Eni is a leader in refining in Italy, with its five wholly-owned refineries (Sannazzaro, Livorno, Venice, Taranto and Gela), and in marketing of petroleum products. In the rest of Europe Eni also holds interests in certain refining poles and is active in retail and wholesale sales in Central-Eastern European countries.
In 2014, retail sales of refined products (44.41 mmtonnes) increased by 0.92 mmtonnes from 2013, up 2.1%, due mainly to higher volumes sold to oil companies and traders outside Italy.
Retail sales operations are conducted under the "eni" and "agip" brands. The re-branding of Eni's service stations in Italy and in the rest of Europe to "eni" brand is underway.
In order to address the structural weaknesses expected in Refining over the next four years, Eni will complete the transformation process of the R&M segment, bringing operating cash flow and adjusted EBIT to breakeven as early as 2015, through:
Overall, the planned actions will allow the company to reduce the breakeven adjusted margin in refining to approximately 3$/b at the end of the plan. In the 2015-18 period, it plans to achieve a total operating cash flow from R&M activities of over 1.5 bln euros.
In 2014, capital expenditure in the Refining & Marketing segment amounted to €537 million, regarded mainly:
(i) refining, supply and logistics in Italy (€357) and outside Italy (€5 million), for the reconversion of Venice site to bio-refinery, with projects designed primarily to maintain and improve the conversion rate and flexibility of refineries, as well as expenditure on health, safety and environmental upgrades; (ii) upgrading and rebranding of the refined product retail network in Italy (€109 million) and in the rest of Europe (€66 million).
Last updated on 04/06/15