Occidental Petroleum

Occidental Petroleum is a major US oil and gas producer with a large presence in the Permian Basin, complemented by chemicals and a growing focus on carbon capture. Backed by a prominent stake from Berkshire Hathaway, it carries significant debt from past acquisitions, which keeps balance-sheet repair high on management's agenda. Occidental has a very long formal history of paying dividends, but that record includes a deep cut during the last oil downturn, after which the payout was rebuilt from a much lower level. Today's yield is moderate and the dividend is once again growing, yet the memory of that reduction, and the sensitivity to oil prices, temper its income profile. It suits investors comfortable with commodity-driven distributions.