Refining & Marketing

Eni is the first operator in the refining business in Italy. In the marketing of refined products Eni is market leader in Italy and holds relevant positions in a number of countries in the rest of Europe.
In 2008, Eni's sales of refined products totaled 50.68 million tonnes. The processing capacity of refineries was 737,000 barrels/day at December 31, 2008.

Divestment of Eni Agip España in accordance with the agreements with Galp Energia SGPS SA

• In October 2008, Eni completed the divestment of the entire share capital of the subsidiary Eni Agip España to Galp Energia SGPS SA following the exercise of a call option in October 2007, pursuant to agreements among Galp's shareholders. The divested asset includes 371 service stations as well as wholesale marketing activities of oil products located in the Iberian Peninsula.

Capital expenditures

In 2008, capital expenditures in the Refining & Marketing segment amounted to €965 million and regarded mainly:

• refining, supply and logistics(€630 million) in Italy, with projects designed to improve the conversion rate and flexibility of refineries, in particular ongoing construction of a new hydro-cracker at the Sannazzaro refinery, and expenditures on health, safety and environmental upgrades;
• upgrade and restructuring of the retail network in Italy (€183 million);
• upgrade of the retail network and purchase of service stations in the rest of Europe (€115 million).
  Expenditures on health, safety and the environment amounted to €166 million.