OXY(US:OXY) Zhong Guo Hua Gong Bao·2026-01-05 11:00Core Viewpoint - Occidental Petroleum has completed the acquisition of its chemical subsidiary OxyChem for $9.7 billion, aiming to strengthen its balance sheet and focus on a diversified oil and gas portfolio [1] Group 1: Acquisition Details - OxyChem is one of North America's largest producers of chlor-alkali and polyvinyl chloride, operating in the U.S., Canada, and Latin America [1] - In 2024, OxyChem is projected to generate $1.1 billion in earnings and $4.9 billion in sales [1] Group 2: Strategic Implications - Occidental Petroleum's CEO Vicki Hollub stated that the transaction accelerates the company's strategy to enhance its balance sheet [1] - The proceeds from the sale are expected to be used to reduce debt, with a target to lower it to below $15 billion [1] Group 3: Berkshire Hathaway's Role - Berkshire Hathaway, led by Warren Buffett, announced the acquisition of OxyChem as a move to help Occidental Petroleum alleviate debt pressure while expanding its presence in the chemical sector [1] - At the end of 2024, Occidental Petroleum's debt was approximately $24 billion, and the company announced a nearly $4 billion asset divestiture plan in the first half of 2025 [1] - This marks Buffett's second significant investment in the chemical industry, following a $9.7 billion acquisition of Lubrizol in 2011 [1]