We are an energy company.
We concretely support a just energy transition,
with the objective of preserving our planet
and promoting an efficient and sustainable access to energy for all.
Our work is based on passion and innovation,
on our unique strengths and skills,
on the equal dignity of each person,
recognizing diversity as a key value for human development,
on the responsibility, integrity and transparency of our actions.
We believe in the value of long-term partnerships with the Countries
and communities where we operate, bringing long-lasting prosperity for all.
Mission
Global goals for a sustainable development
The 2030 Agenda for Sustainable Development, presented in September 2015, identifies the 17 Sustainable
Development Goals (SDGs) which represent the common targets of sustainable development on the
current complex social problems. These goals are an important reference for the international community
and Eni in managing activities in those Countries in which it operates.
Eni
Annual
Report
2024
Integrated Annual Report
Eni’s 2024 Annual Report is prepared in accordance
with principles included in the International Framework”,
published by International Integrated Reporting Council
(IIRC). It is aimed at representing financial and sustainability
performance, underlining the existing connections between
competitive environment, group strategy, business model,
integrated risk management and a stringent corporate
governance system. The mission represents more explicitly
the Eni’s path to face the global challenges, contributing to
achieve the SDGs determined by the UN in order to clearly
address the actions to be implemented by all the involved
players. This report has not been prepared in accordance with
the EU Delegated Regulation 2019/815 (ESEF Regulation),
implementing the Transparency Directive. The Annual Report
in ESEF format (only in Italian language) is published in the
specific section of the Company’s website (www.eni.com,
Publications) and is available at the centralized storage
mechanism authorized by Consob “1Info” – (www.1info.it).
Disclaimer
This Annual Report contains certain forward-looking
statements in particular under the section “Outlook” regarding
capital
expenditures,
dividends,
buy-back
programs,
allocation of future cash flow from operations, financial
structure evolution, future operating performance, targets of
production and sale growth 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, the timing of
bringing new oil and gas 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 oil and natural gas pricing; operational
problems; general macroeconomic 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. “Eni” means the parent company Eni SpA and
its consolidated subsidiaries.
LEGEND
Link to the Management Report and the
Consolidated Financial Statements
Internal link to the Sustainability Statement
External link
Management report
Activities
6
Business model
8
Main events
12
Eni at a glance
14
Strategy
18
Integrated Risk Management
22
Governance
28
OPERATING REVIEW
Exploration & Production
42
Global Gas & LNG Portfolio and Power
62
CCS and Agri
68
Enilive and Plenitude
72
Refining and Chemicals
78
Environmental activities
84
FINANCIAL REVIEW AND OTHER INFORMATION
Financial review
88
Risk factors and uncertainties
114
Outlook
131
SUSTAINABILITY STATEMENT
132
Certification of the Sustainability Statement pursuant to article 81-ter, paragraph 1,
of the Consob Regulation n. 11971 of May 14, 1999 and subsequent changes and additions
267
Other information
268
Glossary
269
Consolidated financial statements
Financial statements
274
Notes on consolidated financial statements
282
Supplemental oil and gas information
394
Management’s certification
415
Annex
Annex to the notes on consolidated financial statements as of December 31, 2024
418
Investments owned by Eni as of December 31, 2024
418
Changes in the scope of consolidation for 2024
464
Audit fees
468
Independent auditor’s limited assurance report on the sustainability statement
469
Independent auditor’s report on the consolidated financial statements
475
Letter to shareholders
Dear Shareholders,
in 2024 Eni delivered excellent operating and financial results driven
by the consistent execution of our strategy of unlocking value,
leveraging on technological expertise, the quality of our assets
portfolio, the distinctive satellite model and capital discipline.
This allowed us to remunerate our shareholders with competitive
yields and to progress on our target of carbon neutrality, underpinned
by a robust economic sustainability.
Eni’s organizational set-up has been redesigned into three business
groups, in view of more effective strategy execution: (i) The “Chief
Transition & Financial Officer”, tasked with increasing the value
of the businesses related to energy transition; (ii) The “Global
Natural Resources”, tasked with maximizing profitability across the
oil&gas value chain, including power and trading activities; (iii) The
“Industrial Transformation”, tasked with accelerating and completing
the downstream oil reconversion and the restructuring of Eni’s
chemicals activities.
The 2024 steady financial results underpin Eni’s ability to capture the
opportunities of an evolving energy market, achieving stable returns
across the cycle and a significant reduction in financial leverage.
The Group earned €14.3 billion of proforma adjusted EBIT and €13.6
billion of adjusted operating cash flow, both well above our plans.
Letter to shareholders
We made significant progress towards our goal of €8 billion of net
cash from disposals thanks to the deployment of our satellite strategy
to valorize the transition-related businesses of Enilive and Plenitude,
delivering proceeds of €3.7 billion through private investments and
unlocking over €21 billion of enterprise value. Noticeable progress
was also made in the restructuring of the Exploration & Production
asset portfolio with the disposal of non-strategic fields.
A robust cash flow from operations, the contribution of the disposal
program and continued cost and capital discipline allowed us to
fund €8.8 billion of growth and maintenance capex to support the
business and to boost our shareholders remuneration through an
increased dividend, at €1 per share (up by 4% from 2023), and a share
buyback program of €2 billion, almost doubled compared to the
initial guidance. Shareholders’ remuneration reached a competitive
yield of over 10%, while keeping under control our leverage that on a
proforma basis including the transactions defined in 2024 stands at
15%, representing an all-time low for Eni.
Growth was significant both in the traditional business and in the
businesses related to the transition.
In 2024 hydrocarbon production increased by 3% to 1.71 million
boe/d due to ramp-ups in Côte d’Ivoire, Congo and Mozambique, the
start-up of the gas project Argo-Cassiopea offshore Sicily, as well as
the acquisition of independent oil& gas producer Neptune.
We laid foundations of a new exciting growth phase thanks to
exploration success and progress in new projects.
Exploration activities discovered 1.2 Bboe of resources in the year,
confirming an engine of growth and value creation. Main 2024
successes were the material discoveries at the Geng North prospect
in Indonesia, Calao in Côte d’Ivoire, the appraisal of Cronos offshore
Cyprus as well as near-filed findings in Mexico.
ENI ANNUAL REPORT 2024
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We continue to reduce the “time-to-market” of our reserves owing to
our fast-track phased approach in the development of projects.
In December 2024, it was started up as scheduled and in line with
the budget, the Phase II of our flagship Baleine oil project, off Côte
d’Ivoire, while at the Congo LNG project, following the start-up of
the Tango FLNG liquefaction plant, the next expansion phase is
progressing rapidly with expected start-up at the end of 2025.
Building on the success of Vår Energi and Azule Energy, a new
geographically focused, upstream satellite was established
combining Eni’s and Ithaca Energy’s respective oil & gas portfolios
in the UK, with a view of maximizing growth options, synergies and
cash returns.
In Indonesia, also leveraging the integration of Neptune assets, the
development plan of two worldwide flagship gas projects has been
approved: the Northern Hub including the exceptional discovery of
Geng North and the Southern hub extension which will prolong the
useful life of the Jangkrik FPU.
In the Eastern Mediterranean, a historic agreement with Cyprus
and Egypt was signed for the exploitation of the large Cypriot gas
reserves of Block 6, leveraging the infrastructure in place at the Zohr
field and the Damietta liquefaction plant in Egypt, which will pave the
way for the creation of a gas hub in the Mediterranean East and the
opening of a new gas supply route for Europe.
In addition, a strategic agreement is being finalized with Petronas
to combine the respective gas portfolios in Indonesia and Malaysia,
laying the foundations for setting-up a company expected to produce
500 thousand boe/d in the medium term over a long production
plateau thanks to the significant potential of our discoveries.
The E&P disposal program has moved forward, as we divested non-
strategic oil activities in Alaska, Nigeria and Congo, in line with our
strategy of rationalizing the upstream portfolio with increasing focus
on core projects.
Thanks to production growth and cost control, E&P achieved €13
billion of proforma adjusted EBIT.
GGP confirms the solidity of its business model, capable of
generating stable economic results, with €1.1 billion of proforma
adjusted EBIT in 2024, leveraging the continuous optimization of its
gas and LNG portfolio.
Plenitude and Enilive, our satellites committed to offering increasingly
decarbonized products and services to customers, continue to grow
and generate value. Both achieved their annual profitability targets,
with approximately €1 billion of proforma adjusted EBITDA each,
despite the unfavorable environment.
Plenitude reached an installed capacity of 4.1 GW (+37% vs. 2023);
Enilive started the construction of three biorefineries: in Livorno,
through the conversion of the existing Eni plant, in South Korea and
in Malaysia, in joint ventures with local partners.
In 2024, the investment of the KKR fund in Enilive, through the acquisition
of a minority stake of 25% worth €2.9 billion, and that of EIP in Plenitude,
for a total stake of 10% in two separate transactions for a total proceed
of €0.8 billion, confirm the innovative nature of the integrated business
model and the significant growth prospects of the two Eni’s subsidiaries.
These transactions are concrete and successful examples of
Eni’s satellite strategy, aimed at creating financially independent
businesses in the transition with high growth prospects, securing
access to strategic capital pools and unlocking their market value.
In February 2025, the KKR fund agreed with Eni to increase its stake
in Enilive to 30%, for an additional consideration of €0.6 billion.
Thanks to the progress of our CO2 capture and storage projects,
mainly in Italy, with the launch of Ravenna CCS Phase 1, and in
the UK, where the sanctioning of the HyNet project is progressing
rapidly, we have opened up opportunities to create a new satellite in
the transition businesses.
ENI ANNUAL REPORT 2024
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Versalis will undergo a comprehensive plan to recover profitability
by restructuring loss-making activities in cracking and polyethylene
production, and by upgrading the product portfolio to a high-value
platform focused on biochemistry, circular/recycling economy, and
specialized polymers. This plan will allow the evolution of Versalis
towards a business model capable of exploiting our technological
skills to create competitive advantages in the transition, in line with
Eni’s strategy.
The success of Eni’s strategy, the competitiveness of the business
and access to new markets and growth opportunities are driven by
our technologies, both those developed in the context of traditional
activities and those developed in laboratory with the aim of achieving
breakthroughs.
The growing biorefining and CCS businesses were initially established
thanks to our intangible capital of proven technologies developed in
the traditional field, such as Ecofining™, an innovation derived from
traditional refining, and reservoir technologies for CO2 storage.
The transformation of traditional refining and Versalis will leverage
both the conversion of plants into biorefineries and the production
of storage systems, and innovative technologies such as Hoop® for
the chemical recycling of plastics and Waste-to-Chemicals for the
production of circular methanol/hydrogen from waste.
We are progressing technologies that promise to become
breakthrough, namely the magnetic confinement fusion for generating
zero-emission electricity, with the goal of starting commercial
production at the beginning of the next decade.
Eni’s technological progresses and the development of new energy
solutions will exploit the vast computational capacity of our new
HPC6 supercomputer, which represents an essential lever in all
business phases and for achieving the Net Zero goal by 2050. This
asset complemented by with key elements, like existing space at
our industrial sites and the electricity supplied by our gas-fired
power plants and decarbonized thanks to CCS, will be a factor in
pursuing new, exciting business opportunities. In February 2025,
Eni agreed a partnership with UAE’s companies for the development
of data centers in Italy powered by “blue power”, within the broader
framework of collaboration agreements that also embrace the
transmission of renewable energy through interconnection
between Albania and Italy and critical minerals.
Our business is becoming increasingly sustainable and with a low
emission impact. Our most recent upstream projects, Baleine in Côte
d’Ivoire and Argo/Cassiopea in Italy, are designed to achieve net zero
emissions (Scope 1 and 2) from the start-up phase; thanks to these
and other efficiency initiatives, net Upstream emissions, in equity
share, decreased by 55% in 2024 (vs. 2018 baseline), in line with the
Net Zero Upstream goal by 2030.
In 2024, we published the first Methane Report, reaffirming our goal
of reaching near-zero methane emissions by 2030.
As part of the CEO Water Mandate initiative, we are engaged in
achieving water positivity by 2035 in at least 30% of our operated
sites, with withdrawals greater than 0.5 Mm3/year of fresh water in
water-stressed areas. Appreciating our commitment to sustainability,
Moody’s ESG Solutions confirmed Eni’s positioning in the Advanced
range, the highest of the rank, for the Company’s proven capabilities
in managing ESG risks.
These results are based on our business model and on the levers of
operational excellence, asset integrity and HSE culture of protecting
the safety of people in the workplace, communities, the environment,
and property from the intrinsic risk associated with the complexity,
reach and scale of our activities.
The tragic event occurred at the Calenzano storage hub, with its
tragic toll of human lives, is absolutely in contrast with our corporate
culture and values that prioritize the safety of people and the integrity
of our assets. All of us at Eni wish to express our compassion and
support to the affected families. The organization maintains and
strengthens its commitment to operational safety and the pursuit
of the goal of zero accidents in the workplace, which we continue to
support with significant professional and economic resources.
STRATEGY
Over the next four years, Eni’s strategy will be focused on the
businesses where we can boast competitive advantages, which
will fuel leading risk-adjusted growth and returns. Eni’s industrial
plans aim at accelerating the Group’s profitable growth and its
diversification, maximizing the benefits of the satellite model and
ENI ANNUAL REPORT 2024
MANAGEMENT
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FINANCIAL STATEMENTS
ANNEX
maintaining a solid capital structure and a growing distribution policy.
In line with our strict return criteria applied to projects’ selection, we
will grow organically in the Upstream segment and progress along
our transition and transformation trajectory, leveraging our portfolio
to anticipate value creation and to balance market exposure.
For the next four years, we have launched a €33 billion investment
plan, equal to €27 billion when considering the contribution of net
proceeds from the portfolio program, which will be self-financed
through operating cash flows.
Planned expenditures will target development of upstream projects,
mainly gas ones, and the exploration for reserves’ replacement, the
build-up of renewable capacity, expansion of biorefineries, Versalis’
transformation and the traditional refinery reconversion.
Hydrocarbon production is expected to grow at an average rate of
3-4% per year (2-3% net of disposals). Plenitude’s renewable capacity
is expected to reach 10 GW in 2028, more than double the current level;
biofuel production capacity will increase to over 3 million tons/year by
2028, with an important flexibility lever given by SAF optionality.
Versalis, thanks to the development of the new bio, circularity and
transition platforms and the closure of most of its commodity
activities (crackers in Ragusa, Brindisi, Priolo) is expected to return
to breakeven in 2028.
As part of the industrial transformation, we will complete the
conversion of the Livorno plant into a new biorefinery, with start-
up expected by the end of 2026, and we will move forward with the
conversion of the Sannazzaro and Priolo sites in bio plants.
Active portfolio management is confirmed as one of the main
sources of self-financing thanks to the enhancement of our satellites
and the Dual Exploration Model, whose net contribution is expected
at approximately €6 billion in the 2025-2028 period.
Considering the planned actions and projections of robust
profitability going forward and a solid financial structure, we expect
to distribute to shareholders between 35% and 40% of the adjusted
CFFO, a higher rate than in the past, by progressively increasing the
dividend and through share repurchases. In case of any scenario
upside with respect to our plans, we intend to return up to 60%
of the excess cash through share repurchases. For 2025 we are
proposing a dividend of €1.05 per share (+5% vs. 2024) and a share
buy-back program of €1.5 billion, with possible upside up to €3.5
billion.
We confirm our continuous commitment towards achieving the goal
of Net Zero Scope 1 and 2 emissions at the upstream business by
2030 and at all other Eni activities by 2035.
Finally, the ’25-’28 plan projects an increasingly competitive,
profitable and financially sound company thanks to our distinctive
growth model, which will be applied both to traditional and transition-
related businesses. We are going to monetize the organic growth
opportunities of our portfolio and to maximize the value of our
satellites to effectively manage current and future market challenges,
ensuring reliable, affordable and lower emission supplies.
To conclude, we would like to thank Eni’s people, our main asset,
who have once again proved their commitment and dedication to the
Company, making it possible to reach this year’s achievements, while
being ready for future challenges.
Rome, March 18, 2025
Giuseppe Zafarana
Chairman of the Board
Claudio Descalzi
Chief Executive Officer
On behalf of the Board of Directors
ENI ANNUAL REPORT 2024
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FINANCIAL STATEMENTS
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Management
Report
4
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
ANNEX
CONSOLIDATED
FINANCIAL STATEMENTS
Activities
6
Business model
8
Main events
12
Eni at a glance
14
Strategy
18
Integrated Risk Management
22
Governance
28
OPERATING REVIEW
Exploration & Production
42
Global Gas & LNG Portfolio and Power
62
CCS and Agri
68
Enilive and Plenitude
72
Refining and Chemicals
78
Environmental activities
84
FINANCIAL REVIEW AND OTHER INFORMATION
Financial review
88
Risk factors and uncertainties
114
Outlook
131
SUSTAINABILITY STATEMENT
132
Certification of the Sustainability Statement pursuant to article 81-ter, paragraph 1,
of the Consob Regulation n. 11971 of May 14, 1999 and subsequent changes and additions
267
Other information
268
Glossary
269
5
ENI ANNUAL REPORT 2024
~32,500
strategy based
our employees
64
Countries where
we operate
PURCHASE OF BIO
AND RENEWABLE
RAW MATERIALS,
WASTE AND RESIDUES
DEVELOPMENT OF
AGRI-FEEDSTOCK
PURCHASE
OF GAS FROM
THIRD PARTIES
PRODUCTION
FROM RENEWABLE
SOURCES
OIL AND GAS
PRODUCTION
EXPLORATION
AND
DEVELOPMENT
TRANSMISSION
NETWORK
TRADING
& SHIPPING
CARBON OFFSETS
ELECTRICITY GENERATION
REMEDIATION, WATER AND
WASTE INTO DEVELOPMENT
TRADITIONAL AND
BIOREFINING
AND PETROCHEMICALS
THIRD PARTY INDUSTRY
OUR VALUE CHAIN
Activities
Eni is an energy company, integrated along the entire value chain. It has a significant presence in the traditional
activities of exploration and production of conventional oil and gas and in the marketing of gas/LNG through an
extensive supply portfolio.
In the downstream oil/petrochemicals industry, a major process of transformation and reconversion is underway.
Eni is engaged through innovative business models in the development of new energies and decarbonisation
services: renewables from solar/wind, biofuels, biochemistry, CO2 capture/sequestration and research lines
on new energy paradigms (magnetic fusion, chemical recycling of plastics). Eni has a large customer base of
both industrial and end-user customers. The Group’s distinctive strategy is founded on competitive advantages,
in-house expertise and proprietary technologies as reference points with the aim to grow, create value and
transform the Company. In traditional activities, growth and returns leverage on successful exploration, with
an option for early monetisation of discoveries, efficient resource development and the establishment of
independent entities in synergy with qualified partners, in focused geographic areas, to pursue development
opportunities and profitability.
In activities related to the energy transition, Eni’s satellite model involves the establishment of entities engaged in the
development of products and solutions with reduced carbon footprint, capable, thanks to the entry of dedicated capital,
of growing autonomously and financially independently, releasing value for the parent company, as evidenced by the
successes of Enilive and Plenitude. The effective execution of the strategy is based on financial discipline in costs
and investments and a robust capital structure, with the help of solid corporate governance and risk identification and
management processes, allows for continued investment in the business and competitive returns to shareholders. The
ENI ANNUAL REPORT 2024
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CAPTURE, STORAGE
AND USE OF CO²
OIL AND GAS
TRADITIONAL AND
BIOREFINING AND
PETROCHEMICALS
ELECTRICITY
AND STEAM
PHOTOVOLTAIC
SUSTAINABLE MOBILITY
ENERGY EFFICIENCY
E-MOBILITY
FOOD
LUBRICANTS
RETAIL
MARKETS
HOST
COUNTRIES
BUSINESS
MARKETS
SERVICES
FUEL
BIOFUEL
SERVICES
CCUS
NETWORK SERVICES
PRODUCTS
achievement of the Net Zero goal by 2050 involves the use of available technologies capable of
immediately contributing to the reduction of emissions, such as:
• gas component as a bridge energy source in the transition, flanked by investments to reduce CO2
and methane emissions;
• traditional refining technologies applied in the production of biofuels, using raw materials of organic
origin, not competing with the food chain in the context of the development of agri-business to
contribute to the decarbonisation of transport without sudden changes to existing infrastructures;
• renewables through increased installed capacity and integration with the retail business, leveraging
a large customer base;
• Carbon Capture Utilization and/or Storage (CCUS), able to provide a concrete contribution to the
reduction of emissions, in particular in hard-to-abate sectors, thanks to the development of hubs
for the storage of CO2;
• technologies for the production of bioplastics and mechanical recycling of used plastics.
The scale use of these solutions together with research and development of breakthrough technologies,
such as magnetic confinement fusion, can contribute to change the energy paradigm in the long term.
Eni’s operations use a global supply chain for the procurement of capital goods, raw materials,
works and services. The main assets procured were logistics support for the well area and ancillary
services, offshore installations, engineering services for the oil and gas sector, professional services
and well drilling services.
Enilive and Plenitude
Refining and Chemicals
Global Gas & LNG Portfolio and Power
Exploration & Production*
EUROPE
Albania
Austria
Belgium
Cyprus
Czech Republic
Estonia
France
Germany
Greece
Hungary
Italy
Norway
Poland
Portugal
Romania
Slovak Republic
Slovenia
Spain
Sweden
Switzerland
The Netherlands
The United Kingdom
Turkey
AFRICA
Algeria
Angola
Congo
Côte d’Ivoire
Egypt
Ghana
Kenya
Libya
Mozambique
Namibia
Nigeria
Rwanda
Tunisia
ASIA AND OCEANIA
Australia
Bahrain
China
Hong Kong
India
Indonesia
Iraq
Kazakhstan
Lebanon
Malaysia
Oman
Pakistan
Qatar
Russia
Saudi Arabia
Singapore
South Korea
Timor Leste
Turkmenistan
United Arab Emirates
Vietnam
AMERICA
Argentina
Brazil
Canada
Colombia
Mexico
The United States
Venezuela
(*) CCUS and agri-business included
ENI WORLDWIDE
PRESENCE
7
ENI ANNUAL REPORT 2024
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Eni’s business model supports the company’s commitment to a socially fair energy transition and is
aimed at achieving solid financial returns and creating long-term value for the stakeholders through
a strong presence along the energy value chain. The company’s mission integrates the Sustainable
Development Goals (SDGs) of the 2030 Agenda of the United Nations.
Eni is committed to contribute to ensuring energy security, leveraging on a global portfolio and on
alliances with producing countries. At the same time, Eni implements a transition strategy based on
a technologically neutral and pragmatic approach, aimed at maintaining the competitiveness of the
production system and social sustainability.
These objectives leverage on a diversified geographical presence and a portfolio of solutions
technologies that will create an increasingly decarbonized energy mix. Essential to achieve these
objectives, the partnerships and alliances with stakeholders are used to ensure an active involvement
in the definition of Eni’s activities and in the transformation of the energetic system.
Eni’s business model combines the use of technologies, largely proprietary, enhancing the value
of internal skills and a strategic network of collaborations, with the development of an innovative
model which provides for the creation of dedicated companies capable of autonomously finance
their growth and, at the same time, to bring out the real value of each business.
Eni is present along the entire value chain – from exploration, development and extraction of
resources to the marketing of energy, products and services to end customers – developing robust
models of integrated business that enhance their industrial assets and customer base.
This integrated model is supported by the Corporate Governance system, based on the transparency
and integrity principles, and the Integrated Risk Management process, which is functional to ensure,
through the assessment and analysis of the risks and opportunities of the reference context, informed
and strategic decisions and the materiality analysis that explores the most significant impacts
generated by Eni on the economy, environment and people, including those on human rights.
The operation of the business model is based on the best possible use of all resources (inputs)
available to the organization and their transformation into output, through the implementation
of the strategy. Intangible resources are an integral part of the Eni’s value creation process and
include people’s skills, innovation and relations with stakeholders, which is matter of disclosure in
the sustainability reporting. Eni also organically combines its business plan with the principles of
environmental and social sustainability, articulating its actions along five guidelines, each oriented
towards specific results (outcomes):
Business model
The results achieved
during the year and
the further progress
in the growth and
value generation
strategy once again
demonstrate the
solidity of Eni’s
business model,
leveraging the asset
portfolio and the
satellite model,
confirming the
Group’s distinctive
competitive
advantage in the
transition
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CARBON NEUTRALITY BY 2050
Eni has embarked on a path that will lead to the decarbonization of processes and products by 2050, considering the emissions generated along
the entire life cycle of energy products. This path, achieved through existing and evolving technologies, will allow Eni to break down its carbon
footprint, both in terms of net emissions and net carbon intensity. In this context, Eni believes that natural gas has a role as a bridge energy source
in the transition, following its accessibility, reliability, versatility and reduced carbon content compared to other fossil fuels, and in a complementary
way with respect to other technological and energy solutions that will gradually become more and more relevant in facing energy demand.
ENVIRONMENTAL PROTECTION
Eni is committed to protect the environment through the search for innovative solutions aimed at reducing the impact of its operations, ensuring
efficient use of natural resources, the protection of biodiversity and water resources, and the promotion of development models based on
regenerative principles of the circular economy, with the aim of maximizing the recovery and valorization of waste and scraps.
VALUE OF OUR PEOPLE
Eni recognizes the value of its people as a fundamental element for the success of the company and for this reason guarantees a working
environment free from any form of discrimination that favors the full development of everyone’s potential, promoting the development of a
culture based on dissemination of knowledge. Eni also complies with the highest international standards in terms of health and safety and
adopts appropriate measures aimed at protecting people and assets.
ALLIANCES FOR DEVELOPMENT
Eni aims to contribute to the reduction of energy poverty in the countries in which it operates, integrating the development of industrial
projects and initiatives aimed at host communities, transferring know-how and skills to local partners. According to the so-called “Dual
Flag” approach, Eni’s action is based on a deep respect for the individual, on knowledge of local instances and on the willingness to engage
alongside countries to promote the sustainable development, also through partnerships with nationally and internationally recognized
actors. In these countries, Eni promotes initiatives to support local communities to promote, in addition to the access to energy, economic
diversification, training, community health, access to water and sanitation and land protection, in collaboration with international actors and
in line with National Development Plans and the 2030 Agenda.
SUSTAINABILITY IN THE VALUE CHAIN
Eni promotes the sustainable development of its supply chain, recognizing its key role in the transformation path undertaken. Through a systemic
and inclusive approach, Eni shares values, commitments and targets with its suppliers, supporting and involving them in the growth path. Jointly,
Eni supports its customers by offering cutting-edge energy solutions to help them play a leading role in the energy transition and communicates
with them in an honest and transparent way, providing quality products and services in line with their needs.
Eni’s business model is developed along these five lines by leveraging the development and application of innovative technologies and the
process digitization. In implementing this model, Eni guarantees respect for human rights in the context of its activities and promotes them
with its partners and stakeholders, also pursuing operations based on the values of responsibility, integrity and transparency.
9
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
VALUE CREATION FOR ALL STAKEHOLDERS
INPUT
BIOCHEMISTRY
AZULE ENERGY
CCUS
VÅR ENERGI
ITHACA
PLENITUDE
ENILIVE
FINANCIAL
RESOURCES
Net Invested Capital
(€ bln) 74.3
Capex (€ bln) 8.8
Contribution of portfolio
operations (€ bln) 3.5
(proforma)
INDUSTRIAL ASSETS
Biorefinery
capacity
(mln tons/y) 1.652
Group renewable
capacity (GW) 4.11
RESEARCH
AND DEVELOPMENT
★ R&D expenditure
(€ mln) 178
★ Patents 10,244
ENERGY
AND NATURAL
RESOURCES
Oil & gas
exp/development licenses
(thousand km2) 211
Net proved reserves
(mln boe) 6.5
Fresh water withdrawals
(mm3) 127
PEOPLE
AND SKILLS
Employees 32,492
Women in the
Labour force (%) 28.3
★ Training hours
(thousand) 1,027
RELATIONS AND
COLLABORATIONS
★ Gas & power
customers (million) 101
Investments for local
development (€ mln) 88.8
* SATELLITE
MODEL
OUR
I
N
T
E
G
R
A
T
ED
S
A
T
E
L
LI
T
E
M
O
D
E
L*
GLOBAL NATURAL
RESOURCES
C
O
R
P
O
R
A
T
E
G
O
V
E
R
N
A
N
C
E
PROPRIETARY
TECHNOLOGIES AND
BREAKTHROUGH
OPERATIONAL
EXCELLENCE
ENERGY
SOURCES
DIVERSIFICATION
STRATEGY
AND TARGET
ENI ANNUAL REPORT 2024
10
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Through an integrated presence across the entire energy value chain
OUTCOME AND OUTPUT
FINANCIAL
PERFORMANCE
Shareholders
remuneration(€ bln) 5.1
Adjusted Cash Flow
(€ bln) 13.6
Proforma adj EBIT
(€ bln) 14.3
Leverage proforma
0.15
INDUSTRIAL
PERFORMANCE
Production of
hydrocarbons
(Kboe/d) 1,707
LNG volumes
contracted
(MTPA) 13.4
Energy production
from renewable
sources (TWh) 4,71
ENI PEOPLE
TRIR (total recordable
injuries/worked hours)
0.69
Women in managerial
positions +3.4% vs. 2020
ENVIRONMENT
Net Carbon Footprint Eni
Scope 1+2 (mln ton CO2eq.)
23.6
Net Carbon
Footprint upstream
Scope 1+2 (mln ton Co2eq.)
6.8
Reuse
of fresh water (%) 90
LOCAL COMMUNITIES
Taxes paid (€ bln) 5.8
People reached with
local development
projects over 2 million
CUSTOMERS
AND CONSUMERS
EV charging points
(thousand of units) 21.31
Biofuels sales
(ktons) 9822
Natural gas sales (bcm) 50.9
★ Intangibles
1) 100% Plenitude, 2) 100% Enilive
ENVIRONMENTAL
PROTECTION
VALUE OF
OUR PEOPLE
ALLIANCES FOR
DEVELOPMENT
CARBON
NEUTRALITY
BY 2050
SUSTAINABILITY
IN THE VALUE
CHAIN
MISSION
VA
L
U
E
C
H
A
I
N
FI
N
A
N
C
I
A
L
D
IS
CI
P
LI
N
E
INDUSTRIAL
TRANSFORMATION
TRANSITION
BUSINESSES
R
I
S
K
M
A
N
A
G
E
M
E
N
T
LARGE
PORTFOLIO OF
OPPORTUNITIES
COMPETITIVE
ADVANTAGES
11
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Main events
JANUARY
FEBRUARY
MARCH
APRIL
MAY
JUNE
Plenitude signed an agreement with
EDPR to acquire 0.38 GW of
photovoltaic generation capacity
in the US.
Entry into the BlueFloat Energy-sener
Renewable investments partnership
for the development of offshore
wind farms in Spain
Established a joint venture
Enilive-LG Chem for the
construction and
management of a
biorefinery in South Korea.
Approved the decision on the
conversion of the Livorno
refinery into a biorefinery
Enilive as
title sponsor
of Serie A
until 2027
Completed the
appraisal of the
Cronos discovery
in Block 6 offshore
Cyprus
First LNG cargo
from Congo just
one year after the
project approval
Plenitude started construction
of the Renopool photovoltaic
plant in Spain with a capacity
of 330 MW
Versalis finalised the
acquisition of Tecnofilm
SpA, a company specialized
in the compounding sector
Eni and International Finance
Corporation (IFC) signed a collaboration
agreement for a total financing of $210
mln for agri-feedstock development
in Kenya
Eni for the fifth time was the
most highly rated
exploration company in
Wood Mackenzie's annual
survey
Calao
discovery
offshore Côte
d'Ivoire, the
second
largest in the
country
Finalized the
agreement for EIP
to enter Plenitude's
share capital
through a reserved
capital increase of
€0.6 bln (7.6%
stake)
Renewed
membership
in the MIT Energy
Initiative focused
on technological
innovations for
achieving the
Net Zero
Finalised
the sale to
Perenco of
upstream
assets in
Congo
Enilive Iberia
completed the
acquisition of
Atenoil, a
company with
a network of
service
stations in
Spain
Completed the
sale of 10%
of the share
capital of
Saipem with
proceeds of
€0.4 bln
Launched Great
Limpopo project
in Mozambique
to protect
forests and
counteract
deforestation
causes in line
with the UN
REDD+ protocol
Agreement with
Hilcorp, one of the
largest private US
companies
operating in
Alaska, for the sale
of 100% of Eni's
Nikaitchuq and
Oooguruk assets
Completed the acquisition of the UK
oil & gas operator Neptune Energy
in agreement with Eni's associate
Vår Energi
ENI ANNUAL REPORT 2024
12
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
AUGUST
JULY
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
New discovery
in the Yopaat-1 EXP
exploration well
drilled in Block 9
in Mexico
Completed the
new wind farm
with a capacity of
39 MW in Calabria,
Italy
Reached the Final
Investment Decision
(FID) to develop a
biorefinery in Malaysia
by Petronas, Enilive and
Euglena
Started gas
production from
the Argo
Cassiopea field
in the Sicilian
Canal
Finalized the
divestment
of onshore
oil assets in
Nigeria
Approved the Development Plan for the
Geng North (North Ganal PSC) and
Gehem (Rapak PSC) fields with the
creation of the Northern Hub production
hub in the Kutei Basin. Approved the
Ganal PSC development; a 20-year
extension of Ganal and Rapak licences
awarded
Launch of
On the Road,
the new
identity for
electric
mobility
services
Completed the
business
combination with
Ithaca Energy's
oil & gas assets
in the UK
Signed with KKR
the agreement to
acquire 25% of
Enilive's share
capital with an
investment of
€2.9 bln
Announced the
chemical
transformation,
decarbonisation and
revitalisation plan
Finalised the
divestment of
upstream
assets in
Alaska to
Hilcorp
Agreement to
further increase
EIP’s share in
Plenitude of €0,2
bln (2.4%)
Launched the
supercomputer
HPC6, supporting
Eni's
decarbonisation
Launched the
Nguya FLNG
floating unit for
Congo LNG
project
Acquired 4
exploratory
blocks
offshore
Côte d'Ivoire
Launched with
Snam the Italy's
first CO2 capture
and storage
project, Ravenna
CCS
Established a new
organizational
set-up of the
Company
articulated on
three business
groups
Started Phase 2 of
the Baleine project
in Côte d'Ivoire
Agreement between
Enilive and EasyJet for
the supply of Saf in
Italy
13
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024 was an exceptional year of growth and value creation for Eni, underpinned by its financial framework and cost discipline.
The Group is well positioned to ensure the execution of the decarbonization strategy, energy security and affordability leveraging
on its asset portfolio and resilient satellite model. Outstanding results of the year reflected the success of Eni’s strategy aiming at
value creation and transformation trajectory in the long term by leveraging our technological expertise. Diligent financial discipline
and projects’ selection allows Eni to continue to grow achieving positive results, upgrading the portfolio activities, while maintaining
a robust balance sheet keeping our leverage at a low level.
Eni at a Glance
PROFORMA ADJUSTED EBIT (€ bln)
0
10
20
30
2024
2023
2022
17.8
14.3
Subsidiaries
25.3
20.4
13.8
10.3
4
4
4.9
Main JV/Associates
Proforma adjusted EBIT
CASH GENERATION (€ bln)
0
10
20
2024
2023
2022
Organic capex
20.4
13.6
FCF
Brent dated
Adjusted operating cash flow
12.1
7.3
4.8
8.2
9.2
8.8
16.5
101
83
81
Adjusted operating cash flow of €13.6 bln was driven by the effective
strategy execution, new projects contribution and financial discipline, and
largely covered the organic capex of €8.8 bln, itself below plan guidance of
€9.0 bln.
GLOBAL NATURAL RESOURCES
EXPLORATION & PRODUCTION
Outstanding production performance: +3% hydrocarbons production growth driven
by organic projects start-ups and the full integration of Neptune acquired assets.
Exploration industry-leader
1.2 bln boe of new resources, mainly in Indonesia, Côte d’Ivoire, Cyprus and Mexico,
creating future development opportunities and options for early monetization
of our discoveries, consistent with Eni’s dual exploration model.
Portfolio high-grading
Creation of a new geographically-focused UK satellite Ithaca Energy;
finalized the Neptune business combination strengthening Eni’s
positions in key areas like Indonesia, Algeria and the UK.
Disposal of non-core assets in Nigeria, Congo and Alaska.
GGP AND POWER
GGP confirms the solidity of its business model, capable of
generating robust economic results with €1.1 bln of proforma
adjusted EBIT, 40% above original base case guidance, leveraging on
the continuous optimization of its gas/LNG portfolio and its competitive
edge in global LNG player. Enhanced assets and contracts portfolio.
TRANSITION BUSINESSES
PLENITUDE
Excellent operating results
the installed capacity from renewables increased
by over 30% to 4.1 GW. Customer base were
more than 10 mln of POD.
Unlocking company value
second tranche of EIP’s investment into Plenitude
for a total proceed of about €0.2 billion, increasing
its stake up to 10%.
Robust economic performance
Proforma adjusted EBITDA was €1.1 bln, above
original base case guidance, driven by a solid
performance in the retail market.
In 2024, Eni delivered another year of growth and value creation by leveraging
its asset portfolio and the satellite model, achieving steady financial results
with €14.3 bln of adjusted proforma EBIT, which includes the contribution as
Eni’s share of the main joint ventures and affiliates.
Plenitude and Enilive delivered on their EBITDA
target despite a challenging environment and
continued to grow.
ENI ANNUAL REPORT 2024
14
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
LEVERAGE AND DEBT
Net borrowings (€ bln)
Leverage (%)
5
0
10
15
20
2024
2023
2022
20
13
5.1
5.4
4.9
15*
*on proforma basis
7
10.9
12.2
SHAREHOLDERS REMUNERATION (€ bln)
2024
2023
2022
Dividends
Buy-back
3.1
3.1
3
2
1.8
2.4
2024 shareholders returns were €5.1 bln through dividends (€3.1 bln) and the
execution of a near doubled €2 bln share buy-back program, 80% completed
at year-end enabled by portfolio actions executed faster and for better value
than planned.
Proforma leverage stands at historical low 15%, taking into account cash
in from the 25% KKR investment in Enilive (€2.9 bln), the second tranche
of EIP’s investment into Plenitude (about €0.2 bln) and other minor
agreed transactions.
ENILIVE
Solid customer base
about 1.5 mln clients per day.
Biorefining development
Bio throughputs increased by 29%.
Business developments
First biojet plant in Sicily commenced
operation.
Final Investment Decision
taken to build/conversion
a biorefinery in Italy,
South Korea
and Malaysia.
INDUSTRIAL TRANSFORMATION
REFINING
Operating activity resilience
Total throughputs on own accounts
were 24.2 mmtonnes, in a challenging
market
scenario,
less
favorable
products
crack
spreads,
weak
demand, overcapacity and competitive
pressures from other geographies.
Business developments
Started conversion of the Livorno
traditional plant into a biorefinery.
2024
2023
2022
BRENT DATED ($/BL)
AVERAGE EUR/USD
EXCHANGE RATE
STANDARD ENI REFINING
MARGIN (SERM) ($/BL)
PSV (€/MWh)
101.19
82.62
80.76
2024
2023
2022
2024
2023
2022
2024
2023
2022
1.053
1.081
1.082
42
36
122
8.1
8.1
5.1
VERSALIS
Restructure and reconversion
Launched a restructuring and transformation
plan leveraging on our technological leadership
to create competitive advantages in the
transition and circular economy businesses.
A new investment plan will be executed to
develop new high-value chemical platforms
focused on transition, circular economy and
specialized products while restructuring efforts
will address exposure to basic chemicals, with
an overall net positive impact on employment.
15
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
2022
FINANCIAL
HIGHLIGHTS
Sales from operations
(€ million)
88,797
93,717
132,512
Operating profit (loss)
5,238
8,257
17,510
Adjusted operating profit (loss)(a)
10,348
13,805
20,386
Proforma adjusted operating profit (loss)(a)
14,322
17,809
25,333
Exploration & Production
13,022
13,538
21,062
Global Gas & LNG Portfolio and Power
1,274
3,599
2,333
Enilive and Plenitude
1,143
1,253
1,473
Refining and Chemicals
(713)
46
1,161
Adjusted net profit (loss)(a)(b)
5,257
8,322
13,301
Net profit (loss)(b)
2,624
4,771
13,887
Adjusted net cash before changes in working capital at replacement cost
13,590
16,498
20,380
Capital expenditure
8,485
9,215
8,056
of which: exploration
433
784
708
development of hydrocarbon reserves
5,564
6,293
5,238
Dividend to Eni's shareholders pertaining to the year(c)
3,167
3,034
2,972
Cash dividend to Eni's shareholders
3,068
3,046
3,009
Total assets at year end
146,939
142,606
152,130
Shareholders' equity including non-controlling interests at year end
55,648
53,644
55,230
Net borrowings at year end before IFRS 16
12,175
10,899
7,026
Net borrowings at year end after IFRS 16
18,628
16,235
11,977
Net capital employed at year end
74,276
69,879
67,207
of which: Exploration & Production
56,132
51,687
50,905
Global Gas & LNG Portfolio and Power
(1,322)
1,876
859
Enilive and Plenitude
10,396
8,688
8,832
Refining and Chemicals
7,760
7,868
7,683
Share price at year end
(€)
13.1
15.4
13.3
Weighted average number of shares outstanding
(million)
3,167.0
3,303.8
3,483.6
Market capitalization(d)
(€ billion)
40
50
48
2024
2023
2022
SUMMARY
FINANCIAL DATA
Net profit (loss)
- per share(a)
(€)
0.78
1.40
3.95
- per ADR(a)(b)
($)
1.69
3.03
8.32
Adjusted net profit (loss)
- per share(a)
(€)
1.60
2.47
3.78
- per ADR(a)(b)
($)
3.46
5.34
7.96
Cash flow
- per share(a)
(€)
4.13
4.58
5.01
- per ADR(a)(b)
($)
8.94
9.90
10.55
Adjusted return on average capital employed (ROACE)
(%)
7.6
12.3
22.0
Leverage before IFRS 16
22
20
13
Gearing
25
23
18
Coverage
8.7
17.5
18.9
Current ratio
1.2
1.3
1.3
Debt coverage
70.3
93.1
145.8
Net Debt/EBITDA adjusted
100.5
74.4
43.0
Dividend pertaining to the year
(€ per share)
1.00
0.94
0.88
Total Share Return (TSR)
(%)
(9)
23
16
2024
2023
2022
EMPLOYEES
Exploration & Production
(number)
9,188
9,840
9,733
Global Gas & LNG Portfolio and Power
1,151
1,130
1,317
Enilive and Plenitude
5,899
5,759
5,303
Refining and Chemicals
10,060
10,449
9,770
Corporate and other activities
6,194
5,964
6,065
Group
32,492
33,142
32,188
(a) Non-GAAP measures.
(b) Attributable to Eni’s shareholders.
(c) The amount of dividend for the year
2024 is based on the Board’s proposal.
(d) Number of outstanding shares by
reference price at year end.
(a) Fully diluted. Ratio of net profit/
cash flow and average number of shares
outstanding in the period. Dollar amounts
are converted on the basis of the average
EUR/USD exchange rate quoted by Reuters
(WMR) for the period presented.
(b) One American Depositary Receipt (ADR)
is equal to two Eni ordinary shares.
2024
2023
2022
INNOVATION
R&D expenditure
(€ million)
178
166
164
First patent filing application
(number)
39
28
23
ENI ANNUAL REPORT 2024
16
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
2022
CLIMATE
Net carbon footprint upstream (Scope 1+2)(a)
(mmtonnes CO2 eq.)
6.8
9.0
10.0
Net carbon footprint Eni (Scope 1+2)(a)
23.6
26.2
30.0
Indirect GHG emissions (Scope 3) - use of sold products(b)
181.0
173.7
164.3
Net GHG Lifecycle Emissions (Scope 1+2+3)(a)
395
398
419
Net Carbon Intensity (Scope 1+2+3)(a)
(gCO2 eq./MJ)
65.2
65.6
66.3
Direct GHG emissions (Scope 1)(c)
(mmtonnes CO2eq.)
21.2
22.7
25.0
Indirect GHG emissions (Scope 2)(c)
0.6
0.6
0.6
Direct methane emissions (Scope 1)(c)
(ktonnes CH4)
16.0
16.6
26.4
2024
2023
2022
HEALTH, SAFETY
AND ENVIRONMENT(a)
TRIR (Total Recordable Injury Rate)
(total recordable injuries/worked hours)
x 1,000,000
0.67
0.57
0.51
employees
0.69
0.66
0.41
contractors
0.66
0.52
0.56
Total volume of oil spills (> 1 barrel)
(barrels)
2,815 12,719
5,628
of which: due to sabotage
2,140
5,094
5,253
operational
675
7,625
375
Freshwater withdrawals
(mmcm)
127
109
101
Re-injected production water
(%)
51
42
43
(a) KPIs are calculated on an equity bases. Considering the update
of the Global Warming Potential coefficients by the IPCC in 2024,
the 2023 and 2022 data are reported accordingly.
b) GHG Protocol Category 11- Corporate Value Chain (Scope 3)
Standard. Estimated on the basis of the upstream production
(Eni’s share) in line with IPIECA methodologies.
(c) KPIs refer to 100% of the operated assets, consolidated
and unconsolidated, with reference to the operatorship criteria
expressed in the standards of the Sustainability Statement.
The 2023 and 2022 data are reported accordingly.
(a) KPIs refer to 100% of the operated assets,
consolidated and unconsolidated, with reference to the
operatorship criteria expressed in the standards of the
Sustainability Statement. The 2023 and 2022 data are
reported accordingly.
2024
2023
2022
OPERATING DATA
EXPLORATION & PRODUCTION
Hydrocarbon production
(kboe/d)
1,707
1,655
1,610
Net proved reserves of hydrocarbons
(mmboe)
6,497
6,614
6,628
Reserve life index
(years)
10.4
10.6
11.3
Organic reserve replacement ratio
(%)
124
69
47
Profit per boe(a)(c)
($/boe)
11.3
14.5
9.8
Opex per boe(b)
9.2
8.6
8.4
Finding & Development cost per boe(b)(c)
22.7
26.3
24.3
GLOBAL GAS & LNG PORTFOLIO AND POWER
Natural gas sales
(bcm)
50.88
50.51
60.52
of which: Italy
24.40
24.40
30.67
outside Italy
26.48
26.11
29.85
LNG sales
9.8
9.6
9.4
Thermoelectric production
(TWh)
20.16
20.66
21.37
Power sales in the open market
26.55
27.30
30.86
ENILIVE AND PLENITUDE
Capacity of biorefineries
(mmtonnes/year)
1.65
1.65
1.10
Sold production of biofuels
(ktonnes)
982
635
428
Average biorefineries utilization rate
(%)
74
71
58
Retail market share in Italy
21.2
21.4
21.7
Retail sales of petroleum products in Europe
(mmtonnes)
7.70
7.52
7.50
Service stations in Europe at year end
(number)
5,254
5,267
5,243
Average throughput of service stations in Europe
(kliters)
1,638
1,645
1,587
Installed capacity from renewables at period end
(GW)
4.1
3.0
2.2
Energy production from renewable sources
(TWh)
4.7
4.0
2.6
Retail and business gas sales to end customers
(bcm)
5.51
6.06
6.84
Retail and business power sales to end customers
(TWh)
18.28
17.98
18.77
Retail and business customers at period end
(mln pod)
10.0
10.1
10.1
EV charging points
(thousand)
21.3
19.0
13.1
REFINING AND CHEMICALS
Refinery throughputs on own account
(mmtonnes)
24.21
27.39
27.12
Average oil refineries utilization rate
(%)
78
77
79
Production of chemical products
(ktonnes)
5,685
5,663
6,856
Average chemical plant utilization rate
(%)
50
51
59
(a) Related to consolidated subsidiaries.
(b) Includes Eni’s share in joint ventures and equity-accounted entities.
(c) Three-year average.
17
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Strategy
Eni continues to deliver in an ever-changing industry backdrop, demonstrating our track
record for strong execution and our ability to manage the challenges that arise and seize
the future opportunities that we see for our business. Eni is focussed on where we have
distinctive competitive strengths, based around technology and integrated value chains,
delivering competitive growth and attractive risk adjusted returns. Our consistent strategic
approach has seen us adapt existing legacy strengths like Upstream; restructure and
relaunch Chemicals activities; and build material new businesses across the breadth
of our operations in the form of Plenitude, Enilive and now the CCUS satellite and the
Indonesia-Malaysia business combination. Such achievements demonstrate the strength
of our strategy and we expect to continue our delivery at pace in 2025 and make further
important progress. We have also evolved and strengthened our financial framework to
support our growth and diversification strategy and to enable us to deliver highly attractive
shareholder returns. Notably, by introducing aligned capital into our satellites, we are
leveraging changes in capital markets, efficiently funding our growth, and most importantly,
revealing material value creation. In financial terms we expect to grow CFFO/share at over
14% per year through this decade via top-line growth and materially improving returns, we
will improve ROACE by around 6 percentage points over the same period. Additionally, the
sustainability of Eni is significantly improved: financial leverage will be in an historically
low range averaging 16%, 5 percentage points lower than previously. Importantly, we will
continue to drive down operating emissions alongside providing a growing portfolio of
zero and low carbon energy to our customers. While building a more valuable company,
we intend to reflect our progress by continuing attractive returns to shareholders, our
commitment to a growing dividend is our priority even as we focus on reducing our four-
year Plan average cash neutrality to below $40/bbl. The dividend will be supplemented with
a share buy-back plan for an overall payout in the range of 35-40% of CFFO, raised from 30-
35% previously, reflecting the strategic, operational and financial advances we have made.
Furthermore, in the event of upside in cash generation, 60% of the additional cash will be
distributed to shareholders. This means that for 2025 we will propose a dividend of €1.05/
share, up 5% and a share buyback initially set at €1.5 billion with upside up to €3.5 billion.
Claudio Descalzi
Chief Executive Officer
STRATEGIC PLAN
GROUP
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Eni’s industrial Plan aims to accelerate value growth and Group diversification, maximizing the benefits
of the satellite model, maintaining a robust capital structure and a distribution policy at the top of the
industry.
The main elements of the Strategic Plan are:
The implementation of our DISTINCTIVE
AND CONSISTENT STRATEGY, that
addresses the huge opportunities of an energy market
in transformation;
Eni’s ability to adapt existing competitive strengths
to respond to such change, having created a
FOCUSSED PORTFOLIO of established, new
and emerging businesses with ROBUST AND
INTEGRATED BUSINESS MODELS to
generate highly competitive growth and attractive returns;
A STRENGTHENED FINANCIAL
FRAMEWORK to support the business that is
resilient yet also innovative and flexible, enabling
LONG TERM SUSTAINABLE VALUE
CREATION;
An ATTRACTIVE INVESTMENT
PROPOSITION combining a business related to the
transition, an increasingly valuable business and an
attractive SHAREHOLDER DISTRIBUTIONS,
further ENHANCED this year.
cumulative investments, net of portfolio
transactions, of €27 billion by 2028,
ranging from €6.5 billion to €7 billion in 2025.
CFFO/share growing at 14% CAGR
to 2028 and continuing at that pace through 2030;
cumulative CFFO over the plan to €60 billion which,
in combination with our disciplined investment
programme will yield €33 billion of
Free Cash Flow;
leverage in the range of 10-20%;
Implementation of the satellite model to access and raise
capital for business to support the growth in both
Upstream and Transition-related activities
unlocking the significant value which Eni continues to
generate in all businesses;
further enhancement of shareholders
remuneration. Eni intends to increase the payout
target to 35-40% of the CFFO, from the previous
30-35%, announcing a dividend of €1.05 per
share, up 5%, and a buyback program worth
€1.5 billion.
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Eni is the leading international explorer, with a
unique model of organic growth, dual exploration
farm-downs, leading time to market and full
realisation of equity production margins.
With Plenitude and Enilive, Eni has created two
high-growth integrated businesses that support
customers in decarbonizing energy consumption
and also contribute to diversification and resilience
at the group level. The introduction in 2024 of new
forms of aligned capital into these businesses
confirmed the material value that Eni is creating
with them.
Eni is engaged in the transformation of Versalis, in
response to a European chemical market deeply
deteriorated through the phasing-out of steam
cracking activities and the development of new
business platforms, such as compounding and
specialized polymers, biochemistry and circularity
Underlying production will grow by 3-4%
per year to 2028 and through 2030. Reported production,
after the effects of portfolio management and high-grading
transactions will be between 2-3% per year;
Execution on the high-quality portfolio of projects,
high-grading and disciplined investment will drive a
40% improvement in Upstream FCF per
barrel to 2030;
GLOBAL NATURAL
RESOURCES
OTHER ESG COMMITMENTS AND TARGETS(1)
Eni has defined additional strategic commitments and objectives on priority
ESG issues. These objectives leverage the business model, according to the 5
levers (for more information see the business model) and integrate the evolution
and growth of its activities, while supporting the generation of value for its
stakeholders, through the promotion of people’s well-being, the development of
professional skills and the definition of business models aimed at increasing the
social impact on local communities and the supply chain. The main commitments
and targets of sustainability in relation to the levers of the business model.
CARBON NEUTRALITY
BY 2050
ENVIRONMENTAL
PROTECTION
THE VALUE
OF OUR PEOPLE
ALLIANCES
FOR DEVELOPMENT
SUSTAINABILITY
IN THE VALUE CHAIN
TRANSITION
BUSINESSES
INDUSTRIAL
TRANSFORMATION
(1) The main challenges, solutions and projects and the complete list of commitments are described in the Sustainability
Statement, which is broken down according to the themes of the European Sustainability Reporting Standards (ESRS),
as required by the Corporate Sustainability Reporting Directive (CSRD), ensuring coverage of the aspects relevant to the
business model.
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GGP’s continued focus on maximizing the value of
its asset portfolio and generating an average of
€800 million per year of proforma EBIT over
the plan period, with an upside in 2025 of up to over €1 billion
if market conditions allow;
launch in 2025 of the new satellite company
related to the CCUS business consolidating the
projects in a single entity and leveraging its technical and
financial expertise;
distinctive approach to Data Centers, powered by blue
power as significant new business area.
future growth opportunities also through the new significant
business combination in Indonesia-Malaysia which
will generate important synergies to become one of the main
operators in the LNG sector in the region;
active portfolio management with a view of playing a key role in
value creation through the application of the “dual exploration
model”, maintaining operatorship, combined with the disposal
of traditional assets that are no longer strategic;
further development of trading activities with the aim of
fully capturing the margin deriving from the combination of business
integration, availability of physical flows and industrial assets along the
entire value chain;
ROACE (Return on Average Capital Employed) to rise to
over 15% by 2030;
EBIT break-even by 2027;
reduction in investments of approximately €350 million
compared to the previous Plan, which will lead to
the break-even of the FCF by 2028;
ROACE related to new business platform
of around 10% by 2030.
Growth of PLENITUDE’s installed renewable energy
capacity to 15 GW by 2030, enabling it to almost double
proforma EBITDA by 2028, to €1.9 billion and grow
further to over €2.5 billion by 2030.
Medium-term ROACE expected at around 10%;
Confirmed ENILIVE’s target of more than 5 million
tonnes of biofuel production capacity by 2030
along with the optionality of SAF to account for more than
2 million tonnes;
ENILIVE’s proforma EBITDA of €2.5 billion
by 2028, reaching €3 billion by 2030.
Enilive has the capability to generate over 15%
of ROACE;
probable external investments for
Plenitude, as happened for Enilive, up to participating
interest of about 30%.
through chemical and mechanical recycling. Versalis’
transformation plan also includes setting up of new
industrial initiatives consistent with Eni’s strategy
across both in biorefining, energy storage initiatives,
and potentially also in data centers and artificial
intelligence.
Confirmed the Group pathway towards Net Zero by 2050, targeting Net Zero Carbon Footprint upstream by 2030, Net Zero Carbon Footprint
Eni by 2035, Net Zero GHG Lifecycle Emissions and Net Zero Carbon Intensity by 2050
Declared the ambition to achieve water positivity by 2050 in its operated sites, through an approach that also takes into account actions at the
river basin level, inspired by the principles of the Net Positive Water Impact proposed by the CEO Water Mandate
• Confirmed of the TRIR ≤0.40 over the 2025-2028 four-year period
• +15% hours of training by 2028 compared to 2024
• +4 percentage points of female population by 2030 compared to 2020
• +3.8 percentage points of female staff in positions of responsibility (Managers and Executives) by 2030 compared to 2020
Over 20 million people reached by 2030 through initiatives to support local communities in the energy access sectors (including clean cooking
initiatives), education, to water, economic diversification, health and protection of the territory
• Maintenance of ESG assessments in proceedings for more than 90% of the Italian procurement by 2025 compared to 2023
• Proceedings with ESG assessments for 90% of foreign procurement by 2026 vs. 2023
• 100% of strategic worldwide suppliers assessed on the path to sustainable development by 2025
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IRM PROCESS
The IRM process ensures the detection, consolidation and analysis
of all Eni’s risks and supports the BoD to verify the compatibility of
the risk profile with the strategic targets, also in a medium/long-term
approach. The IRM supports management in the decision-making
process by strengthening awareness of the risk profile and the
associated mitigations.
The process, regulated by the Global Procedure “Integrated Risk
Management” is continuous, dynamic and includes the following
sub-processes:
i
Risk strategy;
ii Integrated Risk Assessment;
iii Integrated Country Risk;
iv Integrated Project & M&A Risk Management.
The IRM process starts from the specialist contribution to the
elaboration of the Strategic Plan provided on the basis of the
overall risk management activity, with particular reference to the
definition of the de-risking areas, the analysis of the risk profile
underlying the Plan proposal and the identification of the main
Integrated Risk Management
actions with effective de-risking of the strategic company’s
top risks. The results of the activities are presented to the
Administrative and Control bodies in times consistent with the
Strategic Planning process.
The “Integrated Risk Assessment” sub-process includes: periodic
risk assessment and monitoring cycles in order to understand the
risks taken on the basis of the strategic targets of the four year
strategic plan also looking at the medium/long-term, through the
definition, evaluation and monitoring of the main company’s risks
and the related treatment measures; assessment activities on
industrial assets; other analyses on specific risks. Furthermore,
activities regarding the integrated analysis of existing risks in the
main Countries of presence or potential interest and activities to
support the sub-process “Integrated Country Risk” ICR the decision-
making process for the authorization of investment projects and
main transactions are performed (sub-process “Integrated Project
Risk Management and M&A Risk Management”).
The risks are assessed with quantitative and qualitative tools
Eni has developed and adopted an Integrated Risk Management Model (IRM Model) supporting Eni’s management awareness in
taking risk-informed decisions through risk assessment and analysis with an integrated, comprehensive and prospective vision.
The IRM Model is based on a system of methodologies and skills that leverages on criteria ensuring consistency of the
evaluations to improve the effectiveness of the analyses, adequacy of support for the main decision-making processes
(definition of the Strategic Plan) and to guarantee the disclosure to the administration and control bodies. The IRM Model is
characterized by a structured approach, based on international best practices and considering the guidelines of the Internal
Control and Risk Management System, that is structured on three control levels.
Governance attributes a central role to the Board of Directors (BoD) which defines, on the basis of the analyses proposed by
the Chief Executive Officer (CEO) and with the support of the Control and Risk Committee (CCR), with reference to the four-year
Strategic Plan, the nature and level of risk compatible with the company’s strategic objectives, including in its assessments all
the elements that may be relevant with a view to the sustainable success of the company.
Eni’s Chief Executive Officer (CEO) implements the BoD’s guidelines; the analysis is based on the scope of the work and risks
specific of each business area and processes aiming at defining an Integrated Risk Management policy. The CEO also ensures
the evolution of the IRM process consistently with business dynamics and the regulatory environment. At least quarterly, the
IRM function presents the relevant results to the CEO, to the Control and Risk Committee, as well as, where required, to the
other control and supervisory bodies. The CEO submits the results of the analysis on Eni’s main risks to the Board of Directors
at least quarterly.
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considering both the likelihood of occurrence and the impacts that
may results from the occurrence of the risk in a defined time horizon.
The assessment usually is expressed as both an inherent and a
residual level (taking into account the effectiveness of the mitigation
actions) and allows to measure the impact with respect to the
achievement of the objectives of the Strategic Plan and for the whole
life as regards the business.
The risks are represented on the basis of the likelihood of occurrence
and the impact on matrices that allow their comparison and
classification by relevance. Risks with economic/financial impact
can be also analyzed in an integrated perspective on the basis of
quantitative models that allow to define on a statistical basis the
distribution of cash flows at risk or to simulate the aggregate impact
of risks in the face of hypothetical future scenarios (what if analysis
or stress test).
Finally, Risk Knowledge, training and risk communication activities are
carried out, aimed at increasing the dissemination of the risk culture,
identifying, developing and strengthening the resources operating
in the risk management field across Eni’s various businesses and
developing the risk knowledge management system.
In 2024, two assessment sessions were performed: the Annual Risk
Assessment performed in the first half of the year and in the second
half of the year the 4Y Plan Risk Assessment, to support the elaboration
process of the 4Y Strategic Plan. The assessment involved all business
lines in Italy and abroad (over 40 Countries). The two assessment
results were submitted to Eni’s management and control bodies in
July 2024 and December 2024. In addition, three monitoring processes
were performed on Eni’s top risks. The monitoring of such risks and
the relevant treatment plans allows to analyze the risks evolution
(through the update of appropriate indicators) and the progress
in the implementation of specific treatment measures planned by
management. The top risks monitoring results were submitted to the
management and control bodies in March, July and October 2024.
Eni’s top risks portfolio consists of 20 risks classified in: (i) external
risks, (ii) strategic risks and, finally, (iii) operational risks (see Targets,
risks and treatment measures on the following pages).
LEGEND:
(a) Refer to the Board of Directors, the Control and Risk Committee, the Board of Statutory Auditors, the 231 Supervisory Body, the Chairman of the Board of Directors as well as the
Chief Executive Officer.
GOVERNANCE BODIES AND ORGANISMS(a)
GOVERNANCE BODIES AND ORGANISMS(a)
EXTERNAL ASSURANCE PROVIDERS
INTERNAL AUDIT
SUPPORT TO 1st LEVEL
ADVISORY TO 1st
AND 2nd LEVEL
1st LEVEL
Identification and
management of
relevant risks
of competence and
related controls
2nd LEVEL
Monitoring of main risk categories
and adequacy of controls
LINE
MANAGEMENT
/RISK OWNER
(BUSINESS & SUPPORT
PROCESS)
3rd LEVEL
ASSURANCE
AND INDEPENDENT
ADVISORY
on the 1st and 2nd
levels and internal
control system
as a whole
INTERNAL
AUDIT
FUNCTION
SPECIALIST FUNCTIONS
Integrated
Compliance
Integrated
Risk
Management
Financial
Reporting
Officer
Corporate
Affairs and
Governance
Dedicated/Risk
specialist
functions or
functions from
Compliance
Models
(e.g. Security,
Asset Integrity,
Cyber, Health,
Data Protection
Officer,
Organization)
HSE
Process
Owner
Planning
and Control
MANAGEMENT
Direction, delegation, supervision, resources
Accountability, reporting, assurance
Communication, coordination, collaboration
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STRATEGIC RISK
SCENARIO
SCENARIO
MAIN RISK
EVENTS
Commodity Price Scenario, overview of risks deriving from unfavourable commodities price fluctuation
(Brent, natural gas and other commodities) compared to planning assumptions.
TREATMENT
MEASURES
• Focus on portfolio resilience and flexibility by monitoring traditional businesses cash generation, new
businesses growth, portfolio and capital budgeting optimization;
• diversification of gas/LNG supply portfolio of contracts leveraging on the development of upstream and
GGP integrated initiatives to exploit value from equity gas and portfolio optimization actions;
• active strategy of portfolio hedging in relation to market conditions;
• optimization of traditional business industrial structures;
• development of biorefining capacity, through conversion of traditional refining production circuit and
selective partnerships in geographically differentiated markets of interest and product diversification
(Sustainable Aviation Fuel - SAF);
• feedstock flexibility also through integration with agribusiness;
• restructuring plan for basic chemicals;
• development of new chemistry platforms (specialized polymers, biochemicals, recycling);
• optimization of assets according to market conditions and initiatives to decarbonize the power sector;
• maximizing synergies between electricity generation from renewables and the power customer portfolio.
Securitization of revenues from renewables through the stipulation of Purchase Power Agreements.
FALL IN
FALL IN
DEMAND/
DEMAND/
COMPETITIVE
COMPETITIVE
ENVIRONMENT
ENVIRONMENT
MAIN RISK
EVENTS
Fall in demand/competitive environment, relating to a market demand and supply imbalance or an
increase in competitiveness leading to: (i) sale volumes reduction, (ii) increased difficulties in preserving
the customer base/developing growth initiatives, (iii) trigger adverse trends of finished products’ prices, (iv)
fall in demand.
TREATMENT
MEASURES
• Diversification of gas/LNG supply portfolio of contracts leveraging on the development of upstream and
GGP integrated initiatives to exploit value from equity gas and portfolio optimization actions;
• active strategy of portfolio hedging in relation to market conditions and geopolitical scenario evolution;
• growth in the sustainable mobility business and selective development of the service stations network;
• restructuring plan for basic chemicals and development of new platforms (specialized polymers,
biochemicals, recycling);
• growth in the customer portfolio mainly abroad and increase in the share of power customers;
• maximization of integration synergies with production from renewable sources and with e-mobility;
• push for digitalisation in customer management processes and progressive reduction of the carbon
footprint on gas & power sales;
• capacity development on geographically diversified markets with particular attention to those with a
Retail presence;
• strengthening of diversified mix of technologies (offshore wind, BESS);
• development on the renewables market with a focus on profitability also through integration with retail.
CLIMATE
CLIMATE
CHANGE
CHANGE
MAIN RISK
EVENTS
Climate change, referred to the possibility of changes in the scenario/weather conditions determining risks
related to the energy transition (legislative, market, technological and reputational risks) and physical risk
for Eni business in the short, medium and long term.
TREATMENT
MEASURES
• Structured governance with a key rule of the Board of Directors in managing the main issues related to the
climate change, and specific committees supporting the Board;
• Strategic Plan foreseeing operational actions for each business to sustain the industrial transformation
and to reach targets in the short, medium and long term;
• remuneration policy with short and medium terms incentive plans including targets related to the “climate
strategy” in line with the strategic plan;
• resilience through the flexibility of the Strategy, portfolio diversification by developing lower carbon
businesses and products, as well as assessment of the portfolio resilience through stress test based on
low carbon scenarios;
• three-year technological development plan, or anticipated in case of material technology gaps, and active
collaboration on Domestic and international innovation ecosystems;
• transparency in climate disclosure, proactive dialogue with stakeholders and support to international
initiatives and monitoring of legislative and legal trends (see also investigations and hse procedures risks);
• risk management process to identify and analyse assets exposed to potential prospective changes of
natural events which could affect the operability and integrity of Eni’s assets.
TARGETS, MAIN RISKS AND TREATMENT MEASURES
Eni’s target:
COMPANY PROFITABILITY
CORPORATE REPUTATION
RELATIONSHIP WITH STAKEHOLDERS, LOCAL DEVELOPMENT
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EXTERNAL RISK
GEOPOLITICAL
GEOPOLITICAL
RISK
RISK
MAIN RISK
EVENTS
Geopolitical, impact of geopolitical issues on strategic actions and business operations.
TREATMENT
MEASURES
• Institutional activities with relevant national and international counterparties to overcome crisis situations;
• continuous environmental monitoring, mainly focused on critical political/institutional developments and
regulatory issues which can potentially affect the businesses;
• monitoring and enhancement of Eni’s presence, economic promotion initiatives in the countries of interest
and attention to economic, social, energy and environmental issues.
COUNTRY RISK
COUNTRY RISK
MAIN RISK
EVENTS
Global security risk, relating to actions or fraudulent events which may negatively affect people and
material and intangible assets.
Political and social instability, referring both to political and social instability, and to criminal/bunkering
events within the country towards Eni and its subsidiaries, with potential consequences in terms of lower
production and delays in projects.
Credit & Financing Risk, related to the financial stress of the partners and delays in credit proceeds and
recovery of the incurred costs.
TREATMENT
MEASURES
• Portfolio geographical diversification;
• engagement in national and international initiatives for the implementation of collaboration plans and
response to potential threats involving companies;
• mitigation treatments for security risks through specific projects and programs referring to some most
sensitive areas/sites;
• presence of a security risk management system supported by analysis of country- and site-specific
preventive measures and implementation of emergency plans aimed at maximum safety of people and
the management of activities and assets;
• signing of country-specific repayment plans leveraging on proven contractual and/or financial instruments;
• request for sovereign guarantees and letters of credit to protect credit positions.
DOWNGRADING
DOWNGRADING
RATING
RATING
MAIN RISK
EVENTS
Downgrading risk, referring to the possible downgrading of Eni’s long-term rating.
TREATMENT
MEASURES
• Prospective analysis of the level of leverage and monitoring of cash flows;
• capex and opex maintenance/review; improved financial efficiency;
• maintaining strong liquidity buffer;
• continuous dialogue between Eni and the rating agencies.
COMMERCIAL
COMMERCIAL
CREDIT
CREDIT
RISK
RISK
MAIN RISK
EVENTS
Commercial credit risk, referring to the possible non-fulfilment of obligations assumed by a counterparty,
with impacts on the economic/financial situation and the achievement of the company’s targets.
TREATMENT
MEASURES
• Centralised credit model and operative coordination in multi-business customer management;
• risk-mitigating management actions: guarantees, factoring, insurance coverage;
• systematic monitoring of entrusted counterparties’ risk indicators and timely alerting mechanisms.
ENERGY
ENERGY
SECTOR
SECTOR
REGULATION
REGULATION
MAIN RISK
EVENTS
Energy Sector Regulation, relating to impacts on operations and competitiveness of businesses associated
with the evolution of the energy sector regulation.
TREATMENT
MEASURES
• Monitoring of legislative and regulatory evolution; advocacy within the institutional processes of definition
of new directives or regulations targeted to decarbonisation and energy security;
• definition of strategic and operational actions in line with regulatory developments:
- geographical diversification of bio capacity, feedstock flexibilization and expansion of product portfolio
(agro-biofeedstock development, biojet production);
- development of chemical from renewable sources, and development of the advanced mechanical
recycling and technologies for chemical recycling.
Eni’s target:
COMPANY PROFITABILITY
CORPORATE REPUTATION
RELATIONSHIP WITH STAKEHOLDERS, LOCAL DEVELOPMENT
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EXTERNAL RISK
PERMITTING
PERMITTING
MAIN RISK
EVENTS
Permitting, relating to the occurrence of possible delays or failure to issue authorizations, renewals or
permits by the Public Administration with impacts on project schedule and costs as well as implications for
social, environmental, image and reputation issues.
TREATMENT
MEASURES
• Constant dialogue with institutions and participation to parliamentary hearings;
• continuous involvement of authorities and stakeholders on project objectives and progress from the early
stages;
• transfer and sharing of knowhow with the bodies involved, also through greater involvement of technical
bodies;
• supervision and monitoring of sectoral authorization procedures.
BIOLOGICAL
BIOLOGICAL
RISK
RISK
MAIN RISK
EVENTS
Biological - risk related to the spread of pandemics and epidemics potentially impacting people, health
systems and businesses.
TREATMENT
MEASURES
• Eni Crisis Unit’s constant guidance and monitoring to align, coordinate and identify response actions;
• preparation and implementation of a plan to react to health emergencies (Medical Emergency Response
Plan - MERP) to be adopted by all Eni subsidiaries and employers. The plan is also defined in order to
identify a business continuity plan;
• information for staff and training campaigns;
• technical-scientific guidance activities of the staff units to define prevention and treatment measures to
be declined and implemented at the business level.
RELATIONSHIPS
RELATIONSHIPS
WITH LOCAL
WITH LOCAL
STAKEHOLDERS
STAKEHOLDERS
MAIN RISK
EVENTS
Relationships with local stakeholders of the energy industry.
TREATMENT
MEASURES
• Integration of targets and sustainability projects (i.e. Community Investment) within the Strategic Plan
and the management incentive program;
• continuous dialogue with stakeholders to disclose the Eni’s sustainable approach, also through social and
local development projects and local content valorization;
• collaboration agreements with national and international organizations towards Public Private Partnership
(FAO, UNDP, UNESCO, UNIDO);
• respect and promotion of Human Rights through the implementation of the Human Rights Management
Model, impact analysis and the integration of Human Rights perspective in the business processes.
Eni’s target:
COMPANY PROFITABILITY
CORPORATE REPUTATION
RELATIONSHIP WITH STAKEHOLDERS, LOCAL DEVELOPMENT
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OPERATIONAL RISK
ACCIDENTS
ACCIDENTS
MAIN RISK
EVENTS
Risks of blowout and other accidents to industrial assets, as well as in the management of people/product
logistics, with potential damage to people, the environment and assets and impacts on profitability and
corporate reputation.
TREATMENT
MEASURES
• Insurance coverage;
• careful prevention action (application of new technologies) and real time monitoring for wells;
• proactive monitoring of incidents through the weak signals identification in the Process Safety area and
completion of the actions resulting from Audits and Risk Assessments relating to Process Safety issues;
• technological and operational improvements and continuous implementation of the Asset Integrity
Management system to prevent accidents together with the increase in plant reliability;
• vetting: management and coordination of relevant activities to asses, inspect and select ships, assignment of
a rating for operators;
• standard contract specifications in the maritime transport;
• Contract Risk Management (Pre/Post award);
• continuos training activities.
CYBER
CYBER
SECURITY
SECURITY
MAIN RISK
EVENTS
Cyber Security & industrial espionage referring to cyber attacks aimed at compromising information (ICT)
and industrial (ICS) systems, as well as the subtraction of Eni’s sensitive data.
TREATMENT
MEASURES
• Centralized governance model of Cyber Security, with units dedicated to cyber intelligence and prevention,
monitoring and management of cyber attacks;
• enhancement of safeguards at subsidiaries outside Italy and industrial sites;
• promotion of the corporate culture in the Cyber Security also through targeted initiatives (phishing simulation);
• stronger monitoring of security events;
• strengthening of the company’s Cyber Security Posture through actions aimed at increasing the detection
capacity (e.g. implementation of Indicators of Compromise) and response of cyber threats.
INVESTIGATIONS
INVESTIGATIONS
AND HSE
AND HSE
PROCEEDINGS
PROCEEDINGS
MAIN RISK
EVENTS
Investigations and proceedings relating to climate change, environmental, health and safety issues.
TREATMENT
MEASURES
• Legal defense in judicial and non-judicial venues;
• organizational structures engaged in the legal assistance and supervision of national and international
institutional relations on HSE and climate change issues;
• continuous monitoring of regulatory developments and constant assessment of the adequacy of existing
monitoring and control models;
• strengthened process of assigning and managing assignments to external professionals through new
methods to ensure transparency and traceability;
• focused communication programs.
Eni’s target:
COMPANY PROFITABILITY
CORPORATE REPUTATION
RELATIONSHIP WITH STAKEHOLDERS, LOCAL DEVELOPMENT
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The governance system, alongside the business strategy, is aimed at supporting the relationship of trust
between Eni and its stakeholders and contributing to the achievement of business results, creating sustainable
value. Eni is committed to creating a Corporate Governance system1 inspired by criteria of excellence in open
dialogue with the market and all stakeholders. As of January 1 2021, Eni applies the recommendations of
the Corporate Governance Code (Governance Code), which Eni’s Board of Directors (BoD) adhered to on
December 23, 2020. The Governance Code identifies “sustainable success” as the objective that must guide
the action of the administrative body and which is substantiated in the creation of long-term value for the
benefit of shareholders, taking into account the interests of other stakeholders relevant to the Company.
Moreover, since 2006 Eni has considered the interest of stakeholders other than shareholders as one of the
necessary references that the Directors must evaluate in making informed decisions.
ENI’S GOVERNANCE MODEL
Eni’s Corporate Governance is based on the traditional Italian model, which – without prejudice to the tasks
of the Shareholders’ Meeting – assigns responsibility for management to the Board of Directors, supervisory
functions to the Board of Statutory Auditors (BoSA) and those of statutory audit to the Independent Auditors.
The Board has entrusted the management of the Company to the Chief Executive Officer (CEO), who was
last appointed on May 11, 2023, reserving the most significant strategic, operational and organisational
responsibilities, in particular in the areas of governance, sustainability, internal control and risk management.
The Board of Directors has set up four internal committees, with preparatory, consultative and advisory
functions: the Control and Risk Committee2, the Remuneration Committee3, the Nomination Committee
and the Sustainability and Scenarios Committee, which report, through their respective Chairmen, at each
meeting of the Board on the main issues examined. The Board also confirmed the attribution to the Chairman
of the Board of Directors of a significant role in internal controls, in particular with reference to the Internal
Audit function, of which it proposes to the Board of Directors, in agreement with the CEO, appointment,
dismissal, remuneration and resources, directly managing the relationship on behalf of the Board (without
prejudice to the functional dependence from the Control and Risk Committee and the CEO, responsible for
establishing and maintaining the internal control and risk management system); the Chairman of the Board
of Directors is also involved in the appointment processes of the other main Eni persons in charge of internal
controls and risk management, such as the Officer in Charge of preparing the Company’s financial reports,
the members of the Supervisory Body, the Head of Integrated Risk Management and the Head of Integrated
Compliance. Finally, the Board, on the proposal of the Chairman of the Board of Directors, appoints the
Secretary of the Board, with the task of providing impartial and independent assistance and advice to the
Chairman himself, the individual Directors and the Board4 as a whole. Because of this role, the Secretary –
who reports hierarchically and functionally to the Board itself and, on its behalf, to the Chairman of the Board
of Directors – must meet the requirements of professionalism, as required by the Governance Code, and the
Chairman of the Board of Directors monitors his independence.
Governance
(1) For further information on Eni’s Corporate Governance system, please refer to the Eni’s Corporate Governance and Shareholding
Structure Report, drafted in accordance with Article 123-bis of Legislative Decree 58/1998, which is also published on the Company’s
website, in the Governance section.
(2) With reference to the composition of the Control and Risk Committee, Eni requires that at least two members shall have appropriate
expertise and experience with accounting, financial or risk management issues, exceeding the Recommendation of the Governance Code
which recommends only one such member. In this regard, on May 11, 2023, the Board of Directors assessed that 3 out of the 4 members
of the Committee, including the Chairman, have the appropriate experience. The level of expertise and experience of the Committee
members therefore exceeds that provided for in the Committee Rules and Governance Code.
(3) The Rules of the Remuneration Committee require, in line with the Recommendation of the Governance Code, that at least one
member shall have adequate knowledge and experience in financial matters or remuneration policies, assessed by the Board at the time
of appointment. In this regard, on May 11, 2023, the Board of Directors assessed that 2 out of 3 members of the Committee possess
the knowledge and experience indicated above. The level of expertise and experience of the Committee members therefore exceeds that
provide for in the Committee Rules and Governance Code.
(4) The Charter of the Board Secretary and Board Counsel, annexed to the Rules of the Board of Directors, is available on Eni’s website, in
the Governance section.
Integrity and
transparency are
the principles
that inspire
Eni in outlining
its Corporate
Governance system,
a founding element
of the Company’s
business model
ENI ANNUAL REPORT 2024
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Below is a summary graphic representation of the Corporate Governance structure of the Company as of December 31, 2024, which, during the
2024 financial year, did not see the appointment of new Directors and Statutory Auditors:
AUDIT FIRM
PwC SpA
BOARD OF DIRECTORS
BOARD OF DIRECTORS
MAGISTRATE OF THE
COURT OF AUDITORS
Giovanni Coppola
BOARD OF STATUTORY AUDITORS
BOARD OF STATUTORY AUDITORS
CHIEF OPERATING OFFICERS(***)
Guido Brusco - General Manager(****)
(Global Natural Resources)
Francesco Gattei - General Manager(****)
(Chief Transition & Financial Officer)
Giuseppe Ricci
(Industrial Transformation)
231 SUPERVISORY BODY
Raffaele Ferrara (Chair)(f)
Antonella Alfonsi(f)
Ugo Lecis(f)
Rosalba Casiraghi(g)
Gianfranco Cariola(h)
BOARD SECRETARY
AND COUNSEL
Luca Franceschini(e)
INTERNAL
AUDIT DIRECTOR
Gianfranco Cariola
Giuseppe Zafarana(a)
CHIEF EXECUTIVE OFFICER (CEO)
FINANCIAL
REPORTING
OFFICER
Francesco Esposito
Rosalba Casiraghi(c)
DIRECTORS (NON-EXECUTIVE)
Elisa Baroncini(a)
Massimo Belcredi(c)
Roberto Ciciani(d)
Carolyn Adele Dittmeier(c)
Federica Seganti(a)
Cristina Sgubin(a)
Raphael Louis L. Vermeir (c)
LEAD INDEPENDENT DIRECTOR
CHAIR
C
L
SUSTAINABILITY AND
SCENARIOS COMMITTEE
NOMINATION
COMMITTEE
CONTROL AND RISK
COMMITTEE
C
C
C
REMUNERATION
COMMITTEE
C
Enrico Maria Bignami(c)
Marcella Caradonna(a)
Giulio Palazzo(a)
Andrea Parolini(a)
(a) Member appointed from the majority list, independent pursuant to law and the Corporate Governance Code.
(b) Member appointed from the majority list.
(c) Member appointed from the minority list, independent pursuant to law and the Corporate Governance Code.
(d) Member appointed from the majority list, non-executive.
(e) Also Integrated Compliance Director.
(f) External member.
(g) Chair of the Board of Statutory Auditors.
(h) Internal Audit Director.
(*) Non-executive.
(**) Alternate Statutory Auditors:
- Giulia De Martino, member appointed from the majority list;
- Giovanna Villa, member appointed from the minority list.
(***) As of October 1, 2024. For more details, please refer to Eni press release of September 12, 2024.
(****) Appointed by the Board of Directors, upon proposal of the Chief Executive Officer in agreement with the Chairman of the Board of Directors and after consulting the Nomination
Committee. The General Manager is subject to the provisions of Italian law governing the liability of the BoD members.
(Audit Committee SOA)
STANDING STATUTORY
AUDITORS(**)
L
Claudio Descalzi(b)
COMPANY’S CORPORATE GOVERNANCE STRUCTURE
COMPANY’S CORPORATE GOVERNANCE STRUCTURE
ENI SPA
SHAREHOLDERS'
MEETING
CHAIR OF THE BoD(*)
CHAIR
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THE BOARD OF DIRECTORS
The Board of Directors and the Chairman of the Board of Directors are
appointed by the Shareholders’ Meeting. In order to allow the presence
of Directors designated by minority shareholders, the appointment of
Directors takes place through the slate voting system. The current
Board of Directors, appointed in May 2023 until the Shareholders’
Meeting called to approve the 2025 financial statement, is composed
of 9 members. Three Directors were appointed by shareholders
other than the controlling one, thus guaranteeing minorities a higher
number of representatives than required by law. The Shareholders’
Meeting of May 2023, in appointing the new Board of Directors for
the three-year period 2024-2026, was able to take into account the
guidelines expressed to the market before the Shareholders’ Meeting
by the outgoing Board of Directors on the qualitative and quantitative
composition considered optimal. The guideline highlighted the
centrality of skills in the field of sustainability, ESG and energy
transition, also underlining the importance of ensuring that Eni’s
Directors have knowledge of issues relating to sustainability and the
control of climate and environmental risks, developed in managerial or
entrepreneurial roles and acquired in industrial contexts comparable
to those in which the Company operates. The result was, therefore,
a balanced and diversified Board, as also confirmed by the self-
assessment exercise conducted by the Board in the first year of its
mandate, which revealed a positive opinion on the professionalism
within the Board in terms of knowledge, experience and skills, and on
the individual contribution that the individual Directors believe they can
bring to the Board of Directors, based on their preparation, motivation
and sense of belonging. The Directors’ skills on ESG and sustainability,
among others, have been further strengthened through a structured
induction program launched at the beginning of the mandate and
extensively developed in 2024.
The composition of the Board is also diversified in gender terms, in
accordance with the provisions of applicable law and the By-laws, which
were amended in February 2020 in view of the renewal of the corporate
bodies. In particular, for 6 consecutive terms, the administrative and
supervisory bodies must be composed of at least 2/5 of the less
represented gender. In addition, on the basis of the assessments of
the Board of Directors, carried out after the appointment and, after
preliminary investigation by the Nomination Committee, periodically,
most recently on February 26, 2025, the number of independent
Directors present on the Board (75 out of the 9 Directors in office, of
which 8 are non-executive and including the Chairman of the Board of
Directors) is confirmed to be higher than the provisions of the By-laws
and the Governance Code. In addition, the Board, on the occasion of
the aforementioned assessments, ascertained that all the Directors
meet the integrity requirements prescribed by current legislation, do
not fall into any situation of incompatibility, ineligibility and forfeiture
and comply with the policy on the maximum number of offices held
resolved by the Board of Directors on May 11,2023.
Majority 6
Minority 3
SLATE
AGE(b)
67%
33%
33%
11%
40-50 1
51-60 3
61-70 5
GENDER
DIVERSITY
COMPOSITION OF THE BOARD OF DIRECTORS
Independent 7
Non-independent 2
INDEPENDENCE(a)
78%
22%
TENURE
78%
11%
11%
0-3 FY 7
4-6 FY 1
>9 FY 1
56%
(a) Independence as defined by applicable law and the Corporate Governance Code.
(b) Figures as at December 31, 2024.
Male 5
Female 4
56%
44%
(5) This refers to independence in accordance with the law, to which Eni’s By-laws refer, and pursuant to the Governance Code.
APPOINTMENT AND COMPOSITION OF THE CORPORATE BODIES
ENI ANNUAL REPORT 2024
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THE BOARD OF STATUTORY AUDITORS
The BoSA and its Chairman are appointed by the Shareholders’
Meeting through slate voting, in order to allow the presence of
Statutory Auditors designated by minority shareholders. The Board
of Statutory Auditors in office, appointed in May 2023 until the
Shareholders’ Meeting to approve the 2025 financial statements, is
composed of 5 standing members and 2 alternates. Two Standing
Auditors, including the Chairman, were appointed by shareholders
other than the controlling shareholder, thus guaranteeing minorities
(i.e. shareholders other than the controlling ones) a higher number
of representatives than required by law. In 2023, the Board of
Statutory Auditors expressed its orientation on the composition of
the body to shareholders, underlining, among others, the importance
of skills and/or experience in sustainability disclosure, climate
change and energy transition. The composition of the Board is
diversified in relation to gender, in accordance with the law and the
Statute. Pursuant to the law, Statutory Auditors must meet specific
requirements of independence, professionalism and integrity. The
Governance Code also recommends that all members of the Board
of Statutory Auditors meet the independence requirements set out
in the same Code for directors. The assessment of independence
is carried out by the Board of Statutory Auditors, on the basis of the
information provided by each member of the body and transmitted
to the Board of Directors.
The BoSA, as the “Internal Control and Audit Committee” pursuant
to Legislative Decree No. 39/2010, must also meet the requirements
set out in Art. 19 of the same Decree according to which “The
members of the Internal Control and Audit Committee, as a whole,
are competent in the sector in which the audited entity operates”
and verify the possession of the requirement of “Audit Committee
financial experts”, for the purposes of US legislation. The BoSA in
office has verified the possession of these requirements after the
appointment and periodically during the mandate.
Majority 3
Minority 2
60%
40%
COMPOSITION OF THE BOARD OF STATUTORY AUDITORS
Male 3
Female 2
60%
40%
(a) Figures as at December 31, 2024.
50- 60 i 2
61-70 2
>70 1
0-3 FY 1
4-6 FY 2
7-9 FY 2
40%
40%
20%
40%
40%
20%
GENDER DIVERSITY
SLATE
AGE(a)
TENURE
THE MANAGEMENT
In recent years, the Board has paid particular attention to the
Company’s organisational structures, with significant changes in
the internal control, risk management and compliance system,
placing the Integrated Risk Management function and a new
Integrated Compliance function reporting directly to the CEO. In
September 2024, the Board updated the organisational structure,
reorganising business activities into three structures headed by
three Chief Operating Officers6 reporting to the CEO: “Global Natural
Resources”, “Industrial Transformation” and “Chief Transition &
Financial Officer”, to ensure effectiveness and achieve the objectives
of decarbonization, value creation and industrial transformation. In
terms of gender, the % of women as the first report of the CEO stands
at 25%. The CEO and the General Managers, in the exercise of their
powers, are responsible for the implementation of the strategies
defined by the Board in the context of strategic planning, as well as
for risk management with the support of the Company’s specialist
functions responsible for sustainable development, health, safety,
the environment and human resources.
(6) The Chief Operating Officer “Global Natural Resources” and the Chief Operating Officer “Chief Transition & Financial Officer” were appointed by the Board of Directors, upon proposal of the
CEO, in agreement with the Chairman of the Board of Directors and after consulting the Nomination Committee, as General Managers, with the consequent application also of the provisions of
Italian law governing the liability of directors.
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GIANFRANCO CARIOLA
Internal Audit
Director(b)
OFFICE OF THE CEO
FRANCESCO GATTEI
Chief Transition &
Financial Officer
Chief Operating Officer/
General Manager(c)
GUIDO BRUSCO
Global Natural Resources
Chief Operating Officer/
General Manager(c)
GIUSEPPE RICCI
Industrial Transformation
Chief Operating Officer
(a) The Board Secretary and Counsel reports hierarchically and functionally to the Board of Directors and, on its behalf, to the Chair of the Board of Directors.
(b) The Internal Audit Director reports hierarchically to the Board and, on its behalf, to the Chair of the Board of Directors, without prejudice to its functional reporting to the
Control and Risk Committee and the CEO, and without prejudice to the provisions concerning the appointment, revocation, remuneration and allocation of resources.
(c) Francesco Gattei and Guido Brusco are appointed by the Board of Directors, upon proposal of the Chief Executive Officer in agreement with the Chair of the Board of Directors and
after consulting the Nomination Committee, as General Managers, with the consequent application also of the provisions of Italian law governing the liability of the BoD members.
LUCA FRANCESCHINI
Board Secretary
and Counsel(a)
GIUSEPPE ZAFARANA
Chair of the Board
of Directors
CLAUDIO DESCALZI
Chief Executive Officer
ROBERTO ULISSI
Corporate Affairs
and Governance
Director
LUCA FRANCESCHINI
Integrated Compliance
Director
GRAZIA FIMIANI
Integrated Risk
Management
Director
STEFANO SPERONI
Legal Affairs and
Commercial Negotiations
Director
CLAUDIO GRANATA
Stakeholder Relations
& Services
Director
LORENZO FIORILLO
Technology,
R&D & Digital
Director
LAPO PISTELLI
Public Affairs
Director
ERIKA MANDRAFFINO
External Communication
Director
BOARD OF DIRECTORS
BOARD OF DIRECTORS
MACRO-ORGANIZATIONAL STRUCTURE OF ENI SPA
MACRO-ORGANIZATIONAL STRUCTURE OF ENI SPA
A graphical representation of the organizational macrostructure of Eni SpA as of December 31, 2024, is provided below:
ENI ANNUAL REPORT 2024
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On an annual basis, the Board, supported by an external consultant,
carries out its own self-assessment (“Board Review”), of which a
comparison with national and international best practices and a
reflection on the Board’s dynamics are essential elements, also
in order to propose to shareholders guidelines on the profiles for
the optimal composition of the future Board. Following the Board
Review, the Board shall, if necessary, share an action plan to improve
the functioning of the body and its committees. With reference to
the 2024 financial year, the self-assessment process was carried out
through questionnaires and interviews that concerned, in particular,
the composition and operations of the Board of Directors and
Committees, in continuity with the previous year, also with reference
to ESG/sustainability issues, in terms of prioritization, integration
into decision-making processes, assessment of specific risk
profiles, connection to managerial remuneration systems, carrying
out adequate training activities. The self-assessment conducted in
the second year of the mandate also examined the results of the
previous year’s self-assessment exercise and the related areas for
improvement, as well as the main activities carried out in 2024.
Finally, the dynamics of the Board and its overall effectiveness
were examined in depth, also in relation to the average quality of
the contributions and key skills expressed individually by Directors.
A positive opinion on the professionalism within the Board of
Directors was therefore confirmed, generally considered in line with
the indications provided for in the Guidance to shareholders on
the optimal composition document approved in 2023. The skills of
the Directors were also supported in 2024 by the “board induction”
training program for directors and statutory auditors, and which
concerned, among others, issues of general interest concerning the
business model and strategies, the approach and the sustainability
model in areas such as people’s health, human rights, transparency
and the fight against corruption (also on the occasion of participation
in a session of the “Anti-corruption Compliance Program of Eni”), the
main innovations regarding the corporate regulatory system, with a
focus on the innovations introduced in the framework of the internal
control and risk management system, which is an integral part of
the corporate strategy. On the issues of innovation, digitalisation
and new technologies, which constitute an important strategic lever
for business transformation, the Board also had the opportunity to
deepen the planning in the field of fusion energy, the developments
of the project for the completion and start-up of the new HPC67
supercomputing system (High Performance Computing - HPC),
as well as the topic of artificial intelligence. The program was then
enriched by two off-site sessions of the Board, the first concerning
the visit to an operational site abroad (Abu Dhabi), the second relating
to the visit to the Company’s Green Data Center, during which the
results achieved as part of the project on the HPC6 supercomputing
system were presented. Finally, the initiatives (dedicated workshops
and periodic reports) aimed at strengthening the knowledge and
awareness of Directors and Statutory Auditors on the subject of
cyber-security continued, with an analysis of the main cyber risks
and threats and the monitoring measures implemented.
SELF-ASSESSMENT OF THE OVERALL SKILLS, KNOWLEDGE AND EXPERIENCE OF THE BOARD OF DIRECTORS (%)
Governance & Legal
94
Accounting, Finance, Internal Controls
and Risk Management
78
Institutional Relations and Public Sector
78
ESG & Sustainability
83
Energy Sector and Strategic Vision
89
Climate Change & Energy Transition
61
International Experience
33
Innovation, Digital & Cybersecurity
55
(7) For more information on the HPC6 computing system, please refer to the press releases of January 23 and November 19 2024.
EXPERIENCE AND TRAINING OF CORPORATE BODIES
ON SUSTAINABILITY ISSUES
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(8) The powers reserved by the Council are punctually declined in the
deliberation adopted on May 11, 2023, available on Eni’s website, in the Governance section.
(9) For further information on the functions of the Sustainability and Scenarios Committee, please refer to the relevant
Regulation, available on Eni’s website in the Governance section.
INTEGRATION OF SUSTAINABILITY
INTO THE STRATEGY
Eni’s governance structure integrates sustainability, including in
the form of “sustainable success”, into Eni’s business model. The
Board of Directors has defined Eni’s mission (most recently in
2019), inspired by the goals of the United Nations 2030 Agenda.
In addition, the Board of Directors has the role of defining, upon
proposal of the CEO, the strategic guidelines and objectives of the
Company and the Group, pursuing their sustainable success and
monitoring their implementation, as expressly provided for in the
resolution on the reserved powers of the Board , last adopted on
May 11, 2023. Furthermore, with a view to pursuing sustainable
success, the Board of Directors, in line with the Governance Code,
promotes dialogue with shareholders and other stakeholders
relevant to the Company. In particular, the Board, upon proposal
of the Chairman of the Board of Directors, in agreement with
the CEO, has adopted the policy for managing dialogue with
all shareholders, also in order to ensure orderly and consistent
communication. The Chairman of the Board of Directors, with
the support of the Secretary of the Board, ensures that the Board
of Directors is informed about the development and significant
contents of the dialogue, giving an account of the assessments
expressed by the various types of investors.
THE ROLE OF THE BOARD OF
DIRECTORS IN STRATEGIC PLANNING
AND RELATED INFORMATION FLOWS
Eni’s BoD, in the exercise of the powers it has reserved for itself,
approves the Strategic Plan (four-year plan and medium-long
term plan), which includes industrial business targets, economic
and financial results and sustainability targets, including medium-
long term emission targets, testifying to how the decarbonization
strategy is an integral part of Eni’s business strategy. In this context,
the strategy aimed at creating value along the entire plan horizon
assumes primary importance, in a synergistic process that sees
the active involvement of the Company as a whole and, in particular,
of the BoD, as the top management body. The Strategic Plan was
examined and approved by the BoD during the meeting of March
13, 2024, following a complex process of prior sharing, already
started in the previous meetings of January 25 and February
15, 2024, through the holding of three readings focused on the
elements of context and scenario, as well as on the illustration of
the strategic drivers by business sectors. A similar examination
process was followed for the new Strategic Plan approved by the
BoD on February 26, 2025.
In these assessments, the BoD is supported by a specific
Board Committee, the Sustainability and Scenarios Committee,
established in 2014 by the Board itself, with investigative, advisory
and propositional functions on the processes, initiatives and
activities aimed at overseeing the commitment, discussion and
training relating to sustainable development along the entire
value chain, with particular reference to the issues of: climate
transition and technological innovation, access to energy and
energy sustainability, environment and energy efficiency, local
development, respect and protection of human rights, integrity
and transparency, Diversity & Inclusion. The BoD also plays an
active role in the implementation of Eni’s strategy, including
through the approval of the investment projects and portfolio
transactions included in the Strategic Plan, in accordance with
the provisions of the resolution on the powers reserved to it,
and annually monitors their progress and compliance with
requirements and targets, which also include the results of the
risk analysis and any assessments of the ESG impacts associated
with the aforementioned transactions. The internal control
and risk management system is fundamental for the sound
and correct conduct of the Company, including the economic,
environmental and personal impacts of the Company’s activities,
the general guidelines of which are defined by the BoD, in line with
the Company’s strategies, with the support of the Control and Risk
Committee and after consulting the Chairman for the part relating
to Internal Audit activities. In addition, again with the support of the
Control and Risk Committee, the BoD has the power to: i) examine
the main corporate risks, identified by the CEO, taking into account
the characteristics of the activities carried out by the Company
ROLES AND RESPONSIBILITIES ON SUSTAINABILITY ISSUES
In accordance with the provisions of the BoSA Rules of Conduct
issued by the National Council of Italian Professional Accountants
and in line with the recommendations of the Governance Code,
the BoSA conducts an annual self-assessment process on its
composition and operations. In 2024 and 2023, this process
concerned, among others, the evaluation of the skills and
experience of the members also in terms of sustainability. In
addition, the Board of Statutory Auditors participates in the
“board induction” training programme for Directors and Statutory
Auditors. The results of the self-assessment process are reported
in the Board of Statutory Auditors’ Report to the Shareholders’
Meeting.
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MAIN SUSTAINABILYTY TOPICS ADDRESSED BY THE BOARD OF DIRECTORS WITH THE SUPPORT OF THE
BOARD COMMITTEES
STRATEGY
AND ENERGY
TRANSITION
• Four-year and long-term plan, including sustainability objectives and short- and long-term incentive plans to
support strategic sustainability objectives.
• Insights into Eni’s positioning with respect to peer climate objectives and strategies, sustainable finance
tools and climate assembly resolutions.
• Declaration of approval of Eni’s Statement regarding the management and protection of water resources.
• Review of Eni’s commitment to nuclear fusion (Board Induction).
• Insights into the evolution of the electricity market, the development prospects of urban mobility and
related strategies (Board Induction).
HUMAN RIGHTS
AND SOCIAL ISSUE
• Approval of the Declaration pursuant to the “Modern Slavery Act”.
• Outcomes of the update process of the so-called salient human rights issues of Eni and the Compliance
Risk Assessment Specific.
• Investment plan for local development and No Profit.
• Insights into the reference regulatory framework, the Policy and the human rights management model in
Eni (Board Induction).
REPORTING
AND MONITORING
• Approval of mandatory and voluntary sustainability consolidated reports.
• In-depth analysis of the HSE model and results.
• Approval of the fundamental guidelines of the Policy on the internal control system on financial information
and mandatory sustainability information.
• In-depth analysis of the evolution of European regulations in the reporting field.
and its subsidiaries, and submitted by the same to the BoD at
least quarterly and ii) assess, on a half-yearly basis, the adequacy
and effectiveness of the internal control and risk management
system with respect to Eni’s characteristics and the profile of risk
assumed, in particular on the basis of the Reports prepared by
the Manager responsible for preparing the Company’s financial
reports, the Control and Risk Committee, the Risk Management
and Integrated Compliance functions; iii) annually assess the
adequacy of the organisational structure of the internal control and
risk management system with respect to the characteristics of the
Company and the risk profile assumed, as well as its effectiveness,
except for changes that make it necessary to update every six
months. The BoD also plays a central role in approving and revising
the fundamental lines of the internal regulatory system and the
policies on Ethics, Compliance & Governance, also in terms of risk
management and in the receipt of information flows (such as, for
example, the regulatory instruments on transactions involving the
interests of Directors and Statutory Auditors and transactions with
related parties, anti-corruption and internal audit, as well as the
guidelines of the ICRMS). In its role of strategic guidance, the BoD,
as part of the resolution on the powers that it has reserved for
itself, has the task of approving the Management, Supervision and
Control Model of the Company’s Health, Safety and Environment,
Security and Public Safety risks and its substantial amendments,
annually examining the HSE Report, prepared by the Head of the
competent corporate function and included in the flows relating to
the assessment of adequacy of the ICRMS. Another central issue
for Eni is that of human rights, whose commitment was reaffirmed
in the “Respect for Human Rights at Eni” policy approved in 2023
by the BoD and which was followed during the year by suitable
actions to further strengthen the management controls that
configure Eni’s human rights management model in line with the
provisions of the United Nations Guiding Principles on Business
and Human Rights (UNGP), OECD Guidelines for Multinational
Enterprises and in consideration of the regulatory developments
underway on the subject. In particular, during the year, a process
was carried out to update Eni’s so-called salient human rights
issues, i.e. the human rights issues considered most significant
for Eni and with respect to which the company’s management
model and activities on human rights must be developed as a
priority, which saw the involvement of over one hundred Eni people
and some authoritative external stakeholders. In this context, a
Compliance Risk Assessment Specific was also carried out aimed
at identifying and assessing specific Risk Activities and identifying,
from a risk-based perspective, any Risk Treatment actions. The
results of these processes, together with the main activities carried
out by the various corporate functions in implementation of the
above-mentioned management model, were examined in depth
by the Sustainability and Scenarios Committee at its meeting on
December 9, 2024. This meeting was extended to all members of
Eni’s BoD, with the aim of providing an update on the evolution of
legislation in the EU on the issue of respect for human rights.
Below is a summary of the main Sustainability issues addressed by
the BoD during 2024:
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(10) For details on the composition, tasks and Regulations of the Board Committees, please refer to the website
Eni.
