Occidental CEO Forecasts $60 Oil Through 2026, Bullish on Long-Term Outlook

Group 1: Oil Price Outlook - Occidental Petroleum CEO Vicki Hollub expects oil prices to remain steady between $58 and $62 per barrel through 2026, with stronger gains anticipated in the longer term [1] - Hollub remains bullish on oil prices, indicating that supply constraints could tighten the market after 2026 [1][4] Group 2: U.S. Oil Production and Strategic Plans - Hollub projected that U.S. oil production will likely peak between 2027 and 2030, suggesting a potential shift in global supply dynamics later in the decade [2] - As part of Occidental's five-year strategic plan, the company aims to more than double its share price through debt reduction and disciplined capital management [2] Group 3: Recent Company Developments - The sale of Occidental's OxyChem chemical division for $9.7 billion to Berkshire Hathaway is part of a broader effort to strengthen the company's balance sheet [2] - Following the OxyChem sale, Occidental's shares experienced a 7.5% drop, marking one of the largest declines on the S&P 500 during a recent energy sector pullback [3] - Analysts at Evercore ISI have adjusted their price target for Occidental from $40 to $38, citing near-term concerns about capital structure while acknowledging the company's longer-term financial flexibility [3] Group 4: Market Confidence - Despite short-term turbulence, Hollub's comments reflect confidence in Occidental's fundamentals and a long-term bullish stance on oil markets, a sentiment shared by several industry peers [4]