San Donato Milanese, August 1, 2012 – Eni, the international oil and gas company, today announces its group results for the second quarter and the first half of 2012 (unaudited).
- Adjusted net profit: €3.94 billion for the first half (up 8%); €1.46 billion for the quarter (up 2%);
- Net profit: €3.84 billion for the first half; €0.23 billion for the quarter;
- Results from continuing operations:
- Adjusted operating profit: €10.37 billion for the first half (up 19%); €4.24 billion for the quarter (up 14%);
- Adjusted net profit: €3.79 billion for the first half (up 4%); €1.38 billion for the quarter (up 0.3%);
- Cash flow: €8.34 billion for the first half; €4.22 billion for the quarter;
- Interim dividend proposal of €0.54 per share.
- Oil and gas production grew by 10.6% to 1.647 mmboe/d in the second quarter (up 4.7% in the first half);
- Natural gas sales: down by 4% in the quarter to 20.15 bcm (down 4.8% in the first half);
- Finalized the contract for the sale of 30% less one share in Snam to Cassa Depositi e Prestiti; already divested a 5% stake to institutional investors;
- Divested a 5% stake in Galp to Amorim Energia BV;
- New giant gas discoveries at the Mamba North East 2 and Coral 1 prospects offshore Mozambique, which increased the full potential of Area 4 to 70 Tcf of gas in place;
- Acquired exploration blocks in promising areas of Vietnam, Kenya and Indonesia;
- Strengthened the portfolio of unconventional resources in Ukraine;
- Started exploration off the Russian section of the Barents Sea and the Black Sea in partnership with Rosneft;
- Exploration success increased by 2.2 billion boe the Company’s resource base in the first half.
Paolo Scaroni, Chief Executive Officer, commented:
“In the first half of 2012, Eni delivered excellent results with strong production growth, supported by the recovery in Libyan output. We have achieved unprecedented exploration success with major new discoveries and secured promising opportunities in high potential areas. Gas & Power and Refining & Marketing have contained the impact of widespread market weakness. Through the divestment of our stakes in Snam and Galp our balance sheet will be transformed, securing our capacity to finance robust long-term growth in any market environment. Our confidence in Eni’s outlook underpins my proposal of an interim dividend of €0.54 per share to Eni’s Board on September 20.”
On the same occasion of reviewing this press release, the Board has approved the interim consolidated report as of June 30, 2012, which has been prepared in accordance to Italian listing standards as per article 154-ter of the Code for securities and exchanges (Testo Unico della Finanza).
The document was immediately submitted to the Company’s external auditor. Publication of the interim consolidated report is scheduled within the first half of August 2012 alongside completion of the auditor’s review.
* Following the announced divestment plan of the Regulated Businesses in Italy, results of Snam are represented as discontinued operations throughout this press release.
|Second Quarter |
SUMMARY GROUP RESULTS (a)
Adjusted operating profit - continuing operations(b)
Adjusted net profit - continuing operations
- per share (€) (c)
- per ADR ($) (c)(d)
Net profit - continuing operations
- per share (€)(c)
- per ADR ($) (c)(d)
Net profit - discontinued operations
(a) Attributable to Eni’s shareholders.
(b) For a detailed explanation of adjusted operating profit and net profit see paragraph "Reconciliation of reported operating and net profit to results on an adjusted basis"”.
(c) Fully diluted. Dollar amounts are converted on the basis of the average EUR/USD exchange rate quoted by the ECB for the periods presented.
(d) One ADR (American Depositary Receipt) is equal to two Eni ordinary shares.
Adjusted operating profit
In the second quarter of 2012, adjusted operating profit from continuing operations was €4.24 billion, up 14.2% from the second quarter of 2011. The result reflected a better operating performance reported by the Exploration & Production Division (up 10.8%) due to the ongoing production recovery in Libya. In spite of continued weakness in demand and rising competitive pressures, the Merchant business of the Gas & Power Division reported operating losses in line with the second quarter of 2011 leveraging on an improved cost position due to the benefits of renegotiating supply contracts and the recovery of Libyan supplies. On a similar note, the Refining & Marketing and Chemical Divisions reported stable losses in the face of a deteriorating trading environment. Eni’s adjusted operating profit benefitted from the appreciation of the US dollar against the euro (up 11%). In the first half of 2012, adjusted operating profit from continuing operations was €10.37 billion, an increase of 18.8% from the first half of 2011. This was due to the above mentioned drivers as explained in the review of the second quarter operating profit and the better operating performance recorded by the Gas & Power Division, which recorded profit retroactive to the beginning of 2011 following the renegotiations of certain gas supply contracts.