THE BOARD COMMITTEES
The Board also avails itself of the support of the Board Committees,
each within its scope of competence, by virtue of the investigative,
propositional and advisory functions assigned to them. In particular,
with reference to sustainability aspects10:
• Eni’s Control and Risk Committee assesses the suitability of
periodic financial and non-financial information to correctly
represent the business model, the Company’s strategies, the
impact of its activities and the performance achieved, expressing
an opinion to the Board in this regard and coordinating with the
Sustainability and Scenarios Committee with regard to mandatory
periodic non-financial/sustainability disclosures. In addition, in
this context, it examines the content of periodic non-financial/
mandatory sustainability information relevant for the purposes of
the internal control and risk management system. Also in relation to
these tasks, it meets with the Company management responsible
for these matters on an appropriate basis, examining, among other
things: (i) the main issues with a view to the preparation of the
annual and half-yearly Financial Reports as well as their essential
connotations and the contents of the Sustainability Report; (ii)
the main results achieved by Eni in the areas of safety, health and
the environment, and the initiatives developed for the continuous
improvement of their performance, including through the use
of new technologies; (iii) security and cyber security issues; (iv)
activities to safeguard Asset Integrity; (v) climate change risk and
specific aspects related to it.
• the Sustainability and Scenarios Committee carries out
investigative, advisory and propositional functions towards the BoD
on scenarios and sustainability, meaning the processes, initiatives
and activities aimed at overseeing the Company’s commitment
to sustainable development along the value chain, with particular
reference to: climate transition issues and technological innovation;
access to energy and energy sustainability; environment and
efficiency energy; local development, in particular economic
diversification, health, well-being and safety of people and
communities; respect for and protection of rights, in particular
human rights; integrity and transparency; and Diversity & Inclusion.
To this end, it receives information from the heads of the corporate
functions involved in these processes, who may be invited to
participate in Committee meetings. The Sustainability and
Scenarios Committee also coordinates with the Control and Risk
Committee in assessing the suitability of periodic non-financial
information, as indicated above.
• the
Remuneration
Committee
carries
out
investigative,
propositional and advisory functions to the BoD on remuneration
issues, and in this context proposes annual and long-term incentive
systems, defining their objectives, also in support of the guidelines
taken on sustainability issues.
• the Nomination Committee carries out preparatory, advisory and
propositional functions with regard to the Board of Directors, and
in this sense, among other tasks, supports the Board of Directors
in the appointment of managers and members of the bodies and
agencies of the Company and its subsidiaries whose appointment
is the responsibility of the Board and supervises the related
succession plans, in the periodic assessment of the requirements
of the directors and in the self-assessment process, formulating
opinions to the BoD on its composition and its Committees, also on
the necessary skills. Review and evaluate the criteria that oversee
the succession plans of the Company’s executives with strategic
responsibilities.
THE BOARD OF STATUTORY AUDITORS
The BoSA carries out the functions attributed to it by law and in
particular, in addition to the provisions of Art. 149 of the Consolidated
Law on Finance, supervises the financial reporting and sustainability
reporting process and the effectiveness of internal control and risk
management systems, also in its capacity as “Internal Control and
Audit Committee” and “Audit Committee” for the purposes of US
legislation. In addition, it monitors compliance with the provisions of
Legislative Decree No. 125 of September 6, 2024, on sustainability
reporting and reports on it in the annual report to the Shareholders’
Meeting. Supervisory activities are carried out through meetings with
the heads of the main business and functional areas, participation
in meetings of the BoD and Board Committees as well as through
the exchange of information with the Independent Auditors. In
particular, the BoSA receives the information flows necessary for the
performance of its duties and the reports and opinions expressed
by the corporate bodies and functions responsible for financial
reporting, mandatory sustainability and the internal control and risk
management system. The results of the activities carried out by the
BoSA are described in the Report to the Shareholders’ Meeting.
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Eni’s Remuneration Policy is defined in line with the corporate
governance model adopted by the Company and with the
recommendations of the Corporate Governance Code, providing
that the remuneration of Directors, members of the Board of
Statutory Auditors, General Managers and other Executives with
strategic responsibility is functional to the pursuit of the corporate
mission and the sustainable success of the Company. Taking into
account the need to dispose, retain and motivate people with
the competence and professionalism required by the role held
(Principle XV of the Corporate Governance Code).
To this end, the remuneration of top management is defined
by considering the applicable market references for positions
or roles of similar level of responsibility and complexity, within
panels of comparable national and international companies, also
in relation to the reference sector and company size.
The Remuneration Policy for Directors and top management also
contributes to the corporate strategy, through incentive systems
linked to economic, financial and equity objectives, social and
environmental sustainability and energy transition, from a long-
term perspective, taking into account the prospects of interest of
shareholders and other stakeholders.
The Remuneration Policy for 2025 maintains the remuneration
levels defined in the previous Policy unchanged and provides for
the reshaping of the structure and weights of the objectives of the
IBT Plan and the 2023-2025 ILT Equity Plan (2025 attribution) as
the only substantial novelty, in line with the Company’s strategic
evolution and industry best practices.
In particular, with regard to social and environmental sustainability,
the Policy defined for 2025 provides:
• in the Short-Term Incentive Plan with deferral, an environmental
sustainability and human capital objective (weight 35%),
focused on safety issues and the reduction of net Upstream
GHG emissions (Scope 1+2) equity;
• in the 2023-2025 Share-based Long-Term Incentive Plan, an
objective relating to environmental sustainability and energy
transition issues (total weight 35%), articulated on goals related
to decarbonization and energy transition processes.
The Remuneration Policy described in the first section of
the “Report on the Remuneration Policy and Compensation
Paid”, available on the Company’s website, is prepared taking
into account the guidelines of shareholders and institutional
investors, through the implementation of annual engagement
plans, and is subject to the binding vote of the shareholders
at the Shareholders’ Meeting, with the frequency required
by its duration, and in any case at least every three years or
on the occasion of changes to the same11. The results of the
Shareholders’ Meeting vote are reported in the Summary of the
aforementioned Report.
(11) Pursuant to the provisions of Article 123-ter, paragraph 3-bis, of Legislative Decree No. 58/98.
(12) For more information, please refer to the Corporate Governance and Shareholding Structure Report 2024.
(13) For more information, please refer to the
Corporate Governance Report 2024
THE REMUNERATION POLICY OF THE CORPORATE BODIES
THE INTERNAL CONTROL AND RISK MANAGEMENT SYSTEM12
Eni adopts an Internal Control and Risk Management System,
an expression of the Company’s culture and values, consisting
of a coordinated set of tools, rules, procedures, organisational
structures, data, systems, information flows and behaviours aimed
at effectively and efficiently identifying, measuring, managing and
monitoring the main risks, thus contributing to the sustainable
success of the Company and the enhancement of business
opportunities. The Internal Control and Risk Management System
contributes to the sound conduct of activities consistent with
strategic objectives and is integrated into the Company’s operations
according to a risk-based and synergistic approach between the
various players in the System, able to seize opportunities to adapt
the control structure with respect to the reference context, with
equal effectiveness.
The internal control and risk management system (enrich) is also
based on Eni’s Code of Ethics, which prescribes the correct conduct
for the correct management of the business, which the members of
the BoD, as well as the members of the other corporate bodies and
any third party who collaborates or works in the name or on behalf of
or in the interest of Eni, are required to comply with.
In addition, Eni has adopted a regulatory instrument for the integrated
regulation of the Internal Control and Risk Management System, the
guidelines of which have been approved by the BoD. In addition, by
adhering to the Governance Code, the BoD has established various
adaptation actions and methods of application and improvement
relating to the recommendations on the Internal Control and Risk
Management System, already recognized in line with the best
practices of corporate governance13. Among these, in order to
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strengthen the integration between strategic planning and internal
controls and risk management, the BoD has provided that specific
annual guidelines of the Internal Control and Risk Management
System have to be defined, on the proposal of the CEO, and with the
support of the Control and Risks Committee, within the framework of
the Strategic Plan, in line with the Company’s strategies, in addition to
the “enrich” model contained in the relevant internal regulations. It has
also been provided that the implementation of the specific guidelines
of the Internal Control and Risk Management System will be subject
to periodic monitoring on the basis of a report by the CEO. Eni has also
adopted an Integrated Compliance model, which, together with Model
231 and the Code of Ethics, is aimed at ensuring that all people who
contribute to the achievement of business objectives operate in full
compliance with the rules of integrity, applicable laws and regulations,
through an articulated process, developed with a risk-based approach,
for the management of non-compliance prevention activities. With this
in mind, risk assessment methodologies have been developed aimed
at modulating controls, calibrating monitoring activities and planning
training and communication activities according to the compliance
risk underlying the various cases, to maximize their effectiveness and
efficiency. The Integrated Compliance process has been designed to
stimulate integration between those who work in business activities
and the corporate functions responsible for overseeing the various
compliance risks.
In addition, acting on the proposal of the CEO having obtained a
favourable opinion from the Control and Risk Committee, the BoD
approved the internal rules concerning the Market Information Abuse
(Issuers). The internal rules lay down principles of conduct for the
protection of the confidentiality of corporate information in general,
to promote maximum compliance, as also required by Eni’s Code of
Ethics and corporate security measures. Eni recognises, in fact, that
information is a strategic asset, which must be managed in such
a way as to ensure the protection of the interests of the Company,
shareholders and the market.
In order to ensure the protection of corporate assets, of the interests
of shareholders and the market, as well as the transparency and
integrity of conduct, Eni has adopted –in compliance with Consob
regulatory provisions – rules on transactions involving the interests
of Directors and Statutory Auditors and transactions with related
parties. These rules were most recently updated in 2023 by the BoD,
with the unanimous and favourable opinion of the Control and Risk
Committee.
The issue of prevention, identification and management of conflicts
of interest is also regulated in the Company’s Code of Ethics, in
the regulatory instrument on the identification and management
of conflicts of interest as well as in the aforementioned regulatory
instrument on transactions with the interests of Directors and
Statutory Auditors and transactions with related parties. In these
documents, Eni’s people are asked to promote the interests of the
Company by making decisions objectively and avoiding situations in
which conflicts of interest could arise.
In addition, the Regulations on the functioning and organization of
the BoD, most recently approved at the meeting of May 11, 2023,
provide, in line with the provisions of Art. 2391 of the Italian Civil
Code, that before the discussion of each item on the agenda of the
Board meeting, each Director and Statutory Auditor is required to
indicate any interests, on their own behalf or on behalf of third parties,
that they have in relation to the matters or issues to be discussed,
specifying their nature, terms, origin and scope. The aforementioned
Regulations also require that, at the time of the Board resolution, the
Directors concerned do not normally take part in the discussion and
resolution on the relevant issues, leaving the meeting room.
An integral part of Eni’s internal control system is the internal control
system for financial reporting, which aims to provide reasonable
certainty on the reliability of the financial information itself and
on the ability of the financial statement preparation process to
produce such information in accordance with generally accepted
international accounting standards. The responsibility for designing,
establishing and maintaining the internal control system for financial
reporting over time is entrusted to the CEO and the Officer in Charge
for preparing the Company’s financial reports, who makes use of the
structure of the Chief Transition & Financial Officer.
A central role in the Company’s internal control and risk
management system is played by the BoSA which, in addition to the
supervisory and control functions provided for by the Consolidated
Law on Finance, is responsible, among others, for monitoring the
financial reporting process and sustainability reporting. In addition,
it monitors the effectiveness of the Company’s internal control and
risk management systems, in accordance with Governance Code,
also in its capacity as “Internal Control and Audit Committee”,
pursuant to Italian law, and as “Audit Committee” for the purposes
of US law. Taking into account the evolution of the legislation on
mandatory sustainability reporting and the integration with the
financial one, the responsibilities of the Manager in Charge for
preparing the company’s financial reports have been updated to
provide for the oversight of the activities of establishing, monitoring
and evaluating the internal control system on sustainability
reporting, the preparation of the Sustainability Report and support
in the definition of “Eni for”.
The responsibilities assigned, as well as the regulatory and
information tools defined as part of Eni’s internal control and risk
management system, in particular for the purposes of assessing
ENI ANNUAL REPORT 2024
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(14) The ultimate responsibility for ensuring compliance with the provisions of Decree no. 125 2024 lies with the directors.
the adequacy and effectiveness of the latter, also allow the
identification of the so-called “critical concerns”, understood as any
complaints with potential impacts on the Company’s stakeholders.
Among the tools in the Internal Control and Risk Management
System, it should be noted that Eni, since 2006, has adopted
regulations (published on the Company’s website) that govern the
process of receiving, analysing and processing reports (so-called
whistleblowing) sent to Eni SpA and its subsidiaries in order to allow
In light of the recent regulatory evolution on sustainability reporting,
Eni has redefined the internal organization, with the attribution of
responsibility for the process of drafting and approval of mandatory
sustainability reporting to the Financial Reporting Officer(14), a figure
already overseeing the processes of drafting financial reporting. This
was followed by a necessary internal regulatory adjustment, which
saw the definition of roles, responsibilities, processes and timelines,
enhancing the greater integration between the financial and non-
financial components through a unified oversight, also with a view to
the internal control system. The internal control system over mandatory
sustainability reporting, as part of Eni’s broader Internal Control and Risk
Management System, has as its main objectives to provide reasonable
certainty that sustainability reporting is prepared in compliance with the
applicable standards. Its implementation involves the following phases:
(i) definition of the control environment integrated with provisions
regarding financial reporting; (ii) risk assessment and establishment
of control activities to monitor the identified risks; (iii) monitoring; (iv)
information flows. The risk assessment activity is a systematic process
aimed at identifying, analysing and managing the risks that could
anyone, employees and third parties, to report conduct – referable
to members of the corporate bodies of administration and control
and employees of Eni, or to all those who operate or have operated
in Italy and abroad in the name or on behalf or in the interest of
Eni – that is in violation of laws and regulations, provisions of the
Authorities, Code of Ethics, Eni’s Model 231 as well as Compliance
Models on Corporate Administrative Liability for Eni’s Subsidiaries
and internal regulations.
compromise the disclosure and involves the use of a model, based
on a risk-based approach, in order to define the criteria for identifying
the relevant indicators, for the implementation of control measures;
the model takes into account both quantitative and qualitative criteria
to identify indicators for implementing specific controls. Based on
Eni’s internal control and risk management system and in line with
the provisions of the internal regulatory system, the regulatory and
organisational tools that define the application methods, risk control
and monitoring activities, as well as the guidance, coordination and
control of Eni SpA’s functions in identifying risks and related mitigation
measures are analysed.
The results of the internal control system over sustainability
reporting are reported to the administrative, management and
control bodies. In particular, this process uses certification flows
from the process owners on the adequacy and effective operation
of the controls envisaged for the relevant indicators, and take also
into accounts the results of the independent monitoring activities
carried out by the Internal Audit function, in line with provisions for
the internal control system over financial reporting.
THE INTERNAL CONTROL SYSTEM ON SUSTAINABILITY REPORTING
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Operating
review
GLOBAL NATURAL
RESOURCES
TRANSITION
BUSINESSES
INDUSTRIAL
TRANSFORMATION
EXPLORATION & PRODUCTION
GLOBAL GAS & LNG PORTFOLIO AND POWER
CCS AND AGRI
ENILIVE AND PLENITUDE
REFINING AND CHEMICALS
ENVIRONMENTAL ACTIVITIES
ENI ANNUAL REPORT 2024
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Exploration & Production
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1.7 mmboe/d
+3% vs. 2023
driven by organic projects
start-ups and the
integration of Neptune
1.2 bboe
of new resources
with discoveries in Mexico,
Côte d'Ivoire and Cyprus
Start-up of
Baleine Phase 2
in Côte d'Ivoire and
Argo-Cassiopea
in Italy
Portfolio
high-grading
with Neptune and
Ithaca Energy closing
and disposals in Nigeria,
Alaska and Congo
KEY PERFORMANCE INDICATORS
2024
2023
2022
Total recordable incident rate (TRIR)(a)
(total recordable injuries/worked hours) x 1,000,000
0.46
0.43
0.43
of which: employees
0.18
0.48
0.16
contractors
0.52
0.41
0.49
Profit per boe(b)(c)
($/boe)
11.3
14.5
9.8
Opex per boe(d)
9.2
8.6
8.4
Cash flow per boe
17.3
19.4
29.6
Finding & Development cost per boe(c)(d)
22.7
26.3
24.3
Average hydrocarbon realization
57.56
59.35
73.98
Production of hydrocarbons(d)
(kboe/d)
1,707
1,655
1,610
Net proved reserves of hydrocarbons(d)
(mmboe)
6,497
6,614
6,628
Reserves life index
(years)
10.4
10.6
11.3
Organic reserves replacement ratio
(%)
124
69
47
Employees at year end
(number)
9,188
9,840
9,733
of which: outside Italy
5,171
5,927
5,831
Direct GHG emissions (Scope 1)(a)
(mmtonnes CO2 eq.)
6.7
7.6
8.4
Volumes of hydrocarbon sent to routine flaring(a)
(billion Sm³)
0.1
0.2
0.3
Total volume of oil spills (>1 barrel)(a)
(barrels)
2,163
5,132
5,587
Re-injected production water(a)
(%)
51
42
43
(a) KPIs refer to 100% of the operated assets, consolidated and unconsolidated, with reference to the operatorship criteria expressed in the standards for Sustainability Statement. The
2023 and 2022 data are reported accordingly.
(b) Related to consolidated subsidiaries.
(c) Three-year average.
(d) Includes Eni's share of equity-accounted entities.
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PERFORMANCE OF THE YEAR
• TRIR (Total recordable injury rate) of the workforce was 0.46,
representing an increase compared to the previous year due
to higher injury events occurred to contractors. Performance
improved for employees.
• Direct GHG emissions (Scope 1) amounted to 6.7 million
tonnes of CO2eq, reflecting a decrease compared to 2023
due to the divestment of assets in Nigeria and Congo and the
implementation of gas valorization projects in Congo.
• Volumes of hydrocarbon sent to routing flaring reported a
significant reduction compared to 2023, mainly due to the asset
divestment in Nigeria.
• Total volume of oil spills decreased significantly, driven by a
reduction in spills from operations (down by 38%) and from
sabotage (down by 58%). All sabotage incidents occurred in
Nigeria, except for one minor event in Italy.
• Re-injected production water was 51% and increased compared
to 2023, mainly due to higher volumes from operations in the
Netherlands, Mexico and Ghana.
• Hydrocarbon production averaged 1.707 million boe/d, up by
3% from 2023, driven by organic growth and the full integration
of Neptune acquired assets, partly offset by the divestment of
marginal and non-core properties as part of a plan to high-grade
the upstream portfolio and mature fields decline.
• Net proved reserves at December 31, 2024 amounted to 6.5
bboe based on a reference Brent price of 81 $/barrel. The all
sources replacement ratio was 113%. The reserves life index
was 10.4 years (10.6 years in 2023).
PORTFOLIO
• In January 2024 completed the Neptune Energy acquisition, in
conjunction with associate Vår Energi. This operation represents
an exceptional strategic and operational fit by complementing
Eni’s asset portfolio and geographies, strengthening Eni’s
positions in key areas like Indonesia, Algeria and the UK, and as
it aligns with our strategy of growing the natural gas business to
provide the market and the customers with affordable, secure,
and lower carbon energy.
• In August 2024, closed the sale of wholly-owned subsidiary
Nigerian Agip Oil Company (NAOC) engaged in onshore oil&gas
exploration and production in Nigeria to the local company
Oando. The transaction is in line with Eni’s strategy of upgrading
and rationalizing the upstream portfolio. The 5% participating
interest in SPDC (Shell Production Development Company Joint
Venture) is not included in the transaction, as it will be retained
in Eni’s portfolio. Eni will continue to be present in the Country
through investment in offshore projects and Nigeria LNG, while
also exploring new opportunities related to agri-feedstock
sector.
• In October 2024 finalized with the Ithaca Energy the business
combination of the two partners highly complementary asset
portfolio in the United Kingdom, excluding East Irish Sea assets
and CCUS activities, to establish a focused, leading operator able
to deliver growth and value leveraging financial and technical
synergies. This business combination builds upon track record
of deploying Eni’s distinctive Satellite Model to adapt to the
demands of the changing energy markets.
• In February 2025 signed a Memorandum of Understanding
with the Petronas, a Malaysian state-owned company, to
combine selected upstream assets in Indonesia and Malaysia
establishing a joint venture holding company which is expected
to generate substantial synergies towards becoming a major
LNG player in the region, while delivering in the medium term
a sustainable 500 kboe/d production. The joint venture will
combine approximately 3 billion boe of estimated reserves
with an additional 10 billion boe of potential exploration upside.
Closing is subject to relevant governmental, regulatory and
partner approvals.
• In March 2025, agreed on the economic terms and conditions
of the farm-out to Vitol of a 25% interest in the Eni-operated
Congo FLNG project (with Eni retaining a post-closing 40%
interest) and of a 30% interest in the Eni-operated Baleine oil
project offshore Cote d’Ivoire (with Eni retaining a post-closing
47.25% interest) for a cash consideration of $1.65 billion and
economic date January 1, 2024. Closing is subject to customary
regulatory approval and other conditions.
• In line with Eni's strategy focused on the rationalization of the
upstream activities by rebalancing its portfolio and divesting
non-strategic assets, closed with Hilcorp, one of the largest
US private company operating in Alaska, the divestment of the
100% Nikaitchuq and Oooguruk assets owned by Eni in Alaska
and with Perenco the sale of Eni's participating interest in
several production licences in Congo.
EXPLORATION
• Exploration activities delivered an outstanding performance
also in 2024, with 1.2 bboe of new resource additions to the
reserve base at competitive costs of 1.0 $/boe. In particular:
- in Côte d'Ivoire with the major discovery of Calao in the CI-205
block (Eni’s interest 90%). This discovery will bring to open up
new development opportunities, strengthening Eni's exploration
portfolio and contributing to future growth;
- in Indonesia through significant new upside of gas exploration
resources;
- in offshore Cyprus, with the appraisal of Cronos gas discovery in
the Block 6 (Eni operator with a 50% interest). In addition, project
activities started by means of the development concept selection
and the definition of the commercial scheme;
- in Mexico with the Saasil-1 and Yopaat-1 discoveries in the
operated Area 10 (Eni’s interest 76%) and Area 9 (Eni’s interest
50%) licences, respectively. These discoveries open new
opportunities to develop a potential hub with 1.3 billion boe of
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resources in place, including discoveries in adjacent blocks;
- in Congo with two discoveries in the Marine VI Bis block (Eni’s
interest 65%);
- other discoveries were made in Angola, Egypt, Italy and Norway.
• Eni has been named, for the fifth time, the upstream industry’s
most valuable explorer in Wood Mackenzie’s industry leading
annual Exploration Survey. The survey recognized Eni’s efforts
and discoveries to open new frontiers and find large volumes of
advantaged resources.
• Reloading
exploration
portfolio
with
the
addition
of
approximately 24,600 square kilometers with new leases in
Australia, Angola, Côte d’Ivoire, Namibia, Netherlands, Norway
and the United Kingdom.
• In 2024 exploration expenses were €741 million (€687 million
in 2023) and included the write-off of unsuccessful wells and
of unproved exploration rights, amounting to €555 million (€482
million in 2023) associated to projects with negative outcome. In
particular, exploration and appraisal activities comprised write-
offs of unsuccessful exploration wells costs for €403 million
mainly in the United Arab Emirates, Egypt, Kazakhstan, Vietnam,
Cyprus and Oman. Write-offs of €152 million are related to
exploration licenses due mainly to exiting from marginal areas.
In addition, 140 exploratory drilled wells are in progress at year
end (56.4 net to Eni).
DEVELOPMENT
• Among the production start-up highlights of the year, we can count:
- in Congo, just one year after the FID, the Congo FLNG project
commenced its deliveries of LNG to international markets,
making the Republic of Congo a new exporter in the global
landscape of this fuel. The project is progressing towards its
target completion by end of 2025 with the launch of the Nguya
floating vessel, which will increase the liquefaction capacity of
the project from the current 0.6 to 3 mmtonnes/y.
- in Italy, started gas production at the Argo Cassiopea field,
the most important gas development project in the country.
The gas is being transported through a subsea pipeline to the
Gela treatment plant, linked to the national grid. Peak annual
production is expected at approximately 53 bcf;
- in Cote d’Ivoire, Phase II start-up of the Baleine oil project,
marking a material step in the development of country’s
offshore reserves. The Floating Production, Storage and
Offloading Unit (FPSO) Petrojarl Kong was commissioned
on time and on budget in line with our fast-track approach
to reduce the time-to-market, pairing the existing FSO
Yamoussoukro. The associated gas will supply the local
energy demand through the connection with a pipeline built
during the project’s Phase 1. Baleine stands out as the first
emissions free – Scope 1 and 2 – production project in Africa.
The associated gas production will be delivered freely to the
national company, enabling the Country to meet its domestic
electricity requirements, facilitating access to energy, and
local development, within Eni’s dual flag partnerships;
• Approved by the Indonesian authorities, the Plan of Development
(PoD) of the Geng North (North Ganal PSC) and Gehem (Rapak
PSC) fields. The integrated development of the two fields will
create a new production hub, called Northern Hub, in the Kutei
Basin. The Indonesian authorities have also approved the
PoD for Gendalo & Gandang fields (Ganal PSC). These new
developments, along with the ongoing development activities,
result from the close strategic partnership between Eni and SKK
Migas, and will drive a major positive impact on local content
while also increasing the utilisation of the available capacity at
Bontang LNG plant, in addition to ensuring gas for domestic
consumption.
• In 2025 signed a major agreement with Egypt and Cyprus for
the exploitation of the Cronos gas discovery in Block 6 offshore
Cyprus, which will enable Cyprus gas to be exported to Europe
through the existing Eni’s infrastructure in Egypt, the processing
plants facilities of the Zohr field and the liquefaction capacity at
the Damietta LNG plant.
• Ranked as Gold Standard reporting of the Oil and Gas
Methane Partnership 2.0 (OGMP 2.0). The recognition of the
United Nations is based on Eni's positive assessment for its
commitment to reporting emissions at the highest data quality
levels, in line with the OGMP 2.0 program recommendations.
This confirms the effectiveness of the decarbonization
strategy and a continuous focus on reducing methane
emissions, increasing accountability and transparency in the
Eni’s reporting, as a necessary step to effectively track and
target mitigation.
• Signed a Memorandum of Undestanding with the State Oil
Company of Azerbaijan Republic – Socar, to evaluate potential
cooperation opportunities in the areas of exploration and
production of hydrocarbons, energy security & efficiency, GHG
emissions reduction, gas transportation infrastructures and
sustainability.
• In February 2025 signed three collaboration agreements with
the UAE companies for the development of: (i) data centres
in Italy which will be fully powered by blue power supplied by
Eni, a lower carbon energy source generated by natural gas
power plants, whose CO2 emissions are captured and stored;
(ii) renewable energy capacity transmission through cross
border interconnection between Albania and Italy; and (iii)
critical minerals to strengthen the security and resilience of the
critical minerals supply chain for both Italy and the United Arab
Emirates.
• Development expenditure amounted to €5.6 billion, in particular
in Côte d'Ivoire, Congo, Italy, Egypt, Iraq, Libya, Indonesia.
Algeria, Kazakhstan and the United Arab Emirates.
• In 2024, overall R&D expenditure amounted to €41 million (€38
million in 2023).
45
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RESERVES
Overview
The Company has adopted comprehensive classification criteria for
the estimate of proved, proved developed and proved undeveloped
oil & gas reserves in accordance with applicable US Securities and
Exchange Commission (SEC) regulations, as provided for in Regulation
S-X, Rule 4-10. Proved oil & gas reserves are those quantities of liquids
(including condensates and natural gas liquids) and natural gas which,
by analysis of geoscience and engineering data, can be estimated with
reasonable certainty to be economically producible from a given date
forward, from known reservoirs, under existing economic conditions,
operating methods, and government regulations prior to the time at
which contracts providing the right to operate expire, unless evidence
indicates that renewal is reasonably certain.
Oil and natural gas prices used in the estimate of proved reserves
are obtained from the official survey published by Platt’s Marketwire,
except when their calculation derives from existing contractual
conditions. Prices are calculated as the unweighted arithmetic
average of the first-day-of the-month price for each month within
the 12-month period prior to the end of the reporting period. Prices
include consideration of changes in existing prices provided only by
contractual arrangements.
Engineering estimates of the Company’s oil & gas reserves are
inherently uncertain. Although authoritative guidelines exist regarding
engineering criteria that have to be met before estimated oil & gas
reserves can be designated as “proved”, the accuracy of any reserves
estimate is a function of the quality of available data and engineering
and geological interpretation and evaluation. Consequently, the
estimated proved reserves of oil and natural gas may be subject to
future revision and upward and downward revisions may be made to
the initial booking of reserves due to analysis of new information.
Proved reserves to which Eni is entitled under concession contracts are
determined by applying Eni’s equity interest to total proved reserves of
the contractual area, until expiration of the relevant mineral right. Eni’s
proved reserves entitlements at PSAs are calculated so that the sale of
production entitlements cover expenses incurred by the Group for field
development (Cost Oil) and recognize a share of profit set contractually
(Profit Oil). A similar scheme applies to service contracts.
Reserves governance
Eni retains rigorous control over the process of booking proved
reserves, through a centralized model of reserves governance. The
Reserves Department of the Exploration & Production segment is
in charge of: (i) ensuring the periodic certification process of proved
reserves; (ii) updating the Company’s guidelines on reserves evaluation
and classification and the internal procedures; and (iii) providing
training of staff involved in the process of reserves estimation.
Company guidelines have been reviewed by DeGolyer and
MacNaughton (D&M), an independent petroleum engineering
company, which stated that those guidelines comply with the
SEC rules1. D&M has also stated that the Company guidelines
provide reasonable interpretation of facts and circumstances in
line with generally accepted practices in the industry whenever
SEC rules may be less precise. When participating in exploration
and production activities operated by other entities, Eni estimates
its share of proved reserves on the basis of the above guidelines,
while for certain joint ventures and associates Eni relies on
the annual certification of independent petroleum engineering
companies.
The process for estimating reserves, as described in the internal
procedure, involves the following roles and responsibilities: (i) the
business unit managers (geographic units) and Local Reserves
Evaluators (LRE) are in charge with estimating and classifying gross
reserves including assessing production profiles, capital expenditure,
operating expenses and costs related to asset retirement obligations;
(ii) the petroleum engineering department and the operations unit
at the head office verify the production profiles of such properties
where significant changes have occurred and operating expenses,
respectively; (iii) geographic area managers verify the commercial
conditions and the progress of the projects; (iv) the Planning and
Control Department provides the economic evaluation of reserves;
and (v) the Reserves Department, through the Headquarter Reserves
Evaluators (HRE), provides independent reviews of fairness and
correctness of classifications carried out by the above-mentioned
units and aggregates worldwide reserves data.
Eni’s Head of Reserves holds a Master's degree in Petroleum
Engineering from the Polytechnic of Turin and 5-years Degree in Civil
Hydraulic Engineering from the Alma Mater Studiorum - University of
Bologna. He has 20 years of experience in the upstream industry and
in reserves evaluation.
Staff involved in the reserves evaluation process fulfils the professional
qualifications requested by the role and complies with the required level
of independence, objectivity and confidentiality in accordance with
professional ethics. Reserves Evaluators qualifications comply with
international standards defined by the Society of Petroleum Engineers.
Reserves independent evaluation
Eni has its proved reserves audited on a rotational basis by
independent oil engineering companies2.
The description of qualifications of the persons primarily responsible
for the reserves audit is included in the third-party audit report. In
the preparation of their reports, independent evaluators rely upon
information furnished by Eni, without independent verification, with
respect to property interests, production, current costs of operations
and development, sales agreements, prices and other factual
(1) The reports of independent engineers are available on sec.gov in “Item 19 – Exhibits” of the Annual Report on Form 20-F 2009.
(2) For the past three years we have utilized independent certification services of DeGolyer and MacNaughton, Ryder Scott and Sproule.
ENI ANNUAL REPORT 2024
46
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
information and data that were accepted as represented by the
independent evaluators.
These data, equally used by Eni in its internal process, include logs,
directional surveys, core and PVT (Pressure Volume Temperature)
analysis, maps, oil/gas/water production/injection data of wells,
reservoir studies, technical analysis relevant to field performance,
development plans, future capital and operating costs.
In order to calculate the net present value of Eni’s equity reserves,
actual prices applicable to hydrocarbon sales, price adjustments
required by applicable contractual arrangements and other pertinent
information are provided by Eni to third-party evaluators.
(3) In 2024 Azule Energy and Vår Energi.
(4) The reports of independent engineers are available on Eni website eni.com section Publications/Annual Report 2024.
(5) Includes Azule Energy and Vår Energi for which Eni has requested a Third Party Letter.
(6) Organic ratio of changes in proved reserves for the year resulting from revisions of previously reported reserves, improved recovery, extensions and discoveries, to production for the
year. All sources ratio includes sales or purchases of minerals in place. A ratio higher than 100% indicates that more proved reserves were added than produced in a year. The Reserves
Replacement Ratio is not an indicator of future production because the ultimate development and production of reserves is subject to a number of risks and uncertainties. These include
the risks associated with the successful completion of large-scale projects, including addressing ongoing regulatory issues and completion of infrastructure, as well as changes in oil
and gas prices, political risks and geological and environmental risks.
The volumes and monetary values of the reserves of certain joint
venture and affiliated companies are certified on their behalf in a
similar manner by independent petroleum engineering companies
and provided to Eni3.
In 20244, Ryder Scott Company and Sproule, for consolidated
subsidiaries, and DeGolyer and MacNaughton, for equity accounted
entities, provided an independent evaluation of approximately 40%5
of Eni’s total proved reserves at December 31, 2024, confirming, as in
previous years, the reasonableness of Eni internal evaluation. In the
2022-2024 three-year period, 85% of Eni total proved reserves were
subject to an independent evaluation.
(mmboe)
Consolidated
subsidiaries
Equity-accounted
entities
Total
Estimated net proved reserves at December 31, 2023
4,842
1,572
6,414
Extensions, discoveries , revisions of previous estimates and im-proved
recovery, excluding price effect
382
414
796
Price effect
(20)
(2)
(22)
Reserve additions, total
362
412
774
Portfolio
(292)
226
(66)
Production of the year
(479)
(146)
(625)
Estimated net proved reserves at December 31, 2024
4,433
2,064
6,497
Reserves replacement ratio, all sources
(%)
113
under the terms and conditions of the Area 4 PSC assigned to the JV
in 2006. In addition, new discoveries and extensions were also related
to the final investment decision at the Umm Shaif field in the United
Arab Emirates and at the Bonga North field in Nigeria.
Portfolio activities provided net negative additions of 66 mmboe
and comprised: (i) the disposal of the Nigerian onshore petroleum
assets, the Nikaitchuq and Oooguruk petroleum assets in Alaska and
certain minor oilfields in Congo; (ii) the Neptune Energy acquisition,
with acquired assets in Norway, Algeria, Indonesia, the Netherlands
and the United Kingdom; and (iii) the business combination with
Ithaca Energy.
The organic6 and all sources reserves replacement ratio was 124%
and 113%, respectively. The reserves life index was 10.4 years (10.6
years in 2023).
For further information, please see the additional information on Oil
& Gas producing activities required by the SEC in the notes to the
consolidated financial statements.
Net proved reserves as of December 31, 2024 were 6,497 mmboe,
of which 4,433 mmboe of consolidated subsidiaries. Net additions
to proved reserves were 774 mmboe and derived from: (i) revisions
of previous estimates were positive for 406 mmboe including
increases in the United Arab Emirates, Algeria, Côte d'Ivoire, Angola
and the United States. Revisions to previous estimates include a
negative price effect of 22 mmboe, mainly due to the change in the
Brent benchmark marker from 83 $/barrel in 2023 to 81 $/barrel in
2024. This price change led to the removal of reserves which have
become uneconomical in the 2024 scenario and net lower reserves
entitlements under PSA contracts; and (ii) new discoveries and
extensions of 367 mmboe mainly related to booking of reserves at
the Coral North project offshore Mozambique (329 mmboe), based on
the Company final investment decision, status of project maturity and
commitment within the JV as well as the management’s reasonable
expectation that remaining formal government approvals will be
received shortly. The development of Coral North Project is governed
Movements in net proved reserves
Eni’s net proved reserves were determined taking into account Eni’s share of proved reserves of equity accounted entities. Movements in Eni’s
2024 proved reserves were as follows:
47
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ESTIMATED NET PROVED HYDROCARBONS RESERVES
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Consolidated subsidiaries
2024
2023
2022
Italy
213
817
368
211
859
374
188
869
352
Developed
129
693
262
136
653
261
139
695
271
Undeveloped
84
124
106
75
206
113
49
174
81
Rest of Europe
54
10
27
174
60
36
223
78
Developed
52
10
24
167
56
32
214
73
Undeveloped
2
3
7
4
4
9
5
North Africa
458
5,338
1,479
523
5,935
1,658
531
6,204
1,710
Developed
291
2,692
805
326
3,181
935
336
3,402
984
Undeveloped
167
2,646
674
197
2,754
723
195
2,802
726
Sub-Saharan Africa
268
1,931
638
334
2,479
809
367
2,341
813
Developed
187
1,206
418
225
1,350
482
212
1,306
460
Undeveloped
81
725
220
109
1,129
327
155
1,035
353
Kazakhstan
591
1,489
876
637
1,546
933
644
1,560
941
Developed
539
1,486
823
576
1,546
872
585
1,560
881
Undeveloped
52
3
53
61
61
59
60
Rest of Asia
578
1,583
881
485
1,303
733
433
1,281
675
Developed
233
799
385
240
725
379
231
796
383
Undeveloped
345
784
496
245
578
354
202
485
292
Americas
127
94
145
213
131
238
234
264
285
Developed
81
56
92
163
107
184
171
195
207
Undeveloped
46
38
53
50
24
54
63
69
78
Australia and Oceania
190
36
192
37
1
408
79
Developed
23
5
58
11
1
223
43
Undeveloped
167
31
134
26
185
36
Total consolidated subsidiaries
2,235
11,496
4,433
2,430
12,619
4,842
2,434
13,150
4,933
Developed
1,460
7,007
2,800
1,690
7,787
3,180
1,707
8,391
3,302
Undeveloped
775
4,489
1,633
740
4,832
1,662
727
4,759
1,631
Equity-accounted entities
Rest of Europe
391
939
572
326
515
425
350
646
473
Developed
207
545
311
167
359
235
173
444
257
Undeveloped
184
394
261
159
156
190
177
202
216
North Africa
8
222
50
6
14
8
8
9
9
Developed
8
222
50
6
14
8
8
9
9
Undeveloped
Sub-Saharan Africa
226
3,103
819
207
1,501
494
235
1,562
531
Developed
103
1,054
305
107
1,036
305
135
1,070
338
Undeveloped
123
2,049
514
100
465
189
100
492
193
Rest of Asia
110
1,411
379
110
1,406
378
100
1,490
383
Developed
Undeveloped
110
1,411
379
110
1,406
378
100
1,490
383
Americas
23
1,159
244
26
1,260
267
27
1,355
285
Developed
23
1,159
244
26
1,260
267
27
1,355
285
Undeveloped
Total equity-accounted entities
758
6,834
2,064
675
4,696
1,572
720
5,062
1,681
Developed
341
2,980
910
306
2,669
815
343
2,878
889
Undeveloped
417
3,854
1,154
369
2,027
757
377
2,184
792
Total including equity-accounted entities
2,993
18,330
6,497
3,105
17,315
6,414
3,154
18,212
6,614
Developed
1,801
9,987
3,710
1,996
10,456
3,995
2,050
11,269
4,191
Undeveloped
1,192
8,343
2,787
1,109
6,859
2,419
1,104
6,943
2,423
ENI ANNUAL REPORT 2024
48
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Proved undeveloped reserves
Proved undeveloped reserves as of December 31, 2024 totaled
2,787 mmboe. At year-end, proved undeveloped reserves of liquids
amounted to 1,192 mmbbl and of natural gas amounted to 8,343
bcf, mainly concentrated in Africa and Asia. Proved undeveloped
reserves of consolidated subsidiaries amounted to 775 mmbbl
of liquids and 4,489 bcf of natural gas. The table below provide
a summary of changes in total proved undeveloped reserves for
2024:
During 2024, Eni matured 128 mmboe of proved undeveloped reserves
to proved developed reserves due to progress in development activities,
production start-ups and project revisions. The main reclassifications to
proved developed reserves related to the fields/projects in the following
countries: Côte d'Ivoire, Angola, Kazakhstan and Italy.
For further information, please see the additional information on Oil & Gas
producing activities required by the SEC in the notes to the consolidated
financial statements.
In 2024, capital expenditure amounted to approximately €10.3 billion to
progress the development of PUDs.
Reserves that remain proved undeveloped for five or more years
are a result of several factors that affect the timing of the projects
development and execution, such as the complexity of development
project in adverse and remote locations, physical limitations of
infrastructures or plant capacity and contractual limitations that
establish production levels. The proved undeveloped reserves that
have remained undeveloped for five years or more at the balance
sheet date amounted to 0.85 bboe, increasing from 2023, and
are mainly related to the following projects where developments
activities are in progress: (i) certain Libyan gas fields (0.45 bboe)
where production start-ups are planned according to the delivery
obligations set forth in a long-term gas supply agreement currently
in force; (ii) certain fields in the United Arab Emirates (0.2 bboe); (iii)
the Johan Castberg project of Vår Energi (0.1 bboe) due to project
complexity; and (iii) the Val d’Agri field in Italy (0.1 bboe).
(mmboe)
Proved undeveloped reserves as of December 31, 2023
2,419
Additions
(128)
Extensions and discoveries
367
Revisions of previous estimates
107
Improved recovery
Portfolio
22
Proved undeveloped reserves as of December 31, 2024
2,787
Delivery commitments
Eni, through consolidated subsidiaries and equity-accounted entities, sells
crude oil and natural gas from its producing operations under a variety
of contractual obligations. Some of these contracts, mostly relating to
natural gas, specify the delivery of fixed and determinable quantities.
Eni is contractually committed under existing contracts or
agreements to deliver in the next three years mainly natural gas to
third parties for a total of approximately 611 mmboe from producing
assets located mainly in Algeria, Australia, Egypt, Ghana, Indonesia,
Kazakhstan, Libya, Mozambique, Norway and Venezuela.
The sales contracts contain a mix of fixed and variable pricing
formulas that are generally indexed to the market price for crude
oil, natural gas or other petroleum products. Management believes
it can satisfy these contracts from quantities available mainly from
production of the Company's proved developed reserves. Production
is expected to fully account of delivery commitments.
Eni has met all contractual delivery commitments as of December
31, 2024.
OIL AND GAS PRODUCTION
In 2024, hydrocarbons production averaged 1.707 million boe/d,
up by 3% compared to 2023, and was driven by organic growth
and the full integration of Neptune, partly offset by the divestment
of oil properties in Nigeria, Alaska and Congo, as part of a plan to
high-grade the portfolio. The organic growth was due to continuing
production ramp-ups at the Baleine project in Côte d'Ivoire, in Congo
and in Mozambique as well as higher activity in Mexico and Libya.
Liquids production was 784 kbbl/d, up by 2% compared to 2023,
mainly due to the Neptune acquisition and growth in Côte d'Ivoire,
Libya and Mexico. These increases were partly offset by lower
production in Egypt and Kazakhstan as well as mature fields
decline and divestments. as part of a plan to rationalization of
upstream portfolio.
Natural gas production was 4,831 mmcf/d, up by 5% compared to
2023, mainly due to the Neptune acquisition, and growth in Congo,
Libya and Mozambique. These increases were offset by mature
fields decline and a slowdown of activities in Egypt due to issues on
part of state-owned companies to fund their share of expenditures.
Oil and gas production sold amounted to 565 mmboe. The 60
mmboe difference over production (625 mmboe) mainly reflected
volumes of natural gas consumed in operations (49 mmboe),
changes in inventory levels and other variations. Approximately 3%
of liquids production sold (287 mmbbl) was destined to Eni’s Refining
business. About 13% of natural gas production sold (1,451 bcf) was
destined to Eni’s Global Gas & LNG Portfolio business.
49
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ANNUAL OIL AND NATURAL GAS PRODUCTION(a)(b)
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Liquids
(mmbbl)
Natural gas
(bcf)
Hydrocarbons
(mmboe)
Consolidated subsidiaries
2024
2023
2022
Italy
10
72
23
10
77
25
13
88
30
Rest of Europe
6
71
19
7
40
14
7
46
16
Netherlands
24
5
United Kingdom
6
47
14
7
40
14
7
46
16
North Africa
65
778
214
69
813
225
73
789
222
Algeria
20
134
46
23
122
46
23
63
35
Egypt
22
419
102
24
478
116
28
516
126
Libya
22
222
65
21
210
62
21
207
60
Tunisia
1
3
1
1
3
1
1
3
1
Sub-Saharan Africa
32
164
63
31
160
61
51
175
84
Angola
19
10
21
Congo
10
76
24
13
63
25
15
72
28
Côte d'Ivoire
6
9
8
2
2
2
Ghana
4
33
11
5
32
11
6
31
12
Nigeria
12
46
20
11
63
23
11
62
23
Kazakhstan
40
92
58
42
93
60
32
73
46
Rest of Asia
34
215
75
31
187
67
28
185
64
China
Indonesia
1
183
35
149
29
118
23
Iraq
10
25
15
9
28
14
6
30
11
Pakistan
21
4
Timor Leste
3
1
7
2
Turkmenistan
2
3
3
2
3
3
2
2
2
United Arab Emirates
21
4
22
20
4
20
20
7
22
Americas
21
18
25
25
25
30
22
30
27
Mexico
9
8
11
8
8
10
5
7
6
United States
12
10
14
17
17
20
17
23
21
Australia and Oceania
5
1
14
3
19
4
Australia
5
1
14
3
19
4
208
1,415
478
215
1,409
485
226
1,405
493
Equity-accounted entities
Algeria
21
4
Angola
31
43
40
31
43
39
13
31
19
Mozambique
44
9
40
8
12
3
Norway
42
130
66
32
97
50
33
108
53
Tunisia
1
1
1
1
1
1
1
1
1
United Kingdom
2
10
4
Venezuela
3
104
23
2
102
21
1
94
19
79
353
147
66
283
119
48
246
95
Total
287
1,768
625
281
1,692
604
274
1,651
588
(a) Includes Eni's share of equity-accounted equities.
(b) Includes volumes of hydrocarbons consumed in operations (49, 46 and 45 mmboe in 2024, 2023 and 2022, respectively).
ENI ANNUAL REPORT 2024
50
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
DAILY OIL AND NATURAL GAS PRODUCTION(a)(b)
Liquids
(kbbl/d)
Natural gas
(mmcf/d)
Hydrocarbons
(kboe/d)
Liquids
(kbbl/d)
Natural gas
(mmcf/d)
Hydrocarbons
(kboe/d)
Liquids
(kbbl/d)
Natural gas
(mmcf/d)
Hydrocarbons
(kboe/d)
Consolidated subsidiaries
2024
2023
2022
Italy
27
196.0
64
29
211.2
69
36
242.0
82
Rest of Europe
16
193.5
53
18
108.9
39
20
125.0
44
Netherlands
1
65.1
13
United Kingdom
15
128.4
40
18
108.9
39
20
125.0
44
North Africa
177
2,126.9
584
190
2,227.7
617
199
2,161.8
610
Algeria
56
365.3
125
62
333.0
126
62
171.5
95
Egypt
59
1,145.9
279
67
1,310.0
318
77
1,413.2
346
Libya
60
606.7
176
59
575.4
169
58
567.0
165
Tunisia
2
9.0
4
2
9.3
4
2
10.1
4
Sub-Saharan Africa
86
448.6
173
84
439.7
168
139
481.0
230
Angola
52
27.4
57
Congo
26
206.8
66
36
172.9
68
40
197.8
78
Côte d'Ivoire
17
24.2
22
4
6.5
6
Ghana
12
91.1
29
14
88.4
31
16
85.6
32
Nigeria
31
126.5
56
30
171.9
63
31
170.2
63
Kazakhstan
110
250.1
157
115
254.7
163
88
198.6
126
Rest of Asia
93
588.4
205
85
511.8
183
78
507.2
174
China
1
1
1
1
Indonesia
1
500.4
97
1
407.9
79
1
323.5
62
Iraq
28
68.9
40
23
77.5
38
15
82.1
31
Pakistan
56.2
11
Timor Leste
3.0
1
8.5
2
1
19.0
4
Turkmenistan
6
6.6
7
6
6.6
7
4
6.4
5
United Arab Emirates
58
9.5
60
54
11.3
56
56
20.0
60
Americas
59
48.7
68
68
69.1
81
59
80.7
74
Mexico
25
20.5
29
22
23.1
26
14
18.1
17
United States
34
28.2
39
46
46.0
55
45
62.6
57
Australia and Oceania
14.1
3
37.7
7
52.3
10
Australia
14.1
3
37.7
7
52.3
10
568
3,866.3
1,307
589
3,860.8
1,327
619
3,848.6
1,350
Equity-accounted entities
Algeria
58.6
12
Angola
86
116.4
108
85
117.4
108
36
84.6
53
Mozambique
1
120.6
24
1
109.5
22
32.4
6
Norway
114
354.2
181
87
265.2
138
89
295.3
145
Tunisia
2
2.8
2
2
2.8
2
3
2.9
3
United Kingdom
6
26.7
11
Venezuela
7
285.3
62
5
279.8
58
4
259.2
53
216
964.6
400
180
774.7
328
132
674.4
260
Total
784
4,830.9
1,707
769
4,635.5
1,655
751
4,523.0
1,610
(a) Includes Eni's share of equity-accounted equities.
(b) Includes volumes of hidrocarbons consumed in operations (135, 127 and 124 kboe/d in 2024, 2023 and 2022, respectively).
51
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
PRODUCTIVE OIL AND GAS WELLS(a)
2024
Oil wells
Natural gas wells
(number)
Gross
Net
Gross
Net
Italy
120.0
108.5
230.0
200.1
Rest of Europe
694.0
68.1
297.0
64.3
North Africa
1,827.0
788.0
452.0
183.2
Sub-Saharan Africa
1,608.0
238.8
124.0
14.8
Kazakhstan
212.0
58.0
2.0
0.6
Rest of Asia
960.0
299.0
80.0
29.9
Americas
190.0
86.3
9.0
5.3
Australia and Oceania
3.0
3.0
5,611.0
1,646.7
1,197.0
501.2
(a) Includes 894 gross (235.2 net) multiple completion wells (more than one producing into the same well bore). Productive wells are producing wells and wells capable of production. One or more completions in the same bore
hole are counted as one well.
EXPLORATORY WELL ACTIVITY
Net wells completed(a)
Wells in progress
at Dec. 31 (b)
2024
2023
2022
2024
(number)
productive
dry(c)
productive
dry(c)
productive
dry(c)
gross
net
Italy
1.0
0.6
Rest of Europe
1.9
0.1
0.4
0.4
1.2
66.0
16.9
North Africa
1.5
4.6
5.0
6.2
5.4
8.3
15.0
10.4
Sub-Saharan Africa
0.1
0.3
0.9
3.7
2.4
37.0
18.3
Kazakhstan
1.0
Rest of Asia
3.5
0.9
1.3
0.7
1.0
14.0
6.3
Americas
1.4
6.0
3.6
Australia and Oceania
1.0
0.3
1.6
11.0
6.3
10.2
10.2
12.9
140.0
56.4
(a) Includes number of wells in Eni's share.
(b) Includes temporary suspended wells pending further evaluation.
(c) A dry well is an exploratory, development, or extension well that proves to be incapable of producing either oil or gas sufficient quantities to justify completion as an oil or gas well.
PRODUCTIVE WELLS
In 2024, oil and gas productive wells were 6,808 (2,147.9 of which
represented Eni's share). In particular, oil productive wells were 5,611
(1,646.7 of which represented Eni's share); natural gas productive
wells amounted to 1,197 (501.2 of which represented Eni's share).
DRILLING ACTIVITIES
Exploration
In 2024, a total of 37 new exploratory wells were drilled (15.0 of which
represented Eni’s share), as compared to 39 exploratory wells drilled
in 2023 (21.6 of which represented Eni’s share) and 40 exploratory
wells drilled in 2022 (18.9 of which represented Eni’s share).
The following tables show the number of net productive, dry and in
The following table shows the number of productive wells in the
year indicated by the Group and its equity-accounted entities in
accordance with the requirements of FASB Extractive Activities Oil
and Gas (Topic 932).
progress exploratory wells in the years indicated by the Group and its
equity-accounted entities in accordance with the requirements of FASB
Extractive Activities – Oil and Gas (Topic 932). The overall commercial
success rate was 12.5% (12.8% net to Eni) as compared to 34.5% (38%
net to Eni) and 45% (44% net to Eni) in 2023 and 2022, respectively.
ENI ANNUAL REPORT 2024
52
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
DEVELOPMENT WELL ACTIVITY
Net wells completed(a)
Wells in progress
at Dec. 31 (b)
2024
2023
2022
2024
(units)
productive
dry(c)
productive
dry(c)
productive
dry(c)
gross
net
Italy
1.2
1.0
1.0
Rest of Europe
3.8
4.8
4.6
12.0
1.4
North Africa
21.3
0.5
39.4
25.6
0.5
8.0
6.5
Sub-Saharan Africa
9.2
0.5
5.6
8.5
43.0
13.1
Kazakhstan
1.2
2.0
0.6
2.0
0.6
Rest of Asia
13.4
22.9
22.1
37.0
11.2
Americas
6.2
6.9
8.2
2.0
2.0
Australia and Oceania
1.0
1.0
1.0
56.3
1.0
83.6
0.0
70.6
0.5
105.0
35.8
(a) Includes number of wells in Eni's share.
(b) A dry well is an exploratory, development, or extension well that proves to be incapable of producing either oil or gas sufficient quantities to justify completion as an oil or gas well.
Development
In 2024, a total of 217 development wells were drilled (57.3 of which
represented Eni’s share) as compared to 165 development wells drilled
in 2023 (83.6 of which represented Eni’s share) and 187 development
wells drilled in 2022 (71.1 of which represented Eni’s share).
The drilling of 105 development wells (35.8 of which represented
Acreage
In 2024, Eni performed its operations in thirty-five countries
located in five continents. As of December 31, 2024, Eni’s mineral
right portfolio consisted of 874 exclusive or shared rights of
exploration and development oil and gas activities. Total acreage
amounts to 211,347 square kilometers net to Eni (total acreage
was 301,308 square kilometers net to Eni as of December 31,
2023). Developed acreage was 26,384 square kilometers and
undeveloped acreage was 184,963 square kilometers net to Eni.
In 2024 new leases were purchased or awarded in Netherlands,
Namibia, Australia, Angola, Côte d'Ivoire, Norway, and the
United Kingdom for a total increase in acreage of approximately
24,600 square kilometers. Relinquishment for the year related
mainly to Morocco, Kenya, Angola, Argentina, Indonesia, Italy,
Nigeria, Oman, Timor Leste and Vietnam covering an acreage
of approximately 113,030 square kilometers. Interest increases
were reported mainly in Indonesia and Mexico for a total acreage
of approximately 2,270 square kilometers. Partial relinquishment
Eni's share) is currently underway. The following tables show the
number of net productive, dry and in progress development wells in
the years indicated by the Group and its equity-accounted entities in
accordance with the requirements of FASB Extractive Activities - Oil
and Gas (Topic 932).
was reported mainly in Egypt, Ghana, Italy, Mexico, the United
Kingdom, and the United Arab Emirates for approximately 3,800
square kilometers.
The gross undeveloped acreages that will expire in the next three
years are related to exploration leases, blocks, concessions in:
(i) Rest of Europe, in particular in Cyprus, Albania, Netherlands,
Norway and the United Kingdom; (ii) Rest of Asia, in particular
in Kazakhstan, Timor Leste, Vietnam, Lebanon, Oman and the
United Arab Emirates; (iii) North Africa, in particular in Algeria,
Libya and Egypt; (iv) Sub-Saharan Africa, in particular in Angola,
Namibia, Ghana and Côte d'Ivoire; (v) Americas, in particular in
Mexico; and (vi) Australia and Oceania, in particular in Australia.
In most cases extension or renewal options are contractually
defined and may or may not be exercised depending on the results
of the studies and the planned activities. Management believes
that a significant amount of acreage will be maintained following
extension or renewal.
53
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
OIL AND NATURAL GAS INTERESTS
December 31, 2023
December 31, 2024
Total
net acreage(a)
Number of
Interest
Gross
developed
acreage(a)(b)
Gross
undeveloped
acreage(a)
Total gross
acreage(a)
Net developed
acreage(a)(b)
Net
undeveloped
acreage(a)
Total net
acreage(a)
EUROPE
35,246
474
18,486
72,104
90,590
8,966
29,785
38,752
Italy
10,430
102
7,523
1,913
9,436
6,286
1,511
7,797
Rest of Europe
24,816
372
10,963
70,191
81,154
2,680
28,274
30,955
Albania
587
1
587
587
587
587
Cyprus
13,988
7
25,474
25,474
13,988
13,988
Netherlands
35
2,003
2,539
4,542
855
744
1,599
Norway
8,161
181
5,820
34,436
40,256
926
9,247
10,174
United Kingdom
2,080
148
3,140
7,155
10,295
899
3,708
4,607
AFRICA
113,242
286
45,710
185,879
231,589
12,755
61,171
73,926
North Africa
54,659
154
20,796
114,038
134,834
8,298
36,833
45,131
Algeria
7,872
75
10,626
8,067
18,693
4,143
3,952
8,095
Egypt
12,427
53
4,911
25,070
29,981
1,714
8,491
10,205
Libya
24,644
14
1,963
78,085
80,048
958
23,686
24,644
Morocco
7,529
Tunisia
2,187
12
3,296
2,816
6,112
1,483
704
2,187
Sub-Saharan Africa
58,583
132
24,914
71,841
96,755
4,457
24,338
28,795
Angola
7,633
73
10,790
40,335
51,125
914
8,542
9,456
Congo
1,299
12
666
1,320
1,986
386
713
1,099
Côte d'Ivoire
3,960
11
1,310
8,948
10,258
1,068
7,939
9,007
Ghana
495
4
226
946
1,172
100
402
502
Kenya
35,724
Mozambique
3,260
7
719
7,803
8,522
180
3,080
3,260
Namibia
1
5,386
5,386
1,144
1,144
Nigeria
6,212
24
11,203
7,103
18,306
1,809
2,518
4,327
ASIA
140,571
44
9,515
150,500
160,015
3,440
77,464
80,904
Kazakhstan
1,947
6
2,391
2,505
4,896
442
831
1,273
Rest of Asia
138,624
38
7,124
147,995
155,119
2,998
76,633
79,631
China
7
2
43
43
7
7
Indonesia
12,128
10
2,379
15,076
17,455
2,006
10,045
12,051
Iraq
446
1
1,074
1,074
446
446
Lebanon
610
1
1,742
1,742
610
610
Oman
58,955
2
11,256
11,256
9,037
9,037
Qatar
38
1
1,206
1,206
38
38
Timor Leste
5,960
3
412
4,032
4,444
108
4,032
4,140
Turkmenistan
180
1
200
200
180
180
United Arab Emirates
17,830
11
3,016
28,251
31,267
251
16,407
16,658
Vietnam
21,251
3
17,902
17,902
15,245
15,245
Other Countries(c)
21,219
3
68,530
68,530
21,219
21,219
AMERICAS
9,498
62
1,943
11,566
13,509
895
7,441
8,336
Mexico
3,442
10
67
5,165
5,232
67
3,269
3,336
United States
631
41
615
172
787
331
31
362
Venezuela
1,066
6
1,261
1,543
2,804
497
569
1,066
Other Countries
4,359
5
4,686
4,686
3,572
3,572
AUSTRALIA AND OCEANIA
2,751
8
328
15,394
15,722
328
9,101
9,429
Australia
2,751
8
328
15,394
15,722
328
9,101
9,429
Total
301,308
874
75,982
435,443
511,425
26,384
184,962
211,347
(a) Square Kilometers.
(b) Developed acreage refers to those leases in which at least a portion of the area is in production or encompasses proved developed reserves.
(c) Includes exploration licenses in Russia that are expected to be relinquished.
ENI ANNUAL REPORT 2024
54
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ITALY
(1926)
Adriatic and
Ionian Sea
Barbara (100%), Annamaria (100%), Clara NW (51%), Hera Lacinia (100%) and Cervia-Arianna (100%)
Basilicata Region
Val d'Agri (61%)
Sicily
Gela (100%), Argo-Cassiopea (60%), Giaurone (100%) and Bronte (100%)
REST OF EUROPE
Netherlands
(2024)
E17a-A (37.15%), F3 (58.96%), G-blocks (from 32.85% to 60%), K2b-A (56.62%), K9ab-B (from 31.06% to 35.43%), L12-L15 (from 30% to 60.23%), L10/K12
(from 30.39% to 49.29%), L5 hub (from 59.50% to 60%), Q13a-A (50%) and K6-D (27.47%)
NORTH AFRICA
Algeria(a)
(1981)
Sif Fatima II (49%), Berkine South (75%), Block 404-208 (17,5%), Zemlet El Arbi (49%), Ourhoud II (49%), Blocks 403a/d (100%), Block ROM North (35%),
Blocks 401a/402a (100%), Block 403 (50%), Block 405b (75%), In Amenas (Eni 45.89%) and In Salah (Eni 33.15%)
Egypt(a)(b)
(1954)
Sinai (Belayim Land, Belayim Marine, Abu Rudeis and Sinai Ras Gharra - 100%), Ras el Barr (Ha'py and Seth - 50%), South Ghara (25%), Alam El Shawish
(25%), Shorouk (Zohr - 50%), Nile Delta (Abu Madi West/Nidoco - 75%), Meleiha (76%), North Port Said (Port Fouad - 100%), Temsah (Tuna, Temsah and
Denise - 50%), Southwest Meleiha (75%), Baltim (50%), North El Hammad Offshore (Bashrush - 37.5%) and East Obayed (Faramid - 75%)
Libya(a)
(1959)
Offshore contract
areas
Area C (Bouri - 50%) and Area D (Blocco NC 41 - 50%)
Onshore contract
areas
Area A (former concession 82 - 50%), Area B (former concession 100/ Bu-Attifel and Block NC 125 - 50%), Area E (El-Feel - 33.3%) and
Area D (Block NC 169 - 50%)
Tunisia
(1961)
Maamoura (49%), Baraka (49%), Adam (25%), Oued Zar (50%) and Djebel Grouz (50%)
SUB-SAHARAN
AFRICA
Congo
(1968)
Néné-Banga Marine and Litchendjili (Block Marine XII, 65%), Kitina (52%), M’Boundi (83%) and Yanga Sendji (29.75%)
Côte d'Ivoire
(2015)
Baleine (77.25%)
Ghana
(2009)
Offshore Cape Three Points (44.44%)
Nigeria(c)
(1962)
OML 125 (100%) and OML 118 (12.5%)
KAZAKHSTAN(a)
(1992)
Kashagan (16.81%) and Karachaganak (29.25%)
REST OF ASIA
Indonesia
(2001)
Jangkrik (55%) and Merakes (65%)
Iraq
(2009)
Zubair (41.56%)(d)
United Arab
Emirates
(2018)
Lower Zakum (5%), Umm Shaif and Nasr (10%) and Area B - Sharjah (50%)
AMERICAS
Mexico
(2019)
Area 1 (100%)
United States
(1968)
Allegheny (100%), Appaloosa (100%), Pegasus (100%), Longhorn (75%), Devils Towers (100%), Triton (100%), Europa (32%), Medusa (25%), Lucius
(14.45%), Frontrunner (37.5%) and Heidelberg (12.5%)
(a) In certain extractive initiatives, Eni and the host Country agree to assign the operatorship of a given initiative to an incorporated joint venture, a so‐called operating company. The operating company in its capacity as the operator
is responsible of managing extractive operations. Those operating companies are not controlled by Eni.
(b) Eni’s working interests (and not participating interests) are reported. This includes Eni’s share of costs incurred on behalf of the first party accordingly to the terms of PSAs inforce in the Country.
(c) As partners of SPDC JV, Eni holds a 5% interest in 15 onshore blocks and in 1 conventional offshore block.
(d) Eni is leading a consortium of partners including Kogas and the national oil companies Missan Oil and Basra Oil within a Technical Service Contract as contractor.
The table below sets forth, as of December 31, 2024 and by main
producing countries in each geographic area, Eni’s producing
assets, the year in which Eni’s activities started and the Eni’s
participating interest in each asset. The table does not include the
assets held by the joint ventures and associates. In particular: (i)
in Angola, the Azule Energy joint venture (Eni's interest 50%) holds
interests in 17 blocks (of which 9 exploration blocks) and also in
the Angola LNG JV; (ii) in the United Kingdom, the Ithaca Energy
joint venture (Eni’s interest 37.17%) holds interests in 37 fields,
of which 10 operated and production fields, located in the North
Sea; (iii) in Norway, the Vår Energi associate (Eni's interest 63.1%)
holds interests in 142 licences (of which 83 development licenses
and 59 exploration licences); (iv) in Mozambique, the Mozambique
Rovuma Venture SpA joint venture (Eni's interest 35.71%) is the
operator of the Area 4 production licence; (v) in Venezuela, where
the Cardon IV (Eni's interest 50%), PetroSucre (Eni’s interest 26%)
and PetroJunin (Eni’s interest 40%) joint ventures holds interests
in the Perla, Corocoro and Junin 5 production fields, respectively;
(vi) in Tunisia, where operate the Société Italo Tunisienne
d’Exploitation Pétrolière (Eni’s interest 50%) joint venture; and (vii)
in Algeria, where operate the E&E Algeria Touat BV joint venture
(Eni’s interest 54%).
MAIN PRODUCING ASSETS (GROUP SHARE IN %) AND THE YEAR IN WHICH ENI STARTED OPERATIONS
55
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
MAIN EXPLORATION
AND DEVELOPMENT PROJECT
Eni’s exploration and production activities are conducted in many
Countries and are therefore subject to a broad range of legislation
and regulations. These cover virtually all aspects of exploration and
production activities, including matters such as license acquisition,
production rates, royalties, pricing, environmental protection, export,
taxes and foreign exchange. The terms and condition of the leases,
licenses and contracts under which these Oil & Gas interests are held
vary from Country to Country. These leases, licenses and contracts
are generally granted by or entered into with a government entity or
state company and are sometimes entered into with private property
owners. These contractual arrangements usually take the form of
concession agreements or production sharing agreements.
Concessions contracts. Eni operates under concession contracts
mainly in Western Countries. Concessions contracts regulate
relationships between States and oil companies with regards to
hydrocarbon exploration and production activity. Contractual clauses
governing mineral concessions, licenses and exploration permits
regulate the access of Eni to hydrocarbon reserves. The company
holding the mining concession has an exclusive right on exploration,
development and production activities, sustaining all the operational
risks and costs related to the exploration and development activities,
and it is entitled to the productions realized. As a compensation for
mineral concessions, pays royalties on production (which may be in
cash or in-kind) and taxes on oil revenues to the state in accordance
with local tax legislation. Both exploration and production licenses
are granted generally for a specified period of time (except for
production licenses in the United States which remain in effect until
production ceases): the term of Eni’s licenses and the extent to
which these licenses may be renewed vary by area. Proved reserves
to which Eni is entitled are determined by applying Eni’s share of
production to total proved reserves of the contractual area, in respect
of the duration of the relevant mineral right.
Production Sharing Agreement (PSA). Eni operates under PSA in
several of the foreign jurisdictions mainly in African, Middle Eastern,
Far Eastern Countries. The mineral right is awarded to the national oil
company jointly with the foreign oil company that has an exclusive right
to perform exploration, development and production activities and can
enter into agreements with other local or international entities. In this
type of contract, the national oil company assigns to the international
contractor the task of performing exploration and production with
the contractor’s equipment (technologies) and financial resources.
Exploration risks are borne by the contractor and production is divided
into two portions: “Cost Oil” is used to recover costs borne by the
contractor and “Profit Oil” is divided between the contractor and the
national company according to variable schemes and represents
the profit deriving from exploration and production. Further terms
and conditions of these contracts may vary from Country to Country.
Pursuant to these contracts, Eni is entitled to a portion of a field’s
reserves, the sale of which is intended to cover expenditures incurred
by the Company to develop and operate the field. The Company’s share
of production volumes and reserves representing the Profit Oil includes
the share of hydrocarbons which corresponds to the taxes to be paid,
according to the contractual agreement, by the national government
on behalf of the Company. As a consequence, the Company has to
recognize at the same time an increase in the taxable profit, through the
increase of the revenues, and a tax expense. Proved reserves to which
Eni is entitled under PSAs are calculated so that the sale of production
entitlements should cover expenses incurred by the Group to develop a
field (Cost Oil) and recognize the Profit Oil set contractually (Profit Oil). A
similar scheme applies to some service contracts.
Italy
Exploration activities yielded positive results with the GEMINI 1
exploration well in the Sicily offshore, at the end of 2024. Production
start-up, with all required authorization, will leverage on the synergies
with the Argo Cassiopea production project.
During 2024, the cancellation of the PiTESAI has brought the
legislative of mining right (Titoli minerari) back to the original text,
thus re-opening to the possibility of activities in previously non-
suitable areas. In addition, the Decree 153/2024 (D.L. Ambiente) has
introduced some important changes to the mining regulations, in
particular reducing the limit for offshore upstream activities from 12
to 9 miles from coast.
In August 2024 production of the Argo Cassiopea gas project started
up, the most important gas development project in Italy of recent
years. Natural gas production of the four wells is transported via a
sealine to the Gela treatment plan connected to the national grid.
Project configuration and design will support to achieve the carbon
neutrality target (Scope 1 and 2). Within the Memorandum of
Understanding for the Gela area, during the year the following were
signed: (i) two implementation agreements with the Municipality of
Gela for urban redevelopment interventions; and (ii) an agreement
with the Municipality of Gela, Sicilian Region, Port Authority of
Western Sicily, Protection Civil to contribute for the regeneration at
the Porto Rifugio in Gela.
Within the local support communities’ initiatives, according to the
ratification of the framework agreement with the Fondazione Banco
Alimentare Onlus, Banco Alimentare della Sicilia Onlus and the
Municipality of Gela, activities progressed to create a food storage
and distribution center for disadvantaged communities. In addition,
in 2024, project, launched in 2023, is ongoing to support the logistics
and distribution of foodstuffs by the Banco Alimentare della Sicilia
Onlus to local people participating in the program.
In the gas assets of the Adriatic Seas, activities concerned: (i)
production start-up of the Donata 4 well through existing facilities; (ii)
maintenance and production optimization intervention mainly at the
Cervia field; (iii) asset rationalization program; and (iv) an upgrading
compression facilities project at Casalborsetti and Falconara
treatment facilities in order to increase efficiency and reduce CO2
emissions. The project completion is expected in 2025. In addition, in
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Ravenna, a project was completed by Joule, Eni's school for business,
focused on technologies of the blue and green economy to support
the energy transition of local companies thanks to partnerships and
industrial collaborations.
In 2024, as part of the long-term collaboration agreement with
the Municipality of Crotone, urban re-qualification, landscape
improvement and cultural development initiatives were completed,
as well as economic diversification projects, health programs and
activities to support fishing sector.
The Decommissioning program has been continued during 2024,
according to the Italian Ministerial Decree 15 February 2019 “Linee
guida nazionali per la dismissione mineraria delle piattaforme per
la coltivazione in mare e delle infrastrutture connesse”, by means
of awarding a contract for the removal of 10 platforms. Activities
start-up is expected in 2025. A plug-and-abandon campaign of non-
productive onshore and offshore wells is ongoing.
In the Val d’Agri concession, activities carried out during the year
concerned: (i) sidetrack of existing two wells, in line with approved
“Work Program”, with production start-up expected in 2025; and (ii)
production optimization activities to mitigate field decline.
In 2024, commitment progressed within the New Memorandum
of Intent between Eni, Shell and the Basilicata Region which
includes non-oil projects to support local development. During the
year activities concerned: (i) the signing of agreement with the
Basilicata Region and Acquedotto Lucano to build photovoltaic
plants of approximately 49 MW total installed capacity supporting
water sector; (ii) the definition of agreement with Agenzia Lucana
di Sviluppo e di Innovazione in Agricoltura (ALSIA) to realize an
agricultural supply chain for the biofuels production; (iii) the
completion of the first program supporting local entrepreneurship
by Joule, Eni's school for business; (iv) cultural development
initiatives in collaboration with the Municipality of Viggiano;
(v) activities of the “Agricultural Center for Experimentation
and Training” project nearby the Val d’Agri Oil Center by means
of sustainable agricultural initiatives and experimental crops,
training programs for schools and technique center; and (iv)
energy sustainable programs defined by the agreement of eleven
Municipality of the Val d’Agri area as well as initiatives defined
with the agreement with the Basilicata Region within the LucAS
(Lucani Ambiente e Salute) preliminary project.
Rest of Europe
Netherlands. Main development activities concerned: (i) production
optimization programs in the K12-G and K2b-A6 licenses; and (ii)
concept definition activities of the L7F field development project,
with a final investment decision expected in 2025.
Norway. Exploration activities yielded positive results with 13 wells
drilled in the Ringhorne North, Cerisa, and Countach operated hubs,
near the existing production infrastructures of Balder, Gjoa, and
Goliat fields, respectively.
Main development activities concerned the Johan Castberg and
Balder X sanctioned project in the PL 001 licence in the North Sea as
well as the Halten East sanctioned project. Development activities
are ongoing and production start-up of three projects is expected
in 2025. In addition, during 2024, the Balder Phase V development
project was sanctioned.
United Kingdom. In October 2024, Eni finalized the combination of
the upstream assets in the UK, excluding East Irish Sea assets and
CCUS activities, with Ithaca Energy plc. The combination provided
the contribution of Eni’s assets to Ithaca Energy in exchange for a
participating interest of 37.17% in the entity post transaction. The
transaction has been approved by the competent authorities and the
relevant antitrust regulators. This business combination builds upon
our track record of deploying Eni’s distinctive Satellite Model in the
upstream business.
The PL2638, P2664, and P2668 exploration licenses were awarded
in 2024, located in the North Sea.
Development activities concerned: (i) production start-up of the
Talbot project; and (ii) the completion of drilling activities and
production start-up of three development wells in the Seagull field.
During the year, one additional development well was completed,
and start-up is expected in 2025.
North Africa
Algeria. In 2024, the acquisition of the Neptune assets in Western
Sahara in the Touat concession (Eni’s interest 35.1%) was completed.
In July 2024, Eni signed a Memorandum of Understanding with
Sonatrach and Sonelgaz to conduct feasibility studies for a joint
project aimed to producing electricity from renewable sources
in Algeria, to be exported to and marketed in Europe through a
submarine sealine between Algeria and Italy.
Development activities concerned: (i) production optimization
programs by means of the drilling of seven wells in the Berkine
North concession and one well in the Berkine South concession;
(ii) completion of the ROD Debottlenecking project with an increase
in the gas treatment capacity of the existing plant; and (iii) the
construction of a 10 MW photovoltaic plant in the BRN field in the
block 403, doubling the existing plant capacity. Programs are under
evaluation for the construction of a 12 MW photovoltaic plant in the
MLE field in the block 405b.
Egypt. During the year production optimization program in the Sinai,
Western Desert and Mediterranean Sea concessions progressed
at a good pace. In particular, in the Zohr production field was
completed: (i) a compression project through operational synergy
with the nearby El Gamil plant; and (ii) a project to increase onshore
water treatment plant.
In addition, in the Western Desert concession, development activities
included: (i) the Meleiha Phase 2 project ongoing with the completion
of transport facility to increase the existing gas operational flexibility;
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and (ii) the completion of the flaring down program at the Meleiha oil
treatment plant. With this project, Eni in Egypt achieved zero routine
flaring ahead of the original plan.
As of December 31, 2024, Eni’s proved reserves booked at the Zohr
field amounted to 429 mmboe.
Development activities progressed by means also certain local
development activities. In the Port Said these projects includes
among the main intervention areas: (i) technical education with
the establishment of the Zohr Applied Technology School (ATS), as
well as the launch of the University Education in Energy Engineering
Technology project, in collaboration with the Politecnico di Milano
and Eni Corporate University; and (ii) awareness initiatives, supply of
medical equipment and specialist skills development of local health
personnel.
In the South Sinai and Matrouh Governorates, two agricultural support
projects were completed to improve communities resilience to high
desertification vulnerability, with about 6,000 people benefiting.
In the Matrouh and Damietta Governorates, two Applied Technology
Schools have also been launched which will be further supported by
AICS (Italian Agency for Development Cooperation).
Eni holds interest in the Damietta liquefaction plant with a capacity
of 5.2 mmtonnes/y of LNG associated to approximately 283 bcf/y
of feed gas.
Libya. Development activities progressed in all ongoing projects
in the Country. In particular: (i) in the A&E Structure project located
in Area D off the Libyan coast, development activities progressed
aiming at gas production start-up. Progress for the year included
the award of main contracts for the A structure development;
(ii) in the BGUP project to reduce CO2 emissions and to valorize
associated gas of the Bouri field, the construction activities are
ongoing and submarine surveys were finalized; (iii) in the Sabratha
Compression project to support current production of the Bahr
Essalam field, construction activities of unit compression and
the preparatory activities for the installation phase progressed. In
2024, a professional training project was launched in partnership
with the International Organization for Migration targeting to
increase youth employment in the south of country.
Tunisia. Main Development activities concerned: (i) a production
optimization program; and (ii) the completion activities of some
wells with production start-up at Maamoura concession and at the
Iklil field in the Adam concession.
During the year local development activities focused on the
renovation and installation of photovoltaic panels at certain public
school.
Sub-Saharan Africa
Angola. The exploration activities brought positive results with the
Likembe 1X oil well in the Block 15, the Dalia-6 oil well in the Block 17
and the PKBB oil well in the Block 14 which is already in production.
In 2024, Azule finalized: (i) the farm-in agreement with Rhino
Resources to purchase a 42.5% interest of the offshore Block
2914A in Namibia. The agreement included the option for the
operatorship of the block; and (ii) the disposal of a 12% stake in the
Block 3/05 and a 16% stake in the Block 3/05A, located in the Lower
Congo Basin.The development activities are focused on: (i) the
development project of the Quiluma and Maboqueiro fields within
the New Gas Consortium. The project is the first non-associated
gas development in the country and consists of the installation of
two offshore production platforms, an onshore treatment plant, and
the connection facilities to A-LNG liquefaction plant. The start-up is
expected at the end of 2025, with an estimated production plateau
of approximately 330 mmcf/d; (ii) the Agogo Integrated West Hub
project in the western area of the Block 15/06. The main contracts
are under execution, and the production start-up is expected in 2025
with an estimated production peak of 170 KBOE/d; (iii) the progress
of the development optimization studies of PAJ project in the Block
31; (iv) the start-up of infilling activities in the Block 18; and (v) local
support programs for the communities of country’s provinces with
interventions in different social areas such as access to water and
sanitary facilities, health, education, social inclusion, economic
diversification, access to renewable energy as well as environmental
protection and demining programs. In particular, during 2024,
programs were completed in the field of access to 18 new water
sources, 7 new schools, professional training center as well as a
renovation of a hospitality center and interventions to support more
than 2,500 farmers and the installation of 21 solar plants.
In addition, the international health capacity building project
progressed in the Luanda area targeting to enhance the health
personnel skills, with the Italian health institutes of excellence
engagement.
Congo. The exploration activities have also positive results in the
Marine VI Bis block (Eni’s interest 65%) with the Poalvou Marine 2 gas
and condensate and the Mbenga Marine 1 oil and gas discoveries
wells.
In 2024, Eni finalized with Perenco the divestment of its participating
interest in several production licenses in the country in line with
the upgrading upstream portfolio through selected development
initiatives.
In February 2024, the Congo FLNG project commenced its deliveries
of LNG to international markets, ensuring the Republic of Congo
the status of exporter in the global landscape of this fuel. The gas
volumes of the Marine XII Block are monetized both for the country’s
energy needs and, the surplus gas quota, for LNG production through
Congo FLNG Project. The production start-up was achieved through
a modular and phased development approach, also leveraging on the
existing assets. The liquefaction gas capacity is planned to achieve
approximately a 160 bcf/y plateau. According to the agreements
recently signed, all LNG production will be marketed by Eni.
The development activities are focused on: (i) the completion
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activities of the Nguya FLNG, which will complement the current
FLNG Tango of the Congo FLNG project. The new FLNG unit will
significantly increase the project’s liquefaction capacity from the
current 0.6 mmtonnes/y to 3 mmtonnes/y once commissioned by
the end of 2025. The Nguya FLNG will have a lower carbon footprint
thanks to its design, technology and zero-flaring approach, in line
with Eni's decarbonization strategy; and (ii) programs of sidetracks
of existing wells and drilling of new infilling wells in order to maximize
Nènè field oil production.
During 2024, the Oyo Center of Excellence for Renewable Energy and
Energy Efficiency came into operation with the completion of the
organizational structure necessary to manage activities. The center is
managed by the United Nations Industrial Development Organization
(UNIDO) as defined by the collaboration agreement and during the
year: (i) launched the first research projects by means of the first nine
researchers shortlisted; and (ii) organized workshop on the raising
awareness of solar energy use, as a vector of social and economic
community development. In addition, among the activities of the
Oyo Center there is the commitment to become a reference for the
certification of improved cookstoves and to promote at a regional level.
One elements of the programs to support the reduction environmental
impacts and to improve the standard communities living.
During the year progressed to support the integrated project in the
HINDA district. The project includes activities to sustain the socio-
economic development of the local communities with initiatives in
the field of education and health services, access to water and the
agricultural sector with a specific training program.
Côte d'Ivoire. In 2024, the exploration activities resulted in the Calao
discovery in the Block CI-205 (Eni’s interest 90%). This discovery
opens up new development options, strengthening Eni's exploration
portfolio.
In 2024, Eni was awarded the CI-504, CI-526, CI-706, and CI-708
offshore exploration blocks with an 88% interest, near the Block CI-
205 where the Calao discovery is located and represents a strategic
opportunity for further synergies options in the area.
In December 2024, Eni completed the Phase 2 of the Baleine field
development program achieving significant production ramp-
up with the addition of two FPSO-FSO units, and the relevant
subsea wells with the interconnecting facilities. The Baleine
fields is located in the operated offshore CI-101 and CI-802
blocks. The Phase 2 development program will increase the block
production plateau up to 60 kbbl/d and approximately 70 mmcf/d
of associated gas.The Baleine full field project also includes
a Phase 3 development that is aimed to achieve a production
capacity equal to 150 KBBL/d and approximately 210 mmCF/d of
associated gas for domestic needs.
In 2024, as in previous years, the local development projects, within
the Baleine project, concerned initiatives in the following sectors: (i)
health, with two projects to support a total of 20 health centers with
renovation program, upgrading energy facilities, equipment donation
and training of healthcare staff and non-healthcare professional; (ii)
professional training in collaboration with the Iveco Group supporting
access to work for 300 young people; (iii) economic diversification,
by means of ongoing project with the construction of a textile
production centre and training of over 200 local craftsmen; and (iv)
access to education, with the renovation initiatives of 22 schools,
training activities of teachers and school supplies distribution to
approximately 15,000 students.
Mozambique. In 2024, the Company took the final investment
decision to develop the Coral North project. The Coral North
development plan was submitted for approval to the Country’s
government. The Coral North project is part of the development
program to bring in production the Area 4 reserves by the delegated
operators (Eni and ExxonMobil). This program relies on both offshore
development scenarios in analogy with Coral South FLNG project,
and onshore options also through synergies with Area 1.
Within programs to support local communities in the country, in
2024 the activities progressed with: (i) programs to support primary
and child schooling, public health and youth employment in the
Pemba district. In addition, the first Intensive Care Unit and CT scan
were completed and launched in the province of Cabo Delgado; (ii)
activities to improve access to fresh water in the Mecufi and Metuge
districts, along with initiatives for the social and health services
enhancement and the biodiversity protections in the district of Mecufi;
(iii) initiatives to promote social cohesion and economic integration;
and (iv) economic development programs in the agricultural and
fishing sectors in the province of Cabo Delgado and Manica where in
particular ongoing project concerned over 2,000 small farmers with
training activities, seeds distribution and equipment supply.
Nigeria. In August 2024, Eni finalized the sale of wholly-owned
subsidiary Nigerian Agip Oil Company (NAOC Ltd) to the local
company OANDO PLC. NAOC was in charge of the onshore oil & gas
exploration and production activities. The transaction is in line with
Eni’s strategy of upgrading and rationalizing the upstream portfolio.
The 5% participating interest in the SPDC JV (Shell Production
Development Company Joint Venture) is not included in the
transaction, as it will be retained in Eni’s portfolio. Eni will continue to
be present in the Country through investment in deepwater projects
and Nigeria LNG.
The main development activity is the Bonga North project in OML
118 where the Final Investment Decision (FID) was sanctioned in
2024. The project will connect of new subsea wells to the existing
FPSO of Bonga. In addition, a scholarship program was launched
and funded reaching over 2,000 beneficiaries as part of the initiatives
to support the Niger Delta people.
Eni holds also a 10.4% interest in the Nigeria LNG Ltd joint venture,
which owns and runs the Bonny liquefaction plant located in the
Eastern Niger Delta. The plant has a production capacity of 22
mmtonnes/y of LNG associated with approximately 1,270 BCF/y of
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feed gas. The natural gas supplies to the plant are currently provided
under a gas supply agreement from the SPDC JV, TEPNG JV and
Oando Energy Resources Nigeria Limited JV (former NAOC JV). In
2024, the Bonny liquefaction plant processed approximately 810
BCF. LNG production is sold under long-term contracts and exported
mainly to the United States, Asian and European markets by the
Bonny Gas Transport fleet, wholly owned by Nigeria LNG, as well as
is sold FOB by means of the fleet owned by third parties.
Kazakhstan
Kashagan. Development plans of the Kashagan field envisage a
phased increase in the production capacity. The first development
phase provides for a progressive increase up to 450 kbbl/d. The
activities, sanctioned in 2020, include the upgrading of management
capacity of associated gas by means of: (i) increasing gas reinjection
capacity by adding new equipment, which was completed in 2022;
and (ii) installation of a new onshore treatment unit operated by a
third party, currently under construction, for the remaining part of
associated gas volumes.
In 2024, production averaged 80 kboe/d net to Eni. As of December
31, 2024, Eni’s proved reserves booked for the Kashagan field
amounted to 558 mmboe.
Karachaganak. In 2024 the additional development phase, sanctioned
in 2020, of the Karachaganak field progressed and included: (i) the
drilling of three new injection wells and the construction of a new sixth
injection line. Activities were completed in 2023; (ii) the installation of a
fifth compression gas unit, started up in 2024; and (iii) the installation
of a sixth compression unit, last development phase, sanctioned in
2022. Start-up is expected in 2026.
In 2024 voluntary local development programs progressed with
activities in in several sectors and Country’s area: (i) agricultural
development project was launched in the Distict of Burlin; (ii) specific
training programs of local partner and stakeholder; and (iii) cultural
initiatives and promotion.
Rest of Asia
Indonesia. During the year, Eni has been awarded by the country’s
authorities a twenty-year extension of the Ganal (Eni’s interest 82%)
and Rapak (Eni’s interest 82%) development blocks, as well as of the
Muara Bakau development and production license.
In August 2024, the Indonesian authorities approved: (i) the Plan
of Development (PoD) of the Geng North and Gehem fields. The
integrated development of the two fields will create a new production
hub, called Northern Hub, in the Kutei Basin. These fields will be put
into production by means of subsea wells, flowlines and by building
and installing a new FPSO with a treatment capacity of approximately
1 bcf/d gas, approximately 80 kbbl/d of condensates and a storage
capacity of 1 mmbbl. Natural gas will be treated by the FPSO and will
be carried to onshore facilities linked to the East Kalimantan pipeline
network. The production will be delivered to the Bontang LNG plant
and exported; a part of gas production will be destined to fulfil
domestic needs. The condensates production will be stabilized and
stored by the FPSO and then marketed; (ii) the PoD of the Gendalo
& Gandang fields. Production start-up will be achieved by means of
the linkage to existing facilities of the Jangkrik production field, thus
extending the useful life of the vessel.
Other development activities mainly concerned: (i) execution phase
of the Merakes East project in the East Sepinggan operated block,
in the deepwater of the Eastern Kalimantan. Start-up is expected
in 2025; (ii) the Maha project in the West Ganal operated offshore
block (Eni’s interest 70%) with start-up expected in 2026; and (iii)
several projects to support local communities in the field of primary
education, access to water and renewable energy, economic
diversification initiatives as well as professional training programs
in the Samboja and Muara Java areas, in the Eastern Kalimantan.
Iraq. Activities comprised the execution of an additional development
phase of the ERP (Enhanced Redevelopment Plan) at the Zubair field.
Main facilities have already been installed. Ongoing development
activities include programs to expand water availability to maintain
adequate reservoir pressurization in the long term and to increase
water treatment and re-injection capacity. In 2024, a specific project
was defined to achieve zero technical flaring by 2027.
The field reserves will be progressively put into production by drilling
additional productive wells over the next few years and by means of
the collection facilities expansion and the completion of the water
reinjection wells.
In the year Eni’s commitment progressed with local development
projects in the areas of education, health and access to water. In
particular: (i) the construction of a new school at the Zubair and
renovation activities and supplies to 140 schools in the Zubair and
Safwan districts; (ii) construction of a nuclear medicine department
at the Basra Health Directorate and relative handover to the Country’s
authorities. In addition, the new pediatric oncology department
at the Basra Cancer Children is fully up and running as well as
was equipped with additional medical supplies; and (iii) the first
development phase (“first step”) of the Al-Buradeiah drinking water
supply plant in Bassora. The second development phase (“second
step”) is ongoing and the completion is expected in 2025. In addition,
other cohesion social initiatives progressed.
Turkmenistan. Development activities mainly concerned: (i) drilling
of infilling wells; and (ii) the water injection expansion system project
to increase hydrocarbons recovery of the Burun field.
United Arab Emirates. Development activities of the year concerned:
(i) the development plan of the Waset field was sanctioned. The field
is located in the exploration Block 2 (Eni operator with a 70% interest),
in the Abu Dhabi offshore; (ii) three development projects were
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sanctioned in the Lower Zakum and Umm Shaif/Nasr concessions
to support the target of production increase; and (iii) execution phase
of the Hail & Ghasha development project, sanctioned in 2023, in the
Ghasha concession.
Americas
Mexico. Exploration activities yielded positive results with the
Saasil-1 and Yopaat-1 discoveries in the Area 10 (Eni’s interest 76%)
and Area 9 (Eni’s interest 50%) operated licences, respectively.
In 2024, production start-up was achieved at the Tecoalli and Amoca
WHP2 platforms with the completion of the development and
installation activities, concluding the development program of the
Area 1 operated license. Ongoing drilling activities of new production
wells will be completed in 2025.
Within the cooperation agreement with the local Authorities relating
to support local development, during the year, activities concerned: (i)
restructuring of school buildings; (ii) initiatives to promote primary and
youth education; (iii) activities to improve socio-economic conditions
with agricultural and fishing programs; and (iv) awareness campaigns
in the field of access to energy, environmental protection and social
issues. In addition, in 2024 a health center was built and launched in
Manatinero in the State of Tabasco. The health center is running and
managed by the local authorities.
United States. In 2024, Eni closed the divestment of: (i) 100% of
the Nikaitchuq and Oooguruk assets in Alaska to Hilcorp for a total
consideration of $1 billion; and (ii) some offshore assets in the Gulf of
Mexico amounting to approximately $80 million. These transactions
are in line with Eni's strategy focused on the rationalization of the
upstream activities by rebalancing its portfolio and divesting non-
strategic assets.
Development activities concerned (i) the completion of second
development phase at the non-operated Lucius - Hadrian North
project (Eni’s interest 14.45%), with production start-up; (ii) the
completion of the fourth development phase at the non-operated
St. Malo license (Eni’s interest 1.3%), achieving production start-up.
In addition, started development activities of water injection project
and subsea multiphase pumping system; and (iii) the drilling of an
additional production well in the non-operated Europa field, with
production start-up in early 2025.
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Global Gas & LNG Portfolio
and Power
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KEY PERFORMANCE INDICATORS
2024
2023
2022
TRIR (Total Recordable Injury Rate)(a)
(total recordable injuries/worked hours) x 1,000,000
0.51
0.00
0.28
of which: employees
0.84
0.00
0.70
contractors
0.00
0.00
0.00
Employees at year end
(number)
1,151
1,130
1,317
of which outside Italy
386
390
588
Direct GHG emissions (Scope 1)(a)
(mmtonnes CO2eq.)
9.3
9.4
10.6
Global Gas & LNG Portfolio
Natural gas sales(b)
(bcm)
50.88
50.51
60.52
Italy
24.40
24.40
30.67
Rest of Europe
23.40
23.84
27.41
of which: Importers in Italy
1.26
2.29
2.43
European markets
22.14
21.55
24.98
Rest of world
3.08
2.27
2.44
LNG sales(c)
9.8
9.6
9.4
Power
Power sales in the open market(b)
(TWh)
26.55
27.30
30.86
Thermoelectric production
20.16
20.66
21.37
(a) KPIs refer to 100% of the operated assets, consolidated and unconsolidated, with reference to the operatorship criteria expressed in the standards for Sustainability Statement. The
2023 and 2022 data are reported accordingly.
(b) Data include intercompany sales.
(c) Refers to LNG sales of the GGP segment (included in worldwide gas sales).
€1.3 bln
proforma adjusted EBIT
50.88 bcm
natural gas sales
(+1% vs. 2023)
9.8 bcm
LNG sales (+2% vs. 2023)
Launched the floating
LNG production unit
Nguya FLNG
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PERFORMANCE OF THE YEAR
• Total recordable injury rate (TRIR) of the workforce (0.51) reported
an increase from 2023, following an event occurred among the
employees.
• Direct GHG emissions (Scope 1) of 9.3 million tons CO2eq. in line
with the comparative period.
• Natural gas sales of 50.88 bcm were substantially in line with
2023 (+0.37 bcm): unchanged in Italy, while increasing by 2.7% in
the European markets.
• LNG sales of 9.8 bcm increased by 2.1% compared to 2023,
mainly in the extra-European markets.
• Power sales in the open market of 26.55 TWh decreased by 2.7%
due to lower volumes marketed at the open market.
DIVERSIFICATION
OF NATURAL GAS SUPPLY
During 2024, in order to ensure greater flexibility and further
diversify its LNG supplies, Eni has entered into a number of
significant agreements. In particular, Eni signed:
• a charter agreement with Avenir LNG Limited for the LNG bunker
vessel Avenir Aspiration in order to expand Eni’s activities in the
LNG bunkering market in the Mediterranean Sea. The deal is in line
with Eni’s strategy to market its growing LNG portfolio and promote
more environmentally sustainable fuels;
• a Memorandum of Cooperation with Japan Organization for
Metals and Energy Security with the aim of promoting the role
of gas and LNG in the energy transition pathway, including LNG
supply opportunities by Eni to Japan and the support of Japanese
financial institutions to the Coral North project in Mozambique;
• a sale contract in Thailand in order to further develop LNG sales in
Asia.
These new LNG contracts contribute to the creation of an LNG
portfolio that, leveraging Eni’s integrated approach in the countries
where it operates and in line with its energy transition strategy,
aims to progressively increase the share of gas in total upstream
production to 60% by 2030.
Finally, in line with progresses in employing gas resource, Eni, in
November, completed the launch of the floating unit Nguya FLNG
production vessel. The naval unit FLNG will have a liquefaction
capacity of 2.4 million tons/y and will complement the existing
FLNG Tango, which is in operation from December 2023 with
a capacity of 0.6 million tons/y, bringing the total liquefaction
capacity of the Congo LNG project to 3 million tons/y by the end
of 2025.
GLOBAL GAS & LNG PORTFOLIO
Supply of natural gas
Eni’s consolidated subsidiaries supplied 51.05 bcm of natural gas,
increased by 1 bcm or by 2% from the full year 2023.
Gas volumes supplied outside Italy from consolidated subsidiaries
(43.39 bcm), imported in Italy or sold outside Italy, represented
approximately 85% of total supplies, decreased by 0.95 bcm or by 2.1%
from the full year 2023. This mainly reflected lower volumes purchased
in Algeria (-1.36 bcm), in Libya (-1.11 bcm) and in the United Kingdom
(-0.19 bcm), partially offset by higher purchases in Norway (+0.39 bcm),
Indonesia (+0.30 bcm) and the Netherlands (+0.24 bcm). Supplies in
Italy (7.66 bcm) reported an increase of 34.2% from the full year 2023.
In 2024, main gas volumes from equity production derived from: (i)
certain Eni fields located in the British and Norwegian sections of the
North Sea (1.7 bcm); (ii) Italian gas fields (1.7 bcm); (iii) Indonesia
(1.4 bcm); (iv) Libyan fields (0.4 bcm); fields located in Congo (0.3
bcm). Supplied gas volumes from equity production were about 5.5
bcm representing around 11% of total volumes available for sale.
Sales
European gas market was characterized by a substantially stable
demand (up by 0.5% and 0.6% in Italy and in the European Union,
respectively, compared to 2023). This trend was supported by the
recovery in gas consumption in the industrial and civil segments,
offsetting the decrease in demand in the electricity sector, due to the
higher availability of hydroelectric energy and solar.
Natural gas sales of 50.88 bcm (including own consumption and
Eni’s share of sales from equity accounted entities) reported an
increase of 0.37 bcm compared to 2023, or 0.7% mainly due to
higher sales in the rest of World.
Sales in Italy of 24.40 bcm were in line compared to 2023, as a
result of higher volumes marketed in the wholesale and industrial
segments, offset by the reduction reported in gas sales to hub. Sales
to importers in Italy (1.26 bcm) decreased by 1.03 bcm compared to
2023, due to lower availability of Libyan gas.
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Sales in the European markets of 23.40 bcm decreased by 0.44 bcm
compared to 2023. The decline in sales to importers in Italy was offset
by volume increases in the markets of Germany, Iberian Peninsula, and
France, partly balanced by lower sales in Turkey.
Sales in the extra-European markets of 3.08 bcm reported an
increase of 35.7% compared to 2023 (+0.81 bcm) as a result of
higher volumes marketed in the Asian markets.
SUPPLY OF NATURAL GAS
(bcm)
2024
2023
2022
Change
% Ch.
Italy
7.66
5.71
3.40
1.95
34.2
Algeria (including LNG)
10.70
12.06
11.86
(1.36)
(11.3)
Norway
6.88
6.49
6.75
0.39
6.0
Russia
6.19
6.16
17.20
0.03
0.5
Qatar (LNG)
2.91
2.91
2.56
Indonesia (LNG)
1.86
1.56
1.36
0.30
19.2
the Netherlands
1.86
1.62
1.39
0.24
14.8
Libya
1.41
2.52
2.62
(1.11)
(44.0)
the United Kingdom
1.23
1.42
1.91
(0.19)
(13.4)
Congo (GNL)
0.45
0.45
Other supplies of natural gas
6.80
5.89
8.11
0.91
15.4
Other supplies of LNG
3.10
3.71
3.43
(0.61)
(16.4)
OUTSIDE ITALY
43.39
44.34
57.19
(0.95)
(2.1)
TOTAL SUPPLIES OF ENI'S CONSOLIDATED SUBSIDIARIES
51.05
50.05
60.59
1.00
2.0
Offtake from (input to) storage
(0.09)
0.54
0.00
(0.63)
..
Network losses, measurement differences and other changes
(0.08)
(0.08)
(0.07)
AVAILABLE FOR SALE BY ENI'S CONSOLIDATED SUBSIDIARIES
50.88
50.51
60.52
0.37
0.7
TOTAL AVAILABLE FOR SALE
50.88
50.51
60.52
0.37
0.7
GAS SALES BY ENTITY
(bcm)
2024
2023
2022
Change
% Ch.
Total sales of subsidiaries
50.88
50.51
60.52
0.37
0.7
Italy (including own consumption)
24.40
24.40
30.67
Rest of Europe
23.40
23.84
27.41
(0.44)
(1.8)
Outside Europe
3.08
2.27
2.44
0.81
35.7
NATURAL GAS SALES
50.88
50.51
60.52
0.37
0.7
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LNG
LNG sales (9.8 bcm, included in the worldwide gas sales) increased
by 2.1% from 2023. In 2024 the main sources of LNG supply were
Qatar, Nigeria and Indonesia. LNG volumes were mainly sold in the
European and Asian markets.
International transport activity
Eni has transport rights on a large European and North African
network for transporting natural gas in Italy and Europe, which link
key consumption basins with the main producing areas (Russia,
Algeria, the North Sea, including the Netherlands, Norway, and
Libya).
The main pipelines are: (i) the TTPC pipeline, 740-kilometer long
which transports natural gas from Algeria; (ii) the TMPC pipeline for
the import of Algerian gas is 775-kilometer long; (iii) the GreenStream
pipeline for the import of Libyan gas (516-kilometer long); and (iv)
the Blue Stream underwater pipeline linking the Russian coast to the
Turkish coast of the Black Sea (774-kilometer long).
LNG SALES
(bcm)
2024
2023
2022
Change
% Ch.
Europe
6.7
7.3
7.0
(0.6)
(8.2)
Outside Europe
3.1
2.3
2.4
0.8
34.8
TOTAL LNG SALES
9.8
9.6
9.4
0.2
2.1
GAS SALES BY MARKET
(bcm)
2024
2023
2022
Change
% Ch.
ITALY
24.40
24.40
30.67
Wholesalers
11.01
10.71
12.22
0.30
2.8
Italian gas exchange and spot markets
5.94
6.28
9.31
(0.34)
(5.4)
Industries
1.56
1.50
2.89
0.06
4.0
Power generation
0.51
0.52
0.83
(0.01)
(1.9)
Own consumption
5.38
5.39
5.42
(0.01)
(0.2)
INTERNATIONAL SALES
26.48
26.11
29.85
0.37
1.4
Rest of Europe
23.40
23.84
27.41
(0.44)
(1.8)
Importers in Italy
1.26
2.29
2.43
(1.03)
(45.0)
European markets:
22.14
21.55
24.98
0.59
2.7
Iberian Peninsula
3.18
2.75
3.93
0.43
15.6
Germany/Austria
4.35
3.35
3.58
1.00
29.9
Benelux
3.63
3.75
4.24
(0.12)
(3.2)
the United Kingdom
1.23
1.42
1.92
(0.19)
(13.4)
Turkey
6.10
6.90
7.62
(0.80)
(11.6)
France
3.58
3.31
3.62
0.27
8.2
Other
0.07
0.07
0.07
Extra European markets
3.08
2.27
2.44
0.81
35.7
NATURAL GAS SALES
50.88
50.51
60.52
0.37
0.7
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2024
2023
2022
Change
% Ch.
