Occidental confirms it will no longer pursue contract extension for ISND
Occidental Petroleum confirmed it will no longer pursue the extension of the Idd El-Sharghi North Dome, or ISND, offshore field in Qatar, which expires in October 2019. 2018 Free Cash Flow, or FCF, for ISND is estimated to be less than $300 million with production of 51,000 barrels of oil equivalent per day, prior to adjustment for foreign tax barrels. Occidental intends to have the production and cash flow from the ISND contract replaced in 2020 from its ongoing development program and reallocation of 2019 capital from ISND. Due to the major infrastructure investments that would have been required under an extension, the company's estimate for FCF was approximately $70 million annually for the first five years.