Italian oil&gas major ENI in turbulent times

By |2019-10-04T17:17:56+02:00Monday, 30 September 2019|Categories: #BigE100|Tags: , , , |0 Comments

Busy days for Italian oil and gas giant Eni ranging from good to not so good news.

Eni is a second-tier supermajor with 1.9 boe/d oil and gas production and assets worldwide. Three parallel developments have characterized the last few days: new fossil investment, renewable plans and fossil heritage.

1.
Billions for Norway and the Barent Sea: Vår Energi (68.6% ENI-owned) acquires ExxonMobil´s upstream assets in Norway for $4.5 billion. The deal comprises 150.000 boe/d production effectively doubling Eni´s equity production. Eni is now the second-largest oil and gas producer in Norway after state-owned Equinor (Statoil).

ExxonMobil, like other supermajors such as Chevron and ConocoPhillips, is disposing of non-core assets to raise cash and reduce risk. US supermajors are moving capital closer to home to invest in US shale basins, or in global LNG assets.

2.
Eni has entered a far-reaching agreement with global renewables developer MainstreamRP to develop large-scale RE projects in the UK (offshore wind), Asia and Africa. The move mimics similar investments by oil majors.

Eni targets a 1.6GW renewable generation capacity by 2022 and 5 GW by 2025. In the […]