Purchases of natural gas
(mmcm)
4,078
4,144
4,218
(66)
(1.6)
Purchases of other fuels
(ktoe)
139
156
175
(17)
(10.9)
Power generation
(TWh)
20.16
20.66
21.37
(0.50)
(2.4)
Steam
(ktonnes)
6,761
6,981
6,900
(220)
(3.2)
AVAILABILITY OF ELECTRICITY
(TWh)
2024
2023
2022
Change
% Ch.
Power generation
20.16
20.66
21.37
(0.50)
(2.4)
Trading of electricity(a)
6.39
6.64
9.49
(0.25)
(3.8)
Availability
26.55
27.30
30.86
(0.75)
(2.7)
Power sales in the open market(b)
26.55
27.30
30.86
(0.75)
(2.7)
of which: Importers in Italy
18.86
17.89
20.37
0.97
5.4
(a) Includes positive and negative imbalances (difference between the electricity effectively fed-in and as scheduled).
(b) Data include intercompany sales.
POWER
Availability of electricity
Eni’s power generation sites are located in Brindisi, Ferrera Erbognone,
Ravenna, Mantova, Ferrara and Bolgiano. As of December 31, 2024,
installed operational capacity of Enipower’s power plants was
approximately 5 GW.
In 2024, thermoelectric power generation was 20.16 TWh,
decreasing by 0.50 TWh from the previous year. To complement
production, Eni purchased 6.39 TWh of electricity (down by 0.25
TWh compared to 2023).
Power sales in the open market
In 2024, power sales in the open market were 26.55 TWh,
representing a decrease of 2.7% compared to 2023, due to lower
volumes marketed at free market partly offset by higher sales to
Power Exchange and to the third parties (up by 1 TWh).
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CCS and Agri
Distinctive model
based on technical
expertise, operational
capabilities, and
high-quality assets
HyNet North
West
selected by the British
Government as a
priority
project
Agri-feedstock
production
a three-fold increase
vs. 2023
Start-up of the
Ravenna
CCS project
Phase 1, first in Italy
for CO2 capture, transport
and storage
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Eni recognizes and supports the transition to a lower carbon model
and, on this basis, has developed a decarbonization strategy of the
Group’s products and industrial processes to target net zero Scope
1+2+3 emissions by 2050. Eni’s decarbonization path leverages on
the skills and knowledge, matured within our traditional businesses
and is implemented through the development of innovative and
distinctive models related to CCUS projects, agri-business and
carbon offset initiatives.
CCS PROJECTS
Within the CO2 capture and storage solutions, Eni has developed a
distinctive model based on the expertise matured in the traditional
businesses, on the knowledge of the exhausted gas reservoir which
in synergy with the existing infrastructures will be reused for the CO2
storage and on the expertise gained in the past storage activities.
Thanks to its wide portfolio in different Countries, Eni targets to
achieve a gross storage capacity of over 15 mmtonnes/y before
2030 and more than 40 mmtonnes/y after 2030.
In Italy, in August 2024, just 18 months after the Final Investment
Decision (FID), was launched the Phase 1 of the Ravenna CCS
project, developed jointly with Snam through a 50-50 joint venture.
The project, the first in Italy, consists of several phases, starting
with the capture of approximately 20 ktonnes/year of CO2 from
Eni’s natural gas processing plant in Casalborsetti, near Ravenna, to
transport and storage in the Porto Corsini Mare Ovest depleted gas
field, operated by Eni in the offshore Adriatic.
On an industrial scale, it represents one of the world’s most
successful capture systems with an efficiency of more than 90% at a
CO2 concentration of 2.4% and with atmospheric pressure. Another
distinctive feature of the project is the powering of the capture plant
through the recovery of the self-produced heat energy and electricity
from renewable sources, with the result that the volume of CO2
captured actually corresponds to the amount abated.
The project includes a larger scale Phase 2 with a CO2 capture and
storage capacity of 4 mmtonnes/y by 2030, with a projection of
growth in the following years up to 16 mmtonnes/y based on market
demand and thanks to the total storage capacity of the depleted
gas fields in the Adriatic sea, currently estimated at more than 500
mmtonnes.
The Ravenna CCS project has been included in the European list of
Projects of Common Interest (PCI Projects) as a CO2 transport and
storage infrastructure, within the integrated Callisto project (Carbon
Liquefaction Transportation and Storage) Mediterranean CO2 Network
which, in addition to the Italian emitters, also involves the emitters of
the industrial area of Fos sur Mer near Marseille, in France.
In the UK, Eni has established a leadership position with the
HyNet North West project under development, selected by the
UK government as one of two priority CCS projects (“Track 1”) for
the Country. The project aims to decarbonize industrial areas in
the North West of England and North Wales through the capture,
transport, and storage of CO2 emitted by existing local hard-to-
abate industrial activities and by the future hydrogen production.
Eni is the 100% operator for CO2 transport and storage activities
and will convert and reuse its depleted offshore gas fields and part
of the existing infrastructure in Liverpool Bay. The activity of CO2
injection is expected to start in the second half of the decade with a
stored volume in the reservoir of 4.5 mmtonnes/y in the first phase,
increasing to 10 mmtonnes/y after 2030. In the last quarter Eni
finalized with the UK Authorities the agreements on the terms and
conditions of the business model for transport and storage activities
that will be included in the economic license expected in 2025.
Relating to the emitters that will feed CO2 into reservoir storage, the
UK authorities have already selected four priority capture projects,
with an overall volume of about 3 mmtonnes/y of CO2. In order to
ensure the 4.5 mmtonnes/y volume expected for the first phase, has
been started the “Track 1 Expansion” process for selecting additional
emitters.
In October 2024, the UK Government announced the allocation of
funds of about £22 billion in 25 years for the two priority projects
of Hynet NW and East Coast Cluster, included in Track 1, in order to
support the development of the activities of the entire CCS supply
chain.
In the United Kingdom, Eni is also implementing the engineering
phase for the development of the Bacton Thames Net Zero CCS
project, which includes the storage of CO2 in the Hewett offshore
depleted gas field, to help decarbonize the south-eastern part of the
Country and the London industrial area. Eni is the 100% operator for
CO2 transport and storage activities and has signed a collaboration
agreement with 12 industrial partners from the area’s hard-to-abate
sectors who have expressed interest in participating in the project.
The reservoir’s strategic location in the south-western part of
the North Sea allows to assume that the project will also play an
important role in the decarbonization process of industrial sites in
the Northern Europe. Start-up is planned by 2030 with a storage
capacity of about 5 mmtonnes/y of CO2, with a possible expansion
up to 10 mmtonnes/y.
In the Netherlands, following the acquisition of Neptune’s assets, Eni
is developing the CCS L10 project, which involves the storage of CO2
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in the operated depleted gas fields offshore in the North Sea. Eni is a
39% operator of the joint venture that will develop the project.
In 2024, negotiations have been started to define the general terms
and conditions with some emitters and consortia operating the
“Aramis” CO2 transport projects and the onshore CO2 collection
hub in the Rotterdam area ( CO2 Next). The issuance of the storage
license by the Dutch authorities is expected in the first half of 2025,
and the CO2 storage is expected to start up by 2030 with a capacity
of about 5 million tons/year.
In addition, the CCS portfolio includes projects to manage CO2
associated with upstream production under development in North
Africa and initiatives under evaluation in the North Sea and in the
Asia-Oceania area.
AGRI-FEEDSTOCK INITIATIVES
Eni’s development model for the agri-feedstock initiatives is targeted
to provide vegetable oil to feed Eni’s supply chains, starting from the
feedstock produced by the cultivation of degraded land, rotational
crops and the valorization of waste and residues from the agro-
industrial and forestry supply chains. This distinctive model of vertical
integration, with end-to-end approach aims at ensuring volumes of
vegetable oil at competitive cost, supporting the expansion of Eni’s
biorefining activities, while enabling significant positive impacts on
local development and employment.
According to the model, agri-feedstock production is entirely
delegated to local farmers through the cultivation of their own
land or the collection of agro-Industrial and forestry residues.
For the production of vegetable oil, seeds and residues are then
processed in extraction plants, so-called agri-hubs, owned by Eni
or by third parties, according on the industrial maturity of the
producing Country.
The vegetable oil’s by-products are recovered and transformed into
feed and fertilizers with positive impacts on the food security in
these Countries.
Eni’s agri-feedstock supply chains are certified according to the
ISCC-EU (International Sustainability and Carbon Certification)
sustainability scheme, one of the main voluntary standards
recognized by the European Commission for the certification of
biofuels (EU RED II).
In 2024, production of vegetable oil amounted to 130 ktonnes,
volumes are tripled compared to the previous year. Eni’s agri-feedstock
activities in 2024 mainly includes the following Countries: (i) in Kenya,
where two agri-hubs are operational with a production capacity of
70 ktonnes/y of oil, agri-feedstock activities were developed over an
area of more than 80 thousand hectares. The total 2024 production,
including the share of waste and residues, amounted to 48 ktonnes;
(ii) in Congo, an agri-hub with a 30 ktonnes/y capacity was completed
in the last quarter and started the agricultural supply chain which
will lead to the first vegetable oil production in 2025; (iii) in Côte
d’Ivoire, the production of vegetable oil on an industrial scale from the
valorization of forest residues of rubber seed was started for a total
volume of 4.5 ktonnes including the share of waste and residues from
agro-industrial processing; (iv) in Mozambique, the agricultural supply
chain was started with the finalization of more than twenty contracts
with local aggregators; production for the year was about 600 tons;
(v) in Italy the collaboration with Bonifiche Ferraresi progressed; the
total production of the year amounted to 27 ktonnes, including the
valorization of residues and waste; (vi) in Vietnam the valorization of
agro-industry allowed the production of 30 ktonnes of vegetable oil;
(vii) in Angola, the agricultural sector was launched with the finalization
of more than 8 agreements with local aggregators; (viii) in Kazakhstan
the production of vegetable oil from agricultural chain amounted 6
ktonnes; (ix) in Indonesia started the production from agro-industrial
waste for a volume of 9 ktonnes. Furthermore, were valorized another
5 ktonnes of waste from the agro-industrial chain from Asia.
In Rwanda, the production of quality seed addressed to farmers in
other African Countries progressed.
In 2024, a series of assessments were also launched in Brazil,
Europe and other Countries in Africa and Asia to identify further
opportunities for the development of the agri-feedstock business.
In May 2024, in Kigali, Rwanda, Eni and IFC (International Finance
Corporation) signed a collaboration agreement for a total financing
of $210 million to support agri-feedstock initiatives in Kenya. The
agreement provides that IFC will fund up to $135 million and the
remaining $75 million will be covered by Cassa Depositi e Prestiti
SpA. The funds are also addressed to support the local agricultural
supply chain through the provision of support services to farmers,
also promoting access to subsidized credit for local stakeholders.
CARBON OFFSET INITIATIVES
As part of Natural Climate Solutions (NCS), since 2019 Eni has
launched initiatives focused on the protection, conservation and
sustainable management of forests, mainly in developing Countries,
which are considered among the most relevant internationally as part
of climate change mitigation strategies. These initiatives are framed
within the so-called REDD+ (Reducing Emissions from Deforestation
and forest Degradation) scheme, defined and promoted by the
United Nations, which involves forest conservation activities with
the goals of reducing emissions and improving the natural storage
capacity of CO2. At the same time, the projects promote an alternative
development model for local communities through the promotion
of socio-economic activities in line with sustainable management,
forest enhancement and biodiversity conservation.
The main forest protection and conservation initiatives supported by
Eni are: Luangwa Community Forest Project (LCFP), Lower Zambezi
REDD+ Project (LZRP) and Kafue in Zambia, Ntakata Mountains and
Makame in Tanzania, Mai Ndombe in Democratic Republic of Congo,
Great Limpopo REDD+ Project (GLRP) in Mozambique, and Amigos
de Calakmul in Mexico.
In November 2024, Eni signed an agreement with the Côte d’Ivoire’s
Ministry of Water and Forests to launch a project to conserve
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and restore forest area in the Country. The agreement, defined in
partnership with the Ivorian authorities, is in line with the Country’s
National Development Plans and with the strategy to reduce
deforestation and related emissions, as well as the deal will help to
achieve zero emissions in the development of the Baleine project.
In 2024, in Kenya, Eni launched a project on sustainable agriculture
and land management (Sustainable Agriculture Land Management
- SALM), which involves the promotion of agricultural practices that
can increase crop yields and at the same time increase organic
carbon content in soils.
During the year, progressed the evaluation of further NCS initiatives
both in the context of restoration and sustainable management of
ecosystems and in the context of SALM in Africa, Latin America and
Asia.
The application of technological solutions integrates the nature-
based solutions for generating carbon credits. In this regard, since
2018, the Company has launched the “Eni for Clean Cooking”
program to develop projects in order to promote the introduction
of improved cooking systems that ensure the reduction of woody
biomass consumption by households, with the aim of improving
health conditions and promoting forest conservation. In addition
to the positive impact on health and the environment, the industrial
approach to the issue of access to “clean cooking” allows the
development of entrepreneurship and the local economy.
The program has been launched in Côte d’Ivoire, Congo, Mozambique,
Angola, Rwanda, and Tanzania, and expansion to other Countries
in Sub-Saharan Africa and Asia is under evaluation. In 2024, about
1.2 million people have been reached in Sub-Saharan Africa for a
total of 1.5 million people since the program’s start-up. In addition,
Eni joined the “Clean Cooking Declaration: Making 2024 the pivotal
year for Clean Cooking” to accelerate universal access to more
advanced cooking systems, which are essential to ensure access to
affordable, reliable and sustainable energy systems for all, as set out
in the UN Sustainable Development Goal number 7. The declaration
was signed by Governments, the private sector, international and
civil society organizations attending the Paris Summit. In line with
the IEA scenarios, feasibility studies were launched during the year
for the use of “advanced” clean cooking systems that prefigure the
deployment of induction stoves in urban areas and pyrolysis stoves
in rural areas that promote, from a circular economy perspective,
the use of agricultural waste, including by-products from Eni’s agri-
feedstock supply chain.
In 2024, approximately 5.3 mmtonnes of CO2 were included in the
Eni’s credit portfolio.
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Enilive and Plenitude
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4.1 GW
Installed capacity
from renewables
+37% vs. 2023
3 new FIDs
to develop
biorefineries in
Malaysia, South Korea
and Italy
Started the first
SAF production
plant at
Gela
biorefinery
Valorization
of transition
related satellites
Plenitude €0.8 bln from EIP
Enilive €3.0 bln from KKR
KEY PERFORMANCE INDICATORS
2024
2023
2022
Total recordable incident rate (TRIR)(a)
(total recordable injuries/worked hours) x 1,000,000)
0.63
1.34
1.01
of which: employees
0.73
1.36
0.53
contractors
0.47
1.30
1.73
Employees at year end
5,899
5,759
5,303
of which: outside Italy
2,072
2,103
1,961
Direct GHG emissions (Scope 1)(a)
(mmtonnes CO2eq.)
0.5
0.5
0.5
Enilive
Bio throughputs
(ktonnes)
1,115
866
543
Biorefining capacity
(mmtonnes/year)
1.65
1.65
1.10
Average biorefineries utilization rate
(%)
74
71
58
Retail sales of petroleum products in Europe
(mmtonnes)
7.70
7.52
7.50
Service stations in Europe at year end
(number)
5,254
5,267
5,243
Average throughput per service station in Europe
(kliters)
1,638
1,645
1,587
Retail efficiency index
(%)
1.22
1.19
1.20
Plenitude
Gas sales to end customers
(bcm)
5.51
6.06
6.84
Power sales to end customers
(TWh)
18.28
17.98
18.77
Retail and business customers at period end
(million of pod)
10.03
10.11
10.07
EV charging points
(thousand)
21.3
19.0
13.1
Energy production from renewable sources
(TWh)
4.7
4.0
2.6
Installed capacity from renewables at period end
(GW)
4.1
3.0
2.2
(a) KPIs refer to 100% of the operated assets, consolidated and unconsolidated, with reference to the operatorship criteria expressed in the standards for Sustainability Statement.
The 2023 and 2022 data are reported accordingly.
10 mln of
customers
(42% Power)
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PERFORMANCE OF THE YEAR
• Total recordable injury rate (TRIR) of the workforce amounted to
0.63, a better performance compared to 2023, mainly due to the
decrease of accidents among employees and contractors.
• Direct GHG emissions (Scope 1) substantially in line compared
to 2023. Lower emissions were reported at Gela biorefinery for
maintenance shutdown.
• Bio throughputs from biofeedstock amounted to 1.12 mmtonnes,
up by 28.8% from 2023, mainly thanks to the contribution of
the acquired St. Bernard biorefinery at Chalmette in Louisiana
(USA).
• Retail sales in Italy were 5.40 mmtonnes, up by 1.5% from 2023:
higher volumes sold of gasoline and HVO were offset by lower
gasoil sales. Market share was 21.2% (21.4% in 2023).
• Energy production from renewable sources amounted to 4.7
TWh, increasing compared to 2023, due to the contribution of the
acquired assets in operation as well as the organic development
of projects.
• As of December 31, 2024, the installed capacity from renewables
was 4.1 GW: 71% attributable to photovoltaic plants (including
installed storage capacity) and 29% attributable to wind farms.
• Gas sales to end customers amounted to 5.51 bcm, down by 9.1%
compared to 2023, as a result of lower sales in Italy in the retail
segment and abroad mainly in France.
• Power sales to end customers amounted to 18.28 TWh, recording
an increase of 1.7% compared to 2023 due to higher retail
customer base portfolio.
• The EV charging points installed at the end of 2024 amounted to
over 21,300 units, an increase of 12% compared to 19,000 units
installed at the end of 2023, in line with the enhancing plan of our
network.
BUSINESS ENHANCEMENT
AND DEVELOPMENT
The KKR strategic investments in Enilive, with the acquisition of
a 25% stake for a total consideration of approximately €3 billion,
finalized in March 2025 following the obtaining of the necessary
legal approvals, confirm the attractiveness of Eni’s satellite model
with the establishment of transition-focused entities, able to attract
specialized capital to finance their independent growth, while at the
same time developing value for Eni.
In February 2025, in line with the agreement of the first transaction,
KKR increased its share in Enilive by 5% to a total of 30%, further
strengthening the investment opportunity for our transition-related
satellites.
In November 2024, signed an agreement with Energy Infrastructure
Partners (EIP) for further increase of its share in Plenitude share
capital, through a reserved capital increase of approximately
€209 million. EIP’s post-transaction stake will be equal to 10%
of Plenitude’s share capital, for a total investment of about €800
million, taking into account €588 million paid in March 2024.
BIOREFINING AND RETAIL NETWORK
DEVELOPMENTS
As part of the biofuels business expansion in Asian markets,
Enilive, Petronas, and Euglena Co. Ltd reached the final
investment decision (FID) to build and operate a biorefinery
within the Pengerang industrial site in Malaysia. The plant, based
on Ecofining™ technology, is expected to be operational by the
second half of 2028 and will produce Sustainable Aviation Fuel
(SAF), HVO and bio-naphtha, addressed to the aviation and road
transport sectors. The expected processing capacity will be
approximately 650,000 tons/y. In December, after the clearance
from the relevant antitrust authorities, Enilive established the
company “Pengerang Biorefinery Sdn. Bhd”.
Enilive and LG Chem reached the final investment decision for
the development of a biorefinery in South Korea, with a feedstock
processing capacity of 400,000 tons per year, leveraging
Ecofining™ technology. In December 2024, after the clearance
from the relevant antitrust authorities, Enilive established the
company “LG-Eni BioRefining Co. Ltd.
In
September
2024,
Enilive
granted
the
environmental
authorization from the relevant authorities to start the construction
of a biorefinery in Livorno, with an expected capacity of 500,000
tons/y of HVO diesel, VVO Naphtha and bio-LPG, through the
reconfiguration of the existing hub. The start-up is expected by
2026.
In January 2025, Enilive started operations at the first dedicated
plant to the production of SAF at the Gela biorefinery. The
plant has a capacity of 400,000 tons/y, which is nearly a third
of the expected SAF demand in Europe for 2025, following the
implementation of ReFuelEU Aviation.
In line with the network development strategy, Enilive Iberia
finalized the 100% acquisition of Atenoil, a company operating
in the service station sector. The transaction, which has been
approved by the relevant authorities, comprises 21 sales stations
in the regions of Madrid, Andalusia and Castile-La Mancha.
SUSTAINABLE MOBILITY INITIATIVES
In order to develop and spread the use of HVOlution diesel, the
first diesel from Enilive produced with 100% renewable feedstock,
in 2024, important agreements have been reached with several
partners. In particular, Eni signed:
• a Memorandum of Understanding with MSC (Mediterranean
Shipping Company) to develop joint initiatives in the field of
sustainability and energy transition. In particular, the agreement
includes the potential use of LNG and energy carriers with lower
carbon emissions (HVO) for use on MSC fleets dedicated to
both logistic and cruise transport;
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ANNEX
• agreements with Itabus, for the supply of HVO diesel fuel to 100
buses for civil transport, and with Poste Italiane, for the supply of
biofuels to vehicles and aircraft;
• a Letter of Intent with Volotea operating in 15 Italian airports, for a
long-term supply contract of SAF in the 2025-2030 period;
• two agreements with EasyJet for the supply of SAF in Italy. Some
flights departing from Milan Malpensa Airport will be refueled with
SAF.
PORTFOLIO DEVELOPMENTS AND
SIGNIFICANT AGREEMENTS IN THE
RENEWABLES
As part of the development of the wind and photovoltaic sectors,
a key component of the growth strategy, several production plants
were built and launched in 2024, and important agreements were
signed to strengthen Plenitude’s presence both domestically and
abroad. In particular, in the wind business:
• started operations at a new 39 MW onshore wind farm in Calabria.
The plant, which includes nine wind turbines of the latest generation,
will produce 84 GWh/y of electricity, equivalent to the annual needs
of more than 30,000 households;
• Green Volt has been selected as the only floating offshore wind project
to secure a contract in the UK’s latest renewables allocation round
(“AR6”). The project, participated by Plenitude through Vårgrønn, will
become the world’s largest floating offshore wind farm;
• started the operation of a wind farm in Soria, Spain, with installed
capacity of about 13 MW and an estimated electricity production of
31 GWh/y.
In the photovoltaic business, the main developments included:
• Villanueva II solar plant with an installed capacity of 50 MW. The
park has been developed over an area of almost 100 hectares and
is connected to the national transmission grid. The plant counts
more than 76,000 photovoltaic modules and produces 100 GWh/y
of electricity, equivalent to the energy needs of more than 30,000
households;
• the start-up of the operation at the Ravenna Ponticelle photovoltaic
plant with an installed capacity of 6 MW. Moreover, the construction
of Montalto di Castro agrivoltaic plant has been completed (24 MW
Eni’s share);
• the start-up of the construction in Spain of the Renopool
photovoltaic park, with a planned generation capacity of 330
MW, the largest photovoltaic unit ever built by the Company. The
photovoltaic installation will generate 660 GWh/y and will include
seven photovoltaic plants and an electrical substation;
• signing of a 10-year Corporate Power Purchase Agreement (PPA)
with Ferriera Valsabbia for the supply of energy produced 100%
from a renewable source. The agreement covers the entire output
of a 15 MW wind farm owned by Plenitude;
• the beginning of the construction of a 220 MW solar plant in
Villarino de los Aires in Spain. The plant will be completed by 2025;
• the start-up of the operation of a new photovoltaic plant with
an installed capacity of 5 MW in the municipality of Bouillac,
Dordogne, in France. The solar plant is connected to the local
distribution network via a 1.7 km underground medium-voltage line
and It is estimated to produce 6,700 MWh of electricity per year.
The electricity generated will be marketed by Plenitude in line with
its integrated business model;
• the finalization of the installation of the 150 MW Caparacena plant
in Granada, composed of three photovoltaic parks of about 50 MW
each. The electrical connection to the national transmission grid is
ensured by a 400 kV substation, the construction of which has just
been completed, as well as another substation and a 200 kV line
shared with other operators. Additionally, Plenitude completed the
construction of other plants located in the Renopool solar parks
in Extremadura and in Guillena, Andalusia, for a total installed
capacity of about 250 MW;
• the construction of the Guajillo plant (200 MW), the largest battery
storage system ever built by the Company;
• the agreement with EDP Renewables North America LLC (“EDPR
NA”) for the acquisition of 49% of two operational photovoltaic
plants and an electricity storage plant under construction in
California (United States). The Sandrini 100 (141 MW) and Sandrini
200 (266 MW) solar parks share the same grid connection
infrastructure with the Sandrini BESS (368 MW) storage plant. The
three parks have a total installed capacity of approximately 499
MW, of which 245 MW is attributable to Plenitude.
BUSINESS DEVELOPMENT AND
E-MOBILITY
In June 2024, Plenitude signed a strategic partnership with MERKUR
for the installation, construction and management of innovative
electric vehicle charging stations, including 62 technologically
advanced fast and ultra-fast charging points, at MERKUR shopping
centres across Slovenia. The first charging stations will be operational
at 24 MERKUR centres by the end of 2024, while the entire project will
be completed by early 2026.
ENILIVE
BIOREFINERY
The volumes of biofuels processed from vegetable oil were 1,115
mmtonnes up by 28.8% from the previous year (up by 249 ktonnes),
benefitting from higher volumes processed thanks to the full entry into
operation of Chalmette biorefinery.
The incidence rate of palm oil supplied for the production of biodiesel is
zero, leveraging on the start-up of a new Biomass Treatment Unit (BTU)
at the Gela biorefinery, which allows the use up to 100% of biomass not
in competition with the food chain for the production of biofuels.
In 2024 production of biofuels (HVO) amounted to approximately 982
ktonnes (up by 55% vs. 2023) leveraging on the Chalmette refinery
contribution.
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(mmtonnes)
2024
2023
2022
Change
% Ch.
Retail
5.40
5.32
5.38
0.08
1.5
Wholesale
9.53
9.39
7.85
0.14
1.5
Petrochemicals
0.37
0.44
0.39
(0.07)
(15.9)
Other sales
2.27
2.71
2.53
(0.44)
(16.2)
Sales in Italy
17.57
17.86
16.15
(0.29)
(1.6)
Retail
2.30
2.20
2.12
0.10
4.5
Wholesale
2.86
2.73
3.11
0.13
4.8
Sales outside Italy
5.16
4.93
5.23
0.23
4.7
TOTAL SALES OF REFINED PRODUCTS
22.73
22.79
21.38
(0.06)
(0.3)
2024
2023
2022
Change
% Ch.
Bio throughputs
(ktonnes)
1,115
866
543
249
28.8
Sold production of certified biofuels
982
635
428
347
54.6
Average biorefineries utilization rate
(%)
74
71
58
3
Retail sales in Italy
In 2024, retail sales in Italy were 5.40 mmtonnes, with an increase
(up by 1.5%) compared to 2023 (79 mmtonnes), benefitting from
higher volumes of HVO and offset by higher gasoline sales.
Average throughput per service station (1,457 kliters) decreased
by 22 kliters from 2023 (1,479 kliters). Eni’s retail market share
was 21.2% on average in 2024, slightly down from 2023 (21.4%).
As of December 31, 2024, Eni’s retail network in Italy consisted
of 3,925 service stations, lower by 51 units from December 31,
2023 (3,976 service stations), resulting from the negative balance
of acquisitions/releases of lease concessions (-56 units), the
positive balance of the company owned stations (+7 units) partly
offset by lower motorway concessions (-2 units).
Retail sales in the rest of Europe
Retail sales in the Rest of Europe were 2.30 mmtonnes, an
increase from 2023 (up by 4,5%) as result of higher volumes
sold mainly in: i) Spain, thanks to the acquisition of 21 retail
stations in the regions of Madrid, Andalusia, and Castile-La
Mancha; ii) Germany and France, which have offset the decline
recorded in Austria and Switzerland.
At December 31, 2024, Eni’s retail network in the Rest of Europe
consisted of 1.329 units, increasing by 38 units from December
31, 2023, mainly thanks to the openings in Spain, Germany and
France, balanced by the reduction in Austria and Switzerland.
Average throughput (2,179 kliters) increased by 14 kliters
compared to 2023 (2,166 kliters).
Wholesale and other sales
Wholesale sales in Italy amounted to 9.53 mmtonnes, increasing by
1.5% from 2023, due to higher sales of jet fuel for the recovery of the
aviation sector which offset lower volumes marketed in all the other
segments. Supplies of feedstock to the petrochemical industry (0.37
mmtonnes) decreased by 15.9%. Other sales in Italy (2.27 mmtonnes)
decreased by 0.44 mmtonnes or down by 16.2% mainly due to lower
volumes sold to oil companies. Wholesale sales outside Italy were
2.86 mmtonnes, up by 4.8% from 2023 particularly in Germany and
Spain, partly offset by lower sales in Austria, Switzerland and France.
PLENITUDE
RETAIL GAS & POWER
Gas demand
Eni operates in a liberalized energy market, where customers are allowed
to choose the gas supplier and, according to their specific needs, to
evaluate the quality of services and select the most suitable offers.
Overall, Plenitude supplies 10 million of retail clients (gas and
electricity) in Italy (8 million) and Europe (2 million).
Retail gas sales
In 2024, retail gas sales in Italy and in the rest of Europe amounted to
5.51 bcm, down by 0.55 bcm or 9.1% from the previous year. Sales in
Italy amounted to 3.83 bcm down by 6.8% from 2023, as a result of
lower sales to the residential segment. Sales on the European markets
of 1.68 bcm decreased by 13.8% (down by 0.27 bcm) compared to
2023 and mainly reflected lower volumes sold in France.
MARKETING OF REFINED PRODUCTS
In 2024, retail sales of refined products (22.73 mmtonnes) were substantially in line compared to 2023.
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Retail power sales to end customers
In 2024, retail power sales to end customers amounted to 18.28
TWh, managed by Plenitude and the subsidiaries in France,
Greece and the Iberian Peninsula increased by 1.7% from 2023,
mainly due to the increase in the customer portfolio in Italy and
abroad.
RENEWABLES
Eni is engaged in the renewable energy business (solar and wind)
aiming at developing, constructing and managing renewable energy
producing plant. Eni’s targets in this field will be reached by leveraging
on an organic development of a diversified and balanced portfolio of
assets, integrated with selective asset and projects acquisitions as
well as national and international strategic partnerships.
(bcm)
2024
2023
2022
Change
% Ch.
ITALY
3.83
4.11
4.65
(0.28)
(6.8)
Retail
2.71
2.91
3.34
(0.20)
(6.9)
Business
1.12
1.20
1.31
(0.08)
(6.7)
INTERNATIONAL SALES
1.68
1.95
2.19
(0.27)
(13.8)
European markets:
France
1.29
1.54
1.69
(0.25)
(16.2)
Greece
0.26
0.26
0.33
Other
0.13
0.15
0.17
(0.02)
(13.3)
RETAIL GAS SALES
5.51
6.06
6.84
(0.55)
(9.1)
(TWh)
2024
2023
2022
Change
% Ch.
Energy production from renewable sources
4,67
3,98
2,55
0,69
17,3
of which: photovoltaic
2,55
1,74
1,13
0,81
46,6
wind
2,12
2,24
1,42
(0,12)
(5,4)
of which: Italy
1,45
1,53
0,82
(0,08)
(5,2)
outside Italy
3,22
2,45
1,73
0,77
31,4
(GW)
2024
2023
2022
Italy
1.0
1.0
0.8
Outside Italy
3.1
2.0
1.4
United States
1.7
1.3
0.8
Spain
0.8
0.4
0.3
Other (Australia, France, Germany, Kazakhstan, UK)
0.6
0.3
0.3
TOTAL INSTALLED CAPACITY(a)
4.1
3.0
2.2
(a) Installed storage capacity amounted to 221 MW, 21 MW and 7 MW in the 2024, 2023 and 2022, respectively.
(GW)
2024
2023
2022
Change
% Ch.
Installed capacity from renewables at period end (Eni’s share)
4.1
3.0
2.2
1.1
37.0
of which: photovoltaic (including installed storage capacity)
71%
64%
54%
wind
29%
36%
46%
Energy production from renewable sources amounted to 4.67 TWH
(of which 2.55 TWh photovoltaic and 2.12 TWh wind) up by 0.69
TWh compared to 2023. The increase in production, compared to
the previous year, benefitted from the entry in operations of new
capacity, mainly for the contribution of assets already operating as
well as from the start-up of organic development projects.
As of December 31, 2024, the total installed capacity from renewables
amounted to 4.1 GW, an increase of 1.1 GW from 2023, mainly thanks
the organic development of projects in the United States, Spain, the
UK and Italy and the acquisition of assets in Spain and Germany as
well as from the acquisition of 2 photovoltaic plants in the United
States with a total capacity of 0.2 GW (Eni’s share) signed at the end
of the year.
Follows breakdown of the installed capacity by Country and technology:
E-Mobility
On the back of a mobility market foreseeing a steady increase in the
number of electric vehicles in Italy and in Europe, Plenitude, which
represents the first operator in Italy for public access sites at high
power >100 kW, continued its plan to extend the network of charging
points throughout the Country, reaching about 21,000 charging
points by December 31, 2024: the stations are smart and user-
friendly, monitored 24 hours a day by a help desk and accessible via
the mobile device application.
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Refining and Chemicals
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FINANCIAL STATEMENTS
ANNEX
24.21 mln tons
Refining throughputs
Obtained FID to
convert Livorno
hub into
biorefinery
3.17 mln tons
Sales of chemical products
(+2% vs. 2023)
Launched
transformation
plan of the
Chemical business
KEY PERFORMANCE INDICATORS
2024
2023
2022
TRIR (Total Recordable Injury Rate)(a)
(total recordable injuries/worked hours) x 1,000,000
1.32
0.49
0.66
of which: employees
1.25
0.55
1.05
contractors
1.39
0.42
0.35
Employees at year end
(number)
10,060
10,449
9,770
of which: outside Italy
2,501
2,747
2,693
Direct GHG emissions (Scope 1)(a)
(mmtonnes CO2eq.)
4.7
5.2
5.5
Refining
Refinery throughputs on own account
(mmtonnes)
24.21
27.39
27.12
Conversion index of oil refineries
(%)
52
47
42
Average oil refineries utilization rate
78
77
79
Chemicals
Production of chemical products
(ktonnes)
5,685
5,663
6,856
Sales of chemical products
3,169
3,117
3,752
Average chemical plant utilization rate
(%)
50
51
59
(a) KPIs refer to 100% of the operated assets, consolidated and unconsolidated, with reference to the operatorship criteria expressed in the standards for Sustainability Statement.
The 2023 and 2022 data are reported accordingly.
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PERFORMANCE OF THE YEAR
• Total recordable injury rate (TRIR) of the workforce amounted
to 1.32, showing a worsening performance compared to the
previous year, mainly due to the event occurred at the Calenzano
fuel storage hub (Florence).
• Direct GHG emissions (Scope 1) of 4.7 mmtonnes of CO2eq.
decreased compared to 2023, as a result of lower emissions in
the Refining business (shutdowns for plant reorganization and
maintenance).
• Eni’s refining throughputs on own account amounted to 24.21
mmtonnes, down by 11.6% compared to 2023 mainly due to
changes in plant set-up at the Livorno refinery plants.
• Sales of chemical products were 3.17 mmtonnes, up by about
2%, mainly in the intermediates segment.
DECARBONIZATION PROCESS OF
TRADITIONAL REFINING
The Refining business is progressing the decarbonization process
and reached the final investment decision to convert the traditional
Livorno plant into a biorefinery following the same successful model
adopted in Gela and Venice. The start-up of the new biorefining
facilities is expected in 2026 and the hub will be allocated to
Enilive. The project is awaiting official authorisations and includes
the construction of a biogenic feedstock pre-treatment unit, an
Ecofining™ plant and a facility for the production of hydrogen from
natural gas.
TRANFORMATION PLAN OF THE
CHEMICAL BUSINESS
In October 2024, Eni launched the plan for the transformation,
decarbonization and relaunch of its Chemical business announced
in March 2024, which foresees investments of around €2 billion
and the reduction of about 1 mmtonnes of CO2 emissions, equal
to approximately 40% of the total Versalis emissions in Italy. The
plan will focus on the restructuring of basic chemistry with the
shutdown of the cracking plants in Priolo and Brindisi and the
strong downsizing of polymer production with the shutdown of
polyethylene in Ragusa. In addition it will include the construction
of new industrial plants consistent with the energy transition and
decarbonization of the various industrial sites, in the areas of
bio, circular and chemical specialties, as well as biorefining and
energy storage. The transformation plan, to be implemented by
2029, is targeted to invest in the development of new platforms
in renewable, circular and specialties, whose markets are growing
and in which Versalis has acquired a leading position. At the end
of the process, the transformation will bring a positive impact in
terms of employment, counteracting the negative consequences
that the structural and consolidated crisis of the basic chemicals
sector at the European level would have in this area.
CIRCULAR ECONOMY INITIATIVES
AND CHEMICALS FROM
RENEWABLES
As part of the development of circular economy projects, a key
strategic driver for Eni’s chemical business, Versalis launched a
collaboration with Crocco (SpA SB), an innovative company in
the flexible packaging sector, aimed at the production of food
packaging film made with raw material partly from the recycling
of post-consumer plastics, with the target of mass production
addressed to the large-scale retail market.
In addition, Versalis, following the collaboration with Forever Plast,
launched REFENCETM, an innovative range of recycled polymers for
food contact packaging. The new products, developed thanks to the
new NEWER™ technology, will enhance the Versalis Revive® portfolio
from mechanical recycling.
To develop an increasingly sustainable industrial supply chain model,
Versalis signed an agreement with Bridgestone and BB&G Group aimed
at transforming end-of-life tires (ELTs) into new tires, contributing to the
creation of a circular and sustainable production cycle.
Finally, as evidence of Versalis’ ongoing commitment to creating
innovative and increasingly sustainable solutions, launched
ReUp, a new brand in the furniture and home decor sector for the
production and marketing of plastic solutions obtained in whole
or in part from renewable or recycled sources.
In line with the strategy to strengthen market share in high value-
added segments, Versalis finalized the acquisition of 100% of
Tecnofilm SpA, a company specializing in compounding.
In January 2025, Versalis signed a strategic partnership with Lummus
Technology, a company specialized in technological processes and
innovative energy solutions, for the licensing of technologies in the
phenol chain. With this new partnership, Lummus and Versalis will
be targeted to develop more sustainable technology solutions and
maximize efficiency, helping to meet customers’ evolving needs for
productivity, energy efficiency, and sustainability goals.
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ANNEX
REFINING
SUPPLY AND TRADING
In 2024, purchased 16.22 mmtonnes of crude oil to feed Eni
directly supplied refineries (compared with 19.08 mmtonnes
in 2023), of which 5.06 mmtonnes by equity crude oil, 9.77
mmtonnes on the spot market and 1.39 mmtonnes by producer’s
Countries with term contracts. The breakdown by geographic area
was as follows: 31% of purchased crude came from Central Asia,
21% from North Africa, 9% from Middle East, 9% from Italy, 6%
from North Sea, 5% from West Africa, and 19% from other areas.
PURCHASES
(mmtonnes)
2024
2023
2022
Change
% Ch.
Equity crude oil
5.06
4.57
5.02
0.5
10.7
Other crude oil
11.16
14.51
14.13
(3.4)
(23.1)
Total crude oil purchases
16.22
19.08
19.15
(2.9)
(15.0)
Purchases of intermediate products
0.03
0.21
0.07
(0.2)
(85.7)
Purchases of products
9.48
6.23
7.13
3.3
52.2
TOTAL PURCHASES
25.73
25.52
26.35
0.2
0.8
Consumption for power generation
(0.25)
(0.32)
(0.31)
0.1
21.9
Other changes(a)
(0.32)
(1.47)
(1.46)
1.2
78.2
TOTAL AVAILABILITY
25.16
23.73
24.58
1.4
6.0
(a) Include change in inventories, decrease due to transportation, consumption and losses.
THROUGHPUTS OF REFINED PRODUCTS
(mmtonnes)
2024
2023
2022
Change
% Ch.
Italy
13.76
16.88
16.12
(3.12)
(18.5)
of which: at wholly-owned refineries
10.58
13.31
13.25
(2.73)
(20.5)
at account of third parties
(1.50)
(1.32)
(1.70)
(0.18)
(13.6)
at affiliated refineries
4.68
4.89
4.57
(0.21)
(4.3)
Outside Italy(a)
10.45
10.51
11.00
(0.06)
(0.6)
TOTAL REFINERY THROUGHPUTS ON OWN ACCOUNT
24.21
27.39
27.12
(3.18)
(11.6)
(a) Results of the refining activities in Germany are reported within Enilive business.
REFINING
In 2024, Eni’s refining throughputs on own account were 24.21
mmtonnes, a decrease of 11.6% compared to 2023 as a result
of lower volumes processed in particular at the Livorno refinery
due to new production set-up and at Sannazzaro refinery due
to higher shutdowns compared to the comparative period. The
refinery utilization rate, ratio between throughputs and refinery
capacity, is 78%. A share of 31% of processed crude was supplied by
Eni, representing a decrease from 2023 (24.4%).
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CHEMICALS
In 2024, sales of chemical products amounted to 3,169 ktonnes
and slightly increased from 2023 (up by 52 ktonnes, or 1.7%). In
particular, the main increases were recorded in the intermediates
(olefines, aromatics and fenol derivatives), up by 4.2%, and in
polymers (polyethylene, styrenics and elastomers), down by 7%. In
the compounding business, sales amounted to 64 ktonnes, down
by 4.5% from the comparative period. Reductions were reported
also in the oilfield business, down by 14 ktonnes or down by
33.3%. Additional volumes derive from Novamont Group’s entities
and Matrica and amounted to 88 ktonnes (both companies were
consolidated starting from October).
Average sale prices of the intermediates business decreased by
1.9% from 2023, with olefins down by 3% and derivatives down
by 0.7 %. The polymers reported a decrease of 1.1% from 2023.
Chemical production amounted to 5,685 ktonnes (up by 22
ktonnes vs. 2023). Lower productions were reported in the
intermediates business (down by 26 ktonnes), in particular
aromatics and derivatives. The main reductions were reported at
Priolo plant (down by 195 ktonnes) and Mantua site (down by 85
ktonnes). Those reductions were offset by increased volumes at
Dunkerque plant (up by 285 ktonnes).
The average plant utilization rate, calculated on nominal capacity,
was 50.4% representing a decrease from the comparative period
(51.4% in 2023).
BUSINESS TRENDS
Intermediates
Intermediates revenues (€1,530 million) increased by €33 million
from 2023 (up by 2.2%). Sales volumes increased by 69 ktonnes,
or 4.2% vs. 2023. In particular, reported positive performance in
olefines (up by 14.6%), offset by lower sales of aromatics (down by
17.2%) and derivatives (down by 5.6%). Average prices decreased
by 1.9%, in particular olefins (down by 3%) and derivatives (down
by 0.7%).
Intermediates production (3,851 ktonnes) registered a decrease
of 0.7% from 2023. Decreases were also registered in aromatics
(down by 17.8%) and in derivatives (down by 9.4%).
(ktonnes)
2024
2023
2022
Var. ass.
Var. %
Intermediates
3,851
3,877
4,897
(26)
(0.7)
Polymers
1,559
1,658
1,873
(99)
(6.0)
Biochem
206
57
5
149
..
Moulding & Compounding
69
71
81
(2)
(2.8)
Total production
5,685
5,663
6.856
22
0.4
Consumption and losses
(3,106)
(3,247)
(3,923)
141
4.3
Purchases and change in inventories
590
701
819
(111)
(15.8)
Total availability
3,169
3,117
3,752
52
1.7
Intermediates
1,720
1,651
2,158
69
4.2
Polymers
1,255
1,350
1,494
(95)
(7.0)
Oilfield chemicals
14
21
21
(7)
(33.3)
Biochem
116
28
3
88
..
Moulding & Compounding
64
67
76
(3)
(4.5)
Total sales
3,169
3,117
3,752
52
1.7
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Polymers
Revenues in the polymers segment (€1,976 million) decreased by
€176 million or 8.2% from 2023 due to the decrease in sales volumes
(-95 ktons) and in the average sales prices (down by 1.1%).
Sold volumes reported a decrease (down by 3.5%) due to lower
sales of LLDPE (down by 13.4%) and HDPE (down by 17.4%).
These negatives were partially balanced by the increase in
volumes of EVA (up by 23.4%).
As for elastomers, decreases were reported in sales of latex
(down by 24.7%), EPR/EPDM (down by 11.4%) and BR (down by
1.9%), while sales of NBR and SBR increased by 2.6% and 10.1%,
respectively.
Average sales prices increased by 1.3%. The decrease in sales
volumes of styrenics, due to the reduction of demand, particularly
affected GPPS (down by 5.1%) and HIPS (down by 23.5%).
Polymers production (1,559 ktonnes) decreased by 6% from the
2023 due to the lower production of styrenics (down by 10.3%),
elastomers (down by 9.2%) and polyethylene (down by 0.8%).
Oilfield chemicals, Biochem and
Moulding & Compounding
Oilfield chemicals revenues decreased by 19.2% (down by €19
million compared to 2023) as a result of decreasing sales volumes
(down by 33.3%).
Biochem business revenues (€316 million) significantly increased by
€233 million from 2023, mainly thanks to the inclusion of Novamont
Group in the consolidation area starting from October 1, 2023.
Moulding & Compounding business revenues decreased by €22
million from 2023 (down by 8.0%) due to lower sales volumes
(down by 4.5%).
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Environmental activities
~1.9 mln ton
total waste managed
9.3 mln mc
reused water for
industrial and
environmental use
Over
36 mln mc
treated water
Eni Rewind
Eni global
contractor
operating in over
100 sites of
regional and national
priority
~77%
recovered
waste
vs. total recoverable
waste
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The Group’s environmental activities are managed by Eni Rewind,
Eni’s subsidiary engaged in the valorization of land, water and
waste resources, industrial or deriving from reclamation activities,
to give them new life leveraging on the circular economy principles,
through sustainable reclamation and revaluation projects, both in
Italy and abroad. Eni Rewind, through its integrated end-to-end
model, guarantees the supervision of every phase of the process
reclamation and waste management, planning projects from the
early stages to enhance and reuse resources (soils, water, waste),
making them available for new development opportunities.
RECLAMATION ACTIVITIES
Based on the expertise acquired and in collaboration with the
relevant Authorities and stakeholders, Eni Rewind identifies
projects aimed at enhancing and reusing remediated areas,
allowing the environmental recovery of former industrial sites and
the revitalization of the local economy.
Eni Rewind operates in 17 sites of national priority and over 100
sites of regional priority, in recent years it has consolidated its
position as global contractor for all Eni’s subsidiaries.
Among the main remediation projects at its owned sites, notable
interventions include those at: Assemini, Avenza, Brindisi, Crotone,
Gela, Porto Marghera, Porto Torres and Priolo.
In 2024, as part of the Porto Torres site reclamation, specifically in
the “Minciaredda” area, Eni Rewind continued its land reclamation
efforts using the environmental platform. In 2024 the platform
increased treatment volumes (245 ktonnes compared with 179
ktonnes in the previous year).
Following the 100% acquisition of the subsidiary Progetto Nuraghe
Srl, in charge of the operational management of the platform, the
company was merged into Eni Rewind in June.
At the Brindisi site, the certification of the Micorosa area was
completed following the successful physical confinement,
aligned with those realized by the Municipality. In addition, the
removal of anthropogenic accumulations is in the final stages in
the “Protected Oasis” area. Eni Rewind is awaiting the remediation
certification for the outdoor areas.
At the Pieve Vergonte site, in September, was approved the
Variant of the Operational Remediation Project (POB) - Phase 1 by
the Ministry of the Environment and Protection of Land and Sea
(MASE), as part of the diversion activities of the Marmazza river,
following the completion of the second-level authorization process.
Relating to Crotone site, in August 2024, the MASE issued the
Decree which approved the POB Phase II withdrawal, which
authorizes the reclamation of former Pertusola areas (landfill
and inland areas) and former Agriculture by excavation and
disposal of contaminated land, requiring the Region – among
other things – to amend the PAUR (Provvedimento Autorizzatorio
Unico Regionale) of 2019 with the removal of the constraint that
prohibits the use of landfills regional. The local authorities have
requested the cancellation of Decree of the MASE to the TAR
which set the hearing on February 19, 2025. Pending the possible
modification of the PAUR, MASE has authorized the use of D15
depot as temporary (not subject to the PAUR constraint) to allow
the start of excavations. On January 14 and 15, the Region,
followed by the Municipality and by the Province with similar acts,
have filed complaints both Eni Rewind and Sovreco to finalize
the contract for the delivery of hazardous waste to the Crotone
landfill, preventing the start of excavations that had been planned
for January 20.
WATER & WASTE MANAGEMENT
Eni Rewind manages water treatment for the purpose of
remediation activities at Eni sites and owned by Eni Rewind,
through an integrated system for intercepting the aquifer and
conveying groundwater to treatment plants for its purification.
The automation and digitalization project of the treatment plants
continued in 2024 as part of a broader optimization initiative,
with the aim of increasing the competitiveness and sustainability
of the business, the quality of work and process safety. The
main drivers of the project consist in the adoption of optimized
operating models for the management of the plants, already
operational in some sites, leveraging the enhancement of the
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Control Room in San Donato Milanese and the digitization of the
sites connected to it. A further area of digitization is that of the
maintenance process, which has seen the adoption of special
maintenance management software.
Currently, 42 water treatment plants are operational and managed
in Italy, with approximately 36.5 million cubic meters of water
treated in 2024, a slight increase compared to the previous year.
In December 2024, more than 9.3 million cubic meters of water
were reused after treatment, a slight increase compared to 2023
due to the higher volumes emitted due to greater rainfall and
greater withdrawal of water for industrial use.
Eni Rewind is confirmed as Eni’s center of competence for the
management of waste from both its own remediation and
reclamation activities and from Eni’s production sites, for which it
carries out a specialist waste management service.
Eni Rewind managed a total of about 1.9 million tons of waste in
2024, an increase compared to 2023, sending it for recovery or
disposal at external plants. This increase is due to the increase in
liquid waste, managed for disposal at external plants, produced
in the Refining Evolution and Transformation (REVT) area for the
emergency safety measures (MISE) activities of the Sannazzaro
site and the land produced in the REVT area in Livorno, for the
preparatory activities for the construction of the Biorefinery.
The recovery index (ratio of recovered/recoverable waste) was
76.3%, up from 2023 (75%), due to the analytical and granulometric
characteristics found in the waste managed during characterization,
which made it possible to maximize the start of waste recovery.
Hazardous waste amounts to 27% of the total. Compared to the
total volumes managed by Eni Rewind in 2024, the part relating to
Eni customers currently makes up about 80% of the total.
CERTIFICATIONS
Eni Rewind pursues high quality standards as demonstrated by
the maintenance of an HSEQ Integrated Management System
certified for the requirements of ISO 14001:2015 (Environmental
Management System), IS0 45001:2018 (Occupational Health
and Safety Management System) and ISO 9001:2015 (Quality
Management System). The certification is also extended to the
services provided by Eni Rewind at the sites of Eni and Eni’s
companies.
During 2024, the Company, with the aim of seizing further market
expansion opportunities in the public and/or private public sector,
acquired certification for the execution of works falling under
SOA Category OS-23 in Classification VIII – unlimited, relating to
the demolition of works, which increases the categories already
obtained with the same classification for OG-12, relating to
reclamation and environmental protection works and plants, for
OS-14, relating to waste disposal and recovery plants and for OS-
22, relating to drinking water treatment and purification plants.
NON-CAPTIVE INITIATIVES
During 2024, Eni Rewind continued its commitment to consolidate
and expand its non-captive portfolio. In particular progressed the
implementation of the agreements signed with an Italian operator.
Relating to the contract with Kuwait Raffinazione e Chimica SpA
signed in 2023, Eni Rewind, in a Temporary Grouping of Companies
(RTI) with Greenthesis and SIRAI, has been awarded the works for the
reclamation of the area of the former Naples plant (Former Refinery,
Former Chemical and Via Del Pezzo areas). In 2024, in addition to
the conclusion of the executive design, field activities preparatory to
the execution of the interventions were concluded, the debombing
and asbestos removal activities continued, and were started the
excavation activities and the soil treatment with land farming, in
order to build slabs for the storage of materials and the construction
of the thermal desorption plant.
Between May and June, contracts were signed between Invitalia
and the RTI, where Eni Rewind is the leading partner, to carry out
the activities of design, environmental analysis and the supply,
installation and management of the thermal desorption plant
used for the remediation of the soil in Lots I and II of Bagnoli.
In August, published the ranking with the RTI ranked first, in which
Eni Rewind participates as leading partner for environmental
analysis activities, installation of physical diaphragm and
capping, as part of the tender launched by Sogesid relating to the
Preventive Safety and redevelopment of the former Yard Belleli
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area located within the port of Taranto. In addition, in October, the
RTI’s establishment act was signed.
In October, finalized the technical phase of the competitive
dialogue with Acque Novara VCO for the construction and
management in Trecate (NO) of a waste-to-energy plant for
sludge from the wastewater treatment of the ATO 1 and ATO
2 operators of the Region of Piemonte. The Company is still
waiting for feedback from the Contracting Authority and the start
of the new negotiation phase. Eni Rewind, principal of an RTI, will
operate, as co-manager in the operational phase.
In November, Eni Rewind signed a contract with the Municipality of
Rome for environmental activities on a former industrial area (Mira
Lanza factory) located near the Tiber river. The project includes
the integration of the characterization plan, the execution of the
environmental chemical investigation and analysis activities, the
updating of the risk analysis and the drafting of the Operational
Remediation Project.
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Financial Review
Basis of presentation
Effective October 1, 2024, the management has established a new
organizational set-up of the Company articulated on three business
groups:
• “Chief Transition & Financial Officer” focused on maximizing the
value of the transition businesses;
• “Global Natural Resources” designated to maximize margins all
along the oil & gas value chain leveraging on our assets portfolio
and operational excellence;
• “Industrial Transformation” designated to accomplish the
restructuring of the chemicals and downstream businesses.
Based on changes in the attribution of profit responsibilities, Eni’s
reportable segments have been redefined as follows:
• Exploration & Production, which is now integrating results of the
activities of marketing and trading of oil&products to enhance
synergies and to fully capture margins across the value chain;
• Global Gas & LNG Portfolio and Power considering that gas-fired
power generation activities are ancillary to gas supply and trading
activities;
• Enilive and Plenitude engaged in the energy transition, which are
sharing a common strategy of growth and value creation leveraging
cross selling opportunities in the retail space;
• Refining and Chemical focused on driving the restructuring
and industrial transformation of the chemical sector and of the
downstream oil;
• Corporate and other activities engaged in business support
activities, environmental services and the business under
development of CCS and the agribusiness.
The re-segmentation of the adjusted operating profit for the 2023
and 2022 comparative periods is disclosed below:
2022
2023
(€ million)
As published
As restated
As published
As restated
Adjusted operating profit (loss)
20,386
20,386
13,805
13,805
of which:
E&P
16,469
16,631
9,934
10,124
GGP
2,063
3,247
Enilive, Refining and Chemicals
1,929
555
- Enilive
672
728
- Refining
1,511
441
- Chemicals
(254)
(614)
Plenitude & Power
615
681
- Plenitude
345
515
- Power
270
166
GGP & Power
2,333
3,413
- GGP
2,063
3,247
- Power
270
166
Enilive and Plenitude
1,473
1,257
- Enilive
1,128
742
- Plenitude
345
515
Refining and Chemicals
645
(362)
- Refining
899
252
- Chemicals
(254)
(614)
Corporate and other activities
(680)
(686)
(651)
(666)
Impact of unrealized intragroup profit elimination
(10)
(10)
39
39
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Performance of the year
Eni’s 2024 results were reported in a context characterized by
volatility and weakening price scenario for the main commodities:
crude oil prices averaged 81 $/bbl (83 $/bbl in 2023), reflecting
the substantial balance between supply and demand. Worldwide
oil demand slightly rose, setting however a new historical record
thanks to the resilience of economy in the USA and the growth of
some developing Countries, such as India, the effects of which have
been partially mitigated by the slowdown in the European economy
and a more moderate growth of the Chinese economy.
The global gas market was affected by a slowdown in the economic
trend and oversupply; with a 2024-2025 winter season highlighting
signs of tension on supply. In 2024, natural gas prices in the European
hub were on average 35 €/MWh, down by 15% compared to 2023.
The Standard Eni Refining Margin progressively weakened and
reported an average of approximately 5.1 $/barrel (down 40%
from 2023) due to the availability of new capacity in the Middle
East, Africa and Asia with the start-up of mega sized plants,
which are more competitive than European refineries. In addition,
margins were affected by weak demand for gasoil and fuel due
to manufacturing slowdown in Europe and the crisis faced by the
Chinese construction sector, as well as by the stagnant driving
season impacting the products crack spreads.
In the Chemical business, weak market fundamentals were due to
overcapacity, competitive pressure from geographies leveraging
on scale economies and competitive cost structure (China, Middle
East and United States), deepening structural weaknesses in
European chemicals linked to high energy costs and environmental
obligations, as well as consumers awareness on sustainability
issues. The downturn in the European Chemical sector started
in 2023 continued throughout the 2024, exacerbated by the
economic stagnation in the Eurozone and by the fall in the industrial
production.
(€ million)
2024
2023
2022
Change
% Ch.
Sales from operations
88,797
93,717
132,512
(4,920)
(5.2)
Other income and revenues
2,417
1,099
1,175
1,318
..
Operating expenses
(74,544)
(77,221)
(105,497)
2,677
3.5
Other operating income (expense)
(352)
478
(1,736)
(830)
..
Depreciation, depletion, amortization
(7,600)
(7,479)
(7,205)
(121)
(1.6)
Net impairment reversals (losses) of tangible and intangible and right-of-use assets
(2,900)
(1,802)
(1,140)
(1,098)
(60.9)
Write-off of tangible and intangible assets and right-of-use assets
(580)
(535)
(599)
(45)
(8.4)
Operating profit (loss)
5,238
8,257
17,510
(3,019)
(36.6)
Finance income (expense)
(599)
(473)
(925)
(126)
(26.6)
Income (expense) from investments
1,850
2,444
5,464
(594)
(24.3)
Profit (loss) before income taxes
6,489
10,228
22,049
(3,739)
(36.6)
Income taxes
(3,725)
(5,368)
(8,088)
1,643
30.6
Tax rate (%)
57.4
52.5
36.7
Net profit (loss)
2,764
4,860
13,961
(2,096)
(43.1)
attributable to:
- Eni's shareholders
2,624
4,771
13,887
(2,147)
(45.0)
- Non-controlling interest
140
89
74
51
57.3
PROFIT AND LOSS ACCOUNT
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2024
2023
2022
% Ch.
Average price of Brent dated crude oil in U.S. dollars(a)
80.76
82.62
101.19
(2.2)
Average EUR/USD exchange rate(b)
1.082
1.081
1.053
0.1
Average price of Brent dated crude oil in euro
74.64
76.43
96.09
(2.3)
Standard Eni Refining Margin (SERM)(c)
5.1
8.1
8.1
(36.9)
PSV(d)
36
42
122
(14.0)
TTF(d)
34
41
121
(15.5)
(a) Price per barrel. Source: Platt’s Oilgram.
(b) Source: ECB.
(c) In $/BBL FOB Mediterranean Brent dated crude oil. Source: Eni calculations. From January 1, 2024, the benchmark refining margin has been calculated based on a new methodology which considers a revised industrial set-up
in connection with the planned restructuring of the Livorno plant and implemented optimizations of utilities consumption, as well as current trends in crude supplies building in a slate of both high-sulfur and low-sulfur crudes.
(d) €/MWh.
In 2024, net profit attributable to Eni’s shareholders was €2,624
million, a decrease of about €2 billion from 2023, which reflects the 37%
contraction in operating profit, mainly due to lower E&P performance,
impacted by the reduction in crude oil and natural gas prices in all
geographic areas, the decline in the GGP and Power sectors, which
in 2023 benefitted from particularly favorable trading environment,
contractual one-offs and a favorable arbitration outcome, as well as a
continuing industry downturn in the oil downstream sectors, affected
by weak demand and market competitive pressures in an oversupply
environment. These negatives were partially offset by Enilive and
Plenitude performance, despite the challenging market context.
Below the breakdown of the operating profit by business segment:
(€ million)
2024
2023
2022
Change
% Ch.
Exploration & Production
6,715
8,693
16,158
(1,978)
(22.8)
Global Gas & LNG Portfolio and Power
(909)
2,626
4,231
(3,535)
..
Enilive and Plenitude
1,589
(74)
(450)
1,663
..
Refining and Chemicals
(1,681)
(2,121)
(606)
440
20.7
Corporate and other activities
(371)
(948)
(1,961)
577
60.9
Impact of unrealized intragroup profit elimination
(105)
81
138
(186)
..
Operating profit (loss)
5,238
8,257
17,510
(3,019)
(36.6)
Adjusted results and breakdown
of special items
Eni’s management determines adjusted results excluding extraordinary
gains/charges or special items, in order to improve understanding
the underlying operating performance of our businesses.
The main indicator of managerial profitability, adjusted operating
profit on a proforma basis (i.e., including the Eni share of the
main joint ventures/associates), totalled €14.3 billion, reflecting a
decrease of about 20% compared to 2023 (down by €3.5 billion).
This decline is mainly attributable, for about €5 billion, to the negative
performance of exogenous factors, such as energy commodity
prices and margins, particularly gas prices, refining margins,
(€ billion)
2024
2023
Change
of which
Price/Scenario
Volume mix
Costs and
other effects
Proforma adjusted EBIT
14.3
17.8
(3.5)
(5.0)
1
0.5
chemical product margins, biofuels, and to a lesser extent, Brent oil,
as well as the one-off effects of GGP in 2023. The price trend reflects
the general slowdown of economic growth in 2024, characterized by
the weakness of the European manufacturing sector, the cautious
recovery of the Chinese economy, and competitive pressure. These
negatives were partially offset by the increase in energy production
volumes, both in the transition businesses (renewable energy,
biofuels, advanced services) and in traditional businesses (oil and
gas production) to meet market demand, as well as cost savings
(with a total benefit of €1.5 billion).
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(€ million)
2024
2023
2022
Change
% Ch.
Operating profit (loss)
5,238
8,257
17,510
(3,019)
(36.6)
Exclusion of inventory holding (gains) losses
434
562
(564)
Exclusion of special items
4,676
4,986
3,440
Adjusted operating profit (loss)
10,348
13,805
20,386
(3,457)
(25.0)
main JV/Associates adjusted EBIT
3,974
4,004
4,947
Proforma adjusted EBIT
14,322
17,809
25,333
(3,487)
(19.6)
Breakdown by segment:
Exploration & Production
13,022
13,538
21,062
(516)
(3.8)
Global Gas & LNG Portfolio and Power
1,274
3,599
2,333
(2,325)
(64.6)
Enilive and Plenitude
1,143
1,253
1,473
(110)
(8.8)
Refining and Chemicals
(713)
46
1,161
(759)
..
Corporate and other activities
(526)
(666)
(686)
140
21.0
Impact of unrealized intragroup profit elimination and other consolidation adjustments
122
39
(10)
83
Adjusted profit (loss) before taxes
11,125
15,108
21,964
(3,983)
(26.4)
Adjusted net profit (loss)
5,333
8,400
13,356
(3,067)
(36.5)
Net profit (loss)
2,764
4,860
13,961
(2,096)
(43.1)
Net profit (loss) attributable to Eni's shareholders
2,624
4,771
13,887
(2,147)
(45.0)
Exclusion of inventory holding (gains) losses
308
402
(401)
Exclusion of special items
2,325
3,149
(185)
Adjusted net profit (loss) attributable to Eni's shareholders
5,257
8,322
13,301
(3,065)
(36.8)
For a detailed disclosure on businesses performance, see the
paragraph “Results by business segments”.
In 2024, the Group reported an adjusted net profit of €5,257 million, a
decrease of €3,065 million compared to 2023, reflecting the trend in
the Group adjusted Ebit and lower net profit at Eni’s equity-accounted
entities, as well as the increase in the adjusted tax rate due to the
prevailing effect of the upstream high taxation in foreign jurisdictions
and a reduced pre-tax contribution of other sectors generally
operating in OECD jurisdiction with lower tax rates than E&P.
Breakdown of special items
Adjusted net profit includes special items consisting of net gains of
€2,325 million, mainly relating to the following:
• the accounting effect of certain fair-valued commodity derivatives
lacking the formal criteria to be classified as hedges or to be
waived from fair value accounting under the own use exemption
(net charges of €1,056 million);
• impairment losses of upstream business related to write-downs of
oil&gas properties driven by alignment of a disposal group in Alaska
to its fair value and in Congo a reserves revision at another oil&gas
assets that was subsequently aligned to fair value; such assets
review was part of a re-prioritization of investment capital away
from future phases of the development of marginal properties and
instead a focus on the core projects (€1,900 million);
• write-off of an exploration project due to geopolitical constraints;
• other impairments related to assets in Turkmenistan and Italy due
to reserve revisions (around €300 million)
• the write-down of capital expenditures made for compliance and
stay-in-business at certain CGU with expected negative cash flows
in the Refining business (€292 million) and Chemicals (€163 million);
• environmental charges (€31 million) mainly related to the progress
of remediation and decommissioning activities on certain industrial
sites and ancillary facilities net of the signing of a comprehensive
agreement with an Italian operator on a 50-50 sharing of
environmental costs related to several Italian sites, which were
previously carried out or provisioned by Eni at 100%;
• the difference between the value of gas inventories accounted for
under the weighted-average cost method provided by IFRS and
management’s own measure of inventories, which moves forward
at the time of inventory drawdown, the margins captured on
volumes in inventories above normal levels leveraging the seasonal
spread in gas prices net of the effects of the associated commodity
derivatives (gain of €159 million);
• provision for redundancy incentives (€73 million);
• the gains in connection to the divestment of upstream assets
to the business combination with Ithaca Energy (for an overall
amount of approximately €490 million) as well as sale of a 10%
stake in the equity interests of Eni’s interest in Saipem (€166
million).
Below the breakdown of the operating profit by business segments:
91
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
2024
2023
2022
Special items of operating profit (loss)
4,676
4,986
3,440
- impairment losses (impairments reversal), net
2,900
1,802
1,140
- impairment of exploration projects
140
2
- environmental charges
31
648
2,056
- net gains on disposal of assets
(38)
(11)
(41)
- risk provisions
44
39
87
- provision for redundancy incentives
73
158
202
- commodity derivatives
1,056
1,255
(389)
- exchange rate differences and derivatives
258
(16)
149
- other
212
1,111
234
Net finance (income) expense
(155)
30
(127)
of which:
- exchange rate differences and derivatives reclassified to operating profit (loss)
(258)
16
(149)
Net (income) expense from investments
(319)
(698)
(2,834)
of which:
- gain on the SeaCorridor deal
(834)
- gain on the sale of a 10% stake in Saipem
(166)
- net gain on divestment of upstream assets
(373)
- gain on the divestment interest of Vår Energi
(448)
- net gains on the divestment of Angolan assets
(2,542)
Income taxes
(1,941)
(1,180)
(683)
Total special items of net profit (loss)
2,261
3,138
(204)
Attributable to:
- non-controlling interest
(64)
(11)
(19)
- Eni's shareholders
2,325
3,149
(185)
ENI ANNUAL REPORT 2024
92
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
In 2024 sales from operations amounted to €88,797 million, reporting
a decrease of €4,920 million from 2023 (down by 5%), negatively
impacted by the decline in energy commodity prices, partially offset
by higher volumes. This trend reflects the effects induced by the
decline in oil prices (the Brent price decrease from 83 $/bbl in 2023
to 81 $/bbl in 2024, down by 2%) and natural gas spot prices in Italy
and Europe reported a decrease of approximately 15%; as well as
in the refining business, the reduction in petroleum product prices,
negatively impacted by weak demand, excess capacity, and the
Operating expenses for 2024 (€74,544 million) decreased by €2,677
million from 2023, down by 3.5%. Purchases, services and other
(€71,114 million) decreased by 3,7% compared to 2023 mainly
reflecting lower hydrocarbon supply costs (gas under longstructure
competitive pressure from foreign production, along with the effect
of lower processed volumes/product availability.
Other income and revenues amounting to €2,417 million increased
from 2023 and included: (i) €1,048 million relating to the signing of a
comprehensive agreement with an Italian operator of environmental
costs which grants Eni a reimbursement of past costs and future costs
already provisioned in environmental funds and (ii) €194 million related
to the cost recovery share of the right of use assets attributable to the
partners of the joint operations not incorporated, operated by Eni.
term supply contracts and refinery and chemical feedstocks). Payroll
and related costs (€3,262 million) increased from 2023 (up by €126
million, or 4%), mainly due to the increase in average employment,
also following the acquisition of new companies.
REVENUES
TOTAL REVENUES
(€ million)
2024
2023
2022
Change
% Ch.
Exploration & Production
54,440
55,773
61,834
(1,333)
(2.4)
Global Gas & LNG Portfolio and Power
18,876
24,168
58,119
(5,292)
(21.9)
- Global Gas & LNG Portfolio
15,302
20,139
48,586
(4,837)
(24.0)
- Power
3,574
4,029
9,533
( 455)
11,3
- Consolidation adjustments
0
0
0
Enilive and Plenitude
31,301
32,877
39,942
(1,576)
(4.8)
- Enilive
21,139
21,780
26,479
(641)
(2.9)
- Plenitude
10,179
11,102
13,497
(923)
(8.3)
- Consolidation adjustments
(17)
(5)
(34)
Refining and Chemicals
21,210
23,061
26,633
(1,851)
(8.0)
- Refining
17,135
18,989
20,616
(1,854)
(9.8)
- Chemicals
4,266
4,236
6,215
30
0.7
- Consolidation adjustments
(191)
(164)
(198)
Corporate and other activities
1,905
1,830
1,785
75
4.1
Consolidation adjustments
(38,935)
(43,992)
(55,801)
5,057
Sales from operations
88,797
93,717
132,512
(4,920)
(5.2)
Other income and revenues
2,417
1,099
1,175
1,318
..
Total revenues
91,214
94,816
133,687
(3,602)
(3.8)
OPERATING EXPENSES
(€ million)
2024
2023
2022
Change
% Ch.
Purchases, services and other
71,114
73,836
102,529
(2,722)
(3.7)
Impairment losses (impairment reversals) of trade and other receivables, net
168
249
(47)
(81)
(32.5)
Payroll and related costs
3,262
3,136
3,015
126
4.0
74,544
77,221
105,497
(2,677)
(3.5)
93
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Depreciation, depletion and amortization (€7,600 million) increased
by €121 million from 2023 (up by 1.6%) mainly in the Exploration &
Production segment due to start-ups and ramp-up of new projects
partly offset by the appreciation of the USD vs. EUR, as well as in the
Enilive and Plenitude sectors following the start-up of some plants.
Impairment losses (impairment reversals) of tangible and intangible
and right of use assets, net (€2,900 million) disclosed in the section
“special item”, follow the breakdown below:
DEPRECIATION, DEPLETION, AMORTIZATION, IMPAIRMENT LOSSES (IMPAIREMENT REVERSALS) NET
AND WRITE-OFF
(€ million)
2024
2023
2022
Change
% Ch.
Exploration & Production
6,353
6,271
6,130
82
1.3
Global Gas & LNG Portfolio and Power
267
295
268
(28)
(9.5)
- Global Gas & LNG Portfolio
192
233
217
(41)
(17.6)
- Power
75
62
51
13
21.0
Enilive and Plenitude
708
665
552
43
6.5
- Enilive
284
261
245
23
8.8
- Plenitude
424
404
307
20
5.0
Refining and Chemicals
161
142
150
19
13.4
- Refining
33
36
33
(3)
(8.3)
- Chemicals
128
106
117
22
20.8
Corporate and other activities
144
140
138
4
2.9
Impact of unrealized intragroup profit elimination
(33)
(34)
(33)
1
Total depreciation, depletion and amortization
7,600
7,479
7,205
121
1.6
Impairment losses (impairment reversals) of tangible and intangible and right of use
assets, net
2,900
1,802
1,140
1,098
60.9
Depreciation, depletion, amortization, impairments and reversals, net
10,500
9,281
8,345
1,219
13,1
Write-off of tangible and intangible assets and right-of-use assets
580
535
599
45
8.4
11,080
9,816
8,944
1,264
12.9
(€ million)
2024
2023
2022
Change
Exploration & Production
2,203
1,043
432
1,160
Global Gas & LNG Portfolio and Power
101
(38)
(66)
139
Enilive and Plenitude
113
45
60
68
Refining and Chemicals
455
726
674
(271)
Corporate and other activities
28
26
40
2
Impairment losses (impairment reversals) of tangible and intangible and right of
use assets, net
2,900
1,802
1,140
1,098
Write-off of tangible and intangible assets amounted to €580
million and mainly related to the E&P segment concerning the
costs of completed exploration wells pending outcome, which
in year were unsuccessful, particularly related to initiatives in
Egypt, Cyprus, Mozambique, Kazakhstan, Oman, Vietnam, and
United Arab Emirates, as well as exploration mineral rights
in the process of decommissioning due to geopolitical and
environmental factors.
ENI ANNUAL REPORT 2024
94
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
FINANCE INCOME (EXPENSE)
(€ million)
2024
2023
2022
Change
Finance income (expense) related to net borrowings
(656)
(487)
(939)
(169)
- Interest expense on corporate bonds
(827)
(667)
(507)
(160)
- Net income from financial activities held for trading
367
250
(53)
117
- Net income from financial assets measured at fair value through profit or loss
21
34
(2)
(13)
- Interest expense for banks and other financing institutions
(358)
(207)
(128)
(151)
- Interest expense for lease liabilities
(314)
(267)
(315)
(47)
- Interest from banks
294
356
57
(62)
- Interest and other income from receivables and securities for
non-financing operating activities
161
14
9
147
Income (expense) on derivative financial instruments
278
(61)
13
339
- Derivatives on exchange rate
310
(63)
(70)
373
- Derivatives on interest rate
(32)
2
81
(34)
- Options
2
Exchange differences, net
(38)
255
238
(293)
Other finance income (expense)
(405)
(274)
(275)
(131)
- Interest and other income from receivables and securities for financing
operating activities
44
153
128
(109)
- Finance expense due to the passage of time (accretion discount)
(261)
(341)
(199)
80
- Other finance income (expense)
(188)
(86)
(204)
(102)
(821)
(567)
(963)
(254)
Finance expense capitalized
222
94
38
128
(599)
(473)
(925)
(126)
Net finance expenses were €599 million, €126 million higher than in
2023, as a result of: (i) expense related to net borrowings following
the increase in interest expense on corporate bonds (€160 million),
as well as interest expense for banks and other financing institutions
(€151 million), partly offset by the positive change of fair-valued
Net income from investments amounted to €1,850 million and related to:
• gains due to the share of results from equity-accounted investments
(€866 million) mainly relating to the JV Vår Energi, Azule Energy
and ADNOC R&T;
• dividends of €227 million paid by minor investments in certain
entities which were designated at fair value through OCI under IFRS
9 except for dividends which are recorded through profit. These
derivatives due to the reduction in prices (€117 million); and (ii) the
negative change in exchange rate differences (€293 million), more
than offset by the positive change in million fair-valued currency
derivatives (up by €373 million) lacking the formal criteria to be
designated as hedges under IFRS 9.
entities mainly comprised Nigeria LNG (€166 million) and Saudi
European Petrochemical Co. (€22 million);
• gains in connection to the divestment of assets (€562 million)
mainly related to the upstream segment and to the sale of a 10%
stake in the equity interests of Eni’s interest in Saipem;
• other net gains mainly related to the business combination with
Ithaca Energy.
NET INCOME (EXPENSE) FROM INVESTMENTS
2024
(€ million)
Exploration
& Production
Global Gas &
LNG Portfolio
and Power
Enilive and
Plenitude
Refining
and
Chemicals
Corporate
and other
activities
Group
Share of gains (losses) from equity-accounted investments
904
44
(90)
73
(65)
866
Dividends
197
1
5
23
1
227
Net gains (losses) on disposals
370
1
7
184
562
Other income (expense), net
186
(12)
12
4
5
195
1,657
33
(72)
107
125
1,850
95
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
2024
2023
2022
Change
Share of gains (losses) from equity-accounted investments
866
1,336
1,841
(470)
Dividends
227
255
351
(28)
Net gains (losses) on disposals
562
430
483
132
Other income (expense), net
195
423
2,789
(228)
Income (expense) from investments
1,850
2,444
5,464
(594)
In 2024, income taxes decreased by €1,643 million to €3,725 million
and included €1 billion in revaluation of deferred tax assets, reflecting
the improved profitability prospects of the Italian subsidiaries,
primarily Plenitude and Enilive. On adjusted basis, tax rate was about
52% (44% in 2023), increasing due to the prevailing effect of the
upstream high taxation in foreign jurisdictions and a reduced pre-tax
contribution of other sectors generally operating in OECD jurisdiction
with lower tax rates than E&P.
RESULTS BY BUSINESS SEGMENTS1
INCOME TAXES
EXPLORATION & PRODUCTION
(€ million)
2024
2023
2022
Change
% Ch.
Proforma adjusted EBIT
13,022
13,538
21,062
(516)
(3.8)
of which: main JV/Associates
3,802
3,414
4,431
388
11
Operating profit (loss) of subsidiaries
6,715
8,693
16,158
(1,978)
(22.8)
Exclusion of special items:
2,505
1,431
473
- environmental charges
9
81
30
- impairment losses (impairment reversals), net
2,203
1,043
432
- impairment of exploration projects
140
2
- net gains on disposal of assets
(25)
2
(27)
- provision for redundancy incentives
21
42
36
- risk provisions
9
7
34
- commodity derivatives
(1)
15
15
- exchange rate differences and derivatives
22
73
(104)
- other
127
168
55
Adjusted operating profit (loss) of subsidiaries
9,220
10,124
16,631
(904)
(8.9)
Adjusted profit (loss) before taxes
10,247
11,239
18,393
(992)
(8.8)
Tax rate (%)
53.4
49.7
40.4
3.7
Adjusted net profit (loss)
4,777
5,648
10,957
(871)
(15.4)
Results also include:
Exploration expenses:
741
687
605
54
7.9
‐ prospecting, geological and geophysical expenses
186
205
220
(19)
(9.3)
‐ write‐off of unsuccessful wells(a)
555
482
385
73
15.1
Average realizations
Liquids(b)
($/bbl)
74.09
75.28
92.49
(1.44)
(1.8)
Natural gas
($/kcf)
273.02
287.49
366.6
(14.47)
(5.0)
Hydrocarbons
($/boe)
57.56
59.35
73.98
(1.79)
(3.0)
(a) Also includes write‐off of unproved exploration rights, if any, related to projects with negative outcome.
(b) Includes condensates.
(1) Other alternative performance indicators disclosed are accompanied by explanatory notes and tables in line with the guidance provided by ESMA guidelines on alternative performance
measures (ESMA/2015/1415), published on October 5, 2015. For further information, see the section “Alternative performance measures” of this Annual Report at subsequent pages.
The table below sets forth a breakdown of income/expense from investments:
ENI ANNUAL REPORT 2024
96
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
In 2024, Exploration & Production reported a proforma adjusted
EBIT of €13,022 million, down by approximately 4% versus 2023, due
to lower realizations affected by a decrease in crude oil prices in USD
(the marker Brent was down by 2% compared to 2023) and by lower
natural gas realizations (down by 5% compared to 2023), partly offset
by production growth and efficiency gains. The segment reported
an adjusted net profit of €4,777 million, down by 15% compared to
2023, mainly due to lower underlying performance, partly offset by
higher contribution from JVs and associates.
Tax rate increased by 4 percentage points compared to 2023
reflecting the current mix of geographies weighted down by
countries with above average rates, as well as higher non-deductible
expenses.
GLOBAL GAS & LNG PORTFOLIO E POWER
(€ million)
2024
2023
2022
Change
% Ch.
Proforma adjusted EBIT
1,274
3,599
2,333
(2,325)
(64.6)
- GGP
1,138
3,433
2,063
(2,295)
(66.9)
of which: main JV/Associates
39
186
(147)
(79.0)
- Power
136
166
270
(30)
(18.1)
Operating profit (loss) of subsidiaries
(909)
2,626
4,231
(3,535)
..
Exclusion of special items:
2,144
787
(1,898)
- impairment losses (impairment reversals), net
101
(38)
(66)
- environmental charges
(3)
1
2
- provision for redundancy incentives
1
6
6
- commodity derivatives
1,740
99
(1,981)
- exchange rate differences and derivatives
228
(105)
239
- other
77
824
(98)
Adjusted operating profit (loss) of subsidiaries
1,235
3,413
2,333
(2,178)
(63.8)
Adjusted profit (loss) before taxes
1,272
3,463
2,320
(2,191)
(63.3)
Adjusted net profit (loss)
787
2,494
1,176
(1,707)
(68.4)
In 2024, the Global Gas & LNG Portfolio segment achieved a proforma
adjusted EBIT of €1,138 million. The result was down by 67% from 2023,
which benefitted from one-off effects linked to the outcomes of
negotiations/settlements as well as a very favourable trading environment.
The Power generation business reported a proforma adjusted EBIT of
€136 million, lower than €30 million compared to 2023, mainly due to
higher market scenario.
The Global Gas & LNG Portfolio and Power segment achieved an
adjusted net profit of €787 million, compared to a profit of €2,494
million in 2023.
97
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENILIVE AND PLENITUDE
(€ million)
2024
2023
2022
Change
% Ch.
Proforma adjusted EBITDA
1,910
1,940
2,045
(30)
(1.5)
- Enilive
852
1,013
1,373
(161)
(15.9)
- Plenitude
1,058
927
672
131
14.1
Proforma adjusted EBIT
1,143
1,253
1,473
(110)
(8.8)
- Enilive
539
738
1,128
(199)
(27.0)
of which: main JV/Associates
(32)
(4)
(28)
..
- Plenitude
604
515
345
89
17.3
of which: main JV/Associates
(12)
Operating profit (loss) of subsidiaries
1,589
(74)
(450)
1,663
..
Exclusion of inventory holding (gains) losses
112
47
(196)
Exclusion of special items:
(514)
1,284
2,119
- environmental charges
38
36
385
- impairment losses (impairment reversals), net
113
45
60
- net gains on disposal of assets
(1)
(2)
- risk provisions
2
8
- provision for redundancy incentives
(2)
22
80
- commodity derivatives
(682)
1,142
1,588
- exchange rate differences and derivatives
(1)
2
(1)
- other
19
29
9
Adjusted operating profit (loss) of subsidiaries
1,187
1,257
1,473
(70)
(5.6)
Adjusted profit (loss) before taxes
1,076
1,186
1,445
(110)
(9.3)
Tax rate (%)
32.7
31.8
25.8
0.9
Adjusted net profit (loss)
724
809
1,072
(85)
(10.5)
In 2024, Enilive reported a proforma adjusted EBIT of €539
million, down by 27% compared to 2023. The biofuels business
was negatively affected by deteriorated margins, at historic lows,
impacted by oversupplies pressuring spot HVO prices in the EU and
lower RIN in North America. That negative trend was partly offset
by a positive performance of marketing activities at our advanced
network of service stations.
The business reported a proforma adjusted EBITDA of €852 million,
compared to €1,013 million in 2023.
In 2024, Plenitude reported a proforma adjusted EBIT of €604
million, up by 17% compared to 2023, achieved thanks to strong
results on retail business and the ramp-up in renewable installed
capacity and related production volumes, confirming our valuable
integrated business model.
Proforma adjusted EBITDA amounted to €1,058 million compared
to €927 million in 2023.
The Enilive and Plenitude segment reported an adjusted net profit
of €724 million, compared to a profit of €809 million in 2023.
ENI ANNUAL REPORT 2024
98
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
In 2024, the Refining business delivered a proforma adjusted Ebit
of €101 million, compared to a profit of €660 million in 2023 due to
weaker refining margins and lower throughputs.
In 2024, the Chemicals business reported a proforma adjusted
operating loss of €814 million, an increase compared to the loss of
€614 million incurred in 2023.
This result reflected the decline in demand across all business
The results of Corporate and Other Activities mainly include costs
of Eni’s headquarters net of services charged to operational
companies for the provision of general purposes services,
administration,
finance,
information
technology,
human
resources management, legal affairs, international affairs, as well
as operational costs of decommissioning activities pertaining
segments, driven by macro headwinds and comparatively higher
production costs in Europe vs other geographies, which reduced the
competitiveness of Versalis productions with respect to the US and
Asian players.
The Refining and Chemical segment reported a net adjusted loss
of €449 million, compared to a net adjusted profit of €36 million
reported in 2023.
to certain businesses which Eni exited, divested or shut down in
past years, net of the margins of captive subsidiaries providing
specialized services to the business (insurance, financial,
recruitment). Furthermore, the results of CCUS and Agribusiness,
under development, have been included in the “Corporate and
other activities” reporting segment.
CORPORATE AND OTHER ACTIVITIES
(€ million)
2024
2023
2022
Change
% Ch.
Proforma adjusted EBIT
(526)
(666)
(686)
140
21.0
of which: main JV/Associates
Operating profit (loss) of subsidiaries
(371)
(948)
(1,961)
577
60.9
Exclusion of special items:
(155)
282
1,275
- environmental charges
(190)
193
1,062
- impairment losses (impairment reversals), net
28
26
40
- net gains on disposal of assets
(10)
(4)
(5)
- risk provisions
13
1
- provision for redundancy incentives
34
57
52
- exchange rate differences and derivatives
3
3
(3)
- other
(20)
(6)
128
Adjusted operating profit (loss)
(526)
(666)
(686)
140
21.0
Adjusted profit (loss) before taxes
(837)
(866)
(1,451)
29
3.3
Adjusted net profit (loss)
(586)
(613)
(776)
27
4
REFINING AND CHEMICALS
(€ million)
2024
2023
2022
Change
% Ch.
Proforma adjusted EBIT
(713)
46
1,161
(759)
..
- Refining
101
660
1,415
(559)
(84.7)
of which: main JV/Associates
177
408
516
(231)
(56.6)
- Chemicals
(814)
(614)
(254)
(200)
(32.6)
Operating profit (loss) of subsidiaries
(1,681)
(2,121)
(606)
440
20.7
Exclusion of inventory holding (gains) losses
95
557
(220)
Exclusion of special items:
696
1,202
1,471
- environmental charges
177
337
577
- impairment losses (impairment reversals), net
455
726
674
- net gains on disposal of assets
(2)
(9)
(7)
- risk provisions
33
11
52
- provision for redundancy incentives
19
31
28
- commodity derivatives
(1)
(1)
(11)
- exchange rate differences and derivatives
6
11
18
- other
9
96
140
Adjusted operating profit (loss)
(890)
(362)
645
(528)
..
Adjusted profit (loss) before taxes
(755)
47
1,267
(802)
..
Tax rate (%)
..
23.4
26.5
Adjusted net profit (loss)
(449)
36
931
(485)
..
99
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The summarized Group balance sheet aggregates the amount of
assets and liabilities derived from the statutory balance sheet in
accordance with functional criteria which considers the enterprise
conventionally divided into the three fundamental areas focusing
on resource investments, operations and financing. Management
believes that this summarized group balance sheet is useful
SUMMARIZED GROUP BALANCE SHEET(a)
information in assisting investors to assess Eni’s capital structure
and to analyze its sources of funds and investments in fixed assets
and working capital. Management uses the summarized group
balance sheet to calculate key ratios such as the return on invested
capital (adjusted ROACE) and the financial soundness/equilibrium
(gearing and leverage).
(€ million)
December 31, 2024
December 31, 2023
Change
Fixed assets
Property, plant and equipment
59,864
56,299
3,565
Right of use
5,822
4,834
988
Intangible assets
6,434
6,379
55
Inventories - Compulsory stock
1,595
1,576
19
Equity-accounted investments and other investments
15,545
13,886
1,659
Receivables and securities held for operating purposes
1,107
2,335
(1,228)
Net payables related to capital expenditure
(1,364)
(2,031)
667
89,003
83,278
5,725
Net working capital
Inventories
6,259
6,186
73
Trade receivables
12,562
13,184
(622)
Trade payables
(15,170)
(14,231)
(939)
Net tax assets (liabilities)
144
(2,112)
2,256
Provisions
(15,774)
(15,533)
(241)
Other current assets and liabilities
(2,292)
(892)
(1,400)
(14,271)
(13,398)
(873)
Provisions for employee benefits
(681)
(748)
67
Assets held for sale including related liabilities
225
747
(522)
CAPITAL EMPLOYED, NET
74,276
69,879
4,397
Eni shareholders' equity
52,785
53,184
(399)
Non-controlling interest
2,863
460
2,403
Shareholders’ equity
55,648
53,644
2,004
Net borrowings before lease liabilities ex IFRS 16
12,175
10,899
1,276
Lease liabilities
6,453
5,336
1,117
- of which Eni working interest
5,837
4,856
981
- of which Joint operators' working interest
616
480
136
Net borrowings post lease liabilities ex IFRS 16
18,628
16,235
2,393
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
74,276
69,879
4,397
(a) For a reconciliation to the statutory statement of cash flow see the paragraph “Reconciliation of Summarized Group Balance Sheet and Statement of Cash Flows to Statutory Schemes”.
As of December 31, 2024, fixed assets (€89,003 million) increased
by €5,725 million from December 31, 2023, due to capital
expenditures, the acquisition of the Neptune Energy Group as well
as positive exchange rate translation differences (the period-end
exchange rate of EUR vs. USD was 1.039, down 6% compared to
1.105 as of December 31, 2023), thus increasing the euro book
values of dollar-denominated assets. These positives were offset
by the divestment of E&P assets in Nigeria and Alaska and other
non-strategic assets, as well as DD&A and impairment charges and
exploration well write-offs.
Net working capital (€14,271 million) decreased by €873 million
from December 31, 2023. The increase of other current liabilities net
(€1,400 million) due to fair value changes of derivative instruments
and the increase of the balance between trade receivables and trade
payables (down by €1,561 million) were partly offset by decreasing
in net tax payables.
ENI ANNUAL REPORT 2024
100
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
2024
2023
Net profit (loss)
2,764
4,860
Items that are not reclassified to profit or loss in later periods
67
22
Remeasurements of defined benefit plans
8
(31)
Change in the fair value of minor investments with effects to other comprehensive income
62
45
Share of other comprehensive income on equity accounted investments
1
(2)
Taxation
(4)
10
Items that may be reclassified to profit or loss in later periods
2,348
(1,573)
Currency translation differences
3,066
(2,010)
Change in the fair value of cash flow hedging derivatives
(912)
541
Share of "Other comprehensive income" on equity accounted investments
(69)
54
Taxation
263
(158)
Total other items of comprehensive income (loss)
2,415
(1,551)
Total comprehensive income (loss)
5,179
3,309
attributable to:
- Eni's shareholders
4,962
3,220
- Non-controlling interest
217
89
(€ million)
Shareholders' equity at January 1, 2023
55,230
Total comprehensive income (loss)
3,309
Dividends distributed to Eni's shareholders
(3,005)
Dividends distributed by consolidated subsidiaries
(36)
Coupon of perpetual subordinated bonds
(138)
Buy-back program
(1,837)
Issue of convertible bond
79
Taxes on hybrid bond coupon
40
Other changes
2
Total changes
(1,586)
Shareholders' equity at December 31, 2023
53,644
attributable to:
- Eni's shareholders
53,184
- Non-controlling interest
460
Shareholders' equity at January 1, 2024
53,644
Total comprehensive income (loss)
5,179
Dividends distributed to Eni's shareholders
(3,067)
Dividends distributed by consolidated subsidiaries
(50)
Issue of convertible hybrid bond
1,848
Coupon of perpetual subordinated bonds
(138)
Put option on Plenitude
(387)
Buy-back program
(2,003)
Plenitude operation - disposal to EIP
588
Costs for the issue of perpetual hybrid bonds
(21)
Taxes on hybrid bond coupon
36
Other changes
19
Total changes
2,004
Shareholders' equity at December 31, 2024
55,648
attributable to:
- Eni's shareholders
52,785
- Non-controlling interest
2,863
COMPREHENSIVE INCOME
CHANGES IN SHAREHOLDERS’ EQUITY
Shareholders’ equity (€55,648 million) increased by €2,004 million
from January 1, 2024, due to the net profit for the year (€2,764
million), the issuance of a hybrid bond by a Group subsidiary
(€1,848 million) for the financing of an investment project, classified
under non-controlling interest, positive foreign currency translation
differences (about €3,066 million) reflecting the appreciation of
the USD vs. EUR, offset by shareholders remuneration of €5 billion
(dividend distribution and share buy-backs).
101
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
December 31, 2024
December 31, 2023
Change
Total finance debt
30,348
28,729
1,619
- Short-term debt
8,820
7,013
1,807
- Long-term debt
21,528
21,716
(188)
Cash and cash equivalents
(8,183)
(10,193)
2,010
Financial assets measured at fair value through profit or loss
(6,797)
(6,782)
(15)
Financing receivables held for non-operating purposes(a)
(3,193)
(855)
(2,338)
Net borrowings before lease liabilities ex IFRS 16
12,175
10,899
1,276
Lease Liabilities
6,453
5,336
1,117
- of which Eni working interest
5,837
4,856
981
- of which Joint operators' working interest
616
480
136
Net borrowings post lease liabilities ex IFRS 16
18,628
16,235
2,393
Shareholders' equity including non-controlling interest
55,648
53,644
2,004
Leverage before lease liability ex IFRS 16
0.22
0.20
(0.02)
Leverage after lease liability ex IFRS 16
0.33
0.30
(0.03)
(a) From January 1, 2024, as part of the Eni satellite model, which envisages increasing autonomy for unconsolidated companies, the financing granted to certain joint ventures of €1,339, previously classified as fixed capital, has
been reclassified under the item “long-term financial receivables,” given the exposure to the sole credit risk of the counterparty.
Leverage is a measure used by management to assess the Company’s
level of indebtedness. It is calculated as a ratio of net borrowings which
is calculated by excluding cash and cash equivalents and certain very
liquid assets from financial debt to shareholders’ equity, including
NET BORROWINGS AND LEVERAGE
non-controlling interest. Management periodically reviews leverage in
order to assess the soundness and efficiency of the Group balance
sheet in terms of optimal mix between net borrowings and net equity,
and to carry out benchmark analysis with industry standards.
As of December 31, 2024, net borrowings were €18,628 million
increasing by €2,393 million from December 31, 2023. Total finance
debt of €30,348 million consisted of €8,820 million of short-term
debt (including the portion of long-term debt due within twelve
months of €4,582 million) and €21,528 million of long-term debt.
When excluding the lease liabilities, net borrowings were re-
determined at €12,175 million increasing by €1,276 million from
December 31, 2023.
Leverage2 – the ratio of the borrowings to total equity – was 0.22
at December 31, 2024.
(2) Other alternative performance indicators disclosed are accompanied by explanatory notes and tables in line with guidance provided by ESMA guidelines on alternative performance
measures (ESMA/2015/1415), published on October 5, 2015. For further information, see the section “Alternative performance measures” of this Annual Report at subsequent pages.
ENI ANNUAL REPORT 2024
102
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
SUMMARIZED GROUP CASH FLOW STATEMENT
Eni’s Summarized Group Cash Flow Statement derives from
the statutory statement of cash flows. It enables investors to
understand the connection existing between changes in cash and
cash equivalents (deriving from the statutory cash flows statement)
and in net borrowings (deriving from the summarized cash flow
statement) that occurred in the reporting period. The measure which
links the two statements is represented by the “free cash flow” which
is calculated as difference between the cash flow generated from
operations and the net cash used in investing activities. Starting from
free cash flow it is possible to determine either: (i) changes in cash
and cash equivalents for the period by adding/deducting cash flows
relating to financing debts/receivables (issuance/repayment of debt
and receivables related to financing activities), shareholders’ equity
(dividends paid, net repurchase of own shares, capital issuance)
and the effect of changes in consolidation and of exchange rate
differences; and (ii) change in net borrowings for the period by
adding/deducting cash flows relating to shareholders’ equity and the
effect of changes in consolidation and of exchange rate differences.
(€ million)
2024
2023
2022
Change
Net profit (loss)
2,764
4,860
13,961
(2,096)
Adjustments to reconcile net profit (loss) to net cash provided by operating activities:
- depreciation, depletion and amortization and other non monetary items
9,951
7,781
4,369
2,170
- net gains on disposal of assets
(601)
(441)
(524)
(160)
- dividends, interests, taxes and other changes
4,246
5,596
8,611
(1,350)
Changes in working capital related to operations
1,286
1,811
(1,279)
(525)
Dividends received by investments
1,946
2,255
1,545
(309)
Taxes paid
(5,826)
(6,283)
(8,488)
457
Interests (paid) received
(674)
(460)
(735)
(214)
Net cash provided by operating activities
13,092
15,119
17,460
(2,027)
Capital expenditure
(8,485)
(9,215)
(8,056)
730
Investments and purchase of consolidated subsidiaries and businesses
(2,593)
(2,592)
(3,311)
(1)
Disposals of consolidated subsidiaries, businesses, tangible and intangible assets and
investments
2,788
596
1,202
2,192
Other cash flow related to investing activities
(996)
(348)
2,361
(648)
Free cash flow
3,806
3,560
9,656
246
Net cash inflow (outflow) related to financial activities
(531)
2,194
786
(2,725)
Changes in short and long-term financial debt
(1,293)
315
(2,569)
(1,608)
Repayment of lease liabilities
(1,205)
(963)
(994)
(242)
Dividends paid and changes in non-controlling interests and reserves
(4,522)
(4,882)
(4,841)
360
Net issue (repayment) of perpetual hybrid bond
1,640
(138)
(138)
1,778
Effect of changes in consolidation and exchange differences of cash and cash equivalent
83
(62)
16
145
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENT
(2,022)
24
1,916
(2,046)
Adjusted net cash before changes in working capital at replacement cost
13,590
16,498
20,380
(2,908)
CHANGE IN NET BORROWINGS
(€ million)
2024
2023
2022
Change
Free cash flow
3,806
3,560
9,656
246
Repayment of lease liabilities
(1,205)
(963)
(994)
(242)
Net borrowings of acquired companies
(631)
(234)
(512)
(397)
Net borrowings of divested companies
(155)
142
155
Exchange differences on net borrowings and other changes
(364)
(1,061)
(1,352)
697
Dividends paid and changes in non-controlling interest and reserves
(4,522)
(4,882)
(4,841)
360
Net issue (repayment) of perpetual hybrid bond
1,640
(138)
(138)
1,778
CHANGE IN NET BORROWINGS BEFORE LEASE LIABILITIES
(1,276)
(3,873)
1,961
2,597
Repayment of lease liabilities
1,205
963
994
242
Inception of new leases and other changes
(2,322)
(1,348)
(608)
(974)
Change in lease liabilities
(1,117)
(385)
386
(732)
CHANGE IN NET BORROWINGS AFTER LEASE LIABILITIES
(2,393)
(4,258)
2,347
1,865
(a) For a reconciliation to the statutory statement of cash flow see the paragraph “Reconciliation of Summarized Group Balance Sheet and Statement of Cash Flows to Statutory Schemes”.
SUMMARIZED GROUP CASH FLOW STATEMENT(a)
103
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Net cash provided by operating activities in the 2024 amounted to
€13,092 million, a decrease of €2,027 million compared to 2023. It
included €1,946 million of dividends from investments, mainly Azule
Energy, Vår Energi and Adnoc R&T.
Cash flow from operating activities before changes in working
capital at replacement cost was €13,590 million in 2024 and was
net of the following items: inventory holding gains or losses relating
to oil and products, the reversing timing difference between gas
inventories accounted at weighted average cost and management’s
own measure of performance leveraging inventories to optimize
margin, the fair value of commodity derivatives lacking the formal
criteria to be designated as hedges or prorated on an accrual basis,
as well as other items including the payment of a past tax debt
related to an Italian windfall tax for 2023.
Net financial borrowings before IFRS 16 increased by around €1.3
billion as the main cash inflows of adjusted operating cash flow
(€13.6 billion), issuance of a hybrid bond (€1.8 billion) and net cash
inflow (€0.2 billion) related to divestments and acquisitions were
more than offset by adjusted working capital needs (around €0.4
billion), capex requirements of €8.8 billion, dividend payments to
Eni’s shareholders and share repurchases of €5.1 billion (€2 billion
of share repurchases and €3.1 billion of dividends relating to the
third and fourth instalments of the 2023 dividend, and the first and
second tranches of the 2024 dividend), payables due to suppliers
in connection with expenditures to purchase plant and equipment
(€2.2 billion) classified as finance debt due to deferral of payments
terms, as well as the payment of lease liabilities and hybrid bond
interest and other changes (€0.4 billion).
A reconciliation of cash flow from operations before changes
in working capital at replacement cost to net cash provided
by operating activities for the full year of 2024, 2023 and 2022 is
provided below:
(€ million)
2024
2023
2022
Change
Net cash provided by operating activities
13,092
15,119
17,460
(2,027)
Changes in working capital related to operations
(1,286)
(1,811)
1,279
525
Exclusion of commodity derivatives
1,056
1,255
(389)
(199)
Exclusion of inventory holding (gains) losses
434
562
(564)
(128)
Provisions for extraordinary credit losses and other charges
294
1,373
2,594
(1,079)
Adjusted net cash before changes in working capital at replacement cost
13,590
16,498
20,380
(2,908)
CAPITAL EXPENDITURE AND INVESTMENTS
(€ million)
2024
2023
2022
Change
% Ch.
Exploration & Production
6,055
7,135
6,252
(1,080)
(15.1)
- acquisition of proved and unproved properties
260
- exploration
433
784
708
(351)
(44.8)
- oil and gas development
5,564
6,293
5,238
(729)
(11.6)
- other expenditure
58
58
46
Global Gas & LNG Portfolio and Power
110
119
173
(9)
(7.6)
- Global Gas & LNG Portfolio
20
16
23
4
25.0
- Power
90
103
150
(13)
(12.6)
Enilive and Plenitude
1,303
1,064
754
239
22.5
- Enilive
416
428
273
(12)
(2.8)
- Plenitude
887
636
481
251
39.5
Refining and Chemicals
632
556
605
76
13.7
- Refining
422
369
350
53
14.4
- Chemicals
210
187
255
23
12.3
Corporate and other activities
408
360
276
48
13.3
Impact of unrealized intragroup profit elimination
(23)
(19)
(4)
(21.1)
Capital expenditure(a)
8,485
9,215
8,056
(730)
(7.9)
Investments and purchase of consolidated subsidiaries and businesses
2,593
2,592
3,311
1
0.0
Total capex and investments and purchase of consolidated subsidiaries and
businesses
11,078
11,807
11,367
(729)
(6.2)
(a) Expenditures to purchase plant and equipment whose payment terms matched classification as financing payables, have been recognized among other changes of the reclassified cash flow statements and are not reported in
the table above (€ 2,172 million in 2024).
