and earnings growth $1,300 – Al Hosn

– Ethylene cracker JV

– Ingleside terminal $800 – Gas processing

$500 • Capital spending will continue to decline and cash flows and earnings expected to grow as $100 projects start-up.

• Increased flexibility on capital 2014 2015 2016E 2017E budget in 2016 and 2017

27 2016 Capital Breakdown – Oil & Gas

2016 Capital Budget $2.8 - $3.0 billion

Chemicals 18% Permian Resources 21%

Midstream 16% Permian EOR 17% Exploration & Other 4% International 24%

28 Oxy Production Growth

Total Oil Production* Total Company Production* (MBOD) (MBOED)

416 652

362 571

2014 2015 2014 2015

* Ongoing operations; excludes Williston & Hugoton production volumes 29 2016 Production 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

Company-wide Oil & Gas Production from Core Assets (MBOED) 570 – 585 ~560 2 – 4% Core Assets Production Growth in 2016

Core Assets Other Domestic Permian Al Hosn Block 62 Oman 2016 Core 2015 Declined Resources Full Capacity Start-up Production Growth Outlook

30 Improved Cost Structure

Production Costs Overhead (SG&A) ($/boe) ($ millions) • Expect continued improvement in cost structure $13.50 $1,503 – Strategic Initiatives

$1,270 $11.57 – Lower workovers

– Lower downhole maintenance

– Lower energy costs

2014 2015 2014 2015

31 2016E Sources & Uses of Cash

• S&P Rating affirmed at 2016 Illustrative Sources & Uses of Cash single A with stable outlook

Ecuador Payments ~$1.2 bn & Asset Sales • Financial flexibility to invest through the cycle and return 4Q15 cash to shareholders Annualized Cash Flow ~$3.6 bn @ $42 / barrel Debt Reduction ~$0.7 bn • Annualized cash flow changes ~$100 million for a ~$1.00 / barrel change in Capital <$3.0 bn realized oil prices Program

Beginning Cash ~$4.4 bn Balance • Annualized cash flow ~$2.3 bn changes ~$40 million for a Dividends ~$0.50 / Mmbtu change in realized natural gas prices Sources Uses

32 Cash Flow Priorities

1. Base/Maintenance Capital

2. Dividends

3. Growth Capital

4. Share Repurchase

5. Acquisitions

33 History Of Returning Cash To Shareholders

($ in Billions) Share Period ending 2015 Cash Dividends Repurchases Combined

3 – years $6.0 $4.3 $10.4

5 – years $9.6 $4.4 $14.6

10 – years $14.0 $9.2 $23.3

– Additionally, over the 10 years ending 2014: • We reinvested $45 billion of capital in the business; • We made cash acquisitions of $22 billion; • Our long-term debt increased by only $3.9 billion. – We spun off California Resources Corp. to Oxy shareholders in 2014 valued at ~$2.3 billion.

34 Summary – Key to Success / Strengths

• A key to long term success is to take advantage of this downturn to improve our future: – Major cost structure changes Data Analytics – Further advances in improved recovery Technology (new or different) – Investment in people Technical excellence of our – Portfolio expansion people • Diverse portfolio – Two businesses in one of the best basins in the world – Long life, low decline, value adding, cash flow generating assets – Flexibility to ramp up or down depending on market conditions

• Conservative balance sheet

• Continuing Dividend Growth

• Strategy to maneuver through this environment

35