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ENI S.p.A. (E)

  • Oct. 1, 2014, 5:58 PM
    • Italian prosecutors investigating Eni (NYSE:E) over the purchase of a Nigerian oilfield three years ago allege that at least half the $1.1B paid was used for bribing local politicians, intermediaries and others, Reuters reports, citing official documents.
    • The prosecutors have placed the Italian oil company, former CEO Paolo Scaroni and current boss Claudio Descalzi under investigation for alleged international corruption surrounding the deal for the OPL 245 offshore oilfield concession in 2011.
    • Production from the deepwater oilfield is expected to begin in 2016 and is estimated to hold up to 9.2B barrels of crude, equivalent to nearly 25% of Nigeria's total proven reserves.
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  • Sep. 25, 2014, 9:16 AM
    • Eni (NYSE:E) says it was awarded three new exploration licenses in Egypt, including a 100% interest and operatorship of the onshore block South-West Melehia in Egypt's Western desert.
    • The new licenses will be formally awarded after the ratification and finalization of the concession agreements, the company says.
    • Eni has been present in Egypt since 1954 and produces ~220K boe/day in the country.
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  • Sep. 22, 2014, 6:12 PM
    • Six global energy companies - including Southwestern Energy (NYSE:SWN), Statoil (NYSE:STO), Eni (NYSE:E) and BG Group (OTCPK:BRGXF, OTCQX:BRGYY) - reportedly have agreed to work to reduce emissions of methane in partnership with more than a dozen national governments through a new United Nations framework.
    • Officials from the UN and governments that back curbing emissions are increasingly looking to push companies and emerging economies to take voluntary steps to reduce emissions, since the international community has failed to adopt strict binding regulations.
  • Sep. 18, 2014, 11:49 AM
    • Eni (E +0.5%) says it made an oil discovery in Ecuador at its Oglan-2 exploration well, located in the Block 10 concession in the Amazonas region, which could hold 300M barrels of crude oil.
    • Data from Oglan indicates a production capacity per well of up to 2K bbl/day of oil; Eni's nearby Villano field, also inside Block 10, currently produces ~12.5K bbl/day.
    • Yesterday, Eni announced a potential 300M barrel discovery at a deepwater prospect offshore Angola.
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  • Sep. 17, 2014, 7:58 AM
    • Eni (NYSE:E) says it made a new oil discovery at the Ochigufu exploration deepwater prospect off Angola; it is the 10th commercial oil discovery in the country's Block 15/06 and is estimated to contain 300M barrels in place.
    • Eni also says the Ochigufu 1 NFW well, which led to the discovery, will be brought into production "in record time."
    • Eni is operator of Block 15/06 with a 35% stake.
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  • Sep. 11, 2014, 10:22 AM
    • Eni (E -2.3%) says Milan prosecutors have placed Claudio Descalzi, its CEO since May and longtime company veteran, under investigation as part of a preliminary probe related to the acquisition of a Nigerian offshore oil block.
    • Descalzi is suspected by prosecutors of playing a role in the corruption of Nigerian politicians and bureaucrats in the oil license deal which closed in 2011 when he was Eni’s head of exploration and production the deal already is under scrutiny in Nigeria's parliament.
    • Eni has said it did not act illegally in the matter.
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  • Sep. 4, 2014, 4:56 PM
    • Tanzania's government says it plans to review all contracts signed with investors in its natural gas and mining sectors, in a drive to tighten control and raise greater revenue from its expanding natural resource industry.
    • The move likely will test relations between the government and multinational corporations such as Exxon Mobil (NYSE:XOM), Statoil (NYSE:STO), Eni (NYSE:E) and BG Group (OTCPK:BRGXF, OTCQX:BRGYY), which are implementing multi-billion dollar projects to exploit gas fields in the region.
    • E&P companies have discovered nearly 50T cf of natural gas in Tanzania and more than 180T cf in neighboring Mozambique.
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  • Sep. 4, 2014, 8:15 AM
    • Eni (NYSE:E) and Korea Gas will start exploratory drilling for oil and gas off Cyprus in coming weeks, the island's energy minister says.
    • The two companies, which are partners, have concessions over three offshore areas in the Mediterranean south of Cyprus.
    • Noble Energy has reported a 5T cf gas find in another offshore concession south of the island.
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  • Aug. 27, 2014, 10:59 AM
    • Quicksilver Resources (KWK +10.1%) surges after announcing the initial results of its first horizontal well under its exploration agreement with Eni (E +0.2%) in Pecos County, Texas.
    • KWK says the Stallings #1H well began flow back two weeks ago and now is producing at a rate of 750 boe/day (90% oil), and is drilling the Mitchell #1H, the second of its JV wells with Eni.
    • KWK is operator of Stallings #1H and owns an equal working interest with Eni.
