Italy's Eni Wants to Reduce Oil Exposure with Asset Sales
(Reuters) — Italy's Eni aims to reduce its exposure to oil in favor of natural gas and non-fossil fuels in part through asset sales, the energy group's CEO Claudio Descalzi said on Tuesday.
Speaking at the Rome presentation of a report by the International Renewable Energy Agency (IRENA), Descalzi added he could not comment on potential oil asset sales in the near term.
Eni plans to generate 1 billion euros ($1.1 billion) of net proceeds from the balance between asset sales and acquisitions between 2023 and 2026, the company said in its business plan.
Last month, Eni announced the sale of some of its oil assets in Congo, just a few days after saying it had agreed to buy Neptune Energy.
Descalzi said the acquisition would reduce Eni's average carbon intensity, since Neptune is focused on natural gas. The deal also provides an opportunity to expand the carbon capture and storage business of Eni's Vaar business in northern Europe.
"This is why the acquisition of Neptune is not in contrast with the energy transition path," Descalzi said.
Eni will attend the COP28 climate summit later this year in Dubai, participating directly in the event for the first time, the CEO said.
The group will present its investment projects in Africa, including the development of renewable energy and the creation of agri-hubs to produce feedstock for its biofuel business, he said.
In a recent assessment of efforts to meet the key Paris accord target of limiting global warming to 1.5 degrees Celsius, IRENA said the energy transition was currently "off-track".
In the report presented on Tuesday, the agency called for higher and more diversified investment by both public and private investors.
($1 = 0.9178 euros)
Related News
Related News
- Trump Aims to Revive 1,200-Mile Keystone XL Pipeline Despite Major Challenges
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
- ConocoPhillips Eyes Sale of $1 Billion Permian Assets Amid Marathon Acquisition
- ONEOK Agrees to Sell Interstate Gas Pipelines to DT Midstream for $1.2 Billion
- Energy Transfer Reaches FID on $2.7 Billion, 2.2 Bcf/d Permian Pipeline
- U.S. LNG Export Growth Faces Uncertainty as Trump’s Tariff Proposal Looms, Analysts Say
- Tullow Oil on Track to Deliver $600 Million Free Cash Flow Over Next 2 Years
- Energy Transfer Reaches FID on $2.7 Billion, 2.2 Bcf/d Permian Pipeline
- GOP Lawmakers Slam New York for Blocking $500 Million Pipeline Project
- Texas Oil Company Challenges $250 Million Insurance Collateral Demand for Pipeline, Offshore Operations
Comments