ENI ANNUAL REPORT 2024
104
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Cash outflows for acquisitions net of divestments were €11,078
million, down by 6.2% compared to 2023. Investments and purchase
of consolidated subsidiaries and businesses amounted to €2,593
million and mainly related to the acquisition of the upstream operator
Neptune Energy, the development of renewable energy capacity by
Plenitude, a service stations network in Spain, partly offset by the
sale of E&P assets in Nigeria and onshore Alaska, 10% of Saipem’s
stake, production licenses in Congo, as well as a capital contribution
to Plenitude of approximately €0.6 billion due to the finalization of the
agreement with the EIP fund, which acquired a minority stake of 7.6%.
In 2024, capital expenditure amounted to €8,485 million (€9,215
million in 2023), decreasing by 7.9% and mainly relating to:
• the development of hydrocarbon fields (€6,055 million) particularly
in Côte d’Ivoire, Congo, Italy, Egypt, Iraq, Libya, Indonesia, Algeria,
Kazakhstan and the United Arab Emirates;
• in the Enilive and Plenitude segment, Plenitude’s capital expenditure
(€887 million) mainly related to development activities in the
renewable business, acquisition of new customers, as well as
development of electric vehicles network, while Enilive capital
expenditure (€416 million) were related to marketing activity, net
development investments and food and non-oil activities as well
as for regulation compliance and stay-in-business initiatives in the
retail network in Italy and in the rest of Europe, biorefineries and
biomethane activities, as well as HSE initiatives;
• in the Refining and Chemicals segment mainly related to traditional
refining in Italy (€422 million) relating to the new Livorno biorefinery,
maintenance and stay-in-business and in the chemical business
(€210 million) to circular economy and asset integrity;
• the Corporate’s capital expenditure was mainly addressed to the
CCUS and agro-biofeedstock projects (€184 million).
105
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Management evaluates underlying business performance on the
basis of Non-GAAP financial measures, which are not provided by IFRS
(“Alternative performance measures”), such as adjusted operating
profit, adjusted net profit, which are arrived at by excluding from
reported results certain gains and losses, defined special items, which
include, among others, asset impairments, including impairments of
deferred tax assets, gains on disposals, risk provisions, restructuring
charges, the accounting effect of fair-valued derivatives used to
hedge exposure to the commodity, exchange rate and interest rate
risks, which lack the formal criteria to be accounted as hedges, and
analogously evaluation effects of assets and liabilities utilized in a
relation of natural hedge of the above mentioned market risks.
Furthermore, in determining the business segments’ adjusted results,
finance charges on finance debt and interest income are excluded
(see below). In determining adjusted results, inventory holding gains
or losses are excluded from base business performance, which is the
difference between the cost of sales of the volumes sold in the period
based on the cost of supplies of the same period and the cost of
sales of the volumes sold calculated using the weighted average cost
method of inventory accounting as required by IFRS, except in those
business segments where inventories are utilized as a lever to optimize
margins. Finally, the same special charges/gains are excluded from
the Eni’s share of results at JVs and other equity accounted entities,
including any profit/loss on inventory holding.
Management is disclosing Non-GAAP measures of performance to
facilitate a comparison of base business performance across periods,
and to allow financial analysts to evaluate Eni’s trading performance
on the basis of their forecasting models.
Non-GAAP financial measures should be read together with
information determined by applying IFRS and do not stand in for them.
Other companies may adopt different methodologies to determine
Non-GAAP measures.
Follows the description of the main alternative performance measures
adopted by Eni. The measures reported below refer to the performance
of the reporting periods disclosed in this press release:
Adjusted operating and net profit - Adjusted operating and net
profit are determined by excluding inventory holding gains or losses,
special items and, in determining the business segments’ adjusted
results, finance charges on finance debt and interest income. The
adjusted operating profit of each business segment reports gains
and losses on derivative financial instruments entered into to manage
exposure to movements in foreign currency exchange rates, which
impact industrial margins and translation of commercial payables and
receivables. Accordingly, also currency translation effects recorded
through profit and loss are reported within business segments’ adjusted
operating profit. The taxation effect of the items excluded from adjusted
operating or net profit is determined based on the specific rate of taxes
applicable to each of them. Finance charges or income related to net
borrowings excluded from the adjusted net profit of business segments
are comprised of interest charges on finance debt and interest income
earned on cash and cash equivalents not related to operations.
Therefore, the adjusted net profit of business segments includes finance
charges or income deriving from certain segment operated assets, i.e.,
interest income on certain receivable financing and securities related
to operations and finance charge pertaining to the accretion of certain
provisions recorded on a discounted basis (as in the case of the asset
retirement obligations in the Exploration & Production segment).
Inventory holding gain or loss - This is the difference between the
cost of sales of the volumes sold in the period based on the cost of
supplies of the same period and the cost of sales of the volumes
sold calculated using the weighted average cost method of inventory
accounting as required by IFRS.
Special items - These include certain significant income or charges
pertaining to either: (i) infrequent or unusual events and transactions,
being identified as non-recurring items under such circumstances;
(ii) certain events or transactions which are not considered to be
representative of the ordinary course of business, as in the case of
environmental provisions, restructuring charges, asset impairments
or write ups and gains or losses on divestments even though they
occurred in past periods or are likely to occur in future ones. Exchange
rate differences and derivatives relating to industrial activities and
commercial payables and receivables, particularly exchange rate
derivatives to manage commodity pricing formulas which are quoted
in a currency other than the functional currency are reclassified in
operating profit with a corresponding adjustment to net finance charges,
notwithstanding the handling of foreign currency exchange risks is made
centrally by netting off naturally-occurring opposite positions and then
dealing with any residual risk exposure in the derivative market. Finally,
special items include the accounting effects of fair-valued commodity
derivatives relating to commercial exposures, in addition to those which
lack the criteria to be designed as hedges, also those which are not
eligible for the own use exemption, including the ineffective portion of
cash flow hedges, as well as the accounting effects of commodity and
exchange rates derivatives whenever it is deemed that the underlying
transaction is expected to occur in future reporting periods.
Correspondently, special charges/gains also include the evaluation
effects relating to assets/liabilities utilized in a natural hedge relation
to offset a market risk, as in the case of accrued currency differences
at finance debt denominated in a currency other than the reporting
currency, where the cash outflows for the reimbursement are matched
by highly probable cash inflows in the same currency. The deferral
of both the unrealized portion of fair-valued commodity and other
derivatives and evaluation effects are reversed to future reporting
periods when the underlying transaction occurs.
As provided for in Decision No. 15519 of July 27, 2006 of the Italian market
regulator (CONSOB), non-recurring material income or charges are to be
clearly reported in the management’s discussion and financial tables.
ALTERNATIVE PERFORMANCE INDICATORS (NON-GAAP MEASURES)
ENI ANNUAL REPORT 2024
106
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
EBITDA - Earnings Before Interest, Taxes, Depreciation and
Amortization, is calculated summing up the operating profit and
DD&A. Represents the company’s profitability as a result of operations
management.
Leverage - Leverage is a Non-GAAP measure of the Company’s
financial condition, calculated as the ratio between net borrowings
and shareholders’ equity, including non-controlling interest. Leverage
is the reference ratio to assess the solidity and efficiency of the Group
balance sheet in terms of incidence of funding sources including third-
party funding and equity as well as to carry out benchmark analysis
with industry standards.
Gearing - Gearing is calculated as the ratio between net borrowings
and capital employed net and measures how much of capital
employed net is financed recurring to third-party funding.
Cash flow from operations before changes in working capital
at replacement cost - This is defined as net cash provided from
operating activities before changes in working capital at replacement
cost. It also excludes certain non-recurring charges such as
extraordinary credit allowances and, considering the high market
volatility, changes in the fair value of commodity derivatives lacking the
formal criteria to be designed as hedges, including derivatives which
were not eligible for the own use exemption, the ineffective portion of
cash flow hedges, as well as the effects of certain settled commodity
derivatives whenever it is deemed that the underlying transaction is
expected to occur in future reporting periods.
Free cash flow - Free cash flow represents the link existing between
changes in cash and cash equivalents (deriving from the statutory
cash flows statement) and in net borrowings (deriving from the
summarized cash flow statement) that occurred from the beginning
of the period to the end of period. Free cash flow is the cash in excess
of capital expenditure needs. Starting from free cash flow it is possible
to determine either: (i) changes in cash and cash equivalents for the
period by adding/deducting cash flows relating to financing debts/
receivables (issuance/repayment of debt and receivables related
to financing activities), shareholders’ equity (dividends paid, net
repurchase of own shares, capital issuance) and the effect of changes
in consolidation and of exchange rate differences; (ii) changes in net
borrowings for the period by adding/deducting cash flows relating to
shareholders’ equity and the effect of changes in consolidation and of
exchange rate differences.
Net borrowings - Net borrowings is calculated as total finance debt
less cash, cash equivalents and certain very liquid investments not
related to operations, including among others non-operating financing
receivables and securities not related to operations. Financial activities
are qualified as “not related to operations” when these are not strictly
related to the business operations.
ROACE Adjusted - Is the return on average capital invested,
calculated as the ratio between net income before minority interests,
plus net financial charges on net financial debt, less the related tax
effect and net average capital employed.
Proforma adjusted EBIT - Is the measure adding the operating
margin of the equity accounted entities to the adjusted EBIT,
introduced by the management to reflect the increasing contribution
from the JV/associates also in connection with the Eni satellite
model.
Profit per boe - Measures the return per oil and natural gas barrel
produced. It is calculated as the ratio between Results of operations
from E&P activities (as defined by FASB Extractive Activities - Oil and
Gas Topic 932) and production sold.
Opex per boe - Measures efficiency in the Oil & Gas development
activities, calculated as the ratio between operating costs (as defined
by FASB Extractive Activities - Oil and Gas Topic 932) and production
sold.
Finding & Development cost per boe - Represents Finding &
Development cost per boe of new proved or possible reserves. It is
calculated as the overall amount of exploration and development
expenditure, the consideration for the acquisition of possible and
probable reserves as well as additions of proved reserves deriving
from improved recovery, extensions, discoveries and revisions of
previous estimates (as defined by FASB Extractive Activities - Oil and
Gas Topic 932). The following tables report the group operating profit
and Group adjusted net profit and their breakdown by segment, as well
as is represented the reconciliation with net profit attributable to Eni’s
shareholders of continuing operations.
Coverage - Financial discipline ratio, calculated as the ratio between
operating profit and net finance charges.
Current ratio - Measures the capability of the company to repay
short-term debt, calculated as the ratio between current assets and
current liabilities.
Debt coverage - Rating companies use the debt coverage ratio to
evaluate debt sustainability. It is calculated as the ratio between net
cash provided by operating activities and net borrowings, less cash
and cash-equivalents, securities held for non-operating purposes and
financing receivables for non-operating purposes.
Debt/EBITDA - Net Debt/adjusted EBITDA is the ratio between the
profit available to cover the debt before interest, taxes, amortizations
and impairment. This index is a measure of the company’s ability pay
off its debt and gives an indication as to how long a company would
need to operate at its current level to pay off all its debt.
107
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RECONCILIATION TABLES OF NON-GAAP RESULTS TO THE MOST COMPARABLE MEASURES OF FINANCIAL
PERFORMANCE DETERMINED IN ACCORDANCE TO GAAPS
2024
(€ million)
Exploration
& Production
Global Gas &
LNG Portfolio
and Power
Enilive and
Plenitude
Refining and
Chemicals
Corporate and
other activities
Impact of
unrealized
intragroup profit
elimination
Group
Reported operating profit (loss)
6,715
(909)
1,589
(1,681)
(371)
(105)
5,238
Exclusion of inventory holding (gains) losses
112
95
227
434
Exclusion of special items:
- environmental charges
9
(3)
38
177
(190)
31
- impairment losses (impairments reversal), net
2,203
101
113
455
28
2,900
- impairment of exploration projects
140
140
- net gains on disposal of assets
(25)
(1)
(2)
(10)
(38)
- risk provisions
9
2
33
44
- provision for redundancy incentives
21
1
(2)
19
34
73
- commodity derivatives
(1)
1,740
(682)
(1)
1,056
- exchange rate differences and derivatives
22
228
(1)
6
3
258
- other
127
77
19
9
(20)
212
Special items of operating profit (loss)
2,505
2,144
(514)
696
(155)
4,676
Adjusted operating profit (loss) of subsidiaries (a)
9,220
1,235
1,187
(890)
(526)
122
10,348
Main JV/Associates adjusted EBIT (b)
3,802
39
(44)
177
3,974
Proforma adjusted EBIT (c)=(a)+(b)
13,022
1,274
1,143
(713)
(526)
122
14,322
Finance expenses and dividends of subsidiaries (d)
(171)
(8)
(30)
15
(311)
(505)
Finance expenses and dividends of main JV/associates (e)
(389)
17
(37)
(73)
(482)
Income taxes of main JV/associates (f)
(2,215)
(11)
16
(2,210)
Adjusted net profit (loss) of main JV/associates (g)=(b)+(e)+(f)
1,198
45
(81)
120
1,282
Adjusted profit (loss) before taxes (h)=(a)+(d)+(g)
10,247
1,272
1,076
(755)
(837)
122
11,125
Income taxes (i)
(5,470)
(485)
(352)
306
251
(42)
(5,792)
Tax rate (%)
52.1
Adjusted net profit (loss) (j)=(h)+(i)
4,777
787
724
(449)
(586)
80
5,333
of which:
- non-controlling interest
76
- Eni's shareholders
5,257
Reported net profit (loss) attributable to Eni's shareholders
2,624
Exclusion of inventory holding (gains) losses
308
Exclusion of special items
2,325
Adjusted net profit (loss) attributable to Eni's shareholders
5,257
ENI ANNUAL REPORT 2024
108
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RECONCILIATION TABLES OF NON-GAAP RESULTS TO THE MOST COMPARABLE MEASURES OF FINANCIAL
PERFORMANCE DETERMINED IN ACCORDANCE TO GAAPS
2023
(€ million)
Exploration
& Production
Global Gas &
LNG Portfolio
and Power
Enilive and
Plenitude
Refining and
Chemicals
Corporate and
other activities
Impact of
unrealized
intragroup profit
elimination
Group
Reported operating profit (loss)
8,693
2,626
(74)
(2,121)
(948)
81
8,257
Exclusion of inventory holding (gains) losses
47
557
(42)
562
Exclusion of special items:
- environmental charges
81
1
36
337
193
648
- impairment losses (impairments reversal), net
1,043
(38)
45
726
26
1,802
- net gains on disposal of assets
2
(9)
(4)
(11)
- risk provisions
7
8
11
13
39
- provision for redundancy incentives
42
6
22
31
57
158
- commodity derivatives
15
99
1,142
(1)
1,255
- exchange rate differences and derivatives
73
(105)
2
11
3
(16)
- other
168
824
29
96
(6)
1,111
Special items of operating profit (loss)
1,431
787
1,284
1,202
282
4,986
Adjusted operating profit (loss) of subsidiaries (a)
10,124
3,413
1,257
(362)
(666)
39
13,805
Main JV/Associates adjusted EBIT (b)
3,414
186
(4)
408
4,004
Proforma adjusted EBIT (c)=(a)+(b)
13,538
3,599
1,253
46
(666)
39
17,809
Finance expenses and dividends of subsidiaries (d)
(38)
1
(65)
9
(200)
(293)
Finance expenses and dividends of main JV/associates (e)
(186)
15
(2)
(173)
Income taxes of main JV/associates (f)
(2,075)
(152)
(8)
(2,235)
Adjusted net profit (loss) of main JV/associates (g)=(b)+(e)+(f)
1,153
49
(6)
400
1,596
Adjusted profit (loss) before taxes (h)=(a)+(d)+(g)
11,239
3,463
1,186
47
(866)
39
15,108
Income taxes (i)
(5,591)
(969)
(377)
(11)
253
(13)
(6,708)
Tax rate (%)
44.4
Adjusted net profit (loss) (j)=(h)+(i)
5,648
2,494
809
36
(613)
26
8,400
of which:
- non-controlling interest
78
- Eni's shareholders
8,322
Reported net profit (loss) attributable to Eni's shareholders
4,771
Exclusion of inventory holding (gains) losses
402
Exclusion of special items
3,149
Adjusted net profit (loss) attributable to Eni's shareholders
8,322
109
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RECONCILIATION TABLES OF NON-GAAP RESULTS TO THE MOST COMPARABLE MEASURES OF FINANCIAL
PERFORMANCE DETERMINED IN ACCORDANCE TO GAAPS
2022
(€ million)
Exploration
& Production
Global Gas &
LNG Portfolio
and Power
Enilive and
Plenitude
Refining and
Chemicals
Corporate and
other activities
Impact of
unrealized
intragroup profit
elimination
Group
Reported operating profit (loss)
16,158
4,231
(450)
(606)
(1,961)
138
17,510
Exclusion of inventory holding (gains) losses
(196)
(220)
(148)
(564)
Exclusion of special items:
- environmental charges
30
2
385
577
1,062
2,056
- impairment losses (impairments reversal), net
432
(66)
60
674
40
1,140
- impairment of exploration projects
2
2
- net gains on disposal of assets
(27)
(2)
(7)
(5)
(41)
- risk provisions
34
52
1
87
- provision for redundancy incentives
36
6
80
28
52
202
- commodity derivatives
15
(1,981)
1,588
(11)
(389)
- exchange rate differences and derivatives
(104)
239
(1)
18
(3)
149
- other
55
(98)
9
140
128
234
Special items of operating profit (loss)
473
(1,898)
2,119
1,471
1,275
3,440
Adjusted operating profit (loss) of subsidiaries (a)
16,631
2,333
1,473
645
(686)
(10)
20,386
main JV/Associates adjusted EBIT (b)
4,431
516
4,947
Proforma adjusted EBIT (c)=(a)+(b)
21,062
2,333
1,473
1,161
(686)
(10)
25,333
Finance expenses and dividends of subsidiaries (d)
(2,669)
(13)
(28)
54
(765)
(3,421)
Finance expenses and dividends of main JV/associates (e)
Income taxes of main JV/associates (f)
52
52
Adjusted net profit (loss) of main JV/associates (g)=(b)+(e)+(f)
4,431
568
4,999
Adjusted profit (loss) before taxes (h)=(a)+(d)+(g)
18,393
2,320
1,445
1,267
(1,451)
(10)
21,964
Income taxes (i)
(7,436)
(1,144)
(373)
(336)
675
6
(8,608)
Tax rate (%)
39.2
Adjusted net profit (loss) (j)=(h)+(i)
10,957
1,176
1,072
931
(776)
(4)
13,356
of which:
- non-controlling interest
55
- Eni's shareholders
13,301
Reported net profit (loss) attributable to Eni's shareholders
13,887
Exclusion of inventory holding (gains) losses
(401)
Exclusion of special items
(185)
Adjusted net profit (loss) attributable to Eni's shareholders
13,301
ENI ANNUAL REPORT 2024
110
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RECONCILIATION OF SUMMARIZED GROUP BALANCE SHEET AND STATEMENT
OF CASH FLOWS TO STATUTORY SCHEMES
SUMMARIZED GROUP BALANCE SHEET
December 31, 2024
December 31, 2023
Items of Summarized Group Balance Sheet
(where not expressly indicated, the item derives directly from the statutory scheme)
(€ million)
Notes to the
Consolidated
Financial
Statement
Amounts from
statutory
scheme
Amounts
of the
summarized
Group scheme
Amounts
from
statutory
scheme
Amounts
of the
summarized
Group scheme
Fixed assets
Property, plant and equipment
59,864
56,299
Right of use
5,822
4,834
Intangible assets
6,434
6,379
Inventories - Compulsory stock
1,595
1,576
Equity‐accounted investments and other investments
15,545
13,886
Receivables and securities held for operating activities
(see note 17)
1,107
2,335
Net payables related to capital expenditure, made up of:
(1,364)
(2,031)
- liabilities for current investment assets
(see note 11)
(56)
(36)
- liabilities for no current investment assets
(see note 11)
(40)
(65)
- receivables related to disposals
(see note 8)
527
200
- receivables related to disposals non‐current
(see note 11)
144
205
- payables for purchase of non-current assets
(see note 18)
(1,939)
(2,335)
Total fixed assets
89,003
83,278
Net working capital
Inventories
6,259
6,186
Trade receivables
(see note 8)
12,562
13,184
Trade payables
(see note 18)
(15,170)
(14,231)
Net tax assets (liabilities), made up of:
144
(2,112)
- current income tax payables
(587)
(1,685)
- non-current income tax payables
(40)
(38)
- other current tax liabilities
(see note 11)
(1,749)
(1,811)
- deferred tax liabilities
(5,581)
(4,702)
- other non‐current tax liabilities
(see note 11)
(48)
(16)
- current income tax receivables
695
460
- non-current income tax receivables
129
142
- other current tax assets
(see note 11)
850
915
- deferred tax assets
6,322
4,482
- other non‐current tax assets
(see note 11)
147
137
- receivables for Italian consolidated accounts
(see note 8)
10
9
- payables for Italian consolidated accounts
(see note 18)
(4)
(5)
Provisions
(15,774)
(15,533)
Other current assets and liabilities, made up of:
(2,292)
(892)
- short-term financial receivables for operating purposes
(see note 17)
7
- receivables vs. partners for exploration and production activities and other
(see note 8)
3,802
3,158
- other current assets
(see note 11)
2,812
4,722
- other receivables and other assets non-current
(see note 11)
3,678
3,051
- advances, other payables, payables vs. partners for exploration and production activities and other
(see note 18)
(4,979)
(4,083)
- other current liabilities
(see note 11)
(3,244)
(3,732)
- other payables and other liabilities non-current
(see note 11)
(4,361)
(4,015)
Total net working capital
(14,271)
(13,398)
Provisions for employee benefits
(681)
(748)
Assets held for sale including related liabilities
225
747
made up of:
- assets held for sale
420
2,609
- liabilities directly associated with held for sale
(195)
(1,862)
CAPITAL EMPLOYED, NET
74,276
69,879
Shareholders' equity including non‐controlling interest
55,648
53,644
Net borrowings
Total debt, made up of:
30,348
28,729
‐ long‐term debt
21,570
21,716
‐ current portion of long‐term debt
4,582
2,921
‐ short‐term debt
4,238
4,092
- other non‐current assets
(see note 11)
(42)
less:
Cash and cash equivalents
(8,183)
(10,193)
Financial assets measured at fair value through profit or loss
(6,797)
(6,782)
Financing receivables held for non‐operating purposes
(see note 17)
(3,193)
(855)
Net borrowings before lease liabilities ex IFRS 16
12,175
10,899
Lease liabilities, made up of:
6,453
5,336
- long‐term lease liabilities
5,174
4,208
- current portion of long‐term lease liabilities
1,279
1,128
Total net borrowings post lease liabilities ex IFRS 16(a)
18,628
16,235
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
74,276
69,879
(a) For details on net borrowings see also note 20 to the consolidated financial statements.
111
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
Items of Summarized Cash Flow Statement and
confluence/reclassification of items in the statutory scheme
(€ million)
Amounts
from statutory
scheme
Amounts of the
summarized
Group scheme
Amounts
from statutory
scheme
Amounts of the
summarized
Group scheme
Net profit (loss)
2,764
4.860
Adjustments to reconcile net profit (loss) to net cash provided by operating activities:
Depreciation, depletion and amortization and other non monetary items
9,951
7,781
- depreciation, depletion and amortization
7,600
7,479
- impairment losses (impairment reversals) of tangible, intangible and right of use, net
2,900
1,802
- write-off of tangible and intangible assets
580
535
- share of profit (loss) of equity-accounted investments
(866)
(1,336)
- other changes
(158)
(700)
- net change in the provisions for employee benefits
(105)
1
Gains on disposal of assets, net
(601)
(441)
Dividends, interests, income taxes and other changes
4,246
5,596
- dividend income
(227)
(255)
- interest income
(497)
(517)
- interest expense
1,245
1,000
- income taxes
3,725
5,368
Cash flow from changes in working capital
1,286
1,811
- inventories
68
1,792
- trade receivables
1,145
3,322
- trade payables
110
(4,823)
- provisions for contingencies
(87)
97
- other assets and liabilities
50
1,423
Dividends received
1,946
2,255
Income taxes paid, net of tax receivables received
(5,826)
(6,283)
Interests (paid) received
(674)
(460)
- interest received
456
459
- interest paid
(1,130)
(919)
Net cash provided by operating activities
13,092
15,119
Investing activities
(8,485)
(9,215)
- tangible assets
(7,999)
(8,739)
- intangible assets
(486)
(476)
Investments and purchase of consolidated subsidiaries and businesses
(2,593)
(2,592)
‐ investments
(798)
(1,315)
‐ consolidated subsidiaries and businesses net of cash and cash equivalent acquired
(1,795)
(1,277)
Disposals
2,788
596
- tangible assets
1,354
122
- intangible assets
21
32
- Consolidated subsidiaries and businesses net of cash and cash equivalent
disposed of
887
395
- investments
526
47
Other cash flow related to capital expenditure, investments and disposals
(996)
(348)
- prepaid right of use
(5)
‐ investment of securities and financing receivables held for operating purposes
(185)
(388)
‐ change in payables in relation to investing activities
(514)
(209)
‐ disposal of securities and financing receivables held for operating purposes
69
32
‐ change in receivables in relation to disposals
(361)
217
Free cash flow
3,806
3,560
SUMMARIZED GROUP CASH FLOW STATEMENT
ENI ANNUAL REPORT 2024
112
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(continued) SUMMARIZED GROUP CASH FLOW STATEMENT
2024
2023
Items of Summarized Cash Flow Statement and
confluence/reclassification of items in the statutory scheme
(€ million)
Amounts
from statutory
scheme
Amounts of the
summarized
Group scheme
Amounts
from statutory
scheme
Amounts of the
summarized
Group scheme
Free cash flow
3,806
3,560
Borrowings (repayment) of debt related to financing activities
(531)
2,194
- net change of securities and financing receivables held for non-operating purposes
(531)
2,194
Changes in short and long‐term finance debt
(1,293)
315
- increase in long-term debt
3,516
4,971
- repayments of long-term debt
(4,748)
(3,161)
- increase (decrease) in short-term debt
(61)
(1,495)
Repayment of lease liabilities
(1,205)
(963)
Dividends paid and changes in non‐controlling interest and reserves
(4,522)
(4,882)
‐ capital issuance from non-controlling interest
589
(16)
- net purchase of treasury shares
(2,012)
(1,803)
- acquisition of additional interests in consolidated subsidiaries
(60)
‐ dividends paid to Eni's shareholders
(3,068)
(3,046)
‐ dividends paid to non‐controlling interest
(45)
(36)
‐ other contributions
14
79
Net issue (repayment) of perpetual hybrid bond
1,640
(138)
- issue of perpetual subordinated bonds
1,778
- coupon of perpetual subordinated bonds
(138)
(138)
Effect of changes in consolidation, exchange differences and cash and cash equivalent
83
(62)
- effect of exchange rate changes and other changes
83
(62)
Net increase (decrease) in cash and cash equivalent
(2,022)
24
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ENI IS EXPOSED TO THE EFFECTS
OF CHANGING COMMODITY PRICES
AND MARGINS
Eni is primarily in a commodities business that by nature is
exposed to the price volatility of the relevant commodities. The
most significant factor that affects the Company’s results of
operations is the price of crude oil, which can be influenced by
general economic conditions and level of economic growth,
including low or negative growth; industry production and inventory
levels; technology advancements, including those in pursuit of a
lower carbon economy; greenhouse gas emissions and climate
change; production quotas or other actions that might be imposed
by the Organization of Petroleum Exporting Countries (“OPEC”) or
other producers; weather-related damage and disruptions due to
other natural or human causes beyond Eni’s control; competing
fuel prices; geopolitical risks; the pace of energy transition;
customer and consumer preferences and the use of substitutes;
and governmental regulations, policies and other actions regarding
the development of oil and gas reserves. Eni evaluates the risk of
changing commodity prices as a core part of its business planning
process and resource allocation. An investment in the Company
carries significant exposure to fluctuations in global crude oil
prices. In the short term, crude oil prices are mainly determined
by the balance between global oil supply and demand, the global
levels of commercial inventories and producing countries’ spare
capacity, as well as by expectations of financial operators who trade
crude oil derivatives contracts (futures and options) influencing
short-term price movements via their positioning. A downturn in
economic activity normally triggers lower global demand for crude
oil and possibly oversupplies and inventories build-up, because in
the short-term producers are unable to quickly adapt to swings in
demand. Whenever global supplies of crude oil exceeds demand,
crude oil prices decrease. In the short-term, global demand for
crude oil is influenced by macroeconomic trends in large consuming
countries (such as China, India and the United States) as well as
any financial crisis, inflation and interest rates, geo-political crisis,
local conflicts, wars, strikes, attacks, sabotages (particularly in the
crude oil-rich area of Middle East), social and political instability,
pandemic diseases, the flows of international commerce, trade
disputes and governments’ fiscal policies, extreme weather
events and natural disruptions, among others. In the long-term,
demand for crude oil may be negatively affected by development
of alternative energy sources (e.g., nuclear and renewables),
technological breakthroughs, shifts in consumer preferences,
and measures and other initiatives adopted by governments to
Risk factors and uncertainties
tackle climate change and to curb carbon-dioxide emissions (CO2
emissions), including stricter regulations and control on production
and consumption of crude oil. Eni’s management believes the push
to reduce worldwide greenhouse gas emissions and the ongoing
energy transition towards a low carbon economy could materially
affect the worldwide energy mix and may lead to structural lower
crude oil demands and prices. See the risk factor titled “Rising
concerns about climate change and the effects of the energy
transition could lead to a decline in demand for hydrocarbons and
potentially lower prices. Climate change could also have a physical
impact on our assets and supply chains. This risk may also lead
to additional legal and/or regulatory measures, resulting in project
delays or cancellations, potential additional litigation, operational
restrictions, and additional compliance obligations and expenses”
below. Notwithstanding the United States is the first oil producer
in the world since the shale oil revolution of 2011, in the short-term
the global balance between oil supply and demand is controlled to
a large degree by the OPEC and its allied countries, among them
Russia and Kazakhstan, known as the OPEC+ alliance, which have
signed a declaration of cooperation (“DoC”) few years ago, designed
to manage production through quotas and voluntary production
cuts to help stabilize crude oil prices. Countries adhering to the
DoC are currently estimated to hold a spare capacity of 5-6 million
bbl/day, as per market sources, representing about 5-6% of the
world crude oil and natural gas liquids supply. This poses a material
risk to the outlook of crude oil prices because there is no guarantee
that the cooperation among OPEC+ producers will continue in the
future. In case the DoC countries decide to end the agreement in
place and to produce based on each respective available capacity,
given the demand outlook, crude oil prices are likely to weaken
materially.
The drivers of prices and demand for natural gas are similar to those
of crude oil. The development of massive liquefaction capacity that
has occurred in recent years in countries like the United States,
Qatar and Australia has helped to develop a global liquid market of
natural gas, with traders being able to redirect LNG volumes from
one geography to another based on price arbitrages. Differently
from crude oil, the absolute levels of natural gas prices change from
region to region due to specific supply dynamics (e.g. in 2024 the
price of natural gas in the United States was one fifth that of Europe,
because Europe is a net importer, whilst the United States is currently
an oversupplied market due to growing domestic production), while
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consumption of natural gas is significantly exposed to seasonal
patterns and competition from renewables. All those trends may
result in a higher degree of volatility in natural gas prices compared
to crude oil. In 2024, natural gas prices in Europe fell by a significant
amount due to continuing production growth in the United States,
weak industrial demand in Europe and China and high levels on
inventories to meet the expected seasonal winter demand peak in
the Northern hemisphere. The outlook for natural gas prices in the
short to medium term is compounded by expectations of material
additions of LNG production capacity in the United States and Qatar
and rising competition from renewables. In the long-term, demand
for natural gas is exposed to the risks of the transition to a low-
carbon economy.
The volatility of hydrocarbon prices significantly affects the Group’s
financial performance. Lower hydrocarbon prices negatively affect
the Group’s consolidated results of operations and cash flow; while
the opposite effect is caused by a rise in prices. This is because lower
prices translate into lower revenues recognized in the Company’s
Exploration & Production segment at the time of the price change,
whereas expenses in this segment are either fixed or less sensitive
to changes in crude oil prices than revenues. However, the same
relative change in the crude oil price yields a considerably larger
impact at the Group’s results of operations and cash flow than the
natural gas price. This is because a significant portion of natural gas
production volumes are marketed at fixed prices or are indexed to
the price of crude oil.
In 2024, hydrocarbons prices declined by 2.2 % and 14% respectively
for the Brent crude oil and the European spot price of natural gas,
reduced Exploration & Production operating profit by an estimated
amount of €0.7 billion.
Finally, movements in hydrocarbon prices significantly affect the
reportable amount of production and proved reserves under our
production sharing agreements (“PSAs”), which represented 57% of
our proved reserves as of end of 2024. The entitlement mechanism
of PSAs foresees the Company is entitled to a portion of a field’s
reserves, the sale of which is intended to cover expenditures
incurred by the Company to develop and operate the field. The
higher the reference prices for Brent crude oil used to estimate
Eni’s proved reserves, the lower the number of barrels necessary
to recover the same amount of expenditure, and vice versa. In
2024 our reported production and reserves were increased by an
estimated amount of respectively 2 kboe/d and by 30 mmboe
due to a decreased Brent reference price. Considering the current
portfolio of oil&gas assets, the Company estimates its production
to vary by up to 1 kboe/d for each one-dollar change in the price of
the Brent crude oil.
Eni’s Refining and Chemical businesses are in cyclical economic
sectors. Their results are impacted by trends in the supply and
demand of oil products and commodity plastics, which are influenced
by macro-economic variables and by competitive dynamics which
ultimately determine the level of products prices. Margins for refined
and chemical products depend upon the speed at which products’
prices adjust to reflect movements in oil prices. All these risks may
adversely and materially impact the Group’s results of operations,
cash flow, liquidity, business prospects, financial condition, and
shareholders returns, including dividends, the amount of funds
available for stock repurchases and the price of Eni’s share.
There are growing systemic risks to the macroeconomic
outlook in connection with the persistence of Russia’s military
invasion of Ukraine, peril of escalation in the tense situation in
the Middle East and the deteriorating commercial relationships
between the United States and China. Those risks could derail
the macroeconomic recovery, and this could negatively affect
demand for hydrocarbon.
The conflict between Russia and Ukraine has been ongoing since
February 2022, when Russian military forces invaded Ukraine. This
conflict has negatively impacted the global economy and triggered
an energy crisis in Europe as well as a downturn in industrial activity,
given the disruption in the political relationships between Western
Countries and Russia, in the supply chains as well as an increase
in cybersecurity threats. In response to Russia’s aggression, the
EU nations, the UK, and the United States have adopted severe
economic and financial sanctions to curb Russia’s ability to fund
the war, which are negatively affecting the overall economic activity.
The conflict in the Gaza strip and in Lebanon involving the Israelis
forces and Iran-backed Hamas and Hezbollah armed militias is
often on the verge of a possible escalation and further enlargement
of the conflict. This situation in the Middle East is a further negative
factor on the macroeconomic scenario. A prolonged armed conflict
in those two areas, a possible escalation of the military action, and
deterioration of US-China commercial relationships pose risks to the
macroeconomic recovery because they can eventually undermine
consumers’ confidence and deter investment decisions, thus
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increasing the risks of a worldwide slowdown or, under a worst-case
scenario, a global recession. Such developments could negatively
and significantly affect hydrocarbons demands, leading to lower
commodity prices and adversely impacting our results of operations
and cash flow, as well as business prospects, with a possible lower
remuneration of our shareholders.
Risks in connection with our presence in Russia and our commercial
relationships with Russia’s State-owned companies
The most important exposure of Eni to Russia is relating to the
purchase of natural gas from Russian state-owned company
Gazprom and its affiliates, based on long-term supply contracts
with take-or-pay clauses. In the past, the volumes supplied from
Russia have represented a material amount of our global portfolio
of natural gas supplies. In 2024, natural gas supplies from Russia
were marginal, representing 12% of our total purchases of natural
gas (same as in 2023) as we made no liftings at our contracts with
Gazprom to serve our customers in European markets or our trading
activities at European hubs. This situation was due to the unilateral
decision from our Russian supplier to suspend deliveries to Eni in
2023, against the backdrop of a commercial dispute between the
two parties. We intend to continue replacing Russian-origin natural
gas in our portfolio with gas volumes coming from other suppliers
and geographies, aiming at terminating the current supply contracts
with our Russian counterparties in the shortest possible timeframe.
The Group's business plans have accounted for the assumption of
zeroing the supplies from Russia, and sales plans have been adapted
accordingly by limiting sales commitments. To cope with the expected
reduced availability of Russian natural gas, the Group has increased
purchases from other geographies through various commercial
initiatives, such as using contractual flexibilities to increase withdrawals
from existing long-term contracts or by developing integrated upstream-
midstream projects leveraging equity natural gas reserves and new
liquefactions capacity. The process of replacing Russian-origin natural
gas, including terminating existing contracts, may entail operational and
financial risks which may be significant. Other Eni’s assets in Russia are
immaterial to the Group results of operations.
There is strong competition worldwide, both within the oil industry
and with other industries, to supply energy and petroleum products
to the industrial, commercial, and residential energy markets
The current competitive environment in which Eni operates is
characterized by volatile prices and margins of energy commodities,
limited product differentiation and complex relationships with state-
owned companies and national agencies of the countries where
hydrocarbons reserves are located to obtain mineral rights. On the
other hand, the Company’s downstream businesses (particularly
the refining of crude oil to produce fuels and the production of
petrochemicals) is characterized by lack of technological entry
barriers, global overcapacity and competition from larger players,
who can leverage economies of scale due to plants optimal size,
access to cheap raw materials and lower energy and logistic
expenses. Furthermore, competition within commodity industries
is considerably influenced by the economic cycle. Normally an
economic downturn negatively affects demands for commodities
leading to a more intense price competition. As commodity prices
are not within the Eni’s control, Eni’s ability to remain competitive
and profitable in this environment requires continuous focus on
technological innovation, efficiencies in operating costs, effective
management of capital resources and the supply of valuable
services to energy buyers. It also depends on Eni’s ability to gain
access to new investment opportunities. Competitive trends
represent a risk to the profitability of all Eni’s business segment:
• E&P may be negatively affected by its relatively smaller scale
compared to other players in the industry;
• The business of marketing natural gas in the European wholesale
market managed by the GGP segment is exposed to pricing
competition and competition from renewables considering
anticipated weak demand trends in Europe;
• The businesses of oil refining and production of basic chemical
products located mainly in Europe are exposed to ongoing
weak demand trends, overcapacity, competition from players
with wider scale and cost advantages which are operating
in geographies characterized by lower energy expenses and
environmental liabilities compared to Europe, and finally
growing market penetration by more sustainable products. In
2024, Eni’s refining business incurred a loss of €674 million
driven by reduced crack spreads of refined products due to an
oversupplied market, a subdued US driving season and weak
manufacturing, construction, and trucking activity, as well as the
penetration of LNG-fueled trucks negatively affected demands
for gasoil and fuel oil, particularly in China. Eni’s Chemical
business incurred an operating loss for the third consecutive
year (€1,007 million in 2024) due to the above-mentioned
weak business’s fundamentals which have been exacerbated
by the comparatively higher energy inputs of manufacturing
activities in Europe with respect to other geographies following
the European energy crisis of 2022, which has further reduced
the competitiveness of the Eni’s chemicals activity against the
backdrop of macroeconomic headwinds.
• The business of marketing natural gas and electricity to the retail
market managed by our subsidiary Plenitude, is exposed to the
competitive trends of the retail market, which is characterized
by an almost complete deregulation, a high number of suppliers,
low entry barriers, and customers’ ability to switch readily from
one supplier to another. The same applies to retail marketing of
fuels which is managed by our subsidiary Enilive, operating in a
market characterized by intense price competition and low brand
loyalty. Enilive also engages in the manufacturing of biofuels
and returns of this activity are exposed to the competition risks
in connection with oversupplies and dumping by unregulated
operators and an uncertain regulatory framework. In 2024, the
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margins on the sale of biofuels were negatively and significantly
affected by those trends.
Rising concerns about climate change and the effects of
the energy transition could lead to a decline in demand for
hydrocarbons and potentially lower prices. Climate change could
also have a physical impact on our assets and supply chains. This
risk may also lead to additional legal and/or regulatory measures,
resulting in project delays or cancellations, potential additional
litigation, operational restrictions, and additional compliance
obligations and expenses
Societal demand for urgent action on climate change has
increased, especially since the Intergovernmental Panel on Climate
Change (IPCC) Special Report of 2018 on 1.5°C effectively made
the more ambitious goal of the Paris Agreement to limit the rise in
global average temperature this century to 1.5 degrees Celsius the
default target. This increasing focus on climate change and drive
for an energy transition have created a risk environment that is
changing rapidly, resulting in a wide range of governmental actions
at global, local and company levels, increasing pressure from civil
society and the investing and lending community to speed up our
decarbonization plans.
The energy transition, as well as increasingly stricter regulations in
the field of CO2 emission, could entail risks to the Group’s financial
performance and business prospects, because the Company
still relies substantially on the legacy business of Exploration &
Production.
Firstly, international initiatives and national, regional, and state
legislation and regulations targeting GHG emissions are in
various stages of design, adoption, and implementation. These
policies and initiatives - some of which support the global net
zero emissions ambitions of the Paris Agreement - can change
the amount of energy consumed, the rate of energy-demand
growth, the energy mix, and the relative economics of one fuel
versus another. Laws and regulations whether already in force or
under consideration are seeking to limit greenhouse gas (GHG)
emissions by taxing them or by imposing operational restrictions
and other compliance costs on oil&gas companies. Regulators
may seek to limit certain oil and gas projects or make it more
difficult to obtain required permits. Additionally, climate activists
are challenging the grant of new and existing regulatory permits.
We expect that these challenges and protests are likely to continue
and could delay or prohibit operations in certain cases. We also
expect that actions by customers to reduce their emissions will
continue to lower demand and potentially affect prices for fossil
fuels, as will tax incentives in support of electric vehicles and
renewables and other low-carbon solutions. The pace and extent
of the energy transition could pose a risk to Eni if we decarbonize
our operations and the energy we sell at a different speed relative
to society. If we are slower than society, customers may prefer a
different supplier, which would reduce demand for our products
and adversely affect our reputation besides materially affecting
our earnings and financial results. If we move much faster
than society, we risk investing in technologies, markets or low-
carbon products that are unsuccessful because there is limited
demand for them. The physical effects of climate change such
as, but not limited to, increases in temperature and sea levels
and fluctuations in water levels could also adversely affect our
operations and supply chains. Certain investors have decided to
divest from fossil fuel companies, which could undergo growing
scrutiny from financial markets participants to obtain funds
and borrowings facilities. If this were to continue, it could have
a material adverse effect on the price of our securities and our
ability to access capital markets. Stakeholder groups are also
putting pressure on commercial and investment banks to stop
financing fossil fuel companies. Some financial institutions have
started to limit or cease altogether their exposure to fossil fuel
projects. Accordingly, our ability to use financing for these types
of future projects may be adversely affected. In some countries,
governments, regulators, organizations, and individuals have
filed lawsuits seeking to hold oil companies liable for costs
associated with climate change or seeking to have oil companies
condemned to speed up decarbonization plans based on alleged
crimes against the environment or human rights violations. While
we believe these lawsuits to be without merit, losing could have
a material adverse effect on our business. In summary, rising
climate change concerns, the pace at which we decarbonize our
operations relative to society and effects of the energy transition
have led and could lead to a decrease in demand and potentially
affect prices for fossil fuels. If we are unable to find economically
viable, publicly acceptable solutions that reduce our GHG
emissions and/or GHG intensity for new and existing projects
and for the products we sell, we could experience financial
penalties or extra costs, delayed or cancelled projects, potential
impairments of our assets, additional provisions and/or reduced
production and product sales, negatively affecting future results
of operations, cash flow, liquidity, business prospects, financial
condition, shareholder returns, including dividends, the amount
of funds available for stock repurchases and the price of Eni’s
shares may be adversely and significantly affected. The Company
will continue to develop oil and gas resources to meet customers’
and consumers’ demand for energy, targeting to increase the
proportion of natural gas in the production mix. At the same
time, Eni has been implementing a strategy designed to gradually
reduce the weight of hydrocarbons in the Company’s portfolio
by growing the businesses of renewable energy, manufacturing
of biofuels and lower carbon gases, as well as developing new
technologies in the fields of nuclear energy, plastic recycling, and
other energy vectors and solutions, like the geological permanent
sequestration of CO2, to decarbonize hard-to-abate products or
process with the long-term goal of achieving net zero emissions
of CO2 at the whole of its products and processes by 2050. Eni
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integrates climate change-related issues and the regulatory and
other responses to these issues into its strategy and planning,
capital investment reviews, and risk management tools and
processes, where it believes they are applicable. They are also
factored into the Company’s long-range supply, demand, and
energy price forecasts. These forecasts reflect estimates of long-
range effects from climate change-related policy actions, such as
electric vehicle and renewable fuel penetration, energy efficiency
standards, and demand response to oil and natural gas prices.
In case demand for hydrocarbons declines more rapidly than
management’s planning assumptions and capital programs, our
results of operations and business prospects may be significantly
and negatively affected.
The above mentioned risks may emerge in the short, medium, and
long term.
a) Regulatory risk: increasing worldwide efforts to tackle climate
change may lead to the adoption of stricter regulations to curb
carbon emissions and this could lead to increasing expenditures
in the short term and may end up suppressing demands for our
products in medium-to-long term.
It is possible that a growing share of our GHG emissions may be
subject to regulation going forward, resulting in increased compliance
costs and operational constraints. Regulatory actions intended to
reduce greenhouse gas emissions include adoption of cap and trade
regimes, carbon taxes, carbon-based import duties or other trade
tariffs, minimum renewable usage requirements, restrictive permitting,
increased mileage and other efficiency standards, mandates for sales
of electric vehicles, mandates for use of specific fuels or technologies,
and other incentives or mandates designed to support transitioning
to lower-emission energy sources. Depending on how policies and
regulations are formulated and applied, such policies and regulations
could negatively affect our investment returns, make our hydrocarbon-
based products more expensive or less competitive, lengthen project
implementation times, and reduce demand for hydrocarbons, as well as
shift hydrocarbon demand toward relatively lower-carbon alternatives.
Current and pending greenhouse gas regulations or policies may also
increase our compliance costs, such as for monitoring, tracking or
sequestering emissions.
Some governments have already introduced carbon pricing
schemes. Eni’s operating and compliance expenses could increase in
the short-to-medium term in case of widespread adoption of carbon
tax mechanisms. Currently, about half of the direct GHG emissions
coming from Eni’s operated assets are included in national or
supranational Carbon Pricing Mechanisms, such as the European
Emission Trading Scheme (ETS), which provides an obligation to
purchase, on the open market, emission allowances in case GHG
emissions exceed a pre-set amount of emission allowances allotted
for free. In 2024 to comply with this carbon emissions scheme, Eni
accrued an expense of €850 million for allowances corresponding to
11.7 million tons of CO2 emissions (11.5 million tons in 2023 for a total
expense of €950 million). Due to the likelihood of new regulations in
this area and expectations of a reduction in free allowances under
the European ETS and the likely adoption of similar schemes in other
jurisdictions, Eni could incur increased investments and significantly
higher operating expenses in case the Company is unable to reduce
the carbon footprint of its operations.
It is also possible that new restrictions on oil&gas activities may be
introduced in response to the climate emergency. Governments in
jurisdictions where we operate may deny permissions to start new
oil and gas projects or may impose restrictions on drilling and other
field activities. These possible developments could significantly and
negatively affect our business’s prospects and results of operations.
b) Market/Technological risk: in the long-term demands for
hydrocarbons may be materially reduced by the projected mass
adoption of electric vehicles, the development of green hydrogen,
the deployment of massive investments to grow renewable energies
also supported by governments fiscal policies and the development
of other technologies to produce clean feedstock, fuels, and energy.
In the long-term, the weight of hydrocarbons in the global energy
mix may decline due to an expected increase in the amount of
energy generated by renewable sources, the possible emergence
of new products and technologies, as well as changing consumers’
preferences. The automotive industry is investing material amounts
of resources to ramp up the production of electric vehicles (EVs),
whose sales according to certain outlooks are expected to surpass
internal-combustion-engine sales by 2030 also helped by state tax-
incentives and governmental targets on the production of EVs and
restrictions or ban on sales of internal-combustion-engine cars. In the
long-term this trend could disrupt the consumption of gasoline which
is one of the main drivers of global crude oil demand. Other potentially
disruptive technologies designated to produce clean energy and fuels
are emerging, driven by the development of hydrogen-based solutions
as an energy vector or the utilization of renewables feedstock to
manufacture fuels and other goods replacing oil-based products.
Electricity generation from wind power or solar technologies is
projected to grow massively in line with the stated targets by several
governments and institutions like the EU, the United States, and the
UK to decarbonize the electricity sector, and this could reduce demand
for gas-fired electricity generation. Finally, some market forecasters
are projecting a resurgence of investments in nuclear capacity due
to a changing perception from public opinions and institutions about
the role of this form of energy in the global mix and its being carbon
neutral. As matter of fact, the EU has recently upgraded nuclear energy
as a net zero emission technology.
These trends could reduce demand for hydrocarbons in the long-
term.
A large portion of Eni’s business depends on the global demand for
oil and natural gas. If existing or future laws, regulations, treaties,
or international agreements related to GHG and climate change,
including state incentives to conserve energy or use alternative
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energy sources, technological breakthroughs in the field of renewable
energies, hydrogen, production of nuclear energy or mass adoption
of electric vehicles trigger a structural decline in worldwide demand
for oil and natural gas, Eni’s results of operations and business
prospects may be materially and adversely affected in case the
Company fails to adapt its business model at the same pace of the
energy transition as the economy.
c) Legal risk: several lawsuits are pending in various jurisdictions
against oil&gas companies based on alleged violations of human
rights, damage to environment and other claims and such legal
actions may be brought against us.
In recent years, there has been a marked increase in climate-based
litigation. Courts could be more likely to hold companies who have
allegedly made the most significant contributions to climate change to
account. Cases brought to courts against oil&gas companies in several
jurisdictions indicate that there are risks that oil and gas companies
may have an individual legal responsibility to reduce emissions to
address climate change based on an alleged relationship between
climate change and human rights violations. Courts may condemn
oil and gas companies to compensate individuals, communities, and
states for the economic losses due to global warming because of their
alleged responsibility in supporting hydrocarbons and their alleged
awareness of knowingly hurting the environment. In some cases,
companies’ boards have been summoned for having allegedly failed
to take effective actions to contrast climate change.
Private individuals, associations and NGOs may also bring legal
actions against states or companies to get them condemned to
adopt stricter targets of reducing GHG emissions and that could
entail more restrictive measures on businesses. For example, in
2023, certain NGOs and several private citizens filed a complaint
before an Italian court alleging that Eni is liable for climate change.
The plaintiffs claimed economic losses and other damages
and requested that Eni revises its decarbonization strategy
and immediately stops any harmful conducts, alleging several
environmental crimes and violations of human rights. As such,
climate litigation represents a significant risk. In case the Company
is condemned to reduce its GHG emissions at a much faster rate
than planned by management or to compensate for damage
related to climate change due to ongoing or potential lawsuits, we
could incur a material adverse effect on our results of operations
and business’s prospects.
d) Reputational risk: the consideration of oil&gas companies as
poorly performing investments from an environmental standpoint
by financial market participants, could reduce the attractiveness of
their securities or limit their ability to access the capital markets.
Activist investors have been seeking to interfere in companies’
plans and strategies through matter of shareholders’ resolutions
and other means.
The reputational risk of oil&gas companies owes to the growing
perception by certain governments, financial institutions, and the
society that those companies may be allegedly liable for global
warming due to GHG emissions across the hydrocarbon value
chain, particularly related to the use of energy products, and
may be poorly performing players in the ESG dimensions. This
could possibly impair their reputation and make their securities
and debt instruments less attractive than other industrial sectors
to investors and lenders. Asset managers, mutual funds, global
allocation funds, generalist investors and pensions funds have
been reducing their exposure to the fossil fuel industry due to the
adoption of stricter ESG criteria in selecting investing opportunities.
In some cases, those investors have adopted climate change
targets in determining their policies of asset allocations. Many of
them have announced plans to completely divest from the fossil
fuel industry. This trend could reduce the market for our share and
negatively affect shareholders’ returns. Likewise, banks, financing
institutions, lenders and insurance companies are cutting exposure
to the fossil fuel industry due to the need to comply with ESG
mandate or to reach emission reduction targets in their portfolios
and this could limit our ability to access new financing, could drive
a rise in borrowing costs to us or increase the costs of insuring
our assets. Several large, well established financing institutions
have announced their intention to stop financing directly the
development new oil and gas fields, a move that could herald an
emerging trend among banks and lenders towards a phase-out of
financing the hydrocarbons sector.
As a result of those developments, we could expect the cost of
capital to the Company to rise in the future and reduced ability on
part of Eni to obtain financing for future projects in the oil&gas
business or to obtain it at competitive rates, which may curb our
investment opportunities or drive an increase in financing expenses,
negatively affecting our results of operations, returns on investments
and business prospects.
Shareholders and activist funds may have resolutions passed at
annual general meetings of listed oil&gas companies, which could
interfere with management’s long-term goals, strategies and capital
allocation processes leading to unplanned cost increases and sub-
optimal investment decisions. Activist investors may also bring
lawsuit against oil&gas companies and their boards, claiming their
responsibilities for not implementing adequate strategies to manage
the transition risk; and we believe that such kind of claims can be
brought against us.
e) Climate change adaptation: extreme weather phenomena, which
are allegedly caused by climate change, may disrupt our operations
The scientific community has concluded that increasing global
average temperature produces significant physical effects, such
as the increased frequency and severity of hurricanes, storms,
droughts, floods, or other extreme climatic events that could
interfere with Eni’s operations and damage Eni’s facilities. Extreme
and unpredictable weather phenomena can result in material
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disruption to Eni’s operations, and consequent loss of or damage
to properties and facilities, as well as a loss of output, loss of
revenues, increasing maintenance and repair expenses and cash
flow shortfall.
As a result of these trends, climate-related risks could have a material
and adverse effect on the Group’s results of operations, cash flow,
liquidity, business prospects, financial condition, and shareholder
returns, including dividends and the price of Eni’s shares.
INVESTMENTS IN OUR LOWER CARBON
PRODUCTS AND SERVICES MAY NOT
ACHIEVE EXPECTED RETURNS
We are building our portfolio of lower carbon products and services
such as electricity generated from solar and wind power, biofuels,
projects for permanent geological sequestration of CO2, and charging
for electric vehicles through organic and inorganic growth.
In expanding our offerings of these lower carbon products
and services, we expect to undertake acquisitions and form
partnerships. The success of these transactions will depend on
our ability to realize the synergies from combining our respective
resources and capabilities, including the development of new
processes, systems and distribution channels. For example, it may
take time to develop these areas through retraining our workforce
and recruitment for the necessary new skills. It may take longer to
realize the expected returns from these transactions.
The operating margins for our lower carbon products and services
may not be as high as the margins we have experienced historically
in our oil and gas operations. Furthermore, lower carbon products
are experiencing increasing competition risks. In 2024, our biofuels
margins were negatively affected by an oversupply of products
coming from China, which found an outlet in the European market,
as well as by an uncertain regulatory environment. Renewable
electricity sold at spot markets is exposed to risks of uneconomic
pricing due to objective limits of current transmission networks
to handle peak production volumes which are a feature of the
renewable sector.
Therefore, developing our lower carbon products and services is subject
to challenges which could have a material adverse effect on future
results of operations, cash flow, liquidity, business prospects, financial
condition, shareholder returns, including dividends, the amount of funds
available for stock repurchases and the price of Eni’s shares may be
adversely and significantly affected.
RISKS DERIVING FROM ENI’S EXPOSURE
TO WEATHER CONDITIONS
Significant changes in weather conditions in Italy and in the rest of
Europe from year to year may affect demand for natural gas and some
refined products. In colder years, demand for such products is higher.
Accordingly, the results of operations of Eni’s businesses engaged
in the marketing of natural gas and, to a lesser extent, the Refining &
Marketing business, as well as the comparability of results over different
periods may be affected by such changes in weather conditions. Over
recent years, this pattern could have been possibly affected by the
rising frequency of weather trends like milder winter or extreme weather
events like heatwaves or unusually cold snaps.
The Group is exposed to significant
operational and economic risks associated
with the exploration and production of
crude oil and natural gas
The exploration and production of oil and natural gas require high
levels of capital expenditures and are subject to specific operational
and economic risks as well as to natural hazards and other
uncertainties. The natural hazards and the economic risks described
below could have an adverse and significant impact on Eni’s future
growth prospects, results of operations, cash flows, liquidity, and
shareholders’ returns.
a) Operational risks in connection to drilling and extraction operations
The physical and geological characteristics of oil and gas fields entail
natural hazards and other operational risks including risks of eruptions
of hydrocarbons, discovery of hydrocarbon pockets with abnormal
pressure, crumbling of well openings, oil spills, gas leaks, risks of
blowout, fire or explosion and risks of earthquake in connection
with drilling and extraction activities. Eni has material offshore
operations which are inherently riskier than onshore activities. In 2024,
approximately 70 % of Eni’s total oil and gas production for the year
derived from offshore fields, mainly in Egypt, Norway, Libya, Indonesia,
Angola, Kazakhstan, the United Arab Emirates, Venezuela, the
United Kingdom and Congo. Offshore accidents and oil spills could
cause damage of catastrophic proportions to the ecosystem and to
communities’ health and security due to the apparent difficulties in
handling hydrocarbons containment in the sea, pollution, poisoning of
water and organisms, length and complexity of cleaning operations
and other factors. Furthermore, offshore operations are subject to
marine risks, including storms and other adverse weather conditions
and perils of vessel collisions, which may cause material adverse
effects on the Group’s operations and the ecosystem.
b) Exploratory drilling efforts may be unsuccessful
Exploration activities are mainly subject to the mining risk, i.e. the risk
of dry holes or failure to find commercial quantities of hydrocarbons.
The costs of drilling and completing wells have margins of uncertainty,
and drilling operations may be unsuccessful because of a large variety
of factors, including geological failure, unexpected drilling conditions,
pressure or heterogeneities in formations, equipment failures, well
control (blowouts) and other forms of accidents. A large part of the
Company’s exploratory drilling operations is located offshore, including
in deep and ultra-deep waters, in remote areas and in environmentally
sensitive locations (such as the Barents Sea, the Gulf of Mexico, deep
water leases off West Africa, Indonesia, the Mediterranean Sea and the
Caspian Sea). In these locations, the Company generally experiences
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higher operational risks and more challenging conditions and incurs
higher exploration costs than onshore. Furthermore, deep and ultra-
deep water operations require significant time before commercial
production of discovered reserves can commence, increasing both
the operational and the financial risks associated with these activities.
Because Eni plans to make significant investments in executing
exploration projects, it is likely that the Company will incur significant
amounts of dry hole expenses in future years. Unsuccessful
exploration activities and failure to discover additional commercial
reserves could reduce future production of oil and natural gas, which
is highly dependent on the rate of success of exploration projects and
could have an adverse impact on Eni’s future performance, growth
prospects and returns. In 2024, we incurred €555 million of charges
related to the write-offs of capitalized exploration expenditures and
unproved properties due to the discovery of uneconomic quantities
of reserves and other reasons.
c) Development projects bear significant operational risks which
may adversely affect actual returns
Projects to develop and market reserves of crude oil and natural gas
normally entail long lead times because of the complexity of the
activities required to achieve the production start-up, which comprise:
• appraising a discovery to evaluate the economic and operating
viability of a development project;
• finalizing negotiations with joint venture partners, governments
and state-owned companies, suppliers and potential customers
to define project terms and conditions, including, for example, the
fiscal take, the production sharing terms with the first party, or
negotiating favorable long-term contracts to market gas reserves;
• obtaining timely issuance of permits and licenses by government
agencies, including obtaining all necessary administrative
authorizations to drill locations, install producing infrastructures,
build pipelines and related equipment to transport and market
hydrocarbons;
• effectively carrying out the front-end engineering design in order
to prevent the occurrence of technical inconvenience during the
execution phase;
• timely manufacturing and delivery of critical plants and equipment
by contractors, like platforms and floating production storage
and offloading (FPSO) vessels, or market availability for renting
such kind of vessels, as well as building transport infrastructures
to export production to final markets. For example, in case of
a shortage of FPSOs to rent, we may have no other option than
to build the facility thus incurring upfront the whole costs of the
investment, which could negatively affect a project’s returns;
• preventing risks associated with the use of new technologies and
the inability to develop advanced technologies to maximize the
recoverability rate of hydrocarbons or gain access to previously
inaccessible reservoirs;
• carefully planning the commissioning and hook-up phase where
mismanagement might lead to delays to achieve first oil;
• changes in operating conditions and cost overruns. Notwithstanding
inflationary pressures have eased in 2024, we expect the costs of
renting rigs and other drilling vessels and facilities to remain elevated
as oil companies competes for a stable amount of supply of this kind
of equipment considering the restructuring the oilfield service sector
has undergone due to reduced capital spending by their clients; and
• operating risks, including third-party claims, environmentalists
protests, changes to the work scope requested by governmental
authorities, contractors’ underperformance.
Moreover, projects executed with partners and joint venture partners
limit the ability of the Company to manage risks and costs, and Eni
may have limited influence over and control of the operations and
performance of its partners.
The occurrence of any of such risks may negatively affect the time-
to-market of the reserves and may cause cost overruns and start-
up delays, lengthening the project pay-back period. Those risks
would adversely affect the economic returns of Eni’s development
projects and the achievement of production growth targets, also
considering that those projects are exposed to the volatility of oil
and gas prices which may be substantially different from those
estimated when the investment decision was made, thereby
leading to lower return rates.
Finally, if the Company is unable to develop and operate major
projects as planned, or in case actual reservoir performance and
natural field decline do not meet management’s expectations, it could
incur significant impairment losses of capitalized costs associated
with reduced future cash flows of those projects.
d) Inability to replace produced oil and natural gas reserves could
adversely impact results of operations and financial condition,
including cash flows
Future oil and gas production is a function of the Company’s ability
to access new reserves through new discoveries, application of
improved techniques, success in development activity, negotiations
with national oil companies and other owners of known reserves and
acquisitions.
An inability to replace produced reserves by discovering, acquiring,
and developing additional reserves could adversely impact future
production levels and growth prospects. If Eni is unsuccessful in
meeting its long-term targets of reserve replacement, Eni’s future
total proved reserves and production will decline.
e) Uncertainties in estimates of oil and natural gas reserves
The accuracy of proved reserve estimates and of projections of
future rates of production and timing of development costs depends
on several factors, assumptions and variables, including:
• the quality of available geological, technical and economic data and
their interpretation and judgment;
• management’s assumptions regarding future rates of production
and costs and timing of operating and development costs. The
projections of higher operating and development costs may impair
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the ability of the Company to economically produce reserves
leading to downward reserve revisions;
• changes in the prevailing tax rules, other government regulations
and contractual terms and conditions;
• results of drilling, testing and the actual production performance
of Eni’s reservoirs after the date of the estimates which may drive
substantial upward or downward revisions; and
• changes in oil and natural gas prices which could affect the
quantities of Eni’s proved reserves since the estimates of reserves
are based on prices and costs existing as of the date when these
estimates are made. Lower oil prices may impair the ability of the
Company to economically produce reserves leading to downward
reserve revisions.
Many of the factors, assumptions and variables underlying the
estimation of proved reserves involve management’s judgement or
are outside management’s control (prices, governmental regulations)
and may change over time, therefore affecting the estimates of oil
and natural gas reserves from year-to-year.
The prices used in calculating Eni’s estimated proved reserves are, in
accordance with the U.S. Securities and Exchange Commission (the
“U.S. SEC”) requirements, calculated by determining the unweighted
arithmetic average of the first-day-of-the-month commodity prices
for the preceding 12 months. For the 12-months ending at December
31, 2024, average prices were based on 81 $/barrel for the Brent
crude oil, 2 $/barrel lower than the 2023 reference price 83 $/barrel,
resulting in us having to remove 22 million boe of reserves that have
become uneconomical at a lower price.
Accordingly, the estimated reserves reported as of the end of 2024
could be significantly different from the quantities of oil and natural
gas that will be ultimately recovered. Any downward revision in Eni’s
estimated quantities of proved reserves would indicate lower future
production volumes, which could adversely impact Eni’s business
prospects, results of operations, cash flows and liquidity.
f) The development of the Group’s proved undeveloped reserves
“PUD” may take longer and may require higher levels of capital
expenditures than it currently anticipates, or the Group’s proved
undeveloped reserves may not ultimately be developed or produced
As of December 31, 2024, approximately 43% of the Group’s total
estimated proved reserves (by volume) were undeveloped and may
not be ultimately developed or produced. Recovery of PUD requires
significant capital expenditures and successful drilling operations.
The Group’s reserve estimates assume the Group can and will make
these expenditures and conduct these operations successfully. These
assumptions may prove to be inaccurate and are subject to the risk
of a structural decline in the prices of hydrocarbons, which could
reduce available funds to develop PUD. The Group’s reserve report as
of December 31, 2024, includes estimates of total future development
and decommissioning costs associated with the Group’s proved
total reserves of approximately €41.7 billion (undiscounted, including
consolidated subsidiaries and equity-accounted entities; €42.6 billion
in 2023). It’s uncertain that estimated costs of the development of
these reserves will prove correct, development will occur as scheduled,
or the results of such development will be as estimated. In case of
change in the Company’s plans to develop those reserves, or if it is not
otherwise able to successfully develop these reserves as a result of
the Group’s inability to fund necessary capital expenditures due to a
prolonged decline in the price of hydrocarbons or otherwise, it will be
required to remove the associated volumes from the Group’s reported
proved reserves.
g) The oil & gas industry is a capital-intensive business and needs
large amount of funds to find and develop reserves. In case the
Group does not have access to sufficient funds its oil&gas business
may decline
The oil and gas industry is a capital intensive business. Eni makes
and expects to continue making substantial capital expenditures
in its business for the exploration, development and production of
oil and natural gas reserves. Historically, Eni’s capital expenditures
have been financed with cash generated from operations, proceeds
from asset disposals, borrowings under its credit facilities and
proceeds from the issuance of debt and bonds. The actual amount
and timing of future capital expenditures may differ materially
from Eni’s estimates because of, among other things, changes in
commodity prices, changes in cost of oil services, available cash
flows, lack of access to capital, actual drilling results, the availability
of drilling rigs and other services and equipment, the availability
of transportation capacity, and regulatory, technological and
competitive developments. Eni’s cash flows from operations and
access to capital markets are subject to several variables, including
but not limited to:
• the amount of Eni’s proved reserves;
• the volume of crude oil and natural gas Eni is able to produce and
sell from existing wells;
• the prices at which crude oil and natural gas are marketed;
• Eni’s ability to acquire, find and produce new reserves; and
• the ability and willingness of Eni’s lenders to extend credit or
of participants in the capital markets to invest in Eni’s bonds
considering that adoption of ESG targets by lenders may restrict
our access to third-party financing.
If cash generated by operations, cash from asset disposals, or
cash available under Eni’s liquidity reserves or its credit facilities
or issuance of new bonds is not sufficient to meet capital
requirements, due to among other things a decline in oil and
gas prices or more stringent ESG criteria adopted by banks and
other lenders, reduce cash flows or failure to obtain additional
financing could result in a curtailment of operations relating to the
development of Eni’s reserves, which in turn could adversely affect
its results of operations and cash flows and its ability to achieve
its growth plans. In the next four-year plan we are forecasting
significant capital expenditures of more than €5 billion on average
per year to fund new development projects and production ramp
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ups and considering expected continuation of inflationary trends in
upstream costs. In case of a cash flow shortfall, we may be forced
to take on new finance debt from banks and financing institutions
to pursue our development plans and that could increase our
financial risk profile. Finally, funding Eni’s capital expenditures
with additional debt will increase its leverage and the issuance
of additional debt will require a portion of Eni’s cash flows from
operations to be used for the payment of interest.
h) Oil and gas activity may be subject to increasingly high levels of
income taxes and royalties
Oil and gas operations are subject to the payment of royalties and
income taxes, which tend to be higher than those payable in other
commercial activities. Management believes that the marginal tax rate
in the oil and gas industry tends to increase in correlation with higher
oil prices, which could make it more difficult for Eni to translate higher
oil prices into increased net profit. However, the Company does not
expect that the marginal tax rate will decrease in response to falling
oil prices. Adverse changes in the tax rate applicable to the Group’s
profit before income taxes in its oil and gas operations would have a
negative impact on Eni’s future results of operations and cash flows.
In 2022, in response to a surge in hydrocarbons and electricity
prices due to the perceived risks of disruption in connection
with the Russian military aggression of Ukraine, governments of
the EU member states and of the UK have enacted solidaristic
contributions in the form of one-off or temporary windfall levies
to increase the fiscal take on the profits of energy companies
relating to the portion of those profits deemed to exceed historical
averages, to collect funds to alleviate the financial burden on
households and businesses due to rising costs of fuels and
energy. In 2024, we disbursed about €0.45 billion to settle an
Italian windfall tax levied in 2023 on profits of energy companies.
Notwithstanding hydrocarbons and electricity prices have been on
a downward trend since 2023, they are still perceived to remain
at elevated levels compared to historic averages by governments,
businesses, and consumers in the Eurozone so to hamper
competitiveness of the manufacturing sector and to reduce the
purchase power of households. Given rising pressures on public
finances due to an ongoing economic slowdown in the EU and the
general consideration that the oil&gas companies may continue
benefiting from the ongoing geopolitical tensions in Ukraine and
the Middle East, management cannot rule out the possibility of the
introduction of new windfall taxes and other extraordinary levies
targeting the hydrocarbons sector, which could negatively affect
the Group’s results of operations and cash flows.
i) The present value of future net revenues from Eni’s proved
reserves will not necessarily be the same as the current market
value of Eni’s estimated crude oil and natural gas reserves
The present value of future net revenues from Eni’s proved reserves
may differ from the current market value of Eni’s estimated crude
oil and natural gas reserves. In accordance with the SEC rules, Eni
bases the estimated discounted future net revenues from proved
reserves on the 12-month unweighted arithmetic average of the
first day of the month commodity prices for the preceding twelve
months. Actual future prices may be materially higher or lower
than the SEC pricing method in the calculations. Actual future net
revenues from crude oil and natural gas properties will be affected
by factors such as:
• the actual prices Eni receives for sales of crude oil and natural gas;
• the actual cost and timing of development and production
expenditures;
• the timing and amount of actual production; and
• changes in governmental regulations or taxation.
The timing of both Eni’s production and its incurrence of expenses
in connection with the development and production of crude oil and
natural gas properties will affect the timing and amount of actual
future net revenues from proved reserves, and thus their actual
present value. Additionally, the 10% discount factor Eni uses when
calculating discounted future net revenues may not be the most
appropriate discount factor based on interest rates in effect from
time to time and risks associated with Eni’s reserves or the crude oil
and natural gas industry in general.
At December 31, 2024, the net present value of Eni’s proved
reserves totaled approximately €55.6 billion. The average prices
used to estimate Eni’s proved reserves and the net present value
at December 31, 2024, as calculated in accordance with the SEC
rules, were at around 80 $/barrel for the Brent crude oil. Actual
future prices may materially differ from those used in our year-
end estimates. Commodity prices have decreased significantly in
the first quarter of 2025 compared to the price used in the reserve
calculations at 2024 year-end. Holding all other factors constant, if
commodity prices used in Eni’s year-end reserve estimates at end
of 2025 were in line with the pricing environment existing at the
end of the first quarter of 2025, Eni’s PV-10 at December 31, 2025
would decrease.
RISKS RELATED TO POLITICAL
CONSIDERATIONS
As at December 31, 2024, about 83% of Eni’s proved hydrocarbon
reserves were located in non-OECD (Organisation for Economic Co-
operation and Development) countries, mainly in Africa, Central Asia
and Middle East where the socio-political framework, the financial
system and the macroeconomic outlook are less stable than in the
OECD countries. In those non-OECD countries, Eni is exposed to a wide
range of political risks and uncertainties, which may impair Eni’s ability
to continue operating economically on a temporary or permanent
basis, and Eni’s ability to access oil and gas reserves. Particularly, Eni
faces risks in connection with the following potential issues and risks:
• socio-political instability leading to internal conflicts, revolutions,
establishment of non-democratic regimes, protests, attacks, and other
forms of civil disorder and unrest, such as strikes, riots, sabotage,
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blockades, vandalism, and theft of crude oil at pipelines, acts of
violence and similar events. These risks could result in disruptions
to economic activity, loss of output, plant closures and shutdowns,
project delays, loss of assets and threats to the security of personnel.
They may disrupt financial and commercial markets, including the
supply of and pricing for oil and natural gas, and generate greater
political and economic instability in some of the geographical areas
in which Eni operates. Additionally, any possible reprisals because of
military or other action, such as acts of terrorism in Europe, the USA or
elsewhere, could have a material adverse effect on the world economy
and hence on the global demand for hydrocarbons;
• lack of well-established and reliable legal systems and uncertainties
surrounding the enforcement of contractual rights;
• unfavorable enforcement of laws, regulations and contractual
arrangements leading, for example, to expropriation, nationalization
or forced divestiture of assets and unilateral cancellation or
modification of contractual terms, tax or royalty increases
(including retroactive claims) and restrictions on exploration,
production, imports and exports;
• sovereign default or financial instability since those countries rely
heavily on petroleum revenues to sustain public finance. Financial
difficulties at country level often translate into failure by state-
owned companies and agencies to fulfil their financial obligations
towards Eni relating to funding capital commitments in projects
operated by Eni or to timely paying for supplies of equity oil and
gas volumes;
• difficulties in finding qualified international or local suppliers in
critical operating environments;
• risks of U.S. sanctions which could impair our ability to conduct
profitable operations or to recover our investments like for example
in Venezuela or other commercial restrictions imposed by U.S. to
certain economic sectors and activities involving Chinese suppliers
which could led to projects delays and cost overruns; and
• complex processes of granting authorizations or licenses affecting
time-to-market of certain development projects.
Areas where Eni operates and where the Company is particularly
exposed to political risk include, but are not limited to Libya,
Venezuela, Nigeria, and Egypt.
Eni’s operations in Libya are exposed to geopolitical risks.
The social and political instability of the country dates to the
revolution of 2011 that brought a change of regime and a civil war
with a material impact on our operations in that year. A divided
political landscape emerged from those events, which caused a
prolonged period of internal instability which has triggered several
acts of internal conflict, clashes, civil turmoil, and unrest involving
the opposing factions amidst failed attempts to hold general
elections and appoint a national government, resulting in several
disruptions to Eni’s activities in the country up and until 2023
when a relative stability was achieved. In 2024, a rift between the
Government of National Unity installed in Tripoli and recognized
by the UN and the self-appointed National Stability Government
installed in the east of the country regarding the appointment
of the chief of Libya’s national bank has resulted in a blockade
of oil export terminals in the Eastern part of the country and in
declaration of force majeure at several oilfields in the Southern
zone which have only marginally impacted our operations which
are mainly focused on gas asset. In 2024, Eni production in Libya
was 176 kboe/d, equal to about 10% of the Group’s total production
and was in line with management’s plans. Management continues
to monitor Libya’s geopolitical situation which is recognized as a
source of risk and uncertainty to Eni’s operations in the country
and related Group’s financial results.
The financial difficulties of Venezuela due to the US sanction regime
have impaired our ability to conduct profitable operations in the
country. Currently, after having completely impaired other projects
in past reporting periods, the Company retains just one asset in
Venezuela: the 50%-participated Cardón IV joint venture, which is
operating an offshore natural gas field and is supplying its production
to the national oil company, Petroleos de Venezuela SA (“PDVSA”),
under a long-term supply agreement. PDVSA has failed to regularly
pay the receivables for the gas volumes supplied by Cardón IV venture
and consequently a significant amount of overdue trading receivables
has accumulated over the years and a credit loss provision has been
booked to reflect the counterparty risk. In 2024, thanks to a temporary
suspension of sanctions granted by the U.S and an additional waiver
obtained by the US Department of State, it was possible to offset part
of the long-standing overdue receivables accrued with PDVSA-owned
crude oil cargoes. As of 31 December 2024, Eni's credit exposure to
PDVSA amounted to approximately €2.1 billion (€0.8 billion net of the
impairment provision). There is a great deal of uncertainty about the
evolution of the US sanctions against Venezuela and our ability to
recover our outstanding receivables.
The Group has significant credit exposure towards state-owned and
privately-held local companies in Nigeria following the divestment of
its onshore operations in the country to a local company. Considering
the historic underperformance of our counterparts in reimbursing
amounts owed to us considering a deteriorated financial framework
of the country, we believe that we are exposed to a credit risk going
forward.
Egypt has been experiencing financial restraints due to an economic
slowdown and a contraction in reserves of foreign currencies. Eni
is currently supplying its equity share of natural gas production to
local state-owned oil companies that in the past have failed to pay
receivables owed to us in a timely manner; in 2024 the situation has
improved and no incremental overdue amounts have been noted.
Due to this, a loss provision in the balance sheet has been defined
accordingly, reflecting the time value of an agreed repayment plan.
SANCTION TARGETS
The most relevant sanction programs for Eni are those issued
by the European Union and the United States and, as of today,
the restrictive measures adopted by such authorities in respect
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of Russia. As consequence of Russia’s military aggression of
Ukraine, the European Union, the United Kingdom, the United
States and the G-7 countries adopted a comprehensive system of
sanctions against Russia to weaken its economy and its ability to
finance the war. The sanction system is constantly evolving. The
main targets of the sanctions are the Russian Central Bank and
the major financial institutions of the country, as well as Russia’s
exports of crude oil and refined products to international markets.
Considering the complexity of the sanctions and the existing Eni’s
contracts for natural gas supplies from Russia and the need to make
payments to Russian counterparties, the Company is exposed to
the risk of possible violations of the sanction’s regime. Eni adopted
the necessary measures to ensure that its activities are carried
out in accordance with the applicable rules, ensuring continuous
monitoring of the evolution in the sanction framework, to adapt on
an ongoing basis its activities to the applicable restrictions.
Furthermore, an escalation of the international crisis, resulting in
a tightening of sanctions, could entail a significant disruption of
energy supply and trade flows globally, which could have a material
adverse effect on the Group’s business, financial conditions, results of
operations and prospects. From 2017, the United States have enacted
a regime of economic and financial sanctions against Venezuela, which
have been expanded to encompass the country’s oil&gas sector where
Eni is currently operating. The U.S. sanction regime is also restricting
any Venezuelan oil exports, including swap schemes utilized by foreign
entities to recover trade and financing receivables from PDVSA and other
Venezuelan counterparties. The U.S. sanction regime has reduced the
Group’s ability to collect the trade receivable owed to Eni for its activity
in the country, except for limited waivers which have been agreed with
U.S. relevant authorities from time to time allowing the Company to lift
some PDVSA’s entitlements of crude oil as an in-kind reimbursement of
overdue amounts owed to us in connection with our supplies of equity
natural gas to PDVSA. Recoverability of trade receivables owed to us
by PDVSA is uncertain and there is no assurance that we will able to
recover the full amount of credits outstanding as of end of 2024 (gross
amount of about €2.1 billion).
Eni carefully evaluates on a case-by-case basis the adoption of
adequate measures to minimize its exposure to any sanctions
risk which may affect its business operation. In any case, the U.S.
sanctions add stress to the already complex financial, political, and
operating outlook of the country, which could further limit the ability
of Eni to recover its investments in Venezuela.
SPECIFIC RISKS OF THE COMPANY’S
GAS BUSINESS IN ITALY
a) Currently, negative trends in the competitive environment of the
European natural gas sector may impair the Company’s ability to
fulfil its minimum off-take obligations in connection with its take-
or-pay, long-term gas supply contracts
Eni is currently party to a few long-term gas supply contracts
with state-owned companies of key producing countries, from
where most of the gas supplies directed to Europe are sourced via
pipeline (Russia, Algeria and Norway). These contracts which were
intended to support Eni’s sales plan in Italy and in other European
markets, provide take-or-pay clauses whereby the Company has an
obligation to lift minimum, preset volumes of gas in each year of
the contractual term or, in case of failure, to pay the whole price,
or a fraction of that price, up to a minimum contractual quantity.
Similar considerations apply to ship-or-pay contractual obligations
which arise from contracts with transmission system operators or
pipeline owners, which the Company has entered into to secure
long-term transport capacity. Long-term gas supply contracts with
take-or pay clauses expose the Company to a volume risk, as the
Company is obligated to purchase an annual minimum volume of
gas, or in case of failure, to pay the underlying price. The structure
of the Company’s portfolio of gas supply contracts is a risk to the
profitability outlook of Eni’s wholesale gas business due to the
current competitive dynamics in the European gas markets. In past
downturns of the gas sector, the Company incurred significant cash
outflows in response to its take-or-pay obligations. Furthermore,
the Company’s wholesale business is exposed to volatile spreads
between the procurement costs of gas, which are linked to spot
prices at European hubs or to the price of crude oil, and the selling
prices of gas which are mainly indexed to spot prices at the Italian
hub. In case the Company fails to meet its sales targets due to
competition in the European gas market, it could incur the take-or-
pay clause at its long-term supply contracts which could negatively
affect its financial performance.
Eni’s management is planning to continue its strategy of
renegotiating the Company’s long-term gas supply contracts in
order to constantly align pricing terms to current market conditions
as they evolve and to obtain greater operational flexibility to better
manage the take-or-pay obligations (volumes and delivery points
among others), considering the risk factors described above.
The revision clauses included in these contracts state the right of
each counterparty to renegotiate the economic terms and other
contractual conditions periodically, in relation to ongoing changes in
the gas scenario. Management believes that the outcome of those
renegotiations is uncertain in respect of both the amount of the
economic benefits that will be ultimately obtained and the timing of
recognition of profit. Furthermore, in case Eni and the gas suppliers
fail to agree on revised contractual terms, both parties can start an
arbitration procedure to obtain revised contractual conditions. All
these possible developments within the renegotiation process could
increase the level of risks and uncertainties relating the outcome of
those renegotiations.
b) Risks associated with the regulatory powers entrusted to the
Italian Regulatory Authority for Energy, Networks and Environment
in the matter of pricing to residential customers
Eni’s wholesale gas and retail gas and power businesses are
subject to regulatory risks mainly in Italy’s domestic market.
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The Italian Regulatory Authority for Energy, Networks and
Environment (the “Authority”) is entrusted with certain powers
in the matter of natural gas and power pricing. Specifically, the
Authority retains a surveillance power on pricing in the natural
gas market in Italy and the power to establish selling tariffs for
the supply of natural gas to residential and commercial users
who are opting for adhering to regulated tariffs until the market
is fully opened. Developments in the regulatory framework
aimed at increasing the level of market liquidity, promoting
deregulation or limiting operators’ ability to pass cost increases
in raw materials onto customers may negatively affect future
sales margins of gas and electricity, operating results, and cash
flow. In the current environment characterized by rising energy
costs, it is possible that the Authority may enact measures
intended to limit revenues of inframarginal power generation and
to reduce the indexation of the cost of the raw materials in pricing
formulae applied by retail companies that market natural gas and
electricity to residential customers and that development could
negatively affect our results of operations and cash flow in the
domestic retail business of natural gas and power. In the current
energy crisis context, many regulatory interventions at both the
EU and national level aim to ensure security of supply and curb
consumptions and energy prices for final customers. Our GGP
business that engages in the wholesale marketing of natural gas
and the power generation business that sell produced electricity
on the spot market could be exposed to a regulatory risk, although
on a smaller scale than the retail business due to well-established
and liquid spot markets for natural gas and electricity.
ENVIRONMENTAL, HEALTH AND
SAFETY RISKS
a) The Group is exposed to material HSE risks due to the nature of
its operations
The Group engages in the exploration and production of crude oil
and natural gas, processing, transportation and refining of crude oil,
transport of natural gas by pipeline, transport of LNG by carriers,
storage and distribution of petroleum products and the production
of base chemicals, plastics, and elastomers. The Group’s operations
expose Eni to a wide range of significant health, safety, security, and
environmental risks. Flammability and toxicity of hydrocarbons,
technical faults, malfunctioning of plants, equipment and facilities,
control systems failure, human errors, acts of sabotage, attacks,
loss of containment and climate-related hazards can trigger adverse
consequences such as explosions, blow-outs, fires, oil and gas
spills from wells, pipeline and tankers, release of contaminants and
pollutants in the air, ground and water, toxic emissions, and other
negative events. The magnitude of these risks is influenced by the
geographic range, operational diversity, and technical complexity
of Eni’s activities. Eni’s future results of operations, cash flow and
liquidity depend on its ability to identify and address the risks and
hazards inherent to operating in those industries.
b) Eni expects to incur material operating expenses and
expenditures in future years in relation to compliance with
applicable environmental, health and safety regulations, including
compliance with any national or international regulation on
greenhouse gas (GHG) emissions, as well as to retain high
standards of reliability in its industrial operations
Eni’s activities are highly regulated. Laws and regulations intended
to preserve the environment and to safeguard health and safety of
workers and communities impose several obligations, requirements,
and prohibitions to the Company’s businesses due to their inherent
risky nature because of flammability, dangerousness, and toxicity of
hydrocarbons and of objective complexities of industrial processes
to explore, develop, extract, refine, handle and transport oil, natural
gas, liquified natural gas and products. These laws and regulations
require acquisition of a permit before drilling for hydrocarbons may
commence, restrict the types, quantities and concentration of various
substances that can be released into the environment in connection
with exploration, drilling and production activities, including refinery
and petrochemical plant operations, limit or prohibit drilling activities
in certain protected areas, require to remove and dismantle drilling
platforms and other equipment and well plug-in once oil and gas
operations have terminated, provide for measures to be taken
to protect the safety of the workplace, the health of employees,
contractors and other Company collaborators and of communities
involved by the Company’s activities, and impose criminal and civil
liabilities for polluting the environment or harming employees’ or
communities’ health and safety as result from the Group’s operations.
These laws and regulations control the emission of scrap substances
and pollutants, discipline the handling of hazardous materials and
waste and set limits to or prohibit the discharge of soil, water or
groundwater contaminants, emissions of toxic gases and other air
pollutants or can impose taxes on carbon dioxide emissions, as in the
case of the European Trading Scheme that requires the purchase of
an emission allowance for each tons of carbon dioxide emitted in the
environment above a pre-set threshold, resulting from the operation
of oil and natural gas extraction and processing plants, petrochemical
plants, refineries, service stations, vessels, oil carriers, pipeline
systems and other facilities owned or operated by Eni.
Breaches of environmental, health and safety laws and regulations
as in the case of negligent or willful release of pollutants and
contaminants into the atmosphere, the soil, water or groundwater or
exceeding the concentration thresholds of contaminants set by the
law expose the Company to the incurrence of liabilities associated
with compensation for environmental, health or safety damage and
expenses for environmental remediation and clean-up, as well as
damage to reputation. Furthermore, in the case of violation of certain
rules regarding the safeguard of the environment and the health and
safety of employees, contractors, and other collaborators of the
Company, and of communities, the Company may incur liabilities
in connection with the negligent or willful violations of laws by its
employees as per Italian Law Decree No. 231/2001.
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Management expects that the Group will continue to incur significant
amounts of operating expenses and expenditures in the foreseeable
future to comply with laws and regulations, to upgrade plants and
equipment to improve security standards and to safeguard the
environment and the health and safety of employees, contractors
and communities involved by the Company activities by retaining
reliable industrial operations and by adhering to industry best
practices, including:
• costs to prevent, control, eliminate or reduce release of pollutants
and other hazardous materials in the soil, groundwater and the
marine environment, and of GHG and other toxic gases in the
atmosphere, as well as to maintain high standards of efficiency and
reliability at its plants and equipment, including offshore platforms,
FPSO vessels, oil&gas treatment plants, refineries, petrochemicals
complexes and pipelines;
• remedial and clean-up measures related to environmental
contamination or accidents at various sites, including those owned
by third parties, as well as decommissioning costs of productive
infrastructures and well plugging of industrial hubs and oil and
gas fields once production and manufacturing activities are
discontinued; and
• damage compensation claimed by individuals and entities,
including local, regional, or state administrations in case Eni is
found liable of a HSE incident, contamination, pollution of marine
or water resources, soil or the atmosphere, or violations of HSE
laws.
As a further consequence of any new laws and regulations or other
factors, like the actual or alleged occurrence of environmental
damage at Eni’s plants and facilities, the Company may be forced to
curtail, modify, or cease certain operations or implement temporary
shutdowns of facilities. Furthermore, in certain situations where Eni
is not the operator, the Company may have limited influence and
control over third parties, which may limit its ability to manage and
control such risks.
c) The Group is exposed to operational risks in connection with the
transportation of hydrocarbons
All of Eni’s segments of operations involve, to varying degrees, the
transportation of hydrocarbons. Risks in transportation activities
depend on several factors and variables, including the hazardous
nature of the products transported due to their flammability and
toxicity, the transportation methods utilized (pipelines, shipping,
river freight, rail, road and gas distribution networks), the volumes
involved and the sensitivity of the regions through which the
transport passes (quality of infrastructure, population density,
environmental considerations). All modes of transportation of
hydrocarbons are particularly exposed to risks of blowout, fire,
release of toxic agents in the atmosphere, spillover of oil and other
pollutants and loss of containment and, given that normally high
volumes are involved, could present significant risks to people, the
environment and the property.
d) The Group is not insured against all potential HSE risks
Eni retains worldwide third-party liability insurance coverage, which
is designed to hedge part of the liabilities associated with possible
incidents occurring at the Group plants and installations resulting in
damage to third parties, loss of value to the Group’s assets related
to adverse events and in connection with environmental clean-up
and remediation. Management believes that its insurance coverage
is in line with industry practice and is enough to cover normal risks
in its operations. However, the Company is not insured against all
potential risks. In the event of a major environmental disaster, such
as the incident which occurred at the Macondo well in the Gulf of
Mexico several years ago, Eni’s third-party liability insurance would
not provide any material coverage and thus the Company’s liability
would far exceed the maximum coverage provided by its insurance.
The loss Eni could suffer in case of a disaster of material proportions
would depend on all the facts and circumstances of the event and
would be subject to a whole range of uncertainties, including legal
uncertainty as to the scope of liability for consequential damages,
which may include economic damage not directly connected to
the disaster. The Company cannot guarantee that it will not suffer
any uninsured loss and there can be no guarantee, particularly in
the case of a major environmental disaster or industrial accident,
that such a loss would not have a material adverse effect on the
Company.
The Company has invested and will continue to invest significant
financial resources to continuously upgrade the methods and
systems for safeguarding the reliability of its plants, production
facilities,
well
execution,
vessels,
transport
and
storage
infrastructures, the safety and the health of its employees,
contractors, local communities, and the environment, to prevent
risks, to comply with applicable laws and policies and to respond
to and learn from unforeseen incidents. However, these measures
may ultimately not be completely successful in preventing and/or
altogether eliminating risks of adverse events. Failure to properly
manage these risks as well as accidental events like human errors,
unexpected system failure, sabotages, cyberattacks or other
unexpected factors could cause incidents of any kind of impact
and magnitude which could trigger in a worst case scenario
serious consequences, including loss of life, damage to properties,
environmental pollution, legal liabilities and/or damage claims and
consequently a disruption in operations and potential economic
losses that could have a material and adverse effect on the Group’s
results of operations, cash flow, liquidity, business prospects,
financial condition, and shareholder returns, including dividends,
the amount of funds available for stock repurchases and the price
of Eni’s shares. For example, in December 2024, a fire occurred
at a fuel storage site operated by Eni, which caused the death of
five people while working at site operations, several wounded and
damage to property. The Group made a loss provision to account
for all damage to people and property because insurance coverage
was not enough.
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LEGAL, IT AND FINANCIAL RISKS
a) Eni is exposed to the risk of material environmental liabilities in
connection with pending litigation
Eni has incurred in the past and may incur in the future material
environmental liabilities in connection with the alleged breach of
environmental laws claimed by administrative bodies and third
parties at industrial hubs where the Group is currently performing its
activities or where the Group has ceased to operate and is performing
decommissioning and remediation activities. Eni is also exposed to
claims under environmental requirements and, from time to time,
such claims have been made against the Company. Furthermore,
environmental regulations in Italy and elsewhere typically impose
strict liability. Strict liability means that in some situations Eni could be
exposed to liability for clean-up and remediation costs, environmental
damage, and other damages because of Eni’s conduct of operations
that was lawful at the time it occurred or of the management of
industrial hubs by prior operators or other third parties, who were
subsequently taken over by Eni. In addition, plaintiffs may seek
to obtain compensation for damage resulting from events of
contamination and pollution or in case the Company is found liable for
violations of any environmental laws or regulations. Due to the history
and development of the Group, Eni is particularly exposed to this kind
of risk in Italy. The Group is performing remediation and cleaning-up
activities at several Italian industrial hub where the Group’s products
were produced, processed, stored, distributed, or sold, such as
chemical plants, mineral-metallurgic plants, refineries, and other
facilities, which were subsequently disposed of, liquidated, closed, or
shut down. Eni has been alleged to be liable for having polluted and
contaminated proprietary or concession areas where those dismissed
industrial hubs were located. State or local public administrations
have sued Eni for environmental and other damages and for clean-up
and remediation measures in addition to those which were performed
by the Company, or which the Company has committed to performing,
including allegations of violations of criminal laws (for example
for alleged environmental crimes such as failure to perform soil or
groundwater reclamation, environmental disaster and contamination,
illegal discharge of toxic materials, amongst others). Although Eni
believes that it may not be held liable for having exceeded in the past
pollution thresholds that are unlawful according to current regulations,
but were allowed by laws then effective, or because the Group took
over operations from third parties, it cannot be excluded that Eni
could potentially incur such environmental liabilities. Eni’s financial
statements account for provisions relating to the expected costs to
clean up and remediate contaminated areas and groundwater at Eni’s
shut-down or operational Italian hubs, where legal or constructive
obligations exist and the associated costs can be reasonably
estimated in a reliable manner, representing management’s best
estimates of the Company’s existing environmental liabilities.
Although the Company has provided for known environmental
obligations that are probable and reasonably estimable, it is likely
that the Company will continue to incur additional liabilities in the
future. The additional costs are not fully determinable due to such
factors as the unknown magnitude of possible contamination, the
unknown timing and extent of the remediation actions that may be
required, the determination of the company’s liability in proportion
to other responsible parties, and the extent to which such costs are
recoverable from third parties. These future costs may be material to
results of operations in the period in which they are recognized, but
the Company does not expect these costs will have a material effect
on its consolidated financial position or liquidity.
b) Risks related to legal proceedings and compliance with anti-
corruption legislation
Eni is the defendant in several civil and criminal actions and
administrative proceedings. In future years Eni may incur significant
losses due to: (i) uncertainty regarding the final outcome of
each proceeding; (ii) the occurrence of new developments that
management could not take into consideration when evaluating the
likely outcome of each proceeding in order to accrue the risk provisions
as of the date of the latest financial statements or to judge a negative
outcome only as possible or to conclude that a contingency loss
could not be estimated reliably; (iii) the emergence of new evidence
and information; and (iv) underestimation of probable future losses
due to circumstances that are often inherently difficult to estimate.
Certain legal proceedings and investigations in which Eni or its
subsidiaries or its officers and employees are defendants might
involve allegations of breaching anti-bribery and anti-corruption laws
and regulations and other ethical misconduct. Such proceedings are
described in the Notes to the Consolidated Financial Statements
(note no.28). Ethical misconduct and noncompliance with applicable
laws and regulations, including noncompliance with anti-bribery and
anti-corruption laws, by Eni, its officers and employees, its partners,
agents or others acting on the Group’s behalf, could expose Eni and
its employees to criminal and civil penalties and could be damaging
to Eni’s reputation, business prospects and results of operations.
c) Risks from acquisitions
Eni is constantly monitoring the market in search of opportunities
to acquire individual assets or companies with a view of achieving
its growth targets or complementing its asset portfolio. Acquisitions
entail an execution risk – the risk that the acquirer will not be able
to effectively integrate the purchased assets to achieve expected
synergies. In addition, acquisitions entail a financial risk – the risk of
not being able to recover the purchase costs of acquired assets, in
case of a prolonged decline in the market prices of commodities. Eni
may also incur unanticipated costs or assume unexpected liabilities
and losses in connection with companies or assets it acquires. If
the integration and financial risks related to acquisitions materialize,
expected synergies from acquisition may fall short of management’s
targets and Eni’s financial performance and shareholders’ returns
may be adversely affected. In 2024, Eni has closed the acquisition
of the group Neptune Energy with a transaction value of €2.4 billion,
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which represents the largest acquisition made by Eni in recent years
and this deal could entail integration risks.
d) Eni’s crisis management systems may be ineffective
Eni has developed contingency plans to continue or recover
operations following a disruption or incident. An inability to restore
or replace critical capacity to an agreed level within an agreed period
could prolong the impact of any disruption and could severely affect
business, operations and financial results. Eni has crisis management
plans and the capability to deal with emergencies at every level of its
operations. If Eni does not respond or is not seen to respond in an
appropriate manner to either an external or internal crisis, this could
adversely impact the Group’s reputation, its business prospects and
results of operations.
e) Cyberattacks, disruption to or breaches of Eni’s critical IT
services or digital infrastructure and security systems could
adversely affect the Group’s business, increase costs and damage
Eni’s reputation
The Group’s activities depend heavily on the reliability and security
of its information technology (IT) systems and digital security. The
Group’s IT systems, some of which are managed by third parties,
are susceptible to being compromised, damaged, disrupted or
shutdown due to failures during the process of upgrading or
replacing software, databases or components, power or network
outages, hardware failures, cyberattacks (viruses, computer
intrusions), user errors or natural disasters. The cyber threat is
constantly evolving. The oil and gas industry is subject to fast-
evolving risks from cyber threat actors, including nation states,
criminals, terrorists, hacktivists and insiders. Attacks are becoming
more sophisticated with regularly renewed techniques while the
digital transformation amplifies exposure to these cyber threats.
The adoption of new technologies, such as the Internet of Things
(IoT) or the migration to the cloud, as well as the evolution of
architectures for increasingly interconnected systems, are all
areas where cyber security is a very important issue. The Group
and its service providers may not be able to prevent third parties
from breaking into the Group’s IT systems, disrupting business
operations or communications infrastructure through denial of
service, attacks, or gaining access to confidential or sensitive
information held in the system. The Group, like many companies,
has been and expects to continue to be the target of attempted
cybersecurity attacks. While the Group has not experienced any
such attack that has had a material impact on its business and
results of operations, the Group cannot guarantee that its security
measures will be sufficient to prevent a material disruption,
breach, or compromise in the future which could negatively and
significantly affect the Company, its reputation and results of
operations. As a result, the Group’s activities and assets could
sustain serious damage, services to clients could be interrupted,
material intellectual property could be divulged and, in some
cases, personal injury, property damage, environmental harm and
regulatory violations could occur.
f) Violations of data protection laws carry fines and expose the
Company and/or its employees to criminal sanctions and civil suits
Data protection laws and regulations apply to Eni and its joint
ventures and associates in most countries in which they do business.
The General Data Protection Regulation (EU) 2016/679 (GDPR) came
into effect in May 2018 and increased penalties up to a maximum of
4% of global annual turnover for breach of the regulation. The GDPR
requires mandatory breach notification, a standard also followed
outside of the EU (particularly in Asia). Non-compliance with data
protection laws could expose Eni to regulatory investigations, which
could result in fines and penalties as well as harm the Company’s
reputation. In addition to imposing fines, regulators may also
issue orders to stop processing personal data, which could disrupt
operations. The Company could also be subject to litigation from
persons or corporations allegedly affected by data protection
violations. Violation of data protection laws is a criminal offence in
some countries, and individuals can be imprisoned or fined.
If any of the risks set out above materialize, they could adversely
impact the Group’s results of operations, cash flow, liquidity, business
prospects, financial condition, and shareholder returns, including
dividends, the amount of funds available for stock repurchases and
the price of Eni’s shares.
g) Eni is exposed to treasury and trading risks, including liquidity
risk, interest rate risk, foreign exchange risk, commodity price risk
and credit risk and may incur substantial losses in connection with
those risks
Eni’s business is exposed to the risk that changes in interest rates,
foreign exchange rates or the prices of energy commodities will
adversely affect the value of assets, liabilities or expected future
cash flows. The Group does not hedge its exposure to volatile
hydrocarbons prices in its business of developing and extracting
hydrocarbons reserves and other types of commodity exposures
(e.g. exposure to the volatility of refining margins and of certain
portions of the gas long-term supply portfolio) except for specific
markets or business conditions. The Group has established risk
management procedures and enters financial derivatives contracts
to hedge its exposures to different commodity indexations and
to currency and interest rates risks. However, hedging may not
function as expected. In addition, Eni undertakes commodity
derivatives contracts to optimize commercial margins or with a
view of profiting from expected movements in market prices. Those
derivatives may or may not be risk-reducing. Although Eni believes
it has established sound risk management procedures to monitor
and control commodity trading, this activity involves elements of
forecasting and Eni is exposed to the risk of incurring significant
losses if prices develop contrary to management expectations and
to the risk of default of counterparties.
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Eni is exposed to the risks of unfavorable movements in exchange
rates primarily because Eni’s consolidated financial statements are
prepared in Euros, whereas Eni’s main subsidiaries in the Exploration
& Production sector are utilizing the U.S. dollar as their functional
currency. This translation risk is unhedged. As a rule of thumb,
a depreciation of the U.S. dollar against the euro generally has an
adverse impact on Eni’s results of operations and liquidity because it
reduces booked revenues by an amount greater than the decrease in
U.S. dollar-denominated expenses and may also result in significant
translation adjustments that impact Eni’s shareholders’ equity.
Eni’s credit ratings are potentially exposed to risk from possible
reductions of the sovereign credit rating of Italy. Based on the
methodologies used by Standard & Poor’s and Moody’s, a potential
downgrade of Italy’s credit rating may have a potential knock-on
effect on the credit rating of Italian issuers such as Eni and make it
more likely that the credit rating of the debt instruments issued by
the Company could be downgraded.
Eni is exposed to credit risk. Eni’s counterparties could default,
could be unable to pay the amounts owed to it in a timely
manner or meet their performance obligations under contractual
arrangements. These events could cause the Company to recognize
loss provisions with respect to amounts owed to it by debtors of
the Company and cashflow shortfall. For example, in 2024 we
continued incurring credit losses in connection with our supplies
of equity gas the national oil company of Venezuela “PDVSA” due
to the financial difficulties of our counterpart and the effect of US
sanctions. The exposure towards PDVSA has reached about €2.1
billion. More information on this issue are reported in the notes to
the Consolidated Financial Statements.
