The Federal Energy Regulatory Commission said Berkshire’s proposal to increase its stake in the $60 billion oil company, filed last month, was “consistent with the public interest.” Berkshire had requested “authorization to acquire up to 50 percent” of Occidental, Ferc said. The regulator weighed the application because of its potential impact on Midwestern electricity markets. Occidental shares jumped 9.9% to $71.29 after Ferc’s filing. Buffett’s support was instrumental in Occidental’s $55 billion acquisition of Anadarko Petroleum in 2019. Occidental CEO Vicki Hollub flew to Berkshire’s headquarters in Omaha, Nebraska, to secure a package $10 billion in financing to close the deal. Berkshire received preferred stock as part of the deal and received warrants that now give it the right to purchase up to 83.9 million shares of Occidental common stock. But the deal closed months before the coronavirus pandemic hit oil prices, putting pressure on Occidental after it had taken on heavy debt to finance the Anadarko deal. This year Berkshire spent billions of dollars to buy Occidental shares on the open market. Her position in the company was recently eclipsed by 20%, prompting speculation that Berkshire could buy the business outright. Berkshire has moved more aggressively this year to increase its investments as its cash pile has swelled and its bets on the energy industry have stood out. Along with buying tens of millions of Occidental shares, Berkshire has poured money into Chevron, which ranked among its biggest public investments at the end of the second quarter, worth about $24 billion. Jim Shanahan, an analyst at Edward Jones, estimated that Berkshire will soon exercise its options to buy 83.9 million shares, saving it more than $900 million based on Occidental’s current share price. Berkshire did not respond to a request for comment. An Occidental spokesman said Ferc’s approval was necessary for Berkshire to secure 50 percent of the producer’s common stock because it held assets subject to Ferc regulation. The previous approval threshold was 25 percent, a level Berkshire was approaching. Buffett has invested in energy companies, but for years has mostly targeted utilities and power lines. The businesses were seen as a natural way for Berkshire to use the cash it generates, given the large capital projects involved. The anointing of Greg Abel as Buffett’s successor also fueled expectations for more energy investments, as he moved up Berkshire’s energy unit and worked on some of the company’s biggest deals in the sector.

While the 2020 oil crash hit Occidental hard, forcing it to cut its dividend and rein in drilling plans, it has been one of the stars of the recovery as months of capital discipline and rising oil prices have repaired a debt-laden balance sheet. Occidental has also sought to reposition itself as one of the industry’s climate leaders, setting a goal of net zero emissions by 2050, including from the products it sells, installing renewable energy facilities in Texas and proposing to scale up carbon capture technology. Its net zero strategy would also leave it in a “tax advantage” because of tax credits available for carbon sequestration techniques in the Inflation Reduction Act passed by Congress, said Paul Sankey, oil analyst at Sankey Research . “Buffett’s investment in Oxy has been a domestic business so far,” said Andrew Gillick, strategist at consulting firm Enverus. “Now it’s doubling down on a company that generates free cash flow from traditional oil and gas and is going to be a leader in the kind of carbon-reduction technology that the federal government supports.”

title: “Buffett S Berkshire Hathaway Wins Approval To Buy Up To Half Of Occidental Klmat” ShowToc: true date: “2022-10-27” author: “Bernadette Earl”

