Occidental Petroleum sells DJ Basin mineral position to Elk Range Royalties
1. OXY sold mineral rights in Colorado's DJ Basin for $905 million. 2. The sale covers 250,000 acres and strengthens OXY's liquidity.
FAQ
Why Bullish?
The substantial cash inflow from the sale could enhance OXY's financial flexibility and investment capacity. Historically, sales of non-core assets have helped improve stock prices for energy companies.
How important is it?
The sale significantly impacts OXY’s liquidity, indicating a positive shift in strategy and potential stock performance.
Why Short Term?
This transaction's immediate cash benefit can positively influence OXY’s stock price. Quick reinvestment strategies or stock buybacks could occur post-sale.