The Good
[  ]  one of top 50 best companies for minorities
[  ]  one of top 100 companies for working mothers
[X]  Has a non-discrimination policy that includes sexual orientation

To Be Improved
[  ] - sites in non-democratic nations
[  ] - child labor violations in last five years
[X] - environmental violations in last five years

Occidental produces or participates in the production of crude oil, condensate and natural gas in the United States, Australia, Canada, Colombia, Ecuador, Nigeria, Oman, Pakistan, Peru, Qatar, Russia and Yemen.

Occidental in Colombia

Occidental conducts exploration and production operations in Colombia under five contracts with Ecopetrol, the Colombian national oil company. Occidental is proceeding with plans to explore in the northern 25 percent of what is known as the Samore block in the Llanos basin.

Occidental blames local guerillas for provoking the conflict in the area, and Larry Mariage, a Vice-President of Occidental, claimed in a Jan 17 2000 letter in Oil and Gas Journal that the ELN and FARC had coerced landowners in the area to sell their land to the U'wa, implying a form of cooperation, and added that: "NGO activists have been claiming that this is a pristine rain forest area....[but] the area is simply not rain forest by any definition of the term with which I am familiar."

As a result of concerns raised by a tribe of indigenous people called the U'wa, Occidental claims to have voluntarily relinquished the southern 75 percent of the block, and the U'wa secured a Columbian Court order in March 2000 restraining Occidental from developing its Gibraltar 1 site in the block on the grounds that drilling would have an influence on U'wa lands and that the U'wa were not sufficiently consulted on the development of the site.

Occidental said that they had carried out all consultation needed over the proposed drilling site, which lies just outside the boundaries of the U'wa's official territory, but the judge believed otherwise.

According to The U'wa Defense Working Group,

The U'wa --a peaceful semi-nomadic tribe of 5,000-- adamantly oppose oil exploration on their land because of the central role that oil installations play in Colombia's civil war. The U'wa also oppose oil drilling because of their spiritual connection to the land and the ecological destruction that oil exploitation will bring, and have previously threatened mass suicide if their demands are not met.

Occidental and Superfund

Occidental is currently participating in environmental assessments and cleanups at federal Superfund sites, comparable state sites and other remediation sites, including Occidental facilities and previously owned sites. Occidental and its subsidiaries have also been involved in a substantial number of governmental and private proceedings involving historical practices at various sites, including, in some instances, having been named as defendants, as potentially responsible parties ("PRPs"), or as both defendants and PRPs under the federal Superfund law. These proceedings seek remediation, funding for remediation, or both, and, in some cases, compensation for alleged personal injury or property damage, punitive damages and civil penalties.

Occidental's estimated operating expenses in 1999 relating to compliance with environmental laws and regulations governing ongoing operations were approximately $64 million, compared with $70 million in 1998 and $93 million in 1997. In addition, capital expenditures for environmental compliance were $36 million in 1999, compared with $56 million in 1998 and $116 million in 1997.

As of December 31, 1999, Occidental had been notified by the EPA or equivalent state agencies or otherwise had been identified as being involved at 127 Superfund or comparable state sites, not including those sites where Occidental has been successful in resolving its involvement. It has denied involvement at 10 sites.

Occidental and the EPA

In April 1998, a civil action was filed on behalf of the EPA against Occidental Chemical (OxyChem) relating to the Centre County Kepone Superfund Site at State College, Pennsylvania. The lawsuit seeks approximately $12 million in penalties and governmental response costs, a declaratory judgment that OxyChem is a liable party under CERCLA, and an order requiring OxyChem to carry out the remedy that is being performed by the site owner.

In October 1998, the U.S. District Court for the Middle District of Pennsylvania granted OxyChem's motion to dismiss the United States' case. In December 1999, the United States Court of Appeals for the Third Circuit reversed the dismissal and remanded the case to the District Court. OxyChem is vigorously contesting the United States' allegations and the proposed penalty.

Environmental Award for Occidental

Hart’s Oil & Gas World awarded its 1998 Best Environmental Project to Occidental’s Elk Hills operation for its work in conserving endangered species.

The Health, Environment and Safety Program (HES)
Occidental has instituted a health, environment and safety (HES) program, and its management claims to pursue continuous improvement in the benchmarks it sets. Occidental claims that since 1993, worker injuries have declined by 71 percent, and environmental occurrences have declined by 84 percent.

The U.S. Minerals Management Service recognized Occidental's oil and gas operations in the Gulf of Mexico as a “pacesetter,” with no recordable injuries in three years. For the second consecutive year, the Chemical Manufacturers Association awarded the Responsible Care® Sustained Excellence Award to OxyChem for its commitment to workplace safety. OxyChem was selected by experts representing the CMA, the federal Occupational Safety and Health Administration, the National Institute for Chemical Studies, the International Chemical Workers Union and the Massachusetts Institute of Technology.

Occidental Petroleum spent $1,620,000 in lobbying expenditures in 1998 according to the Center for Responsive Politics.

• Occidental Petroleum's 1999 SEC Filing, available on Lexis-Nexis at www.lexis-nexis.com/lncc

• Oil and Gas Journal, also available on Lexis-Nexis

• U'wa Defense Working Group- Reports available on Lexis-Nexis

• The Rainforest Action Network provides information on the U'wa campaign against Occidental:  www.ran.org/ran_campaigns/beyond_oil/oxy/index.html