Adjusted net profit
In the second quarter of 2012, adjusted net profit from continuing operations was €1.38 billion, in line with the same period of the previous year. The better operating performance was offset by higher consolidated tax rate from continuing operations (up approximately 4 percentage points). This was due to an increasing taxable profit earned by the Exploration & Production subsidiaries which incurred higher-than-average tax rates. In the first half of 2012, adjusted net profit from continuing operations was €3.79 billion, up 4% compared with a year ago.
Capital expenditure made by continuing operations for the second quarter of 2012 amounted to €3.02 billion (€5.65 billion for the first half of 2012) mainly related to development of oil and gas reserves, and the upgrading of rigs and offshore vessels in the Engineering & Construction Division. The Group also incurred expenditures of €0.3 billion in finance acquisitions, joint-venture projects and equity investees.
Net cash generated by operating activities attributable to continuing operations amounted to €4,219 million for the second quarter of 2012 (€8,340 million for the first half of 2012). This flow and cash from disposals of €774 million were used to fund the financing requirements associated with capital expenditure and dividend payments of €2,298 million (of which €1,884 million relating to the Eni payment of the balance dividend for fiscal year 2011) and pay down net borrowings1 which were down by €1,123 million from December 31, 2011 to €26,909 million. The reduction in net borrowings also reflected redemption of an intercompany loan from Snam which arranged financing with third-party lenders (€1.5 billion). Cash flow from operating activities for the quarter was impacted by a lower amount of receivables due beyond the end of the reporting period transferred to financing institutions compared to the amount transferred at the end of the previous quarter (down by €450 million in the second quarter of 2012).
The ratio of net borrowings to shareholders’ equity including minority interest – leverage2 – decreased to 0.42 at June 30, 2012 from 0.46 as of December 31, 2011 (0.43 as of March 31, 2012) reflecting, an increased total equity, as well as the re-financing of an intercompany loan due by Snam which was reported as discontinued operations and thus reduced the Group’s net debt. In July 2012, Snam continued re-financing the intercompany loans, reducing Eni’s debt by further €1 billion as of July 30, 2012.
Interim dividend 2012
In light of the financial results achieved for the first half of 2012 and management’s expectations for the full-year results, the interim dividend proposal to the Board of Directors on September 20, 2012, will amount to €0.54 per share3 (€0.52 per share in 2011). The interim dividend is payable on September 27, 2012, with September 24, 2012 being the ex dividend date.
Production of oil and natural gas
- Natural gas
Worldwide gas sales
Retail sales of refined
Exploration & Production
In the second quarter of 2012, Eni’s liquids and gas production grew by 10.6% to 1,647 kboe/d from the second quarter of 2011.Oil and gas production resulted in 1,661 kboe/d in the first half of 2012, up 4.7% from the same period a year ago. The performance was driven by an ongoing recovery in Libyan production, as well as starting-up and ramping-up new fields in Australia, Russia and Egypt. These positives were partly offset by the shutdown of the Elgin/Franklin field (Eni’s interest 21.87%) in the UK due to a gas leak and by crude oil losses in Nigeria due to rapidly escalating acts of sabotage and theft, in addition to mature field declines.
Gas & Power
In the second quarter of 2012 Eni’s worldwide natural gas sales declined by 4% to 20.15 bcm from the second quarter of 2011 (down by 4.8% from the first half of 2011 to 50.76 bcm) due to weak demand and ongoing competitive pressures. Volumes marketed on the domestic market declined by 8.3% in the quarter (down by 2.2% in the first half) mainly dragged down by sharply lower volumes supplied to the power generation segment which was affected by higher competitiveness of coal and growing use of renewable sources. Other declines were registered at wholesalers and industrial customers, while spot sales trended higher and sales to the residential segment increased due to the positive impact of weather conditions.
Eni’s sales volumes at European markets decreased slightly by 1.3% mainly in UK/Northern Europe and Germany/Austria, partly offset by increases in Turkey and France. The 3.8% decline registered in the first half of 2012 was mainly due to lower sales in Benelux reflecting increased competitive pressures and in the UK/Northern Europe (mainly due to lower equity production), partly offset by higher sales in Germany/Austria, Turkey and France. Sales to importers to Italy experienced a substantial decrease (down 57.1% and 57.7%, respectively) due to the expiration of certain supply contracts, partly offset by the recovery of Libyan supplies.