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  • Aug. 27, 2014, 6:11 AM
    • Royal Dutch Shell (RDS.A, RDS.B) is leading a consortium to sell several Nigerian oilfields for approximately $5B, as foreign companies reduce their onshore oil presence in the country due to theft, sabotage and local disruptions.
    • The four oilfields and a key pipeline are co-owned by Shell, France’s Total (NYSE:TOT) and Eni (NYSE:E) of Italy.
    • A deal is expected in the next few weeks after which all potential buyers will require government approval.
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  • Aug. 21, 2014, 3:29 PM
    • Mozambique will invest more than $30B to begin building capacity in its natural gas sector to produce 20M metric tons/year of liquefied natural gas, with the first exports due to start in 2018, according to the head of the national oil company.
    • The investments will be made to develop the northern ports of Pemba and Palma, where a giant logistics base and LNG production plants are planned that will use gas produced from offshore fields in the Rovuma Basin being developed by Anadarko Petroleum (NYSE:APC) and Eni (NYSE:E).
    • Commitments from APC and Eni already run into several billions of dollars, but the national oil company estimate is the first to put an overall price tag on the first phase of Mozambique's LNG ambitions.
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  • Aug. 21, 2014, 8:38 AM
    • Eni (NYSE:E) says it has started production at the offshore Deka gas project in Egypt in a joint venture with BP, with the first of five development wells in operation producing 1.8M cubic meters/day of gas.
    • Deka's production is expected to reach its peak in Q1 of next year with a total gross gas rate of ~6.5M cubic meters/day.
    • Eni, the biggest foreign energy player in Egypt, produced ~228K boe/day last year.
  • Aug. 20, 2014, 10:36 AM
    • Ghana's government says it expects a fourth offshore development by Hess (HES -0.1%) to join the country’s project pipeline.
    • Hess already plans to drill a third appraisal well later this year on the Deepwater Tano/Cape Three Points block to establish commercial viability and reserves,  according to a government official, after strong results at two initial wells.
    • Ghana hopes to increase oil output to 500K bbl/day in the next decade as projects including Tullow Oil’s (OTCPK:TUWLF, OTCPK:TUWOY) TEN and Eni’s (NYSE:E) Sankofa-Gye Nyame start production; the two fields are expected to be developed within the next three years, with combined output of ~130K bbl/day.
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  • Aug. 15, 2014, 8:42 AM
    • Mozambique’s lawmakers approve petroleum laws that open the way for new oil and gas bids as well as a special tax break for offshore fields operated by Anadarko Petroleum (NYSE:APC) and Eni (NYSE:E) to aid their development.
    • The government is finalizing the process for new oil and gas bids and will conclude this by the end of the year, the mineral resources minister says; while the new bill enables the two companies to pay less tax, the final percentages have yet to be released.
    • Mozambique’s offshore fields may hold enough gas to meet global demand for more than two years, according to the state-owned oil company that holds stakes in the Rovuma-1 deposit operated by APC.
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  • Jul. 31, 2014, 12:58 PM
    • Eni (E -2.2%) says it plans to speed up asset sales to €11B ($14.74B) by the end of 2017, a €2B increase from a previous business plan, and place a greater focus on its core business and recent exploration discoveries; Saipem (OTCPK:SAPMY), Eni's troubled services unit, isn't a core part of the business and could be sold.
    • In addition to the asset sales - €6B of which are scheduled by the end of next year - Eni says it will seek to boost cash flow by cutting €1.7B in costs by the end of 2017, and plans reduce its refining capacity by more than 50% by restructuring plants in Italy and reducing its presence in Europe.
    • Earlier: Eni Q2 adjusted net profit jumps 51% but misses forecast.
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  • Jul. 31, 2014, 10:46 AM
    • Eni (E -2.3%) says its Q2 adjusted net profit rose 51% to €868M, boosted by the improved performance of its gas and power division and its Saipem (OTCPK:SAPMY) services subsidiary but results were below analyst expectations as refining margins fell.
    • Eni says several uncertainties remain for the rest of the year connected to weak eurozone growth prospects and risks in many of the emerging economies where the company has operations.
    • Q2 refining margins plunged 30% Y/Y, while retail sales in Italy slid 6.4%.
    • The gas and power division posted a €40M profit from a €227M loss a year earlier, benefiting from the successful renegotiation of gas supply tariffs with Gazprom; Eni now expects the unit to break even in 2014, a year earlier than previously announced.
    • Produced 1.58M boe/day during Q2 vs. 1.65M boe/day in the year-ago period; expects output for the year to be substantially in line with 2013 net of the sale of its stake in Arctic Russia.
    • Says Q2 operating cash flow of €3.59B, highest since Q2 2012, will allow for a proposed interim dividend of €0.56/share.
    • Eni also says it made an important gas and condensates discovery off the coast of Gabon, where preliminary estimates suggest the initial potential is ~500M boe.
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Company Description
Eni SpA together with its subsidiaries offers integrated energy services. Its business segments include Exploration & Production, Gas & Power and Refining & Marketing.