Berkshire expands Occidental shareholding: press
Berkshire Hathaway, the Nebraska-based vehicle owned by Warren Buffet, has purchased a further 1.94mn shares in Texas E&P company Occidental Petroleum, Reuters reported July 19.
The move brings Berkshire closer to a quota that would allow it to book some of Occidental's earning report alongside its own financial update. A 20% stake would allow Berkshire to record its proportionate share of Occidental earnings, under a rule known as the equity method of accounting.
The National Gas Company of Trinidad and Tobago Limited (NGC) NGC’s HSSE strategy is reflective and supportive of the organisational vision to become a leader in the global energy business.
Berkshire currently owns around $10bn of Occidental preferred stock, and also has warrants to purchase another 83.9mn common shares worth $5bn. Regulatory filings indicate Berkshire paid $112mn for stock purchases from July 14 to July 16, giving it a 19.4% stake valued at around $10.9bn.
Occidental Petroleum's share price has more than doubled this year, rising on the back of higher oil prices in light of Russia's invasion of Ukraine.