Refining & Marketing
In the second quarter of 2012 refining margins in the Mediterranean area showed a remarkable recovery from the depressed levels registered in the same period a year ago (the benchmark margin on TRC Brent crude averaged $5.89 per barrel in the quarter 2012, $1.09 per barrel in the second quarter 2011). However, results of Eni refining activities continued to be adversely impacted by shrinking price differentials between light and heavy crudes and by the weak fuel demand. In the second quarter of 2012, Eni marketed lower volumes at its Italian retail outlets, down by 7.5% to 1.98 million tonnes (down by 7.1% in the first half). The Company implemented a number of commercial initiatives intended to increase its market share in the face of a demand downturn, and achieved a share of 30.8% in the second quarter compared to a 30.3% share in the same quarter of the previous year, peaking at 33% in June 2012. In the second quarter of 2012, retail sales in the European market were stable at 0.76 million tonnes, while they increased slightly to 1.48 million tonnes in the first half, mainly in Austria and Switzerland, and were offset by declines in other European markets.
Results of operations for the second quarter and the first half of 2012 were positively impacted by the appreciation of the US dollar vs the euro (up by 11% in the quarter and 7.6% in the first half).
The exploration campaign offshore Mozambique achieved new exploration success with two new giant gas discoveries, for a total of five exploration wells successfully drilled in the area so far. In May 2012 the Coral 1 discovery well found an estimated 7 to 10 tcf of gas in place. The exploration well was drilled in the Southern section of Area 4, at a water depth of 2,261 meters and reaching a total depth of 4,869 meters. This discovery is particularly significant since it confirms a new exploration play, which is independent of those drilled so far in previous Mamba wells.
On August 1, 2012 a new giant natural gas discovery was achieved in the Eastern part of Area 4, at the Mamba North East 2 exploration prospect. Mamba North East 2, where Eni will conduct a production test, was drilled in 1,994 meters of water and reached total depth of 5,365 meters. The new discovery adds at least 10 tcf of gas in place to Area 4, confirming at least 62 tcf of gas in place already discovered. The resources exclusively located in Area 4 are at least 20 tcf plus of gas in place. The discovery further increases the total potential of the Mamba complex found so far in Area 4, which is now estimated to hold 70 tcf of gas in place. Eni plans to drill at least another five wells to fully establish the upside potential of Area 4.
In July 2012, Eni was awarded three product sharing contracts by the government of Kenya for the acquisition of exploration blocks L-21, L-23 and L-24 located in the deep and ultra-deep waters of the Lamu Basin, off the coast of Kenya, covering an area of more than 35,000 square kilometers, thus marking the entry of Eni in the Country. The initial exploration phase will consist of the execution of a seismic acquisition program.
In June and July 2012, Eni acquired the operatorship (Eni’s interest 50%) of three exploration blocks located offshore Vietnam,
in the Song Hong and Phu Khanh basins. The three blocks cover approximately 21,000 square kilometers of acreage. These basins are estimated to contain 10% of Vietnam’s hydrocarbon resources, mainly gas. The Company plans to make significant investment to explore for hydrocarbons in the acquired acreage by drilling four wells. The deal is subject to the authority approval.
In June 2012, Eni signed a Share Purchase Agreement with Ukrainian state-owned National Joint Stock Company, Nak Nadra Ukrayny and Cadogan Petroleum Plc to acquire a 50.01% interest and operatorship of the Ukrainian company LLC WESTGASINVEST which currently holds subsoil rights to nine unconventional (shale) gas license areas in the Lviv Basin of Ukraine. These licenses cover approximately 3,800 square kilometers of acreage.
In May 2012, Eni has been awarded the East Sepinggan block, located offshore the Kutei Basin. The block covers an area of approximately 2,900 square kilometers in a very rich hydrocarbon province, supported by the Bontang LNG processing facility.
The exploration activity includes the drilling of one well.
In June 2012, following the strategic cooperation agreement signed in April 2012, Eni and Rosneft defined the terms to set up the joint ventures (Eni's interest 33.33%) which will operate the exploration of the Fedynsky and Tsentralno-Barentsevsky licenses offshore the Russian section of the Barents Sea, and the Zapadno-Cernomorsky license offshore the Russian section of the Black sea.
