• 4 minutes Energy Armageddon
  • 6 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 12 minutes "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 5 hours Is Europe heading for winter of discontent with extensive gas shortages?
  • 14 hours "False Flag Planted In Nord Stream Pipeline, GFANZ, Gore, Carney, Net Zero, U.S. Banks, Fake Meat, and more" - NEWS in 28 minutes
  • 2 hours ""Green" Energy Is a Scam. It Isn't MEANT to Work." - By James Corbett of The Corbett Report
  • 6 hours Wind droughts
  • 5 days Kazakhstan Is Defying Russia and Has the Support of China. China is Using Russia's Weakness to Expand Its Own Influence.
  • 24 hours Xi Is Set To Be Re-Elected As China’s Leader
  • 9 days Oil Prices Fall After Fed Raises Rates
  • 3 hours 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 2 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 4 hours Australian power prices go insane
  • 11 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 4 hours Europeans and Americans are beginning to see the results of depending on renewables.

Buffett Buys Another $700 Million In Occidental Shares

Berkshire Hathaway, the investment firm of Warren Buffett, has increased its stake in Occidental Petroleum, buying 12 million additional shares that have pushed its holding in the company to 18.7 percent.

The latest share acquisition cost close to $700 million, Reuters reported, citing a regulatory filing made by Berkshire Hathaway. The investment company has thus become the largest shareholder in the energy major.

The report noted that the recent series of share purchases in Oxy could suggest that Berkshire might eventually decide to take over the company. A week ago, Berkshire Hathaway bought another 9.9 million shares in Oxy.

Reuters reported earlier this month that in addition to its stock in the company, Berkshire Hathaway also has warrants for the purchase of another 83.9 million shares in Oxy for some $5 billion.

Buffett’s conglomerate started buying shares in Oxy earlier this year, and by early May, it already had 15.2 percent. As a holder of over 10% in a public company, Berkshire Hathaway now has to report new ownership shares within two business days.

Related: Could Argentina’s Dead Cow Shale Patch Help Solve The Energy Crisis?

The move could be seen as Buffett preparing to lift Berkshire Hathaway’s stake to 20 percent, which would give the company a different accounting treatment for Occidental and let it reflect a proportional share of Occidental’s earnings in its own results, Barron’s reported in May.

Three years ago, Berkshire Hathaway funded Oxy’s takeover of Anadarko with $10 billion in the form of equity. It was as part of this deal that the investment firm received the stock purchase warrants that could see it acquire 20 percent or more in Occidental.

Occidental bought Anadarko for $55 billion in 2019, making it one of the biggest M&A deals in energy over the past few years. In that, it outbid Chevron, which had earlier announced a bid for the energy company.

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:

Join the discussion | Back to homepage

Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News