The Federal Energy Regulatory Commission said Berkshire’s proposal to increase its stake in the $60 billion oil company, filed last month, was “consistent with the public interest.” Berkshire had requested “authorization to acquire up to 50 percent” of Occidental, Ferc said. The regulator weighed the application because of its potential impact on Midwestern electricity markets. Occidental shares jumped 9.9% to $71.29 after Ferc’s filing. Buffett’s support was instrumental in Occidental’s $55 billion acquisition of Anadarko Petroleum in 2019. Occidental CEO Vicki Hollub flew to Berkshire’s headquarters in Omaha, Nebraska, to secure a package $10 billion in financing to close the deal. Berkshire received preferred stock as part of the deal and received warrants that now give it the right to purchase up to 83.9 million shares of Occidental common stock. But the deal closed months before the coronavirus pandemic hit oil prices, putting pressure on Occidental after it had taken on heavy debt to finance the Anadarko deal. This year Berkshire spent billions of dollars to buy Occidental shares on the open market. Her position in the company was recently eclipsed by 20%, prompting speculation that Berkshire could buy the business outright. Berkshire has moved more aggressively this year to increase its investments as its cash pile has swelled and its bets on the energy industry have stood out. Along with buying tens of millions of Occidental shares, Berkshire has poured money into Chevron, which ranked among its biggest public investments at the end of the second quarter, worth about $24 billion. Jim Shanahan, an analyst at Edward Jones, estimated that Berkshire will soon exercise its options to buy 83.9 million shares, saving it more than $900 million based on Occidental’s current share price. Berkshire did not respond to a request for comment. An Occidental spokesman said Ferc’s approval was necessary for Berkshire to secure 50 percent of the producer’s common stock because it held assets subject to Ferc regulation. The previous approval threshold was 25 percent, a level Berkshire was approaching. Buffett has invested in energy companies, but for years has mostly targeted utilities and power lines. The businesses were seen as a natural way for Berkshire to use the cash it generates, given the large capital projects involved. The anointing of Greg Abel as Buffett’s successor also fueled expectations for more energy investments, as he moved up Berkshire’s energy unit and worked on some of the company’s biggest deals in the sector.

While the 2020 oil crash hit Occidental hard, forcing it to cut its dividend and rein in drilling plans, it has been one of the stars of the recovery as months of capital discipline and rising oil prices have repaired a debt-laden balance sheet. Occidental has also sought to reposition itself as one of the industry’s climate leaders, setting a goal of net zero emissions by 2050, including from the products it sells, installing renewable energy facilities in Texas and proposing to scale up carbon capture technology. Its net zero strategy would also leave it in a “tax advantage” because of tax credits available for carbon sequestration techniques in the Inflation Reduction Act passed by Congress, said Paul Sankey, oil analyst at Sankey Research . “Buffett’s investment in Oxy has been a domestic business so far,” said Andrew Gillick, strategist at consulting firm Enverus. “Now it’s doubling down on a company that generates free cash flow from traditional oil and gas and is going to be a leader in the kind of carbon-reduction technology that the federal government supports.”

title: “Buffett S Berkshire Hathaway Wins Approval To Buy Up To Half Of Occidental Klmat” ShowToc: true date: “2022-12-08” author: “Richard Poppel”

The Federal Energy Regulatory Commission said Berkshire’s proposal to increase its stake in the $60 billion oil company, filed last month, was “consistent with the public interest.” Berkshire had requested “authorization to acquire up to 50 percent” of Occidental, Ferc said. The regulator weighed the application because of its potential impact on Midwestern electricity markets. Occidental shares jumped 9.9% to $71.29 after Ferc’s filing. Buffett’s support was instrumental in Occidental’s $55 billion acquisition of Anadarko Petroleum in 2019. Occidental CEO Vicki Hollub flew to Berkshire’s headquarters in Omaha, Nebraska, to secure a package $10 billion in financing to close the deal. Berkshire received preferred stock as part of the deal and received warrants that now give it the right to purchase up to 83.9 million shares of Occidental common stock. But the deal closed months before the coronavirus pandemic hit oil prices, putting pressure on Occidental after it had taken on heavy debt to finance the Anadarko deal. This year Berkshire spent billions of dollars to buy Occidental shares on the open market. Her position in the company was recently eclipsed by 20%, prompting speculation that Berkshire could buy the business outright. Berkshire has moved more aggressively this year to increase its investments as its cash pile has swelled and its bets on the energy industry have stood out. Along with buying tens of millions of Occidental shares, Berkshire has poured money into Chevron, which ranked among its biggest public investments at the end of the second quarter, worth about $24 billion. Jim Shanahan, an analyst at Edward Jones, estimated that Berkshire will soon exercise its options to buy 83.9 million shares, saving it more than $900 million based on Occidental’s current share price. Berkshire did not respond to a request for comment. An Occidental spokesman said Ferc’s approval was necessary for Berkshire to secure 50 percent of the producer’s common stock because it held assets subject to Ferc regulation. The previous approval threshold was 25 percent, a level Berkshire was approaching. Buffett has invested in energy companies, but for years has mostly targeted utilities and power lines. The businesses were seen as a natural way for Berkshire to use the cash it generates, given the large capital projects involved. The anointing of Greg Abel as Buffett’s successor also fueled expectations for more energy investments, as he moved up Berkshire’s energy unit and worked on some of the company’s biggest deals in the sector.

