Occidental Replaces 210 Percent of 2008 Production

LOS ANGELES, Feb. 13, 2009 (GLOBE NEWSWIRE) -- Occidental Petroleum Corporation (NYSE:OXY) announced today that at year-end 2008, the company's preliminary worldwide proved reserves, on a consolidated basis, totaled 2.98 billion barrels of oil equivalent (BOE) compared to 2.87 billion BOE at the end of 2007. In 2008, the company's consolidated subsidiaries had proved reserve additions from all sources, before the effect of price-related revisions, of 463 million BOE, compared to production of 221 million BOE, for a production replacement ratio of 210 percent. At the end of 2008, Occidental's consolidated reserves-to-production ratio, assuming production remained at the 2008 level, was 13.5 years.

Excluding purchases of proved reserves and the effect of price revisions, the company added 253 million BOE of proved reserves on a consolidated basis, of which improved recovery provided 98 percent and extensions and discoveries provided 9 percent, partially offset by non-price-related negative revisions of 7 percent.

These additions were partially offset by negative revisions of 127 million BOE that were attributable to the difference between prices of oil and gas at year-end 2007 and year-end 2008. Negative domestic price revisions were partially offset by positive price revisions in the Middle East/North Africa, as a result of the impact of Production Sharing Contracts.

Occidental's costs for exploration and development activities were $4.4 billion. Additionally, Occidental incurred $3.5 billion in property acquisition costs. All of the acquisitions were domestic, mainly in the Rocky Mountains and the Permian Basin.

In 2008, proved developed reserves were 74 percent of total proved reserves. For the three-year period 2006 through 2008, Occidental's consolidated proved reserve additions totaled 1.1 billion BOE, and total production equaled 630 million BOE, for a reserve replacement ratio of 173 percent.



                             2008 RECAP

                                       Reserve         Costs
                                      Additions      Incurred
                                    (Million BOE)  ($ Millions)
                                    =============  ============

      Additions                           271         $4,441

      Less: Physical Revisions            (18)
                                          ---
      Net Additions                       253

      Purchase of Proved Reserves         210          3,541
                                          ---         ------
      Additions from All Sources          463         $7,982
                                          ===         ======

      Production                         (221)
      Sales of Proved Reserves             (3)
      Price Revisions                    (127)

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.



 OIL AND GAS PRELIMINARY RESERVES
 (Consolidated Subsidiaries)

 The following table sets forth Occidental's net interests in
 quantities of proved developed and undeveloped reserves of crude
 oil, natural gas liquids (NGLs), condensate and natural gas and
 changes in such quantities.  Crude oil reserves (in millions of
 barrels) include condensate and NGLs.  Natural gas volumes (in
 billion cubic feet) have been converted to barrels of oil
 equivalent (BOE) based on energy content of 6,000 cubic feet of gas
 to one barrel of oil.

                          United      Latin    Middle East/
                          States     America    No. Africa     Total
                       ----------- ----------- -----------    Million
                         Oil   Gas   Oil   Gas   Oil   Gas    BOE (b)
 ===================== ===== ===== ===== ===== ===== =====    =======
 PROVED DEVELOPED AND
  UNDEVELOPED RESERVES

 Balance at
  December 31, 2005    1,616 2,323    50    --   296 1,051     2,524
  Revisions of
   previous estimates    (28) (135)   10    45    39    59        16
  Improved recovery       69   120    33    --    14     7       137
  Extensions and
   discoveries             3    58     7    --    14    --        34
  Purchases of proved
    reserves              98   274   152   161     4    --       326
  Sales of proved
   reserves               (4)   (2)   --    --    --    --        (4)
  Production             (94) (214)  (26)  (12)  (40)  (11)     (200)
 ---------------------  ----- ----- ----- ----- ----- -----     -----
 Balance at
  December 31, 2006    1,660 2,424   226   194   327 1,106     2,833
  Revisions of
   previous estimates    (20)   35   (17)    5   (43) (130)      (95)
  Improved recovery      114   406    17     5    52     6       253
  Extensions and
   discoveries             1     5    15    19     2    11        24
  Purchases of proved
   reserves               47    18    --    --    10    --        60
  Sales of proved
   reserves               --    --    --    --    --    --        --
  Production             (95) (216)  (27)  (15)  (43)  (30)     (209)
 --------------------- ----- ----- ----- ----- ----- -----     -----
 Balance at
  December 31, 2007    1,707 2,672   214   208   305   963     2,866
  Revisions of
   previous estimates   (243) (490)   (6)  (26)  135   328      (145)
  Improved recovery       99   281    44    46    46    21       247
  Extensions and
   discoveries            11    76    --    --    --    --        24
  Purchases of proved
   reserves               71   832    --    --    --    --       210
  Sales of proved
   reserves               (2)   (3)   --    --    --    --        (3)
  Production             (96) (215)  (28)  (16)  (46)  (76)     (221)
 --------------------- ----- ----- ----- ----- ----- -----     -----
 Balance at
  December 31, 2008    1,547 3,153   224   212   440 1,236     2,978
 ===================== ===== ===== ===== ===== ===== =====     =====

 OIL AND GAS PRELIMINARY RESERVES (continued)
 (Consolidated Subsidiaries)

