Occidental Petroleum (OXY) has announced new strategic and financial initiatives as part of a restructuring of its partnership with Texas-based Western Midstream Partners (WES).
WES, based in The Woodlands, has more than 15,200 miles of oil and gas pipelines and about six dozen processing and treatment facilities in the midwestern United States and Texas. Under the restructuring, WES will be able to operate as an independent midstream company.
The amendments to the partnership also expand unitholders’ rights, including the right to remove and replace OXY as the general partner and transfer WES corporate officers’ employment from OXY to the partnership, among other things, according to a statement. Accordingly, OXYwill no longer consolidate WES’s statement of operations, balance sheet and statement of cash flows.
“Over the last few months, Occidental and WES have worked to finaliz