Liquidity risk is the risk that suitable sources of funding for the Group
may not be available, or that the Group is unable to sell its assets
on the marketplace to meet short-term financial requirements and
to settle obligations. Such a situation would negatively affect the
Group’s results of operations and cash flows as it would result in
Eni incurring higher borrowing expenses to meet its obligations or,
under the worst conditions, the inability of Eni to continue as a going
concern.
If any of the risks set out above materializes, this could adversely
impact the Group’s results of operations, cash flow, liquidity, business
prospects, financial condition, and shareholders returns, including
dividends, the amount of funds available for stock repurchases and
the price of Eni’s shares.
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For the main business and economic-financial evolutions please refer to the following sections: Strategy, Financial Review and Risk factors
and uncertainties.
Outlook
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Sustainability
Statement
LEGEND
Link to the Management Report and to the Consolidated Financial Statements
Internal links to the Sustainability Statement
External link
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General information
134
Sustainability for Eni
134
Basis for preparation
134
Process and results of the double materiality assessment
135
Statement on due diligence
141
The regulatory system
142
Stakeholder engagement
143
Main categories of stakeholders involved and methods of engagement
144
Climate change
146
Environment and Eni’s management system
162
Pollution
163
Water resources
168
Biodiversity
171
Resource use and circular economy
175
EU Taxonomy
178
Human rights for Eni
180
Eni’s own workforce
183
Health & safety
190
Workers in Eni’s value chain
195
Local communities
199
Clients and consumers
205
Business conduct
209
Reporting principles and criteria
218
Introduction
218
Policies: Code of Ethics and regulatory system
219
Metrics: methodologies
221
Annex to EU Taxonomy
230
Content index
253
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General information
SUSTAINABILITY FOR ENI
Eni’s mission confirms its commitment to a Just Transition as the
main challenge for the energy sector by balancing the need to ensure
universal access to energy for a continuously growing world population
with the urgency of tackling climate change through a more sustainable
energy mix and a socially just transition. Inspired by the objectives of
COP 21, Eni has developed a decarbonization strategy for the Group’s
products and industrial processes that aims for carbon neutrality
by 2050. The energy transition is also a technological transition,
which requires industrial capacity, innovation and collaboration to
improve people opportunities. In this context, also thanks to the
stakeholder engagement, Eni is committed to act responsibly, prevent
and minimize potential negative social and environmental impacts
on workers, communities, consumers and suppliers that may be
associated with the company’s traditional activities and the energy
transition. Eni promotes a culture of health and safety at work across
all its activities, aimed at preventing risks and protecting people,
including employees and contractors, and its assets. At the same
time, Eni plays an active role in the of human capital development,
in promoting well-being, in protecting the environment and respecting
human rights. In addition, Eni is committed to transparency, fighting
any form of corruption and collaborates with its partners, including
suppliers and customers, accompanying them towards sustainable
development. Finally, to contribute to the achievement of the United
Nations “Sustainable Development Goals” and to the growth of the
Countries in which it operates, Eni is committed to building alliances
with national and international development cooperation actors.
These goals, also reflected in the company mission, are an important
reference for Eni in managing the business activities. This approach is
also confirmed by the application, from January 1st 2021, of the 2020
Corporate Governance Code, which identifies “sustainable success”
as the guiding objective for the management’s action; the Eni’s
Business model also incorporates these sustainability principles.
BASIS FOR PREPARATION
Eni’s 2024 Consolidated Sustainability Statement (hereafter
Sustainability Statement) is prepared in accordance with
Legislative Decree 125/2024 and the European Sustainability
Reporting Standards (ESRS), including the disclosure obligations
provided for by Article 8 of EU Regulation 852/2020 ( European
Taxonomy). The document follows the structure of the topical
standards and it is divided into three areas: environmental, social
and governance; to avoid duplication regarding topics already
covered or for further information, the Sustainability Statement
refers to other sections of the Management Report for topics
already covered or for further information (as shown in the table
below and in the Content Index, which includes the list of all
datapoints, their cross-references, the adoption of transitional
measures, the so-called phase-in, and information deriving
from other EU laws). In particular, the
Management Report
describes Eni’s business model and governance, the Integrated
Risk Management system and the risk and uncertainty factors
detailing the main risks and impacts along with the mitigation
actions. The Sustainability Statement, prepared on a consolidated
basis, is approved by the Board of Directors and is subject to
limited assurance. For further details on the basis for preparation
(consolidation area, methodologies for calculating the indicators,
glossary, etc.), please refer to the Reporting principles and
criteria section at the end of the document.
CROSS-REFERENCE TABLE
REQUIREMENT OF ESRS STANDARD
REFERENCE
Corporate Management, Governance and Remuneration Model
Management Report/Governance
Business Model, Strategy and Value Chain
Management Report/Activities, Business Model and Strategy
Due Diligence Statement
Sustainability Statement
Internal Control System in the Sustainability Statement
Management Report
Stakeholder engagement activity
Sustainability Statement
Risk Management Model
Management Report/Integrated Risk Management
Materiality Analysis and material IROs
Sustainability Statement
Thematic Standards and Taxonomy
Sustainability Statement
Reporting principles and criteria
Sustainability Statement
Content Index
Sustainability Statement
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The 2024 materiality assessment, aimed to identify the sustainability
issues most relevant to Eni and its stakeholders, has been updated
based on ESRS standards to include the two perspectives of double
materiality, through: (i) the identification of the most significant impacts
– positive and negative, actual and potential – generated by the
organization on the environment and people, including human rights
impacts (so-called “impact materiality” or “inside-out” perspective); (ii)
the identification of risks and opportunities arising from sustainability
related topics that may significantly affect the company’s development,
performance and financial position in the short, medium or long-term
(so-called “financial materiality” or “outside-in” perspective). Eni’s
materiality process included the following phases:
• Identification of the list of potentially relevant material topics
related to Eni’s activities and its value chain1, both upstream
and downstream, with a top-down approach that considered the
company’s objectives, the insights from benchmark and context
analyses2, the aspects required by the ESRS and the GRI industry
standards, and the results of the human rights due diligence process
and particularly the mapping of Eni’s so-called Salient Human Rights
Issues3 (see Human rights for Eni). Moreover, the materiality
assessment of Eni and its subsidiaries of the previous year was
aslso taken into account. In addition, in order to reflect the interests
of different stakeholders, the priority material topics reported by the
functions that engage with different groups of stakeholders during
the year were considered (see Stakeholder Engagement).
• Identification of impacts, risks and opportunities (IROs) associated
with potentially relevant topics. The identification of impacts relied
on both the analysis of public sources4 and the advice of internal
managers. In fact, thanks to their experience, they identified the
(1) For more details on Eni’s value chain, see Activities.
(2) With reference to the analysis relating to the value chain, see Value chain and main impacts.
(3) This materiality assessment, limited to social topics, is drawn up on the basis of the mapping activities of the so-called salient human rights issues, and therefore includes the
potential negative impacts in relation to the most significant issues in the field of human rights (see Human rights for Eni), in line with the provisions of the international reference
instruments; the representation of the impacts actually verified in the reporting year takes place in the “Actions” sections, within the various social thematic chapters.
(4) For example, ENCORE (a platform that, depending on the sector it belongs to, contributes to the identification of impacts, risks and dependencies related to the environment) and the
WBCSD publications for the Oil & Gas sector for environmental impacts and the UNEP Tools for social impacts.
(5) The likelihood of current impacts has not been assessed, as the impact has occurred.
impacts in relation to the company activities, considering any
relevant aspects of the value chain, as well as specific activities
in the various business operations, and geographical areas that
could be subject to high risk of negative impacts. The identification
of risks associated with potentially significant issues is carried
out through a broader Integrated Risk Assessment process, (
Integrated Risk Management) in which risks are identified, analysed
and measured in relation to the achievement of Eni’s main targets.
The results of the assessment also include risks associated to ESG
issues, including risks deriving from dependencies on natural, human
and social resources and risks related to impacts on the environment
and people. The opportunities were identified in alignment with
the Strategic Plan, ensuring the identification of initiatives actually
pursued by the company.
• Definition of the Impacts, Risks and Opportunities (IROs)
assessment model, in which, in accordance with the ESRS
standards and the EFRAG Guideline on materiality, assessment
scales have been identified. The drivers connected to the
scales have been defined, (i) for impact materiality, in terms of
significance, expressed as a combination of the ratings assigned
to magnitude, scope and irremediable nature (the latter for
negative impacts) of each impact, in relation to the likelihood of
occurrence5 (ii) for financial materiality, in line with the Integrated
Risk Management model, risks are assessedby combining the
likelihood of the risks with the magnitude of the effects, measured
by quantitative and qualitative metrics (e.g., respectively,
economic-financial, based on the reduction of operating cash
flow or net profit, and reputational, based on the duration of the
effect and the stakeholders involved).
PROCESS AND RESULTS OF THE DOUBLE MATERIALITY ASSESSMENT
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For both perspectives, the model provides the likelihood to be assessed
on a scale from 1 to 5, and the significance (impact materiality) and
magnitude of effects (financial materiality) to be assessed on scales
from 1 to 5. For opportunities, the materiality testing is carried out by
considering the combination of likelihood assessment and materiality,
the latter assessed using a qualitative scale (defined by two relevance
levels) and a quantitative scale based on the level of Capex and Opex.
Regarding the likelihood of occurrence, a two-dimensional scale is used,
the highest level of which is associated with opportunities included in
the four-year strategic plan. The negative impact of climate change has
been considered significant based on the scientific consensus.
• Assessment of the significance of IROs. For the impact materiality,
the assessment was carried out by the competent corporate
functions at central level through an IT platform6 that tracks the
assessment process. A number of key subsidiaries were then
involved to identify and assess potential additional impacts specific
to their business/sector7. On the basis of the overall assessments,
impacts were selected as materials when, on the basis of a two-
dimensional matrix that considers likelihood and relevance, they
exceeded the materiality threshold defined internally (corresponding
to Tier 1 and 2 out of a total of 3). For financial materiality, risks
are assessed in terms of likelihood and magnitude of effects and
represented in a matrix that distinguishes three areas (Tier 1, 2, 3
in descending order of importance): the risks in Tier 1 and Tier
2 categories are considered as the main risks of Eni or Top Risk
(see
Integrated Risk Management). All Top Risks associated
with potentially material topics are considered material risks for
the purposes of financial materiality. Assessments are based on
data and assumptions, that vary according to the nature of the
risk; these assumptions take into account, where available and
according to their significance, both historical series of events that
have occurred and prospective estimates defined with the support
of specialist functions (e.g. market scenario forecasts). The scope of
risk assessment activities is determined by applying qualitative and
quantitative criteria for the selection of subsidiaries included in the
assessment process, in order to ensure adequate levels of coverage
of the company’s objectives. The assessment of opportunities is
an integrated process which, in addition to the Sustainability and
Integrated Risk Management functions, involves the Strategic
Planning department to ensure consistency with business plan
forecast and with the actual initiatives implemented or planned.
(6) This platform allows the corporate functions to assess the impacts, with consequent traceability of the assessments and related changes. Moreover, the materiality assessment of
the KPIs associated with the various topics has also been tracked.
(7) For further information on the possible connection between material impacts and commercial activities/relationships, see the sections describing the IROs in the individual chapters.
(8) The involvement of the administrative and supervisory bodies took place during the specific presentation of material IROs for the Sustainability Statement. The management was
involved, based on their specific responsibility, in the IRO evaluation processes.
(9) The impacts, risks and opportunities shown in the table are associated with the topics proposed by the ESRS to which aspects relevant to the business and/or the sector have been
associated (such as Asset Integrity aspects for safety, transparency of payments in the broader topic of Business Conduct and Cyber security as an aspect related to the privacy topic
of the ESRS).
Based on the assessment of strategic and economic significance
carried out, only Tier 1 opportunities were considered.
• Engagement with targeted experts regarding the results of the
impact materiality assessment following the internal evaluation;
these meetings were held with experts of the material topics subject
to evaluation and/or the CSRD, such as international organizations
engaged in sustainability issues, auditing/consulting firms, financial
institutions.
• Definition of the list of relevant IROs and final calibration,
which provides, based on the assessments carried out and,
where applicable, the established thresholds, the prioritization of
impacts, risks and opportunities relevant to the company and the
possible elimination of non-material IROs. Finally, the results of
the assessment were analyzed from an overall perspective, taking
into account both what has emerged during the meeting with the
experts and the company strategy, in order to calibrate the final list
of impacts, risks and opportunities. The results of the assessment,
particularly those concerning relevant IROs, were presented to8
the Control and Risk Committee, the Sustainability and Scenarios
Committee and the Board of Statutory Auditors and, to the Board of
Directors when the Sustainability Statement was approved.
In identifying impacts, risks and material opportunities, all the Group’s
business lines were considered to ensure a complete assessment
and an initial assessment of the impacts generated by its activities
along the value chain was carried out (see the Value chain and
main impacts), which will be further explored in the coming years. In
addition, the ideas that emerged from the continuous dialogue with the
different categories of Eni stakeholders were taken into consideration
(see Stakeholder Engagement). The table shows the results of the
materiality assessment associated with the ESRS topics9. Compared
to last year, the materiality analysis has been updated taking into
account the requests of the ESRS which, as indicated above, in
addition to extending the scope of assessment to opportunities and
the value chain, defines the reference methodology. The results of
the analysis confirm a substantial alignment of the material topics
of the past year. Based on the identification of the material IROs, the
corrisponding topics and sub-topics as well as the related material
datapoints of the ESRS standards have been identified, and are
disclosed in the thematic chapters, where the specific impacts and
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the connections with the activities and strategy are explored in
depth. To support the materiality assessment process, appropriate
control measures have been defined, in line with the best practices
of reference and integrated into the overall internal control system on
financial and non-financial reporting. For more details on the business
activities about material impacts and related actions to the identified
IROs, please refer to the in-depth analysis on IROs in the individual
thematic chapters. The effects of IROs on the business model and
strategy are also addressed within these thematic sections including,
for example, the climate strategy which is closely linked to the business
model and the supplier engagement strategy for a sustainable
supply chain. Regarding the main strategic, industrial, market and
regulatory risks to which the Group is exposed, please refer to the
Integrated Risk Management and Risk factors and uncertainties,
while for further information on the Group’s results in 2024, please
refer to the Commentary on the Economic and Financial Results.
With regard to the current financial effects deriving from material
risks and opportunities, there is nothing to highlight during the year;
for further information on the results of the impairment test and on
the provisions for the financial statements, in particular those related
to site restoration and abandonment (for which the amortization is
concluded), to environmental remediation and to the dismantling/
removal of industrial plants that are not competitive in the current
market scenario, for which there are no economic alternatives for
conversion, (see Note 21 “Provisions” of the Consolidated Financial
Statements). In addition, please refer to the paragraph dedicated to
the European Taxonomy for a reclassification of investments based
on the technical criteria provided by the European Regulation.
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MATERIAL ISSUES FOR ENI AND ITS STAKEHOLDERS10 11 12 13 14
(10) Potential impacts: impacts that have a likelihood of occurrence in the short, medium and long term.
(11) Actual impacts: impacts that have occurred in the last reporting year or are currently occurring.
(12) The reference time horizons can be short (S), medium (M) and long (L) term.
(13) For a detailed description of the individual risks, see Integrated Risk Management section of the Management Report.
(14) For other circular economy opportunities, see those mentioned for Climate Change (Biorefining and Chemical Development from Renewables).
(15) This impact was also noted in the environmental section.
TOPIC
IMPACT MATERIALITY
IMPACT DESCRIPTION
(+) positive o (-) negative (P) potential10 or (A) actual11
TIME
HORIZON12
CLIMATE CHANGE
(-) Climate-changing emissions. (A)
POLLUTION
(-) Release of pollutants into the air. (A)
(-) Release of pollutants into the soil, including oil spill. (A)
(-) Release of pollutants into water. (A)
WATER RESOURCES
(-) Fresh water consumption. (A)
BIODIVERSITY
(-) Degradation or loss of biodiversity (habitats, ecosystems and species) of ecosystem services. (A)
RESOURCE USE AND
CIRCULAR ECONOMY
(-) Waste production and treatment. (A)
(+) Contribution to the conservation of resources and environmental benefit through the conversion and
redevelopment of assets and the use of secondary or renewable raw materials. (A)
OWN WORKFORCE
(-) Occupational diseases and impacts on employee’s health. (A)
(+) Health promotion initiatives. (A)
(+) Impact on workers’ well-being due to welfare initiatives. (A)
(+) Development of employee skills aimed at professional growth. (A)
(-) Failure to respect labour rights (including: working hours; wages; freedom of association and collective
bargaining; safety). (P)
(-) Discrimination at work and lack of respect for equal treatment and opportunities. (P)
(-) Physical, psychological, or verbal violence and harassment (including gender-based harassment). (P)
(-) Workplace injuries. (A)
(-) Service interruptions and impacts on the environment and people caused by accidents (including Process Safety)
and asset and infrastructure failures(15) (P).
(-) Impact on the workforce with reference to industrial conversions and transformations (P).
WORKERS IN THE VALUE
CHAIN
(-) Failure to respect labour rights for workers in the value chain (including: working hours; wages). (P)
(-) Limitations on freedom of association and collective bargaining;
right to strike for workers in the value chain. (P)
(-) Discrimination at work and lack of respect for equal treatment and opportunities. (P)
(-) Recourse to forms of forced labour. (P)
(-) Physical, psychological, or verbal violence and harassment (including gender-based harassment). (P)
(-) Exploitation of child labour in work activities. (P)
(-) Workplace injuries. (A)
(-) Occupational diseases and health impacts on contractors. (P)
(+) Health promotion initiatives. (A)
(-) Failure to respect the right to secure employment (informality of employment, unclear contractual conditions,
repeated renewals of precarious contracts). (P)
AFFECTED
COMMUNITIES
(+) Development of communities and the local entrepreneurial network. (E)
(-) Impacts on land rights with repercussions on livelihoods and economic, social and cultural rights.
Involuntary displacement/resettlement and inadequate compensation. (P)
(-) Reduced access to essential resources and livelihoods. (P)
(-) Restrictions on freedom of expression and association of Human Right Defender, intimidation, threats and physical
or judicial attacks in retaliation for defensive actions carried out. (P)
(-) Impacts on the safety, health and freedom of communities caused by violent actions by security forces, both private
and governmental. (P)
(-) Physical, psychological, or verbal violence and harassment (including gender-based harassment). (P)
(-) Impact on the health of communities due to business activities. (P)
(+) Impact on community health due to voluntary community health projects. (A)
(-) Impacts on the specific rights of indigenous peoples. (P)
(-) Exacerbate/indirectly contribute to serious human rights violations due to the conflict situation. (P)
CLIENTS AND
CONSUMERS
(+) Offering high-quality decarbonised products and services in line with customer needs, in compliance with transparent
and fair business practices, simultaneously promoting a culture of sustainable energy use. (A)
(-) Unclear advertising campaigns or misleading or aggressive commercial practices. (P)
BUSINESS CONDUCT
(+) Sustainable growth of the entrepreneurial system through the dissemination of sustainability principles. (A)
(+) Transparency and correct use of government revenues for the benefit of the local population and prevention of corruption. (A)
(-) Episodes of national and/or international corruption ascertained by a final judgment. (P)
(+) Institutional engagement activities, including advocacy, aimed at enhancing the company’s commitment to the energy
transition path. (A)
INNOVATION AND CYBER
SECURITY ASPECTS
(+) Technological development and innovation in the energy sector thanks to investments in Research and Development
and patents. (A)17
(-) Loss of confidentiality and/or integrity of information or unavailability of IT systems supporting the business following
a cyber security incident with possible propagation to the IT systems of suppliers and partners. (P)18
Long-term time horizon
Medium-term time horizon
Short-term time horizon
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15 16 17 18
(16) This opportunity is already reported for the Climate change topic and also reported here, as it is also aimed at end customers.
(17) The impact is represented separately, as research and technological innovation activities make it possible to access new energy resources, and is therefore transversal to all
business activities, but is considered material in particular within the Climate Change topic, in line with the draft EFRAG sector standard.
(18) Represented separately for the simplicity and conciseness of the representation, but the impact related to Cyber security is underlying the social aspects and is linked to the sub-
sub-topic Privacy: for workforce, workers in the value chain and customers and consumers.
FINANCIAL MATERIALITY
RISKS13
OPPORTUNITIES
Climate Change (physical and transition risks)
Opportunities to develop products and services with reduced emission impact and technologies for the mitigation and offsetting of GHG emissions:
• Renewable capacity development
• Electric vehicle charging points
• Biorefining with Agri Feedstock
• Chemistry from renewable raw materials
• CCUS project development
• Magnetic fusion
Accidents
Blowout
-
-
-
Expansion of the remediation and waste treatment business thanks to technological development and internal know-how in view of the growing
demand for these services on the market14
Accidents
Blowout
Global Security Risk
Biological Risk
Attraction and retention of qualified human resources for new businesses
-
-
Relationships with local stakeholders
Accidents
Blowout
Ensure access to new business opportunities through discussion and engagement with local stakeholders and in collaboration with civil society
organizations and institutions
-
Opportunities to develop products and services with reduced emission impact and technologies for the mitigation and offsetting of GHG emissions16
-
Growth in the sustainability performance of the Eni supply chain and the business system, with a leadership role for Eni in the Open-es alliance and
digital platform
Cyber Security
Use of collaborations, skills and technological insights from outside, developing and enhancing technologies internally to meet operational needs
from the business
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The resilience of the strategy to
material IROs
The assessment of the resilience of the strategy with respect to
material impacts, risks and opportunities is integrated into the process
of defining the Strategic Plan starting from the preparation of the
proposal, considering the underlying risk profile, up to the examination
by the Board of Directors, which is called upon to assess the degree
of compatibility of the risks with a company management in line with
the strategic objectives identified. The assessment of compatibility
between risks and strategic objectives is supported by the Integrated
Risk Management activities that provide an overall view of the main
corporate risks, including those related to sustainability issues; their
assessment takes into account the mitigation actions implemented.
The risk profile underlying the four-year Strategic Plan is further explored
through the integrated assessment of the effects of risks on financial
objectives, as well as the analysis of the de-risking effectiveness
actions of the strategic risks. In addition, in the process of defining
the Corporate Strategic Plan, considerations regarding the mitigation
measures of negative impacts are integrated as well as aspects relating
to the achievability of positive impacts and significant opportunities
identified in order to ensure the achievement of the objectives set. With
regard to safeguards, the Company adopts different solutions aimed at
mitigating the significant impacts as well as exposure to the main risks
to which it is subject, described in the Integrated Risk Management
chapter and in the specific chapters of the Sustainability Statement.
In addition, Eni conducts both dedicated scenario analyses, aimed at
verifying the resilience of the strategy with respect to climate-related
impacts and risks, (discussed in the Climate Change chapter), and
resilience analyses for Biodiversity. For social topics, Eni has adopted
corporate Due Diligence processes and systems in line with the
reference frameworks and best practices, that allow the company
to identify and manage the potential negative impacts related to its
operations, its value chain, as well as its products or services and its
business relationships (see Human Rights for Eni).
Value Chain and Main Impacts SBM3 48a
Eni is an integrated energy company, operating across the entire
value chain, from the exploration, development and extraction of
resources19 to the marketing of energy, products and services to end
customers. Eni’s Business Model combines the use of technologies,
largely proprietary, enhancing internal skills and a strategic network of
collaborations, with the development of an innovative satellite model,
which provides for the creation of dedicated companies capable of
independently accessing the capital market to finance their growth.
Partnerships and alliances with stakeholders are relevant to the
(19) For more information on the types of revenues, see Financial review.
(20) Suppliers belonging to the MSG Procurement boundary holding the contracts of the most significant value.
(21) Platform to support companies in the path of measurement and growth in the ESG field with the aim of creating value and benefits for the entire entrepreneurial system.
(22) Among the material issues for the Value Chain, it should be noted that the following issues emerged from the analysis of the data of strategic suppliers on the Open-es platform:
(i) climate change; (ii) human rights of workers; (iii) ESG oversight in the supply chain.
achievement of these objectives to ensure their engagement in Eni’s
activities and in the transformation of the energy system. For the
identification and assessment of potentially material topics for the
value chain, for the first year of application of the CSRD Directive, an
analysis was carried out based on the information currently available
at company level regarding the impacts that can be generated
within its value chain. On the basis of these insights, given the
complexity of the value chain of a company like Eni, that operates in
different geographical areas and industrial sectors, the assessment
considered widespread impacts throughout the entire value chain,
regardless of the business and specific activity. As regards the
main impacts of the value chain, these were identified and analysed
consulting with the internal departments in charge, and interviewing
some external experts regarding the impacts, in order to assess their
materiality. In addition, with regard to the upstream value chain, an
in-depth study was carried out on the materiality assessment and
the relevant issues for the main suppliers20 through the analysis
of their data declared on the Open-es platform21, corroborated by
a comparison with the internal specialist functions that deal with
procurement. Among the topics that emerged22 from the in-depth
studies, the material ones were selected based on the criterion
of their pervasive presence along the entire supply chain; this
threshold confirms the relevant topics already explored in the past
reporting. Climate change has been identified as one of the main
topics, with impacts both on upstream and downstream of the value
chain. In particular: (i) industrial activities in the upstream business,
considering the significant energy-intensive/emission profile of
certain portions of the supply chain with particular reference to
upstream industrial activities (such as drilling, production and
construction of plants with high energy and emission consumption),
generate emission impacts; (ii) in the downstream business activities,
on the other hand, the emission impacts derive mainly from the use
of the products and services sold (Scope 3, see Climate Change/
Metrics chapter). Another relevant topic concerns the potential
impacts on workers’ human rights, including safety, in particular
in the supply activities characterized by a high use of labour, such
as maintenance, construction or general service activities, defined
as “labour intensive” (see Workers in Eni’s value chain chapter).
In addition, the significant involvement of large operators (e.g.
EPC Contractors) who in turn have important supply chains, could
generate potential negative social and/or environmental impacts, if
not adequately managed. The breadth and complexity of the value
chain, involving a plurality of jurisdictions, determine a greater
exposure to the impacts deriving from the loss of confidentiality
of information related to cyber security aspects and, regarding the
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upstream activities, to the impacts related to corruption episodes
(see Business Conduct chapter). At the same time, considering
the downstream value chain, customer relationship management
implies potential impacts related to unclear advertising campaigns
or commercial practices, and the integration of communication
systems represents a potential risk factor in the processes of
managing information and related confidentiality (see Clients and
Consumers). For more information on the structure of the value
chain, please refer to the Activities section.
STATEMENT ON DUE DILIGENCE
Eni has established over time multiple corporate management
processes and systems in the social, environmental, climate and
business conduct fields, inspired by the most advanced industry
standards. These processes and systems are integrated into
corporate governance and strategy to ensure that Eni’s operations
comply with national and international regulations and promote
responsible practices while conducting its activities. In particular,
(23) The main OECD reference sources on good business conduct are “OECD Due Diligence Guidance for Responsible Business Conduct” (2018), “OECD Guidelines for Multinational
Enterprises on Responsible Business Conduct” (2023), “Managing Climate Risks and Impacts Through Due Diligence for RBC - a tool for Institutional Investors” (2023), “Responsible
Business Conduct for Climate Action” (2024). It is a framework of soft law regulations that defines general principles not declined by sector, with technical-scientific implications that
are still being studied.
human rights due diligence is in line with the United Nations
Guiding Principles on Business and Human Rights and the OECD
Guidelines for Multinational Enterprises. The due diligence with
reference to climate change has only recently been made explicit in
the OECD Guidelines (OECD Guidelines for Multinational Enterprises
on Responsible Business Conduct - June 2023); to date, its
implementation methods suffer from the absence of prescriptive
rules and reference best practices23 and are therefore still subject
to interpretation. In this context, on the basis of the analyses carried
out, Eni believes that it is substantially in line with the principles
expressed by the OECD as represented in the Climate Change
chapter, provided that the attention and permanent monitoring
of the reference regulatory corpus and best practices to follow its
developments. In order to facilitate the consultation of the present
document, the following is a mapping of the information provided
within the Sustainability Statement regarding the Due Diligence
process, considering that some activities may not be unequivocally
refer to one of the “Phases of Due Diligence” indicated below.
Taking action to address those adverse impacts
Tracking the effectiveness of these efforts and communicating
Engaging with affected stakeholders
Identifying and assessing adverse impacts
Embedding due diligence in governance, strategy and business model
PARAGRAPHS OF THE STATEMENT
PHASES OF DUE DILIGENCE
E
S
G
Governance section
Double materiality Assessment Process and Results
The regulatory system
Policies (E1; E2; E3; E4; E5; S1; S2; S3; S4; G1)(a)
Stakeholder engagement with specific paragraphs in the chapters related to the
engagement of workers (S1), workers in the value chain (S2), communities (S3)
and customers (S4)
Environment and Eni’s management system
Human rights for Eni
Material impacts, risks and opportunities (IROs) Material (E1; E2; E3; E4; E5; S1; S2;
S3; S4; G1)
Actions taken on material IROs (E1; E2; E3; E4; E5; S1; S2; S3; S4; G1)
Target and commitments (E1; E2; E3; E4; E5; S1; S2; S3; S4; G1)
Metrics (E1; E2; E3; E4; E5; S1; S2; S3; S4; G1)
(a) E1, E2, E3, E4, E5, S1, S2, S3, S4, G1 refer to the environmental, social and governance standards of the ESRS.
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THE REGULATORY SYSTEM
In order to allow the concrete implementation of the provisions of
the mission and to guarantee the integrity, transparency, fairness and
effectiveness of its processes, Eni adopts rules for the performance of
corporate activities and the exercise of powers, ensuring compliance
with the general principles of traceability and segregation. All Eni’s
operating activities can be traced back to a map of processes that are
functional to the company’s activities and integrated with the control
needs and principles set out in the compliance and governance
models and based on the By-laws, the Code of Ethics24 and the
Corporate Governance Code, Model 231, the principles of Eni’s control
system on financial and sustainability reporting and the CoSO Report
Framework (Committee of Sponsoring Organizations of the Treadway
Commission). On 26th January 2023, the Board of Directors of Eni
SpA updated the fundamental lines of the Regulatory System Policy,
following an update and revision project that led to an evolution of the
architecture, instruments and rules of the Regulatory System in line
(24) The
Code of Ethics, renewed in 2020, expresses the corporate values that characterize the commitment of Eni’s people and all third parties who work with the company: integrity,
respect for and protection of human rights and the environment, transparency, promotion of development, operational excellence, innovation, team work and collaboration. These values
support the company in defining the appropriate administration and control structure, in the adoption of an effective internal control and risk management system, in communicating
with shareholders and other stakeholders.
(25) For an in-depth analysis of the regulatory system and its components, please refer to the
2024 Corporate Governance and Shareholding Structure Report.
(26) For further information, see the Eni Policies: Code of Ethics and Regulatory System chapter.
with the operational and governance requirements of the Eni’s strategy
that is based on decarbonization but also guaranteeing the security of
energy supplies and the development of a satellite corporate model
aimed at maximizing business value. An architecture based on 4 levels
is confirmed25, combining management and coordination instruments
aimed at managing business operations.
The regulatory instruments are published on the dedicated system
accessible from the company website, while those most relevant
to external stakeholders are accessible directly on the Company’s
website. In addition to the ECG Policy26, referring to some material
topics, Eni has over time also adopted public positions on some
specific topics, approved by the CEO or the Board of Directors.
The contents of both the ECG Policy and the public positioning
are explored in the chapters dedicated to material topics, which
are also accompanied by the principles of the internal regulatory
framework (described in the figure).
GENERAL FRAMEWORK OF REFERENCE FOR THE REGULATORY SYSTEM
BY-LAWS
CODE OF ETHICS
MODEL 231
CORPORATE
GOVERNANCE CODE
PRINCIPLES OF ENI’S FIANNCIAL
REPORTING CONTROL SYSTEM
CoSO REPORT
FRAMEWORK
OPERATION
MANAGEMENT AND COORDINATION
POLICY ETHICS, COMPLIANCE & GOVERNANCE
They define Eni's values and principles (ethics); a systematic framework for
the implementation of specific regulatory requirements (compliance),
regulations or international frameworks; the rules of reference for corporate
governance (governance). They are transversal to business processes.
PROCESS MSG
They define the guidelines aimed at an adequate management of
the reference process, in consideration of the specific reference
principles of the process, the main risks and the control measures
identified to mitigate them, describing: i) roles and responsibili-
ties; (ii) sub-processes; (iii) mitigation measures.
GLOBAL PROCEDURE / COMPANY PROCEDURE
Global Procedures: define the detailed design of the
end-to-end sub-processes operating methods relating to
ECG subject areas.
Company Procedures: these are procedures issued and
applicable to each company.
OPERATING INSTRUCTION
Operating Instruction: describes how specific
activities, methodologies and/or technical
aspects are carried out.
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STAKEHOLDER ENGAGEMENT
Eni considers stakeholder engagement a key element to achieve
sustainability goals, creating long-term value while reducing
business risks. For this reason, Eni involves all stakeholders to
prevent and minimize any negative impacts of the energy transition.
Continuous dialogue is also essential to pursue the objectives
defined annually within the four-year and long-term Strategic
Plan. In line with the Code of Ethics, Eni maintains relationships
based on the principles of fairness, legality, transparency,
traceability, respect for human rights, inclusion, gender equality
and protection of the environment and communities. Operating
in 64 Countries with different socio-economic backgrounds,
understanding stakeholder expectations, with specific attention to
vulnerable groups, participation and sharing of choices, objectives
and business results foster solid relationships and mutual trust.
This approach responds to the Recommendation of the Code of
Governance, to which Eni has committed, according to which the
Board of Directors itself promotes, in the most appropriate ways,
dialogue with shareholders and other stakeholders relevant to
the company and is based on the principles established by the
Board of Directors in the Code of Ethics and in the Policy for the
management of dialogue with investors. Continuous dialogue
with each type of stakeholder takes place at all levels of the
company according to defined responsibilities. In particular, Eni’s
commitment to carbon neutrality and a just energy transition
requires a strong involvement: (i) of the own workforce, also
through adequate social dialogue, listening initiatives and
reskilling and upskilling programs to support eventual relocations;
(ii) of suppliers to identify and manage the impacts of the energy
transformation, supporting small and medium-sized enterprises
in particular, supporting them in the transformation process and
maintaining competitiveness; (iii) local communities with the
aim ofcontributing to the development of economic and social
opportunities, maximising the positive effects of Eni’s activities on
the territory; (iv) consumers to promote conscious and efficient
energy consumption and offer innovative energy solutions. In
relation to these groups of right-holders, Eni has developed a
human rights management system that has been integrated into
the main corporate processes over the last five years. Finally,
to support relations with local stakeholders, Eni has adopted a
“Stakeholder Management System” (SMS), operating at central
level and at the subsidiaries level, that allows the mapping of
more than 7,400 stakeholders and makes it possible to support
the definition of engagement strategies and the management of
requests and critical issues raised by each stakeholder. The table
below provides information for each category of stakeholders
on how they are engaged, the goal of this engagement and the
outcome resulting from this dialogue. This dialogue is taken into
account when definingthe corporate strategy and the Other
commitments and targets on ESG issues, as well as the business
model.
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MAIN CATEGORIES OF STAKEHOLDERS INVOLVED AND METHODS OF
ENGAGEMENT
CATEGORY
ENGAGEMENT GOAL
ENGAGEMENT OUTCOME
ENI’S PEOPLE AND
NATIONAL AND
INTERNATIONAL
UNIONS
• Establishing a relationship of trust between society, workers
and trade unions
• Supporting workers’ social protection and respect for HR
(Human Rights)
• Sharing changes and skills development
• Promoting work-life balance
• Achievement of strategic objectives
• Up/reskilling skills
• Information and consultation of workers’ representatives in
strategic and operational processes
• Updating internal policies
• Participation in global initiatives and campaigns for
people’s well-being
FINANCIAL
COMMUNITY
• Ensure adequate understanding of:
I. strategic choices, value drivers and operating context
II. economic-financial performance and ESG
• Prepare communications and presentations aligned
with the expectations of the financial community
• Consider feedback from the financial community for
policy development and improvement of ESG ratings
LOCAL COMMUNITIES,
COMMUNITY BASED
ORGANIZATION AND
ORGANIZATIONS
FOR COOPERATION
DEVELOPMENT
• Consider local expectations and needs and implement
development projects
• Identify potential negative impacts, prevention and mitigation
measures, ensuring compliance with HR
• Promote and support dialogue and active cooperation,
including by involving the authorities
• Establish strong and lasting relationships and partnerships
with all the players in the area
• Dissemination of transparent information on Eni’s
activities
• Promotion and implementation of Local Development
Programs in line with local needs and the strategic
frameworks of the United Nations, sharing know-how
and promoting synergies with the main actors of
Cooperation
• Evaluation and measurement of local development
through the use of tools and methodologies
CONTRACTORS,
SUPPLIERS AND
COMMERCIAL
PARTNERS
• Supporting suppliers in managing impacts on people and the
environment, ensuring compliance with HR
• Promoting safety at work throughout the supply chain,
ensuring safe and dignified working conditions
• Guiding suppliers on the energy transition path
• Optimization of compliance with a view to anti-corruption and
HR due diligence on potential third parties at risk
• Foster supply chain competitiveness through the adoption of
sustainable practices that strengthen the resilience of suppliers
in global markets
• Identifying, preventing and mitigating risks at every
stage of the procurement process
• Building a safe, responsible, innovative and international
supply chain for a fair and sustainable energy transition
• Promotion of training and awareness on ESG and HR
issues
CUSTOMERS
AND CONSUMERS
• Supporting and promoting actions in favour of the just energy
transition
• Create and spread the culture of sustainable energy usage, for
conscious and efficient consumption
• Promotion of business relationships focused on
customer needs
• Providing quality products and services in line with
specific needs
• Supporting financially vulnerable clients, especially
young people
NATIONAL, EUROPEAN
AND INTERNATIONAL
INSTITUTIONS
• Contribute to the public debate on topics of interest, including
the energy transition, by representing the company’s position
• Creation of partnerships and memberships that promote Eni’s
business and/or corporate positioning
• Creation of partnerships for projects aimed at contributing to
the socio-economic and health development of the Countries in
which Eni is present
• Supporting transparent dialogue
• Representation of Eni’s interests at the various
institutions for the assessment of the impacts of
policies and regulations
• Help improve policy effects and effectiveness
• Participation in consultations on policy proposals
UNIVERSITIES,
INSTITUTES, RESEARCH
CENTERS AND
INNOVATION HUB
• Promote the development of skills and technological know-how
to ensure the sustainable transition
• Activating an innovative ecosystem for the transition and new
energy supply chains
• Assess and monitor the risks related to business activities on
the health of workers
• Development of innovative solutions, such as magnetic
confinement fusion
• Promotion of scientific research activities
• Supporting dialogue and skills for the transition
ADVOCACY
ORGANIZATION,
TRADE/CATEGORY/
CONFINDUSTRIA
ASSOCIATIONS
• Supporting the business in the path of energy transformation
and transition
• Sharing knowledge and experience in the energy transition path
• Promote discussion on solutions for energy production,
research and development
• Definition of strategies to support the energy transition
• Support for global policies and regulations in the fight
against climate change
• Promotion of sustainable mobility with alternative fuels
and car sharing
• Promotion of new technologies in the blue economy
• Implementation of the Open-es platform
• Promotion of sustainable supply chain strategy
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(27) The topics and priority aspects for engagement with the different categories of stakeholders inform the materiality assessment.
ENGAGEMENT MODE
2024 ACTIVITIES
MAIN TOPICS27
• Encounters
• Workshop
• Collaborations
• Training and awareness-raising initiatives
• Meetings of worker/company representative
Committees.
• Awareness of diversity and Zero tolerance policies
• Share of the Golden Principles and Rules of Safety
• Team building and youth enhancement
• The results of the survey for the ~5,000 under 36 resources
were analyzed and shared with management and specific
initiatives were launched
• Human capital
• Occupational and process health
and safety
• Circular economy and waste
management
• Continuous dialogue, also with top
management, through the participation/
organization of: events, road-shows,
conference calls, thematic conferences
• Collaboration with ESG ratings
• Quarterly presentations and Capital Markets Day
• Participation in road shows and specialized conferences
• One-on-one meetings with investors
• Engagement with investors and proxy advisors on
shareholders’ meeting issues
• Engagement with ESG rating agencies for rating issuance
• ~850 funds contacted
• Economic and financial
performance
• Climate change
• Occupational and process health
and safety
• Biodiversity and ecosystems
• Value chain workers
• Consultations
• Grievance Mechanism
• Awareness campaigns
• Workshop
• Questionnaires and data collection
• Institutional meetings
• Initiatives and events in the area
• Cooperation agreements with development
cooperation organisations
• Periodic communications on project progress
• Request and grievance management
• Monitoring activities
• Baseline studies, feasibility studies, project evaluations
• Presentation of objectives and results
• Collaborations with United Nations Agencies (UNIDO, UNESCO,
ILO, IOM) and civil society organizations (IRC, E4Impact, AVSI,
Oikos Institute, Doctors with Africa CUAMM and AISPO) and
National Cooperation Agencies (AICS and USAID)
• 17 agreements signed for socio-economic development
initiatives and 4 for community health initiatives
• Local development and access to
energy
• Climate change
• Equal treatment
• Community Health
• Training programs and discussion of
suppliers on specific ESG issues
• Survey, assessment and monitoring of
supplier performance
• Awareness-raising activities on ESG issues
through the initiatives of the Open-es
Community
• Enhancement of best practices
• Expansion of the Open-es community: >28,000 member
companies
• Extension of the application of the HR due diligence model
• “Sustainable Supply Chain Finance” Programme
• Safety & Sustainability Award”Open-es ESG Skills” training
program aimed at the entire supply chain
• Occupational and process health
and safety
• Climate change
• Human rights
• Responsible management of supply
chains
• Anti-corruption
• With customers: information activities
through dedicated channels; focus groups;
initiatives and events in the area
• With Consumer Associations: initiatives and
events in the area; dedicated channels
• Maintaining customer satisfaction and service quality
• 20 periodic meetings with Consumer Associations (~500
representatives in Italy)
• Climate change
• Customers and consumers
• Meetings, working groups, think tank initiatives
• Institutional dialogue
• Participation in events, visits and economic
promotion initiatives
• Partnership
• Communication with dedicated channels
• In-depth analysis of geopolitical and energy
scenarios, sustainable development and new
technologies
• Eni’s positioning on issues of interest to policymakers and in
public events
• Presentation of projects, visits of associations, institutional
and political delegations to industrial plants, operational sites
and research centers
• Collaboration agreements
• Elaboration of rankings and responses to public
consultations
• Climate change, energy transition
and decarbonization of industry and
transport
• Sector discipline
• Strategic industrial projects
• Innovation, digitalization and cyber
security
• Sustainable development
• Community health
• Collaborations
• Projects
• Hub
• Agreements
• Startups
• New four-year agreement with MIT
• Participation in the main national and international
innovation hubs (e.g. National PNRR Centers and Innovation
Ecosystems and National Technology Clusters)
• First International Network on African Energy Transition launched
• 8 business development hubs active in Italy and 2 abroad
(Kenya and Congo)
• >100 innovative startup incubated/accelerated
• Research activities in the health sector
• Human rights
• Climate change
• Local development and access to
energy
• Health
• Conferences and events
• Debates
• Training initiatives
• Annual meetings and workshops
• Participation in projects
• >200 companies involved in a sustainable growth path
• Membership of ~10 territorial associations and 3 categories
to Open-es;
• Events and workshops to promote the use of biofuels (HVO),
accelerate the decarbonization of the maritime and land-
based sector
• Support together with trade associations for activities in the
field of green and blue economy
• Energy transition
• Sustainable mobility
• Sustainability for companies
• Local development and access to
energy
• Climate change
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POLICIES AND CLIMATE27
GOVERNANCE28
[DUE DILIGENCE PHASE 1]
Eni expresses its commitment to combating climate change in its
Mission and in various company policies, including the Code of
Ethics, as well as through the definition of a decarbonization strategy
(For details, please refer to the Decarbonization Strategy section).
As explained in the Mission, Eni “concretely supports a socially just
energy transition, with the aim of preserving the planet, and promotes
access to energy resources in an efficient and sustainable way for
all”. The Code of Ethics states that “Eni is determined to contribute
positively to the achievement of the Sustainable Development Goals,
supports a low-carbon and socially fair energy transition, and is
among the signatories of the Paris Pledge supporting the objectives
contained in the Paris Agreement. Our commitment to fighting
climate change includes innovative solutions aimed at reducing
the impact of our operations through the efficient use of natural
resources, the protection of biodiversity and water resources, and
supporting mitigation and adaptation actions in local contexts in
which we operate. We are also committed to finding technological
solutions that reduce the impact of our products and favor a circular
approach”. Eni promotes its responsible conduct along its value chain.
In particular, it asks its suppliers to commit themselves to protecting
the environment, optimising the use of resources, and contributing to
the achievement of plant efficiency and emission reduction targets.
This collaboration supports the company on the challenging path
towards Carbon Neutrality. For further information, see the Supplier
Code of Conduct. As part of its advocacy activities, Eni dialogues with
policymakers, both directly and indirectly through trade associations.
Eni actively contributes its experience as an international energy
company to the definition of strategies and regulations aimed
at promoting the path towards Carbon Neutrality, an initiative
discussed further in the Transparency and Partnership section. The
decarbonization strategy is an integral part of Eni’s overall business
strategy and is also implemented through a structured Corporate
Governance system, with the Board of Directors and CEO playing
central roles in managing the main aspects related to climate change.
The Board of Directors examines and approves the Strategic Plan on
the CEO’s proposal, which encompasses the four-year plan, medium-
to long-term plan, industrial business targets, as well as financial
results and sustainability objectives, including decarbonization
objectives. In addition, the Sustainability and Scenarios Committee
(28) For references to the Code of Ethics, see The Regulatory system, while for the internal regulatory system, refer to the Reporting principles and criteria/Policies.
(29) About 300 business-critical managerial resources.
(CSS) is the internal board committee that carries out investigative,
advisory, and propositional functions related to processes, initiatives,
and activities aimed at overseeing Eni’s commitment to sustainable
development throughout the value chain. For an overview of the topics
discussed by the CSS during the year and other details on the role of
the various governing bodies, please refer to the Governance section.
The effective implementation of Eni’s corporate strategy is supported
by its Remuneration Policy through incentive systems for Directors,
General Managers, Executives with strategic responsibilities, and
other Executive Managers29: These systems include: a) the Long-Term
Share-based Incentive Plan, which incorporates specific objectives
related to environmental sustainability and energy transition, (total
weight of 35%), articulated on targets focused on decarbonization and
energy transition processes (20% dedicated to reducing net upstream
scope 1 and 2 equity GHG emissions and 15% towards increasing
biojet fuel production capacity); b) the Short-Term Incentive Plan is also
closely linked to Eni’s strategic transformation objectives, including an
environmental sustainability objective that focuses on the reduction
of net upstream scope 1 and 2 equity GHG emissions, in line with the
Long-Term Incentive Plan, 20% for the CEO and management, with
weights defined based on their assigned responsibilities. For further
details, please consult the Report on the Remuneration Policy 2025
and compensation paid. To support the monitoring and reporting
of the decarbonization objectives incorporated in the Strategic Plan,
Eni has developed specific procedures integrated into the internal
Regulatory System These procedures define, in line with the main
international standards, the methods for emission reporting (for more
information, please refer to the Metrics section). Finally, to support
Eni’s energy transition journey, the organisational structure continues
to evolve together with the long-term strategy, while ensuring
consistency with the corporate mission. The 2024 reorganization,
which grouped business activities into three main structures,
reflects this evolution: (i) Transition & Financial is responsible for the
development and implementation of Eni’s economic and financial
strategy, including oversight of Plenitude and Enilive; (ii) Global Natural
Resources manages the upstream Oil & Gas portfolio and oversees
the development of CCS, and agri-hub businesses. In addition, it
controls the Power Generation & Marketing business and the Trading
activities; (iii) Industrial Transformation focuses on the acceleration of
industrial transformation activities in the Chemical sector (Versalis),
on the conversion of the traditional downstream operations (Refining),
and progressing environmental remediation activities (Eni Rewind).
Climate change
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CLIMATE DUE DILIGENCE RECONCILIATION SCHEME
Eni’s tools and practices related to climate change can be framed within the due diligence phases identified by the OECD
Guidelines for Multinational Enterprises on Responsible Business Conduct (2023) and the OECD Due Diligence Guidelines
(2018), as follows:
1. Integrating due diligence into governance, strategy and business model: Eni expresses its commitment to combating climate
change in its corporate mission and through various company policies, notably the Code of Ethics. Eni’s decarbonization
strategy aimed at achieving Carbon neutrality by 2050, is an integral part of the company’s strategy and is implemented
through a structured Corporate Governance system. The commitment to combat climate change is also embedded in the
guidelines that steer management performance, through the remuneration policy. Finally, Eni promotes responsible conduct
along the value chain and in advocacy activities, guided by core principles outlined in the Supplier Code of Conduct and in
the Assessment of Industry Associations’ Climate Policy Positions. For further information, please refer to Policies and
Climate Governance.
2. Identifying and assessing negative impacts: Eni has adopted internal tools and processes to identify GHG emission sources.
Based on this evaluation, Eni develops an inventory, reports emissions and establishes an priority order for their mitigation,
also considering the broader climate debate. For further information, please refer to the Impacts related to climate change
and Metrics sections.
3. Taking action to address negative impacts: in order to contribute to the reduction of the Company’s GHG emissions and
its value chain, Eni has defined a path towards Carbon Neutrality by 2050. This includes a series of publicly announced
targets with intermediate milestones that will progressively lead to achieving net zero for the indicators (i) Net GHG lifecycle
emissions scope 1, 2 and 3 (ii) and Net Carbon Intensity associated with the life cycle of products energy sold. For details,
please refer to Decarbonization strategy. Furthermore, recognizing the value of a collective action in combating climate
change, Eni promotes combined multisectoral and global actions. To this end, it collaborates with various stakeholders,
including academia, civil society, institutions and businesses to identify and promote actions aimed at supporting the energy
transition. For details, please refer to the paragraph Partnership for Decarbonization.
4. Monitoring the effectiveness of interventions: the monitoring of GHG emission reduction targets follows a structured process
that encompasses strategic planning, the setting of objectives related to management remuneration and the biannual review
of performance indicators to identify any gaps and adjust priorities for the next cycle (see Metrics).
5. Communicating: Eni communicates comprehensive and transparent information on climate-related aspects in compliance
with legal requirements for sustainability reporting, as well as in accordance with key voluntary guidelines and best practices
for climate disclosure. In addition, Eni continuously monitors the evolution of both soft and hard law regulations on climate
matters, assessing the robustness of its frameworks and making adjustments as needed. For details, please refer to the
paragraph Transparency in Disclosure.
IMPACTS, RISKS AND
OPPORTUNITIES RELATED TO
CLIMATE CHANGE
Climate change-related impacts
(inside-out view)
[DUE DILIGENCE PHASE 2]
The process undertaken by Eni to identify its climate change-related
impacts has been guided by scientific30 and regulatory references
and guidelines31, which indicate that the GHG emission estimation
(30) The prevailing position of the scientific community identifies GHG emissions as the cause of climate change, while acknowledging that there is no linear relationship between GHG
emissions and climate change impacts. See AR6 IPCC and, for example, Rial et al., 2004; Trudinger, and Enting, 2005; Millar et al., 2017.
(31) Such as, for example, what is indicated in the section “Disclosure requirement relating to ESRS 2 IRO-1”, paragraph 20, subparagraph a) of ESRS E1.
(32) WBCSD/WRI GHG Protocol Initiative and IPIECA/API/IOGP Petroleum industry guideline for reporting greenhouse gas emissions 2011.
is the criterion for assessing the Company’s negative impact. Aware
of the need for a collective response to the global decarbonization
challenge, Eni has long been committed to a path of GHG
emission reduction towards Carbon Neutrality by 2050. Inspired
by the recommendations of the main international standards and
industry best practices32, Eni has implemented internal procedures
to identify emission sources and methodologies for calculating
direct and indirect GHG emissions, using a bottom-up approach
that begins with the assessments at individual industrial sites and
is subsequently consolidated at the central level. By mapping the
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emissions associated with the activities of over 600 companies, in
64 Countries, Eni has created an inventory of both actual direct and
indirect GHG emissions. To ensure a robust and structured data
collection and control process, specific procedures and appropriate
control measures have been implemented. The Group’s emission
impact is also assessed prospectively by estimating potential
GHG emissions based on the Strategic Plan defined until 2050. For
further details, please refer to the sections: Metrics and Metrics
and methodologies.
PRIORITIZATION PROCESS OF EMISSION
IMPACTS
Since the early 2000s, Eni has developed and maintained an
emission inventory that contains information (with breakdown on
geographical area, business, source type, etc) useful to identify
priority areas of intervention, while considering key trends in
the broader climate debate. For instance, decisions made in
international forums (e.g. COP33), energy and climate scenarios
and United Nations scientific reports, including those from
IPCC, provide valuable guidance on the key decarbonization
levers available (see
Scenarios of the main international
organisations). In particular, the external context analysis
highlights a focus on reducing Scope 1-2 emissions, on addressing
interventions where technological mitigation opportunities are
achievable and on reducing methane emissions, a greenhouse
gas with a global warming potential34 higher than carbon dioxide
and for which economically and technically feasible solutions are
already in place. Based on this findings and its emission inventory
analysis, Eni has set since 2015 a series of targets to improve
GHG emissions performance of its assets, with a specific focus
on methane and flaring. Over the years these targets have been
continuously strengthened: the number of key indicators has
increased and the targets have become more challenging and
ambitious. Since 2020, Eni has defined a pathway and specific
targets to achieve Carbon Neutrality by 2050, covering the
entire life cycle of the energy products sold. For details, please
refer to the Decarbonization Strategy section. The process
of identifying, assessing and prioritizing emission impacts is
reviewed and updated annually, with continuous refinement over
the years, in line with the advancements of scientific evidence and
growing international climate awareness.
(33) For example, the decision (1/CMA.5) adopted during COP28 (2023) where progress towards achieving Paris Agreement goal was reviewed and measures, best practices and
opportunities for Countries in revising their NDCs were identified.
(34) It is the ability of a gas to persist in the atmosphere over a specific time period. For more details, see Metrics: reference methodologies.
Climate risks and opportunities for the
company (outside-in view)
Eni’s double materiality analysis is completed with the identification
and assessment of climate-related risks and opportunities. The risk
assessment associated with climate change verifies the possibility of
changes in the scenario/climatic conditions that may generate transition
risks (market, regulatory and legal, technological, and reputational)
and physical risks (acute and chronic) on Eni’s businesses in the short,
medium, and long term. The risks associated with the implementation of
the planned strategic actions are also evaluated. The opportunities, on
the other hand, refer to the potential of developing products and services
with reduced emission impact and technologies aimed at mitigating and
offsetting GHG emissions. The identification and assessment of these
risks are incorporated into Eni’s Integrated Risk Management Model,
as described in the Process and results of the double materiality
assessment section. The process ensures the detection, consolidation,
and analysis of Eni risks and supports the Board of Directors in verifying
the risk profile compatibility with the strategic objectives. Eni also
monitors the evolution of the main risks and de-risking actions from
a medium to long term perspective. Risks, including those related to
climate change, are assessed by considering both the probability
of occurrence and the potential effects on Eni’s quantitative and
qualitative objectives over a given time horizon when the risk is likely
to occur. These risks are also represented on matrices for comparison
and classification by relevance. On this scale, climate change is
considered a top risk for Eni.
SCENARIO ANALYSIS
The identification of Eni’s transition and physical risks and climate
opportunities is also supported by an in-depth analysis of the
climate scenarios. In the international context, numerous analysts,
organizations, energy companies, and sector consultants have
developed multiple scenarios, each following different construction
logic and outlining a possible evolution for the future energy system.
These scenarios derive from a diversified mix of levers, technologies,
and assumptions about how consumption patterns and policies
may evolve. These pathways indicate a possible future direction and
serve as a reference framework to better inform policy guidelines
and choices. Eni analyzes different future pathways that incorporate
a heterogeneous mix of solutions and objectives, with particular
emphasis on the scenarios represented by the IEA and IPCC.
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SCENARIOS OF THE MAIN INTERNATIONAL ORGANIZATIONS
The International Energy Agency (IEA) elaborates three energy scenarios: (i) Stated Policies - STEPS, which is based on existing policies
and predicts an expected temperature increase of 2.4°C by 2100 (50% probability); (ii) Announced Pledges - APS, which aligns with the
net zero targets declared by individual Countries, expecting to achieve these targets within the announced timeframe, and forecast a
temperature increase of 1.7°C by 2100 (probability of 50%); (iii) Net Zero Emissions - NZE, which imposes net zero emissions by 2050,
aiming to limit the temperature increase to 1.5°C with limited overshoot35 (50% probability). These forecasts are based on common
assumptions about future demographic and economic trends, which are expected to grow at an average rate per year of +0.7% and
+2.7%, respectively, between 2023 and 2050. Specifically, in the NZE scenario36, of which the IEA provides numerical details only on a
global scale, the decarbonization of the energy system relies on increased electrification and a substantial rise in the use of intermittent
renewable energy sources (increasing their share in electricity generation mix from the current 13% to about 75% by 2050). Achieving
these goals will require improvements in energy efficiency, rapid technological evolution (CCUS, BECCS, and DACS), and a shift in
consumption habits towards more sustainable standards. In terms of the energy mix, in the NZE scenario, there is a substantial reduction
in the role of fossil fuels, which are projected to drop from nearly 80% of the world’s energy mix today to just under 15% by 2050, against
an energy demand decreasing by an average of -0.5% per year between 2023 and 2050. In this context, net CO2 emissions from the
energy sector – expected to be zero by 2050 – are projected to decline by 30% between 2019 and 2030. This decline is primarily due to
the global reduction in coal use (the source with the greatest environmental impact), with CO2 emissions related to coal expected to fall
by 42% ( compared to a projected consumption decrease of -40%), followed by oil (CO2 emissions - 28% vs. a consumption decrease of
-21%) and to a lesser extent by natural gas (CO2 emissions -14%, vs. consumption drop of -15%). Overall, emissions from the Oil & Gas
sector are anticipated to drop by approximately 23% between 2019-2030, paralleling an overall consumption decrease of 18% for these
two sources.
The IPCC (Intergovernmental Panel on Climate Change), in its latest report (AR6, 2021), proposes 5 possible narratives for the future
development of the world’s population and economy, known as SSPs (Shared Socioeconomic Pathways). When combined with the
7 GHG emission concentration pathways, also called RCPs37 (Representative Concentration Pathways), these pathways help define
various climate scenarios. The IPCC scenarios are grouped into 8 categories (C1-C8)38, based on the projected temperature increase by
2100 associated with each scenario.
In particular, category C1 comprises 97 scenarios that aim to limit the global average temperature increase to 1.5°C, either without or
with a limited overshoot (reaching net-zero between 2030 to 2100, depending on the scenario) (probability >50%). The scenarios in this
group are based on the sustainable SSP139 or the intermediate SSP240 development pathways and correspond to a low concentration
of GHG emissions - RCP 1.9. These scenarios envisage various pathways for the decarbonization of the energy system, which, while
adopting levers and technologies similar to those used by the IEA NZE scenario, propose different combinations. For example, in these
pathways, electrification does not necessarily depend exclusively on intermittent renewable energy sources, but it can also be supported
by an increasing use of nuclear power. Additionally, the median expected reduction in global primary energy from coal between 2019-
2030 is approximately 75%, while declines for oil and gas are expected to be around 10%. On the other hand, category C8 includes
29 scenarios that predict a doubling of global GHG emissions compared to 2015 levels, leading to an increase in the global average
temperature of more than 4°C. The group describes the potential rise in both the frequency and intensity of various acute and chronic
weather and climate phenomena (e.g., heat waves, intense rainfall, glacier reductions, etc.). The underlying socioeconomic trend for
these scenarios follows SSP541, which is associated with a high concentration of GHG emissions - RCP 8.5.
(35) Overshoot refers to the temporary exceedance of a specified level of global warming, such as 1.5°C. This means that the global temperature peaks above this threshold before
declining, achieved through anthropogenic removal of CO2 that exceeds the remaining CO2 emissions globally (source: IPCC glossary “Special Report: Global warming of 1.5°). There are
two types of overshoot: “limited”, which indicates an exceedance of global warming over 1.5°C by about 0.1°C, and “high”, which refers to an exceedance of about 0.1°C-0.3°C. In both
cases, these exceedances occur over a period of several decades (source: “Climate Change Synthesis Report” IPCC, 2023).
(36) World Energy Outlook 2024.
(37) Representative Concentration Pathways (RCPs) are scenarios that encompass a time series of emissions and concentrations of all GHGs, aerosols and chemically active gases,
as well as land use/land cover changes. The term “representative” indicates that each RCP illustrates only one of many possible scenarios that could lead to specific radiative forcing
characteristics (W m-2). The term “pathway” emphasizes the importance not only of long-term concentration levels but also of the trajectory taken over time to achieve that those levels.
(source: IPCC Glossary).
(38) The categories range from very low emissions (C1) to very high emissions (C8). Intermediate categories aim to limit global warming to different temperature thresholds: C2 aim for
1.5°C with a high overshoot; C3-C4 for 2°C; C5 for 2.5°C; C6 for 3°C; C7 for 4°C. (source: “Climate Change Synthesis Report” IPCC, 2023).
(39) SSP1, the “path of sustainability”, is characterised by a high focus on sustainability, inclusive development, reduced economic and social inequalities, and environmental protection
(source: IPCC Focal Point for Italy).
(40) SSP2, the “intermediate path”, is represented by historical development models continuing throughout the twenty-first century (source: IPCC Focal Point for Italy).
(41) SSP5, the ‘rapid growth pathway’, is characterised by rapid economic growth and an energy-intensive, fossil fuel-based economy, resulting in significant climate challenges (source:
Climate Change Synthesis Report, IPCC and IPCC Focal Point for Italy).
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Transition risks
The context in which Eni operates is significantly influenced by global
commitments to achieve carbon neutrality and evolving consumer
preferences. These factors could lead to a structural decrease in
hydrocarbon demand in the medium to long term and an increase
in operating costs in the Oil & Gas sector. Uncertainties regarding
demand trends and the feasibility/profitability of decarbonization
technologies create risks around long-term investment decisions. In
addition, growing attention of the public debate on climate change
and the increasingly rigorous scrutiny from various stakeholders
may hinder access to capital markets and potentially jeopardize
the “license to operate” for oil and gas companies. For an in-
depth analysis of the specific drivers or transition events (market,
regulatory and legal, technological and reputational), please refer
to the Risk factors and uncertainties section. A summary of the
main risks identified by Eni in relation to these transition events is
presented in the table below.
MARKET EVOLUTION
• Uncertainty surrounding the development of markets for new products;
• Shifts in consumer preferences (e.g., decline in global hydrocarbon demand).
REGULATORY AND LEGAL ISSUES
• Introduction of new climate disclosure obligations;
• Uncertainty about the evolution of regulatory frameworks, which could impact long-term strategies;
• Legal proceedings related to climate change and allegations of greenwashing.
TECHNOLOGICAL EVOLUTION
• Profitability concerns and technology-specific risks associated with the transition;
• Delays in the development of essential technologies and related supply chains needed to meet decarbonization targets;
• Insufficient oversight of certain technologies that are critical for the transition.
REPUTATION
• Deterioration of the sector’s image due to allegations of greenwashing;
• Challenges in attracting and retaining talent within the industry;
• Decreased sector’s appeal to investors/lenders, posing a potential risk of divestment.
Eni has outlined treatment measures (see
Integrated Risk
Management) to minimise risks associated with these emerging
trends. Specifically, Eni assesses potential variables that may
affect operating costs, such as carbon prices, and closely monitors
the resilience of its strategy against various transition scenarios
(see IEA NZE scenario, Scenarios of the main international
organizations).
INTERNAL CARBON PRICING [E1-8]
In 2024, Eni implemented an internal carbon pricing mechanism,
also known as a shadow price, to assess its economic and
(42) If the local legislation stipulates a carbon tax, this price is incorporated into the base case, and sensitivity analysis is not conducted.
financial exposure to the potential introduction of carbon pricing
systems in the Countries where it operates. The returns on key
investment projects are evaluated for sensitivity to an internal
carbon pricing value set at $45/ton CO2eq. (in real terms, 2021).
This value is adjusted annually for an inflation rate of 2%. Eni
applies internal carbon pricing for projects developed in Countries
without mandatory carbon pricing mechanisms42. The Board of
Directors reviews the results during the preliminary authorization
phase of individual investments (Final investment decision - FID)
that fall within the thresholds established for Board review and
subsequently during the annual monitoring of these projects.
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WIND
• Cyclones
• Hurricanes
• Typhoons
TEMPERATURE
• Wildfires
SOLID MASS
• Landslide
WATER
• Sea level rise
• Water stress
• Drought
• Heavy precipitation (rain,
hail)
• Flood (coastal, fluvial,
pluvial)
Eni conducts a stress test exercise on its current portfolio of assets,
focusing on the physical risks listed above over a long-term time
horizon (20/30 years).
This assessment is carried out annually and is continuously refined
to respond to future developments and enhance the accuracy of
forecasting models.
RESILIENCE OF THE STRATEGY TO TRANSITION
SCENARIOS
The company’s strategic planning and investment selection/
monitoring processes aim to identify actions that maximise the value
of the Group’s assets by considering the risks and opportunities
associated with the energy transition. In this context, action/spending
plans are regularly defined to achieve short, medium, and long-term
decarbonization objectives based on a set of base-case assumptions
regarding the speed of the energy system transformation and the
consequent repercussions on prices. Progress towards these targets
is subject to systematic control and reporting. One of the tools
utilized to assist management in understanding Eni’s exposure to
transition risk is a sensitivity analysis of the Oil & Gas asset values
under alternative price scenarios compared to the base case. This
analysis verifies the variability of asset values and the possible risk of
distributing unrealized gains in stress scenarios, which include: (i) a
linear cut of -10% in hydrocarbon prices across all years of cash flow
projections; (ii) an increase of one percentage point in the discount
rate (adjusted WACC) used for determining the net present values
of assets in each Country of operation; (iii) assumptions regarding
hydrocarbon prices and CO2 costs based on projections from the IEA
Net Zero Emission 2050 scenario43 (NZE 2050). For further details
(43) Scenario reported in the World Energy Outlook 2024, IEA-OECD.
(44) The geographical coordinates of Eni’s assets are used to assess the quantitative metrics of the projections related to different natural events at Eni’s sites.
(45) Commission Delegated Regulation EU 2021/2139 - Appendix A.
on the analysis and the respective results, refer to Note 15 of the
Consolidated Financial Statements.
Physical Risks
The physical risks arising from climate change can be determined by
individual (acute) events or long-term (chronic) changes in climate
phenomena. These risks can have financial implications for companies,
including direct damage to assets and indirect impacts due to the
interruptions in operations and along the value chain. Such disruptions
can lead to losses in results and cash flow, as well as increased restoration
and maintenance costs and other effects on the supply chain. Eni has
established a methodology to assess the exposure to physical risks
of its owned assets44 and the main third-party assets within its value
chain, which, if unavailable, may cause repercussions on the operability
of Eni’s assets. To identify and assess adverse climate events and the
evolution of physical risks, Eni uses the IPCC SSP5 - 8.5 scenarios, which
represent extreme scenarios characterised by a temperature increase
of more than 4°C by 2100 compared to pre-industrial levels (see IPCC
category C8 Scenarios of the main international organizations). The
primary climate-related hazards considered by Eni are outlined in the
table “classification of climate-related hazards”45. These hazards were
identified based on their relevance to the type of assets Eni possesses.
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ASSET RESILIENCE TO CLIMATE-RELATED PHYSICAL RISKS
Once the physical risks associated with Eni’s assets (inherent risk)
are defined, an assessment of the existing mitigations or barriers
is conducted, considering both physical aspects and the systems
or procedures in place. The residual risk is then assessed for each
asset. In the cases where a high level of residual risk is identified, Eni
implements various actions: (i) for chronic risks (e.g., water stress),
monitoring activities are planned and carried out, which may lead to
the subsequent development and execution of an intervention plan;
(ii) for acute risks, the asset integrity46 process is activated, which
can result in the definition and implementation of an adaptation plan.
From the physical risk analyses conducted in 2024 on Eni’s production
assets and the main assets within the value chain, it emerged that
Eni’s portfolio is substantially resilient to climate-related physical
risks. The main reasons for the overall resilience of Eni’s assets at the
portfolio level are attributable to: (i) the intrinsic resilience of the assets
themselves (already designed with stringent criteria to withstand
extreme natural events) and (ii) the geographical diversification of the
asset portfolio.
Climate opportunities
While transition events can pose risks, they also offer opportunities
that require rigorous capital allocation discipline and a well-structured
strategic planning process. Opportunities are identified through the
Strategic Plan, which selects those initiatives the company chooses
to pursue. For further information on identifying and evaluating
sustainability opportunities, including climate-related ones, refer to
the Process and results of the double materiality assessment.
In order to seize these opportunities, Eni is integrating its business
model with solutions related to the energy transition, such as the
growth of renewable energy sources and EV networks through
Plenitude and also advancing biorefining initiatives through Enilive
(see chapter Enilive and Plenitude). At the same time, the company
is implementing solutions aimed at reducing both its own emissions
and those of third parties, such as the development of CCUS projects
(see chapter CCS and Agri). In addition, Eni continues to invest in
R&D and is focused on cutting-edge technologies such as magnetic
fusion. To support the development of these opportunities, Eni has
established a new corporate structure (see Policies and Climate
Governance) and adopted a satellite model47. This model reduces
the financial commitment required to grow new businesses while
clarifying their market value.
(46) Eni applies the asset integrity process to all its assets to ensure the proper design and construction using suitable materials, rigorous operational standards, and appropriate
decommissioning practices. This process also manages residual risks while ensuring people’s safety, protecting the environment, and safeguarding the company’s reputation.
(47) See page Eni.com Eni’s satellite model: a distinctive approach.
(48) Certified according to internationally recognized voluntary market standards, which are accompanied by additional certifications to attest to the socio-environmental benefits of the
project activities (see Offsets and removals of GHG emissions section).
DECARBONIZATION STRATEGY
[DUE DILIGENCE PHASE 3]
Decarbonization Plan
Eni is facing the challenges posed by an increasingly complex and
rapidly evolving energy context with a strategy aimed at progressively
reducing both the direct and indirect emission impacts associated with
its business activities, while providing the energy products required by
its customers. This strategy combines the needs of (i) environmental
sustainability; (ii) security of supply, ensuring the uninterrupted
availability of sufficient energy resources to power human activities
and guarantee basic human rights; (iii) energy equity, understood
as the possibility for citizens to have fair and non-discriminatory
access to adequate, reliable and affordable energy. In response to
these challenges, Eni has been committed to reducing its direct GHG
emissions and was among the first in the sector to establish a series
of objectives, starting in 2016. These objectives aim to improve the
GHG emissions performance of its operated assets. Since 2020, Eni
has defined a pathway towards Carbon Neutrality, expressed through
a series of objectives with intermediate stages that will progressively
lead to the Net Zero by 2050 of the Net GHG lifecycle emissions scope
1, 2, and 3 and Net Carbon Intensity indicators, related to the lifecycle
of the energy products sold. The stages of this pathway have been
identified through a prioritization exercise of the different actions,
based on both internal analyses and the proposed actions from major
international scenarios aimed at achieving Carbon Neutrality by 2050 to
help keep the global temperature rise within 1.5°C by 2100. Even within
comparative limits, the structure of this pathway, in terms of levers
and emission reduction targets, is substantially compatible with these
scenarios. For further information, see IPCC category C1 and IEA NZE
scenarios, in the Scenarios of the main international organizations,
Main GHG emission reduction targets, and Decarbonization levers
sections. As part of the reduction of Scope 1 and 2 GHG emissions,
Eni has decided to focus primarily on the Upstream sector, where
technologically consolidated and economically viable solutions
are already available. Emissions that are not currently reducible are
voluntarily offset through high-quality48 carbon credits. Eni has set
a goal of net zero Scope 1 and 2 GHG emissions for the Upstream
sector by 2030 (Net Zero Carbon Footprint Usptream), and for the
entire Eni group by 2035 (Net Zero Carbon Footprint Eni). Additionally,
Eni has a goal of net zero Scope 1, 2, and 3 GHG emissions, related to
the lifecycle of energy products sold by 2050, both in absolute terms
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(Net Zero GHG Lifecycle Emissions) and in terms of intensity (Net Zero
Carbon Intensity)49. Eni’s decarbonization strategy, which includes
the commitments to reduce emissions mainly related to the use of
sold products, also contributes to promoting the decarbonization of
the value chain (reducing Scope 3 emissions). Eni seeks to develop
new, high-potential businesses related to the energy transition by
creating independent companies able to access the capital market
with autonomy, allowing them to finance their growth by attracting
specialized investors.
MAIN GHG EMISSION REDUCTION TARGETS
In continuity with previously declared commitments and considering
the evolving regulatory environment, Eni has chosen to represent
(49) All net-zero GHG targets are calculated on an equity basis.
(50) The targets are defined on an equity basis and, therefore, have a different boundary from that defined by the reporting required by CSRD-ESRS. For more details on the reconciliation
of boundaries, please refer to the Metrics section.
(51) WBCSD/WRI GHG Protocol Initiative, A Corporate Accounting and Reporting Standard.
(52) Estimating petroleum industry value chain (Scope 3) greenhouse gas emissions. Overview of methodologies, IPIECA - 2016.
its pathway towards Carbon Neutrality through targets based on
indicators defined on an equity-basis50. The Lifecycle indicators (Net
GHG Lifecycle Emissions and Net Carbon Intensity) are accounted
for using a methodology developed in 2020 in collaboration with
independent experts, which considers all energy products sold,
including purchases from third parties, and all the emissions they
generate along the entire supply chain. This methodology is inspired
by international reporting standards (GHG Protocol51, IPIECA52).
Regarding its targets, Eni estimates both the annual reduction in GHG
emissions compared to the 2018 baseline defined by the company
and the projected future reductions in light of the targets set in its
Decarbonization Plan (see the Metrics section of this chapter and
the Reporting principles and criteria section in the final chapter).
RESULTS
THE PATHWAY TOWARDS CARBON NEUTRALITY
Net carbon footprint upstream
SCOPE 1+2, EQUITY BOUNDARY (MtCO2eq.)
Net carbon footprint Eni
SCOPE 1+2, EQUITY BOUNDARY (MtCO2eq.)
Net GHG lifecycle emissions
SCOPE 1+2+3, EQUITY BOUNDARY (MtCO2eq.)
Net carbon intensity
SCOPE 1+2+3, EQUITY BOUNDARY (gCO2eq./MJ)
2024
BASELINE
2018
14.8
37.2
505
68
6.8
23.6
395
65.2
-55%
vs. 2018
-37%
vs. 2018
-22%
vs. 2018
-4%
vs. 2018
-50%
-65%
NET ZERO
UPS
NET ZERO
ENI
-35%
-15%
-55%
-80%
-50%
NET
ZERO
NET
ZERO
% vs.
baseline
2025
2030
2024
2035
2040
2050
NET CARBON FOOTPRINT UPSTREAM, Scope 1+2: represents
the Scope 1+2 GHG emissions related to the upstream activities
operated by Eni or by third parties accounted for on an equity basis
and net of carbon credits mainly generated through Natural Climate
Solutions and the application of technological solutions. In 2024, the
indicator decreased by about 25% compared to 2023, driven mainly
by optimization actions in operational management and project
activities to generate carbon credits. Additionally, in 2024, the target
of achieving -50% compared to 2018 was exceeded, with an overall
reduction of about 55%. The pathway is in line with the achievement
of Eni’s net zero Carbon Footprint goal by 2030.
NET CARBON FOOTPRINT ENI, Scope 1+2: represents the Scope 1+2
GHG emissions associated with the activities operated by Eni or third
parties accounted for on an equity basis and net of carbon credits
mainly generated by Natural Climate Solutions and the application of
technological solutions. In 2024, the indicator decreased by about 10%
compared to 2023, driven mainly by optimization actions in operational
management and project activities to generate carbon credits.
Compared to 2018, the indicator decreased by about 37% in line with
the achievement of Eni’s net zero Carbon Footprint target by 2035.
NET GHG LIFECYCLE EMISSIONS, Scope 1+2+3: represents the
Scope 1+2+3 GHG emissions associated with the supply chain
of energy products sold by Eni, including its own production and
purchases from third parties, accounted for on an equity basis and net
of carbon credits from Natural Climate Solutions and the application of
technological solutions. In 2024, the indicator is slightly down (-0.8%)
compared to 2023, mainly driven by the refining sector. Compared to
the baseline value, emissions were reduced by about 22%.
NET CARBON INTENSITY, Scope 1+2+3: the indicator is calculated
as the ratio between Net GHG Lifecycle Emissions, and the energy
content of energy products sold by Eni, accounted for on an equity
basis. In 2024, the indicator has slightly decreased (approx. 0.5%)
thanks to the lower emission impact of the portfolio mix. Compared to
the baseline value, the index has reduced by about 4%.
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DECARBONIZATION LEVERS
The decarbonization levers and technologies identified by Eni in
its Decarbonization Plan affect all areas of its business. These
strategies are adopted and modulated in a targeted manner,
with time horizons considering each solution’s technological and
commercial maturity. Between 2018 and 2024, Eni implemented
actions that, on the one hand, led to a reduction in Scope 1+2
emissions from its operations, primarily focusing on flaring,
methane emissions, and energy efficiency interventions (see
sections Targets for the reduction of methane emissions and
flaring in the Upstream business and Energy consumption and
energy mix) reduce fossil fuels consumption. On the other hand,
these actions also contributed to a reduction in emissions along
the value chain (Scope 3), particularly by leveraging synergies
between traditional activities and transition-related businesses,
along with portfolio actions that reduce the volume of gas procured
via pipeline. Eni has also launched a process to enhance the value
of its transition businesses, promoting solutions aimed at reducing
the carbon intensity of the products and services, with a focus
on renewable electricity production (through Plenitude, which in
2024 reached 4.1GW of installed renewable capacity, recording an
annual growth rate of more than 30%). Additionally, Eni is involved in
biofuel production (through Enilive, which has a biorefining capacity
of 1.65 MTPA and benefits from its international presence) and
CO2 capture and storage (CCS) services for third parties. Moving
forward, Eni has outlined future initiatives aimed at reducing Net
GHG Lifecycle Emissions Scope 1+2+3 emissions as part of its
pathway towards achieving Carbon Neutrality:
• in the Downstream, the development of biofuels offers an
opportunity for Eni to convert and downsize its current traditional
refining capacity, contributing significantly to the decarbonization
of hard-to-abate transportation, i.e., aviation, maritime transport,
and heavy transport. Following the conversions of Porto Marghera
(2014) and Gela (2019), the conversion at the Livorno site began
in 2024. Eni has a biofuel production capacity target of more than
5 million tons by 2030 and the optionality to produce more than 2
million tons of SAF;
• enhanced integration between Upstream and Midstream enables
a focus on LNG equity projects within the gas portfolio, benefiting
the company in terms of emissions. Improved efficiency and the
progressive growth of the total production’s gas component (over
60% by 2030 and 90% after 2040), including condensates, contain
the increase in emissions from upstream production;
• CCS is a decarbonization lever that represents an opportunity
for Eni to reduce emissions from its own operations and support
the decarbonization of third-party industrial activities. In 2024,
Ravenna’s Phase 1 was launched, and the approval process for the
Hynet project in the United Kingdom is ongoing, with an expected
approval date in the first half of 2025. Additionally, in 2025, Eni
will establish a new satellite company focused on carbon capture
and storage. The estimated total 100% storage capacity (gross
capacity) is about 3 billion tons, with the aim of reaching a gross
annual CO2 reinjection capacity of over 15 MTPA before 2030. This
capacity is projected to increase to about 40 MTPA after 2030 and
to exceed 60 MTPA by 2050. For more information (see chapter
CCS and Agri);
• finally, to offset residual emissions, Eni plans to utilize offsets mainly
from Natural Climate Solutions (NCS). By 2050, the target year for
achieving Net Zero, residual emissions are expected to be around
25 MtCO2eq., remaining below the 10% threshold set by the ESRS
standards (see section Offsets and removals of GHG emissions).
Regarding the contribution of the Intensity, Eni is committed to
expanding its offering of lower carbon solutions, such as renewable
energy, to increase the production of new energy options. This effort,
combined with a gradual reduction in absolute emissions, will lead
to a decrease in the emission intensity of its portfolio (see the
MAIN DECARBONIZATION LEVERS
~330
2030
2050
505
Net Zero
2018
0
MtCO2eq.
MtCO2eq.
MtCO2eq.
UPSTREAM
MIDSTREAM
DOWNSTREAM
CCS
OFFSETS
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Metrics section of this chapter). The speed of this transformation
and the relative contribution of each lever will depend on a series
of variables, including market trends, the scientific-technological
scenario, and the applicable legislation.
TARGETS FOR THE REDUCTION
OF METHANE EMISSIONS AND FLARING
IN THE UPSTREAM BUSINESS
(OPERATED AND COOPERATED ASSETS)
Actions to reduce methane emissions and flaring are a
fundamental part of Eni’s decarbonization strategy and contribute
significantly to the reduction of direct Scope 1 emissions. With
an approach primarily focused on the Upstream sector, Eni has
set a target to maintain methane emission intensity within the
threshold of 0.2% by 2025. This threshold is recognized by the
sector as indicative of effective operational management, while
aiming for methane emissions to be close to zero53. Eni has also
joined the Aiming For Zero initiative, launched by OGCI, which
seeks to eliminate methane emissions from its members’ assets
by 2030. The company has set a target of reducing fugitive
methane emissions by 80% by 2025 (compared to 2014 - the
base year). This goal was already achieved in 2019 through
the implementation of LDAR (Leak Detection and Repair54)
campaigns carried out annually on the assets managed by Eni.
(53) The OGDC (O&G Decarbonization Charter - COP 28 UAE) “Near-Zero methane” commitment is defined as methane emission intensity of less than 0.2%.
(54) Monitoring and detection of methane leaks and subsequent repair.
Additionally, Eni has progressively implemented a monitoring
system to measure the extent of methane emissions across
its assets (for activities supporting our partners, see the
Partnership for decarbonization section). At its sites, Eni has
developed various methodologies and technological solutions
to identify, quantify, and ultimately reduce methane emissions.
The LDAR campaigns cover all assets managed by Eni and are
carried out annually, including through optical technologies. Eni
has been recognized as a Gold Standard Reporting under the Oil
& Gas Methane Partnership (OGMP 2.0) program, as reported in
the 2024 International Methane Emissions Observatory (IMEO)
Report, published by UNEP. Furthermore, in recent years, Eni has
dedicated an increasing effort to identifying and implementing
initiatives to mitigate gas flaring. Notable projects are underway in
Congo, Libya, and Egypt, where significant logistical, operational,
and market barriers have previously limited the valorisation of
associated gas. In this context, Eni is advancing towards the goal
of zero routine flaring expected in 2025 for its operated assets.
For its joint-operated assets, the achievement of the target is
contingent upon the completion of the projects in Libya, which
are currently expected by 2026. Finally, a key component of Eni’s
methane strategy is a collaboration with other industry players
and international organisations (see the
Partnerships for
Decarbonization section of this chapter).
2024
2014
METHANE EMISSION INTENSITY
(%)
0.07%
-84%
0.43%
2024
2014
FUGITIVE METHANE EMISSIONS
(kt CH4)
116
-96%
5
2024
2014
ROUTINE FLARING
(Mld Sm3)
1.7
-56%
0.7
Operated
Joint Operated
Operated
Joint Operated
Op + Joint Op
Operated
Joint Operated
TARGET
Well below 0.2%
@2025
-80% reduction
@2025
Zero routine flaring
@2026
LOCKED-IN EMISSIONS ASSESSMENT
Locked-in emissions refer to the estimated GHG emissions from
assets and operations deemed incompatible with a low-carbon future.
If such a scenario arises during the useful life of a company’s assets, it
could lead to a write-down of the most emission-intensive assets. Eni
monitors its potential locked-in emissions from key assets and projects,
maintaining a medium- to long-term perspective through its strategic
plan and tracking progress towards carbon neutrality. In the Upstream
sector, Eni adopts an approach that considers both the economic value
and emission intensity of its assets. Priority is given to investments
in resource production and exploration of areas that are adjacent to
existing assets/infrastructures. Eni will continue to pursue exploration
with a model based on organic growth, dilution of equity investments
in high-potential discoveries, reduced time to market, and enhancement
of margins from equity production. This analysis also evaluates
the potential emission intensity associated with reserves to ensure
production remains aligned with medium- and long-term emission
reduction targets. In the Downstream sector, Eni aims to improve the
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efficiency of its operations and integrate lower carbon products into its
offering, including through the conversion of traditional refining capacity.
Additionally, Eni assesses the resilience of its portfolio to mitigate the
risks of stranded assets and applies internal carbon pricing to ensure
that new investments are consistent with decarbonization targets. For
further details, refer to the Transition risks section.
CAPITAL ALLOCATION
Eni recognizes the need to ensure an orderly transition in the energy
system by gradually replacing fossil fuels with lower carbon energy
sources. This evolution towards a lower carbon product portfolio will be
supported by a progressive growth in the share of investments intended
to develop new energy solutions and services to support the transition.
In the medium to long term, Eni plans to gradually reduce the share of
expenditures dedicated to Oil & Gas activities, with the gradual phase-
out of investments in carbon-intensive activities or products. For 2024
investments related to the exploration, development, and production
(55) The company is excluded from EU benchmarks as per Article 12, paragraph (1), letter (e) to (g) and paragraph (2) of Commission Delegated Regulation (EU) 2020/1818.
of hydrocarbons, see Note 12 “Property, plant and equipment” of
the Consolidated Financial Statemets55. The expenditure on lower
carbon projects for 2024 was €2.6 billion (over 20% of expenditures).
Additionally, for a reclassification of these amounts according to the
more stringent criteria defined by the European regulation, refer to
the European Taxonomy section. Over the next four-year period
from 2025-2028, Eni plans to allocate more than 30% of its total
spending, approximately €13 billion, to lower carbon projects. Below
is a breakdown of the resources planned for various decarbonization
actions in support of the Decarbonization Plan.
Over 40% of the planned spending for 2025-28 is aligned with the EU
Taxonomy. In comparison to this regulation, the expenditure forecast
for 2028 includes additional factors such as interventions carried out
in joint ventures, expenses that contribute to emission reductions
(e.g., energy efficiency initiatives and routine flaring abatement), and
expenditures that support the development of the Plenitude customer
base.
PATENTS AND INNOVATION
Innovation is an integral part of Eni’s Code of Ethics, with a
commitment to acquiring cutting-edge technological skills. In
particular, innovation is strongly linked to climate aspects and, for
the 2025-2028 period, the company has set the target of allocating
70% of R&D spending to decarbonization-related aspects. For 2024,
Eni’s financial commitment to scientific research and technological
development amounts to €178 million, which approximately €145
million is allocated to reducing the carbon footprint of processes,
circular economy, the renewable energy exploitation and magnetic
confinement fusion. This expenditure includes, in particular, topics
related to biorefining, chemistry and energy production from
renewable sources (including biomass), energy storage, CO2 capture,
transport, storage and reuse of, as well as, process carbon footprint
reduction, and green hydrogen production.
EXPENDITURES(a)
Units
of Measurement
2024
2025-28
Total value
(billion €)
2.6
13
Electricity production from renewable sources
1.0
4.1
GHG emissions reduction
0.4
2.5
Biorefineries and biofeedstock
0.5
2.8
Retail portfolio development
0.3
1.2
Research by Lower Carbon activity
0.1
0.8
Circular Economy and Other initiatives (inc. recycling, bio chemistry, NCS and Venture Capital)
0.3
1.6
(a) The items in the table are included in the Notes to Eni’s 2024 consolidated financial statements, in the items in Note 14 “Intangible assets” and in Note 30 “Costs-Purchases, services and other charges”.
RESEARCH & DEVELOPMENT
Units of measurement
2024
2023
R&D expenditures(a)
(M€)
178
166
of which: related to decarbonization
145
135
Patent application first filings
(number)
39
28
of which: related to renewable energy sources
23
14
(a) The items in the table are included in the Notes to Eni’s 2024 consolidated financial statements, in the item in Note 14 “Intangible assets”.
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OFFSETS AND REMOVALS OF GHG EMISSIONS
Eni supports the development of projects aimed at generating carbon
credits in the voluntary market for offsetting residual GHG emissions
that cannot otherwise be reduced, while monitoring their quality and
integrity. In line with ESRS standards, Eni intends to use carbon credits
to achieve its Net Zero target by 2050 for Net GHG lifecycle emissions
and Net carbon intensity (Scope 1+2+3), after reducing 90-95% of GHG
emissions in the value chain. Currently, most of the carbon credits used
by Eni derive from projects for the conservation of natural ecosystems,
thereby reducing CO2 emissions that would otherwise be released
into the atmosphere. Eni’s strategy foresees to progressively increase
the share of credits from the so-called Carbon Dioxide Removal
(CDR) projects, which capture CO2 directly from the atmosphere (e.g.
ecosystem restoration or increase of CO2 stocks in the soil through
appropriate agricultural practices). The carbon credits used by Eni
are certified according to internationally recognized voluntary market
standards, such as the Verra’s Verified Carbon Standard (VCS) or the
Gold Standard (GS). In addition, the credits are accompanied by an
additional certification, such as the Climate Community & Biodiversity
Standards (CCBS) or the Sustainable Development Verified Impact
Standard (SD VISta) which attests to their socio-environmental
benefits (e.g. biodiversity conservation, economic development and
improvement of local communities living conditions). In 2019, Eni
launched the first Natural Climate Solutions (NCS) activities56. These
are projects for the protection, sustainable management of land and
restoration of natural ecosystems. These initiatives conserve habitats
in which plants and animals live, increase the resilience and adaptive
capacities of environmental systems to climate change, and promote
(56) Natural Climate Solutions are nature-based solutions for climate change. They rely on nature’s ability to remove and store carbon from the atmosphere (Source: Natural Climate
Solutions Alliance, NCSA, 2022).
(57) Within the SALM category, actions include the use of agricultural practices that increase the organic carbon component in the soil and the integration of tree species into agricultural crops.
(58) In addition, the Eni for Clean Cooking program involves the gradual transition to induction stoves in urban areas and pyrolysis in rural areas, promotin the use of agricultural waste.
(59) Expansion to other Countries in Sub-Saharan Africa and Asia is also under evaluation.
(60) This means the action of cancelling or voiding carbon credits in the electronic register that contains them, so that these credits can no longer be transferred or used for emissions
offsetting (i.e. no double counting).
(61) Only a portion of the receivables expected to be retired in the target years derives from contractual agreements already in place today.
local sustainable development. The first projects promoted by Eni were
framed within the “Reducing Emissions from Deforestation and forest
Degradation” (REDD+) scheme, defined and promoted by the United
Nations. In addition to these, Eni expanded its initiatives to promote
Sustainable Agriculture and Land Management (SALM)57. In this context,
Eni has launched a first project in Kenya, the Makueni Agroforestry
Carbon Project (MACP), which will be developed over a target area of
40,000 hectares, will bring socio-economic benefits (e.g. stabilization
of farmers’ income) to about 100,000 local people and will contribute
to reducing soil erosion and improving the productivity and fertility of
agricultural lands. The application of technological solutions represents
an additional lever for offsetting residual emissions. Since 2018, the
company has launched the “Eni for Clean Cooking” program to develop
projects that promote the introduction of improved cooking stoves that
reduce of the consumption of wood biomass with the aim of improving
people’s health conditions and promoting forest conservation58. The
programme has been launched in Congo, Mozambique, Angola,
Rwanda, Tanzania and Ivory Coast reaching around 1.5 million people
since the start of the initiatives59. The industrial spread of clean cooking
systems also promote the development of entrepreneurship and the
local economy (i.e. stove production and distribution). In 2024, Eni joined
the “Clean Cooking Declaration: Making 2024 the pivotal year for Clean
Cooking”, promoted by the IEA during the Africa Summit, to accelerate
universal access to more modern cooking systems. In addition to the
described project development activity, Plenitude acquires carbon credits
mainly through purchases on the voluntary market, in line with the same
certification standards used by Eni. Details of the carbon credits60 retired
in 2024 and those expected in the future61 are provided below.
RETIRED CARBON CREDITS
Units of Measurement
2024
Total
(MtCO2eq.)
5.9(a)
Reduction credits
(%)
100
Removal credits
0
of which: biogenic removal
0
of which: technological removal
0
Credits verified according to the VERRA standard
100
Credits from projects in the EU
0
Credits subject to corresponding adjustment according to Art.6 of the P.A.
0
a) Credits that derive from projects supported by Eni SpA and which were retired in February, 2025. In addition, in 2024, Plenitude purchased 3.1 MtCO2eq. (verified by Gold Standard and Verra), associated with the supply of offset gas, of
which: (i) 0.3 Mt CO2eq. representing the difference between the estimated and final carbon credits of the fourth quarter of 2023 and retired in October 2024; (ii) 2.8 MtCO2eq. which represent the estimated purchase of carbon credits for
2024, which will be finalized during 2025. Of these, 1.8 Mt CO2eq., linked to gas cons\umption invoiced from January to September 2024, were offset in February 2025. The remaining estimated 1 MtCO2eq., relating to gas consumption
invoiced from October to December 2024, will instead be offset by October 2025. The aforementioned credits are used to offset emissions for the Net Carbon Footprint Scope 1+2 (Eni/UPS) and Net GHG Lifecycle Scope 1+2+3 indicators.
EXPECTED CARBON CREDITS
Units of Measurement
2030
2040
2050
Total
MtCO2eq.
~15
~20
<25
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METRICS62
[DUE DILIGENCE PHASE 2 AND 4]
GHG Metrics (Scope 1, 2 and 3)
Eni reports its GHG emissions in accordance with the main international
standards and industry best practices. In line with ESRS requirements,
Scope 1 and Scope 2 emissions are reported by including subsidiaries
(consolidated on a line-by-line basis) in the consolidation boundary
and, as a share, both consolidated joint operations (incorporated and
unincorporated) and activities relating to mining initiatives managed by
operating companies. In addition, for the assets operated, emissions
(62) For the methodology and consolidation area, see the chapter Reporting principles and criteria.
are reported at 100%. Scope 3 emissions are reported, in line with
the classification provided by the GHG Protocol and according to the
methodological standards available in the sector following significance
criteria and including emissions associated with the value chain of
Eni’s activities. In addition to the metrics described above, Eni reports
emissions for a series of additional (“Entity Specific”) indicators used to
track operating performance and progress towards Carbon Neutrality
by 2050. For more details on the reporting methodologies adopted,
the materiality analysis of emission sources and other management
aspects related to greenhouse gas accounting, please refer to the
dedicated section (see Metrics: methodologies).
GHG EMISSIONS SCOPE 3 AND OTHER INDICATORS
Units of measurement
2024
2023
Trend(d)
Relevant Scope 3 GHG emissions
Category 11. Use of sold products(a)
(MtCO2eq.)
181.0
173.7
4%
Total GHG emissions
Total location-based GHG emissions
212.8
206.8
3%
Total market-based GHG emissions
212.9
207.0
3%
Entity Specific indicators - Equity
Net Carbon Footprint upstream (Scope 1+2)
6.8
9.0
-25%
Net Carbon Footprint Eni (Scope1+2)
23.6
26.2
-10%
Net GHG Lifecycle Emissions (Scope 1+2+3)(b)
395
398
-1%
Net Carbon Intensity (Scope 1+2+3)(b)
(gCO2 eq./MJ)
65.2
65.6
-1%
Entity Specific Indicators - 100% Operated
Direct Scope 1 GHG emissions(c)
(MtCO2eq.)
21.2
22.7
-6%
Location-based Scope 2 indirect GHG emissions
0.6
0.6
+4%
Eni direct methane emissions (Scope 1)
(kt CH4)
16.0
16.6
-3%
of which: upstream fugitives
1.7
2.0
-15%
Upstream methane emission intensity
(%)
0.09
0.10
-10%
Volumes of hydrocarbons sent to flaring
(billion Sm3)
0.84
0.89
-6%
of which: routine Upstream
0.12
0.24
-51%
(a) Category 11 of the GHG Protocol - Corporate Value Chain (Scope 3) Standard. Estimated based on upstream production sold as Eni’s share in line with IPIECA methodologies. The emissions of consolidated companies alone
amount to 137.2 MtCO2eq. in 2024.
(b) GHG emissions associated with the life cycle of energy products sold by Eni. For more information, see Metrics: methodology.
(c) The indicator refers to consolidated activities carried out (i.e. share of emissions from consolidated companies, as required by the reference of the ESRS E1-6 50a standards) as well as to non-consolidated but operated activities.
Unlike the total ESRS indicator, emissions relating to consolidated non-operated companies are therefore excluded. For segment views, see Operating review.
(d) The trends reported in the table were calculated using a greater number of decimal places, which are not reported in the table.
GHG SCOPE EMISSIONS 1 AND 2
2024
2023
Trend
2024 vs. 2023(c)
Units of
measurement
Total
(ESRS)
of which
consolidated(a)
Totale
(ESRS)
of which
consolidated(a)
Scope 1 GHG emissions
Direct Scope 1 GHG emissions
(MtCO2eq.)
31.1
27.4
32.3
27.9
-4%
of which: CO2 equivalent from combustion and process
25.3
22.9
26.5
23.5
-5%
of which: CO2 equivalent from flaring
3.6
2.5
3.9
2.7
-8%
of which: CO2 equivalent from venting
2
1.9
1.7
1.6
17%
of which: CO2 equivalent from methane fugitive emissions
0.2
0.1
0.2
0.2
-9%
Percentage of Scope 1 GHG emissions covered by regulated
emissions trading systems
(%)
58
-
57
-
1%
Scope 2 GHG emissions
Scope 2 location-based GHG emissions(b)
(MtCO2eq.)
0.8
0.7
0.7
0.7
5%
Scope 2 market-based GHG emissions(b)
0.9
0.9
0.9
0.9
-6%
(a) The value, shown in this column, refers to consolidated companies, as required by the ESRS standards (E1-6 50a). The difference between the total value, calculated according to the ESRS methodology, and the consolidated
companies refers to the non-consolidated operated activities (as required by the ESRS E1-6 requirement 50b). In 2024, non-consolidated Scope 1 GHG emissions operated amounted to 3,6 MtCO2eq.
(b) The non-consolidated location-based and market-based operated GHG Scope 2 emissions are equal to 0.03 MtCO2eq. (as required by the requirement of ESRS E1-6 50b).
(c) The trends and total values reported in the table were calculated using a greater number of decimal places, which are not reported in the table.
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According to the new method of presenting data with the
boundary required by the CSRD, Scope 1 emissions amount to
31.1 MtCO2eq., a decrease of approximately 4% compared to 2023,
mainly in the Exploration and Production sector (decrease linked
to asset disposals in Nigeria and Congo and the implementation
of gas valorisation projects in Congo), and in the refining sector
following plant restructuring and maintenance. It should be
noted that out of the consolidated total (27.4 MtCO2eq.), 9.8
MtCO2eq. (i.e. 36%) do not relate to assets operated by Eni. Scope
2 emissions increased slightly under location-based view, while
they decreased in market-based view as a result of the increased
(63) Avoided emissions are emissions that would have been released if a particular action or intervention had not taken place; some emissions can be avoided by using a more efficient
and/or less carbon intensive product or service (e.g. by using renewable energy instead of fossil fuels - see WBCSD, 2023) resulting in lower third-party emissions.
(64) 1) LNG: ~9.1 MtCO2eq. - In calculating the emission savings, the shares of gas destined for the power sector in the Countries of sale were considered. For all the fossil fuels analyzed
(coal, oil and LNG) reference is made to the emissions of the electricity generation phase only. Elaboration based on IEA (Energy Balance 2024, Emission Factors 2021) and Enerdata
data. 2) Renewables: 1.9 MtCO2eq. - The representative emission factors used were processed based on IEA (Emission Factors 2024) data. 3) Biofuels: 2.0 MtCO2eq. - The average
emission savings have been calculated as the ratio between the emissions associated with the quantities of HVO biofuels sold in 2024 and reported in the sustainability certificates and
the value of the fossil fuel reference defined in the RED III directive (equal to 94 gCO2eq./MJ). The contribution of production from the Chalmette biorefinery in Louisiana is not included
in the calculation.
use of renewable energy guarantees (mainly in Versalis). Scope
3 emissions from category 11 (use of sold products) amount to
181 MtCO2eq. in 2024 and show a slight increase (+4%) in line
with the increase of sold Upstream hydrocarbon production.
Eni’s Net Lifecycle Scope 1, 2 and 3 emissions (395 MtCO2eq.)
are slightly reduced compared to 2023; the reduction compared
to 2018 (base year) amounts to approximately 110 MtCO2eq.
(-22%). Furthermore, considering the contribution in 2024 from
the commercialization of LNG, renewable electricity and biofuels
in terms of potentially avoided emissions63, a saving of about 13
MtCO2eq.64 would be achieved.
Reconciliation between the boundary of “Entity Specific” indicators and CSRD metrics
Eni’s progress towards carbon neutrality by 2050 is monitored through a series of indicators reported on the equity boundary, which
differs from the metrics shown in the table according to the CSRD boundary. Specifically:
- The Net Carbon Footprint Equity (Scope 1+2) indicators, compared to the CSRD indicators, also include the contribution of non-
operated and non-consolidated JV/Associates, accounted on an equity basis; on the other hand, for all the companies consolidated
on a line-by-line basis, as well as for the other companies operated by Eni, the data are accounted on an equity basis, in proportion
to the shareholding or revenue interest.
- The Net GHG Lifecycle Emissions indicator (Scope 1+2+3), compared to the CSRD metrics, is built on an equity-based view and
considering a broader boundary for Scope 3 emissions that also includes energy products purchased by third parties (e.g. natural
gas produced by third parties and sold by Eni). The indicator can be reconciled with CSRD data by changing emissions 1-2 as
described above (excluding the contribution of the chemical sector) and subtracting the Scope 3 emission from mid-downstream
businesses (excluding carbon credits used to offset these emissions).