                          United      Latin    Middle East/
                          States     America    No. Africa     Total
                       ----------- ----------- -----------    Million
                         Oil   Gas   Oil   Gas   Oil   Gas    BOE (b)
 ===================== ===== ===== ===== ===== ===== =====    =======
 PROVED DEVELOPED
  RESERVES (a)
  December 31, 2005     1,319 1,833    44    --   174    73    1,855
 =====================  ===== ===== ===== ===== ===== =====    =====
  December 31, 2006     1,382 1,940   140   137   249   560    2,211
 =====================  ===== ===== ===== ===== ===== =====    =====
  December 31, 2007     1,406 1,997   120   140   262   932    2,300
 =====================  ===== ===== ===== ===== ===== =====    =====
  December 31, 2008     1,209 1,866   124   142   342 1,206    2,211
 =====================  ===== ===== ===== ===== ===== =====    =====

 (a) Approximately one percent of the proved developed oil reserves
 and approximately three percent of the proved developed gas reserves
 at December 31, 2008 are non-producing.

 (b) Excludes other interests, which include the minority interest in
 a Colombian subsidiary, partially offset by Occidental's share of
 reserves from an equity investee in Yemen.  Other interests have
 total proved reserves of (1) million BOE and proved developed
 reserves of (2) million BOE at December 31, 2008.

 PRELIMINARY COSTS INCURRED
 (Consolidated Subsidiaries)

 Occidental's 2008, 2007 and 2006 costs incurred in oil and gas
 property acquisition, exploration and development activities, whether
 capitalized or expensed, were as follows:

                          United      Latin    Middle East/
                          States     America    No. Africa   Total (b)
 ===================== =========== =========== =========== =========
 FOR THE YEAR ENDED
 DECEMBER 31, 2008
  Property Acquisition
   Costs
    Proved Properties     $1,819      $    8      $    4       $1,831
    Unproved Properties    1,362          --         348        1,710
  Exploration Costs          130          96         115          341
  Development Costs        1,740         864       1,496        4,100
                          ------      ------      ------       ------
 Costs Incurred           $5,051      $  968      $1,963       $7,982
 ======================   ======      ======      ======       ======
 FOR THE YEAR ENDED
 DECEMBER 31, 2007
  Property Acquisition
   Costs
    Proved Properties     $  626      $   --      $  300       $  926
    Unproved Properties      167         (58)         10          119
  Exploration Costs           39          79         213          331
  Development Costs        1,268         524       1,032        2,824
                          ------      ------      ------       ------
 Costs Incurred           $2,100      $  545      $1,555       $4,200
 ======================   ======      ======      ======       ======
 FOR THE YEAR ENDED
 DECEMBER 31, 2006
  Property Acquisition
   Costs (a)
    Proved Properties     $2,083      $2,408      $  397       $4,888
    Unproved Properties      377         655         110        1,142
  Exploration Costs           39          61         213          313
  Development Costs        1,330         320         792        2,442
                          ------      ------      ------       ------
 Costs Incurred           $3,829      $3,444      $1,512       $8,785
 ======================   ======      ======      ======       ======

 (a) Includes acquisition costs and related step-up for deferred
 income taxes of $1.34 billion for the purchase of Vintage Petroleum
 Inc. There was no goodwill recorded for this acquisition.

 (b) Excludes costs incurred for other interests totaling $4 million
 in 2008.

 PRELIMINARY 5-YEAR DATA
 CONSOLIDATED SUBSIDIARIES

                Reserve                         Costs
               Additions       Production      Incurred
             (Million BOE)   (Million BOE)   ($ Millions)
 ==========  =============   =============   ============
 2004             241             166            1,662
 2005             370             171            4,185
 2006             513             200            8,785*
 2007             242             209            4,200
 2008             336             221            7,982
 3-Year
 Average          363             210            6,990
 5-Year
 Average          340             193            5,363

 Reserves Replacement
 (Million BOE)
                        Improved   Extensions
            Revisions   Recovery   Discoveries  Acquisitions  Total
 =========  =========  ==========  ===========  ============  =====
 2004           50        110           41            40       241
 2005          (15)       129          117           139       370
 2006           16        137           34           326       513
 2007          (95)       253           24            60       242
 2008         (145)       247           24           210       336
 3-Year
 Average       (75)       212           27           199       363
 5-Year
 Average       (38)       175           48           155       340


 Costs Incurred
 ($ Millions)
                             Exploration    Development
             Acquisitions       Costs          Costs      Total
 ==========  ============   ============   ============   =====
 2004             166            132           1,364      1,662
 2005           2,166            232           1,787      4,185
 2006           6,030            313           2,442      8,785*
 2007           1,045            331           2,824      4,200
 2008           3,541            341           4,100      7,982
 3-Year
 Average        3,539            328           3,122      6,990
 5-Year
 Average        2,590            270           2,503      5,363

 *Includes acquisition costs and related step-up for deferred
 income taxes of $1.34 billion for the purchase of Vintage Petroleum
 Inc.  There was no goodwill recorded for this acquisition.
CONTACT:  Occidental Petroleum Corporation
          Media
          Richard S. Kline
            310-443-6249
            richard_kline@oxy.com
          Investors 
          Chris Stavros 
            212-603-8184
            chris_stavros@oxy.com
          www.oxy.com

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