Warren Buffett has been making a massive bet on oil stocks this year. His company, Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B), has invested billions of dollars in building sizable positions in oil giants Chevron (NYSE: CVX) and Occidental Petroleum (NYSE: OXY).

Berkshire most recently bought another 6 million shares of Occidental, and now holds 20.9% of its outstanding shares. That makes it one of Berkshire's 10 largest holdings.

Buffett clearly likes what he sees in the oil giant. Here's a closer look at why he's buying Occidental and whether that makes it a good oil stock for other investors to add to their portfolios.

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Source Fool.com