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California's equivalent of a regional Chevron, entirely focused on exploring, producing, and processing the state's oil and natural gas.

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• Crude Oil: Explored for, produced, gathered, processed, and marketed to California refineries and other purchasers.
• Natural Gas: Explored for, produced, gathered, processed, and marketed to various purchasers with access to transportation and storage facilities.
• Natural Gas Liquids (NGLs): Explored for, produced, gathered, processed, and marketed alongside crude oil and natural gas.
• Electricity Generation and Sale: Generated and sold to local utilities and the power grid.

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California Resources Corporation (CRC) sells primarily to other companies, rather than individuals. While the company does not publicly disclose the names of its specific major customers in its financial filings, it describes the categories of business customers it serves.

The major customer categories for California Resources are:

• California Refineries: These industrial customers purchase crude oil from CRC to process into various petroleum products such as gasoline, diesel, and jet fuel.
• Marketers: These companies purchase crude oil, natural gas, and natural gas liquids (NGLs) from CRC to then resell them to other businesses or end-users, acting as intermediaries in the energy supply chain.
• Local Utilities and the Grid: For its electricity generation operations, CRC sells power to local utility companies and directly to the electricity grid, which distributes it to consumers and businesses.

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Mr. Leon has served as President and Chief Executive Officer of California Resources Corporation since April 2023. He previously held the position of Executive Vice President and Chief Financial Officer of CRC from August 2020 to April 2023. Mr. Leon originally joined CRC in 2014 during its spin-off from Occidental Petroleum, where he served as Vice President of Portfolio Management and Strategic Planning, and later as Vice President of Corporate Development, overseeing acquisition and divestiture activities. Prior to joining CRC, he worked at Occidental Petroleum Corporation in various finance, planning, and U.S. and international business development areas. He began his career with Petrie Parkman & Co., Inc., an energy-focused boutique investment banking firm. Mr. Leon is actively involved in CRC's decarbonization projects and carbon capture and storage (CCS) initiatives through Carbon TerraVault.

Ms. Crespy is appointed as Executive Vice President and Chief Financial Officer of California Resources Corporation, effective January 1, 2025, succeeding Nelly Molina. She brings extensive experience as an investment banker focused on energy, power, carbon management, and sustainability. Prior to joining CRC, Ms. Crespy was a Senior Managing Director at Guggenheim Securities, where she led the Global Energy & Power's sustainability practice. Her previous roles include Managing Director at Evercore, where she advised upstream energy companies and power producers on strategic and financial transactions, and a position at BNP Paribas. She began her career at the World Bank.

Mr. Bys serves as the Executive Vice President and Chief Commercial Officer for California Resources Corporation. Further specific background information regarding his past involvement with other companies, sales of companies, or a pattern of managing private equity-backed companies is not readily available in the provided search results.

Mr. Gould is the Executive Vice President and Chief Sustainability Officer, and Managing Director of CTV Holdings, for California Resources Corporation. Further specific background information regarding his past involvement with other companies, sales of companies, or a pattern of managing private equity-backed companies is not readily available in the provided search results.

Mr. Hayat holds the position of Executive Vice President and Chief Operating Officer at California Resources Corporation. Further specific background information regarding his past involvement with other companies, sales of companies, or a pattern of managing private equity-backed companies is not readily available in the provided search results.

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Key Risks to California Resources Corporation (CRC)

1. Regulatory Environment in California and Energy Transition: California Resources Corporation operates within a highly stringent and evolving regulatory landscape in California, which is aggressively pursuing net-zero emissions. This includes complex environmental and safety regulations, challenging permitting processes, and policies like the cap-and-invest program that increase operational costs and can lead to project delays. The state's push towards renewable energy and the phasing out of fossil fuels fundamentally challenges CRC's traditional oil and natural gas business model. This creates a higher-cost production base compared to other regions, making CRC more vulnerable to market fluctuations and potentially putting it at a competitive disadvantage.
2. Market Volatility of Oil and Natural Gas Prices: CRC's revenue is directly tied to the global commodity markets for crude oil and natural gas, which are inherently volatile. While the company employs hedging strategies to mitigate some of this risk, significant and sustained drops in commodity prices below their operational assumptions can severely impact free cash flow and overall profitability.
3. Well Cleanup Liabilities and Idle Wells: As a major oil and gas producer in California, CRC holds a substantial number of wells, many of which are unproductive or idle. The company faces significant future obligations and costs associated with plugging and abandoning these wells. There are concerns that CRC may not generate sufficient future cash flow to cover these impending cleanup liabilities, potentially placing a financial burden on the company and, in some scenarios, taxpayers.

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The aggressive and legally mandated transition in California towards electric vehicles and renewable energy sources poses a clear emerging threat to California Resources Corporation's long-term demand for its primary products. Specifically, the state's 2035 mandate to ban the sale of new gasoline-powered vehicles directly impacts future demand for crude oil products, while the rapid expansion of renewable electricity generation and battery storage threatens demand for natural gas in power generation.