MtCO2eq. of GHG emissions potentially avoided through Eni’s LNG sales in 2024, assuming that gas
replaces more emissive fossil fuels (oil, coal) in the power generation phase
9,1
MtCO2eq. of GHG emissions potentially avoided by selling Eni’s biofuel production in 2024, considering
an emission saving of about 80% compared to the average fossil fuel benchmark
2,0
MtCO2eq. of GHG emissions potentially avoided by selling Eni’s renewable electricity in 2024,
assuming that it replaced emissions associated with the average electricity mix in the Country of
generation
1,9
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Energy consumption and energy mix65
The energy efficiency measures carried out during the year allow for
effective primary energy savings compared to baseline consumption
of over 308 ktoe/year deriving mainly from upstream projects (over
82%), with a benefit in terms of emission reduction of approximately
778 thousand tonnes of CO2eq. If Scope 2 emissions, i.e. emissions
from purchased electricity and thermal energy, are also considered,
the net CO2 savings deriving from energy saving projects rise to about
(65) The 2023 data relating to consolidated companies not operated by Eni (but by third parties) are not presented because, in the past, the data were aggregated with a different
methodology and therefore would not be comparable.
816 thousand tons of CO2eq. In 2024, Eni’s total energy consumption
(equal to 92.7 million MWh) recorded a reduction of 3% compared to
2023 due to the contraction in fossil energy consumption, in particular
due to the drop in natural gas consumption linked to the sale of
Nigerian Agip Oil Co Ltd. Renewable energy consumption (amounting
to 587,259 MWh) recorded an increase of 62% compared to 2023 due
to the higher purchases of electricity covered by guarantees of origin
and the increase in biomass energy consumption.
ENERGY CONSUMPTION MIX
Units of
measurement
2024
2023
Operated
Operated
Consolidated not
operated
Total energy consumption
(MWh)
92,738,602
32,150,544
95,227,735
Total fossil energy consumption
92,151,343
32,077,325
94,865,743
Fuel consumption from crude oil and petroleum products
22,658,539
21,435,813
Fuel consumption from natural gas
67,054,303
71,165,300
Fuel consumption from other fossil resources 38d
331,591
194,506
Consumption of electricity, heat, steam and cooling acquired or purchased from fossil sources
2,106,910
2,070,123
Total renewable energy consumption
587,259
73,219
361,992
Fuel consumption from renewable sources, including biomass (also including industrial and municipal
waste of biological origin, biogas, renewable hydrogen, etc.)
355,385
336,017
Consumption of electricity, heat, steam and cooling acquired or purchased from renewable resources
215,999
9,750
Non-combustible, self-generated renewable energy consumption
15,875
16,225
ENERGY PRODUCTION
2023
Units of
measurement
2024
Entity Specific Indicators - Equity
Renewable Installed capacity
(MW)
3,851
3,056
Capacity of biorefineries
(million tonnes/year)
1,65
1,65
Sold production of biofuels
(thousand tons)
982
635
Production of energy from renewable sources(a)
(GWh)
4,665
3,984
Indicators - Operated
Production of non-renewable energy
(MWh)
28,240,065
32,591,215
(a) The figure refers to Plenitude.
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TRANSPARENCY AND PARTNERSHIP
Transparency in Disclosure
[DUE DILIGENCE PHASE 5]
Eni communicates climate-related information in line with legal
sustainability disclosures requirements, while also aligning with the
main voluntary guidelines and best practices for climate disclosure,
including the OECD Guidelines and TCFD, respectively for the inside-
out and outside-in perspective. Eni supports the definition of best
practices for complete and effective climate disclosure. An example is
Eni’s participation in the Oil & Gas Methane Partnership (OGMP 2.0), for
which it was recognized as Gold Standard Reporting in 2024, as stated
in the 2024 International Methane Emissions Observatory (IMEO)
Report published by UNEP. This recognition underlines the effectiveness
of Eni’s decarbonization strategy in measuring methane emissions
with the aim of reducing and mitigating them. In 2024, Eni conducted
a large-scale global methane measurement campaign, overseen by a
dedicated multidisciplinary task force, with strong support from all Eni
geographical areas, joint venture companies and partners. As part of
its commitment to continuous improvement in transparency, in 2024
Eni expanded its disclosure on methane emission reduction efforts by
publishing a dedicated report for the first time. Transparent climate-
related reporting, together with the Company’s strategy, has contributed
to positive evaluations from the main ESG rating agencies and climate
benchmarks (see
ESG rating, Capital Market Update). Through its
advocacy activities, Eni shares its positioning on climate change and
related climate strategy issues (see Business Conduct).
Partnerships for Decarbonization
[DUE DILIGENCE PHASE 3]
Eni has long been engaged in collaboration and dialogue with the
academic world, civil society, institutions and companies to promote
(66) At COP 28, over 50 companies joined the OGDC, of which about 30, for the first time, committed to achieve Net Zero by 2050 for Scope 1 and 2 GHG emissions, achieve the Near
Zero methane emissions and zero routine gas flaring by 2030, as well as the commitment to report on the reductions achieved.
the energy transition by generating new knowledge, sharing best
practices and fostering initiatives that create value for both the
company and its stakeholders. Eni is a founding member of UNEP’s Oil
& Gas Methane Partnership (OGMP), the Oil and Gas Climate Initiative
(OGCI) and the Methane Guiding Principles (MGP) and actively
participates in expert groups, such as IPIECA and IOGP. In addition,
Eni is a signatory of the Oil & Gas Decarbonization Charter (OGDC)66,
a key initiative launched at COP28 with the aim of converging the
sector towards transparent and concrete actions to reduce emissions,
including methane and flaring. In support of its commitments, Eni has
joined the Global Flaring and Methane Reduction (GFMR) trust fund, an
initiative launched by the World Bank, aimed at helping governments
and national operators eliminate methane emissions and routine
gas flaring by 2030. For more details see the
Methane Report
(2024). These collaborations have contributed to the development
of best practices for methane emissions monitoring, reporting and
verification, and have promoted the adoption of new technologies for
monitoring and reducing emissions across the industry, for example
through the Climate Investment funded by OGCI. Eni has also signed
collaboration agreements with national oil companies (NOCs) and joint
venture partners, including EGAS, Sonatrach and SOCAR, with the aim
of sharing its expertise in managing and reducing methane emissions.
Eni also forms partnerships with energy-intensive companies to
develop and promote lower carbon solutions. In this context, Eni has
joined the “Pact for the Decarbonization of Air Transport” (PACTA),
an initiative promoted together with Aeroporti di Roma that brings
together representatives of institutions, industry stakeholders, trade
associations and the third sector with the aim of defining a roadmap
for the decarbonization of the air transport sector by 2050. Finally, Eni
develops innovative solutions together with universities and start-ups,
such as magnetic confinement fusion, an energy source that could
revolutionize the energy sector through lower-emission technologies.
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Eni pays particular attention to the efficient use of natural resources,
such as water, the reduction of polluting emissions, waste
management, the protection of biodiversity and ecosystem services.
Environmental matters, along with Health and Safety topics, are
managed with a single integrated HSE management system, which
defines roles, responsibilities and methods of managing the activities
of all sectors for environmental aspects. In addition, to train employees
and the supply chain on these aspects, Eni is continuing a program,
launched in 2019, to raise awareness and strengthen environmental
culture involving all the group. The plan involved the operating sites
in Italy and is being extended to foreign subsidiaries, also with the
signing of the environmental and safety Pacts, which involve suppliers
in tangible and measurable improvement actions. In addition, in 2024,
Eni continued to promote the Environmental Golden Rules, to support
the adoption of virtuous behaviour by employees and suppliers, in line
withits values, commitment and standards.
HSE management system
For environment, health and safety management in the workplace,
Eni has adopted a model considering three levels of responsibility
(employers, top management of the business area and Eni’s top
management), each of which is supported by a specific HSE function.
In order to ensure control over activities, Eni, also for the purpose
of preventing crimes pursuant to Legislative Decree 231/2001, has
prepared an adequate control model for the HSE topics, consistent
with the structure and organizational levels and with the system
of delegations and responsibilities assigned. In line with the ISO
14001:2015 certification, as part of the Management System, the
individual site carries out, in relation to its activities, a process of
identification of environmental aspects with the assessment of
potential impacts and associated risks, as well as the identification
and monitoring of possible opportunities. The assessment process
considers the asset lifecycle and activities under different operating
conditions (normal, abnormal and emergency). The risk67 associated
with each environmental aspect/impact is assessed on the basis of
risk mitigation barriers, both technical and managerial, developed
on site. The impact and risk assessment process is periodic,
monitored and updated in order to ensure and improve the quality
and effectiveness of the risk identification, analysis and assessment
process, as well as to periodically verify the consistency and adequacy
and effectiveness of the measures developed. The regulatory
system establishes the allocation of all Eni subsidiaries into three
(67) In this context, the word “risk” is not related to the financial materiality but refers to the combination of the probability that a given event will occur in a given period or under specific
circumstances and the consequences that may be generated.
(68) The HSE Review is aimed at assessing the management of HSE risks and verifying the suitability, adequacy and effectiveness of the HSE management system adopted.
HSE risk clusters, based on the activities carried out: (i) significant
(industrial activities), for which there is an obligation to adopt an HSE
management system, a certification according to ISO 14001 and
ISO 45001 standards and to undergo annual HSE internal audits; (ii)
limited (office activities or activities of limited importance), for which
there is an obligation to adopt (but not to certify) an HSE management
system and to undergo annual or five-yearly HSE internal audits; (iii)
absent (absence of employees and operational activities), for which
no specific obligations are foreseen; all companies at significant risk
are covered by ISO 45001 and ISO 14001 certification or have planned
to achieve it (at the end of 2024, 86% have already obtained ISO
45001 certification and 84% ISO 14001), as well as all other limited
risk companies with the obligation to develop an HSE management
system have already implemented it (86% in 2024) or have planned
to implement it. In addition to third-party audits aiming at maintaining
certifications, additional internal audits are carried out on an interim
basis to verify the adequacy of the HSE Management System and
to verify regulatory compliance. In the implementation phase of the
operational activities, the objective is to manage, reduce and eliminate
risks and direct/indirect impacts identified on the environment, both
related to the specific activities of the production units/organizational
structures, or related to the different processes of design, development,
use and end of life of products and services, taking into account the
various phases of the life cycle. In this phase, it is also ensured that
appropriate methods are adopted for the selection and management
of suppliers, contractors and subcontractors in compliance with Eni’s
HSE regulations, providing requirements and controls for the entire
process, during the qualification phase and during the execution
of the contract. Environmental impact assessment procedures
are shared with local stakeholders in public consultations, where
required by current legislation, and in some cases, also on a voluntary
basis. In fact, inclusiveness and stakeholder engagement is one of
the principles of reference for Eni, in order to promote preventive,
free and informed consultations, considering their requests on
development activities, projects and initiatives. In general, the needs
and expectations of stakeholders are assessed by Eni sites within
the context analysis according to the ISO 14001:2015 standard and
the management of complaints is ensured through the Grievance
Mechanism and the whistleblowing process (see Human Rights for
Eni). Monitoring, including through HSE review68, and reporting are of
strategic importance in keeping the organizational system efficient,
supporting the decision-making process and identifying areas for
Environment and Eni’s
management system
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improvement and actions to be implemented to achieve the defined
objectives. The analysis carried out on the information at the site level
makes it possible to identify the most critical situations and to plan any
specific interventions with relative priorities. For the implementation
of environmental activities, every year, Eni’s strategic plan defines
the financial resources to achieve the identified commitments, as
well as to maintain the HSE management system. For the next
four years, Eni has allocated resources amounting to €5.6 billion,
particularly for soil and groundwater remediation activities (€2.3
billion), waste recovery, treatment and disposal (€1.1 billion), flaring
down (€0.9 billion), sustainable water resources management (€0.6
billion), pollutant reduction, air monitoring and analysis (€0.2 billion),
energy saving interventions (€0.1 billion), spill prevention interventions
and improvement of containment systems (€0.2 billion), monitoring
interventions, reduction of impacts on ecosystems and biodiversity
and environmental restoration (€0.1 billion).
POLLUTION
POLICIES69
Eni’s commitment to respecting the environment is expressed within
Code of Ethics, which delves into the values and principles that guide
acting in a sustainable way, minimizing environmental impacts and
optimizing the use of energy and natural resources. In addition, Eni has
a internal regulatory framework for the mitigation of impacts/risks for
the environment and for the organization, relating to: (i) management
of the water cycle and minimization, control and monitoring of
water discharges; (ii) prevention, control and monitoring of pollutant
emissions; (iii) prevention and monitoring of spills; (iv) contamination
of soil, subsoil and surface and groundwater and related emergency
safety and remediation actions; (v) emergency management. The
results of the assessments carried out to identify environmental
aspects and the related impacts/risks allow for the identification of
prevention, protection and mitigation measures, to safeguarding of
the environment from the release of any pollutants through effective
and periodically verified monitoring and control mechanisms.
TARGETS AND COMMITMENTS
Although quantitative targets have not been identified, Eni is
constantly committed to implementing actions aimed at safeguarding
water resources, air quality and soils through an approach aimed at
preventing and minimizing the risks and impacts of emissions in these
environmental matrices. Eni adopts an internal regulatory framework
and a HSE management system that guarantees the definition of
operational guidelines for all businesses, based on the knowledge
of the context in which it operates, the identification of legislative
obligations, environmental compliance and the expectations of
stakeholders. Furthermore, Eni guarantees the monitoring of the
(69) For further references, see The Regulatory system, and Eni’s Reporting principles and criteria/Policies.
actions on a half-yearly basis through the analysis of metrics for
the timely control of performance and rapid intervention in cases of
misalignment with expected trends. Eni operates in compliance with
the legislative requirements also through HSE management systems
certified according to international standards and, in line withwhat
has been defined for water resources, the adoption of quantitative
targets relating to pollution is under evaluation for the next strategic
plans. It should be noted that the commitment defined in terms of
water positivity ( Water Resources), in line with the Net Positive Water
Impact approach that inspires Eni, also intrinsically considers the
dimension of water quality and therefore can also achieve objectives
of water pollution reduction.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs)
The material pollution impacts and risks are related to the potential
release of substances into the air, water or soil associated with
Eni’s industrial activities in the fields of research, development
and production of hydrocarbons, refining and transport of fuels
and other flammable products, petrochemical production and
potential malfunctions in water treatment systems in remediation
activities. Despite Eni operating in compliance with national and
local regulations and is being subject to controls by the competent
authorities, these activities are inherently exposed to operational
risks that may lead to impacts on the environment and Eni’s people,
as well as contractors, suppliers and business partners and local
communities. These risks, although effective preventive systems and
good management practices are adopted, can lead to the process
incidents, such as fires or explosions or asset integrity accidents, as
well as to other non-process related risks (such as in the context of
road, rail, ship, refuelling stations, gas distribution networks) or the
occurrence of an uncontrolled flow of hydrocarbons from within the
well (see Risk factors and uncertainties). Atmospheric emissions
for the Oil & Gas sector are at the origin of environmental impacts,
such as air quality, olfactory nuisances, photochemical smog, and
the phenomenon of acid rain (acidification). Most of the emissions,
mainly related to the processes of upstream industrial plants and
electricity, chemical and refining plants, concern nitrogen oxides
(NOx) and sulphur oxides (SOx), particulate matter (PM) and non-
methane volatile organic compounds (NMVOCs). The same
activities are at the origin of impacts related to water discharges
for which Eni carefully monitors the presence of hydrocarbons in
upstream production water and industrial wastewater. Regarding
soil releases, Eni’s activities do not involve operational discharges:
however, oil and other chemicals releases are caused by accidental
contaminment losses, mainly associated with upstream and
refining activities, or illlicit acts (theft and sabotage). In addition,
in order to ensure operational management that complies with
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advanced environmental protection criteria and the adoption of
international standards and solutions and best practices, Eni has
adopted a multi-level responsibility model and an internal regulatory
system (see the chapter Health & Safety) which includes, among
other things, the adoption of management systems certified
according to ISO 14001 and ISO 50001 standards (as well as ISO
45001 for health and safety issues) by sites with higher HSE risk.
The technical audit plan and the internal control system adopted to
prevent and minimize operational risks allow constant verification
of the sites’ activities with respect to Eni’s regulatory principles.
ACTIONS TAKEN ON MATERIAL IROs
In all the various geographical contexts where it operates, Eni is
committed to reducing and minimizing the impacts of its activities
through the adoption of international good practices and Best Available
Technology (BAT)70, both technical and managerial. Among these,
the attention, in the various operational sites, is certainly focused
on the efficient use of natural resources as well as the prevention/
reduction/control of pollutant discharges into water, the minimization
of polluting emissions into the atmosphere, the reduction of oil spills
and the monitoring of the mitigation actions’ effectiveness.
Emissions of pollutants into the
atmosphere
Eni has adopted an operating model that ensures, in addition to
regulatory compliance, an approach aimed at preventing and reducing
the risks associated with air pollution that these emissions may cause
and the potential effects on local air quality. To this end, Eni defines
and implements a systematic continuous monitoring and control plan
at site level considering the territorial and environmental context and
any requirements deriving from local laws and/or specific emission
authorizations, to ensure the best performance in terms of minimizing
releases into the atmosphere. Additionally, the application of the best
technologies from a technical, operational and management point of
view is promoted throughout the entire life cycle of the plants, starting
from the design, aiming at environmental protection. In all industrial
activities, Eni pays particular attention to the potential effects on the
atmosphere and odour impact and, in order to promote the constant
improvement of environmental performance, these aspects are
continuously monitored through direct monitoring and control of
individual emission sources. The industrial plants operate in line
with the standards and requirements set out by the environmental
authorizations and with the fundamental principles of prevention,
protection and mitigation of environmental impacts, orienting
their actions towards a continuous improvement of environmental
performance and with a view to overall sustainability. In particular,
within the EU, the activities subject to the Industrial Emissions
(70) By way of reference, the documents issued by the European Commission (BREF-BAT reference document) are taken into account.
(71) The technology is designed and developed by Eni to carry out real-time analysis and monitoring activities on new or existing pipelines, both for the transport of hydrocarbons
and water, through an innovative system of vibroacoustic waves that detect external acts, such as attempted break-ins or accidental impacts on the pipelines, and variations in flow,
maximizing the efficiency of the transport systems.
Directive (IED) also operate to ensure compliance with the provisions
of the Monitoring and Control Plan and in line with the application of
the BAT specifications on emissions into the atmosphere in relation to
the different types (channelled, diffused, fugitive and odorous).
Release of pollutant in wastewater
Similar prevention, monitoring and control measures are constantly
adopted, in line with the management of emissions from water
discharges, to safeguard not only the use of the resource but also
the quality of the water environment. Both the implementation and
the operational phases of the projects are carried out in compliance
with the applicable regulations and the requirements dictated by
local authorizations, which may require the engagement of local
stakeholders. Eni has adopted precise internal standards to be used
when local mandatory regulations are less strict, or absent, regarding
environmental conservation, based on applicable international
standards, and in consideration of the assessment of impacts on
water quality. Eni monitors its water discharges after any treatment
and the quantitative of oil in the produced water discharged. Internal
early warning thresholds for specific pollutants in water discharged
from each production activity are also adopted to propmtly initiate any
necessary corrective actions.
Oil spill
The operation of Eni’s assets does not involve operational releases to
the ground, consequently the potential contamination can only come
from accidental releases, such as operational spills and oil or
chemical break-ins. Eni is constantly engaged in the management of
risks and emergencies related to these events, through prevention,
preparedness, mitigation, response and recovery activities. As part of
prevention, the e-vpms®71 (Eni Vibroacoustic Pipeline Monitoring
System) system for remote monitoring of any spills from pipelines, is
present on all operating pipelines in Italy and is subject to technological
updates, also in order to detect interference with third parties and to
prevent break-ins. During 2024, for example, maintenance was
carried out on the e-vpms® system in Val d’Agri, together with the
technological update for the weather monitoring and warning system
for the control of hydrogeological risks and for the management of
water runoffs. To identify potential spills in progress, Eni has
continued to invest in its proprietary e-siam® (Eni Structural Integrity
Acoustic Monitoring) technology to detect and identify corrosion and
leaks from tanks and pipes and has conducted tests to further
develop this technology. Regarding mitigation, during the year, the
methodology for assessing the risks deriving from natural events that
may involve pipelines was standardized and the subsidiaries were
supported in the preventive assessment of the best response actions,
in the event of hypothetical offshore spills, also in line with industry
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METRICS72 E2-4
Pollution and oil spill
In line with previous reporting, the emissions of the NOx, SOx,
NMVOC and PM parameters are shown below, which account for
the set of pollutants in the atmosphere considered relevant for
Eni’s business deriving from combustion processes and
operations carried out. Similarly, the following tables show the
(72) For the methodology and scope of consolidation, see the chapter Eni’s Reporting Principles and Criteria. The 2023 data relating to consolidated companies not operated by Eni
(but by third parties) are not presented because, in the past, the data were aggregated with a different methodology and therefore would not be comparable. It is emphasized that in
the comments on the performances the percentages are calculated using other decimal figures not presented in the document.
hydrocarbons in wastewater, a relevant parameter for Eni’s
business, potentially deriving from the hydrocarbon production
and treatment processes and subsequent downstream chain.
This is followed by the reporting on oil spills in terms of number
and volumes spilled.
EXPENDITURES(a)
Units of measurement
2024
2023
Air protection expenditures and investment(b)
(M€)
45.84(c)
63.42
of which: current costs
38.58
34.45
of which: investments
7.25
28.97
Spill prevention expenditures and investments
42.30
42.36
of which: current costs
12.89
9.90
of which: investments
29.41
32.46
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
(b) For investments relating to discharge monitoring activities, see the Water Resources chapter. The total expenses are calculated using decimals which are not shown in the table.
(c) The downward trend is attributable to a high value that occurred in 2023 against specific projects at some sites.
EMISSIONS OF POLLUTANTS INTO THE ATMOSPHERE
2024
2023
Operated
Consolidated
not operated
Operated
Units of measurement
NOx (nitrogen oxides) emissions
(thousands of tons NOX eq.)
21.9
10.7
22.8
SOx (sulphur oxides) emissions
(thousands of tons SOX eq.)
2.4
7.3
3.1
NMVOC (Non Methane Volatile Organic Compounds) Emissions
(thousands of tons)
9.1
4
9.6
PM (Particulate matter) emissions
0.5
0.4
0.6
POLLUTANTS IN WASTEWATER
2024
2023
Units of measurement
Operated
Consolidated
not operated
Operated
Hydrocarbons in wastewater
(tons)
106.4
58.7
110.7
standards and local regulations. Eni’s commitment to verify, monitor,
and replace onshore and offshore pipelines continues to ensure asset
integrity and prevent potential oil spills, with campaigns underway to
replace the most critical sections. In particular, regarding onshore
assets in Nigeria that have been subject to sabotage activities in
recent years, with effects on various aspects of the business, Eni has
developed and intensified over time a strategy aimed at avoiding
accidents and mitigating their potential effects. This strategy was
carried out until the sale of the company, which was completed in
2024. This approach was based on the rapid identification of losses,
damage and illegal activities along the transport lines, with the aim of
taking timely action to reduce or avoid them. Finally, to strengthen the
response capacity to marine pollution as a result of possible oil spills,
Eni continues to participate in sector programs by joining regional
initiatives also in collaboration with the International Maritime
Organization.
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Emissions of pollutants into the atmosphere show a decreasing
trend. The decrease in SOx emissions (-21% compared to 2023) is
mainly linked to the reduction in the contribution of the Sannazzaro
and Livorno refineries for plant shutdowns in the period and that of
the Venice biorefinery where, at the end of 2023, a sulfur recovery
plant was put into service, characterized by a higher abatement
efficiency than the previous one. In addition to the shutdowns of
the Sannazzaro and Livorno refineries, the reduction in NOx (-4%
compared to 2023), PM (-14% compared to 2023) and NMVOC
emissions (-6% compared to 2023) was influenced by the release
from the upstream portfolio of Nigerian Agip Oil Co Ltd and the Eni
US Operating Co Inc activities in Alaska. In 2024, the volumes spilled
as a result of operating oil spills (equal to 675 barrels) recorded a
significant decrease compared to 2023 (in which, following a single
event at the Sannazzaro refinery, there was a heavy fuel oil spill
of over 7,547 barrels, fully recovered) with significant reductions in
upstream both for the sale of the company in Nigeria and for the
better performance recorded in Congo; the most important event
occurred in Italy (440 barrels at the Taranto refinery, spill entirely
recovered). Events recorded abroad accounted for 5% of the total
quantities spilled, confirming a downward trend (-5% vs. 2023) with
only two Countries impacted (the United Kingdom and Germany).
Overall, 92% of the 2024 operating oil spill volumes were recovered.
Oil spills from sabotage, amounting to 2.140 barrels, recorded a 58%
reduction compared to 2023, with a significant drop in the number
of events (95 vs. 373 in 2023). All the events (with the exception of
one that occurred along the Sannazzaro-Rho pipeline for a total of
2 barrels) took place in Nigeria. The largest spill was 258 barrels,
(73) Referred to in Annex II of Reg 166/06 E-PRTR.
(74) The numbers shown in the table refer to the 2023 data, as the best possible estimate, of the 2024 information. In relation to non-European sites for which EPRTR registers are not
available, as already stated, these are attributable to the Upstream business. It should be noted that, on the basis of the information available to date, the sets of pollutants reported
respectively for air and water offer the best estimate of Eni emissions, representing the relevant parameters for all business lines.
of which 252 were recovered. Overall, 86% of oil spill volumes from
sabotage have been recovered. The volumes spilled as a result of
chemical spills (70 barrels in total) have decreased compared to
2023 and are essentially due to a single event in UK (69 barrels of
methanol spilled during loading/unloading operations from storage
tanks due to power outages).
The total hydrocarbon content in the discharged water was
approximately 106 tonnes, down compared to 2023 due to a
lower contribution from the E&P sector, mainly as a result of the
decommissioning activities in Eni UK and the aforementioned sale
of activities in Alaska.
Other pollutants listed in Regulation
166/2006 (E-PRTR)
In line with the requirements of the ESRS E2-4 standard, the
metrics reported in the below table are the annual quantities
of additional pollutants73 emitted into the atmosphere deriving
from the E-PRTR registers drawn up by all sites of Eni’s business
sectors (Petrochemical, refining, exploration and production, and
thermoelectric) in Europe, which fall within the scope of Regulation
166/06 E-PRTR and which have exceeded the applicable emission
threshold indicated in Annex II thereof) 74. It should be noted that with
regard to Eni sites outside Europe not falling within the scope of Reg
166/06, these essentially belong to the Upstream Business and carry
out processes and operations that substantially generate pollutants
from combustion processes or evaporation of hydrocarbons,
pollutants already included in the reporting referred to in the previous
table (NOx, SOx, NMVOC and PM).
OIL SPILLS
Units of
measurement
2024
2023
Operated
Consolidated not
operated
Operated
Operational oil spills (>1 barrel)
(number)
18
5
16
of which: upstream
7
5
9
Operational oil spills volumes (>1 barrel)
(barrels)
675
175
7,625
of which: upstream
25
175
40
Oil spills due to sabotage (including thefts) (>1 barrel)
(number)
95
5
373
of which: upstream
94
5
372
Volumes of oil spills due to sabotage (including theft) (>1 barrel)
(barrels)
2,140
770
5,094
of which: upstream
2,138
770
5,092
Volumes of oil spills due to sabotage (including theft) in Nigeria (>1 barrel)
2,138
720
5,092
Chemical spill
(number)
8
1
16
Volumes of chemical spills
(barrels)
70
33
2,260
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Similarly, for releases of pollutants and off-site transfers to wastewater75,
the following table shows the pollutants declared in the EPRTR
registers of sites that have exceeded the applicable threshold73,74,75.
Also for release of pollutants in wastewater, it should be noted that
in consideration of the specificities of the processes and operations
(75) Off-site “transfer” means the movement, beyond the boundaries of an industrial complex, of pollutants contained in wastewater intended for treatment (Article 2, paragraph 11 of
Regulation 166/06).
of non-European sites, and therefore of the Upstream business, the
relevance of contamination in the discharged water is attributable to
the possible discharge of production water into the surface water body,
a type of water for which the significant parameter is hydrocarbons (a
parameter already included in the reporting in the table above).
EMISSIONS OF POLLUTANTS INTO THE ATMOSPHERE
Units of measurement
Air emissions
EPRTR Parameters
Arsenic and compounds (expressed as As)
(kg/y)
54
Mercury and compounds (expressed as Hg)
32.5
Nickel and compounds (expressed as Ni)
626.2
Zinc and compounds (expressed as Zn)
294.0
Benzene
16,389.79
Chlorine and inorganic compounds (expressed as HCl)
(t/y)
19.7
POLLUTANTS IN WASTEWATER
Units of measurement
Emission
in the water
Wastewater
transfers
EPRTR Parameters
Arsenic and compounds (expressed as As)
(kg/y)
241.4
30.1
Chromium and compounds (expressed as Cr)
78
/
Copper and compounds (expressed as Cu)
153
/
Nickel and compounds (expressed as Ni)
684.9
28.9
Zinc and compounds (expressed as Zn)
1,688.9
254.5
Halogenated organic compounds (expressed as AOX)
4,009
/
Biphenyl polychlorurates (PCB)
/
0.2
Trichloromethane
481
/
Anthracene
/
1.1
Benzene
/
1,086.9
Nonylphenol and nonylphenol ethoxylates (NP/NPE) and related substances
/
12.1
Ethylbenzene
/
265.3
Naphthalene
/
12.2
Bis(2-ethylhexyl) phthalate (DEHP)
/
8.8
Phenols (expressed as total C)
364.9
2,457.1
Polycyclic aromatic hydrocarbons (PAH)
/
25.2
Toluene
/
569.5
Total organic carbon (TOC) (expressed as total C or COD/3)
(t/y)
320.2
653
Xylenes
(kg/y)
214
/
Chlorides (expressed as total Cl)
(t/y)
71,326.8
/
Cyanides (expressed as total CN)
(kg/y)
149.1
302.6
Fluorides (expressed as total F)
23,217.2
/
Fluorant Antenna
1.39
/
Benzo(g, h, i)perylene
1.29
/
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Below are shown the quantities of pollutant releases referable
exclusively to Eni Rewind sites, also taken from the EPRTR registers.
These pollutants have been considered separately as they are residual
quantities emitted downstream of the remediation processes deriving
from the operations of Eni Rewind sites (i.e. treatment of contaminated
groundwater). Typically, these contaminants derive from the pre-
existing site-specific contamination of the groundwater and are not
representative of Eni’s production processes.
POLLUTANTS IN WASTEWATER ENIREWIND
Units of
measurement
Emission
in the water
Wastewater
transfers
E-PRTR Parameters
Total phosphorus
(kg/y)
5,408.2
/
Arsenic and compounds (expressed as As)
185.7
12.6
Cadmium and compounds (expressed as CDs)
6.8
/
Chromium and compounds (expressed as Cr)
132.9
/
Copper and compounds (expressed as Cu)
68.2
/
Mercury and compounds (expressed as Hg)
1.4
/
Nickel and compounds (expressed as Ni)
98.4
/
Zinc and compounds (expressed as Zn)
983.9
/
1,2-Dichloroethane (EDC)
70
/
Pentachlorobenzene
1.7
/
Tetrachloroethylene (PER)
13.6
/
Tetrachloromethane (TCM)
6.8
/
Trichlorobenzenes (TCB) (all isomers)
7.2
/
Phenols (expressed as total C)
96.8
/
Total organic carbon (TOC) (expressed as total C or COD/3)
(t/y)
133.5
/
Chlorides (expressed as total Cl)
61,111.2
21,000
Fluorides (expressed as total F)
(kg/y)
4,308
/
WATER RESOURCES
POLICIES76
Eni’s commitment to water resource management is expressed
within the
Code of Ethics and then further detailed in Eni’s
Position on water. In line with its commitments, Eni pursues
the protection of water resources in all the Countries in which
it operates and in all phases of its activities, seeking solutions
beyond the corporate and operational boundary. Eni periodically
evaluates the withdrawals of its sites also to identify actions to
safeguard water resources, with particular regard to the reduction
of high-quality fresh water withdrawals77 of sites based in water-
stressed areas78. Actions are defined considering the water risk
mitigation criteria79: avoid, replace, reduce, recycle, restore. To
(76) For further references see The regulatory system, and Reporting principles and criteria/Policies.
(77) High quality fresh water is understood as that coming from aquifers, surfaces, aqueducts.
(78) The areas of water stress are identified with the use of Aqueduct, a tool developed by the World Resources Institute, and monitored annually through an internal analysis implemented
at the individual operating site.
(79) The principles of water risk mitigation are contained in the IPIECA 2021 document, Water management framework, 2nd ed.
this end, projects are promoted to increase the efficiency of water
use, use of remediated water or produced water to replace high-
quality fresh water, and civil and industrial wastewater recycling
systems; another important opportunity is represented by the use
of desalinated water. Collaborations and the active engagement
of stakeholders are promoted, for water management in harmony
with the needs of the territory, to promote social development and
safeguard ecosystems. In addition, Eni has an internal regulatory
framework that defines the water resource management model
and establishes the procedures for: the identification of areas
at water stress; the management of withdrawals, methods of
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use and water discharges; the identification of priority sites
and interventions; reporting and communication activities.
These tools aim to identify withdrawals and consumption in all
sectors of activity to assess and minimise potential impacts on
ecosystems and communities. The treatment, disposal or re-
injection of water is subject to sector-specific best practices.
Furthermore, procedures are defined to inform and involve
stakeholders by promoting prior, free and informed consultation,
in order to consider their requests on Eni’s activities, new projects
and development initiatives.
TARGETS AND COMMITMENTS
Eni continues on its path to safeguard water resources, which over
the years has seen the endorsement of the CEO Water Mandate
and the publication of its Position on water. In 2024, Eni declared
its ambition to achieve water positivity by 2050 in its operated
sites, through an approach that also takes into account actions at
the river basin level, inspired by the principles of the Net Positive
Water Impact (NPWI) proposed by the CEO Water Mandate. As an
intermediate goal along its path towards the 2050 ambition, Eni is
committed to achieving water positivity by 2035 in at least 30% of
its sites with withdrawals greater than 0.5 Mm3/year of fresh water
in water-stressed areas (as of 2023). The commitment to water
positivity requires that Eni’s actions to benefit the water resource
in a specific basin exceeds the impacts of its operating sites. This
commitment envisages in the next few years the declination into
targets with appropriate site-specific monitoring metrics being
defined. Actions to safeguard water will be addressed to the
aspects identified as most critical for the territory, relating to the
dimensions of the availability, quality and accessibility of fresh
water. Eni’s interventions will therefore be related to the identified
needs and in consideration of the relevance of the operational sites,
prioritizing the locations80 at high water stress. In 2024, Eni verified
the applicability of NPWI to one of its operational sites through a
pilot study. To support these commitments, Eni adopts an internal
framework of regulations and an HSE management system that,
based on the knowledge of the reference context, the identification
of legislative obligations and the expectations of stakeholders,
ensures the definition of operational guidelines and the necessary
actions for all businesses, guaranteeing monitoring, at least
every six months, through the HSE review process and the use of
specific metrics to ensure appropriate interventions in cases of
misalignment with expected trends.
(80) Sites with withdrawals of more than 0.5 Mm3 in 2023 (priority sites) are associated with more than 90% of Eni’s high-quality fresh water withdrawals in stress areas in 2023; positivity
by 2035 is reached on 3 of the priority sites.
(81) For more information on community engagement, see the Eni Environment and Eni’s Management System chapter.
(82) It should be noted that Eni does not deem the exposure to water risk as a top risk.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs)
Eni recognises the importance of responsible water management
and therefore carefully monitors water withdrawals, discharges
and consumption in all operations, also considering the interest of
all stakeholders categories81. The water resources management
model adopted by Eni is based on the identification, assessment
and minimization of the impacts on the water resources and on the
prevention of adverse and/or illegal environmental events, as well as
the maintenance and improvement of ecosystems. The process is an
integral part of the broader management of environmental aspects
in the various operating realities of the business units. About 90% of
the water used in the industrial activities is seawater, and about 10%
is fresh water, which is difficult to replace for many activities and
whose accessibility could represent a potential risk to Eni’s operations.
Seawater is mainly used for cooling and, in upstream operations, for
Improved Oil Recovery (IOR) and drilling, operations for which brackish
surface or underground water can also be used. Fresh water is mainly
used to produce demineralized water (used in the production process
or to generate steam as an energy carrier) and for cooling.
ACTIONS TAKEN ON MATERIAL IROs
Eni implements ISO 14001 and ISO 50001 certified management
systems in sites with the higher HSE risk (see Environment and Eni’s
management system) and all projects are subject to the application
of the ESHIA (environmental, social and health impact assessment)
process. Eni carries out an annual analysis, in particular on fresh water,
to assess the degree of exposure to water risk82 of its assets and to
identify new ideas to improve the management of the water resource
by prioritizing and planning the interventions according to the business
activities. Eni regularly carries out assessments of its suppliers and
also continuously monitors the suppliers performance with regard
to their ESG positioning and, consequently, their water management,
promoting the adoption of management systems compliant with the
main international standards among its contractors.
Based on water risk analyses, the main improvement interventions,
addressed and planned in the sites where fresh water withdrawals in
stressed areas is particurarly relevant, occur in downstream industrial
activities located in central-southern Italy and in upstream activities
located in North Africa. The reduction of fresh water withdrawals is
pursued by acting on several levers: increasing efficiency, recycling
internal fresh water and replacing high-quality fresh water sources
(groundwater, surface, municipal or third-party) with low-quality
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water, particularly in water-stressed areas, e.g. remediated water83,
wastewater84, desalinated85 or produced86 water. However, safeguard
actions are also addressed to sites that are not particularly exposed
to water stress issues such as, for example, in Italy, at the Enipower
plant in Ferrera Erbognone, where at the end of 2022 an innovative
water filtration system was successfully tested, with an increase
in water efficiency, or in Mantua, where actions are underway to
increase fresh water recycling for cooling. Furthermore, in Ferrara, in
May 2024, a memorandum of understanding was signed with local
Stakeholders which contains priority lines of intervention aimed at
reducing withdrawals from the Po River and, by 2025, a wastewater
recovery and reuse system will be activated. Eni Rewind is committed
to making the contaminated groundwater treated in its remediation
plants (GTP - groundwater treatment plant) available for industrial
use, thus contributing to the reduction of high-quality fresh water
withdrawals. The commitment to increase the share of reinjected
produced water87 makes it possible to reduce the withdrawal of salt
or brackish water, contributing to the protection of water resources,
especially in areas of water stress, and, at the same time, increasing
the recovery of hydrocarbons with their reinjection into the reservoir.
Examples of actions in areas of stress, according to the different
lines of intervention are:
• Wastewater: (i) Livorno Refinery, where a water reuse plant for
industrial wastewater has been in use since 2023; (ii) Ravenna
petrochemical hub, with a wastewater reuse plant, which will be
operational from 2025; (iii) Petrochemical plant in Brindisi, with a
plant for the reuse of about 0.4 Mm3/y of wastewater, which will be
operational by 2026; (iv) Gela biorefinery, which since August 2024
(83) Contaminated groundwater from sites under remediation, which require treatment to remove pollutants prior to reuse/release.
(84) Combination of civil and industrial discharges in addition to rainfall collected and drained through sewer networks or drainage systems.
(85) Obtained by removing salt and impurities from seawater or other sources with high salinity.
(86) Water associated with oil and gas production that is treated and reused in the industrial cycle.
(87) Water associated with the extraction of hydrocarbons naturally present in the reservoir, which may contain contaminants. This water, properly treated, can be reused for production
purposes to reduce water withdrawal.
has increased the reuse of urban wastewater for industrial purposes.
• Remediated water: (i) Eni Rewind in various sites, including Porto
Torres, Priolo, Assemini, Manfredonia and Gela, treats contaminated
groundwater to allow it to be used for industrial purposes; (ii) studies
have been launched to evaluate the possibility of increasing its use
in the industrial sites of Porto Torres and Priolo (as well as at the
Mantua site, not under stress).
• Produced water: (i) in Val d’Agri in Basilicata, a project to treat and
recover produced water (with a 72 m3/hour plant) for industrial
use by replacing equal volumes of high quality fresh water, which
will be started in 2027; (ii) projects for the optimal management
of produced water at the Meleiha site (Agiba, Egypt) where the old
reinjection plant was upgraded in 2023 and a new plant that will
allow total reinjection for production purposes was built during
2025; in Turkmenistan, at the Burun site, an initiative that led,
starting from October 2024, to the elimination of reinjection for
disposal was completed.
• Desalinated water: the use of desalination plants in Egypt has made
it possible to eliminate fresh water withdrawals at the Zohr site since
the beginning of 2022 and to minimize, since November 2022, fresh
water withdrawals at the Abu Rudeis site.
Financial resources used for water resource management include:
(i) water supply, desalination, and cooling systems, (ii) wastewater
monitoring and treatment, and (iii) water injection and reinjection
facilities. About half of the total expenditure for the management
of water resources is allocated to interventions at sites in water-
stressed areas. For expected future resources, see the chapter on
Environment and Eni management system.
EXPENDITURES(a)
Units of
measurement
2024
2023
Total expenditures on water resources and discharges
(M€)
178.21
149.29
of which: current costs
127.71
124.34
of which: investments
50.50
24.95
(a) The items in the table are included’s 2024 in Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
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METRICS88 4
In 2024, seawater withdrawals (1,032 Mm3, equal to 89% of total
water withdrawals) recorded an overall decrease compared to 2023
(-0.6%), as the increases in the upstream area (mainly in Indonesia
and Ivory Coast for start-ups of activities) were offset by reductions
in Enipower (zeroing of withdrawals from the Ravenna site due to the
decommissioning of the only production unit that used seawater),
Versalis (aromatic plants and logistics shutdown at the Priolo site) and
Enilive (plant shutdownat Gela biorefinery). Fresh water withdrawals in
2024, amounting to approximately 11% of total water withdrawals and
attributable to petrochemical and refining activities for more than 80%,
recorded an increase compared to 2023 (+17%), mainly attributable to
Versalis due to the entry into the consolidation domain of Novamont
and to the higher contributions of the Mantua sitein relation to the
replacement of the measurement instrumentation system ; fresh water
withdrawals at the Sannazzaro refinery (less water recovery from the
Water Reuse plant for extraordinary maintenance) and EniPower also
increased. Upstream fresh water withdrawals decreased due to the
sale of Nigerian Agip Oil Co Ltd. The volumes of recycled fresh water,
more than 73% attributable to Versalis, increased by 6% (mainly due
to the restored contribution of the Dunkirk site, where steam cracking
had stopped in 2023) with a percentage of reuse of Eni’s fresh water
in 2024 of 90%, overall in line with the 2023 figure. In 2024, total
water consumption in water-stressed areas was 38% of total water
consumption; it should be noted that withdrawals of high-quality fresh
water (i.e. deriving from surface water, groundwater and aqueduct) in
water-stressed areas amounted to less than 2% of Eni’s total water
withdrawal. Re-injected produced water percentage in 2024 rose to
(88) For further methodological information, see Reporting principles and criteria. Furthermore, the 2023 data for consolidated entities not operated by Eni (but by third parties) are
not presented because, in the past, data were aggregated using a different methodology and therefore would not be comparable.
(89) For further references, see The regulatory system, and Eni’s Reporting principles and criteria/Policies.
(90) In joint ventures in which Eni is not an operator, the commitment is to promote with partners the development and adoption of good management practices in line with our
BES Policy.
(91) The mitigation hierarchy is an international best practice, for the management of risks and potential impacts on the environment, through a sequence of actions: (i) preventing and
avoiding impacts; (ii) minimising impact where it cannot be avoided; (iii) restore and (iv) compensate.
(92) As of May 31st, 2019.
51% (42% in 2023), both due to asset disposals, new contributions
in the Netherlands and Ghana and the increases recorded in Mexico.
88
BIODIVERSITY
POLICIES89
Eni’s commitment to safeguarding biodiversity is expressed in the
Code of Ethics and detailed in Eni’s positioning on Biodiversity and
ecosystem services. The policy outlines the process for identifying,
assessing and managing dependencies and impacts (potential and
actual) on biodiversity and ecosystem services, while also considering
the consequences of these impacts on local communities, where
applicable. This process applies, to both new and existing projects,
throughout the entire lifecycle90. The identified impacts are managed
through the application of the Mitigation Hierarchy91, which prioritizes
preventive measures over corrective ones, with the aim to avoid a net
loss of biodiversity or, where possible, to achieve a net gain. In addition
to the BES Policy, Eni has adopted further commitments over time
to protect areas of ecological importance. With the
Position on
water, Eni promotes responsible and efficient management of water
resources, protecting marine and fresh water ecosystems. Furthermore,
through the Eni’s No-Go Commitment, Eni formally commits not to
carry out hydrocarbon exploration and development activities within
the boundaries of Natural Sites included in the UNESCO World Heritage
List92. Lastly, Eni’s Position on Biomass sets out the general principles
to ensure that agricultural practices, procurement and consumption
of raw materials are managed sustainably. These principles include
WATER CONSUMPTION
Units of
measurement
2024
2023
Operated
Consolidated
not operated
Operated
Water consumption
(Mm3)
45
9
40
Water consumption in area with water stress
17
7
17
Reused and recycled fresh water
1,133
2
1,066
Water withdrawals(a)
1,162
90
1,150
of which: seawater
1,032
82
1,038
of which: fresh water
127
8
109
Water discharge(b)
1,135
81
1,126
Fresh water reused
(%)
90
26
91
Re-injected produced water
51
75
42
(a) The total water withdrawals also includes a share of brackish water.
(b) Internal procedures govern the control of the minimum quality standards and authorisation limits prescribed for each operational site, ensuring compliance and timely termination if they are exceeded.
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traceability and transparency along the supply chain, the selection of
suppliers meeting ESG criteria and the inclusion of contractual clauses
that ensure the supply of only certified biomass93. The certifications
ensure that biomass does not originate from cropland converted from
areas of high biodiversity value or from ecosystems that provide crucial
ecological services, such as carbon capture and storage. To ensure
the implementation of the policy commitments, Eni has developed an
internal Regulatory framework and a HSE Management system,
which defines the process for identifying, prioritizing, managing and
monitoring impacts on biodiversity. The effectiveness of the policy and
actions is monitored through the implementation of the Biodiversity
Action Plan94 (see Actions and metrics).
TARGETS AND COMMITMENTS
Although Eni does not identify quantitative targets at a consolidated
level, Eni is constantly committed to implementing actions aimed
at safeguarding biodiversity and ecosystem services, through an
approach aimed at preventing and minimizing risks and impacts.
Biodiversity is site-specific, with unique characteristics, which vary
profoundly according to geographical areas, the environmental
conditions of ecosystems and ecological interactions. The lack of a
universal metric recognized for measuring global biodiversity makes it
challenging to define aggregated targets at group level. For this reason,
Eni adopts a “site-specific” management approach, implementing,
where necessary, Biodiversity Action Plans that identify targeted
measures and local indicators. This approach allows for a more
effective response to the specificities of each environmental context,
ensuring concrete and measurable actions to address impacts on the
territory. The activities are based on an internal Regulatory framework
and an HSE Management system which, based on the understanding
of the operational context, the identification of legal obligations and
environmental compliance, as well as stakeholders’ expectations,
ensures the definition of operational guidelines for all businesses and
the monitoring of the actions necessary for their implementation.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs)
In the absence of actions aimed at mitigating impacts, Eni’s activities
could generate significant negative impacts in terms of degradation or
loss of biodiversity (habitats, ecosystems and species) and ecosystem
services, which may vary depending ono the complexity of each project,
the value of the natural environment and the social context. Among the
most common impacts are those related to changes in land (or sea)
(93) Sustainability certification schemes recognized at European or international level.
(94) A BAP is a plan that defines actions to mitigate impacts and to conserve or enhance biodiversity. It identifies priority elements and details appropriate management actions, which
must be concrete, planned and measurable.
(95) It is an ecosystem with most of the processes and biodiversity intact, although altered by human activity (IPBES glossary).
(96) Key Biodiversity Areas (KBAs) are sites that contribute significantly to the persistence of biodiversity in terrestrial, fresh water and marine ecosystems (International Union for
Conservation of Nature, IUCN).
(97) For the identification of direct impacts, any change (potential or actual) in the state of nature caused by an Eni activity with a direct causal link (due to the physical presence of plants
and infrastructures and related activities such as emissions, discharges and waste) is considered.
(98) For indirect impacts, on the other hand, an indirect causal link is considered (e.g. greater colonization of the areas surrounding the operational sites can lead to increased access to
previously inaccessible natural areas through the opening of service roads).
(99) As indicated in the “Global Assessment Report on Biodiversity and Ecosystem Services”, IPBES 2019.
(100) Negligible, low, medium, high and critical.
use, due to the physical presence of facilities and infrastructures, which
can lead to the removal, degradation or fragmentation of habitats with
consequences on species. In upstream oil and gas activities and in
the large-scale development of renewable energy generation facilities,
the impact is significant if it involves natural or semi-natural areas95. In
addition, wind farms can have impacts on particularly vulnerable species,
such as birds of prey, due to the risk of collision with turbines, wind blades
and power distribution lines. On the other hand, the downstream activities
take place in already industrialized areas with a lower contribution to land
use change. The process of identifying and assessing dependencies and
impacts on biodiversity and ecosystem services (BES) is part of the
HSE Management System and, in line with ISO 14001:2015 certification,
each site carries out environmental impact assessment (EIA) studies. In
addition to this process, Eni has adopted a “BES Management Model”
to address and monitor the effects of its activities on priority areas for
biodiversity conservation, in particular legally protected areas and Key
Biodiversity Areas (KBAs)96. The BES management model, which applies
to the sites operated by the Company, is based on the assessment
of biodiversity loss risk and includes: (i) mapping sites in relation to
protected areas and KBAs to identify those at higher risk of significant
impact; (ii) conducting in-depth studies (BES Assessment) to characterise
the operational and environmental context, and to identify and assess
dependencies as well as direct97 and indirect98 impacts; (iii) confirming
priority sites among those that, following the in-depth studies, show
significant residual impacts; (iv) designing and implementing Biodiversity
Action Plans (BAPs) for priority sites to mitigate these impacts. The
engagement of local stakeholders begins in the early stages of a project
and continues throughout its life cycle, typically through dedicated
consultations and/or workshops. Engaging with communities, indigenous
peoples and other local stakeholders helps to understand expectations
and concerns, assess the use of ecosystem services and biodiversity and
identify management options that also include local needs. In identifying
potential impacts, Eni considers the interactions between its activities
and the environment, as well as how these may affect the main globally
recognized drivers of biodiversity loss99, which are land and sea use
change, overexploitation of natural resources, climate change, pollution
and the introduction of invasive species. The next step is the assessment
of the impact significance, combining the magnitude of the impact (e.g.
project pressures on environmental matrices) with the sensitivity of the
BES receptor (e.g. presence of species at risk of extinction), assigning a
significance category100. This process also applies to dependencies on
biodiversity and ecosystem services, also considering competition with
other human activities and with communities in the same areas in which
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Eni operates. Eni’s main dependencies are water resources and biomass,
as well as some regulatory services such as coastal protection or soil
stability. However, the relevance of these dependencies varies across
business sectors. For example, biomass supply is particularly relevant
for biofuels production , while the Oil & Gas and renewable energy
portfolios (solar and wind) are entirely independent from biological
resources. The identification and assessment of biodiversity-related
risks and opportunities have been supported by the review of publicly
available scenarios, which were used to assess how changes in nature
could translate into physical risks (e.g. ecosystem degradation), transition
risks (e.g. regulatory or reputational) or opportunities (e.g. nature-based
solutions). The main biodiversity-related risks are: (i) physical risk, which
involves ecosystems degradation and the potential reduction in water
availability, that could affect the operability and profitability of assets
in specific businesses; (ii) transition risks (regulatory\policy), mainly
deriving from the evolution of laws and policies that expand protected
areas and restrict access to natural resources in specific geographic
regions. Reputational risks are also considered: a negative perception of
the energy sector can lead to increased litigation, with potential damage
to public image and reputation. Moreover, reduced sector attractiveness
may result in divestments and limitations in accessing new funding or
forming partnerships with international organizations. The process and
the results of Eni’s double materiality analysis have led to the exclusion
of immediate material risks (including systemic risks101) and currently
achieved opportunities related to biodiversity. To assess the resilience
of Eni’s strategy against these risks, an internal analysis was carried
out using the qualitative approach indicated by the TNFD102 “Guidance
on scenario analysis”. For resilience to physical risks, see the chapter
Climate change. For transition risks, a publicly available integrated climate-
nature scenario was consulted to explore possible future trajectories
by considering variables such as the state of global biodiversity, the
adoption of different environmental protection policies or shifts in
consumer behaviour. Specifically, the resilience analysis focused on Eni’s
direct operations and considered the main assumptions and the macro-
trends from the “FPS” scenario of “Inevitable Policy Response”103, with a
time horizon from 2020 to 2050. The scenario highlights that the global
context in which Eni operates is increasingly aware of the importance of
safeguarding biodiversity and ecosystem services, which could, through
(101) Risks arising from the breakdown of the entire system, rather than the failure of individual parts. They are characterised by modest tipping points combining indirectly to produce
large failures with cascading of interactions of physical and transition.
(102) The TNFD (Taskforce on Nature-related Financial Disclosures) is an international initiative created to help companies and financial institutions manage risks and opportunities
related to nature and biodiversity.
(103) The Inevitable Policy Response (IPR) “FPS” (2023 report) is a forecasting scenario that integrates the energy sector with the land use sector and models the impact of the forecasts
of more than 300 policies on the real economy until 2050. Specifically, the IPR Land and Nature scenario is based on assumptions related to food demand, climate-nature policies and
actions and climate and biophysical data and describes how these variables impact the environment in terms of emission levels and biodiversity and how land use changes.
(104) For the methodology and scope of consolidation, see the chapter Reporting Principles and Criteria.
(105) In Italy, the Netherlands, Nigeria, the United Kingdom and the United States (Alaska). The highest number of concessions (81%) overlapping with protected areas is found in Europe
(Italy and the Netherlands) and the United Kingdom.
(106) About 90% in Italy, the remaining 10% in Spain and France
(107) O&G Downstream, Enilive, Plenitude, Enipower and Versalis.
(108) It includes KBA, IUCN protected areas (I-VI), Natura 2000, WHS, Ramsar and other nationally and internationally protected areas from global databases.
(109) 59% of the concessions are located in Alaska, all sold on 4th November 2024 to a third-party company. The remaining part is mainly located in Italy (39%) and only 2% in Tunisia.
(110) Mainly located in Italy (74%) and other European Countries (23%). Only 3% in Australia and the United States.
(111) For the definition of adjacent concessions and sites, please refer to the section Metrics: methodologies.
(112) Species included in the IUCN (International Union for Conservation of Nature) Red List, the main global tool for assessing the conservation status of animal and plant species,
classified on the basis of the risk of extinction: Extinct (EX); Extinct in the wild (EW); Critically Endangered (CR); Endangered (EN); Vulnerable (VU); Near threatened (NT); Minor Concern
(LC).
new regulations, limit bioenergy crop production in specific regions. Eni’s
resilience to these risks is grounded in a strategy that combines global
portfolio diversification, the development of new technologies and the
adoption of circular business models. In this context, the company has
implemented an approach that includes diversifying the types of agri-
feedstock used and the areas from which they are sourced, as well as
maximizing the use of waste and by-products to reduce the consumption
of virgin raw materials.
ACTIONS TAKEN ON MATERIAL IROs
AND METRICS104
Currently, 32 concessions105 of the upstream O&G portfolio
(approximately 655.5 k hectares) and 28 operational sites106
(approximately 3.8 k hectares) related to the other business lines107
(including 18 sites for renewable energy production) overlap with priority
biodiversity conservation areas108. These areas are characterized
by about 76% terrestrial habitat, 20% marine and 4% mixed habitat.
Additionally, 41 concessions109 (about 137.7 k hectares) and 62 sites110
(3.03 k hectares), including 40 sites for renewable energy production,
are adjacent111 to these areas, which consist of about 86% terrestrial
habitat, 8% marine and 6% mixed habitat. For sites where there is overlap,
BES Assessment studies are conducted, prioritized based on risk and,
where necessary, Biodiversity Action Plan (BAP) are implemented to
manage significant residual impacts on protected areas and KBAs. The
BAP is the primary tool for implementing and monitoring actions aimed
at mitigating the identified impacts, ensuring compliance with the
commitments set out in the BES Policy. The table lists the sites and
concessions, in which Eni is the operator, and where BAPs are already
being implemented. The main impact observed at these sites relates to
land use change resulting from the infrastructure of the upstream Oil &
Gas activities (pipelines installation and construction of well pads) and
Plenitude’s power generation facilities. This change can lead to the loss
or degradation of habitats, potentially disrupting the species that inhabit
them. To mitigate this impact, the BAPs of these sites focus on two
priority areas of intervention: (i) the restoration of natural habitats that
have been modified or degraded, and (ii) monitoring campaigns aimed
at confirming the presence of endangered species112 and assessing
potential impacts on their conservation status.
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113 114 115 116 117 118 119 120121122123
(113) For more information on overlapping sites, please refer to the
eni.com website
(114) It indicates the area (in hectares) of sites or concessions that intersect even marginally the boundaries of protected areas and KBAs. This figure represents an overestimate, as it
also includes areas that are not actually overlapping.
(115) Metric used in BAP for monitoring mitigation actions.
(116) Sites: Abetina di Laurenzana, Monte della Madonna di Viggiano; Monte Caldarosa; Monte Volturino; Serra di Calvello, Lago Pertusillo, Appennino Lucano, Monte Volturino, Faggeta
di Monte Pierfaone, Valle Agri, Monte Sirino, Monte Raparo.
(117) Habitats that can be restored during the current operational phase of the project. The remaining part of the habitat will only be restorable during the decommissioning phase, at
the end of the project’s life.
(118) It corresponds to the area of the polygon that encloses all the wind turbines. The actual surface occupied (the footprint of the turbines), is less than one hectare.
(119) It should be noted that 100% of Nikaitchuq and Oooguruk’s Alaska assets were sold on November 4, 2024 to a third-party company.
(120) The concession does not overlap with protected areas or KBAs, but the ground receiving facility (ORF) overlaps with a KBA.
(121) Biodiversity offset refers to the compensation of residual negative impacts on biodiversity caused by the development of a project, after taking all possible prevention and
mitigation measures. It represents the last step in the mitigation hierarchy
(122) Concession 110/13b is not overlapping but the pipeline connecting the wells (Douglas platform) to the Point of Ayr gas terminal crosses the protected areas.
(123) Only the protected areas that were present at the time of the pipeline laying activity are listed.
PRIORITY SITES OVERLAPPING AREAS OF HIGH BIODIVERSITY VALUE113
Sites/
concessions
Area
(hectares)114
Main activities/
impact on
biodiversity
Impact
metric115
Affected
biodiversity areas
Main mitigation and monitoring actions of the BAP
Italy
Val D’Agri oil
and gas
production
concession
52.6 k
Land use change
Loss or degradation of
forest habitat due to the
laying of pipelines and
the construction of well
pads (and partial soil
sealing)
Hectares of
habitat lost or
degraded
• Parco nazionale
dell’Appennino
Lucano-Val d’Agri-
Lagonegrese; Riserva
regionale Abetina di
Laurenzana;
• 1 KBA Agri Valley;
• 11 Natura 2,000
sites116
• Since 2003, 154 ha have been under restoration (92% of the target of restoring 100%
of the restorable areas117, 167 ha, by 2026).
• BAP activities (with an expenditure of €223k in 2024, and €800k planned for 2025-
2028) carried out with the support of NGOs, universities and local experts.
• Periodic monitoring (at least until 2026) to verify the effectiveness of interventions
and confirm the presence and status of endangered species.
• To date, the presence of the Apennine toad (endangered species), the wildcat and the
wolf have been identified (trigger species for critical habitat).
• Ongoing monitoring of bats to assess potential impacts of artificial lighting.
• A restoration plan has been developed for a degraded wetland to improve amphibian
habitat.
Italy
Collarmele
Wind Farm
234118
Land use change
Impacts on species
modification of
the habitat due to
the presence of
wind turbines and
interference with the
flight of birds
Hectares of habitat
lost or degraded
Number of collision
events/year
Natura 2000: Sirente,
Velino, Colle del
Rascito
KBA: Sirente, Velino
e Montagne della
Duchessa
• Memorandum of understanding with the Sirente Velino Regional Natural Park, with
implementation starting in 2025.
• Mitigation actions are planned (e.g. the installation of detection cameras, acoustic
deterrent and shutdown systems, capEx €180 k) and monitoring for at least 1 year
to assess the effectiveness of the measures (about € 12 k/year).
Alaska
Nikaitchuq and
Oooguruk oil and
gas production
concessions119
25.1k
Change of land and
sea use
Loss of marine (shallow
waters) and terrestrial
(tundra) habitats due
to the development of
the infrastructure (and
partial onshore soil
sealing and degradation)
Hectares of habitat
lost or degraded
Beaufort Sea
Nearshore (KBA)
• The BAP included actions to restore the 5.4 hectares of tundra converted into
onshore infrastructure.
• Arctic tundra workshop (2023) to share knowledge and identify needs with local
stakeholders.
• Preliminary assessments (2024) on the impacts of heat and dust emissions on
the tundra.
• Monitoring campaign on nesting coastal birds, to assess the impact of noise,
lighting and collision risk.
• The activities carried out in 2024 had an expenditure of €570k.
Ghana
Onshore reception
facility of the
Offshore Cape
Three Point
production site120
Offshore Cape
Three production
site
96
Land use change
Loss of forest habitat
due to infrastructure
development (and partial
soil sealing)
Hectares of habitat
lost or degraded
Amansuri wetlands
(KBA)
• Goal to ensure “No Net Loss” of natural habitat over the 20 years of the project (until
2040), with restoration of 11 ha of deforested areas and conservation actions on
about 22 ha of natural forest to offset121 the non-restorable habitat (expenditure of
€150 k in 2024, of which 82 k€ for offset, and €7,216 k allocated for environmental
studies and monitoring in 2025-2028).
• In line with the planning, the replanting of the deforested areas has been completed;
• Monitoring of offset and restoration of deforested areas through different indicators
(Leaf Area, forest bird diversity and species richness), with a progress of 25%, in line
with the planning.
• Planned investments from the World Bank and alignment with IFC performance
standards and guidelines, which carries out quarterly and annual audits through
independent consultants.
United
Kingdom
Liverpool Bay,
(pipeline)122
4
Land use change
Loss and deterioration
of dune habitat due to
pipeline laying
Hectares of habitat
lost or degraded
Gronant Dunes
and Talacre Warren
SSSI, Dee Estuary
Ramsar Site123
• Launched in 1994 a restoration program for the dunes of Gronant and Talacre (4
ha) impacted by the laying of the pipeline with an expenditure of €68k in 2024 and
€270k expected for the 2025-2028 period.
• The restoration programme also focuses on enhancing and protecting the most
degraded dune areas, due to the pressure of recreational activities, and involves
collaboration with local authorities to control access.
• A further 66.7 hectares of dunes have been acquired to ensure long-term
management and monitoring of this habitat.
• The implementation of the management plan is ongoing.
• Two species have been successfully reintroduced: the Natterjack toad and the sand lizard.
Spain
Bonete
Solar plant
193
Land use change
Impacts on species
Habitat loss or
deterioration due to
Bonete II and Bonete
III plants
Hectares of habitat
lost or degraded
• Natura 2000: Área
esteparia del este
de Albacete
• KBA:
Pétrola-Almansa-
Yecla
Implementation of the BAP since the start-up of the plant in 2020 with ongoing actions
(approx. €30k/year 2024-2028) including:
• Vegetation management plan for the solar plant (elimination of herbicides and
agrochemicals and replacement of barley - intensive crop - with grasslands to promote
the diversification of pollinators and arthropods).
• Replanting with native species around the facilities and regular monitoring.
• Measures to support wildlife (installation of nests for birds and bats and water
troughs, modification of fences.
• Collaboration with a neighboring farm to implement agri-environmental measures
supporting steppe birds.
•Environmental monitoring of fauna and the effectiveness of conservation measures.
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In addition to the assets where Eni is the operator, Eni participates in
some concessions operated by third parties that overlap with protected
areas. These include: (i) in Kazakhstan, the Kashagan concession
(NCOC) which overlaps with the protected area “State Reserved Zone in
Northern part of Caspian Sea”; (ii) in Egypt, four concessions124 operated
through the company Petrobel which overlap with the El Qa plain
(KBA). In these areas, Eni oversees BES Assessment activities and has
implemented a BAP aimed primarily at mitigating impacts on modified
desert habitats, which are affected by waste awaiting treatment and
disposal. The key intervention involves the cleaning, characterization
and reclamation of degraded land. Additionally, ongoing assessments
are being conducted to evaluate potential impacts on migratory bird
species, which trigger the KBA status of the El Qa plain.
RESOURCE USE AND
CIRCULAR ECONOMY
POLICIES125
Eni’s commitment to the circular economy is outlined both in
the
Code of Ethics and in the internal Regulatory Framework
which promote production and consumption models based on the
regenerative principles of the circular economy, aimed at reducing
the use of virgin and non-renewable resources. These principles are
applied to Eni’s activities, through actions aimed at improving efficiency,
reducing waste, maximizing the recovery and valorisation of waste
and by-product, using secondary raw materials or renewable sources,
extending the lifespan of its assets as well as innovating processes and
products, in order to generate long-term value for both the environment
and society.
TARGETS and COMMITMENTS
Eni promotes waste prevention in line with the priority criteria in
waste management established by EU legislation and ensures proper
management, as required by internal regulatory framework. Waste
production is influenced by factors that may go beyond routine
operations (e.g. extraordinary maintenance interventions, changes in
project timline) and by exogenous factors (e.g. authorisation issues,
regulatory changes, modifications in scope, etc.) making it challenging
to define quantitative reduction targets; despite this, Eni is committed
to implementing projects with a strong circular footprint (see Actions
taken on material IROs). Eni adopts an internal regulatory framework
and a HSE Management system that, based on the understanding
of the operational context, the identification of legislative obligations,
environmental compliance and stakeholder expectations, as well
as the assessment of impacts, risks and opportunities, ensures the
definition of operational guidelines for all businesses. In addition,
it guarantees the biannual monitoring of the actions necessary for
(124) Oil and gas production concessions in Sinai are: Belayim Land Dl, Ekma Dl, Feiran Dl, Ras Gharra Dl.
(125) For further references, see The regulatory system, and Eni’s Reporting principles and criteria/Policies.
(126) For water, see the chapter Water Resources.
their implementation and tracks specific KPIs for the timely control of
performance and for the rapid intervention in cases of misalignment
with the expected outcomes.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs) IRO-1 11A
In order to assess impacts, risks and opportunities, all Eni companies,
relevant according to the HSE risk assessment clustering, were
considered in terms of waste generation, resource use126 and circular
economy actions. With regards to material impacts, waste generation
and treatment represent a negative impact that Eni can potentially
generate on environmental matrices (soil, water and air) and on local
communities, while carrying out its activities. Eni’s operations, by their
nature, involve waste generation and the associated negative impacts
include the potential contamination of environmental matrices in the
event of inadequate management, the impacts associated with the
transportation and treatment at the destination facilities and the land
consumption associated with such facilities. The waste produced by Eni
derives from both production and remediation activities; regarding the
latter, most of the volumes are related to contaminated groundwater,
which is treated at Eni Rewind’s groundwater treatment) plants (GTP),
making it available, where possible, for industrial and environmental uses,
and thus contributing to the reduction of high-quality water withdrawals.
Waste production from soil and groundwater remediation is also related
to assets that Eni acquired from other companies but where it has never
operated directly. In this context, Eni Rewind also offers remediation
and waste management services to third parties, leveraging its internal
technologies and know-how. With regards to the composition of waste
from production activities, when not managed as discharge, produced
water represents the most significant contribution. These waters are
generally characterized by a very high salinity and variable composition,
with the presence of residual components, including hydrocarbons and
additives, following the fluid separation process. On the other hand,
waste from remediation activities is mainly composed of groundwater
most of it containing contaminants such as hydrocarbons, benzene and
dichloroethane. The double materiality assessment also highlighted a
positive impact on the environment resulting from actions for a circular
economy, through the repurposing and redevelopment of assets and
brownfield sites, as well as the use of raw materials from renewable
sources and recycling within production processes.
ACTIONS TAKEN ON MATERIAL IROs
Circular Economy
The circular economy is an important lever for achieving global
environmental protection goals. As such, Eni integrates circularity
principles into its business model, applying them in the development of
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new product value chains as well as in existing ones. In Eni’s downstream
business, a key initiative is the transformation of traditional refineries into
biorefineries. In 2024, the conversion of the refinery in Livorno for HVO
production has started, with completion and start-up expected by 2026.
This project will add on the Enilive biorefineries in Porto Marghera (since
2014), and in Gela (since 2019). Through the conversion of the Livorno
industrial site, Eni confirms its commitment to increasing biorefining
capacity from the current 1.65 million tons/year to over 5 million by
2030 (for more details see Climate change). Enilive’s circular projects
include the production of advanced biofuels mainly derived from waste
such as used cooking oils – along with a residual part of vegetable oils
– and the production of biomethane obtained from organic residues
(agricultural and agro-industrial waste, livestock wastewater and
organic waste). Additionally, at the Sannazzaro site, Eni is currently
assessing the process to transform non-recyclable waste into circular
methanol and hydrogen through the Waste to Chemicals technology.
The biorefineries are also part of certified supply chains that include
initiatives for the recovery of degraded soils in different Countries in
Africa, Southeast Asia and Central Asia, through the cultivation of
oilseed plants for biofuels production. The by-products resulting from
these processes are also valued and transformed into animal feed and
fertilisers. In the chemical sector, Versalis is leading different circularity
and sustainability initiatives: (i) in the field of bio-based chemicals,
and through the recent acquisition of Novamont, it is strengthening
its commitment to feedstock diversification by using renewable raw
materials , such as biomass, for the production of chemicals, plastics
and other products; (ii) it is also developing products containing
recycled materials alongside complementary recycling technologies,
both mechanical and chemical, for plastics and rubbers, supported by
internal research and collaborations with associations, consortia and
other industry stakeholders. In this field, in 2024 REFENCE™127 was
launched – a range of recycled polymers mainly for food packaging.
Additionally, at the Porto Marghera site, the construction of the first
plant for recycled plastic processing was completed, with start-up
scheduled for early 2025. Finally, in Mantua, Italy, activities to launch
the Hoop® demonstration plant continued. Based on the pyrolysis
process, this plant will transform mixed plastic waste – non-recyclable
through mechanical process – into a raw material (recycled oil) that
can be used to produce polymers with the same characteristics as
virgin ones. Eni Rewind has planned the implementation over the next
three years of a plant in Viggiano (PZ) for the treatment and recovery
of produced water associated with the extraction of hydrocarbons.
This will prevent the need for liquid waste to be managed by tanker, as
these waters will instead be recovered, treated and reused in industrial
processes. In addition, within the next two years, the construction
of the Ponticelle (RA) bio-remediation plant is planned. This facility
will focus on the valorisation of soil from remediation activities and it
will include the creation of an environmental platform for the sorting
and preparation of industrial waste to maximize and optimize the
(127) The NEWER™ technology allows the purification of recycled polymers, ensuring compliance with the EU/1616/2022 Recycling Regulation.
subsequent recovery process. Both platforms will enable the recovery
of waste that would otherwise be destined for disposal in landfills. In
the upstream business, the main initiatives, currently under screening
phase, focus on the repurpose of mature assets that have reached the
end of their production phase, including the reuse of single components
and recycling of materials. Examples include the reuse of platforms for
the installation of offshore data center facilities (with feasibility studies
planned in 2025 in the Adriatic Sea) and the repurposing of onshore sites
for the construction of wind and solar power plants (in 2024 preliminary
feasibility evaluations were conducted to assess the conversion of
a few Italian industrial areas). Plenitude focuses its commitment
on revamping and repowering studies to extend the useful life of its
assets and, through research activities, on analyzing decommissioning
scenarios for renewable energy production plants. The measurement
of circularity plays a crucial role for control, management and
transparency. With the support of the Scuola Superiore Sant’Anna of
Pisa, Eni has developed a circularity measurement model based on
internationally recognized principles and validated by a third-party
certification entity. Eni has also collaborated with the working
groups of UNI (Italian Standards Organization) and ISO (International
Standardization Organization). In 2023, Eni launched a pilot project
for the application of the experimental UNI TS 11820 standard for
measuring circularity. Following the finalization of the standard in
2024. The assertion of circularity for offices, laboratories as well as
business support functions and service companies (the so-called
“Support Function”) has been verified by a third party auditor.
Waste
As far as waste management activities are concerned, Eni pays
particular attention to the traceability of the entire process and
to the due diligence activities run on the parties involved in the
disposal/recovery chain, seeking every viable solution aimed
at waste prevention. Almost all waste management activities
in Italy are managed by Eni Rewind, which has continued its
digitization project launched in 2020 to improve the efficiency
and monitoring of its waste management process. In order to
limit the negative impacts related to waste, only authorised third
parties are considered, favouring recovery solutions over disposal
solutions, in line with the priority criteria indicated by EU and
national legislation. Eni Rewind, based on the characteristics of
the individual waste, selects technically feasible recovery and
disposal solutions, favouring recovery, treatment operations that
reduce the quantities sent to final disposal and suitable plants
at a shorter distance from the waste production site; in addition,
audits on environmental suppliers are carried out evaluating their
operational waste management. Since treatment plants are not
always available within the operational sites, waste treatment
is mainly carried out at off-site third-party plants, properly
authorized according to local regulations. Regarding foreign
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In 2024, more than 4 million tons of waste were produced at Eni,
of which 1.2 million tons from production activities and 3.2 million
tons from remediation activities, with an overall trend down by 1%
compared to 2023. Waste from production activities generated in
2024 fell by a total of 25% compared to 2023, due to the reductions
recorded for both hazardous and non-hazardous waste. The trend
was influenced by the sale of the company in Nigeria (Nigerian
Agip Oil Co Ltd), the sale of the sites in Alaska by Eni US Op. Co
Inc, the end of drilling and construction activities in the Ivory
Coast and the reduction of production water disposed of in Gela.
In 2024, more than 300 thousand tons of waste from production
(128) For the methodology and scope of consolidation, see the chapter Reporting Principles and criteria.
activities were sent for recovery and recycling, decreasing by
38% compared to 2023. The 3.2 million tonnes of waste from
remediation activities (of which 2.6 million from Eni Rewind) have
increased by 14% compared to 2023, mainly due to the start of
new construction sites at the Sannazzaro refinery. Most of the
remediation waste consists of water treated in GTP plants (over
60% in 2024), partly reused and partly returned to the environment.
In 2024, more than 596 thousand tons of remediation waste were
sent for recovery and recycling, decreasing by 4% compared to
2023, mainly due to a reduction in remediation activities in the Eni
SpA distretto meridionale.128
METRICS128
sites, Eni’s optimal waste management strategy is implemented
through the reduction of waste production, the improvement of its
collection and segregation processes. Furthermore, by applying
the principles of circular economy, Eni is committed to optimizing
the recycling and reuse of materials, both through more specific
reporting in waste management and through new opportunities
for waste valorisation. Eni also continues to promote awareness-
raising activities among its foreign subsidiaries, also through
dissemination and sharing of initiatives and experiences for proper
waste management and valorisation. In all the companies in which
Eni operates, it is committed to complying with current waste
legislation and reducing the environmental impacts associated
with the various phases of the management process. For this
reason, Eni monitors the evolution of sector regulations and adopts
tools and procedures to support waste management. Among the
tools Eni adopts there is also the involvement of HSE structures
in the evaluation of suppliers and the use of IT applications that
support waste management.
WASTE EXPENSES(a)(b)
Units of
measurement
2024
2023
Waste management expenses and investments
(M€)
246.57
222.30
of which: current expenses
228.75
217.59
of which: investments
17.82
4.71
(a) For the main expenses related to the circular economy, please refer to the Capital Allocation paragraph in the Climate Change chapter.
(b) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
WASTE
2024
2023
Units of
measurement
Operated
Consolidated not
operated
Operated
Total waste generated
(million tonnes)
4.4
0.7
4.5
Total hazardous waste
0.6
0.5
0.6
Hazardous waste diverted from disposal (recovered/recycled)
0.1
0.0
0.2
Hazardous waste for disposal
0.6
0.5
0.3
Of which: incinerated
0.0
0.0
0.0
Of which: in landfill
0.1
0.0
0.0
Of which: other disposal operations
0.5
0.5
0.3
Non-hazardous waste diverted from disposal (recovered/recycled)
0.8
0.0
0.9
Non-hazardous waste for disposal
2.8
0.1
2.9
Of which: incinerated
0.0
0.0
0.1
Of which: in landfill
0.1
0.0
0.1
Of which: other disposal operations
2.7
0.1
2.7
Total amount of non-recycled waste
(%)
79
98
74
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EU Taxonomy
Regulation EU 852/2020 of the European Parliament and of the
Council enacted in 2020 has established a classification system of
economic activities based on criteria of environmental sustainability
for the purposes of channeling productive investments.
An economic activity is environmentally sustainable where that
economic activity:
i) contributes substantially to one or more of the environmental
objectives of the EU;
ii) does not significantly harm any of the environmental objectives;
iii) is carried out in compliance with the minimum safeguards
foreseen by the Regulation, which are procedures implemented
by an undertaking that is carrying out an economic activity to
ensure a responsible business conduct.
Eni has verified the eligibility of the economic activities conducted by
the Group in relation to the EU sustainability objectives regulated by
the Commission, through alignment with the Delegated Acts:
• for the objectives of climate change mitigation and adaptation
to climate change, the “Climate Delegated Act” (EU Delegated
Regulation
2021/2139,
structured
into
two
annexes),
supplemented by the Complementary Delegated Act (EU
Regulation 2022/1214), which governs the production of
electricity from nuclear and gas;
• for the objectives: (i) sustainable use and protection of water
and marine resources; (ii) transition to a circular economy;
(iii) prevention and reduction of pollution; (iv) protection and
restoration of biodiversity and ecosystems, the “Environmental
Delegated Act” (EU Delegated Regulation 2023/2486, including
four Annexes).
As the next step, the Group evaluated the degree of alignment of its
economic activities with the objectives of the Taxonomy through
the verification of compliance with the “Technical Screening Criteria
- TSC,” which are the performance conditions for an economic
activity to make a substantial contribution to the objective and
respect the “do no significant harm” principle to other objectives.
Furthermore, for each activity, compliance with the safeguard
clause was verified. The Group’s economic activities capable of
making a substantial contribution to the climate change mitigation
objective were identified. The Group does not produce products or
services for climate change adaptation, while activities contributing
to environmental objectives, in consideration of the limited number
of eligible activities and the selectivity of the TSC, are minimal, in
the Eni consolidated financial statement.
Based on the reporting criteria established by the Commission
through Delegated Act EU 2021/2178, the key performance
indicators (KPIs) of Eni’s activities aligned with the Taxonomy for
2024 and the corresponding comparison period were calculated.
REPORTING OBLIGATIONS
AND BASIS OF PRESENTATION
With Delegated Regulation (EU) 2021/2178, the Commission
defined the content and the presentation methods for the three
performance indicators (“KPIs”) related to the share of revenues,
operating costs (“opex”), and investments (“capex”) associated
with economic activities aligned with the total of these three
items at the consolidated financial statement level, as well as the
commentary information and the reporting templates.
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ENI GROUP - YEAR 2024
TURNOVER
CAPEX
OPEX
Absolute
amount
in € mln
proportion
%
Absolute
amount
in € mln
proportion
%
Absolute
amount
in € mln
proportion
%
A. TAXONOMY - ELIGIBLE ACTIVITIES
A.1. ENVIRONMENTALLY SUSTAINABLE ACTIVITIES
(TAXONOMY-ALIGNED)
812
0.9%
1,222
7.9%
282
6.5%
A.2. TAXONOMY-ELIGIBLE BUT NOT ENVIRONMENTALLY
SUSTAINABLE ACTIVITIES (NOT TAXONOMY-ALIGNED ACTIVITIES)
4,601
5.2%
419
2.7%
403
9.4%
TOTAL A.1 + A.2
5,413
6.1%
1,641
10.6%
685
15.9%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
83,384
93.9%
13,861
89.4%
3,624
84.1%
TOTAL A+B
88,797
100.0%
15,502
100.0%
4,309
100.0%
SUMMARY TABLE OF TAXONOMY KPI 2024 - 2023
Turnover
Capex
Opex
(€ mln)
2024
2023
2024
2023
2024
2023
3.17 Manufacture of plastics in primary form
230
59
4
745
38
5
4.1 Electricity generation using solar photovoltaic technology
80
192
529
606
28
86
4.3 Electricity generation (wind)
159
168
48
138
46
25
4.8 Electricity generation from bioenergy
40
35
7
2
10
8
4.10 Storage of electricity
1
98
23
1
4.13 Manufacture of biogas and biofuels for use in transport and of bioliquids
297
660
300
224
157
64
5.12 Underground permanent geological storage of CO2
146
145
6.15 Infrastructure enabling low carbon road transport and public transport
82
121
Other
5
5
8
8
2
2
Total aligned
812
1,119
1,222
2,012
282
190
Consolidated
88,797
93,717
15,502
13,665
4,309
3,979
Taxonomy KPI
0.9%
1.2%
7.9%
14.7%
6.5%
4.8%
KPIS OF NON-FINANCIAL UNDERTAKINGS
EUROPEAN TAXONOMY: SUMMARY TEMPLATE FOR THE KPI OF NON-FINANCIAL UNDERTAKINGS
Information and reporting templates provided for in Reg. 2021/2178 and relative amendments and additions are described within the Reporting
principles and criteria chapter.
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Human rights for Eni
In order to describe Eni’s commitment to social aspects and respect
for human rights, as well as to highlight some of the aspects that are
common to all social standards, the reporting on the specific social
topics required by the ESRS is preceded by an introductory chapter
on the human rights management system. 128
POLICIES129
Eni’s commitment to social aspects and respect for human rights
is outlined in the
Code of Ethics, where the respect for the
dignity of people and Human Rights is expected in Eni’s activities
and in those of business partners towards which whom Eni
requires the same commitment from all those operating on its
behalf. The
ECG Policy Respect for Human Rights in Eni130,
illustrates the due diligence process according to the international
standards, in particular the United Nations Guiding Principles on
Business and Human Rights (UNGP) and the OECD Guidelines for
Multinational Enterprises and it is recalled that Eni’s commitment,
management model and activities are developed taking into
account the so-called salient human rights issue. These represent
the most significant issues for Eni, identified considering the
business activities conducted, the operating contexts and the point
of view of local and international stakeholders, while adopting a
risk-based and compliance approach. The Policy outlines respect
for and application of the principles set out by the International
Labour Organization’s (ILO) Tripartite Declaration on Multinational
Enterprises and Social Policy which includes the fundamental
labour rights enshrined in the ILO Declaration, as well as the rights
set out in the international labour instruments for the promotion of
decent working conditions. The Policy also defines how to engage
stakeholders during all phases of the due diligence process,
emphasizing active collaboration perspective, and it describes
the complaint mechanisms and other reporting channels, both
at central and operational site level, aimed at ensuring that any
possible violations of Human Rights are promptly seized, analyzed,
managed and – if ascertained – addressed with remedial measures.
If negative impacts on workers and communities caused by Eni (or
that Eni has contributed to cause), specific measures to verify the
event and remedies are defined, also in collaboration with Third
Parties. Eni expects Third Parties to also have adequate remedial
mechanism in place. Another significant role is played by the
(129) For further references, see The Regulatory system, and Eni’s Reporting principles and criteria/Policies.
(130) The principles reported in this section refer to all 4 categories of stakeholders required by the ESRS: workers, workers in the value chain, communities and customers; as such these
principles have been covered in this section in a transversal way.
“responsible contracting”, a set of contractual standards, defined
with a risk-based approach according to the type of contract, that
are aligned with the provisions of human rights legislation, with
particular reference to workers’ rights. The Policy also outlines the
commitment to respect the minimum age of access to employment,
and the measures outlined by applicable international and national
legislations on child labour, including its worst forms, as well as the
rejection of any form of forced or compulsory labour, including any
practice of labour exploitation, such as human trafficking, restriction
of freedom of movement and seizure of identity documents. Eni
expects all its business partners to commit themselves to comply
with both the principles set out in the Human Rights policy and in
the
Supplier Code of Conduct. Finally, the internal regulatory
framework sets out Eni’s commitment to promoting respect for
human rights in the context of activities entrusted to, or conducted
with partners and by stakeholders (for further information, see
the Policies: Code of Ethics and Regulatory System chapter).
In cases of potential divergence between local and international
standards, the kind of solutions sought are those that allow
conduct based on international standards while taking into account
local principles and ensuring the analysis and the assessment of
the risks associated with possible violations, in order to monitor
the level of risk and verify the effectiveness of the management
actions identified.
MONITORING HUMAN RIGHTS
Human Rights are also monitored by Eni’s Board of Directors, who
approved in 2023 the
ECG Policy Respect for Human Rights
in Eni and the
ECG Policy Zero Tolerance against violence and
harassment in the workplace, and in particular, by the Sustainability
and Scenarios Committee, to which the main updates made to the
human rights management system and the activities carried out are
presented every year. In 2024, Eni continued to assign incentives
to management linked to human rights performance, assigning
specific objectives to all managerial levels, including direct reports
to the CEO, and continued a path of awareness and training through
general learning courses dedicated to all Eni personnel, specific
courses on topics and areas particularly exposed to risks of negative
impacts, and practical workshops for suppliers on security and
human rights issues.
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Human Rights Due Diligence
The path taken in recent years on the dissemination and
consolidation of the culture of respecting human rights has
strengthened the due diligence outlined by the Policy. The approach
is based on a shared responsibility between several functions to
properly manage the most important processes for human rights
risks: human resources, procurement, security, sustainability and
compliance. Due diligence is an ongoing process focused on the
full spectrum of human rights implications that Eni’s activities
could have, going beyond the list defined by the so-called “Salient
Human Rights Issue”. This multidisciplinary, multi-level model
integrated into business processes and called the “human rights
management model”, is risk-based with the aim of identifying,
preventing, mitigating and reporting negative impacts on human
rights.
TRAINING ON HUMAN RIGHTS
Units of
measurement
2024
2023
Human rights training hours
Hours
955(a)
1,182
Employees who have received human rights training
(%)
78
77
(a) In particular, in 2024 the fruitions has been limited given the fact that it was not a year characterized by massive campaigns.
GOVERNANCE AND COMMITMENT
Human rights have been incorporated into
governance policies and processes, including
through the structuring of appropriate
training frameworks.
DUE DILIGENCE
Eni has adopted a management system which
includes a set of processes and tools to assess
the most relevant issues, risks and impacts
related to the respect for human rights.
ACCESS TO REMEDY
Eni ensures adequate management of
complaints through the “Grievance
Mechanism” and the whistleblowing
process.
A cornerstone of the human rights management model is the
commitment of the top management and all structures involved to
guarantee the application of the principles to respect human rights and
the appropriate integration into the various regulatory instruments at
all levels. Another element is the stakeholder engagement as well as
constant and adequate access to complaint mechanisms/reporting
channels to ensure that any possible violations of Human Rights is
promptly intercepted, analyzed, managed and, if ascertained, remedy
measures are applied. This model is based on: (i) the mapping of the
Salient Human Rights Issue and the Compliance Risk Assessment;
(ii) the identification and assessment of potential risks or negative
impacts131 that Eni activities, products or services may cause or
contribute to causing, structuring adequate support safeguards132;
(iii) the definition and implementation of measures to prevent or
manage risks and impacts and the remedy measures where the
negative impact has nevertheless occurred; (iv) periodic or specific
(131) The risks related to potential human rights violations are assessed from a dual perspective: (i) risk of causing (or contributing to causing) negative impacts, actual or potential, with
reference to the UNGPs and OECD Guidelines; (ii) risk of incurring sanctions, significant financial losses, or reputational damage (so-called compliance risk).
(132) These assessments can also be conducted through the implementation of Human Rights Impact Assessment or Human Rights Risk Analysis (more detailed in the Local
Communities chapter).
monitoring according to qualitative and quantitative indicators;
(v) planning and reporting activities aimed at defining planning
guidelines and providing a summary of activities and performance
related to human rights.
Salient Human Rights Issues
Eni’s commitment, management model and activities conducted
on human rights focus on the issues considered most significant
for the company considering the business activities conducted
and the contexts in which it operates. This set of issues, the so-
called “Salient Human Rights Issue”, identified for the first time in
2017, were updated in 2024, through the engagement of more
than a hundred people from different Eni functions in dedicated
workshops and through the engagmeent of some authoritative
stakeholders. Following the analysis, 13 main issues were identified,
divided between workers, communities and consumers, as well as 5
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additional issues to be monitored as they are relevant in relation to
specific business activities or specific operating contexts.
To oversee these most significant issues, Eni has adopted risk-based
models, which are discussed in depth in the following chapters,
which make it possible to collect information on the operating
context, evaluate them considering the specific activities carried out
and business processes, seize potential risk elements and adopt
appropriate prevention and management measures in consideration
of the levels of risk themselves.
Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
Eni is committed to adopt, also in collaboration with Third Parties,
remedial measures against any negative impacts caused (or that it has
contributed to cause) as well as to make every effort to ensure a remedy
if the impact is directly related to its activities, products or services. To
this end, Eni commits to use its leverage on third parties to ensure that
any negative impacts directly linked to their activities are remedied.
In line with this commitment and in accordance with international
standards, Eni’s human rights management model makes use of
mechanisms for receiving complaints and concerns from stakeholders,
individuals, communities or associations of individuals, with particular
attention to the most vulnerable categories, through which supposed
violations of human rights connected to Eni’s activities can be reported
(133) Report file: it is a summary document of the investigations conducted on the report(s) (which may contain one or more detailed and verifiable assertions) in which the summary of
the investigation carried out on the facts subject to the whistleblowing report, the outcome of the investigations carried out and any action plans identified are reported.
to the Company. These mechanisms allow the Company to intercept,
assess, manage and – if the impacts are ascertained – put in place
the appropriate remedial measures in a timely manner. In particular,
two specific channels are available to stakeholders in the event of an
alleged violation of human rights: (i) the Grievance Mechanism, i.e. the
process of sending, managing and resolving grievances or complaints,
in which grievances referring to Human Rights classified as “relevant”
undergo a specific process of analysis and response (see Local
Communities); (ii) the “whistleblowing Reports” allowing anyone,
employees or third parties, to report, also confidentially or anonymously,
problems relating to the Internal Control System or other matters in
violation of the Code of Ethics (see the Business Conduct chapter).
Regarding whistleblowing reports, during the year the investigation of
63 files133 was completed, of which 32 referred to human rights, mainly
relating to potential impacts on workers’ rights and occupational
health and safety. In particular, 64 assertions were verified, for 10 of
which the reported facts were confirmed, at least in part, and corrective
actions were taken to mitigate and/or minimise their impacts,
including: (i) actions on the Internal Control and Risk Management
System, relating to the implementation and strengthening of existing
controls; (ii) awareness-raising actions on the issues of the Code of
Ethics and the
Policy ECG Zero Tolerance against violence and
harassment in the workplace; and (iii) actions against employees,
including disciplinary measures, according to the collective agreement
and other applicable national laws.
WORKERS
WORKERS
OWN WORKFORCE
WORKERS IN THE VALUE CHAIN
AFFECTED COMMUNITIES
CLIENTS AND
CONSUMERS
Most
significant
issues
Labour
rights
Issues
to be
monitored
Human
Rights
related
Issues
Land
rights
Security
related
issues
Indigenous
people
Human Rights
Defender
Responsible
marketing
practices
and data
protection
Communities'
health and
wellbeing
Adequate
standard
of living
Gender-Based Violance
and Harassament
Human Rights in
conflict-affected
context
Health and safety
at work
Non-discrimination,
diversity and
gender-equity
Violence and
Harassament
Forced labour
Working
conditions
Secure
employment
Child
labour
Freedom of
Association and
Collective
Bargaining
Just Transition
Just Transition
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Disputes and non-judicial remedy
mechanisms
Eni also cooperates with other non-judicial remedies mechanisms, such
as the one set and governed by the OECD Guidelines: the OECD National
Contact Points in the various Countries. An integral part of the Due
Diligence is the communication of the results obtained, also through the
Eni for voluntary sustainability report and the one dedicated to the
issue of human rights
Eni for - Human Rights. The company also
assesses the status of legal proceedings against the organization, its
subsidiaries or members of top management for violations of national
or international laws relating to these matters; Eni does not in any
way hinder the use of judicial or non-judicial mechanisms as well as
institutional ones.
In 2024, Eni did not receive any convictions that have become final for
violations of laws, regulations or other human rights law, regulations
or other legal institutions.
ENI’S OWN WORKFORCE
POLICIES 134
Eni’s commitment to the enhancement of its people is included in the
Code of Ethics, which highlights how the skills of the people, at all
levels, are fundamental for operational excellence. It reiterates the
commitment to promote a culture based on the spread of knowledge,
valuing everyone’s behaviour and contributions, believing in the power
of sharing, exchanging ideas and talking to each other. The Code
also recognises the role of diversity and the promotion of a culture of
plurality, emphasising the commitment to creating an inclusive work
environment that respects everyone’s dignity, taking into account the
contribution of each one and recognising the strength of diversities.
At the same time, Eni confirms its commitment to protecting the right
(134) For further references, see The regulatory system, and Eni’s Reporting principles and criteria/Policies.
(135) For Eni’s actions on the subject of privacy, see the chapter Risk factors and uncertainties.
to privacy135 of its people, processing personal data and confidential
information in compliance with applicable laws and best practices.
The
ECG Policy Respect for Human Rights in Eni recognises and
promotes the development of employees’ skills and competences
without discrimination, respecting the equality principle and fostering
the appreciation of individuals’ professionalism in an environment
of equality and non-discrimination. Training is recognized as a
fundamental lever for the development of knowledge, as a strategic
element for the achievement of business targets, as well as a way
to provide employees with the means to acquire, maintain and
develop their skills. The policy underlines the prohibition of any form
of discrimination, distinction, exclusion or preference based on
the identification elements of the person that are not linked to the
requirements necessary for the performance at work, which have the
effect of cancelling or compromising equal opportunities or treatment in
employment or professional environment. The commitment to achieve
male and female worker equal pay for equal value, based on objective
criteria, is also reaffirmed. In addition, the policy specifies the adoption
of measures and initiatives aimed at ensuring the “work-life balance”
and organizational well-being, promoting support for parenthood,
protecting maternity, and recognizing conditions not inferior to those
provided for by international legislation on maternity and paternity to all
employees in the Countries where Eni operates. Additional measures to
facilitate parenthood are also promoted, guaranteeing the right to non-
discrimination of people with family responsibilities. Eni guarantees and
promotes the right of workers and employers to set up trade unions
at their own free choice, as well as the right to collective bargaining.
In addition, the
Policy ECG Diversity & Inclusion recognizes the
commitment to avoid incidents of discrimination in relation to: color, sex,
religion, ethnic origin, political opinion, social origin or national ancestry,
disability status, gender identity, sexual orientation, social status, age or
any other form of diversity contemplated by international law. This policy
WHISTLEBLOWING FILES ON HUMAN RIGHTS VIOLATIONS
Units of
measurement
2024
2023
Whistleblowing files (assertions) on human rights violations - closed during the year
number
32 (64)
46 (62)
of which: employees(a)
11
n.a.
Founded assertions
10
8
Unsubstantiated allegations / not verifiable(b) / not applicable(c) assertions
54
54
Inherent incidents of discrimination
3(d)
6(d)
Whistleblowing files (assertions) on human rights violations with potential socio-economic impacts on local communities
0
0
Whistleblowing files (assertions) on human rights violations with potential impacts on health,
safety and/or well-being of local communities
1 (2)(e)
1 (2)(e)
(a) Net of the 11 Whistleblowing Files referring to anonymous whistleblowing reports. The indicator is available from 2024.
(b) Assertions that do not contain circumstantial, precise and/or sufficiently detailed elements and/or, for which, on the basis of the investigative tools available, it is not possible to confirm or exclude the validity of the facts reported.
(c) Assertions in which the facts reported coincide with the subject of pre-litigation, litigation and ongoing investigations by public authorities. The assessment shall be carried out after the opinion of the Legal Affairs function or
other relevant functions.
(d) The alleged episodes of discrimination have not shown any valid grounds.
(e) Both assertions relating to this whistleblowing file have not shown any valid grounds.
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supports the development of an international business based on equity,
dignity, equal opportunities, spread of ethical values, enhancement of
diversity, integration and non-discrimination, and promotes gender
equality and women’s empowerment at work, in business practices
and in relations with the communities of the Countries in which Eni
operates. The commitment to ensure that its communication initiatives,
including commercial ones, promote an inclusive vision of the
Company itself and avoid the use of gender stereotypes is reaffirmed.
In addition, the desire to guarantee a physically and socially fair working
environment is made explicit, to make each person able to have equal
access to company resources and opportunities based on the principle
of equal opportunities and non-discrimination and to remove cultural,
organizational and material obstacles that limit people’s freedom of
expression and their full valorization. The Policy ECG Zero Tolerance
against violence and harassment in the workplace specifically prohibits,
without exceptions, all forms of violence and harassment at work within
the company. In addition, in the internal regulatory framework the
management processes related to the workforce are defined.
TARGETS and COMMITMENTS
Eni’s targets and commitments related to Human Capital are defined
on the basis of the evolution of the personell and in line with the
medium/long term strategy of the Just Transition path, while also
considering the trend of historical and forecast data of employment
plans; if a target is achieved, it is reassessed and modified accordingly.
These indicators are monitored quarterly through standard
reporting shared with the managers of the different businesses and,
consequently, any corrective actions are defined/implemented. The
main employment data and related trends are also shared with the
workers’ representatives at the European Works Council and the
Global Framework Agreement, in order to present and comment on
their developments. In addition, the evaluation and monitoring of the
indicators underlying the targets is carried out on a quarterly basis
to verify that the trends are in line with the development to plans, to
report any critical issues and to set up any corrective actions, where
necessary.
Target
Target
year
2024 Performance
Base year and relative
reference value
Notes
(scope, methodology, evidence)
+4 p.p. of the female population
2030
+3.8 p.p.
2020: 24.6%
Relative target
Scope: consolidated line-by-line
+3.8 p.p. female personnel in positions of responsibility
(Senior managers and Middle managers)
2030
+3.4 p.p.
2020: 26.6%
Relative target
Scope: consolidated line-by-line
+6.5 p.p. population under 30
2030
+3.5 p.p.
2020: 6.7%
Relative target
Scope: consolidated line-by-line
+2 p.p. presence of non-Italian employees in positions of responsibility
2030
-1.2 p.p(a)
2020: 18.6%
Relative target
Scope: consolidated line-by-line
+15% training hours(b)
2028
in slight decrease
compared to
2023
2024: 1,027,822
Relative target
Scope: consolidated line-by-line
(a) The reduction in the 2024 performance was affected by M&A transactions of major companies such as, for example, Nigeria.
(b) The reduction in the target from 20% to 15% is affected by the efficiency recovery and cost containment initiatives launched in 2024.
MATERIAL IMPACTS, RISKS136 and
OPPORTUNITIES (IROs)
Eni considers human capital137 as the core of its strategy138,
promoting the well-being of workers through welfare initiatives
and supporting the development of employees’ skills aimed at
professional growth. The expected evolution of business activities
and the labour market, the new strategic directions and the
challenges posed by technological changes involve an important
commitment to increase the value of human capital over time
through upskilling and reskilling initiatives, aimed at enriching or
reorienting the skill set and attracting talent, taking advantage
of the opportunity given by the new skills on the market in order
to develop emerging technologies and businesses. At the same
time, in order to monitor the potential negative impacts that the
(136) Disclosure relating to risks on company’s workforce is reported in the Health & Safety chapter.
(137) Represented by all direct employees operating in Italy and abroad. Direct employees do not include contractors who are instead considered as workers in the value chain.
(138) For further information on how the impacts related to own employees are connected and taken into account in the definition of the company’s strategy and business model, see
the chapter Stakeholder Engagement.
activity may produce on its workers, Eni places at the center of its
actions the constant respect for human rights in labour matters
(e.g. working hours, adequate wages, freedom of association
and collective bargaining and safety in employment). The sector,
in fact, often has complex working conditions, characterized
by night shifts and prolonged working hours shifts, to ensure
business continuity. In addition, particular attention is paid to
the protection of non-discrimination, respect for equal treatment
and opportunities (in hiring, training, professional career and
career progression stages) and the prevention against violence
and harassment of a physical, psychological or verbal nature,
including gender-based violence. Exploration, development,
and production are often carried out far from populated areas,
often using rotational arrangements between periods of several
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days or weeks. In addition, although workers in the sector are
traditionally represented by trade unions and covered by collective
bargaining agreements, some resources operate in Countries
where these rights are limited and therefore are more exposed
to the risks of intimidation or unfair treatment. In addition, the
conditions, workplaces, skills and types of tasks performed
within the activities of the sector could be the cause of potential
conditions of discrimination, as well as be characterized by a
prevalent presence of certain categories of workers (e.g. men).
Cases of discrimination may relate to the ethnicity, gender, sexual
orientation, disability, religion, nationality and status of workers.
Finally, the decarbonization process will be accompanied by an
industrial reorganisation that will consist of the transformation of
some production sites, such as basic chemicals and traditional
refining, with a possible impact on the workers in its workforce.
For material risks, see the Health and Safety chapter, except for
the transversal risk of Cyber Security detailed in the Business
Conduct chapter.
EMPLOYEE ENGAGEMENT139
Industrial relations
A central role in building the relationship with workers and protecting
their rights is represented by Eni’s industrial relations model, managed
by a dedicated function. At the national level, Eni involves its workers
both through the meetings provided for by the INSIEME Protocol,
such as the Strategic Committee, which deals with issues such as the
sale of business units, staff rationalization and generational turnover,
reconversion of production sites and significant organizational
reviews (every six months or when necessary), and through other
tools such as the Bilateral Commission on Agile Work, which
verifies the application of the agreement on Agile Work, analyses its
impacts on the organization of work, manages local critical issues
and periodically reports the results to the signatory parties. On an
international level, Eni established its European Works Council140
(EWC) in 1995, which focuses on issues relating to business plans/
investments/acquisitions or disposals, employment prospects,
health and safety at work, environmental policies and sustainability.
It includes representatives of Italian and European Eni’s workers,
representatives of Italian trade unions, and a representative of the
European trade union: the IndustriAll European Trade Union. Another
European tool is the European Observatory for the Health, Safety and
Environment of Workers, where data and analysis and management
tools on the following topics are shared: injuries, accidents and
occupational diseases, regulatory evolution, environmental and
health aspects, monitoring of climate issues and energy efficiency.
