(Reuters) - Occidental Petroleum Corp OXY.N posted a bigger-than-expected quarterly loss on Monday, as it reeled from a plunge in crude prices due to the COVID-19 crisis, sending the oil and gas producer's shares 5% lower in extended trading.
Occidental has been forced to slash jobs, production and the value of its assets after the pandemic hammered energy demand, piling pressure on a company that had taken on significant debt to acquire Anadarko Petroleum for $38 billion last year.
The oil producer, which announced in June it would restructure some debt to avoid a possible default, said its total long-term net debt stood at $35.9 billion at September-end, slightly lower than $36.03 billion at the end of June.
The average price for the company’s crude oil plunged about 31.5% to $38.67 per barrel in the third quarter, while worldwide production from continuing operations rose 11.2% to 1.24 million barrels of oil equivalent per day (boepd).
Occidental said it expects production in the current quarter to be between 1.1 million boepd and 1.16 boepd, and reiterated its full-year spending plan of $2.4 billion to $2.6 billion.
The company said it was adding four drilling rigs back to the Permian Basin, spread across Texas and New Mexico, and would have seven by year-end.
Net loss attributable to stockholders widened to $3.8 billion, or $4.07 cents per share, in the third quarter, from $912 million, or $1.08 cents per share, a year earlier.
The results included a one-time charge of about $2.4 billion related to its investment in Western Midstream Partners LP and $700 million of losses for some divestitures.
On an adjusted basis, it lost 84 cents per share, while analysts had expected a 72 cent loss, Refinitiv IBES data showed.
Reporting by Arathy S Nair in Bengaluru and Jennifer Hiller in Houston; Editing by Aditya Soni
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