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California Resources Corporation (CRC) operates in the crude oil, natural gas, and natural gas liquids markets, and also engages in electricity generation and sales. The addressable markets for its main products and services are primarily within California, with broader U.S. market data providing additional context where California-specific financial market sizes are not explicitly available.

Crude Oil

In terms of production volume, California's crude oil output in February 2026 was approximately 7.621 million barrels. The state's refineries received varying amounts of crude oil in 2025, for instance, ranging from 5.175 million barrels to 10.457 million barrels per month. As of 2022, California produced less than 25% of the crude oil consumed statewide, with the majority being imported. The broader U.S. oil and gas market, which includes crude oil, was valued at an estimated USD 252.6 billion in 2024 and is projected to reach USD 339.5 billion by 2033.

Natural Gas

Customers in California consume approximately 1,904.0 billion cubic feet (Bcf) of natural gas annually. In 2024, California was the second-largest natural gas consumer in the United States, after Texas. For the U.S. market, the natural gas sector is significant, with the U.S. natural gas market size expected to reach US$473.4 billion in 2025 and grow to US$601.8 billion by 2032.

Natural Gas Liquids (NGLs)

The U.S. natural gas liquids market size was estimated at USD 5.9 billion in 2024. This market is projected to grow to USD 10.6 billion by 2035. North America, with the U.S. holding a dominant share of 92.8% in 2024, is a leading region in the NGL market.

Electricity Generation and Sale

California's total system electric generation, encompassing in-state production and net imports, amounted to 281,140 gigawatt-hours (GWh) in 2023. California was the nation's fourth-largest total electricity producer in 2024, contributing about 5% of all U.S. utility-scale power generation. The overall U.S. electricity sector generated approximately USD 491 billion in revenue in 2023. Specifically, the U.S. natural gas-fired electricity generation market, a key area for CRC, generated USD 6,712.5 million in revenue in 2019 and is anticipated to reach USD 10,551.9 million by 2027.

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• Increased Oil and Natural Gas Production: CRC projects a 12% year-over-year increase in net production to 155,000 barrels of oil equivalent per day in 2026. This growth is supported by a four-rig drilling program concentrated on lower-risk development wells and workovers. The company has demonstrated consistent production growth, with a 25% year-over-year increase in net production to 138,000 barrels of oil equivalent per day in 2025.
• Growth in Carbon Capture and Storage (CCS) and Carbon Management Services: The company's Carbon TerraVault initiative is a significant new revenue stream. CRC has completed the construction and is in the commissioning phase of California's first commercial-scale CCS project at Elk Hills. The project is awaiting final EPA approval for CO2 injection, which is expected in spring 2026. This CCS project is projected to generate sequestration revenue of $50-$60 per metric ton through fees and is eligible for $85 per metric ton in 45Q tax credits, alongside potential Low Carbon Fuel Standard (LCFS) credits.
• Synergies from the Berry Merger: CRC is targeting $80-$90 million in synergies resulting from its merger with Berry. These synergies are expected to enhance operational efficiency and contribute to financial performance, indirectly supporting revenue growth by improving profitability and potentially enabling more strategic investments.
• Improved Permitting Environment: A significant development for CRC is the resumption of new drill permitting and a steady flow of approvals from regulatory bodies in California. This "step change" has allowed CRC to secure the majority of permits required for its 2026 capital program and has enabled the company to return to drilling new wells. This improved regulatory environment directly facilitates increased oil and natural gas production.
• Expansion of Electricity Generation and Sales: California Resources Corporation's integrated strategy includes a focus on its power platforms. The company engages in the generation and sale of electricity to local utilities and the grid. While specific growth targets for this segment are not detailed in the provided snippets, its inclusion in CRC's integrated strategy alongside carbon management highlights it as an ongoing and developing revenue component within California's evolving energy landscape.

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Share Repurchases

• Since May 2021, California Resources Corporation (CRC) has returned approximately $1.1 billion to shareholders through share repurchases.
• In 2025, CRC repurchased 8.3 million shares of its common stock for $377 million.
• As of February 28, 2026, the company had $600 million remaining under its authorized share repurchase program, which was increased by $430 million and extended through December 31, 2027.

Share Issuance

• In connection with the Berry Merger, which closed on December 18, 2025, approximately 5.6 million CRC shares were issued to Berry shareholders.

Outbound Investments

• California Resources Corporation completed an all-stock combination with Berry Corporation on December 18, 2025, a transaction valuing Berry at approximately $717 million, including its net debt.
• CRC utilized proceeds from a private offering of $400 million in 7.000% senior notes due 2034 to repay Berry's outstanding debt and cover transaction costs related to the merger.
• The company is advancing its carbon management and power platforms, including the substantial completion of its first commercial-scale Carbon Capture and Storage (CCS) project at Elk Hills.

Capital Expenditures

• Total capital expenditures for the full-year 2025 amounted to $322 million.
• Expected capital investments for 2026 are projected to be between $430 million and $470 million.
• For 2026, the primary focus of capital expenditures includes $280 million to $300 million for drilling, completions, and workovers supporting a four-rig program, and $12 million to $20 million allocated to carbon management initiatives.