EXHIBIT 10.39


                    Summary of Material Terms and Conditions
                                       of
                       Supplemental Retirement Allocations
                        (Effective as of January 1, 2005)

Background - As of December 31, 2004, in response to the American Jobs Creation
Act of 2004 (the "Jobs Creation Act"), no further contribution allocations may
be made to the Occidental Petroleum Corporation Supplemental Retirement Plan
(the "Old SRP"). Until supplemental guidance is issued by the Internal Revenue
Service and a new plan that conforms to such guidance is adopted by the Board of
Directors, Occidental Petroleum Corporation will make contingent allocations in
a manner that will generally mirror the provisions of the Old SRP, except for
necessary or advisable revisions to conform to the new Internal Revenue Code
("Code") Section 409A.

The following is a summary of the material terms and conditions that will govern
such allocations:

Eligibility - The supplemental retirement allocations will be available to
certain higher paid employees of Occidental Petroleum Corporation and its
subsidiaries in order to compensate them for maximums imposed by law upon
contributions to qualified plans. Any employee who was a participant in the Old
SRP and whose account in that plan was not fully vested on December 31, 2004
shall have a supplemental retirement allocations account established on January
1, 2005. The nonvested account of such a participant shall be transferred to the
supplemental retirement allocations account maintained for the participant as of
January 1, 2005.

Allocations - Allocations related to the Occidental Petroleum Corporation
Retirement Plan (PRA) will be based on the Social Security wage base, and an
eligible employee's age and pay. A contingent credit will be made to
supplemental retirement allocations and will be adjusted based on an eligible
employee's pay and the annual additions and elective deferral limits imposed by
Code Sections 415 and 402(g). For this purpose, it is assumed that the employee
has made the maximum elective deferrals and/or after-tax contributions permitted
to the Occidental Petroleum Corporation Savings Plan (PSA). Allocations related
to the PSA are based on the compensation limits imposed by Code Section
401(a)(17) and an eligible employee's pay. Allocations relating to the
Occidental Petroleum Corporation 2005 Deferred Compensation Plan will be based
on an eligible employee's age and bonus. An eligible employee's account also
reflects interest credits.

Vesting - All benefits under supplemental retirement allocations are contingent
and forfeitable and no participant shall have a vested interest in any benefit
unless, while he is still employed, a participant becomes fully vested in his
benefit under the PRA.

Distributions - A participant's vested supplemental retirement allocations
account may not be distributed earlier than a participant's separation from
service or death. If a participant is a key employee, a distribution made on
account of separation from service



may not be made before a date that is at least six months after the
participant's separation from service. If a participant fails to make a valid
and timely election, any vested account maintained for the participant shall be
paid as a single sum as soon as administratively practicable. In addition,
notwithstanding any election made by the participant, if the balance of any
vested account maintained for the participant is less than $50,000 when the
amount first becomes payable, the balance shall be paid in a single sum as soon
as administratively practicable. Annual installment payments over 5, 10, 15, or
20 years are available.

No change in distribution election shall be permitted which accelerates the time
of any payment. Any change in election resulting in a delay or change in the
form of payment shall not take effect until the one-year anniversary of the date
the changed election is properly made. In the case of a payment on account of
the participant's separation from service, the first payment under the changed
election must result in a deferral for a period of at least 5 years from the
date the first payment would have been made under the initial election.