Berkshire Hathaway cleared to buy up to 50% of Occidental Petroleum

Warren Buffett’s Berkshire Hathaway received authorization Friday from federal energy regulators to acquire up to 50 per cent of Occidental Petroleum, one of country’s largest oil and natural gas producers.

The Federal Energy Regulatory Commission said in its order authorizing the partial acquisition that Berkshire said in its July request that the share purchase “would not have an adverse effect” on utility rates and would not hurt competition.

This month, Berkshire disclosed that it had already accumulated more than 20 per cent of Occidental’s shares. Shares of the oil company, which is based in Houston, had already risen more than 100 per cent this year and climbed an additional 9 per cent after the commission released its order Friday.