Taking Advantage Of Rising Oil Prices Due To The Russia-Ukraine War, US Conglomerate Warren Buffet Gets Dividends Of IDR 2.8 Trillion Per Quarter From This Company

Warren Buffet. (Photo: Doc. Antara)

JAKARTA - Billionaire Warren Buffet has increased his ownership in the US oil company, Occidental Petroleum. This was done by one of the richest people in the world, along with rising oil prices at the beginning of Russia's invasion of Ukraine.

In a Securities and Exchange Commission (SEC) disclosure on Friday, March 4, Berkshire revealed that someone from the company, either Warren Buffet or his investment portfolio manager, was interested in Occidental Petroleum. This was reported by CNBC, quoted Monday, March 7.

More than 61 million shares of the oil company were purchased on Wednesday, Thursday, Friday, and Saturday with prices ranging from 47.07 to 56.45 US dollars. As of Friday, the Massachusetts-based conglomerate had 91.2 million shares totaling $5.1 billion at a closing price of $56.15, up 45 percent on the week.

Occidental Petroleum conducts oil and gas exploration and production activities in the United States, Middle East, and Africa. Its businesses include producing oil and condensate, liquefied natural gas, and natural gas.

Another 29 million shares may have been purchased this year. However, Buffett's stake in the oil giant has not yet reached 10 percent. Berkshire already holds 83.9 million warrants at $59.62.

Although it has not been executed, but for the purposes of SEC disclosure, the warrants must be calculated so that Berkshire's ownership can be more than 17 percent. For this ownership, the company owned by Warren Buffet is expected to receive dividend payments of 8 percent per year or around 200 million US dollars (approximately IDR 2.8 trillion) per quarter.