Occidental Petroleum Corp said it opposes Texas oil and gas regulators imposing production limits.
At a meeting on April 14, Texas regulators are set to consider curtailing output as part of an effort to curb an oil oversupply caused by the coronavirus pandemic. This move is the first time taken by Texas regulators in nearly 50 years.
For Texas officials, it is rare to seek oil production cuts. However, Texas has been urged by Parsley Energy Inc and Pioneer Natural Resources Co to mandate 20 percent oil production cuts at larger oil firms. Regulators were also demanded by Pioneer’s chief executive to consider blocking higher foreign oil imports.
Calling the curtailment idea as a “short-sighted” one, the Occidental also said in a letter to regulators that it would disadvantage Texas producers against other states.