An annual meeting of the EWC and the European Observatory for
(139) See the chapter Stakeholder Engagement for further information.
(140) Workers’ representative entity provided for by European Directive 94/45/EC, which promotes transnational information and consultation of workers in Community-scale companies
and groups.
the Health, Safety and Environment of Workers and at least three
annual meetings of the EWC Select Committee with the competent
functions of Eni are planned. Finally, the Global Framework
Agreement on International Industrial Relations and Corporate Social
Responsibility (GFA), which is international (non-European) and is set
to be renewed in 2025, annually involves international and European
Eni workers’ delegates, representatives of Italian trade unions and
a representative of the global trade union IndustriALL Global Union.
The Agreement represents a concrete commitment by Eni to steer
sustainability guidelines, to define strategies based on the principles
of integrity and transparency, to promote the fight against corruption,
respect for human rights, labour, health and safety of people for the
protection of the environment and sustainable development. For
each meeting, detailed documentation is shared and the minutes,
signed by both parties, are drafted to include what has been agreed
upon and discussed. The engagement of workers with reference to
issues related to sustainable transition is also achieved through the
use of tools such as the INSIEME Protocol, which establishes the
birth of a new model of industrial relations, to effectively accompany
the transformation processes and to share a Generational Pact
that allows the renewal and updating of professional skills and
the construction, together with stakeholders, a clear regulatory
framework, favourable to investment and able to combine economic-
financial sustainability with the environmental and social ones.
Other engagement initiatives
Among the initiatives to engage and listen to Eni’s people, there
are those, regarding Welfare, to collect relevant insights on the
needs of Eni employees (starting from the under 35s), or the
analysis of the corporate climate as well as targeted listening
initiatives on certain matters (D&I). Considering the actions
taken towards the most vulnerable and least represented
people, Eni has launched the following actions: (i) periodic
training dedicated to all people to develop greater awareness of
the culture of inclusion; (ii) specific training aimed at acquiring
the necessary skills to manage possible unconscious biases
in the selection process and in management interviews; (iii)
internal D&I communication and awareness initiatives at the
headquarters and operational sites in Italy and abroad; (iv)
listening initiatives to measure the impact and corporate
sensitivity of D&I initiatives and to generate and design new
initiatives with a particular focus in 2024 on disability and
intergenerationally; (v) assessment of the D&I maturity at
subsidiaries abroad through listening activities aimed at
defining a plan of common and specific initiatives for individual
realities; (vi) consolidation of a D&I community both within the
company through the engagement and active participation of
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Eni’s people and externally through partnerships and networking
initiatives (e.g. Women X Impact) and membership in national
and international associations focused on D&I issues (e.g. Parks
and Valore D); (vii) promotion of a culture of inclusion through
external communication actions, awareness-raising in schools
(with the Eniscuola and Valore D projects), content on digital
platforms (e.g. podcasts and webinars powered by Eni) and
participation in external events. All initiatives are coordinated by
a corporate function dedicated to D&I topics.
Evaluations and Feedbacks
In its internal procedures, the company promotes and enhances
the continuous and widespread use of feedback, which allows
the expression of fundamental values of its culture. Punctual,
objective, constructive feedback tracked through company systems
contributes to the development and engagement of Eni’s people
not only during institutional processes (performance evaluation),
but also on an ongoing basis and whenever the need for mutual
discussion and listening between manager and employee arises.
The evaluation process is based on objectives that are consistent
with Eni’s strategy, challenging and balanced in relation to the
assigned role. With regards to the Executives and Senior Managers,
business and behavioural objectives are set, while for the others
there are qualitative/quantitative objectives consistent with the
responsibilities held and behavioural objectives that can be adapted
during the year on the basis of exchanges between manager and
collaborator.
Whistleblowing and remediation
mechanisms
The tools, regulated within the company regulatory system, that can
be used in the event of an alleged violation of the Code of Ethics
and/or of the human rights141 and health and safety provisions for
its workers are: the Grievance Mechanism and whistleblowings. For
further details on these channels and for the remedy management
approach and any actions taken in the year, please refer to the
Human Rights for Eni chapter and, for whistleblower protection
measures, to the Business Conduct chapter.
ACTIONS TAKEN ON MATERIAL IROs
Eni’s business model is based on internal skills, an asset in which
Eni continues to invest to ensure alignment with business needs,
in line with its long-term strategy. The evolution of the business
involves an important commitment to increase the value of human
capital over time and with this in mind, Eni is committed to giving
priority to workers’ programs, in line with the Just Transition
path, with the aim of supporting their relocation in new or
transformed activities. In 2024, initiatives aimed at disseminating
and assimilating a new model of skills and behaviours aimed at
(141) For disclosure of the number of serious human rights incidents related to the company’s workforce, please refer to the Human Rights for Eni chapter.
effectively managing the transition into processes and internal
culture continued. Eni has also launched internal processes to
revise professional models and update skills, both soft skills
and hard skills, to encourage the growth of more complete and
integrated professionalism. This includes training initiatives on
topics such as circular economy, decarbonization and renewable
energy, aimed at ensuring continuous upskilling. With regard to the
management of its resources, Eni has launched a new resource
management model that defines development paths, throughout
the company lifecycle, diversified and consistent with the new
business model in order to enhance the various professionalism
and talents in an inclusive logic, promoting motivation, a sense of
belonging and proactivity of people. With regard to the impacts
on workers related to the industrial conversion process, Eni
commits to: (i) continue the process of skills replacement in order
to support Eni’s transformation in line with the decarbonization
objectives and targets defined as part of the energy transition
process; (ii) pursue the development of the satellite model, a
recovery of organizational efficiency on the transversal functions
in support for the business and the industrial reorganization of
traditional business sectors, also through initiatives aimed at
enhancing the internal skills available with appropriate training
and internal mobility programs. Regarding opportunities, looking
at the labor market, Eni is constantly committed to attracting the
best professionals, with distinctive characteristics and oriented to
the different needs of the business lines. The required professional
skills change over time, in relation to the evolution of the company
strategy and it is necessary to have full correspondence between
these dynamics over time in order to ensure the constant updating
of professional profiles with respect to the needs expressed
by the different business areas. With a view on continuous
engineering and upskilling of competences, the implementation
of structured orientation programs is therefore guaranteed, to
accompany new generations towards a more informed choices
regarding their training/professional path. Talent Attraction plans
are also in place, whether vertical and linked to specific sectors,
for both expert and junior profiles, as well as initiatives aimed at
preparing pools of people who can best represent the Strategy
and the businesses in the various contexts of exposure of the
Eni brand (Global Ambassador Programme). Finally, in terms of
communication, Employer Branding actions implemented through
recruiting campaigns on the main digital and traditional media
channels remain central. With reference to the material impacts,
in 2024 following ascertained cases of violence and harassment
of a physical, psychological or verbal nature (detected through
a whistleblowing channel), Eni intervened, with dismissal and
suspension from work, both against the perpetrators of the
harassment and against other employees whose behavior had
contributed to compromising the work environment.
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Eni’s Human Rights Management Model
– Eni’s People
Starting from 2020, a risk-based model was introduced for assessing
the protection of human rights in the workplace aimed at segmenting
Eni companies on the basis of quantitative and qualitative parameters
that capture the specific characteristics and risks of the Country/
operating context and that relate to the human resources management
process (including the fight against all forms of discrimination, gender
equality, working conditions and freedom of association and collective
bargaining). This approach identifies any areas of risk, or improvement,
for which specific actions to be monitored over time should be
defined. During 2024, the application of the model in the subsidiaries
of the Energy Evolution Department carried out in 2023 was examined
in depth and a follow-up was carried out in the upstream business
companies interested by the application of the model in 2021. A set
of standard mitigation actions deriving from the application of this
risk-based model for assessing the protection of human rights in the
workplace has also been disseminated to all Eni companies.
Work-life balance and Welfare
Eni has adopted a corporate welfare and benefits system that includes
a set of services, initiatives and tools, aimed at improving the well-being
of employees. Eni’s Smart Working (SW) model (agreement signed in
October 2021) provides for all employees: in Italy, 8 days/month for office
locations and 4 days/month for operational sites, as well as numerous
welfare options to support not only parenthood and disability but also
the health of people or their cohabiting family members, further enriched
with an option to manage cases of temporary, sudden and unplannable
health problems of a cohabiting member of the family unit. The SW
model has also been progressively adopted in other Countries, in line
with local regulations. Furthermore, with reference to parenting issues,
in all the Countries where it operates, Eni has continued to recognize as
a minimum treatment in the absence of a more favorable applicable
legislation: 10 working days paid at 100% to both parents, a minimum
of 14 weeks of leave for the primary carer as per the ILO agreement and
the payment of an indemnity equal to at least 2/3 of the salary received
in the previous period. As far as welfare services are concerned, Eni
offers a plan of initiatives that respond to needs concerning the family
environment (from recreational and educational services for children,
to assistance for non-self-sufficient family members), the promotion of
health and psychophysical well-being (dedicated prevention initiatives,
psychological help desk and availability of affiliated sports facilities) and
income support interventions (subsidized loans, supplementary pension
and supplementary health care). The year 2024 was characterized on
one hand by the consolidation of the new service lines in the field of
parenting activated following their definition in the NOI Protocol signed
with the trade unions, and on the other hand by the launch of a study
and analysis of the existing offer, including through benchmarks, to
identify actions to redefine and improve the actual measures.
Diversity & Inclusion
Eni’s approach to Diversity & Inclusion (D&I) is based on the fundamental
principles of non-discrimination, equal opportunities and inclusion
of all forms of diversity, as well as integration and work-life balance.
The main areas of action are: (i) Women’s empowerment: actions
to attract female talent, through the organisation and promotion of
initiatives for students to orient themselves towards STEM subjects
(Science, Technology, Engineering and Mathematics), with a focus
on gender equality and the growing and effective testimony of
internal Role Models and Ambassadors, for equal opportunities in the
work environment of the energy sector. In 2024, Eni maintained its
collaboration with Valore D and, in the procurement area, with Open-ES
for the dissemination of D&I strategies in the supply chain with a focus
on SMEs. In 2024, the design of an initiative called WIP (Women In
Power) was completed, which will be fully implemented in the first half
of 2025. This initiative concerns a specific training intervention aimed at
promoting professional development. Eni has renewed its partnership
with Woman X Impact, the annual summit dedicated to issues related
to gender equality, female leadership and self-branding through female
networking. Among other activities, in-person events were held at the
headquarters in Rome and Milan in which the role of women in STEM
fields, the female leadership styles and the importance of networking
were discussed; (ii) Gender Equality and Parenthood: following Eni’s
adoption of the Corporate Governance Code for companies in favour
of maternity, the Inter-Functional Working Table was established in
2024 aimed at introducing new measures for parenting, their effective
communication to Eni’s people and formalising a Gender Equality
Management System; (iii) Intercultural: workshops were organised
at some Eni subsidiaries abroad to raise awareness on D&I issues,
also through the storytelling of local people and the engagement
of external testimonials; (iv) Intergenerationality: in addition to the
listening initiative carried out in 2024, an event was promoted focused
on retracing the values and work drivers that unite and distinguish the
needs of people of different generations and how people of different
ages relate to each other beyond their formal roles in the company; (v)
Sexual orientation and gender identity: awareness-raising activities
on the issue continued; in particular, an internal event was organized
on the issues of Sports and Coming Out; (vi) Disability and fragility:
in addition to the listening initiative on people with disabilities, work
continued to define a strategy for the attraction, management
and development of people with disabilities, and guidelines for the
accessibility of buildings and digital accessibility. In addition, Eni has
continued its collaboration with Auticon and started a collaboration
with the Italian Dyslexia Association, testifying to Eni’s growing
commitment to neurodivergence. In 2024, a communication plan was
also implemented aimed at disseminating the
D&I Policy among
employees also in operational contexts in Italy and abroad. The D&I
Policy has also been adopted by Eni’s companies and subsidiaries as
required by Eni’s regulatory system.
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Training and development
Eni continues to consider training a fundamental lever in supporting
the company in the process of change, in line with the strategies
defined in the field of energy transition and digital transformation.
Targeted training interventions that cover all aspects of technical-
professional, transversal, personal growth at 360 degrees, through
appropriate upskilling and reskilling interventions and in the optimal
mix of face-to-face and distance training, remain the key to building
the skills of the future in the directions defined by the company’s
objectives. The effectiveness of the training modules is measured
through end-of-course questionnaires that employees complete to
assess the achievement of the training objectives. Therefore, where
applicable, at the end of the courses there are: in the specialized
technical courses, an end-of-course learning test; in the compulsory
courses in the field of safety, practical or theoretical tests for passing
the course; in the language courses, final tests to certify the
achievement of the expected level; in the behavioural courses, self-
assessment questionnaires on the skills acquired. With regard to the
relevant expenses in 2024 in Eni’s workforce (excluding those relating
to labour costs explained in the Financial Statements in Note 30
Costs - Purchases, services and other charges of the Consolidated
financial statements), total training expenses amounted to €31.3
million (of which €0.32 million for D&I activities) and are expected to
amount to €139 million over the next four years of which €1.7 million
for D&I initiatives. For other significant expenses relating to Eni’s
workforce, see the Health and Safety chapter.
TRAINING AND DEVELOPMENT EXPENDITURE (a)
Units of
measurement
2024
2023
Average training and development expenditure per full-time employee
(€)
976.2
1,005.1
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in
Note 30 “Costs - Purchases, services and other charges”.
METRICS142
(142) For the methodology and scope of consolidation, see the chapter Reporting principles and criteria.
EMPLOYMENT, DIVERSITY, TRAINING AND INDUSTRIAL RELATIONS
Units of
measurement
2024
2023
Employees (head count)
(number)
31,669
32,321
Men
22,695
23,472
Women
8,974
8,849
Employees by geographic area
Italy
21,688
21,336
Africa
1,769
2,711
Americas
1,328
1,930
Asia
2,515
2,506
Australia and Oceania
103
101
Rest of Europe
4,266
3,737
Permanent employees
30,858
31,383
Women
8,763
8,595
Men
22,095
22,788
Fixed-term employees
811
938
Women
211
254
Men
600
684
Atypical temporary employees (agency workers, contractors, etc.)
1,433
2,793
Women
526
684
Men
907
2,109
Employees with full-time contracts
31,248
31,945
Women
8,623
8,516
Men
22,625
23,429
Employees with part-time contracts
421
376
Women
351
333
Men
70
43
Local employees abroad
(%)
85
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Employment and Diversity & Inclusion
The decrease in overall employment is attributable to M&A
transactions (disposals in the Enilive and Upstream areas
partially offset by the acquisitions of the Aten Oil and Neptune
groups) and to the balance of operating efficiency. Overall, 2,981
hires were made in 2024 (+13.3% approx. vs. 2023) of which 2,616
with permanent contracts (+34.2% approx. vs. 2023). About 53%
of permanent hires involved employees up to 30 years of age.
3,183 resolutions were made (902 in Italy and 2,281 abroad), of
which 2,813 were employees with permanent contracts, with an
incidence of female staff equal to approx. 36%. 71% of employees
with permanent contracts who terminated their employment in
2024 were under the age of 50. Eni’s transformation process,
which requires a strong turnover of skills to support the energy
transition, is also highlighted by the trend in the turnover rate,
which in 2024 increased by 2.6 p.p. compared to 2023, the year in
which the most significant value in the last 4 years was recorded.
The average presence of local staff abroad is substantially
constant and on average around 86% in the last three years.
The average age of Eni’s people worldwide is 44.9 years (45.6
in Italy and 43.4 abroad), substantially in line with 2023 (44.7)
thanks to the significant turnover work and the recruitment
program of innovative professionals and junior figures. The figure
for non-employees varies according to the business needs and
operational flexibility required, i.e. their transformation into stable
contracts. Compared to 2023, the number of non-employees
decreased mainly due to M&A transactions.
EMPLOYMENT, DIVERSITY, TRAINING AND INDUSTRIAL RELATIONS
Units of
measurement
2024
2023
Non-Italian employees in positions of responsibility
17.4
19.1
New hires with permanent contracts
(number)
2,616
1,949
Terminations of permanent contracts
2,813
1,942
Rate of turnover
(%)
8.8
6.2
Non-employees
(number)
1,433
2,793
Employees by age groups
Under 30
3,185
3,240
30-50
17,781
18,427
Over 50
10,703
10,654
Employees in positions of responsibility (Senior managers(a))
926
941
Women
(number) (%)
173 (18.68)
171 (18.17)
Men
753 (81.32)
770 (81.83)
Employees covered by performance assessment tools (senior managers, middle managers, young graduates)
(%)
94
85
Employees covered by annual review (senior managers, middle managers, young graduates)
98
95
Women
97
n.a.
Men
99
n.a.
Training hours
(hours)
1,027,822
1,154,495
Average training hours per employee
32.1
36.7
Women
27.1
27.5
Men
34.0
40.1
Employees who are entitled to parental leave
(%)
100
100
Employees who have taken parental leave
3
3
Women
4
4
Men
3
3
Gender pay gap
6.8
3.4
Total remuneration ratio
(number)
157
180
Employees covered by collective bargaining
(%)
83.50
86.95
Italy(b)
100
100
Abroad
40.10
56.28
Employees in trade unions(b)
36.74
36.65
(a) Reference is made to all the company’s employees who, due to their competence and managerial skills, hold roles of high responsibility, autonomy and decision-making power such as promoting, directing and managing the
achievement of the company’s objectives.
(b) Within the European Economic Area, only Italy is considered as it is identified as the only Country in which Eni operates that has at least 50 employees and represents at least 10% of the total number of workers.
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Industrial relations
In Italy, 100% of employees are covered by collective bargaining
according to current regulations. Abroad, in relation to the specific
regulations operating in the individual Countries of presence, this
percentage stands at 40.10%. In Countries where employees are
not covered by collective bargaining, Eni ensures in any case full
compliance with international and local legislation applicable to
the employment relationship as well as some higher standards
of protection guaranteed by Eni throughout the group through the
application of its company policies worldwide.
Training and Development
2024 values are comparable with the previous year, although
recording a reduction also in line with a rationalization of training
plans. In particular, there was a decrease of 11% in the total hours
completed and 12.5% in the average training per employee. The
average expenditure has also been contained by approximately 3%.
Of more than 1 million hours of training in the year, 76% were taken
by men and 24% by women, achieving a distribution consistent with
that of the Eni population, with an increase in fruition by women
from 20% in 2023 to 24% in 2024, as an effect of the commitment to
supporting the presence and development of female professionals
in the company. As far as performance evaluation is concerned, in
2024 a complete coverage of senior managers is confirmed and
the trend among middle managers and young graduates increased,
reaching a total of 94% of the population of executives, middle
managers and young graduates. This rise is due to the increasingly
consolidated use of the new rolling objectives for the non-managerial
population during the year. For the same group, also with regard to
the annual review, there is an increasing trend with an overall level of
98%. In terms of gender representation, the annual review process
is substantially in line with the general trend and no significant
differences emerge.
Adequate remuneration and wages
With regards to ratio between the remuneration of the CEO/DG and
the median of employees (total remuneration ratio), the indicator
in 2024 is down compared to 2023 and is equal to 157 for total
remuneration and 34 for fixed remuneration. The Gender Pay Gap,
i.e. the pay gap between men and women globally, is +6.8%. The
increase compared to 2023 depends on the acquisition/divestment
of foreign companies and may be influenced by objective non-
discriminatory factors not considered by the indicator, such as:
level of professional category and role held, seniority in the role,
working hours and conditions (e.g. shifts and related allowances),
individual performance, as well as the number and distribution of
the female population in the different Countries and professional
categories compared to the male population. Therefore, Eni carries
out further analyses, all the objective factors mentioned above being
(143) For further references, see The regulatory system, and Eni’s Reporting principles and criteria/Policies.
equal, in order to highlight any unjustified gaps and take appropriate
corrective actions. In particular, in 2024 the analysis of the same level
of role/seniority showed an average global pay gap of 2.1%. In order
to guarantee decent wages, Eni applies, in each Country in which
it operates, reference wage policies that are well above the legal/
contractual minimums, as well as the 1st decile of the local wage
market, and annually verifies the salary positioning of its people,
adopting any corrective actions.
The references that Eni uses for the comparison are the minimums
established by law or by contract in each Country and the market
minimums of medium-large local companies, which are well above
the poverty thresholds established by Eurostat for the European
Union and by the Wage Indicator for other Countries. More details on
total remuneration ratio, pay gap and minimum wage indicators and
Eni remuneration policies are reported in the Report on the 2025
Remuneration Policy and remuneration paid 2024.
HEALTH & SAFETY
POLICIES143
Eni’s commitment to the health and safety of its workforce is included
in the Code of Ethics, where the importance of promoting people’s
health and safety is underlined. Health and Safety are protected in
compliance with the highest international standards, specific laws and
regulations of the Countries, with a view on continuous improvement
and empowerment of all company levels, to ensure a management
based on the principles of precaution, prevention, protection and
risk management. Suitable tools are provided for the prevention and
protection of any negligent or malicious conduct, including by third
parties, which could cause direct or indirect damage to Eni’s People
and/or to the company’s tangible and intangible resources. A clear
and transparent flow of information is ensured to Eni’s People, the
entire community and partners regarding the necessary preventive
and protective measures to be implemented in order to eliminate (and
when this is not possible, mitigate) risks and criticalities. Stemming
from processes and activities the
Policy ECG Respect for Human
Rights in Eni confirms the commitment of the Code of Ethics to
ensure a safe and healthy working environment for all workers and to
respect relevant principles, also making the integration of the gender
perspective into the operating models explicit, with the aim of reaching
continuous improvement and empowerment of all company levels.
The promotion of health and physical, mental and social well-being
of its people is ensured through a management system that includes
occupational medicine and industrial hygiene, medical assistance and
management of medical emergencies and health promotion, while
ensuring the adoption of a gender perspective, as well as particular
attention to situations of greater fragility and activities to protect and
promote the health of communities. Finally, the internal regulatory
framework defines the commitment and operating methods to
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ensure health surveillance and prevent work-related diseases, the
clustering method based on health risk and related obligations, and
the procedures for managing health emergencies. Safety issues are
included in the internal HSE regulatory framework which, among
other issues, addresses the commitments and operating methods
to develop suitable prevention and protection measures to protect
personnel, suppliers and owned assets, as well as their constant
maintenance of efficiency. This legislation framework deepens the
management system which includes, in addition to occupational
safety and industrial hygiene, process safety with the aim of preventing
risk of significant accident with the application of high management
and technical standards, product safety, emergency management and
the promotion of a safety culture.
TARGETS AND COMMITMENTS
In line with last year, the targets and commitments on health and safety
issues are linked to the Policies guidelines, and refer specifically to
activities to protect the psycho-physical health of workers with reference
to the work environment and situations of fragility and the safety of
people. These targets are shared with the departments responsible for
achieving them, and the Safety target (with reference to a specific
indicator defined by Eni considering the TRIR formula) is part of the
variable incentive for the CEO and management. The targets and
commitments are monitored on a semi-annual basis through the
Health, Safety, and Environment review processes, as well as more
frequently through the use of specific metrics to ensure appropriate
interventions in cases of misalignment with expected trends.
Target
Target
year
2024
Performance
Base year and relative
reference value
Notes
(scope, methodology, evidence)
Maintenance of the Total Recordable Injury Rate (TRIR)(a)≤0.40
2025-28
0.48
0.43 (average last 3 years)
Relative target; Includes both own workers
and VC contractors
85% employees with access to psychological support service
2028
74%
2022: 68%
Relative target
Scope: consolidated line-by-line
% of total employees
150 sensors tested, including Italian off-shore sites and abroad for
digital monitoring of indoor healthy working environment
2028
99
2022: 0
Relative target
Scope: consolidated line-by-line
Applicable to operated sites
(a) For the methodological note, the target and how to achieve the latter, please refer to the section Metrics: methodologies. This target continues to be defined on the basis of the boundary on which Eni reported before the entry
into force of the ESRS standards, which led the company to redefine the operated boundary (see Reporting boundary) in order to continue to direct safety actions even towards companies in which Eni is not actually the operator.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IRO’s)
Work-related injuries and accidents have the potential to have a
major impact on individuals (Eni’s own workforce and value chain
workers), assets, environment and surrounding communities. The
presence of goods and assets aimed at producing oil, gas and
energy, often in remote locations, makes it necessary to have an
effective risk management to protect the safety of people and
operations also in relation to potential accidents and failures
of assets and infrastructure. The primary focus, in fact, is the
identification and mitigation of potential risks/hazards that could
have an impact on the workforce (its own workers and those in the
value chain), the environment or communities. As far as process
safety is concerned, reference is made to: major process accidents,
such as fires or explosions, spills or releases of hazardous
substances and asset integrity accidents with personal injury;
accidents associated with activities not directly related to process,
such as road and rail transport services, naval transport, refuelling
stations, gas distribution networks, LPG networks; blow out
following the occurrence of an uncontrolled flow of hydrocarbons
inside the wells. For risk mitigation and management, a risk-
based safety management system has been set up to prevent
major accidents. All events, including near misses and unsafe
conditions/unsafe acts, are reported, analyzed and monitored with
the necessary corrective and preventive actions. This system is
continuously improved, taking into account the events that occur
in Eni’s operations and in the industry. All companies at significant
risk are covered by ISO 9001, 14001, 45001 and 50001 certification
or have planned to achieve it. This confirms the fact that the
safety of employees is an essential value for Eni and it is therefore
essential to maintain safe working conditions for all individuals
under maximum supervision, achieving 100% safe operations. The
health and well-being of workers is also of inestimable value to
the company, and is protected and promoted in order to safeguard
its people and to ensure business continuity. With regards to
health-related impacts, they concern occupational diseases of
own workers and workers in the value chain, i.e. pathologies that
may have a causal link with occupational risks, as they may have
been contracted during working activities with prolonged exposure
to risk agents present in the workplace. The risk can be caused
by the work carried out, or by the environment in which the job
itself takes place. The main occupational diseases can result from
exposure to chemical, biological, physical agents or can be linked
to ergonomic or psychosocial factors. One of the most closely
monitored risk is the biological one, linked to the possible spread
of epidemics and pandemics. To this end, Eni constantly analyzes
and monitors local epidemiological contexts for better prevention
and management of any emerging outbreaks and pandemics.
The stakeholders potentially impacted by the listed pathologies
and any health emergencies are both own workers and workers in
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the value chain. In addition to the risks of blowout, accidental and
biological ones, mentioned above, another material risk144 related
to its workers concerns potential global security scenarios: the
risk of adverse scenarios and/or potential threats in Eni’s areas of
strategic interest in relation to actions or events of a malicious or
negligent nature of a criminal or political nature, may lead to actual
or potential damage to Eni’s people, and specifically to the groups
of workers in these areas.
ACTIONS TAKEN ON MATERIAL IROs
Occupational and process safety
Eni constantly invests in the implementation of the actions necessary
to ensure the people’s safety in the workplace, in particular in
the development of models and tools for risk assessment and
management and in the promotion of a culture of safety, in order
to pursue its commitment to zero accidents and safeguarding the
assets integrity. To prevent accidents, in addition to the continuous
updating of management documents and operating instructions,
during the year, both initiatives were introduced to strengthen the
sensitivity and engagement of employees and contractors in the
HSE field (Safety Golden Rules and Principles, Safety Leadership,
technical and Behavioral Safety Coaching Program, promotion of
the Stop Work Authority145), and activities aimed at improving work
areas in terms of personnel safety, as well as the implementation
of new digital technologies to support operational safety. This
(144) For further information on the connection between risks and Eni’s strategy and business model, see the
Business Model chapter and for treatment actions, see the sections
Integrated Risk Management and
Risk Factors and uncertainties.
(145) With the Stop Work Authority, every worker, at any Eni site, has the authority to stop an activity when they detect dangerous behaviour or condition.
commitment focuses on technical and non-technical skills and
digitization. Regarding non-technical skills, in 2024 the application of
the methodology The Human Error Model for Eni (THEME) continued
on five new sites, in order to identify strategies to strengthen human
barriers. With regard to technical skills, the new campaign on the
Eni Safety Golden Rules & Principles was launched, with particular
emphasis on the Stop Work Authority and the Line of Fire, with the
aim of promoting the fundamental principles and minimum safety
requirements to be applied during risky activities. With regard to
digitization, the Safety presense tool, i.e. the artificial intelligence
tool capable of predicting recurring dangerous situations starting
from weak signals recorded in safety databases, has generated 520
alerts since its start, that have led to the implementation of targeted
preventive actions. Finally, the evolution and promotion of the
HSEni App continued. This app is used to report unsafe conditions,
compile checklists, and consult Eni’s safety rules, with the roll-out
completed to about 11,000 users on over 200 sites worldwide. In
the field of Process Safety, in order to minimise accidents and
improve performance, Eni carried out various activities: the creation
of a handbook relating to the Process Safety Fundamentals, the
principles to be followed during plant activities; the training of
over 2,000 technical/operational and HSEQ area resources on
Process Safety at Eni; an in-depth study of issues related to safety
in the management of fluids for new energy supply chains, revising
process safety standards to include specific design requirements for
hydrogen, CO2 and other substances from new supply chains.
EXPENDITURES(a)
Units of
measurement
2024
2023
Total safety expenditures
(M€)
344
281
of which: equipment, facilities, and fire management
94
71
of which: maintenance of equipment and facilities
72
67
of which: safety of plants, buildings, and vehicles
73
63
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in
Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”. The total safety expenditures
include further types of expenses not listed in the table.
EXPENDITURES(a)
Units of
measurement
2024
2023
Safety expenditures for industrial hygiene activities
(M€)
8
7
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in
Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
In the field of safety of people and assets, Eni has allocated
resources of €1.5 bln for the next four years, in particular for
fire plants, equipment and management (€0.4 bln), safety of
plants and vehicles (€0.3 bl), maintenance of safety systems and
equipment (€0.3 bln), controls, supervision, inspections and tests
(€0.2 bln).
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ASSET INTEGRITY
Eni applies the Asset Integrity process to all the development and
management activities of its plants in order to ensure the best
integrity of design and construction, as well as the utmost rigor
in their operation up to decommissioning, managing risks related
to the safety of people, the protection of the environment and the
reputation of the company (for the assessment of risks associated
with acute and chronic natural events, see
Climate Change). In
2024, it incorporated the most advanced scientific and technical
tools on the market into its work processes and revised the internal
regulatory framework so that the risks due to climate change are
managed both in historical and forecasting terms, ensuring that
working hypotheses, tools and technical solutions are always in line
with Eni’s values and objectives.
Health
Eni has developed a health management system integrated into all
operating entities, and it includes occupational medicine, industrial
hygiene, traveller’s medicine, medical assistance and emergency,
and health promotion, with coverage for the entire Eni population,
in addition to activities to protect and promote the health of
communities (see Local communities). The health management
strategy is oriented, in addition to the maintenance and continuous
improvement of health-related services, to: (i) enhance access to
assistance for all Eni’s people to emergency facilities (especially
for infectious diseases) and services and initiatives to support
situations of fragility, mental health and aimed at inclusion; (ii) to
spread the culture of health through health welfare initiatives and
services in favour of workers and their families; (iii) implement
occupational health activities also with the contribution of scientific
research, in view of the risks associated with new projects and
industrial processes and considering industrial hygiene activities;
(iv) promote the digitalisation of processes and telemedicine. The
application of the health management system, intended as a set of
actions aimed at continuous improvement, guarantees a constant
commitment to mitigating impacts, and its implementation is
periodically monitored also through audit activities. The health
management system makes use of both internal resources, health
professionals and management staff, and a network of specialized
external providers. In 2024, initiatives to promote health and well-
being were strengthened, with a focus on risk management in the
workplace and on raising awareness through new digital tools. At
the same time, collaboration continued with research centres and
universities to assess the impacts of new production processes,
with a focus on biorefineries and agribusiness, in particular with
the involvement of the Health Committee of the Eni Enrico Mattei
Foundation. The main actions include occupational health and
industrial hygiene activities, such as: (i) medical, and occupational
hygiene activities aimed at assessing, identifying and controlling
risk factors that may have impacts on workers’ well-being; (ii)
testing of new technologies for monitoring the healthiness of
indoor work environments (99 sensors tested at onshore operating
sites in Italy); (iii) preparedness and response activities to health
emergencies. Further initiatives concern medical assistance for
Eni workers and their families, in line with the results of the needs
analysis and epidemiological, operational and legislative contexts
such as: (i) services and benefits for the prevention, diagnosis,
treatment and management of acute and chronic diseases,
for workers and, where applicable, family members; (ii) online
psychological support service for employees in Italy and abroad,
(74% coverage); (iii) Psychological First Aid (PFA) service available
to all employees in Italy and abroad in cases of catastrophic and
unexpected events; (iv) specific services concerning gender-based
assistance, such as, in Italy, a helpline dedicated to victims of
harassment and gender-based violence; (v) a package of free 24-
hour health care services for Eni’s people and their families in Italy
(telemedicine, home medical services, bookings and anamnestic
interviews). Furthermore, activities for the promotion of health are
also developed for employees and, where applicable, their family
members. These activities are: (i) raising awareness in relation
to endemic diseases, such as tuberculosis and malaria, sexually
transmitted and non transmissible diseases, such as diabetes
and hypertension worldwide; (ii) extension in many Italian cities of
the free biennial check-up service for cancer and cardiovascular
prevention, which involved 44% of Eni’s population.
As for future resources, investments in health activities planned for
the four-year period 2024-2027 amount to approximately ~€267
million.
EXPENDITURES(a)
Units of
measurement
2024
2023
Total health expenditures
(M€)
47.9
58.3
of which: for medical assistance and emergency management activities
22.6
29.8
of which: for occupational medicine activities
14.9
15.9
of which: for community health activities
7.5
10.5
of which: for health promotion activities
1.4
1.1
of which: for training and management activities
1.5
1.0
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item in
Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
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Health and Saftey in the value chain
The unit dedicated to the HSE management of contractors, the
Safety Competence Center (SCC), aims to improve the safety of
contract work and the provision of specialized training and training
services, as well as HSE operational support to the business. In
2024, it continued to proactively oversee and support the process
of
improving
companies,
promoting
management
models
characterized by an increasingly preventive culture of safety and
environmental protection, monitoring over 3,000 suppliers in Italy
and abroad, promptly managing situations found below the standard
and enhancing the innovative good practices identified, ensuring
that they are shared among contractors. In 2024, the Safety and
Environmental Pacts (voluntary agreements with companies) were
active in 92 sites in Italy and 20 abroad and will be extended in 2025,
with the support of SCC, to additional companies abroad related to
Versalis, Enilive and for some companies/JVs in the GGP&Power
sector. In addition, in 2024 a program dedicated to training and raising
awareness of the refinery sector supply chain was implemented,
involving strategic suppliers with the aim of promoting key messages
on health and safety at work. The program focused on the active
involvement of management, the strengthening and monitoring of
skills, the application of the principle of the “Stop Work Authority”
and the adoption of all the necessary measures to ensure safety. In
addition, for the management of health risks along the value chain
of the agro-industrial chain, Eni has launched internal programs and
external collaborations with international bodies, including the ILO,
in particular, in Ivory Coast and Kenya where evaluations have been
carried out for the improvement of practices in the field of health and
(146) For the methodology and scope of consolidation, see the chapter Reporting principles and criteria.
(147) The company provides full cooperation for every need of the Judicial Authority and, regardless of any merit profile of the matter, is collecting all compensation claims with respect
to any material and non-material damage that has occurred, for the purpose of their liquidation.
safety at work and social protection. The activity involved, in addition
to Eni, farm owners, agricultural workers and their representatives.
For activities and measures to protect the safety and health of
workers in the supply chain, see the Health & Safety section.
METRICS146
Safety
Eni’s internal HSE regulatory system establishes the obligation to
adopt an HSE management system for all companies that have
employees; for those companies with more than 250 employees
or that carry out industrial activities, in addition to the development
of the system, certification according to ISO 45001 and ISO 14001
standards is required. With reference to Eni’s health management
system, all employees and contractors are covered by it, also in
light of precise internal application procedures in line with the
regulations in force in the Countries in which it operates. In 2024,
the Total Recordable Injury frequency Rate (TRIR) increased
compared to 2023 for both contractors and employees since, the
decrease in worked hours recorded in the period was not matched
by a reduction in the number of total recordable injuries, which
rose to 67 for contractors (54 in 2023) and remained stable at 39
for employees. In particular, 5 fatal accidents to contractors were
recorded in Italy in relation to the accident that occurred on 9th
December, 2024, at the Eni depot in Calenzano: investigations by
the Judicial Authority into the dynamics and causes of the event
are ongoing147. The fatality index of contractors rose to 4.96, while
that of employees remained zero.
OCCUPATIONAL SAFETY METRICS(a)
Units of Measurement
Employees
Contractors
2024
2023
2024
2023
Percentage of workers covered by a health and safety management system based on
legal requirements and/or already recognised standards or guidelines(b)
(%)
100
100
100
100
Number of fatalities as a result of work-related injury
(number)
0
0
5
1
Number of total recordable injuries
39
39
67
54
Total recordable injury frequency Rate (TRIR) index
(total recordable injuries/worked hours) x 1,000,000
0.69
0.66
0.66
0.52
Number of lost days due to work-related injuries
1,009
563
1,639
1,138
Fatality index
(fatal injuries/worked hours) x 100,000,000
0.00
0.00
4.96
0.95
Worked hours
(million hours)
56.8
59.2
100.8
104.8
(a) With regard to occupational safety metrics, Eni also continues to monitor safety-related indicators according to the scope of consolidation that it used until 2023, before the entry into force of the ESRS standards, in line with the
target defined within its strategy, whose 2024 performance, referring to the Frequency Index of Total Recordable Accidents (TRIR) of the workforce is equal to 0.48. Considering this area of consolidation, the TRIR for employees
equals to 0.51 (considering to 48 accidents, 1,148 days lost and 94.4 million worked hours) and for contractors to 0.47 (considering to 91 accidents, 1,813 days lost and 194.2 million worked hours). Compared to the operated
boundary, there was a further fatal accident for contractors.
(b) Among the main guidelines is the ISO 45001 standard.
WORKFORCE OCCUPATIONAL SAFETY METRICS
Units of Measurement
2024
2023
Workforce Total Recordable Injury Rate (TRIR) index
(total recordable injuries/worked hours) x 1,000,000
0.67
0.57
Near miss
number
563
566
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Health
As far as occupational diseases are concerned, in 2024 there were
34 claims, of which 8 concerned personnel currently employed
and 26 related to former employees (none submitted by heirs).
In 2024, the number of healthcare services supported by Eni
amounts to over 232,000, of which 63% in favour of employees,
17% in favour of family members, 18% in favour of contractors
and 2% in favour of other people (e.g. visitors). The number of
participations in health promotion initiatives in 2024 is over
140,000, of which 77% by employees, 21% by contractors and 2%
by family members.
HEALTH METRICS
Units of Measurement
Employees
Contractors
2024
2023
2024
2023
Number of occupational diseases claims submitted by heirs
(number)
0
2
0
0
Number of cases of occupational diseases claims
8
17
0
0
Process safety
In 2024, there was a further decrease in the sum of Tier 1 and Tier
2148 process safety incidents, which has been steadily decreasing
since 2018. In particular, 5 Tier 1 Process Safety Events (PSE)
and 10 Tier 2 were recorded. More than half of the PSEs (54%)
resulted in a product spill, 33% in a gas release, and 13% in a fire/
explosion.
PROCESS SAFETY
Units of Measurement
2024
2023
Process safety events Tier 1
(number)
5
10
Process safety events Tier 2
10
9
148
WORKERS IN ENI’S VALUE CHAIN
POLICIES149
Eni’s commitment to respect and engage workers in the value chain
is introduced in the Code of Ethics, which sets out the expectation
that its counterparties should adopt socially responsible behaviour
and develop appropriate ethical programmes and controls,
being consistent with the principles and behaviours presented
in the Code. Eni reserves the right to take appropriate measures
against those parties not meeting expectations and not acting
in accordance with the principles of the Code. Eni
Policy ECG
Respect for Human Rights in Eni highlights the commitment to
ensure a work environment free from any form of discrimination
or abuse, establishing employment relationships inspired by
fairness, equality, non-discrimination, attention to and respect for
the dignity of the person, the commitment not to violate Human
Rights and to remedy any critical issues that may arise from the
activities in which it is involved. In addition, the policy underlines
the commitment to guarantee and promote the right of workers
and employers to form trade unions, at their own free choice,
as well as the right to collective bargaining, committing itself to
(148) Process safety incidents are classified, according to severity, into Tier 1 (most serious), Tier 2, Tier 3 (least severe).
(149) For further references, see The regulatory system, and Reporting principles and criteria/policies.
ensuring a safe and healthy working environment following the
highest international standards on health and safety, the specific
laws and regulations of the Countries in which it operates. A
commitment to promote the dignity of workers along the entire
value chain is stated, as well as the rejection of any form of forced
or compulsory labor, any practice of labor exploitation including,
for example, trafficking in human beings, the limitation of the
freedom of movement, the seizure of identity documents and
child labor. The adoption of processes to prevent any violations
of Human Rights and the evaluation of its suppliers through a
risk-based model is clearly stated, requiring the implementation
of corrective actions and their implementation monitoring. In
addition, it’s included the commitment to involve its third parties in
the prevention or mitigation of adverse impacts on human rights
that their activities, products or services could cause or contribute
to causing or to which they are directly linked. Eni’s suppliers are
subject to a contractual obligation to comply with the principles
stated in the applicable national and international regulations
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and instruments, in the guidelines and best practices that aim
to prevent violations of Human Rights, including the UNGPs,
the OECD Guidelines and the ILO Declaration on Fundamental
Principles and Rights at Work, as well as the Code of Ethics and
Supplier Code of Conduct150. This code, inspired by the principles
expressed in the Code of Ethics, in the Anti-Corruption MSG and
in the
Policy ECG Respect for Human Rights in Eni, describes
requirements and expectations all suppliers are required to
comply, with a view to continuous improvement of their activities
and performance. The Supplier Code of Conduct represents a
pact that guides and characterizes relations with suppliers based
on the principles of social responsibility. Its adoption commits
the supplier to operate with integrity, safeguarding its people and
promoting the adoption of these principles also in its supply chain.
The document contains provisions relating to health and safety,
child labour, and irregular labour, trafficking in human beings,
forms of modern slavery, fair working conditions, trade union
freedoms. As mentioned in the chapter
Human rights for Eni,
the company is committed to make reporting tools available to
its stakeholders, including its suppliers and their employees, as
expressed in the Supplier Code of Conduct, and expects suppliers
to make available to the workers and communities with whom
they interact in the interest of Eni, their remedy mechanisms, being
available also anonymously, or to refer to Eni channels if they do
not have their own channels. Finally, Eni’s Position on Conflict
Minerals reiterates that the company pursues the objective of
reducing the risks of human rights violations, including indirect
ones, in relation to the extraction, production and supply of certain
minerals in conflict areas of Central Africa subject to the influence
of illegal armed groups.
TARGETS AND COMMITMENTS
Eni’s targets relating to respect for the human rights of workers in the
value chain are part of the broader objectives of ESG assessment of
suppliers and their engagement in achieving a fair and sustainable
transition, detailed in section Business Conduct, while for safety
and health issues, please refer to the Health & Safety section.
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs)
Although Eni’s activities contribute to increase the employment
rate throughout its value chain, they may also be associated with
negative impacts affecting stakeholders such as contractors,
suppliers’ workers and business partners. In fact, the complexity of
the group’s activities causes the involvement151 of a large number
(150) The Supplier Code of Conduct is aligned with the ILO Declaration on Fundamental Principles and Rights at Work.
(151) For further information on how impacts related to workers in the value chain are taken into account in the definition of the company’s strategy and business model, see chapter
Stakeholder engagement.
(152) Including, for example, those involved in logistics, distribution, and sales activities.
(153) The geographical areas most at risk, identified with the specialist data provider (Maplecroft) are: Angola, China, Congo, Ghana, Indonesia, Iraq, Kenya, Libya, Nigeria, Pakistan,
Turkmenistan, Venezuela, Vietnam (source Maplecroft Q4-2024).
of suppliers and business partners of various nature and size, who
operate in Countries characterized by different socio-economic
and cultural contexts and in activities and sectors that can be
identified as at greater risk of human rights violations. In addition,
the presence of joint ventures or other business relationships in
certain Countries and contexts increases the likelihood of potential
impacts in terms of forced labor and modern slavery. Similarly,
impacts in terms of sexual harassment in the workplace are
more likely to occur in sectors where there is a significant male
presence and in remote locations. In addition, the outsourcing
of production-related activities can generate negative impacts in
terms of employment guarantees, wage adequacy, non-application
of collective agreements, obstacles to freedom of association and
union membership. The adoption of structured due diligence in the
management of relationships with suppliers is essential to prevent
and mitigate any negative impacts ( Actions taken on material
IROs). There are no generalized or systemic negative impacts
related to Eni’s procurement activities or commercial relationships,
therefore, such impacts – if they occur – may be related to
individual specific events. With regard to the positive impacts
related to relations with suppliers, see the
Business Conduct
chapter. No material risks or opportunities have been identified
(see
Materiality) at group level deriving from the impacts and
dependencies on workers in the value chain, net of the transversal
risk of Cyber Security explored in the Business Conduct chapter.
Types of workers in the value chain
In light of the composition of the value chain, the workers most
closely monitored by Eni exposed to potential impacts are
mainly: (i) those who work for Eni’s suppliers; these workers are
also involved in specific training and activities of awareness, in
particular for workers at Eni’s operating sites in relation to HSE
issues; Eni also verifies compliance with human rights on these
companies with a risk-based approach, analysing and classifying
suppliers according to a level of potential risk based on the Country
context and the activities carried out; (ii) those who work for the
Eni’s business partners152, also in JVs, who are also screened on
aspects related to respect for human rights and other issues such
as anti-corruption and transparency (see the Business Conduct
chapter). In certain high-risk geographical contexts, there are
workers who may be considered more vulnerable, such as migrant
workers, those working in remote areas or belonging to minority
groups, and that therefore, are exposed at potential risk of forced
labour, modern slavery or child labour153. In addition, according
to the risk-based model adopted, both industrial activities (such
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as maintenance, construction, assembly, logistics), and general
services (such as cleaning, catering and security) have been
classified as activities with a high risk of human rights violations.
On the basis of the potential impacts, monitoring and mitigation
measures are defined to allow proper management of the risk of
human rights violations (see Actions).
ENGAGEMENT OF THE WORKERS
IN THE VALUE CHAIN N
Workers engagement activities in the value chain take place
primarily with the supplier, as a legal entity, at every stage of
interaction with the counterparty, since the business qualification
phase and throughout the sourcing and contract execution
phases. These activities, coordinated by the central procurement
function, with the support of the business procurement units
and the requesting units, can be summarised in: (i) workshops
and training on human rights and other social issues; (ii)
safety-related workshops (see
Health & Safety); (iii) training
activities on sustainability and energy transition issues (see
Business Conduct); (iv) training activities on anti-corruption
issues (see
Business Conduct); (v) training activities on the
responsible management of the supply chain. The effectiveness
of engagement activities is assessed on the basis of periodic
assessments of suppliers’ positioning with respect to the
issues touched on through audits and verifications and with
the consequent monitoring of the implementation of the action
plans shared considering the gaps detected. With regard to the
companies considered to be most exposed to potential negative
impacts under the risk-based model (see
Actions taken on
material IROs), on-site audits, that include interviews, are carried
out with the workforce on aspects related to human rights and the
conduct of the company.
Whistleblowing mechanisms for workers in
the value chain and remediation processes
The model for monitoring potential impacts in the procurement
process allows to detect these aspects from the qualification
process to the contracts award and during their execution,
providing for improvement or remediation actions in the event of
actual impacts. The process of assessing the potential impacts on
Human Rights and identifying appropriate remedial measures is
consistent for all categories of stakeholders and is further detailed
in the Human Rights for Eni chapter, which also describes the
Grievance Mechanism and whistleblowing, which can be used in
the event of an alleged violation154 of the Code of Ethics, human
(154) For any cases of human rights violations, incidents and allocated resources, see the Human Rights chapter.
rights and safety and health arrangements. Eni prohibits and is
committed to prevent any retaliation against workers and other
stakeholders who have reported critical human rights concerns,
nor does it tolerate or facilitate threats, intimidation, retaliation
and attacks (physical or legal) against human rights defenders
and other stakeholders (see Business Conduct). Eni also expects
its suppliers to make available to workers and communities their
own whistleblowing and remediation mechanisms, which can
also be accessed anonymously.
ACTIONS TAKEN ON MATERIAL IROs
Eni’s commitment to involve the entire production system in a
sustainable path is translated into tangible solutions and in a
strategy characterized by market openness, by a collaborative
approach and by interest in people and innovation. The focus on
people means that the attention, particularly regarding respect
for human rights, is not only concentrated on direct contractual
relationships, but also extends to the workforce of sub-contractors
and potential suppliers. This approach is reflected in a procurement
process that provides: (i) the adoption by the Procurement function
of transparent, impartial, consistent and non-discriminatory
conduct in the selection of suppliers, in the evaluation of bids and
in the verification of the activities outlined in the contract, (ii) the
assessment of the respect for human rights of suppliers through the
application of a dedicated model. This model is applied throughout
all phases of the procurement process, from qualification to
contract execution, and provides for different controls and actions
performed by all the units involved in the business relationship with
the third party (central procurement function, procurement units
and contract management units).
The model allows suppliers to be subject to a continuous monitoring
process, in order to periodically evaluate the effectiveness of the
actions adopted and update the assessments relating to each
supplier. The model adopts a risk-based approach that allows
suppliers to be analyzed and classified according to a level of
potential risk of generating negative impacts based on: (i) the Country
risk of the supplier that assesses the probability of occurrence
of human rights violations, on the basis of information from data
providers (Maplecroft) and (ii) the risk of the activities carried out by
the supplier, assessed considering vulnerabilities related to specific
conditions, such as the use of labor, the level of training and skills
required by workers to perform their tasks, the use of manpower
agencies as well as the health, safety and environment risks. On the
basis of the risk mapped, the model provides for controls inspired by
international standards such as the SA8000 (the higher the risk of
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negative impact of the supplier, the more detailed the assessment
and the actions implemented) and the adoption of specific prevention
and mitigation measures, as well as monitoring plans aimed at
accompanying the supplier in the adoption and development of a
culture of respect for human rights. As part of human rights due
diligence, (non-material) management expenses related to the
functions and personnel involved are provided every year, as well as
costs for on-site audits carried out by third parties. In order to acquire
or maintain supplier status, all companies are required to sign the
Supplier Code of Conduct and, at contract award, specific clauses are
adopted to guarantee respect for human rights,155 providing, in some
cases, a clause to carry out checks by Eni at the supplier’s premises.
Due diligence checks are also conducted on the involvement of
the supplier in cases of human rights violations, regardless of
the level of risk associated, through the use of open sources and
periodic qualification checks, based on performance indicators,
documentary analysis or dedicated field audits and questionnaires,
depending on the level of risk, in order to minimize the probability
of violations. During the tender phase, minimum requirements on
human rights are requested and assessed, in particular in the case
of activities with a potential significant risk of negative impacts.
During the execution of the contract, Eni assesses and monitors
contractors and subcontractors through feedback and document
verifications with the aim of preventing impacts related to forms of
modern slavery or forced labour, child labour, wage discrimination,
contribution irregularities and other aspects related to the potential
negative impacts that may be generated on workers. In the event
of critical issues, improvement plans are defined with a focus on
respect for human rights with the request for the implementation
of specific actions and, in the event that the minimum requirements
of acceptability are not met, participation in tenders is inhibited; in
the most serious cases of non-compliance, the relationship with the
supplier is interrupted, and it is excluded from Eni’s vendors list. Eni,
with a view to continuous improvement, aims to further strengthen
its due diligence along all levels of the supply chain, consolidating
tools and methodologies to make the model increasingly accessible
and replicable by the suppliers with whom it collaborates. The
aim is to promote an even more incisive empowerment of direct
trading partners, encouraging them to systematically carry out due
diligence on their third parties and to actively monitor human rights
throughout the supply chain. At the same time, Eni is committed
to strengthening internal audits of subcontractors and all the
entities with which it has business relationships, with particular
attention to critical or high-risk contexts, adopting an even more
(155) Eni has prepared a series of standard clauses on respect for human rights to be included, on the basis of a risk-based approach, in the main Eni contract types and provides
business support for their negotiation. These clauses, which can be supplemented and adapted to the specific case, are classified according to the type of counterparty and contractual
case: (i) light (mainly referring to preliminary agreements and with public counterparties); (ii) medium (referring to commodity contracts, consultancy contracts and active supply
contracts); (iii) processed (referring to passive supply contracts or complex transactions such as M&A).
rigorous approach. This path aims to improve the ability to identify,
prevent and mitigate risks, strengthening transparency and shared
responsibility along the supply chain in the short and medium term.
Based on the model described above, more than 1,000 human
rights audits were carried out in 2024, both on documents and
on contractors and subcontractor’s sites, more than double the
number of audits performed in 2023. Suppliers that have shown
deficiencies have been limited from participating in Eni tenders and
a corrective action plan has been agreed with them to ensure respect
for human rights. In particular, during an audit on a supplier, a case
of discrimination at work was found in the pre-employment phase,
resulting in the supplier’s limited ability to partecipate in procurement
procedures, while sharing a remediation plan whose implementation
will be verified by Eni through on-site audits. These assessments
set out a path of improvement for suppliers showing gaps in this
area, encouraging constructive discussion and greater awareness of
the areas of intervention. In addition, through reporting through the
whistleblowing channel and following the ascertainment of certain
impacts on the working conditions of workers in the value chain
(overload in working hours), Eni took procedural and contractual
actions to avoid the relapse of non-compliant events.
Further initiatives and measures undertaken
Eni organises workshops, trainings and awareness-raising moments
where suppliers could discuss ESG issues with experts, including
those about the respect for human rights in the supply chain. Eni
also promotes knowledge of human rights safeguards through
employee training programs and workshops for professionals with
a role in the management of suppliers of foreign companies; in this
context, in 2024 the course “IPIECA: Online Labour Rights training”
was made available to colleagues that deal with procurement
in foreign companies and to the employees of their suppliers. In
addition, during 2024, as part of the Open-es initiative, together with
the involvement of suppliers in workshops dedicated to training and
raising awareness on the respect of human rights, an area dedicated
to measuring aspects relating to respect for human rights was made
available to Eni’s suppliers and all companies in the community.
Through an assessment, companies receive feedback on their
positioning and some useful ideas and suggestions on the actions to
be taken to improve. All actions taken are part of the broader support
to suppliers in fulfilling the various ESG requirements, providing tools
to support a sustainable development path and more generally the
competitiveness of their business (for actions and related metrics,
see the chapter, see Business Conduct).
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The commitment to the health and safety of
workers in the value chain
Eni requires its suppliers to identify and assess the risks relating to the
health and safety of its workers, providing appropriate prevention and
protection tools against behaviors that could harm people, assets and
the environment, periodically updating working methodologies and
using the best available technologies, for continuous improvement.
The full commitment of top management is required in managing
the health and safety of people, including workers’ training on this
subject and raising awareness about adopting safe working practices
and behaviors. Specifically, when activities are carried out at Eni
sites, suppliers are required to ensure cooperation with Eni and other
suppliers, for example, in the proactive application of good operational
practices, reporting of dangerous conditions/actions, investigation
and sharing of lessons learned from all accidental events. For
activities, metrics and measures to protect the safety and health of
workers in the supply chain, see the Health & Safety section.
The monitoring model for other business
partners
Eni’s general approach with partners is to ensure that the principles
included in its Code of Ethics are integrated into the legal framework
of the joint venture through the adoption of its own Code of Ethics. In
cases where its influence is limited, Eni has adopted formal rules to
ensure that the Code of the joint venture is fully aligned with Eni’s. In
addition to these contractual measures, there are training initiatives
dedicated to business partners to ensure the continuous dissemination
of the principles of the Code of Ethics. Moreover, contractual clauses
on compliance with the Code of Ethics are also included in agreements
with joint venture partners, including national oil companies. To integrate
human rights into the preliminary stages of business, Eni has introduced
a contractual clause, as an integral part of the so-called Sustainability
Golden Rules, to be negotiated and applied to joint venture agreements
and oil contracts with state authorities and government bodies; this
clause requires partners to fulfil their obligations in compliance with
key international human rights standards and in accordance with the
UN Guiding Principles on Business and Human Rights. In the event
of disagreement, Eni commits with its partners to identify potential
areas for discussion and agree on the final text. These Golden Rules
also provide for negotiating: (i) the inclusion of a commitment to
respect and promote human rights, in particular towards human
resources, procurement, HSE, security, local communities and for
access to remedies, leveraging this inclusion to obtain a mutual
obligation from the host Country; (ii) the commitment to promote the
organization of training and awareness campaigns on human rights
with the participation of local staff, suppliers and local communities.
In addition, human rights have been integrated into the due diligence
(156) For further references, see the The Regulatory system and Eni’s Reporting principles and criteria/Policies.
(157) For further information on the Policies in relation to the Due Diligence model and the related remedy measures, see Human rights for Eni.
checks preceding M&A transactions, investment transactions and the
negotiation of agreements with joint venture partners. In the event that
warnings emerge from business partners regarding human rights, Eni
takes appropriate measures towards the partner. Before setting up a
joint venture agreement, an M&A transaction or a sale or purchase of
exploration titles, an analysis is conducted on the potential partner to
verify, through open-source controls, the existence of critical human
rights issues related to these counterparties. 100% of oil & gas business
partners were checked according to this procedure. In addition, an
annual assessment of compliance with the human rights clause in the
Joint Operating Agreements and oil contracts is carried out, in order
to identify cases of full, partial or non-implementation and to possibly
highlight areas of improvement.
LOCAL COMMUNITIES
POLICIES156
Eni’s commitment to local communities is included in the
Code of
Ethics, in which it is reaffirmed the support, including through strategic
alliances with internationally recognized partners, as well as the
adoption of security measures aimed at protecting people and assets in
compliance with human rights. The ECG Policy Respect for Human
Rights in Eni deepens respect for the rights of individuals and local
communities, with particular reference to biodiversity, environmental
protection, safeguarding so-called “culturally sensitive” areas, the right to
ownership and use of land and natural resources, the right to water and
the highest achievable level of physical and mental health. No form of
Land Grabbing is tolerated and particular attention is paid to the rights of
Vulnerable Groups with a focus on minors, national or ethnic, religious and
linguistic minorities, people with disabilities, migrant workers and their
families. Respect for the rights of women and girls in the communities
is reaffirmed, ensuring their effective engagement during all activities,
and for indigenous peoples with particular reference to their cultures,
lifestyles, institutions, ties with the land of origin and development
models, in line with international standards. The policy also explores,
the ways in which communities can be involved through preventive, free
and informed consultations, with particular attention to the presence of
Vulnerable Groups. The commitment to avoid communities relocations
is also underlined. In case the relocation cannot be avoided, there will
be consultations in order to define joint agreements, guaranteeing local
communities a fair compensation and the improvement of their living
conditions, also providing for special complaint mechanisms157. The
Policy also includes a specific commitment to respect human rights in
the context of security activities, aimed at protecting people and assets
from any threat from third parties that could cause direct or indirect
damage. These activities are conducted through the implementation
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of a security risk management system in compliance with the highest
international standards, such as the Voluntary Principles on Security and
Human Rights, and taking into account the needs of the Countries in
which it operates. Within the internal regulatory framework, the model
for supporting local development is defined and regulated, divided
into various sub-processes: understanding the context, integrating
sustainability and health into the business, knowledge of needs, of
expectations and development of initiatives, monitoring, evaluation
and reporting. In addition, the commitment and operating methods for
health impact assessments and community health projects are defined.
TARGETS AND COMMITMENTS158
The targets and commitments for local communities are connected
to the principles outline in the Policies and, they are defined, with a
(158) The targets, except for those relating to access to electricity, economic development and protection of the environment and biodiversity, were updated during the year both due to
expansion of geographical areas and/or to make the targets more challenging.
bottom-up approach by aggregating individual initiatives based on
specific indicators for each sector of intervention, in line with the
SDGs. Monitoring takes place internally on a quarterly basis, tracking
progress in the Stakeholder Management System platform and the
results are published in Eni’s sustainability reporting, also at local
level. Performance evaluations are carried out both at mid-term and
at the end of the cycle to identify best practices and lessons learned,
involving the main stakeholders also through information sessions in
which the results are disseminated. The targets below are divided by
Eni’s priority areas of intervention. Specifically, for the main sectors
of intervention (education, energy, economic diversification, water
and life on land), targets were defined with the direct engagement of
stakeholders, whereas for activities related to the objective concerning
health services, the local health authorities were involved.
Target
Target
year
2024 performance(a)
Base year and
reference value
Notes
(scope, methodology,
evidence)
19.5M People supported in access tosustainable energy through the
distribution of improved cooking systems (clean cooking)
2030
About 1,2M
People supported
2023
275K People supported
Applicable to all Business Lines
315,000 New students supported in access to education (primary, secondary
and tertiary)
2030
100K People supported
2023
40K People supported
Applicable to all Business Lines
85,600 People who have access to sustainable energy (electricity)
2030
7K People supported
2023
51K People supported
Applicable to all Business Lines
21,000 Farmers and entrepreneurs supported in access to economic
development
2030
4,8K People supported
2023
15K People supported
Applicable to all Business Lines
790,000 People supported in access to drinking water (including awareness
campaigns)
2030
113K People supported
2023
62K People supported
Applicable to all Business Lines
2.3M People supported in access to health services
2030
820K People supported
2023
330K People supported
Applicable to all Business Lines
85,000 people involved in environmental and biodiversity protection activities
2030
6,1K People supported
2023
17K People supported
Applicable to all Business Lines
(a) 2024 performances are in line with or above the targets set for 2024.
MATERIAL IMPACTS, RISKS
AND OPPORTUNITIES (IROs)
Sustainability is embedded in all Eni’s business activities, from the early
stages of the project and throughout its life cycle, to decommissioning
activities. This supports the commitment to the Just Transition by
anticipating the needs of communities, also by reviewing operational
practices. The relevant communities are identified before starting
business activities where Eni is the operator (but also in some
joint ventures in which Eni has a significant role in managing local
stakeholders). These communities can also be identified outside the area
of influence, i.e. the scope of analysis of the impact studies conducted
in the preliminary stages of the business. This identification considers
the agreements with the host Country and the priorities outline in the
National Development Plans. Hydrocarbon exploration and production
activities by their nature can potentially generate negative impacts on
communities in terms of human rights; Eni is therefore committed to
monitoring these potential impacts through a structured due diligence
approach, as well as prevention, mitigation and management programs
and measures (see Human rights for Eni). These potential impacts
can include the impairment of the right to land (or water) due to the need
of land for business activities (exploration, extraction, infrastructures for
the transport and distribution of products), sometimes leading to the
need of temporarily or permanently relocating communities, as well as
limit access to certain natural resources or livelihoods. In certain cases,
these impacts could affect vulnerable communities or individuals such
as indigenous peoples, women, children or the elderly. In the event of
physical and/or economic displacement, Eni is committed to minize the
socio-economic impacts on their lives, limiting as much as possible the
loss of assets that would compromise sources of income or livelihoods.
Other potential impacts on the health of communities may be linked to a
potential greater difficulty in accessing health services during the plant’s
construction, given the increase in the number of people in the area,
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or the potential greater spread of infectious diseases, such as malaria,
or sexually transmissible diseases. In addition, the prevalence of male
workers in the sector can imply the risk of gender-based violence and
harassment, particularly for those projects that involve a large influx of
workers belonging to different communities. Finally, in fragile or conflict-
affected contexts, some security forces measures can potentially
lead to human rights violations, such as discrimination, harassment,
violations of freedom, or violence against local communities, individuals
or Human Rights Defenders. With regards to the material risks159 related
to the communities these are: (i) process safety and asset integrity,
linked to the occurrence of major accidents; (ii) blowout, relating to the
occurrence of an uncontrolled flow of hydrocarbons from inside the
well, with potential consequences for neighboring communities; (iii)
potential negative perception of Eni by stakeholders in the area which
may have negative effects on business operations. The continuous
comparison and engagement with local stakeholders and the
collaboration with civil society organizations and institutions makes it
possible to properly monitor risks and, seize the opportunity to access
new business activities in synergy with the territory: in fact, the Alliances
for development are one of the five levers of the Business Model. Eni
aims to reduce energy poverty in these Countries in which it operates
through the by development of infrastructures related to traditional
business but also through new forms of energy. The company is
committed to generate value in the long-term by transferring its know-
how and skills to local partners (following the so-called “Dual Flag”
approach). This is achieved through the activation of local supply chains
to increase the level of competitiveness of companies, involving local
labor and the transfer of skills and knowledge as well as development
programs for the economy’s growth and diversification of the economy.
Starting from the analysis of the local socio-economic context, also
based on the global Multidimensional Poverty Index160, Eni adopts tools
and methodologies to identify potential impacts, negative and positive,
direct and indirect, also in relation to human rights, from the early
stages of the project, with a view to preventing and mitigating them in
new business activities and promoting development. To this end, Eni, in
addition to the mandatory requirements for environmental authorization
in the Countries where it operates, develops Environmental Social and
Health Impact Assessments (ESHIA) and Health Impact Assessments
(HIA). These assessments ensure compliance with recognized
international standards161, and guarantee stakeholders engagement to
protect their interests, identify critical issues, assess potential impacts
and implement any mitigation measures. In 2024, Eni, with the aim
of assessing the potential impacts on the communities involved,
concluded 11 studies, 5 of which were integrated into the ESHIAs in
Oman, Mozambique, the United Arab Emirates, Cyprus and Vietnam
and 6 specific health studies, including a health impact assessment for
the Livorno Biorefinery. The communities which are potentially subject
(159) For further information on treatment actions and interaction with the strategy, see Integrated Risk Management.
(160) The Global Multidimensional Poverty Index, developed in 2010 by UNDP’s Human Development Report Office, is an international measure of acute poverty, covering more than 100
developing Countries and integrating traditional measures of monetary poverty with three other key dimensions: health, education and living standards.
(161) Such as UNGPs, OECD Guidelines, IFC Performance Standard and the methodologies defined by IPIECA.
(162) For further information on stakeholder expectations and engagement, see the Stakeholder Engagement chapter.
to material impacts are both those located in Eni’s business areas and
those indicated by the governments of individual Countries, for example
those in offshore development areas (such as fishermen located in
area 1 in Mexico).Vulnerable groups such as children, women, national
and ethnic minorities, migrant workers and indigenous peoples are
monitored with particular attention, and indigenous people are subject
to specific investigations through inclusive consultations. In addition,
the commitment to prevent possible negative impacts on human rights
deriving from industrial projects, is realized through the application of a
risk-based model; this model uses contextual elements, such as the risk
indices of the data provider Verisk Maplecroft, and the project design
characteristics in order to classify business activities according to the
potential risk on human rights and identify appropriate management
measures. In-depth studies, “Human Rights Impact Assessment” (HRIA)
or “Human Rights Risk Analysis” (HRRA), are carried out for the highest
risk projects, in order to identify and assess the potential impacts
also through the engagement of rightsholders, as well as to define
recommendations to be translated into prevention and management
measures within Action Plans. With reference to local development
initiatives, Eni applies the Human Rights Based Approach (HRBA)
methodology, which recognises and aims to empower all beneficiaries
as rightholders simultaneously strengthening the capacity of States
and other duty holders to respect, protect and apply human rights. In
this context, Eni has also introduced an approach aimed at integrating
the gender perspective (gender-mainstreaming) into the various phases
of local development projects, with specific actions and tools to ensure
the identification of potential impacts, as well as maximising positive
impacts and preventing negative ones, also through specific training for
local sustainability teams.
Finally, in some Countries, such as for example Australia, Kenya,
Mozambique and Alaska, Eni operates in areas where there are
indigenous peoples or tribal groups for which it has adopted specific
policies or procedures to protect their rights, culture (cultural heritage is
studied to identify connections with Eni’s activities) and traditions and
to promote their prior, free and informed consultation. With reference
to the positive impacts in terms of local development projects, Eni
has defined an approach that is divided into 5 phases: (i) knowledge
of the socio-economic, health, environmental and cultural context of
the Country; (ii) engagement of stakeholders, through analysis of their
requests (and/or any grievances), understanding of local needs162
and expectations and strengthening mutual trust; (iii) analysis and
mitigation of the potential impacts of activities on the environment,
health and people, including human rights to identify critical issues,
opportunities and risks; (iv) definition and implementation of Local
Development Programmes consistent with the National Development
Plans, the 2030 Agenda and the analysis of local needs; (v) evaluation
and measurement of local development generated through the use
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of tools and methodologies, such as the Eni Local Content Evaluation
(ELCE)163 and the Logical Framework Approach (LFA).164 In this context,
the numerous collaborations with national and international institutions,
cooperation agencies and local stakeholders, foster an approach that
helps to identify the key interventions to determine the needs of the
communities, and contribute to their development; among, the main
collaborations launched and consolidated in 2024 are those with the
United Nations bodies (UNIDO, UNESCO, IOM, ILO), national cooperation
agencies (AICS and USAID), civil society bodies (ADPP, AVSI, Food Bank,
Doctors with Africa CUAMM, AISPO, Elsewedi Electric Foundation, IRC,
NCBA CLUSA, Oikos Institute and VIS), and the private sector (CNH
Industrial and Iveco Group, Giannina Gaslini Institute and San Donato
Group). With regard to local development projects, Eni has developed a
systemic approach to define priority areas of intervention, based on local
needs, also thanks to alliances with development cooperation actors;
These sectors are: (i) community health: vocational training activities,
infrastructural interventions (health facilities), awareness-raising and
health promotion actions in local communities and activities in support
of local health authorities; (ii) education: renovation or construction
of school buildings, distribution of materials, awareness campaigns
on school participation, vocational training programs; (iii) access to
water: construction of wells, treatment systems, upgrading of water
and distribution networks, supply of sanitation facilities, educational
programs, activities to support access to education for students in
primary, secondary, university and post-university schools and teacher
training; (iv) economic diversification: micro-entrepreneurship and
professional integration projects, entrepreneurial and vocational training
programs, mentoring and consulting for small businesses and startups;
(v) protection of the territory: support and awareness-raising activities
in waste management, replanting of trees, conservation of biodiversity,
awareness campaigns; (vi) access to energy: development of micro-grids
in rural areas, supply and installation of electrical components or solar
panels, construction of transmission lines and connection to the national
grid; support in access to improved cooking systems of good quality and
certified, and awareness-raising activities on energy efficiency.
COMMUNITY ENGAGEMENT
While operating in different socio-economic contexts, it is essential
to understand the expectations of stakeholders and share choices to
build relationships based on mutual trust, to detect actual, potential
or perceived impacts, and to identify the most effective ways of
engagement. Understanding the context, including the cultural
one, makes it possible to develop and promote adequate access
channels and to adopt the most relevant methods of dialogue,
information and management of any conflicts. The engagement
of local communities165 occurs through preliminary, free and
(163) Eni’s model, validated by the Polytechnic University of Milan, which makes it possible to quantify the impact of its activities on the Country of presence, measuring the impacts
generated, in terms of benefits brought to the economy, society and local communities, for the entire life of a project.
(164) Methodological approach used to plan, manage, monitor and evaluate initiatives or programs/projects, define the objectives and actions to be undertaken. The main component of
the LFA called the “Logframe Matrix” describes the logic of the operation, divided into objectives, results and actions, taking into account risks and external conditions that could penalize
the execution and outcomes of the planned interventions.
(165) For further information, see also the chapter on Stakeholder engagement and the ECG Policy Respect for Human Rights in Eni.
informed consultations, for which the responsibility is assigned to
the Managing Director at local level with the support of the central
Sustainability unit. In some contexts, specific figures are identified to
develop a constant relationship, also through periodic consultations
in the different phases of business activities.
Eni and its subsidiaries therefore carry out specific consultations
with local communities, including indigenous peoples and vulnerable
groups; in particular, in the event of economic or physical relocation
of communities, dedicated meetings are held in order to inform
the communities in a transparent and comprehensive manner,
with particular attention to the most vulnerable people. For each
new business development initiative, engagement occurs through
public hearings open to local communities (unless in contrast
with the Country’s regulations) and local representatives and in
any case ensuring the active participation of authorities (including
indigenous people) and local representatives to provide accurate
information on business developments and to include any feedback
throughout the project cycle. These consultations take place through
information sessions, focus groups, sharing of information and
reports throughout the project cycle, with periodic communications
on the progress of business projects and awareness campaigns
on health issues. Eni also identifies, where pertinent, the women’s
associations active in the territories in which it operates, in order
to involve them in consultations or propose collaborations.The
process of assessing potential human rights impacts and identifying
appropriate remedy measures is consistent across all categories
of stakeholders and is extensive, together with other human rights
reports and complaints (see Human Rights for Eni). Among the
various channels, Eni has defined and applies guiding principles for
“Grievance Mechanisms” management whose responsibility, at the
operational level, is placed on all the subsidiaries and the districts
who analyse and agree on the solution with the claimants (individuals
or communities). Any request or complaint received is managed
and monitored until closure through agreements with the parties
involved, providing a response even if they are not related to Eni’s
activities. Grievances can be transmitted through online channels,
including dedicated email addresses and institutional websites of
local companies, or physically at the administrative/operational
headquarters or through collection boxes located in areas where the
project is held. Eni prohibits and undertakes to prevent any retaliation
against workers and other stakeholders who have reported critical
issues, and, as indicated in the
ECG Policy Respect for Human
Rights in Eni, does not tolerate or encourage threats, intimidation,
retaliation and attacks (physical or legal) against human rights
defenders and other stakeholders in relation to its activities. Finally,
Eni is committed to collaborating with human rights defenders in
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order to create opportunities for engagement and discussion. All
grievances received, are analyzed and managed by subsidiaries and
are tracked in the Stakeholder Management System application,
which is the management tool for mapping the relationship with
stakeholders and are classified by topic and relevance, verifying the
percentage of those resolved. In addition, both the timeliness in the
management and the analysis of the trend of the issues are tracked,
in order to assess any repetitions and the evolution towards possible
disputes, and any critical issues of the relevant stakeholders in
order to adapt the engagement strategy. The confidentiality of the
content of the grievance is safeguarded in a manner that protects
the whistleblower and the identity of the persons reported, without
any prejudice. In order to ensure the effectiveness and robustness of
that mechanism, the arrangements for access by complainants shall
be assessed, in each context, including the linguistic implications
and whether assistance is needed in filing the grievance, the
arrangements for publicity of the mechanism and adequate
information on its functioning. In addition, once the motion for a
resolution has been approved, Eni communicates and discusses it
with the applicant, requesting observations or alternative solutions,
always ensuring that they are tracked and archived.
In the event of dissatisfaction, Eni examines the reasons and, where
necessary, activates the examination and response process, also with
the involvement of third parties. In the relevant Countries, Eni carries
out special reviews on the state of grievances every three months,
monitoring specific indicators; in order to increase confidence in the
mechanism, the following are evaluated: whether and how to make
the results of these indicators accessible to communities; the best
forms of communication; the growth of awareness and assistance
in compilation through periodic discussion with communities.
ACTIONS AND METRICS166
All processes and tools for identifying impacts, positive or negative,
include preventive and mitigation programs and actions or to remedy
them in the event that they become effective. For each Environmental
and Social Impact Assessment (ESHIA), an Environmental and Social
Management Plan is drawn up, which integrates elements related to
respect for human rights, describing the actions to mitigate these
impacts during the life cycle of the project and sharing it with the
authorities to monitor its progress. As regards the assessment of
health impacts, it is either integrated into the ESHIAs or is carried
out separately through HIA/VIA. In the event that potential health
impacts deriving from operational activities are identified, this
finding is disclosed to the identified stakeholders, in accordance with
the applicable local legislation. A Mitigation and Monitoring Plan is
therefore drawn up, to ensure that the significant impacts identified
(166) For the methodology and scope of consolidation, see the chapter Eni’s Reporting principles and Criteria.
(167) The activities discussed in this chapter are those managed directly by Eni, in the assets operated. Therefore, resettlement operations carried out for business projects in which Eni
holds a stake but which are managed by a third-party operator, such as the activities carried out in 2024 in Kazakhstan and in the Rovuma LNG project in Mozambique, are not dealt with.
(168) A multi-stakeholder initiative that brings together the main energy companies in the protection and promotion of human rights.
are adequately managed and the progress of activities is periodically
monitored. At the end of the projects’ implementation, compliance
with the documents, including environmental and social issues,
is verified and any deviations lead to the definition of corrective
actions. In 2024, the implementation of the Action Plans (available
on Eni website) relating to the HRIA/HRRA carried out in previous
years continued and their monitoring was ensured. The development
of projects related to the use of natural resources may require the
acquisition and/or use of areas from local communities. For all
individuals who have activities or reside in Eni’s areas of activity,
the adoption of fair, transparent and sustainable compensation
methods is guaranteed (by applying the IFC PS5 international
standard on involuntary resettlement) even when the standard of the
Country of presence does not allow compensation that can restore
the impacted communities (Project Affected People, PAP) in an
appropriate manner.
In this context, the main actions in 2024 were carried out in: (i)
Mozambique, in 2023, for the construction of a future bio-oil
production plant, based on the Country’s legislation, those PAPs
being potentially impacted by the relocation of their agricultural
activities have already been compensated, and the definition of
an additional compensation scheme for PAPs in line with IFC
international standards is under development; (ii) Congo, where
preliminary studies were launched for the minimization of impacts
on communities in the context of the development of infrastructure
of a new LNG project167. It is also specified that each action plan has
a monitoring plan followed by an intermediate and a final evaluation
to measure the effectiveness of the actions.
Security activities
Eni manages its security operations in compliance with the
international principles which are also included in the Voluntary
Principles on Security and Human Rights promoted by the Voluntary
Principles Initiative168 (VPI), and expects its Business Partners to
manage these activities, in collaboration with and/or in the interest
of Eni, in full respect of the human rights and fundamental freedoms
of individuals. Eni has been a “full member” of the VPI initiative
since 2022 and in 2024, it has conducted a series of actions aimed
at confirming its commitment and increasing the level of awareness
in the management of potential impacts on the communities in
which it operates, such as, for example, the application of the
Conflict Analysis Tool (a tool developed by VPI to analyze the
causes of conflicts in a given area/Country) in Mozambique,
through interviews at local level and developing an action plan for
mitigation actions. Since 2009, Eni has been promoting a training
programmes for public and private security personnel in those
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Countries where it operates in order to disseminate the corporate
best practices in line with international principles. In 2024, the
“Security & Human Rights” Workshop was held in Mozambique, in
Maputo, with the participation of senior Mozambican civilian and
military officials, as well as representatives of international
organizations and companies, and in Pemba, with specific training
sessions, including practical ones, involving both public security
operators and private security operators working at Eni sites. The
main objective was to promote human rights in security activities,
sharing the fundamental principles on the use of force and weapons
and preventing violence, with a focus on the protection of women.
Particular attention was given to respect for human dignity and
diversity, which are essential for the protection of company assets
in collaboration with local authorities. Overall, the workshop
involved over 200 participants, including 153 from public and
private security forces. In addition, during 2024, a project for the
implementation of training workshops on human rights for local
security forces was finalized, by the subsidiary’s Security Managers,
in order to increase the number of security forces trained, this took
place in addition to the traditional annual training course. The
project kick-off was carried out in 10 Countries having the highest
level of risk of human rights violations, as defined by Eni’s risk-
based model 2023: Congo, Tunisia, Mexico, Ivory Coast, Kenya,
Iraq, Nigeria, Libya, Algeria, Egypt; 716 people were involved,
including Public and Private Security Forces. The number of
Countries with armed guards protecting the sites is 9.
HUMAN RIGHTS SECURITY
Units of
measurement
2024
2023
Security personnel trained on human rights
(number)
869
170
Security personnel (professional area) trained on human rights
(%)
92
90
Security contracts containing clauses on human rights(a)
97
100
(a) The percentage change 2024 vs. 2023 refers to 3 contracts being updated to ensure the inclusion of specific clauses.
Local Development Projects of the year
and community engagement
Among the main projects carried out in 2024, there are initiatives
aimed at promoting: (i) access to energy in Côte d’Ivoire, Mozambique,
Congo and Angola through the distribution of improved cooking
systems and in Tunisia through the installation of photovoltaic panels;
(ii) economic diversification through support to sustainable agriculture
and/or fishing practices in Mexico, Egypt, Italy and Mozambique, and
local handicrafts in Côte d’Ivoire; (iii) access to primary and secondary
education in Mexico, Ghana, Mozambique and Iraq, and vocational
and tertiary training in Côte d’Ivoire, Egypt and Libya; (iv) access to
water through the construction and maintenance of water supply
systems in Egypt, Congo and Mozambique and the construction
of water treatment plants in Iraq; (v) the protection of the territory
through environmental awareness and planting activities in Italy,
Indonesia, Ghana and Mozambique. As part of its health development
projects, in 2024, initiatives were carried out by Eni in 13 Countries,
such as Angola, Côte d’Ivoire, Egypt and Mozambique, through the
strengthening of the skills of health personnel, the construction and
rehabilitation of health facilities and their equipment, information,
education and awareness of the populations involved on health
issues. In addition, Eni has carried out redevelopment of the health
system in Italy, with the aim of contributing to the strengthening and
resilience of local structures in Gela, Milan and Pavia. For the next four
years, Eni has allocated investments of over €362 million for local
development. Finally, during 2024, 61 grievances were received and 43
were resolved (of which 34 were received during 2024), which mainly
concerned: community relations management (the most recurrent
category), management of environmental aspects, land management
and supplier management.
LOCAL DEVELOPMENT INVESTMENTS AND GRIEVANCES(a)
Units of measurement
2024
2023
Local development investments by sector of intervention
(M€)
88.8
95.0
Access to energy
0.7
3.5
Economic diversification
46.0
35.2
Education and vocational training
25.4
26.1
Access to water and sanitation
0.9
2.2
Life on land
3.9
6.9
Health
7.1
10.7
Compensation and Resettlement(b)
4.8
10.4
Number of grievances
(number)
61
140
(a) The items in the table are included in Eni’s 2024 consolidated financial statements, in the item Note 14 “Intangible assets” and in Note 30 “Costs - Purchases, services and other charges”.
(b) The figure includes expenses for resettlement activities, which in 2024 amounted to €4.8 mln mainly related to non-operated assets (€4.6 mln in Mozambique for the Rovuma LNG project, €0.2 mln in Kazakhstan for the Berezkova
project) and €0.01 mln in Ghana.
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CLIENTS AND CONSUMERS
This chapter focuses on the B2C customers of Plenitude - Benefit
Corporation (Società benefit), and in particular on the more than 10
million retail customers to whom Eni offers energy, energy efficiency
solutions and sustainable mobility. This company has integrated
renewable electricity generation, energy sales and energy solutions
for households and businesses into its business model, as well
as an extensive network of proprietary charging points for electric
vehicles. The emphasis of this chapter is on these customers due to
the long-lasting contractual relationship they have, unlike Eni’s other
business lines.
POLICIES169
Eni’s commitment to the transparent management of relations with
customers and consumers is included in the Code of Ethics, which
recalls best practices and the principle of professional loyalty for its
commercial policies and strategic choices.
The Code also reiterates that business relations are focused on
the needs of the customer, always putting him in a position to be
able to choose freely and consciously. In the ECG Policy Respect
of Human Rights in Eni, the following process are described: the
integration of the Human Rights issue in all business lines and in
external relations with Third Parties (Human Rights Due Diligence
Model); complaint mechanisms and other reporting channels;
training initiatives for the function responsible for the processes
impacted by the Salient Human Rights Issue; as well as awareness-
raising initiatives dedicated to Third Parties. The ECG Privacy
and Data Protection Policy identifies the ways in which Plenitude
guarantees the protection of the personal data of customers and all
those with whom Eni establishes relationships in order to: guarantee
the correctness and transparency of the processing of personal
data and provide rules for data retention and the management of of
reports related to privacy topics from customers. In addition, Policy
(169) For further references, see The Regulatory system, and Eni’s Reporting principles and criteria/Policies.
ECG Consumer Protection & Green Claims: (i) reiterates the need
to comply with the rules and principles on consumer protection and
correct environmental and sustainability communication (Green
Claim and Sustainability Claim), reinforcing awareness of the impact
that actions, behaviors and omissions that violate the Consumer
Protection Legislation, can have on Eni; (ii) identifies the tools
aimed at preventing the risk of violation, even “unknowingly”, of the
Consumer Protection Legislation; (iii) disseminates the culture of
compliance in the field of consumer protection, helping to facilitate
the identification and reporting by Eni’s people of any actions/
conducts that may constitute a violation, in line with the company’s
regulatory instruments on the subject. Finally, the internal regulatory
framework defines procedures of the commercial process,
emphasizing compliance with all the rules put in place to protect fair
competition and respect for the right of consumers to receive clear,
truthful and complete information on the products and services
offered.
TARGETS AND COMMITMENTS
The defined targets, in line with the policies, are at the heart of
strategic choices and the desire to build commercial relationships
focused on customer needs, always putting them in a position to
be able to choose freely and consciously, also through correct
commercial communication. To this end, Plenitude is equipped
with an organizational function responsible for verifying compliance
with consumer protection legislation for all its business initiatives
and customer communications, with the aim of providing clear,
complete, truthful and non-misleading information.
Customer service performance is monitored on a monthly basis as
part of business reviews through specific KPIs, tracking alignment
with the defined target. Annual meetings are also organized with
national representatives of consumer associations, to present
business strategies and specific insights on issues of interest to end
consumers.
Target
Target
year
2024
Performance
Base year and relative
reference value
Notes
(scope, methodology, evidence)
33,000 installed proprietary EV Charging Points
2028
> 21,000
31/01/22: 6,500 points
Absolute target defined in line with the progressive expansion of the
electric mobility market in Italy and Europe, leveraging Plenitude’s
Retail business, partnerships, as well as synergies with Enilive. Scope:
e-mobility business area
3.5 times Net Promoter Score (Retail Italy) of 2018
2025
2.71 times
2018: N/A(a)
Relative target defined on the basis of customer experience
improvement forecasts thanks to the introduction of new technologies
and a customer service remuneration model increasingly focused on
the quality of the service provided to the customer; Scope: Retail Italy
90% New contracts signed digitally in Europe
2025
85%
2023: 80%
Absolute target defined on the basis of the plan for the progressive
digitization of contract subscriptions at physical sales channels and the
planned implementation of new digital acquisition channels. Scopee:
new electricity and gas supply contracts signed by B2C customers in
Italy, France, the Iberian Peninsula, Greece, Slovenia contracted digitally
(a) The reference value is not reported as it is market sensitive and not comparable between companies due to different methodologies.
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MATERIAL IMPACTS, RISKS
AND OPPORTUNITIES (IROs)
Material IROs and interaction with the
company’s strategy
Eni extends its range of action to end markets, marketing gas, electricity
and products to local markets and to retail and business customers,
to whom it also offers energy efficiency and sustainable mobility
services. Among these, the main material IROs linked to stakeholders
downstream of Eni’s value chain, refer to Plenitude customers, due to
the presence of a contractual relationship, which potentially, due to the
occurrence of accidental events, can have negative material impacts
related to unclear advertising campaigns or misleading or aggressive
business practices, that can mislead customers or make a purchase
decision that they would not have made otherwise. At the same time,
Eni’s offer of quality products and services in line with customer needs
can generate positive impacts in terms of satisfaction also thanks to
adequate listening and engagement channels. Particular attention is
therefore given to: innovation and digitalisation processes; integration
of ESG aspects along the value chain and customer satisfaction and
centrality, promoting a correct and transparent approach and the
offer of quality products and services, in line with their needs and in
support of the energy transition. This last aspect plays an important
role, not only because Eni wants to establish itself as a best practice
on the market, but also because of the correlation between customer
satisfaction and churn rate and with the rate of acquisition of new
customers, with obvious effects on the company’s performance.
Among customers, those most exposed to risks are identified also in
order to define initiatives to mitigate any impact that may arise from
specific incidents; for example, support is activated for those who are
financially vulnerable170. No material risks (see Materiality section)
have been identified at group level with regard to consumers171, net
of the transversal risk of Cyber Security detailed in the
Business
Conduct chapter. In line with the identified target (see the Targets and
commitments section of this chapter), the development of charging
points for electric vehicles172 represents a business opportunity for the
development of services to support sustainable mobility.
CUSTOMER ENGAGEMENT
Within Plenitude there is a team dedicated to studying the market and
listening to customers173, in order to identify their needs and areas
for improvement, consumption trends, socio-economic trends and
main concerns. Every year, multiple market surveys are carried out,
both qualitative and quantitative, through different channels (online,
telephone or personal), thanks to the support of research institutes or
(170) The definition of vulnerable customers also includes Electricity and Natural gas customers as defined by Regulatory Authority for Energy, Networks and the Environment (ARERA
- Autorità di Regolazione per Energia Reti e Ambiente).
(171) The analysis considers all risks arising from impacts and dependencies.
(172) This opportunity is explored in the Climate Change chapter.
(173) For further information on stakeholder expectations and engagement, see the Stakeholder Engagement chapter.
(174) For further information on the process of assessing the potential impacts on Human Rights and identifying appropriate remedial measures, consistent with all categories of
stakeholders, see the Human Rights for Eni chapter.
specialized companies active in Italy and abroad, in compliance with the
sector quality standards. During 2024, more than 70 research projects
were carried out, involving over 130,000 actual and potential customers,
and an initiative to listen to calls made to the toll-free number also
continued. Customer satisfaction (i.e. the percentage of customers who
express a rating of more than 7 out of a maximum of 10) in terms of
overall satisfaction with Plenitude as an energy supplier is continuously
monitored. To assess the effectiveness of engagement channels, other
specific KPIs are also monitored, such as the Net Promoter Score
(which measures the percentage of customers who would recommend
Plenitude as an operator) and the complaint rate. Dialogue and
continuous discussion with Consumer Associations is also promoted,
to continuously improve customer satisfaction and the quality of the
service offered. This dialogue takes place through dedicated channels,
such as, for example, the Joint Conciliation Protocol, an out-of-court
dispute resolution procedure between the Company and customers in
accordance with the Alternative Dispute Resolution method. Consumer
Associations are guaranteed the possibility of reporting potential service
failures and product malfunctions on behalf of customers through a
telephone service and an ad hoc web area. Finally, Plenitude actively
participates in meetings with the competent authorities and bodies, at
national and local level, in case of consultations and hearings, also on the
protection of vulnerable customers (see the Actions section for more
details). The operational responsibility for ensuring that involvement
takes place and that the results affect the company’s approach is held
by the Director of the Italian retail market, in collaboration with the
support functions.
Remediation processes and
whistleblowing channels
Plenitude handles complaints174 in accordance with the regulations of
the Regulatory Authority for Energy, Networks and the Environment
(ARERA - Autorità di Regolazione per Energia Reti e Ambiente).
Complaints are analyzed qualitatively and quantitatively to understand
customer issues and initiate corrective actions. Every three months,
the multidisciplinary Customer Protection Committee monitors
the quality indicators of the partners’ commercial performance and
defines the related action plans. For complaints against business
partners, specific sanctioning procedures are applied, such as
penalties for unsolicited activations and preliminary investigations
for contractual violations present in the mandate, assessed by
the Penalty Committee. Reports can be sent by customers, either
through remote channels (reserved area/app, chat, call center, postal
service), or through Italian Sign Language (chat and call center), or
through direct and indirect physical channels in the area. The channels
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available to customers are described on eniplenitude.com, bills and
commercial and contractual material. Regardless of the channel used,
Plenitude guarantees the receipt, analysis and processing of reports,
including anonymous ones, ensuring maximum confidentiality to
avoid retaliation175. Plenitude trains and informs its service providers,
including customer care and call center operators, sharing company
procedures and offering training sessions with quality monitoring
surveys. In addition, to ensure adherence to Plenitude’s standards
and expectations, checks are also carried out on call and customer
management, such as listening to sample calls with score and
feedback shared with the partner.
Complaints and requests for information are monitored daily
through a dedicated dashboard and managed by a team of internal
resources and specialized external suppliers. Control systems are
provided to verify the quality of practices and identify training gaps
and ideas for improvement. The Customer Feedback program uses
an ad hoc platform to deliver surveys, measure satisfaction KPIs and
interact with critical customers, integrating their suggestions into the
company system. The effectiveness of these tools is monitored in
line with the commercial quality standards established by ARERA.
Unanswered complaints, response times, motivations, as well as any
recurrences, are analyzed to understand the underlying causes of the
reports and complaints. Finally, the First Call Resolution indicator, i.e.
the percentage of reports that were resolved on the first call, and
Self-Care, the percentage of transactions carried out independently
by customers out of the total transactions requested, are monitored.
In regards to cases of human rights violations, no incidents relating
to the category of customers have been reported (see the Human
Rights for Eni chapter).
ACTIONS TAKEN ON MATERIAL IROs
Plenitude has provided for the implementation of several actions
to remedy the negative impacts it could have on customers and
consumers, the effectiveness of which is monitored through
operational indicators (Rate of unsolicited activations, complaint
index, NPS, etc.) on a monthly or weekly basis.
Actions in the event of disservice
In addition to the compensations already provided for by the sector
regulations, Plenitude has adopted internal procedures to mitigate
the effects on customers of any disservice due to the Company that
occur during the management of individual services (e.g. contractual
transactions such as switches, activations, terminations, product
changes) or the supply service (e.g. regular invoicing, payment
registration, etc.). These procedures provide, for example, for the
(175) For more information, please refer to page https://eniplenitude.com/info/segnalazioni-illeciti.
definition of compensations calculated considering the type and
duration of the disservice or refunds of costs incurred. Each case
is specifically evaluated and, where the conditions are met, is then
addressed with the client to identify a shared proposal, in order to
avoid the the issue from persisting.
Customer protection and fraud
management
Plenitude adopts an approach of customer protection, in case of
unfair commercial practices (even if only alleged) by assuming,
where possible, all the resulting charges. It has signed, with the
associations belonging to the National Council of Consumers and
Users, the protocol of unsolicited activations, to strengthen the
measures put in place to protect consumers and, more generally,
in relation company’s to conduct related to unfair commercial
practices. In addition, there is Joint Alternative Dispute Resolution,
an alternative resolution procedure that has the advantage of
offering a quick, simple and out-of-court solution to disputes
between consumers and businesses. Plenitude is also committed
to protecting its customers against any unfair commercial practices
by third parties, such as unsolicited activations. Following some
cases of disputed impacts on privacy in the context of teleselling and
telemarketing activities, Plenitude has prepared a remediation plan
to strengthen controls at its sales network and related adaptation
of systems, as well as measures to protect the personal data of its
customers. At a general level, in the data protection area, Plenitude
organizes the processing of personal data and the management
of confidential information using an interdisciplinary approach
to identify the best methods, in compliance with the principles
and requirements established by European Regulation 2016/679.
Furthermore, following some disputed impacts for unilateral
changes in price conditions and information gaps by the Portuguese
energy sector regulatory authority, Eni has actively collaborated
with the authority itself, reaching 35 out-of-court agreements with
persons affected by the disputed company’s conduct. In order to
ensure constant monitoring of the quality of the service, the trend
of activations of commodity and non-commodity contracts on the
systems is monitored, with particular focus on the failure to activate
them. The progress of the supply point activation contracts is subject
to reporting and any critical issues that may arise after the signing
of the customer’s contract is monitored, preventing the activation
to become effective. Finally, in relation to fraud attempts, Plenitude
has put in place numerous initiatives to support customers who are
victims of potential scams, providing them with some specific tools
for defending and verifying the identity of those who contact them,
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including: information reports of fraud attempts, a dedicated toll-free
number to handle reports related to suspicious call and a service
to verify that the number from which they are contacted is actually
attributable to a Plenitude operator. The latter, since its activation in
2020, has received more than 1,887 reports during 2024, of which
more than 99% resulted related to numbers not registered in the
Single Register of Call Center Operators and therefore in violation of
the law and potentially fraudulent.
Customer service and initiatives for
vulnerable customers
With regard to positive impacts, Eni has launched and completed in
2023 the introduction of a new Customer Relationship Management
(CRM) system, to improve the customer & user experience, reducing
the information required from customers, anticipating and automating
controls, and simplifying activities for operators. The update of the
Plenitude app has been completed to make all its features accessible
to blind and visually impaired people. For deaf customers, in addition
to chat, TELLIS, a customer service that allows you to communicate
through Italian Sign Language, with qualified interpreters connected
remotely, has been active since 2022. From internal analyses and on
the basis of the ministerial initiative, Eni has identified young people
among the financially vulnerable customers; indeed, Plenitude is listed
among the top 50 partner companies of the National Youth Card, an
initiative of the Department for Youth Policies and the Universal Civil
Service, which offers to young Europeans living in Italy between 18
and 35 years old, discounts on the supply of gas and electricity from
renewable sources covered by the Guarantee of Origin, a discount on
a pay-as-you-go recharge through the Plenitude On the Road app and
a promotion on boilers and air conditioners. In addition, following the
end of the gas protected market in December 2023, Plenitude has
designed an offer with the same characteristics of protection as the
previous one dedicated also to non-vulnerable customers, to ensure
in an initial period a level playing field for those who did not subscribe
to the free market offer. To manage significant customer impacts,
Plenitude has teams of expertise in the commercial department
(e.g. Customer Operations, Value Stream Customer Experience
Management) and in the legal department (e.g. Data Protection,
Corporate Liability Compliance and Ethic Code Values, Consumer
& Brand Identity Protection). Plenitude allocates specific budgets
to implement action plans related to customer management. To
this end, Plenitude defines specific OpEx (non-material) that include
different types of costs related to the customer’s management activity
(including Customer Contact, Back Office, CRM, Billing and Metering,
Credit Management).
The amount of future financial resources is defined and allocated
on the basis of the evolution of the customer base and related
support services and is not disclosed as it is not financially relevant/
confidential.
Customer engagement in the transition
As far as activities related to the efficient use of energy are
concerned, Plenitude is committed to accompanying the customer
towards energy awareness providing them with personalized advice
based on their behavior, within the web area and app reserved for
the customer, to raise awareness of their energy profile. In 2024,
a tool was also developed that allows the customer to estimate
the production of electricity from residential photovoltaics system
during the offer evaluation phase to calculate the potential savings
and provide a view of the potential self-consumption. The “Plenitude
Together” loyalty program (launched in December 2022), in addition
to building a lasting and valuable relationship for customers, offers
them useful initiatives to increase awareness and knowledge about
energy efficiency. The 2025 goal is to maintain a high participation
rate (more than 80%), continuing to involve them in the energy
transition path. In fact, in 2024, 87% of members interacted with the
program at least once and more than 200,0000 people deepened
their knowledge of energy efficiency (up to 27% compared to 2023).
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POLICIES176
Eni
Code of Ethics reaffirms the culture of responsibility, legality,
transparency, the commitment to act on all occasions with
correctness, integrity and equity, in compliance with contractual
commitments and the adoption by Eni of rules and controls to
prevent and combat the risk of corruption in the performance of
activities. The
Management System Guideline Anti-corruption,
publicly accessible, underlines the prohibition, without exception, of
all forms of corruption, active, passive, direct and indirect, in favor of
and by anyone (Eni Persons, third parties at risk and anyone acting
in the interest of Eni), defining the applicable mechanisms for the
prevention of corruption and money laundering, as well as the rules
for ascertaining the ethical and reputational reliability of potential
counterparties through the performance of preventive checks/anti-
corruption and anti-money laundering due diligence, the provision of
specific contractual clauses and/or declarations to third parties and
the promotion of training and awareness-raising initiatives for Eni’s
people and third parties.
The public document
Whistleblowing reports management
received by Eni SpA and by its Subsidiaries provides for the
adoption of a system to encourage the reporting of misconduct and
to guarantee the confidentiality of the identity of the whistleblower
(176) For further references, see the chapters The Regulatory system, and Eni’s Reporting principles and criteria/Policies.
and other protected parties, protecting them from retaliatory
consequences. Finally, the report
Eni’s responsible engagement
on climate change within business associations examines in depth
the positions on climate change issues that Eni considers essential
in the context of climate change advocacy. With regard to the
management of suppliers, please refer to ECG Policy Respect for
Human Rights in Eni and the Supplier Code of Conduct, described
in the section Workers in Eni’s value chain.
TARGETS AND COMMITMENTS
Eni, in line with its medium/long term sustainable supply chain
strategy, has defined specific targets for the supplier management
and sourcing process. These indicators are monitored periodically
and, consequently, corrective actions are defined/implemented.
In addition to the targets listed in the table, Eni has defined
commitments on business conduct aspects, shared with its
stakeholders, relating to the maintenance of ISO 37001:2016
and 37301:2021 certifications, the continuous improvement of
the Anti-corruption Compliance Program and the training on the
Anti-corruption Compliance Program for medium and high-risk
personnel.
Business conduct
Target
Target
year
2024 Performance
Base year
and relative
reference value
Notes
(scope, methodology, evidence)
Keep ESG assessments in procurement processes
for more than 90% of the Italian awarded
contracts
2025
Procurement processes
with ESG assessment for
94% of italian awarded
contracts
2023
85%
Relative target(a)
Boundary: purchasing procedures within the MSG Procurement Italy.
Procurement processes with ESG assessment for
over 90% of foreign awarded contracts
2026
Procurement processes
with ESG assessment for
65% of foreign awarded
contracts
2023
20%
Relative target(b)
Boundary: purchasing procedures within MSG Procurement foreign
subsidiaries
100% of strategic worldwide suppliers assessed
on the path to sustainable development by 2025
2025
80% of strategic suppliers
worldwide
2024
80%
Relative target (c)
Boundary: Eni’s strategic suppliers
90% of active contracts are awarded to suppliers
registered on Open-es, maintaining over 65% in
the intermediate years.
2027
New 2024 target(d)
2024
82%
Relative target(e)
Boundary: contracts within MSG Procurement Italy and foreign
subsidiaries
3,000 foreign local suppliers involved in Open-es
2026
2,600 foreign local
suppliers involved in
Open-es
2023
1,600
Absolute target(f)
Boundary: suppliers of foreign subsidiaries
(a) Ratio between the total value of awarded contracts in Italy subject to ESG assessment compared to the value of total awarded contracts in Italy.
(b) Ratio between the total value of foreign awarded contracts subject to ESG assessment compared to the value of total foreign awarded contracts.
(c) Ratio between the total number of strategic suppliers analysed on the basis of their ESG positioning and the total number of strategic suppliers (i.e. those industrial groups that hold 80% of the contract value in place with Eni).
(d) This target was updated in 2024 in view of the early achievement of a target set for 2025.
(e) Ratio between the total value of active contracts assigned to suppliers registered on Open-es and the total value of active contracts.
(f) It refers to the total number of foreign local suppliers managed by the subsidiaries and registered on Open-es.