While the 2020 oil crash hit Occidental hard, forcing it to cut its dividend and rein in drilling plans, it has been one of the stars of the recovery as months of capital discipline and rising oil prices have repaired a debt-laden balance sheet. Occidental has also sought to reposition itself as one of the industry’s climate leaders, setting a goal of net zero emissions by 2050, including from the products it sells, installing renewable energy facilities in Texas and proposing to scale up carbon capture technology. Its net zero strategy would also leave it in a “tax advantage” because of tax credits available for carbon sequestration techniques in the Inflation Reduction Act passed by Congress, said Paul Sankey, oil analyst at Sankey Research . “Buffett’s investment in Oxy has been a domestic business so far,” said Andrew Gillick, strategist at consulting firm Enverus. “Now it’s doubling down on a company that generates free cash flow from traditional oil and gas and is going to be a leader in the kind of carbon-reduction technology that the federal government supports.”

title: “Buffett S Berkshire Hathaway Wins Approval To Buy Up To Half Of Occidental Klmat” ShowToc: true date: “2022-12-09” author: “Nikki Velez”

The Federal Energy Regulatory Commission said Berkshire’s proposal to increase its stake in the $60 billion oil company, filed last month, was “consistent with the public interest.” Berkshire had requested “authorization to acquire up to 50 percent” of Occidental, Ferc said. The regulator weighed the application because of its potential impact on Midwestern electricity markets. Occidental shares jumped 9.9% to $71.29 after Ferc’s filing. Buffett’s support was instrumental in Occidental’s $55 billion acquisition of Anadarko Petroleum in 2019. Occidental CEO Vicki Hollub flew to Berkshire’s headquarters in Omaha, Nebraska, to secure a package $10 billion in financing to close the deal. Berkshire received preferred stock as part of the deal and received warrants that now give it the right to purchase up to 83.9 million shares of Occidental common stock. But the deal closed months before the coronavirus pandemic hit oil prices, putting pressure on Occidental after it had taken on heavy debt to finance the Anadarko deal. This year Berkshire spent billions of dollars to buy Occidental shares on the open market. Her position in the company was recently eclipsed by 20%, prompting speculation that Berkshire could buy the business outright. Berkshire has moved more aggressively this year to increase its investments as its cash pile has swelled and its bets on the energy industry have stood out. Along with buying tens of millions of Occidental shares, Berkshire has poured money into Chevron, which ranked among its biggest public investments at the end of the second quarter, worth about $24 billion. Jim Shanahan, an analyst at Edward Jones, estimated that Berkshire will soon exercise its options to buy 83.9 million shares, saving it more than $900 million based on Occidental’s current share price. Berkshire did not respond to a request for comment. An Occidental spokesman said Ferc’s approval was necessary for Berkshire to secure 50 percent of the producer’s common stock because it held assets subject to Ferc regulation. The previous approval threshold was 25 percent, a level Berkshire was approaching. Buffett has invested in energy companies, but for years has mostly targeted utilities and power lines. The businesses were seen as a natural way for Berkshire to use the cash it generates, given the large capital projects involved. The anointing of Greg Abel as Buffett’s successor also fueled expectations for more energy investments, as he moved up Berkshire’s energy unit and worked on some of the company’s biggest deals in the sector.

While the 2020 oil crash hit Occidental hard, forcing it to cut its dividend and rein in drilling plans, it has been one of the stars of the recovery as months of capital discipline and rising oil prices have repaired a debt-laden balance sheet. Occidental has also sought to reposition itself as one of the industry’s climate leaders, setting a goal of net zero emissions by 2050, including from the products it sells, installing renewable energy facilities in Texas and proposing to scale up carbon capture technology. Its net zero strategy would also leave it in a “tax advantage” because of tax credits available for carbon sequestration techniques in the Inflation Reduction Act passed by Congress, said Paul Sankey, oil analyst at Sankey Research . “Buffett’s investment in Oxy has been a domestic business so far,” said Andrew Gillick, strategist at consulting firm Enverus. “Now it’s doubling down on a company that generates free cash flow from traditional oil and gas and is going to be a leader in the kind of carbon-reduction technology that the federal government supports.”