On June 28, 2012, the international Contracting Companies of the final production sharing agreement of the giant Karachaganak gas-condensate field and the Republic of Kazakhstan closed a settlement agreement of all pending claims relating to the recovery of costs incurred to develop the field. The Contracting Companies will transfer 10% of their rights and interest in the project to Kazakhstan’s KazMunaiGas for a $1 billion net cash consideration ($325 million being Eni’s share). From the effective date of June 28, 2012, Eni’s interest in the Karachaganak project has been reduced to 29.25% from the 32.5% previously held. The agreement also includes the allocation of an additional 2 million tonnes per year capacity in the Caspian Pipeline Consortium export pipeline (CPC) over the remaining life of the FPSA, which will be fully operational within the next three years, as well as a final settlement on all tax and customs claims up to the end of 2009.
In addition to the above-mentioned exploration successes in Mozambique, it is worth mentioning that exploration activities performed well in:
- Egypt, with the important Emry Deep 1X discovery in the Meleiha license with volumes of oil in place estimated to range between 150 and 250 million barrels;
- Angola, (i) in Block 15/06 (Eni's interest 35%, operator), with the oil Vandumbu 1 discovery, which is the first committed field of the second exploration phase; (ii) in Block 2 (Eni's interest 20%), with the oil and gas Etele Tampa 7 field;
- The United States, Block Green Canyon 903 (Eni's interest 12.25%) in the Gulf of Mexico, with the exploration outlining of the Heidelberg Discovery, increasing recoverable resources up to approximately 200 mmbbl.
In June 2012, Eni started up the offshore field of Seth, located in the Ras El Barr concession in Egypt. The field is expected to produce approximately 4.8 million cubic meters of gas per day, of which Eni’s equity is 1.7 million cubic meters (approximately 11,000 boe/d) net to Eni.
Divestment of Eni’s interest in Snam
On May 30, 2012, Eni and Cassa Depositi e Prestiti SpA (“CDP”), an entity controlled by the Italian Ministry of Economy and Finance, agreed the principal terms and conditions of the divestment of 30% less 1 share of the voting shares of Snam at a price of €3.47 a share for a total consideration of €3,517 million. The sale and purchase contract was signed on June 15, 2012. The closing of the transaction could occur on or after October 15, 2012, and is subject to certain conditions precedent, including, in particular, antitrust approval. By the time the transaction closes, Eni will lose control over Snam.
The total consideration is expected to be paid by CDP in three tranches: the first is to be paid at the closing of the transaction for a total amount of €1,759 million; the second is to be paid by 31 December 2012 for a total amount of €879 million, and the third, for a total amount of €879 million, is to be paid no later than May 31, 2013.
The transaction implements the provisions of Article 15 of Law Decree No. 1 of 24 January 2012 (enacted into Law No. 27 of 24 March 2012), pursuant to which Eni shall divest its shareholding in Snam in accordance with the model of ownership unbundling set out in Article 19 of Legislative Decree No. 93 of 1 June 2011, and in accordance with the criteria, terms and conditions defined in the Decree of the President of the Council of Ministers issued on 25 May 2012 (the “DPCM”) and designed to ensure the complete independence of Snam from the largest gas production and sale company in Italy.
Furthermore, the DPCM provides the divestment of the residual shareholding of Eni in Snam through transparent and non-discriminatory sales procedures targeted to both retail and institutional investors. On July 18, 2012, Eni finalized the sale of a further 5% interest in Snam (178,559,406 ordinary shares). The total consideration amounted to €612.5 million, corresponding to €3.43 per share. The deal was carried out through an accelerated book-building procedure aimed at Italian and foreign institutional investors.
The divestment of the Italian regulated businesses will strengthen Eni’s financial position, targeting a debt to equity ratio in line with that of other major integrated international oil companies. Eni will achieve greater financial flexibility in context of the Company’s new upstream-focused business model, maximum financial resources required to fund production growth and development of new discoveries, as well as tight credit markets.
Divestment of Eni’s interest in Galp
On July 20, 2012, Eni concluded the sale of 41,462,532 shares to Amorim Energia BV (“Amorim Energia”), at the price of €14.25 per share, equal to 5% of the share capital of Galp Energia. As per the agreements signed by Eni, Amorim Energia and Caixa Geral de Depositos and announced to the market on March 29, 2012, following the sale Eni ceased to be part of the existing shareholders’ agreement between the companies.
