Occidental Petroleum's shares rose 3.7% on Thursday following reports that current chief executive Vicki Hollub is preparing to retire, and that Chief Operating Officer Richard Jackson is set to succeed her.
People familiar with the matter say Hollub, 66, intends to announce her retirement later this year after more than four decades with the Houston-based oil producer. Jackson, 49, who was promoted to the role of COO in October, is reported by three people to be positioned to become CEO when Hollub steps down.
Hollub became the first woman to head a major oil company and oversaw the company's expansion into one of the Permian Basin's largest producers. Her tenure included the 2019 acquisition of Anadarko Petroleum for $55 billion, a transaction that included $10 billion in financing from Berkshire Hathaway.
Sources indicate a transitional period is expected. That transition could involve Hollub remaining in an advisory capacity or announcing a future departure date while Jackson is designated as CEO-designate. Those same accounts state that Hollub is expected to remain on Occidental's board.
The reports cite multiple unnamed individuals familiar with the situation. They note that Jackson's elevation to COO in October placed him in a prominent operational role ahead of a potential leadership handover. Details on exact timing and the form of the transition have not been specified by company officials.
The developments combine corporate governance changes with market reaction, as the company's shares reacted positively to the prospect of a planned succession. Observers will be watching for formal announcements from the company that confirm timelines and any transitional arrangements.
Contextual note: The reporting on the intended retirement and succession plan referenced multiple people familiar with the matter. No official company statement with exact dates or formal appointments has been cited in those accounts.