. Last Updated: 07/27/2016

Occidental Takes Big Loss in Komi

LOS ANGELES -- Occidental Petroleum Corp said Thursday it took a $105 million charge in the third quarter for the write-down of its investment in the Komi oil and natural gas project in Russia.


Oil industry sources say Occidental's partner in Komi Arctic Oil Co. is British Gas plc.


Occidental spokesman Kenneth Huffman would provide no further details about the write-down.


The company offset the impact of the charge with a $100 million benefit from a reduction in federal income tax liabilities no longer required.


It reported a higher-than-expected net income of $194 million, or $0.53 per share for the third quarter, compared with $139 million, $0.36 per share, in 1995.


"Our oil and gas division continued the excellent performance of the first six months" in the third quarter, the company said. "Chemical earnings continued to improve from the levels in the first and second quarters."