Eni expects the outlook for 2012 to be a challenging one as the global economic recovery loses steam, and is weighted down by weakening growth prospects in the euro-zone. The energy commodities markets are expected to remain volatile. In relation to short-term financial projections, Eni assumes a full-year oil price of $117 a barrel for the Brent crude benchmark as steady demand from China and other emerging economies, and ongoing geopolitical risks and uncertainties support the oil market, which are partly offset by a recovery in the Libyan output. Management expects unfavourable trading conditions to continue in the European gas sector. Gas demand is projected to fall sharply as a consequence of the economic slowdown as well as a big drop in thermoelectric consumption. In the meantime the marketplace is seen as well supplied, including very liquid continental hubs for spot transactions. Against this backdrop, management expects stiff price competition among operators, taking into account minimum off-take obligations in gas purchase take-or-pay contracts and reduced sales opportunities which lead to continued margin pressure. Refining margins are anticipated to remain at unprofitable levels due to high costs of oil supplies and oil-linked energy utilities, falling demand and excess capacity. Against this backdrop, key volumes trends for the year are expected to be the following:
- Production of liquids and natural gas: production is expected to grow compared to 2011 (in 2011 hydrocarbons production was reported at 1.58 million boe/d) driven by an ongoing recovery in the Company’s Libyan output to achieve the pre-crisis level. This driver will help the Company absorb the impact of project rescheduling at important fields, the shutdown of the Elgin-Franklin platform off the British section of the North Sea, and crude oil losses in Nigeria due to rapidly escalating acts of sabotage and theft;
- Worldwide gas sales: management expects natural gas sales to be roughly in line with 2011 (in 2011, worldwide gas sales were reported at 96.76 bcm and included sales of both consolidated subsidiaries and equity-accounted entities, as well as upstream direct sales in the US and the North Sea). Against the backdrop of widespread weakness in demand, management is targeting to boost sales volumes and market share and to retain and develop its retail customer base. Outside Italy, the main engines of growth will be sales expansion in the key markets of France, Germany/Austria and Belgium and opportunities in the global LNG market. Management intends to leverage on an improved cost position due to the benefits of contract renegotiations, integration of recently-acquired assets in core European markets, development of the commercial offer through a multi-Country platform, and service excellence. Management is also planning to enhance trading activities to draw value from existing assets;
- Refining throughputs on Eni’s account: management expects to reduce processed volumes at the Company’s refineries (in 2011 refining throughputs on Eni’s account were reported at 31.96 million tonnes) in response to falling demand and a negative trading environment. Management will seek to reduce the business exposure to the market volatility and improve profit and loss by means of better yields, plant re-configuration and flexibility, as well as efficiency gains by cutting fixed and logistics costs and energy savings;
- Retail sales of refined products in Italy and the Rest of Europe: management foresees retail sales volumes to decline from 2011 (in 2011, retail sales volumes in Italy and Rest of Europe were reported at 11.37 million tonnes) dragged down by an expected sharp contraction in domestic consumption of fuels. In Italy where competition has been increasing remarkably, management intends to preserve the Company’s market share by leveraging marketing initiatives tailored to customers’ needs, the strength of the Eni brand targeting to complete the rebranding of the network, the development of non-oil activities and an excellent service. Outside Italy, the Company will target stable volumes on the whole;
- Engineering & Construction: the profitability outlook of this business remains bright due to an established competitive position and a robust order backlog.
For the full year of 2012, management expects a capital budget in its continuing operations almost in line with 2011 (in 2011 capital expenditure of the continuing operations amounted to €11.91 billion, while expenditures incurred in joint venture initiatives and other investments amounted to €0.36 billion). Management plans to continue spending on exploration to appraise the mineral potential of recent discoveries (Mozambique, Norway, Ghana and Indonesia) and invest large amounts on developing growing areas and maintaining field plateaus in mature basins. Other investment initiatives will target the completion of the EST project in the refining business, strengthening selected petrochemicals plants and the continued upgrading of the Saipem vessels and rigs. The ratio of net borrowings to total equity – leverage – is expected to improve from the level achieved at the end of 2011, assuming a Brent price of $117 a barrel and the positive impacts of the ongoing divestments.
(1) Information on net borrowings composition is furnished on page 33.
(2) Non-GAAP financial measures disclosed throughout this press release are accompanied by explanatory notes and tables to help investors to gain a full understanding of said measures in line with guidance provided for by CESR Recommendation No. 2005-178b. See page 33 for leverage.
(3) Dividends are not entitled to tax credit and, depending on the receiver, are subject to a withholding tax on distribution or are partially cumulated to the receiver’s taxable income.
