Western Oil releases fourth-quarter financial results

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　　Sinochem New Network News: Recently, Western Oil Company of the United States released its financial results for the fourth quarter of 2025. Financial reports show that following the completion of the sale of the OxyChem chemicals business, the company has reduced its debt by $5.8 billion since mid-December, bringing the total principal amount down to $15 billion – marking significant progress in the deleveraging process. The net loss for the quarter was $68 million, or $0.07 per share. Along with the improvement in financial performance, the company announced a quarterly dividend increase of over 8% to $0.26 per share, aiming to double the dividend amount within 4 years. 　　OxyChem’s spin-off marks a structural shift at Western Oil, as the company focuses on its upstream and midstream operations while advancing carbon management initiatives. With a significant reduction in leverage and production exceeding expectations, Western Oil will enjoy greater financial flexibility by 2026; the key variable remains commodity pricing. 　　In terms of operations, the average quarterly production was 1.481 million barrels of oil equivalent per day, exceeding the target limit, driven primarily by strong performance in the Permian and Rocky Mountain regions. However, weak commodity prices put pressure on profits. The midstream and marketing business performed well, with pre-tax revenue rising from $81 million in the third quarter to $204 million, driven mainly by improved profits from Permian gas transportation and lower costs associated with crude oil transportation. Operating cash flow remained resilient at $2.6 billion; capital expenditures amounted to $1.8 billion, resulting in free cash flow of $1 billion.