This press release has been prepared on a voluntary basis in accordance with the best practices in the marketplace. It provides data and information on the Company’s business and financial performance for the second quarter and the first half of 2012 (unaudited). Results of operations for the first half of 2012 and material business trends have been extracted from the interim consolidated report 2012 which has been prepared in compliance with article 154-ter of the Italian code for securities and exchanges (“Testo Unico della Finanza” – TUF) and approved by the Company’s Board of Directors yesterday. The interim report has been transmitted to the Company’s external auditor as provided by applicable regulations. Publication of the interim report is scheduled in the first half of August, alongside the Company’s external auditor report upon completion of relevant audits. In this press release results and cash flows are presented for the second and first quarter and the first half of 2012 and for the second quarter and the first half of 2011. Information on liquidity and capital resources relates to the end of the periods as of June 30, 2012, March 31, 2011 and December 31, 2011. Tables contained in this press release are comparable with those presented in management’s disclosure section of the Company’s annual report and interim report. Quarterly and semi-annual accounts set forth herein have been prepared in accordance with the evaluation and recognition criteria set by the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and adopted by the European Commission according to the procedure set forth in Article 6 of the European Regulation (CE) No. 1606/2002 of the European Parliament and European Council of July 19, 2002.
The Decree of the President of the Council of Ministers issued on May 25, 2012 (the “DPCM”) defined the criteria, terms and conditions to implement the provisions of Article 15 of Law Decree No. 1 of January 24, 2012 (enacted into Law No. 27 of March 24, 2012), pursuant to which Eni shall divest its shareholding in Snam in accordance with the model of ownership unbundling set out in Article 19 of Legislative Decree No. 93 of June 1, 2011.
The Italian regulated businesses managed by Snam represent a major line of business and therefore they have been reported as discontinued operations within results for the second quarter 2012 and first half of 2012 in accordance with the guidelines of IFRS 5. The suspension of the amortization process of Snam tangible and intangible assets as requested by the above mentioned accounting standard was immaterial to the Group results for both reporting periods as the deal was finalized late in the quarter. Assets and liabilities, results of operations and cash flow of the discontinued operations are reported separately from the Group’s continuing operations. Accordingly, considering that Snam and its subsidiaries are fully consolidated in Eni’s accounts, results of the discontinued operations are those deriving from transactions with third parties and therefore profits earned by the discontinued operations on sales to the continuing operations are eliminated on consolidation from the discontinued operations and attributed to the continuing operations and vice versa. This representation does not indicate the profits earned by continuing or discontinued operations, as if they were standalone entities. Results of the previous reporting periods have been restated accordingly.
Non-GAAP financial measures and other performance indicators disclosed throughout this press release are accompanied by explanatory notes and tables to help investors to gain a full understanding of said measures in line with guidance provided by recommendation CESR/05-178b.
Eni’s Chief Financial Officer, Alessandro Bernini, in his position as manager responsible for the preparation of the Company’s financial reports, certifies, that data and information disclosed in this press release correspond to the Company’s evidence and accounting books and records, pursuant to rule 154-bis paragraph 2 of Legislative Decree No. 58/1998.
This press release, in particular the statements under the section “Outlook”, contains certain forward-looking statements particularly those regarding capital expenditures, development and management of oil and gas resources, dividends, allocation of future cash flow from operations, future operating performance, gearing, targets of production and sales growth, new markets, and the progress and timing of projects. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will or may occur in the future. Actual results may differ from those expressed in such statements, depending on a variety of factors, including the timing of bringing new fields on stream; management’s ability in carrying out industrial plans and in succeeding in commercial transactions; future levels of industry product supply; demand and pricing; operational problems; general economic conditions; political stability and economic growth in relevant areas of the world; changes in laws and governmental regulations; development and use of new technology; changes in public expectations and other changes in business conditions; the actions of competitors and other factors discussed elsewhere in this document. Due to the seasonality in demand for natural gas and certain refined products and the changes in a number of external factors affecting Eni’s operations, such as prices and margins of hydrocarbons and refined products, Eni’s results from operations and changes in net borrowings for the second quarter cannot be extrapolated on an annual basis.
* * *
Società per Azioni Rome, Piazzale Enrico Mattei, 1
Share capital: euro 4,005,358,876 fully paid
Tax identification number 00484960588
Tel.: +39 0659821 - Fax: +39 0659822141
This press release for the second quarter and the first half of 2012 (unaudited) is also available on the Eni web site eni.com.
The full version of the Press Release is available in PDF format.