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BUSINESS CONDUCT
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROs)
CONDUCT, BUSINESS CULTURE AND
CORRUPTION PREVENTION
Eni’s activities, which take place in many Countries, are subject to the
potential risk of incurring corruption in the business contexts in which
Eni operates, nationally and internationally. The corruption phenomenon
potentially is an obstacle to sustainable development and, at the same
time, may distort competition and undermine trust in the economic
system and institutions. The economic consequences can be
financial losses, reduced business competitiveness and a contraction
in investment. In addition, corruption can undermine economic
efficiency and the equitable distribution of resources, leading to slower
economic development. The occurrence of this phenomenon, also in
light of the strong reputational impact associated with it, may lead to
consequences not only on employees, but also on various categories
of stakeholders who have economic, contractual and institutional
relations with the Company. In order to prevent such potential impacts,
Eni adopts and implements, in Italy and abroad, the Anti-Corruption
Compliance Program, developed from a risk-based perspective, in line
with national and international regulations and with applicable best
practices and guidance, and has defined and implemented a structured
Compliance Risk Assessment and Monitoring process, detailed in
the following sections, aimed at identifying, assessing and tracking
corruption risks in the context of its business activities and guiding the
definition and updating of control controls. The commitment in this area
confirms the importance for Eni to carry out its business with loyalty,
fairness, transparency, honesty and integrity and in compliance with the
laws, regulations, similar mandatory norms, international standards and
guidelines, both national and foreign, to which the Company is subject.
TRANSPARENCY AND FAIR USE OF RESOURCES
Transparency is a corporate value for Eni which for this reason it is
committed to the voluntary disclosure of payments to governments
and to the fight against all forms of corruption, promoting the
responsible use of financial resources in line with Sustainable
Development Goal 16 of the United Nations 2030 Agenda. As part
of its business activities, Eni works closely with governments around
the world, which are often the recipients of important economic
transactions. Payments to governments, therefore, also represent
socio-economic support to States and their proper management
contributes to the prevention of potential corruption phenomena,
with possible negative repercussions also on communities.
INSTITUTIONAL ENGAGEMENT ACTIVITIES
As part of its partnerships and advocacy activities, Eni dialogues
with policymakers, national, European and international institutions,
advocacy organizations, trade organizations and confindustrial
associations, enhancing its commitment to the energy transition
path both with regard to traditional activities and with regard to new
businesses. In this context, Eni contributes with its experience as an
international energy company to the definition of policies and norms
aimed at promoting the transition to Net Zero, taking into account
the social, economic and environmental aspects of the realities in
which it operates.
CYBER SECURITY
Eni’s activities, as for many other companies in a digitally
interconnected and technological world, are exposed along the entire
value chain to the risk of potential cyber security incidents, which can
lead to the loss of data confidentiality as a result of the dissemination
of information of employees, customers or business partners and
to the detriment of the financial community, posing a threat to the
security and privacy of those involved. Similarly, the unavailability of
IT systems to support the provision of services to customers and
business partners could also have significant impacts on the latter.
Finally, the possible propagation of a cyber security incident to the
computer systems of Eni’s suppliers and partners could have serious
impacts on the latter.
ACTIONS TAKEN ON MATERIAL IROs
CONDUCT, BUSINESS CULTURE AND
CORRUPTION PREVENTION
Eni Code of Ethics – available on the website for all Stakeholders
–reaffirms integrity and transparency among the values that
characterise the commitment of Eni’s people and all third parties
working with the Company (see the chapter The Regulatory System).
The Code is also addressed to all third parties, such as suppliers,
commercial and industrial partners, from whom equally socially
responsible behavior is expected, supported by the development
of adequate programs and ethical safeguards. In the event of non-
meeting the expectations of the various stakeholders, appropriate
measures are taken. Eni strongly believes in the dissemination, at
all levels of the Company, of a culture oriented towards legality and
compliance with the rules, values of integrity and the principles of
conduct and control adopted by the Company and defines training
and information initiatives with respect to the needs identified for the
various population targets, through the Company intranet which is
used as a training channel (Enicampus) and dissemination (EticApp)
of ethical and compliance content to all Eni’s people.
The Anti-Corruption Compliance Program
Since 2009, Eni has adopted and implemented the Anti-Corruption
Compliance Program: a consistent system that is constantly
updated with rules, controls and organizational controls, in
compliance with current national and international regulations
and in line with applicable best practices and guidance, aimed at
preventing corruption and money laundering. At the regulatory level,
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the Anti-Corruption Compliance Program is represented by the
Anti-Corruption Management System Guideline and by detailed
regulatory tools for the regulation of risky activities and the definition
of control tools, which Eni makes available to its people to prevent
and combat the risk of corruption and money laundering (so-called
“Anti-Corruption Compliance Program”). Subsidiaries, in Italy and
abroad, must adopt, by resolution of their Board of Directors (or
equivalent body), the Anti-Corruption Regulatory Instruments issued
by Eni. In addition, companies in which a non-controlling stake is
held are encouraged to comply with the standards defined by Eni,
adopting and maintaining an internal control system in line with legal
requirements. Eni has set up a centralised organisational function
that provides specialist assistance in anti-corruption and anti-money
laundering matters to Eni SpA and its subsidiaries, with particular
reference to the assessment of the reliability of potential third
parties at risk (so-called “anti-corruption and anti-money laundering
due diligence”), in the management of any critical issues/red flags
and in the definition of related mitigation measures, including the
formulation of contractual compliance safeguards and, for the most
risky cases assessed on a case-by-case basis, in the request to the
counterparty to adopt an anti-corruption compliance program. In
2024, the Company or members of senior management were not
involved in any criminal proceedings that resulted in a final conviction
for violations of anti-corruption regulations (for further information
on the Group’s disputes, please refer to
Note 28 “Guarantees,
Commitments and Risks” of the Consolidated Financial Statements).
Eni has also adopted a structured process of Compliance risk
assessment and monitoring aimed at: i) identifying, assessing and
tracking corruption risks in the context of its business activities and
guiding the definition and updating of the control measures provided
for in the regulatory instruments; ii) periodically analyse the trend of
the corruption risks identified, through the performance of controls
and the analysis of risk indicators aimed at ensuring compliance
with regulatory requirements and the effectiveness of the monitoring
models; iii) contribute to the identification of Eni employees exposed
to the greatest risk of corruption by considering - in addition to the
drivers used in the methodology for the systematic segmentation
of Eni’s people for training purposes - also the degree of exposure
of the professional family to which they belong to the activities at
risk of corruption177. The risky activities identified by Eni, due to its
operational and organisational context, include, but are not limited
to: (i) contracts with third parties at risk of corruption and money
laundering (e.g. business associates, including intermediaries and
consultants, joint venture partners, brokers, counterparties in real
estate management transactions, operators of the commercial
network, suppliers, etc.); (ii) transactions for the purchase and sale
of shareholdings, companies and business units, mining rights
(177) The segmentation methodology, aimed at identifying the recipients of the various training initiatives, does not identify functions at risk but takes into account for each resource
the qualification, the professional family to which they belong (e.g. Procurement, Sales, CFO, etc.) and the relative exposure to activities at risk of corruption, as well as the Country risk
and the specific risk of the Company.
(178) On the role of the Board of Directors in relation to the ICRMS and business conduct issues, see the Governance section.
and securities, etc., and joint venture contracts; (iii) non-profit
initiatives, initiatives for the territory and initiatives for the health
of the communities, sponsorships; (iv) sale of goods and services,
trading and/or shipping operations; (v) selection, recruitment and
management of human resources; (vi) gifts and hospitality; (vii)
relations with relevant persons (including public administrations
and public officials). Compliance risk assessment and Compliance
Monitoring activities are planned annually on activities and functions
identified according to a risk-based approach, transversal to several
functions. Risk assessments are therefore carried out with reference
to the Compliance Areas and the related risk activities (or individual
components) on the basis of the relevant regulatory requirements
and from a risk-based perspective. As part of this assessment
process, aimed at determining exposure to corruption risk, various
risk indicators are considered, also relating to the business processes
affected by the identified risk activities. During 2024, the Compliance
Risk Assessment activities involved the anti-corruption area as a
whole, also pre-selling in-depth exercises for certain risky activities
including “purchase and sale of goods and supply of services”,
“purchase and sale of real estate”, “transactions for the purchase
and sale of exploratory mineral rights”. Compliance Monitoring
interventions, on the other hand, focused, in 2024, on “Joint
Ventures”, “Initiatives for the territory and initiatives for the health of
communities”. The results of both activities confirmed the expected
level of risk, the adequacy of the mitigation measures implemented
and the effectiveness of the compliance model adopted.
Training and communication activities
Eni strongly believes in the dissemination, at all levels of the
Company, of a culture oriented towards legality and compliance with
the rules, values of integrity and the principles of conduct and control
adopted by the Company and defines training and information
initiatives with respect to the needs identified for the various targets
of Eni personnel. The relevant activities within the Anti-Corruption
Compliance Program and the planning of these activities for
subsequent periods are the subject of an annual report, an integral
part of the Integrated Compliance Report towards the Management
and control bodies of Eni SpA178. In particular, on the occasion of the
meetings of the Board Committees, a series of in-depth sessions
were held open to the participation of all Directors and Statutory
Auditors, on issues of general interest concerning the business
model and strategies, the approach and sustainability model in areas
such as people’s health, human rights, transparency and the fight
against corruption (also on the occasion of participation in a session
of Eni’s “Anti-corruption Compliance Program”), the main innovations
regarding the corporate regulatory system, with a focus dedicated
to the innovations introduced in the framework of the internal
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control and risk management system, which is an integral part of the
corporate strategy. Eni personnel, in line with the provisions of the
regulatory instruments, must also be informed about the applicable
laws, the principles of the
Code of Ethics and other internal
regulations on the subject, in order to be aware of the various risks,
the consequences that may arise in the event of a violation of the
same, and the actions to be taken to combat corruption and money
laundering. In order to optimise the identification of the recipients
of the various training initiatives, a methodology is used for the
systematic segmentation of Eni’s people on the basis of the level
of corruption risk according to specific risk drivers such as Country,
role, qualification, professional family. Each employee is the recipient
of a specific training program corresponding to the level of risk of
corruption and detailed with respect to the needs of their role and
activities (anti-corruption training activities are aimed at covering
100% of the resources at risk)179 . The training program is divided into
online courses and classroom training such as general workshops
and “job specific training” intended for professional areas with a
specific risk of corruption. These courses provide an overview of
the anti-corruption and anti-money laundering laws applicable in
Eni, illustrated the tools for recognizing the areas of corruption and
money laundering risk and the related control checkpoints of Eni. In
addition, the methods of reporting, with respect to any suspected
or known violation of the anti-corruption and anti-money laundering
laws or the Anti-Corruption Compliance Program, are described.
In line with the principle of top level commitment, members of
Eni’s top management, directors/heads of business and CEOs (or
equivalent) of subsidiaries also participate in training activities; these
subjects usually introduce the anti-corruption workshop, underlining
its importance and the strong correlation that must exist between
compliance and business. In addition, a three-day training event is
planned for Chief Executive Officers (or equivalent) of subsidiaries
in Italy and abroad and their first line, with the aim of supporting
the development and consolidation of their top role. During these
events, compliance and risk mitigation issues are explored in depth,
including through role playing and discussion of complex cases,
with the involvement of the Integrated Compliance, Internal Audit
and Corporate Affairs and Governance functions. Among the main
training activities carried out in 2024, the provision of the online
course “Code of Ethics, Anti-Corruption and Corporate Administrative
Responsibility” aimed at Eni staff, in Italy and abroad, and the new
online course on the Anti-Corruption Compliance Program for
medium and high-risk personnel continued. In addition, during 2024
the Anti-Corruption and Anti-Money Laundering unit: (i) designed a
competitive classroom seminar to make the workshop experience
more interactive, (ii) held a general anti-corruption workshop aimed
at Eni’s M&A function which was also attended by some members
of the Board of Directors and the Board of Statutory Auditors of Eni
SpA; (iii) as part of agile training aimed at increasing the engagement
(179) In particular, high-risk resources are involved in ultra-specialized classroom training.
of participants, it has started the provision of a videogame on anti-
corruption matters.
Anti-corruption initiatives for Eni’s Value Chain
The Anti-Corruption MSG is shared with third parties at risk, through
the provision of specific contractual clauses and compliance
declarations, which include, among other things, the commitment
to read Eni’s
Code of Ethics,
Model 231 and
Anti-corruption
MSG, available on the Company website and to comply with its
principles; in addition, related training and awareness-raising
initiatives are promoted, depending on the circumstances. In the
qualification process of potential suppliers, described below, their
ethical-reputational profile is assessed and, for cases with a greater
risk of corruption, their adoption of an Anti-Corruption Compliance
Program. In any case, compliance clauses are defined in the
relevant contracts which include, in addition to the above-mentioned
commitments, also the provision of contractual remedies in the
event of violations and, in cases of greater risk, audit rights by Eni.
In addition, the subcontractor is also subject to preventive checks
to verify its reliability from an ethical-reputational point of view and
must operate exclusively on the basis of a written contract, which
contains compliance commitments equivalent to those provided for
the direct supplier. As part of the training initiatives for third parties,
in 2024 Eni organized some sessions for specific types of Enilive
counterparties (agents, LPG dealers and italian lubricant dealers)
and continued to provide an online course for high-risk suppliers.
The role of the Internal Audit department and related
actions
Eni’s Internal Audit function plays a primary role in ensuring
compliance with business conduct (including the management of
whistleblowing reports received concerning alleged violations).
More broadly, it is responsible for assessing and evaluating the
Internal Control and Risk Management System (ICRMS), ensuring
its overall effectiveness, adequacy, and operational soundness. In
order to provide specialistic support to the top management and
other managers of the company in relation to Eni Risk and Internal
Control Holistic framework, the audits are outlined within an Audit
Plan, defined according to criteria of materiality and coverage
of the main risks and approved, at least annually, by the Board of
Directors, subject to the opinion of the Control and Risk Committee,
after consulting with the Chairman of the Board of Directors, the
CEO and the Board of Statutory Auditors of Eni. In addition, the
Head of the Internal Audit function activates other audits not part
of the Audit Plan, based on requests from governing, control, and
supervisory bodies, as well as from top management. In 2024 the
anti-corruption checks, based on Anti-Corruption Compliance
Program’s provisions, have been performed in 26 Audits carried out
in 12 Countries, moreover 13 supervisory activities were carried out
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on the 231/Compliance Models of the Italian/foreign subsidiaries.
As in 2023, in 2024 the number of ascertained corruption cases
relating to Eni SpA amounted to 0 and, consequently, there were no
terminations related to these cases. For ongoing proceedings and
for the total number of significant cases of non-compliance with
laws and regulations (including any anti-competitive conduct and
violations of antitrust laws and monopolistic practices), see the
Legal Proceedings section. The appointment and termination of
the Head of the Internal Audit function are subject to governance
rules aimed at ensuring maximum independence. In fact, improving
the recommendations provided for by the Corporate Governance
Code, the manager is appointed by the Board of Directors, following
the opinion of the Control and Risk Commitee and the Nomination
Committee and after consulting the Board of Statutory Auditors, on
the proposal of the Chairman of the Board of Directors in agreement
with the CEO; the Head of internal audit function reports directly to
the Chairman, relating to the Board of Statutory Auditors, also as an
“Audit Committee” pursuant to US legislation.
Reporting and verification process in case of
violations of the Code of Ethics, anti-corruption rules
and other regulations
Since 2006, Eni has adopted internal regulations
Whistleblowing
reports management received by Eni SpA and by its Subsidiaries,
updated over time and most recently in March 2024, aligned with
national and international best practices as well as EU Directive
2019/1937, which governs the process of receiving, analyzing
and processing whistleblowing. The legislation, available on the
Company website and intranet together with a brief operational
guide, allows Eni’s people, as well as all those who operate or have
operated in Italy and abroad in the name of or on behalf or in the
interest of Eni, to report information on alleged violations acquired
in the context of work. To be considered a whistleblowing report, the
communication must be circumstantiated and be carried out with
a sufficient degree of detail to the competent business functions
to verify the validity or otherwise of the facts or circumstances
reported. The activities following the receipt of a whistleblowing
are guaranteed by a “Whistleblowing Team”180 which operates in
compliance with the principles of objectivity, competence and
professional diligence, also ensuring feedback to the whistleblower;
the Team, following a preliminary investigation, proceeds with
carrying out in-depth investigations, analyses and specific
assessments regarding the validity or otherwise of the reported
facts and to formulate any recommendations on the adoption of the
necessary corrective actions on the corporate areas and processes
concerned by the whistleblowing report. The Whistleblowing Team,
also by appointing one of the members and/or other Eni persons
identified by them within the relevant unit, ensures the preparation
(180) A dedicated service endowed with the requirements of competence, independence and absence of conflict of interest, formed by the heads of units of the following functions of
Eni SpA: integrated compliance, legal affairs, human resources and organization, internal audit and administration and financial reporting.
of the Quarterly Whistleblowing Report, which is examined by Eni’s
Board of Statutory Auditors. As a result of this examination, the
Report is sent to the Supervisory Bodies (for Italian subsidiaries)/
International Supervisory Bodies (for foreign subsidiaries) and to
the Board of Statutory Auditors of the companies concerned, if any,
each for its own competence. Statistical information relating to
cases handled in the last 5 years is also available on the Company
website. The functions involved in the management process,
including those relating to anti-corruption issues, ensure that the
necessary conditions of independence and absence of conflict of
interest are maintained, as well as the due objectivity, competence
and professional diligence, as set out in international standards, as
well as in Eni’s Code of Ethics and on Eni’s website. In order to
facilitate the receipt of whistleblowing reports, both in written and
oral form, using IT tool suitable for guaranteeing the confidentiality
of the identity of the whistleblower, as well as of the content of the
whistleblowing report, including the identity of the reported person, a
special platform is available, provided by an external provider, which
Reporting Parties are invited to use preferably. The platform, duly
publicised on Corporate websites and accessible at the link https://
whistleblowing.eni.com guarantees, in order to ensure proximity to
the whistleblower, the management of autonomous channels for
Eni SpA and for EU subsidiaries with more than 249 employees or
in other cases where this is necessary for the purpose of fulfilling
the obligations of the local legislation implementing Directive (EU)
2019/1937. Regardless the subject of the whistleblowing and the
Eni entity involved, everyone is always guaranteed the possibility to
submit whistleblowing reports, which will be managed in compliance
with and in application of Italian legislation, directly through the
Eni SpA channel. In addition, alternative tools for collecting the
whistleblowing report are also in place (e.g. dedicated mailboxes/
boxes and voicemail, managed through dedicated functions of the
platform) and set up by the individual subsidiaries where necessary
in relation to the circumstances of the specific case (e.g., difficulty in
accessing the internet, etc.).
The whistleblowing reports received during 2024 from its own
personnel and that of the value chain demonstrates awareness of the
dedicated tool. Eni’s people who receive a whistleblowing report and/
or who are involved, in any capacity, in the investigation and handling
of the same, are required to guarantee the highest confidentiality
about identity of the whistleblower, the persons involved and the
persons mentioned, as well as the related content and documentation,
in compliance with the “need to know” criterion, using, to this end,
criteria and methods of communication suitable for protecting the
identity, integrity and confidentiality of identification data (the so-
called “principle of confidentiality”). The identity of the whistleblower
and any other information from which that identity may be inferred,
directly or indirectly, cannot be disclosed, without the whistleblower’s
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express consent, except in the cases provided for by law. Eni’s people
are prohibited from adopting direct or indirect acts of retaliation
or discrimination against the whistleblower for reasons directly
or indirectly related to the report. In particular, the whistleblower
is protected from any act of retaliation or discrimination, direct or
indirect, for reasons connected, directly or indirectly, to the report.
No person within Eni may be fired, demoted, suspended, threatened,
harassed, discriminated against, in any way, or, in any case, subject
to retaliation for submitting a whistleblowing report. Any violation of
the prohibition of retaliatory and discriminatory conduct may result
in disciplinary proceedings being initiated against the individual
who engaged in such conduct and the adoption of appropriate
disciplinary/supportive measures for any parties involved. This is
without prejudice to the right of the whistleblower to inform the local
competent authorities, bodies or institutions of the retaliation they
believe they have suffered, in accordance with locally applicable laws
and regulations.
ENI’S LOBBYING ACTIVITIES
As part of its partnerships and advocacy activities, Eni dialogues with
policymakers both directly and indirectly through trade associations.
In 2024, Eni’s main engagement activities with national, international
and European institutions focused on: (i) participation in economic
promotion initiatives, meetings and round tables on issues related
to business and new businesses, geopolitical and energy scenarios,
sustainable development and new technologies; (ii) the representation
of Eni’s positioning on the energy transition and decarbonization at
public events and major international multilateral forums (e.g. B7,
B20, COP29); (iii) the engagement and dialogue with institutions,
including in the context of partnerships and memberships, with
think tanks, associations and international organizations regarding
the definition of policies and standards pertinent to their business
activities and in particular on energy and ecological transition,
innovation and sustainable mobility; (iv) the presentation of projects,
and the organization of visits by associations, institutional and
political delegations to industrial facilities, operational sites and
research centers. In particular, Eni participates in the definition of
strategies and regulations aimed at accelerating the transition to
Net Zero, supporting and sharing, in a clear and transparent manner,
its positioning on climate change and related strategy issues. Eni
recognizes the value of active participation in the work of business
associations to develop and share best practices and develop
advocacy positions aimed at promoting the energy transition and
in this regard, in 2024, it published the third edition of the report
assessing the alignment between Eni’s positioning and that of the
business associations in which the Company participates on issues
related to climate advocacy. Eni is also proactively committed to
directing the positions of each association, in particular associations
whose positions diverge from the Eni Principles on Climate Advocacy,
(181) REG number 99578067285-35.
towards an approach consistent with the need to act effectively to
cope with climate change. Eni’s principles on climate advocacy are:
1. Paris Agreement: Eni supports the objectives of the Agreement
and the policies they pursue in conjunction with the goal of
sustainability, energy security and protection of industrial
competitiveness on the path towards Net Zero by 2050.
2. Role of gas: Eni recognises the role of natural gas in the energy
transition and supports the implementation of specific regulations
for the reduction of methane emissions and routine flaring.
3. Carbon pricing: Eni supports the implementation of credible and
cost-efficient carbon pricing mechanisms.
4. Energy efficiency and low carbon technologies: Eni promotes
actions and policies to support energy efficiency and technologies
necessary for decarbonization such as renewables (both in the
form of electrons and molecules in the liquid/gaseous state),
CCS, Carbon Dioxide Removal, hydrogen.
5. Sustainable mobility: Eni supports the implementation of
complementary solutions for the decarbonization of transport,
such as sustainable biofuels and electric mobility, and policies
based on a technology-neutral approach that promote the most
mature and cost-efficient technologies.
6. Role of carbon credits: Eni supports the development of enabling
policies for investments in Nature and Technology Based
Solutions and the use of credits to offset hard-to-abate residual
emissions.
7. Transparency and disclosure: Eni supports the development of
best practices for transparent disclosure on climate actions and
climate advocacy.
The activities and commitments relating to Eni’s dialogue with
institutional stakeholders, including lobbying, are under the
responsibility of the Director of Public Affairs (reporting directly
to the CEO), who participates in the meetings of the Management
Committee and the Risk Committee, and regularly reports to the CEO
on the issues of competence.
Political contributions
Eni, as required by the Code of Ethics, does not use Company
resources for electoral contributions and political advocacy
activities or towards non-governmental organizations, except
for internal costs relating to the activities of the Public Affairs
Department, and any expenses towards third parties for
intermediary activities with the institutions of the European Union.
In addition, Eni does not make donations to political parties, but
supports a series of scientific, cultural and social initiatives
around the world: every request from these programs is subjected
to rigorous due diligence to ensure that Eni’s contribution is not
misused and/or misinterpreted. In addition, Eni is registered in
the EU Transparency Register181 and adheres to the relevant code
of conduct, which regulates its relationship with the institutions
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of the European Union. Through the
Register, Eni provides
extensive information on its activities, including the objectives of
the organization, membership of trade and business associations
and expenses related to the activities covered by the Register in
the previous year. In Italy, Eni is listed in the registers established at
the Ministry of Enterprise and Made in Italy (formerly the Ministry
of Economic Development) and at the Chamber of Deputies.
Expenses related to lobbying activities in Italy are reported in the
transparency register of the Ministry for Enterprise and Made in
Italy. The Chamber of Deputies publishes Annual Reports on the
activities of registered companies. In the United States, all activities
and expenses under the Lobbying Disclosure Act are reported on a
quarterly basis and are
available to the public. In addition, any
public position submitted to stakeholders and regulatory bodies
of the USG (e.g. SEC, BOEM - Bureau Ocean Energy Management)
shall be published on the relevant websites of such stakeholders
and regulatory bodies.
TAX STRATEGY AND TRANSPARENCY IN
PAYMENTS
Eni’s tax strategy, approved by the Board of Directors and available on
the Company’s website, is based on the principles of transparency,
honesty, fairness and good faith provided for in its Code of Ethics
and in the “OECD Guidelines for Multinational Enterprises” and
has as its primary objective the timely and correct payment of
tax obligations in the various Countries where Eni operates being
aware of contributing significantly to the tax revenues of the States,
supporting local economic and social development. The Company’s
Tax Strategy provides for the payment of taxes in the Countries where
operations take place according to local regulations and provisions
and rejects aggressive tax policy choices, including locating legal
entities in so-called tax havens. Eni has implemented the Tax Control
Framework for which the CFO is responsible, structured in a three-
phase business process: (i) tax risk assessment; (ii) identification
and establishment of controls to protect risks; (iii) verification of the
effectiveness of controls and related information flows (reporting).
The control framework together with processes and procedures have
been designed in such a way as to reduce the risk of violations with
significant financial or reputational impact (tax risk) to a relatively
low level. In 2024, Eni SpA and its subsidiaries were not involved
in tax litigations for violations of the law or tax fraud that resulted
in a final conviction. For more information on the status of the
Group’s tax litigation, please refer to the Notes of the consolidated
financial statements, Legal proceeding section; these disputes
relate to the technical interpretation of local tax rules, which are
often very complex, and are managed with a view to conciliation.
As part of the tax risk management and litigation activities, Eni
adopts prior dialogue with the tax authorities and the maintenance
of relationships based on transparency, dialogue and collaboration,
participating, where appropriate, in cooperation projects (co-
operative compliance) such as the collaborative compliance regime
in Italy. As evidence of the commitment to better governance and
transparency of the extractive sector, which is essential to promote
a responsible use of resources and prevent corruption, Eni has been
a member of the Extractive Industries Transparency Initiative (EITI)
since 2005. In this context, in 2023 Eni was appointed Alternate
Member of the Board of EITI, the main decision-making body of
the initiative. The Board decides priorities for the organization and
assesses Countries’ progress in meeting the EITI standard. The EITI
initiative provides for the compliance of precise expectations by the
companies participating in the initiative which, starting from 2021,
have also become a framework for evaluating these companies, to
identify good practices and opportunities for improvement. In 2024,
following the assessment carried out by EITI on compliance with the
“Expectations for EITI supporting companies” (which showed that
Eni fully meets 7 expectations and, partially, a further 2 out of a total
of 9) Eni responded to EITI’s follow-up request by communicating
the adoption of measures to strengthen the current disclosure, in
particular with respect to commodity trading, in order to be fully
compliant with all “Expectations”. Furthermore, at local level, Eni
actively participates in the initiatives promoted by EITI in 7 Countries,
both directly through the Multi Stakeholder Groups established in the
EITI member Countries, and indirectly through trade associations.
In accordance with Italian Law no. 208/2015, Eni draws up the
“Country-by-Country Report” (“CbCR”) envisaged by Action 13 of
the “Base erosion and profit shifting - BEPS” project, promoted by
the OECD with the sponsorship of the G-20, whose objective is
transparency on the profits of multinational companies for the benefit
of tax administrations and on the correlation between the tax base
declared in each jurisdiction and the soundness of the underlying
economic activity, providing information on the proportionality
between taxes and locally generated value. With a view to promoting
greater transparency in tax matters for the benefit of a wider range
of stakeholders, this report is subject to voluntary publication by
Eni; in 2024, EU Directive no. 2021/2101 was implemented in Italy,
which provides for the mandatory publication of certain elements
of the CbCR starting from the 2025 tax period. The publication of
this report has been recognized as a best practice by the EITI itself.
Also, in line with its support for EITI, Eni has published a position
on contractual transparency in which it encourages governments to
comply with the new standard on the publication of contracts and
expresses its support for the mechanisms and initiatives that will be
launched by Countries to promote transparency in this area.
CYBER SECURITY
The cyber security topic is material due to the fact that the Group’s
operations depend significantly on IT systems, including those of
third parties, which pervasively support all business processes.
These systems are exposed to the risk of malfunctions, viruses,
unauthorized access, theft of sensitive information that can
cause operational, economic and reputational damage (for more
information, see the section Risk factors and uncertainties).
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SUSTAINABLE SUPPLY
CHAIN MANAGEMENT
MATERIAL IMPACTS, RISKS AND
OPPORTUNITIES (IROS)
Eni’s procurement strategy is based on sharing values, commitments
and objectives with the supply chain, adopting a systemic and
inclusive approach. This approach aims to involve all levels of the
supply chain in a path of continuous improvement and sustainable
development, promoting principles of environmental and social
sustainability to raise awareness and foster more responsible
business practices. The positive impact deriving from this strategy is
reflected on the entire supply chain, improving its competitiveness,
and on Eni’s own activities. In an increasingly sustainability-oriented
industrial context, Eni strengthens its leadership role through the
Open-es initiative, a digital platform and system alliance, with the
aim of building a more resilient supply chain and supporting a
business ecosystem in line with the sustainable transition goals,
which represent a central pillar of Eni’s strategy.
ACTIONS TAKEN ON MATERIAL IROs
Eni’s sustainable supply chain management strategy is based
on the sharing of values, commitments and objectives with its
supply chain and is based on three pillars: a systemic and inclusive
approach, the development and enhancement of best practices
and sustainability pervasiveness in the procurement process.
The first aims to involve every level of the supply chain in a path
of improvement and sustainable development, sharing common
objectives and adopting a diversified model according to the
ESG maturity of companies. To involve the entire value chain, Eni
also promotes multi-stakeholder initiatives such as
Open-es,
launched by Eni with Boston Consulting Group and Google Cloud in
2021, in order to create a common initiative between the industrial,
financial and associative worlds to support companies in the path
of measurement and growth on ESG dimensions for the benefit
of the entire business system. To date, more than 30 partners
have joined it, including large industrial companies, financial
institutions and associations, and more than 28,000 companies
have registered (increase of more than 85% compared to 2023), of
which about 7,000 belong to the Eni Italian and foreign supply chain.
The development and enhancement of best practices consist of
supporting suppliers in fulfilling the various ESG requirements,
providing tools to support their sustainable development path and
more generally competitiveness. These initiatives consist, first
and foremost, in providing companies with tools for: (i) measuring
and improving the degree of ESG maturity through a path based
(182) Assessment carried out on the basis of information available from open sources and/or declared by the supplier and/or performance indicators and/or on-site audits, through at
least one of the following processes: reputational due diligence, qualification process, performance evaluation feedback on HSE or compliance areas, feedback process, assessment on
human rights issues (inspired by the SA8000 standard or similar).
on standard metrics aligned with the regulatory context and with
comparison with industry benchmarks, accessing customized
development plans and solutions offered by companies specialized
in the ESG field; free sustainability events and training programs
are periodically carried out; (ii) financial support through the
“Sustainable Supply Chain Finance” initiative, launched in 2023,
which allows its suppliers to request early payment of invoices
without impacting credit lines, to incentivize the improvement of
the Company’s ESG profile thanks to the synergy with the Open-es
platform. In 2024, advances of invoices were granted for a total
amount of about 90 million euros. Eni also offers its suppliers
products and services at favorable conditions, such as solutions
for energy efficiency and the use of HVOlution biofuel in transport;
(iii) enhancement of excellence, through the HSE & Sustainability
Supply Chain Award, in order to share best practices in ESG and
reward the most distinctive and innovative companies. In addition,
in 2024, Eni continued the “Inclusion Development Partnership”
launched in 2023, to create a more inclusive and diverse supplier
base and increase participation in the purchasing processes of
companies owned by individuals from underrepresented groups.
ESG pervasiveness in the procurement process is represented
by the integration of the principles of environmental protection,
social growth and economic development at every stage. With
this approach, Eni has adopted the “Sustainable Supply Chain
Framework”, a governance mechanism that combines corporate
objectives, legislative requirements, targets and specific action
plans that affect the procurement process and more generally the
supply chain. This framework consists in a transversal oversight
of the various dimensions of sustainability and with a focus on
priority ESG issues periodically identified on the basis of the
Company’s strategic plan and the evolution of The Regulatory
Framework. In particular, the transversal oversight includes: (i) the
signing by suppliers of the Supplier Code of Conduct as a mutual
commitment to recognize Eni’s values; all new suppliers are also
assessed according to social criteria182; (ii) recurring qualification
updates and due diligence in order to minimize risks along the
supply chain through the verification of the ESG positioning of
suppliers and of their ethical-reputational, economic-financial,
technical-operational reliability and the application of health,
safety, environment, governance, cyber security and human rights
safeguards; (iii) logic for awarding contracts also on the basis
of the ESG characteristics relevant to the contractual object; (iv)
periodic monitoring of compliance with commitments undertaken
and supplier behaviour through the management of performance
feedback; (v) sharing of improvement actions with the supplier, if
critical issues emerge at any stage of the relationship, and limitation/
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inhibition of participation in tenders, if the supplier does not meet
the minimum standards of acceptability envisaged. In addition to
the transversal oversight, also in 2024 in relation to some priority
ESG dimensions for Eni (such as climate change, supply chain
governance, human rights, dignity and equality, cyber security
and safety) dedicated checks and in-depth studies continued to
be carried out and specific minimum criteria were used for the
evaluation of offers, as well as dedicated standard clauses in
contracts. Particular attention was paid to the topics that turned out
to be materials in the value chain: (i) climate change; for the most
emitting suppliers, an engagement activity was launched to ensure
that they declared their Scope 1 and 2 emissions and to support
them and, more generally, the entire supply chain, a free and easy-to-
use tool developed with Accenture, dedicated to the quantification
of emissions at company level, was made available on the Open-
es platform; (ii) human rights of workers (see Workers in Eni’s
value chain); (iii) responsible management of the supply chain, an
assessment was conducted on suppliers characterized by complex
supply chains with frequent recourse to subcontracting, to analyze
the level of control of their supply chain, with the aim of making
the main players in Eni’s supply chain responsible for implementing
ESG due diligence in their supply chains. In cases where significant
deficiencies have emerged, improvement plans have been defined
and shared, and for particularly critical situations, participation in
Eni tenders for non-compliant companies have been limited. For the
implementation of Eni’s Sustainable Supply Chain strategy, specific
management expenses (non-material) related to the functions
and personnel involved are defined, as well as costs for on-site
audits carried out by third parties, are provided. Eni aims to further
strengthen the sustainable management of the supply chain,
at all levels, by providing tools that allow suppliers to adopt and
replicate the Eni model, while maintaining a systemic and inclusive
approach. The intention is to promote greater accountability of
direct business partners, especially the large players in the market,
encouraging them to carry out regular due diligence activities on
their third parties and to actively monitor environmental and social
sustainability issues along the entire supply chain. At the same
time, Eni is committed to intensify internal audits of subcontractors
and all the entities with which it has business relationships, with
particular attention to critical or high-risk contexts, adopting a
more rigorous approach. This path is aimed at improving the ability
to identify, prevent and mitigate risks, strengthening transparency
and shared responsibility along the supply chain, in the short and
medium-term.
KEY PERFORMANCE INDICATORS(a)
Units of measurement
2024
N° suppliers involved in awareness, measurement and collaboration initiatives on ESG topics
(number)
7,512
% of active contracts with suppliers involved in awareness, measurement and collaboration initiatives on ESG topics
(%)
70
% of the value of active contracts with suppliers involved in awareness, measurement and collaboration initiatives on ESG topics
82
(a) The data are only available for 2024, as new indicators monitored from this year.
SUPPLIER PAYMENT PRACTICES
In general, Eni manages supplier payments according to uniform
criteria and standardised procedures, without distinction of type,
size or geographical location. Eni183 provides, in its standards184, a
payment term to suppliers equal to 60 days in contracts entered
into under the private regime and 30 days for those falling within
the scope of the Public Contracts Code (Italian Legislative Decree
(183) In line with the approach based on transparency and fairness in the management of its suppliers, Eni SpA has adhered to the Italian Code for Responsible Payments that
Assolombarda established in 2014.
(184) Also valid for subsidiaries for which Eni SpA carries out procurement activities in a centralized manner.
(185) The individual contracts of Eni SpA and its subsidiaries adopt this term, with exceptions deriving from any regulatory provisions applicable to the contract or from specific business
needs.
36/2023)185. For the average payment times of Eni S.p.A.’s suppliers
and its Italian subsidiaries in 2024, see
Management Report/
Other Information. For the reporting period, there are no pending
legal proceedings in Italy against Eni SpA and its Italian subsidiaries
concerning late payments to their suppliers. For more information,
see Reporting Principles and Criteria.
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Reporting principles
and criteria
INTRODUCTION
Sustainability reporting is prepared on a consolidated group basis,
approved by the Board of Directors and subject to limited audit. The
Content Index details any following: (i) disclosures of qualitative
and quantitative information deriving from other legislation; (ii) entity-
specific indicators, as indicated by the ESRS principles, which are
inspired by the GRI Oil & Gas Sector standard and/or the draft EFRAG
O&G sector standard or indicators linked to strategic objectives; (iii)
disclosure of information contained in the Management report;
(iv) the use of any phase-ins. As regards the Minimum Disclosure
Requirements (MDR), those relating to policies are dealt with in the
Policies: Code of Ethics and Regulatory System; those relating
to actions and targets are explored in depth within the specific
chapters, while those relating to metrics within the
Metrics:
methodologies section. It should be noted that within the thematic
chapters reference is made to the word “target” if the ESRS criteria
are met, otherwise it refers to Entity-Specific commitments.185
Reporting boundary
Sustainability reporting has been prepared in accordance with the
European Sustainability Reporting Standards and the EFRAG IG 2 “value
chain” Implementation Guidance, which requires a reporting boundary
aligned with the financial one186 and, where required, this is appropriately
extended to the entities under its operational control187, as defined by
Annex II of the CSRD delegated act and the EFRAG Implementation
Guidance mentioned above. In particular, for the GHG emissions
indicators, the reporting boundary includes, in addition to subsidiaries,
also assets which, are reflected in the financial reporting, although not
controlled by Eni, and in particular: (i) joint operations, both contractual
and incorporated, whose assets are proportionally consolidated in Eni
consolidated financial statements; (ii) assets recognised against any
cash calls from companies that carry out the role of sole operator of
oil contracts (so-called operating companies); (iii) as well as the assets
recognised because of leasing contracts. For these non-controlled
entities, if not under operational control, emissions are recognised
limited to the share held; on the contrary, if the entity is operated, the
emission component referring to the interest held by third parties (not
consolidated) is also reported188. Other associates, joint ventures and
5b.ii.
(186) For Eni’s shareholdings, please refer to the section
Annex to the notes on consolidated financial statements as of December 31, 2024 of the Annexes to the notes to the
Consolidated Financial Statements of Eni SpA. In addition, references to corporate classifications (such as subsidiaries, consolidated line-by-line companies, joint operations, etc.) refer
to the IFRS and IAS definitions as described in the paragraph “Significant accounting policies, estimates and judgments” of the Notes of the Consolidated Financial Statement. 5b.ii.
(187) Among the most relevant criteria for identifying operational control are the existence of a contractual document, which recognizes Eni as the operator, the full authority to direct
operational activities and the full authority to introduce and implement operating policies, as well as to manage the company’s/site/asset relationships.
(188) Similarly, the emissions of jointly controlled companies (joint ventures) and associates are also reported at 100% when there is operational control.
(189) Data from non-operated entities have been collected from third-party operators of the specific assets using proper information flows.
relevant entities over which Eni SpA does not exercise operational
control are not included in the reporting boundaries, except for some
specific KPIs that require value chain information (such as Scope
3 emissions). In order to ensure comparability with the sector and to
show the progress towards strategic targets, the operational control
boundary and the equity boundary are also added to this view (see the
paragraph Metrics: methodologies). With regard to environmental
information, in order to ensure the comparability and quality of the
information required by the ESRS, for all topics E2, E3, E4 and E5, the
quantitative data are presented on the basis of the operational control
boundary189 and the share of environmental information related to non-
controlled entities operated by third parties is separately disclosed
(e.g. joint operation, both contractual and corporate). Regarding social
standards, the boundary of own workforce refers to Eni subsidiaries,
net of health and safety indicators that are reported according to the
operational control boundary in line with the best practices. As regards
the indicators relating to communities, data are related to those in which
Eni has operational control as well as to some joint ventures in which
Eni plays a significant role in the management of local stakeholders.
For further information on the individual KPIs, please see Metrics:
methodologies. In the case of business combinations that took place
during the reporting year, the information was reported only in relation
to the actual months of accrual and in the event of the sale/disposal of
companies during the year, the information is reported until the sale/
disposal date. In light of regulatory changes, reporting standards and
new reporting boundaries, the comparative data have been restated, as
far as reasonably feasible.
Basis for preparation
The quantitative information is identified after the materiality
assessment, is collected on an annual basis and refers to the period
2024 and, where already collected and published last year, the 2023
data has also been reported. In general, trends related to performance
indicators are calculated using also decimal numbers not reported
in this document. The figures for the year 2024 constitute the best
possible valuation with the data available at the time of preparation of
this report. When estimates are used, or different time horizons from
those of the ESRS, these are deepened in the Metrics: methodologies.
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The 2023 data relating to environmental aspects (including emissions
based on an operated boundary) have been restated to align with the
new criterion applied. Most quantitative information is automatically
collected and aggregated through an enterprise software and sent to
a dedicated platform for data tracking and approval. With regard to the
reporting period, no information on intellectual property, know-how or
classified as sensitive are omitted, except for the reference value of
the target relating to the Net Promoter Score. Furthermore, there are
no errors (and related corrections) to report compared to the previous
edition of the report. Where relevant, some information also relates to
the upstream and downstream value chain. This includes a materiality
assessment of impacts, risks and opportunities (IROs) along the value
chain ( Materiality assessment, management of impacts, risks and
opportunities). Any IRO with an effect on the value chain is indicated
both in the materiality section and in the reference disclosure of the
specific topic. When policies, targets, actions, or metrics also refer to
value chain actors, this is indicated in the reference section.
POLICIES: CODE OF ETHICS AND
REGULATORY SYSTEM
The
Code of Ethics, updated in 2020, expresses the corporate
values that characterise the commitment of Eni’s people and all third
parties working with the company: integrity, respect and protection of
human rights, transparency, promotion of development, operational
excellence, innovation, team work and collaboration. These values
support the company in defining the appropriate administration
and control structure, in adopting an effective internal control and
risk management system and in communicating with shareholders
and other stakeholders. Together with these values, the Code of
Ethics contains general principles and concrete rules of conduct,
which provide practical guidance in business operations, addressing
members of the corporate Bodies of Administration and Control and
employees of Eni and its subsidiaries, and all third parties, such as
suppliers, commercial and industrial partners (the document has
been drawn up taking into account their perspectives). The document
also underlines Eni’s commitment to respect Human Rights in its
activities and those of its business partners, in line with the United
Nations Guiding Principles on Business and Human Rights, the OECD
(190) In the case of engagement of external stakeholders, these are made explicit, where relevant.
(191) The Process Owner is responsible for the design and relative adequacy over time of the regulatory instruments under his or her responsibility. The ECG Process Owner approves
the application modalities of the ECG Policies and related Global Procedures, Company Procedures of Eni SpA and Professional Operating Instructions; the Process Owner approves the
process MSGs and related Global Procedures, Eni SpA Company Procedures and Professional Operating Instructions. The Process Owner evaluates the waiver requestsmade by the
subsidiaries. Where the role of Process Owner is assigned to more than one person, competent for processes/issues Ethics, Compliance & Governance, a Process Owner Committee is
established. The table below refers to Process Owners as responsible for the functions mentioned.
Guidelines for Multinational Enterprises as well as in compliance
with the Voluntary Principles on Security and Human Rights. Other
references considered are the SDGs and the Paris Pledge; for a
widespread understanding, the Code is disseminated and promoted
through various actions, including specific training and translation into
the languages of the Countries in which Eni operates. The updated
version of the document is available on the websites and intranets of
Eni SpA and its subsidiaries. The Code of Ethics was drawn up with
the involvement of management and was approved by the Board of
Directors of Eni SpA, on the proposal of the CEO in agreement with
the Chairman, after having heard the opinion of the Board of Statutory
Auditors and the Control and Risk Committee. The Code of Ethics
is a reference for The Regulatory System, the various elements of
which are referred to in the Policies section of the thematic chapters.
In particular, three basic types of documents are cited whose
characteristics190 are:
i. ECG (Ethics Compliance and Governance) Policy: these are public
documents (with the exception of the Policy ECG Privacy and Data
Protection), applicable to Eni SpA and its subsidiaries; and whose
“Fundamental Guidelines” are approved by the Board of Directors of
Eni SpA while the “Application Methods” are approved by the Process
Owner191, who is responsible for the design and its adequacy over
time, while the management and all Eni's people are required to
apply the regulations and implement initiatives to prevent and detect
irregularities and/or fraudulent acts. In addition, the Assurance
Providers (i.e. the 2nd and 3rd level of control corporate functions
as identified by the ENRICH - Eni Risk and Internal Control Holistic
framework - such as, for example, Integrated Compliance, Internal
Audit, Integrated Risk Management, etc.) support the Process
Owner both in the identification and assessment of the main risks,
and in the definition and implementation of adequate management
systems for these and to they monitor, on a competence basis, the
adequacy and operativeness of the controls put in place to monitor
the main risks.
ii. Public positioning: these are public corporate positions on
specific issues, proposed by the relevant Process Owners, with
the approval of the CEO or Board of Directors.
iii. Management System guidelines: these are documents that are
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part of the Regulatory System (of which the MSG “Anti-Corruption”
and the Annex “whistleblowing reports management received by Eni
SpA and by its Subsidiaries“ are public), applicable to Eni SpA and
its subsidiaries, whose approval is the responsibility of the Process
(192) With the exception of the “Anti-Corruption” MSG which is approved by the Board of Directors of Eni SpA and the Annex “ whistleblowing reports management received by Eni SpA
and by its Subsidiaries” approved by the Board of Statutory Auditors of Eni SpA as Audit Committee pursuant to SOA regulations.
Owner192, and drawn up through the engagement of all internal
stakeholders, in accordance with the aspects of competence.
The references of the regulatory documents and placements
cited in the Sustainability Statement are shown below:
POLICY AND INTERNAL REGULATORY FRAMEWORK
ECG Policy Respect for
Human Rights in Eni
(S1, S2, S3, S4, G1)
References: United Nations Guiding Principles on Business and Human Rights, International Labour Organization Guidelines, Universal Declaration of Human
Rights, United Nations (UN) and OECD Guidelines; principles of the UN Global Compact and the International Finance Corporation (IFC) Performance Principles
on Environmental and Social Sustainability, ILO Indigenous and Tribal Peoples Convention and UN Declaration on the Rights of Indigenous Peoples; Voluntary
Principles on Security and Human Rights and Basic Principles on the Use of Force and Firearms by Law Enforcement Officials of the UN.
Policy ECG Privacy
and data protection (S4)
References: Regulation (EU) 2016/679 on the protection of natural persons with regard to the processing of Personal Data and on the free movement of such
data; Legislative Decree 196/2003 “Privacy Code”; Guidelines 07/2020 on the concepts of controller and processor in the GDPR.
Policy ECG Consumer
Protection & Green Claims
(S4)
References: Directive 2005/29/EC concerning unfair commercial practices; Directive 2006/114/EC concerning misleading and comparative advertising; Directive
(EU) 2019/2161 for better enforcement and modernisation of EU consumer protection rules; European Commission’s proposal for a Directive of 22 March 2023,
so-called “Substantiating Green Claims".
Policy ECG
Diversity & Inclusion (S1)
References: UN Convention on the Rights of People with Disabilities, art. 27, 2006; UN Convention on the Elimination of All Forms of Discrimination against
Women (CEDAW) of 1979; Charter of Fundamental Rights of the European Union; Women's Empowerment Principles (and GenderBased Violence and
Harassment at Work Policy Template); Reference Practice UNI/PdR 125/2022.
Policy ECG
Zero Tolerance against
violence and harassment
in the workplace (S1)
References: International Labour Organization Convention no. 190 on the Elimination of Violence and Harassment in the Workplace, adopted in Geneva on
June 21, 2019 during the 108th session of the General Conference of the same Organization; Recommendation No. 206 on the Elimination of Violence and
Harassment in the Workplace; Law No. 4 of 15 January 2021 ratifying and implementing the International Labour Organization Convention No. 190 on the
Elimination of Violence and Harassment in the Workplace.
PUBLIC POSITIONS
Eni's positioning
on the water (E3
Applicable to all companies operated by Eni, approved by the CEO and responsibility of the HSEQ Process Owner for operational management; References:
Water Mandate, an initiative of the UN Secretariat, which Eni joined in 2019.
Eni's positioning on
Biodiversity and
ecosystem services (E4)
Applicable to all Eni operating sites and provided to contractors and where, applicable, to suppliers (upstream value chain) in all Countries and throughout
the projects lifecycle; Stakeholders consulted at corporate level and at site level for the drafting of the policy; References: Convention on Biological Diversity;
approved by the CEO and responsibility of the biodiversity Process Owner for general supervision and of the HSEQ Process Owner for operational management.
Eni’s No-Go Commitment (E4)
Applicable to the Oil and gas exploration and development activities; Approved by the CEO. References: UNESCO World Heritage List.
Eni's position on biomass (E4)
Applicable to Eni SpA and its subsidiaries approved by a technical table. Eni is committed to collaborate with stakeholders and experts to improve its knowledge
and ensure the implementation of the most advanced standards (with respect to the biomass used) within the company. References: 2030 targets of the Recast
of the RED Directive (Directive 2018/2001).
Eni’s responsible engagement
on climate change within
business associations (G1)
Applicable to Eni SpA and its subsidiaries; Approved by Top Management.
Eni's position on conflict
minerals (S2)
Applicable to Eni SpA and subsidiaries Responsibility of the Head of accounting and financial statements; References: Regulations of the Securities and
Exchange Commission (SEC) of the United States.
Supplier Code of Conduct
(S2, G1)
Applicable to Eni SpA and its subsidiaries; The responsibility for application is external to Eni, which supervises suppliers and carries out actions on those
suppliers who demonstrate conduct that differs from that provided for by the supplier code of conduct; References: United Nations Guiding Principles on
Business and Human Rights (UNGPs), the OECD Guidelines for Multinational Enterprises and the Voluntary Principles on Security & Human Rights; a cluster
of suppliers was involved for the drafting of the document.
MANAGEMENT SYSTEM GUIDELINE (MSG) AND ANNEXES
HSE and Annexes (E1, E2, E3,
E4, E5, S1)
Applicable to Eni SpA and its subsidiaries; HSEQ Process Owner; References: CEO Water Mandate (public-private initiative launched by the UN in 2007);
Aqueduct; ISO 14001:2015 standard; ISO 45001:2018; Directive 2008/98/EC; Legislative Decree 152/2006; Directive 2008/50/EC; Directive 2010/75/EC; UNI EN
13725 standard; 50001:2011.
Human Resources (S1)
Applicable to Eni SpA and its subsidiaries; HR Process Owner References: International Labour Organization - ILO Tripartite Declaration; Privacy and Data
Protection legislation
Commercial (S4)
Applicable to Eni SpA and its subsidiaries; Process Owner Gas Portfolio, Enilive Sales and Marketing, Versalis Business Unit, Retail Italian Market Plenitude.
Anti-Corruption (G1)
Applicable to Eni SpA and its subsidiaries; Process Owner Integrated Compliance; References: Italian anti-corruption law and anti-money laundering laws in
force in the Countries of activity (including the United Nations Convention against Corruption, the Organization for Economic Co-operation and Development
Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, the US Foreign Corrupt Practices Act, the UK Bribery Act and
Legislative Decree of June 8, 2001, no. 231) and the best guidances and best practices on anti-corruption management systems.
Whistleblowing reports
management received by Eni
SpA and by its Subsidiaries
(G1)
Applicable to Eni SpA and its subsidiaries; Process Owner Internal Audit; References: Directive (EU) 2019/19371 and its transposing laws, Sarbanes - Oxley Act
of 2002.
MSG Health (S1)
Applicable to Eni SpA and its subsidiaries; Process Owner HealthReferences: ISO 14001:2015 standard
MSG Procurement (S2, G1)
Applicable to Eni SpA and its subsidiaries; Process Owner Procurement;References: Anti-corruption and anti-money laundering laws in force in the Countries
of activity; Applicable national and international regulations and instruments, guidelines and best practices that aim to prevent violations in the field of Human
Rights (e.g. UNGPs, the OECD Guidelines and the ILO Declaration on Fundamental Principles and Rights at Work).
Responsible and Sustainable
enterprise (S3)
Applicable to Eni SpA and its subsidiaries; Process Owner Sustainability. References: International Bill of Human Rights; Declaration on Fundamental Principles
and Rights at Work of the International Labour Organization (ILO); specific Conventions particularly inherent to Eni's activities, such as: Core Human Rights
Treaties, or the subsequent international Treaties and related Protocols, as defined by the UN High Commissioner for Human Rights; OECD Guidelines for
Multinational Enterprises; IFC Performance Standard 1, 2, 5 and 7; ISO 26000 - Guide to Social Responsibility.
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ENERGY AND CLIMATE BOUNDARY
For the reporting of GHG emissions, the following reference boundaries are considered:
i. boundary that includes Eni SpA, its subsidiaries, the significant leasing contracts, the share held in joint operations (incorporated and unincorporated),
Operating companies (which have an accounting treatment similar to joint operations).
ii. an operated boundary, in line with industry practices, that includes Eni SpA, its subsidiaries, significant leasing contracts and considers 100% of the
data from operated joint operations (incorporated and unincorporated) and 100% of the data from operated joint ventures and Associates.
iii. an "entity specific" equity boundary, which includes Eni SpA and all subsidiaries, joint arrangements and associates (operated and non-operated)
accounted for its equity share. This boundary is used for the metrics underlying Eni's medium/long-term decarbonization targets.
Concerning energy data, the following are considered:
a. an operational control boundary, which includes Eni SpA, its subsidiaries, the relevant leasing contracts, 100% of the data from operated joint
operations (incorporated and unincorporated) and 100% of the data from operated joint venturess and associates;
b. an integration related to Eni share in non-operated joint operations and its share in operating companies.
In addition, there are some entity-specific indicators, connected to the strategy's targets, for which a boundary calculated in equity share of the upstream
production is applied, in line with international and industry standards (GHG Protocol and IPIECA); joint ventures and associates are also included,
according to equity share, in these indicators.
This boundary does not apply to the KPI of renewable installed capacity, calculated on an equity basis and which mainly refers to Plenitude.
As regards the data relating to carbon credits, the boundary is represented by the credits purchased by Eni SpA and its subsidiaries.
As regards the "patents and innovation" section, the data are reported considering Eni SpA and its subsidiaries consolidated on a line-by-line basis.
DATAPOINT
METHODOLOGY
CLIMATE CHANGE
Emissions
& Data Collection
Process
OPERATING BOUNDARIES AND ACCOUNTING METHODS: in line with regulatory references and with the main international
standards (WBCSD/WRI GHG Protocol Initiative Standard and industry best practices), GHG emissions are reported for all
relevant emission sources, considering the following gases: CO2, CH4, N2O [Other greenhouse gases (HFCs, PFCs, SF6, NF3),
based on the analysis conducted on the available data, are not considered significant (in line with the O&G sector), as they
weigh about 0.1% of the total GHG]. The conversion of emissions to CO2eq is carried out through the application of GWP – 100
years, reported in the 6th Assessment Report of the IPCC (AR6 – 29.8 for CH4, 273 for N2O). Emissions are classified into direct
(Scope 1), indirect Scope 2 (according to the location-based and market-based approach) and indirect Scope 3.
Data collection and reporting process, Quality Assurance/Quality Check and Internal Control System: Eni has implemented
a process for collecting, accounting and reporting GHG emissions based on the following elements:
• Specific procedures are applied for the collection of data in line with the Company's organisational structure, clearly iden-
tifying roles, responsibilities and reporting timing. Data is collected on a monthly/quarterly basis according to a bottom-up
approach: GHG operators of sites and facilities within operational boundaries enter the data into Eni's centralized information
system. Subsequently, this data is validated by the business lines and consolidated centrally, through Eni's internal rules and
procedures aimed at ensuring the accuracy and consistency of emissions data.
• Internal technical procedures have been implemented for the identification of material sources of GHG emissions and for
the identification of common methodologies for the calculation of GHG emissions at the bottom-up level. The measurement,
calculation and estimation methodologies are largely inspired by the WBCSD GHG PROTOCOL, IPIECA O&G Guidance and
API Compendium. With regard to the level of uncertainty associated with activity data (consumption) and emission factors,
appropriate measures are implemented, where possible, to minimise them, such as: (i) the application of regulated standards
and the use of accredited laboratories for the analysis of the characteristics of fuels in order to determine the emission
factors; (ii) the use of measuring instrumentation, calibrated and assessed periodically in accordance with international
standards, for the accounting of energy consumption (activity data).
• Centralized tools have been implemented to ensure a correct calculation of greenhouse gas emissions at the bottom-up
level. The information tools are managed centrally in line with Eni's ICT procedures and are subject to periodic verification by
third parties in order to ensure homogeneity in the calculation of emissions among all the companies included in the scope
of consolidation (minimizing the risk of error), and proper management of users that have access to the systems, in line with
the ICT procedures implemented by Eni.
• Additional QA/QC tools are also adopted to ensure the completeness and accuracy of the data. In particular: (i) the scope of
consolidation is subject to periodic review in order to verify the inclusion/exclusion criteria; (ii) periodic checks are carried out
on the significant deviations of the data compared to the previous reporting period and the causes are formalized; (iii) checks
are conducted relating to the interface between the various applications in which the data that contribute to the generation
of the GHG emission data are managed; (iv) periodic internal audits are planned at various levels, which also cover data on
GHG emissions.
The actions to support the verification of data quality are formalized as part of the internal control system which, in line with
what has already been implemented for the financial information, is also extended to non-financial information. Finally, the
robustness of accounting is guaranteed by the third-party certification processes on emission data.
Mt CO2eq. = mm tonnes CO2eq. = million tonnes of CO2 equivalent
kt CH4 = k tonnes CH4 = thousand tonnes of CO4
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Direct Scope 1
emissions
Scope 1 GHG emissions come from sources owned or controlled by the Eni Group, including: emissions associated with the
generation of electricity necessary for operations (including those related to the export of electricity to Eni sites outside the
reporting boundary), gas treatment and compression, and processing of petroleum products. Scope 1 GHG emissions are
classified into the following categories: (i) Combustion and process: GHG emissions from stationary combustion, mobile
sources, and industrial process operations; (ii) Flaring: GHG emissions from the controlled combustion of hydrocarbons
in flaring. This type of source includes emissions deriving from routine flaring, non-routine flaring and emergency flaring
(safety flaring); (iii) Venting: GHG emissions from venting in Oil and Gas exploration and production operations, electricity
generation and gas transportation (e.g.: amount of CO2 and CH4 contained within unburned gases discharged through
vent openings and reservoir CO2 associated with hydrocarbon extraction); (iv) Fugitive (CH4): Unintentional leaks in plants,
equipment such as pumps, valves, compressor seals, etc. The calculation of emissions derives from the measurement/
estimation of activity data (e.g.: fuel consumed, electricity, distance traveled). Based on their physical origin, the data are
taken from: (i) fuel meter records; (ii) utility bills, e.g. for electricity consumption; (iii) direct measurement (such as LDARs for
fugitive emissions); (iv) other methods used in some Eni sites and facilities. The emission factors used are calculated con-
sidering the chemical composition of the gas or are derived from literature sources. In particular: (i) for installations falling
within the scope of the Emissions Trading scheme, reference is made to EU-ETS Regulation 2018/2066: table of national
standard parameters for the year 2024, revised and published by the Ministry for Ecological Transition, applied to: natural
gas, LPG, refinery fuel gas, petroleum-derived gas, gas flare; (ii) for all other installations, the main literature references are
the IPCC guidelines and the API Compendium of Greenhouse Gas Emissions Methodologies for the Oil and Natural Gas
Industry 2009/2021 for CO2, CH4 and N2O. At Eni sites and facilities where an LDAR (Leak Detection and Repair Program) is
in place, fugitive CH4 emissions are estimated, reported and monitored through periodic measurements. Emission factors
are mainly derived from API or EPA standards (e.g. EPA Protocol No. 453) and emissions are expressed in tCO2eq./year. In
sites where the LDAR program is not yet in place, fugitive emissions are estimated from the census of components (valves,
flanges, etc.), or from the production of oil and gas, through standard emission factors (API Compendium). Biogenic Scope
1 CO2 emissions are reported separately; they amount to 0.22 and 0.27 MtCO2eq. in 2023 and 2024 respectively and refer to
biomass combustion and biomethane production processes in Eni installations.
The percentage of Scope 1 emissions covered by ETS schemes is calculated by considering Eni installations falling under
the EU/UK ETS and emissions from Eni installations in Kazakhstan and Australia (Countries where an ETS scheme is in
force).
Volumes of
hydrocarbons
sent to flaring
The indicator measures the volume of hydrocarbons sent to flare (flaring). In particular, a distinction is made between volumes
of total hydrocarbons sent to flaring and volumes sent to routine flaring in the Upstream sector, which includes routine activities
on wells, in gas/oil treatment plants, in compressor stations in case of excess gas.
Scope 2 indirect
emissions
This category includes GHG emissions from the generation of electricity, steam, heating and cooling, purchased from third par-
ties and consumed by Eni. Emissions are reported according to the following approaches:
• Location Based – an approach based on the average energy mix of the Country from which third-party electricity is purchased;
the reference source for Scope 2 emission factors from electricity purchases is the Emission Factors database, periodically
published by the IEA, which reports Country-specific factors;
• Market Based – an approach based on specific data relating to the supply of electricity taking into account the share of re-
newable electricity, the residual mix of the Country and contractual instruments in their own right or in combination with supply
contracts. Emissions associated with supplies from non-renewable sources, or not covered by guarantees of renewable origin,
are calculated by applying, where available, emission coefficients relating to the specific supply, the residual mix or, in the absen-
ce of such information, the energy mix of the reference Country. The main reference source for residual mix emission factors is
the AIB 2023 (Association of Issuing Bodies – European Residual Mixes) publication.
The emission factors used to calculate indirect emissions from steam purchases are derived from the API Compendium. Scope
2 biogenic CO2 emissions are not estimated as they are considered not significant.
Indirect Scope 3
emissions
This category includes GHG emissions related to Eni's value chain, which are not accounted for as Scope 1 or Scope 2 emissions.
Based on the WBCSD/WRI GHG Protocol, the Corporate value chain (Scope 3) accounting and reporting standard and the IPIECA
standard, indirect Scope 3 GHG emissions are classified into categories and reported on the basis of a significance analysis,
in relation to Eni's activities. For the Oil & Gas Sector, the only category considered significant (~93% of the total) is the one
related to the use of sold products (cat.11). For this category, emissions are estimated in accordance with the IPIECA (Net
Volume Accounting) criterion, using Upstream equity hydrocarbon production as an asset figure, and assuming that the entire
sold production of oil and natural gas is consumed during 2024. The calculation of emissions (through ISPRA emission factors)
includes assumptions regarding the final destination of the products sold. The figure is assumed to be entirely calculated on the
basis of data on primary activities (specifically data on sold production of hydrocarbons). The other categories are not reported
as they are considered non-significant (7% of total Scope 3 emissions, equal to 195 MtCO2eq., of which ~1.2% Cat.1, ~1.2%
Cat.10 and ~3% Cat.15). With regard to joint ventures, Associates, within or outside the value chain, only Scope 1 and 2 emissions
were considered.
Biogenic CO2 Scope 3 emissions are estimated at approximately 2 and 3.1 MtCO2eq. in 2023 and 2024 and refer to the combustion
of biofuels sold, and the combustion of biomethane injected into the grid, calculated on the basis of DEFRA factors.
Methane
intensity
Upstream methane emission intensity: calculated as the ratio of direct methane emissions expressed in m3 of CH4 and the
sold natural gas production of upstream assets.
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Other emission
indicators
Eni's Net Carbon Footprint: the indicator considers Scope 1 and 2 GHG emissions of the activities operated by Eni or third
parties, accounted for on an equity basis. The result is net of the use of high-quality carbon credits, mainly obtained from
Natural Climate Solutions (NCS).
Net Carbon Footprint Upstream: the indicator considers Scope 1 and 2 GHG emissions of the Upstream assets operated
by Eni and third parties, accounted for on an equity basis. The result is net of the use of high-quality carbon credits, mainly
obtained from NCS.
In 2024, the Global Warming Potential (GWP) coefficients for conversion to CO2 equivalent have been updated to the values
published by IPCC AR6. The time series has been consistently revised.
Lifecycle
Indicators
Net GHG lifecycle emissions: the indicator refers to absolute Scope 1+2+3 GHG emissions associated with the supply
chain of energy products sold by Eni, including both those deriving from its own production and those purchased from
third parties, accounted for on an equity basis. The result is net of the use of high-quality carbon credits, mainly obtained
from Natural Climate Solutions (NCS). Unlike Scope 3 (end-use) emissions, which Eni reports on the basis of Upstream
production, the Net GHG Lifecycle Emissions indicator has a much broader reference domain, representing Scope 1, 2 and
Scope 3 emissions referring to the entire supply chains of energy products sold by Eni, also including Scope 3 emissions
associated with gas purchased from third parties and petroleum products sold by Eni.
Net carbon Intensity: the indicator is calculated as the ratio between Net GHG Lifecycle Emissions and the energy content
of energy products sold by Eni, accounted for on an equity basis.
Installed
capacity from
renewables
The indicator measures the maximum capacity of electricity generation plants from renewable sources in Eni's share (wind,
solar, wave and any other non-fossil source deriving from natural resources, excluding nuclear energy). The capacity is
defined as installed when the plants are in operation or when the "mechanical completion" is reached, which represents the
final phase of construction of the plant with the exception of the connection to the grid.
Biorefining
Biorefining capacity: maximum authorized processing capacity at the Ecofining plant of each biorefinery.
Sold production of biofuels: the production of biorefineries is expressed in terms of HVO (Hydrotreated Vegetable Oil)
according to the definition provided in the reference regulations and includes all the fractions of HVO that can be produced:
diesel HVO, jet HVO, naphtha HVO and LPG HVO. For the classification of organic production, reference is made to the
dedicated articles/paragraphs of the EU renewable directives (Renewable Energy Directive and related ones), and national
transposition provisions (e.g. for Italy the implementing legislative decrees), for productions sold in Europe and to the EPA
(Environmental Protection Agency of the USA, including Renewable Fuel Standard Program) provisions for productions sold
in the United States.
Energy
production
from renewable
sources
Electricity produced by the exploitation of a renewable source (wind, solar, wave and any other non-fossil source deriving
from natural resources, excluding nuclear energy).
Carbon Credits
Certificates generated on a voluntary basis through an emission reduction or absorption/removal project. One carbon credit
is equivalent to 1 metric ton of CO2 equivalent. Eni uses high-quality carbon credits, certified according to the highest
international standards both for the climate change mitigation component (such as the Verified Carbon Standard - VCS) and
for the contribution to the achievement of the Sustainable Development Goals - SDGs (such as the Sustainable Development
Verified Impact Standard - SD VISta and Climate, Community and Biodiversity - CCB).
For Eni's net decarbonization targets, receivables from projects supported by Eni and receivables from Plenitude customers
(Eni's share) are considered. A portion of Plenitude customers'credits relate to gas consumption invoiced from October to
December of the reporting year is estimated and will instead be offsetted by October of the following year.
Energy
Energy consumed: Eni's energy consumption balance is calculated as follows: (i) each of the energy vector is converted
into TOE - (common unit of measurement) according to the appropriate conversion factors indicated at site/company
level; (ii) for each energy carrier, Eni's consumption is then calculated as the sum of the production and import values
from companies outside Eni's consolidation boundary, from which the export values to companies outside the Eni's
consolidation boundary are then subtracted (for the purposes of calculating the Eni energy balance, the consolidation
of the data takes place excluding internal exchanges between sites/companies of the group); (iii) the consumption of
all the individual energy vectors is converted into MWh and their sum represents Eni's energy balance. In particular, the
parameters considered are: (i) Total energy consumption (as the sum of Fossil energy consumption and Renewable
energy consumption); (ii) Fossil energy consumption is given by the sum of Fuel consumption from natural oil and
petroleum products, Fuel consumption from natural gases, Consumption of fuel from other fossil resources and
Consumption of electricity, heat, steam and cooling acquired or purchased from fossil sources; (iii) Renewable energy
consumption is given by the sum of Fuel consumption from renewable sources, including biomass, Consumption
of electricity, heat, steam and cooling acquired or purchased from renewable resources and Consumption of non-
combustible, self-produced renewable energy. The production of non-renewable energy is also represented, as the total
production of primary sources.
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POLLUTION
Air emissions
NOx: total direct emissions of nitrogen oxides due to combustion processes with air. Including NOx emissions from flaring, sulfur
recovery processes, FCC regeneration, etc., including NO and NO2 emissions, and excluding N2O. SOx: total direct emissions of
sulphur oxides, including SO2 and SO3 emissions. NMVOCs: total direct emissions of hydrocarbons, substituted hydrocarbons
and oxygenated hydrocarbons, which evaporate at room temperature. LPG is included and methane is excluded. PM: direct
emissions of finely divided solid or liquid material suspended in gaseous streams. Standard emission factors. The data for these
pollutants correspond to total emissions and not to those above the thresholds of the European E-PRTR regulation.
Other E-PRTR pollutants: refer to the values of additional pollutants that have exceeded the emission threshold indicated in
Annex II of Reg. 166/06 - EPRTR in at least 2 Eni sites in Europe, with data referring to 2023 only.
Reporting of emissions to air and water currently follows a combination of direct measurements, calculations and other
estimation methods, favoring the use of measured data where available, in particular for sources subject to direct monitoring.
For air emissions, which generally include conveyed emissions, governed by authorization requirements that require compliance
with Emission Limit Values and, consequently, monitoring according to the regulations and the EU BREF standard on monitoring.
Alternatively, emissions are estimated predominantly on the basis of fuel consumption data or fluxes sent for combustion,
using appropriate emission factors. For non-conveyed emissions, in particular for Non-Methane Volatile Organic Compounds,
estimates are derived from the results of leak detection and repair campaigns and the application of recognised algorithms, such
as those used for diffuse emissions estimation.
Emissions to
water
In relation to pollutants in water discharges, final discharges are subject to monitoring according to authorisation requirements
and derive from measurements carried out with certified sampling and analysis methods. With regard to contaminants emitted
into water, at each Eni site, there is a discharge sampling plan which, unless otherwise indicated by specific authorisations or
operational and control requirements, provides for analyses for significant and typical parameters for each discharge point,
carried out in compliance with existing regulations and methodologies or company guidelines.
Other E-PRTR pollutants: the values of additional pollutants that exceeded the applicable emission threshold indicated in
Annex II of Reg. 166/06 - EPRTR in at least 2 Eni sites are also reported, with data referring to 2023 only.
In line with the requirements of ESRS E2-4, the annual quantities of additional pollutants emitted respectively into the air and
into water from sites that have exceeded the applicable emission threshold indicated in Annex II of Reg. 166/06 - EPRTR are
reported.
Spill
Oil spill: spill from primary or secondary containment into the environment of oil or petroleum derivatives from refining or
petroleum waste occurring during operational activity or as a result of acts of sabotage, theft and vandalism. For oil spills from
sabotage, the timing of the closure of some investigations and subsequent recording of the data may be extended due to the
duration of the investigations themselves. The volumes spilled are estimated, by Eni's various operating entities, using specific
calculation models and according to the operating parameters monitored. It should be noted that the events reported in this
document are only those that have resulted in spills greater than 1 barrel.
Chemical spill: Spillage of a process or service chemical product that is hazardous to humans or the environment, including
drilling fluids or NADFs, excluding crude oil products or refining derivatives and petroleum waste, occurring during normal
operating activities. The volumes spilled are estimated by Eni's various operating entities using specific calculation models and
according to the operating parameters monitored.
WATER RESOURCES
Water
Total water withdrawals: sum of seawater, fresh water (from surface water, aqueduct and subsoil), brackish water, industrial
water from third parties, including steam and condensate, rainwater used in the industrial cycle, from GTP (groundwater treatment
plant) and any other water flow entering the site and used in the industrial cycle.
Total water consumption: difference between incoming and outgoing water, attributable to evaporation, water associated with
products and treatments (e.g. sludge from water treatment plants) and uncontrolled leaks (e.g. leaks from the distribution
network). In addition to the water withdrawn, unused rainwater and any other incoming water flow, even if not used in the industrial
cycle, contribute to the flows entering the site. At the exit from the site, both water discharges through sewerage, treatment plant,
tanker truck or any other method whose final recipient is the environment, and flows destined to third party users, such as demi/
industrial water or steam, are counted. Wastewater destined to evaporative basins or discharged into deep geological formations
contributes to consumption.
Total water discharges: sum of seawater discharged and fresh water discharged or sold to third parties. Direct measurement
using flow meters; calculation as the sum of discharges to all the different destinations.
Recycled or reused fresh water: water that has already been used for industrial use for the first time, reused one or more times
in the production cycle/industrial site before discharge, after any treatment. The quantity indicated takes into account both the
volumes used and the number of times this quantity is used.
Percentage of fresh water recycled or reused: percentage of fresh water recycled or reused compared to the sum of fresh water
recycled or reused and fresh water withdrawn.
Reinjected production water: formation or stratum water associated with the extracted oil and produced with it (onshore and
offshore), re-injected (EOR) or injected for disposal purposes.
Mm3 = mmcm
ENVIRONMENTAL BOUNDARY
For information related to the other environmental standards (E2, E3, E4, E5), the following boundaries apply: (i) an operational control boundary, which
includes Eni SpA, its subsidiaries, the relevant leasing contracts, 100% of the data from the operated joint operations (incorporated and unincorporated)
and 100% of the data from operated joint ventures and associates; (ii) an integration relating to Eni share in non-operated joint operations and its share
in the operating companies. The expenses (CapEx and OpEx) reported for all environmental data refer to Eni operated boundary.
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Type of water
Seawater: water with a total dissolved solids (TDS) content greater than or equal to 30,000 mg/l.
Brackish water: water with a maximum total dissolved solids (TDS) content between 2,000 mg/l and 30,000 mg/l.
Fresh water: water with a maximum total dissolved solids (TDS) content of 2,000 mg/l.
Water from GTP: represents the share of polluted groundwater treated and reused in the production cycle.
The estimation of volumes is carried out by direct measurement using flowmeters; other approaches involve estimating the
capacity of the pumps and operating time (e.g. for seawater) or volumes are estimated on the basis of billed consumption. It
is specified that this stream is included in the calculation of fresh water withdrawals when present.
BIODIVERSITY
Overlapping area
Number of sites overlapping with protected areas and Key Biodiversity Areas (KBAs): operational sites in Italy and abroad,
which are located within (even partially) the boundaries of one or more protected areas or KBAs (at the end of the year).
Number of sites "adjacent" to protected areas and Key Biodiversity Areas (KBAs): operation sites in Italy and abroad that,
although located outside the boundaries of protected areas or KBAs, are less than 1 km away (at the end of the year).
Number of Upstream concessions "overlapping" with protected areas and Key Biodiversity Areas (KBAs): active national
and international operated concessions, under development or in production, overlapping one or more protected areas
or KBAs, where development/production operations (wells, sealines, pipelines and onshore and offshore installations, as
documented in the Company GIS geodatabase) are located within the intersection zone.
Number of Upstream concessions "adjacent" to protected areas or Key Biodiversity Areas (KBAs): active national and
international operated concessions, under development or in production, overlapping one or more protected areas or
KBAs, where development/production operations (wells, sealines, pipelines and onshore and offshore installations, as
documented in the company's GIS geodatabase) are located outside the intersection zone.
Sources: World Database on Protected Areas WDPA, World Database of Key Biodiversity Areas WDKBA, data available
through UNEP-WCMC (UN Environment Programme - World Conservation Monitoring Center) Proteus Partnership
membership. Limitations to be considered: (i) at the global level there is an overlap between the different databases of
protected areas and KBAs, potentially leading to duplication in the analysis; (ii) although databases of protected or priority
areas are updated, they may not be complete for every Country.
Area (hectares) of
site/concession
To calculate the area of a site and its overlap with protected areas, the geographical data (the site and concession
boundaries of interest) and the layers of the protected areas from official sources (WDPA, WDKBA) are imported in
vector format (e.g. shapefile). It is then ensured that all the data are in the same spatial reference system. The site
area is calculated (in hectares) using the GIS geometry functions. To determine the overlap with the protected areas,
an intersection of the layers is made, measuring the overlapping area (in hectares) and, if relevant, expressing it as a
percentage of the total site area.
RESOURCE USE AND CIRCULAR ECONOMY
Total waste
Sum of Waste: sum of Waste from production activities and Waste from remediation activities, with:
• waste from production activities: includes all waste deriving from activities related to production activities. This includes
waste from drilling activities and construction sites, waste from the maintenance of plants, buildings and areas used
to carry out production activities. Waste deriving from reclamation activities or in any case not related to production
activities is excluded.
• waste from remediation activities: these include those from soil safety and remediation activities, demolitions and
groundwater classified as waste.
• non-recycled waste: the sum of those sent to landfill, incineration or other disposal.
• hazardous waste: classified according to local legislation and, where not available, on the basis of the references of the
Basel Convention and by the European Commission Decision 2000/532/EC of May 3, 2000.
The method of waste disposal is communicated to Eni by the person authorised for the activity. The weight of the waste
produced and delivered can be measured or estimated, depending on the case; the difference between the waste produced
and that sent for recovery/disposal can derive both from a change in the quantities in storage and from the fact that the
weight of the waste produced must often be estimated, while that of the waste delivered can be more frequently detected
at the exit of the site or at the destination plant.
Recycled/recovered waste is defined as waste that is not intended for disposal.
The disclosure of recovery, divided between preparation for reuse, recycling and other recovery, is not available because
the legal documents show the first operation to which the waste is subjected, which generally does not unequivocally
relate to the aforementioned categories. Any detail would therefore be the result of estimates and strong approximations
of poor quality.
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HUMAN RIGHTS FOR ENI
Severe Human
Right Incidents
Severe human rights incidents, dealt with in the various social chapters, were calculated on the basis of cases identified
in 2024 through grievance mechanisms and whistleblowing reports. With regard to cases concerning Eni's workforce and
workers in the value chain, reliable cases of forced labour, human trafficking, child labour and health and safety were
considered. No grievances or relevant and reliable reports were received in the context of local communities or end
consumers. For the purpose of progressively improving the quality and completeness of the data, the opportunity to extend
the reference boundary will be evaluated for the next years.
ENI'S WORKFORCE
Employees
The methodology used is that of the head count. Employment figures differ from those published in the Financial Report
because they include only the companies consolidated on a line-by-line basis.
Permanent/fixed-term workers: a permanent or fixed-term employment relationship that takes place with the full ordinary
duration of the service in accordance with the provisions of the law or collective labour agreements.
Full-time workers: employment relationship that takes place with the full ordinary duration of the service in accordance with
the provisions of the law or collective labour agreements.
Permanent/fixed-term part-time workers: a permanent/fixed-term employment relationship that takes place with a reduced
hourly duration compared to the ordinary duration provided for by law or collective bargaining agreements; they can be vertical,
horizontal or mixed part-time contracts.
Turnover rate: ratio between the number of permanent employees who left the company in the reference year and the total
number of permanent employees of the company in the year -1.
Non-employees: refers to staff leased in Italy and abroad, calculated using the head count method. Self-employed workers
who, having a contract for the supply of professional services as their basis, are considered among the suppliers and not
included.
Average age of Eni's people: sum of the age of Eni employees worldwide in relation to the total number of employees worldwide.
Training hours
Hours used by employees of Eni SpA and its subsidiaries in the training courses managed by Eni Corporate University
(classroom and distance) and in the activities carried out by Eni's Business/Company areas independently, also in on-the-
job training mode.
Average hours of training: total hours of training divided by the average number of employees in the year.
Human rights training: hours used by employees in dedicated courses.
Employees who have received human rights training: a percentage calculated as the ratio of the number of enrolled
employees who have completed a training course to the total number of employees enrolled.
Total training expenses: total costs incurred for training activities designed and/or purchased both by Eni corporate
University and Eni's Business/Companies areas for the benefit of employees.
Average spending on training for full-time employees: total spending on training divided by the average number of
employees in the year.
Performance
review
Employees covered by performance evaluation tools: the percentage refers to the number of employees who have been
assigned an objective sheet (with reference to middle managers and young graduates).
Employees covered by annual review: the percentage refers to the number of employees covered by annual review (the
figure refers exclusively to managers, middle managers and young graduates divided between men and women).
Worked hours
Worked hours by employees or worked hours by contract staff, as the sum of contractual hours and overtime, net of
holidays, absences due to illness and leave not recovered. For personnel operating on platforms and ships, the number of
12 hours per day on board is conventionally assumed, as indicated by sector guidelines (IOGP), and for personnel operating
on LNG carriers 24 hours are considered. In many companies, the KPI is calculated by attendance tracking systems. In
the absence of more precise methods, the worked hours can be calculated for each worker on the basis of the weekly
contractual hours.
Whistleblowing
reports
Files of reports (assertions) relating to respect for human rights: relating to Eni SpA and its subsidiaries, closed during the
year and relating to human rights; the number of allegations broken down by outcome of the investigation conducted on
the reported facts (well-founded and unfounded/unascertainable/not applicable) is reported. Anonymous reports, by their
nature, have not been taken into account for the purposes of calculating reports relating to employees.
SOCIAL BOUNDARY
For information relating to own workforce (other than information relating to safety), the boundary includes Eni SpA and its subsidiaries consoli-
dated on a line-by-line basis. For information related to safety, the following boundaries apply:
a. an operational control boundary, which includes Eni SpA, the subsidiaries consolidated on a line-by-line basis, 100% of the data of the operated
joint operations (incorporated and unincorporated) and 100% of the data of operated joint ventures and associates;
b. a voluntary "Entity Specific" boundary in line with the data presented in previous sustainability reports, based on which targets are defined.
Expenses (CapEx and OpEx) reported for safety data refer to the first view. With regards to data related to investments for local development,
the scope includes Eni SpA, its subsidiaries, the entities under operational control, as well as some joint ventures in which Eni plays a significant
role in the management of local stakeholders. With regard to the data referring to security, this includes both private security personnel who work
contractually for Eni and personnel of the public Security Forces, military or civilian, who carry out, even indirectly, security activities and/or ope-
rations to protect Eni's people and assets. With regard to quantitative information relating to anti-corruption training and reporting files, the scope
includes Eni SpA and its subsidiaries.
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Parental leave
The rate of use of parental leave is calculated through the ratio between the number of people who used it during the year
and the number of employees who are entitled to use parental leave (100% of Eni employees).
Industrial
relations
The minimum notice period for operational changes is in line with the provisions of current laws and trade union agreements
signed in the individual Countries in which Eni operates. Both in Italy and abroad, employees covered by collective bargaining
are those employees whose employment relationship is governed by collective contracts or agreements, whether national,
category, company or site, with the exclusion of individual agreements. For this indicator, tenured employees (companies
with which the employee enters into the employment contract) are considered.
Remuneration
and Wages
The Total Remuneration Ratio is calculated as the ratio of the highest paid employee in the organization and the median of
other employees, globally, on fixed remuneration and overall remuneration which from 2024 includes benefits in kind and
allowance.
The Gender Pay Gap is calculated as the difference between the average hourly wage of the male population and the
average hourly wage of the female population divided by the average hourly wage of the male population; the hourly wage
is obtained by dividing the annual wages of men and women by a conventional number of hours per year. The gender
pay gap is calculated on fixed remuneration and overall remuneration, which from 2024 includes benefits in kind and
allowances.
Minimum wages are defined by law in the various Countries or, where not provided, by national collective agreements
separately for each Country. They are calculated for the lowest salary category, i.e. with reference to the fixed and
total remuneration of blue-collar level employees or, for Countries where Eni does not have blue-collars, white-collar
employees.
HEALTH AND SAFETY
Safety
Total Recordable Injuries: sum of Lost Time Injuries (LTI), Restricted Work Day cases (RWDC), and Medical Treatments (MTC).
TRIR: Total Recordable Injury Rate (numerator: number of total recordable injuries; denominator: worked hours in the same
period). For better readability, the ratio is multiplied by 1,000,000.
Fatality index: index with the number of fatalities that occurred as the numerator and the worked hours in the same period
as the denominator. For better readability, the ratio is multiplied by 100,000,000.
Near Miss: an incidental event whose origin, development and potential effect are of incidental nature, but differs from
an accident only because the outcome was not harmful due to favourable and fortunate concurrences or mitigating
intervention of technical and/or organizational protection systems. Incidental events that have not turned into incidents
should therefore be considered as near misses.
For the assessment of accident KPIs, Eni implements and integrates, through its internal procedures, the IOGP guidelines
on work-relatedness events, also taking into account the Country risk.
Contractors: all indicators relate to contractors/subcontractors or Technology Partners operating exclusively in contract
mode 1 or 2 as defined below are considered:
• Mode 1: the contractor/subcontractor provides people, processes and/or equipment for the execution of the contract
under the oversight, instructions and HSE Management System of Eni. The contractor has a management system to
provide assurance that the personnel for whom it is responsible are qualified and fit for the work and that the processes,
tools, materials and equipment they provide are properly maintained and suitable for the contract. This mode requires the
contractor to report HSE performance data.
• Mode 2: the contractor/subcontractor provides people, processes, equipment and/or facilities for the execution of the
contract, as a main rule, under its own HSE Management System, providing the necessary instructions and oversight and
verifying the proper functioning of its system. This mode requires interfacing or bridging with Eni management system and
also reporting HSE performance data. Eni is responsible for assuring the overall effectiveness of the HSE management
controls put in place by the contractor, including its interface with Subcontractors, and ensuring that both Eni’s and the
contractor’s HSE Management Systems are compatible.
Health
Number of cases of recordable occupational diseases in its workforce: number of reports of occupational diseases.
Main types of diseases: the reports of suspected occupational diseases reported to the employer concern pathologies that
may have a causal link with the occupational risk, as they may have been contracted in the exercise of work activities with
prolonged exposure to risk agents present in the workplace. The risk can be caused by the processing or by the environment
in which the work itself takes place. The main risk agents whose prolonged exposure can result in an occupational disease
are: (i) chemical and carcinogenic agents (e.g. of diseases: neoplasms, diseases of the respiratory system, blood diseases);
(ii) biological agents (e.g. of disease: malaria); (iii) physical agents (e.g. of disease: hearing loss). Other types of risk that can
give rise to occupational diseases in the workplace are: (iv) ergonomic risks (e.g. of disease: musculoskeletal pathologies);
(v) psychosocial risks (e.g. of disease: adjustment disorder). This list is in line with the ILO List of Occupational Diseases.
Number of reports of occupational disease filed by heirs: indicator used as a proxy for the number of deaths due to
occupational diseases.
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Process safety
incident
Loss of primary containment (unplanned or uncontrolled release of any material, including non-toxic and flammable
materials) from a "process". Process safety incidents are classified, according to severity, into Tier 1 (most serious), Tier 2,
Tier 3 (least severe).
LOCAL COMMUNITIES
Local
Community
Identification
Through the ESHIA studies, conducted before the start of business activities, the following are defined: the Area of
influence, i.e. the area within which the project activities can potentially influence the resources/receptors and within which
the potential impacts (both direct and indirect) must be assessed and the Study Area that must be studied in the process,
in order to understand and adequately characterize the reference scenario. In particular, in these studies conducted taking
into account the different characteristics of business activities, both the communities that live or work near operations and
those present in the areas of influence are mapped.
Investments
for local
development
The indicator refers to Eni's share of expenditure on local development initiatives carried out by Eni in favour of the territory
to promote community development in operational contexts. The figure refers to all Eni companies, including companies
not operated by Eni.
Resettlement
activities
With regard to any economic and physical displacement related to temporary or permanent involuntary resettlement, Eni
fully adopts the IFC's performance standard number 5 in every development project carried out.
Security
Security forces who have received training on human rights: the indicator includes both private security personnel who
work contractually for Eni and public security forces, whether military or civilian, who carry out, even indirectly, security
activities and/or operations to protect Eni's people and assets.
Security personnel who have received Human Rights training: ratio between the Number of Security Personnel (professional
family) who have received Human Rights training and the total number of Security personnel (professional family).
Security contracts containing human rights clauses: percentage calculated as the ratio between the "Number of security
and security concierge contracts with human rights clauses" and the "Total number of security and security concierge
contracts".
Number of Countries with armed guards: the indicator relates to the number of Countries in which Eni has armed guards.
Grievance
The total number of grievances corresponds to the number of grievances received by the company from stakeholders.
The number of grievances resolved corresponds to the number of grievances for which the company and the complainant
have agreed on a proposal for termination, regardless of the year in which the grievance was expressed.
DATAPOINT
METHODOLOGY
BUSINESS CONDUCT
Payment
practices
towards
suppliers
The average payment time of suppliers is calculated with reference to Eni SpA and the subsidiaries whose payment
activities of suppliers are carried out centrally by Eni SpA. The number of legal proceedings for late payments is recorded
with reference to cases related to sums recognised and not disputed (on the merits and/or in their amount) by Eni to the
supplier and pending in Italy; the information includes disputes pending in the reporting year, even if initiated previously
or concluded during the year. The figure refers to proceedings concerning procurement contracts for the purchase of
goods, the execution of works and the supply of services, within the framework of the internal regulatory and management
framework on procurement (Management System Guidelines “Procurement”) and stipulated by Eni SpA and its Italian
subsidiaries (see list), with the exception of the following companies, for which the data is not currently available: Agenzia
Giornalistica Italia SpA, Eni Gas Transport Services Srl, Eni Insurance SpA, Eni West Africa SpA. Enimoov SpA, Finproject
SpA, Industria Siciliana Acido Phosforico - ISAF - SpA - in liquidazione, Mater-Agro Srl, Mater-Biotech SpA, Matrìca SpA,
Novamont SpA, REWAVE S.r.l., SeaPad SpA, Tecnofilm SpA. The figure also includes disputes relating to contracts that are
no longer active or expired in the reporting year. The Company is structuring a phased process that allows it to expand the
scope of its analysis (and in particular the data required by ESRS G1-6 DP 33 a) and c)).
Anti-corruption/
Transparency
Audit interventions (with anti-corruption checks): audit activities that also include assessments of processes exposed to
anti-corruption risks, as defined by the relevant Eni regulatory instruments.
Established corruption cases: final convictions relating to criminal proceedings for domestic and/or international corruption
in which there has been a finding of corruption on the merits.
Countries with Eni's participation in EITI multi-stakeholder groups: Countries where Eni participates in EITI initiatives both
directly and indirectly (at the level of trade associations) in the Multi-stakeholder Groups set up at local level.
BUSINESS CONDUCT BOUNDARY
With regard to audits with anti-corruption checks, reference is made to Eni SpA, directly or indirectly controlled companies (excluding listed companies
with their own internal audit control), investee companies on the basis of specific agreements, and third parties considered to be at greater risk, where
provided for in the relevant contracts entered into with Eni. With regards to the indicators related to suppliers involved in awareness, measurement and
collaboration initiatives on ESG issues, the boundary of analysis refers to the scope covered by the MSG Procurement. As regards the data relating to
cases of ascertained corruption also with reference to the ones that led to layoffs or other measures, reference is made to Eni SpA and its subsidiaries.
The figure relating to the average payment terms of suppliers is calculated with reference to Eni SpA and its subsidiaries for which the payment activities
of suppliers are carried out centrally by Eni SpA. Finally, with regard to legal proceedings due to late payments still outstanding in the reporting year, the
figure refers to Eni SpA and its Italian subsidiaries.
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Suppliers
N° suppliers involved in awareness, measurement and collaboration initiatives on ESG issues: number of suppliers
registered on the Open-es platform.
% of active contracts with suppliers involved in awareness, measurement and collaboration initiatives on ESG issues:
Ratio between the total number of active contracts assigned to suppliers registered on Open-es and the total number of
active contracts.
% of the value of active contracts with suppliers involved in ESG awareness, measurement and collaboration initiatives:
Ratio between the total value of active contracts assigned to suppliers registered on Open-es and the total value of active
contracts.
The metrics refer to the engagement activities carried out with suppliers managed as part of MSG-Procurement by Eni
SpA and its subsidiaries. The supplies excluded from the scope of application are the ones outside the MSG Procurement:
raw materials, semi-finished products, products for resale and relevant incidental accessories (including agency services);
primary logistic services (transport and storage), transport on transit or interconnection networks (for instance oil
pipelines, gas pipelines, dispatching networks); production process utilities (such as electricity, hydrogen); site services
from/to companies situated on the same industrial site, aimed at ensuring the smooth operation of production activities;
production services for semi-finished and finished products (for instance productive capacity); special products for
processing of raw materials, semi-finished and finished products; carbon credits and similar instruments; exploration
and production licences; financial services/products; real estate properties (land and buildings including leases); non-
judicial legal and technical assignments in the framework of corporate law and/or corporate governance; notary services;
insurance contracts; contracts to either brokers or insurance and reinsurance companies; contracts with commercial
network operators; co-marketing agreements and commercial partnerships; registration and/or purchase of internet
domains; consulting contracts with members of Journalists’ Association; contracts for the purchase of information and
“data packages” relating to data connected with exploration activities (e.g. geophysical, geological data, etc.) and purchased
directly from State Owned or Government Owned Agencies, or Licensed Companies/data owners, with the limitation to
“bid-rounds” classified as urgent; assignments to advisors for merger & acquisition operations, project financing and capital
market; assignments regarding consultancy on administrative-accounting/tax matters and assignments for providing
juridical assistance in tax litigation; assignments strictly required to safeguard either health, security, environment or
public safety in the event of emergencies, to be awarded directly by the company manager formally appointed as Employer;
sponsorship contracts/agreements; contracts/agreements relating to non-profit initiatives; procurement of exhibition
areas; technical consulting assignments either in the judicial or in the out of court framework; assignments to external
lawyers; collaboration/cooperation agreements R&D; contracts in the R&D framework for the acquisition of licenses
and patents by third-parties or for granting either the licence to use or the transfer and/or marketing Eni’s know-how;
assignments in both the judicial and out-of-court frameworks, for technical and legal assistance regarding the subjects
of employment, trade unions and social security; employment contracts and contracts with temporary agency workers, if
required by local law; support services for job orientating activities, employer searching and branding; training activities
(courses, seminars, workshops, conferences) provided by external entities at their offices and provided indistinctly to the
public; contracts for the purchase of goods and security services; auditing assignments and other assignments strictly
connected with auditing activities, excepted for the award of framework agreements approved by Eni SpA procurement
function; contracts with external members of the Watch Structures; appointments to lawyers and professionals, individual
or associates, for non-judicial specialized consulting services and for non-judicial consultancy, relevant to the Integrated
Compliance Function; assignments related to regulatory issues.
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ANNEX TO EU TAXONOMY
1. Content of KPIs
1.1. SPECIFICATION OF KEY PERFORMANCE
INDICATORS (KPIS)
1.1.1. KPI related to turnover (turnover KPI)
Eni Group’s consolidated financial statements are prepared in
accordance with the International Financial Reporting Standards
“IFRS” as adopted by Commission Regulation (EC) 1126/2008.
In compliance with that, the Group turnover and the turnover relating
to Taxonomy-aligned economic activities and to Taxonomy-eligible
economic activities (not Taxonomy-Aligned activities) have been
recognized pursuant to International Accounting Standard (IAS) 1,
paragraph 82 a).
The 6.1% share of eligible and aligned turnover is calculated as the
part of turnover derived from eligible or aligned economic activities
(numerator) divided by total turnover (denominator).
Eligible and aligned economic activities are described under
paragraph 1.2.2. The denominator comprises the Sales from
operations (Revenues) line from the Consolidated Statement of
Income.
A reconciliation is provided below:
TURNOVER
(€ mln)
Aligned activities
Eligible activities
Total Group
Revenues from contracts with customers
812
4,601
88,797
The proportion of turnover referred to in Article 8(2), point (a), of
Regulation (EU) 2020/852 “turnover KPI” is calculated as the part
of the turnover derived from products or services associated with
Taxonomy-aligned economic activities (numerator), divided by the
Group total turnover (denominator).
The Group turnover and the turnover of eligible and aligned economic
activities are recognized net of the effects of commodity derivatives
activated to manage the Group’s exposure to movements in the
prices of energy commodities, which qualify and are designated as
cash flow hedges due to the efficacy of the relationship between the
instrument and the hedged item, whereby a cash flow is either paid
or received at the delivery of the underlying commodity. The mark-
to-market of cash flow hedges relating to a forecast transaction are
taken to other comprehensive income.
Other commodity derivatives utilized by the Group to manage
exposure to the commodity risks, which lack the requirements to
be recognized in accordance with the own use exemption or to be
qualified as hedges in accordance with IFRS, are marked to market
with gains or losses recognized through profit and loss in a separate
line item from revenues. Such line item comprises the ineffective
portion of cash flow hedges.
1.1.2. KPI related to capital expenditure
(CapEx) (CapEx KPI)
Capital expenditure “CapEx” of the Eni Group and the “CapEx” relating
to eligible economic activities and to aligned economic activities
cover costs that are accounted based on: a) IAS 16 Property, Plant
and Equipment, paragraphs 73, e), point i) and point iii); b) IAS 38
Intangible Assets, paragraph 118, e), point i); c ) IFRS 16 Leases,
paragraph 53, point h).
CapEx also covers additions to tangible and intangible assets
resulting from business combinations.
The Group does not engage in economic activities that are recognized
in accordance with IAS 40 and IAS 41.
The 10.6% share of CapEx of eligible and aligned economic
activities is calculated as the part of CapEx derived from eligible
or aligned economic activities (numerator) divided by total Group
CapEx (denominator). Eligible and aligned economic activities
are described under paragraph 1.2.2. The denominator comprises
additions recognized in the financial year to the following line items
of the Group’s assets reported in the Group statement of financial
positions at December 31, 2024: “Property, plant and equipment”,
“Intangible assets” and “Right of Use” as disclosed under footnotes
no. 12, 13 and 14 to the Group consolidated financial statements,
as well as the portion of purchase price allocated to PP&E and
intangible assets with definite useful lives as part of the business
combinations closed in the financial year.
Costs incurred to purchase plant and equipment from suppliers
whose payment terms matched classification as financing
payables, have been recognized among additions to PP&E and are
included in the denominator and, when applicable, in the numerator
of the CapEx KPI.
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The 15.9% share of eligible and aligned operating expenditure
“OpEx” is calculated as the part of OpEx relating to eligible or aligned
economic activities (numerator) divided by the Group total Opex
(denominator). Eligible and aligned economic activities are described
under paragraph 1.2.2.
A reconciliation is provided below:
CAPEX
(€ mln)
Aligned activities
Eligible activities
Total Group
Additions to tangibles and intangibles assets
980
388
8,485
Goodwill purchased
33
Additions to rights to use leased assets
11
13
2,114
Acquisitions/Change in the scope of consolidation
116
2,731
Other investment
115
18
2,172
Less
Goodwill purchased
(33)
Total Capex
1,222
419
15,502
OPEX
(€ mln)
Aligned activities
Eligible activities
Total Group
Costs of R&D expensed through profit and loss
12
36
178
Operating expenses
270
367
4,131
Total Opex
282
403
4,309
The proportion of OpEx referred to in Article 8(2), point (b), of
Regulation (EU) 2020/852 “OpEx KPI” is calculated as the Opex of
aligned economic activities (numerator) divided by the Group total
OpEX denominator as specified in points 1.1.3.1. and 1.1.3.2. of
Annex I to Commission Delegated Regulation (Eu) 2021/2178.
1.2. SPECIFICATION OF DISCLOSURES
ACCOMPANYING THE KPIS OF NON-FINANCIAL
UNDERTAKINGS
1.2.1. Accounting policy
Economic and financial data relating to Eni’s eligible and aligned
economic activities for calculating the Taxonomy’s KPIs and
proportion of eligible turnover, capex and opex, have been
extracted from the Group accounting systems, the general ledger
and the management accounting systems, which are used to
prepare the separate financial statements of each consolidated
subsidiary undertakings, mostly of which are in accordance with
IFRS. Data extracted from separate financial statements are
adjusted to align with the IFRS utilized in the preparation of the
Group consolidated financial statements and for the consolidation
transactions (intercompany sales and purchases, elimination of
unrealized profit, etc.) to calculate Eni’s Taxonomy KPIs and the
eligible turnover, capex and opex proportion.
Therefore, data of turnover, OpEx and CapEx relating to Eni Group’s
aligned and eligible economic activities utilized in calculating the
A reconciliation is provided below:
The proportion of CapEx referred to in Article 8(2), point (b), of
Regulation (EU) 2020/852 “CapEx KPI” is calculated as the part of
CapEx relating to aligned economic activities (numerator) divided by
the Group total CapEx (denominator) as specified in points 1.1.2.1.
and 1.1.2.2. of Annex I to Commission Delegated Regulation (Eu)
2021/2178.
1.1.3. KPI related to operating expenditure (OpEx) (OpEx KPI)
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Taxonomy KPIs and the proportion of eligible activities are the same
the Group used in preparing the consolidated financial statements.
In the case of mono-business consolidated subsidiary undertakings
performing a given eligible activity, relevant economic and financial
data for the calculation of the Group eligible proportions have been
extracted from the general ledger and the financial accounting to
retrieve amounts of revenues, operating expenditures, additions
to property, plant and equipment (PP&E) and intangible assets,
additions to the right-of-use and additions to PP&E and intangibles
resulting from business combinations. In case of multi-business
subsidiary undertakings, relevant data for calculating the Group
eligible proportions have been derived also from the systems of
managerial accounting that splits the accounts of the financial
system and allocates revenues and cost amounts to different
reporting objects: profit centers which correspond to business
units, product lines which can share common costs, plants,
capital projects, cost centers, etcetera, to support management’s
understanding of the drivers of the financial performance and cost
control.
Such structure of accounting flows, which is employed in preparing
the Group consolidated financial statements, ensure that turnover,
OpEx and CapEx are recognized by the economic activity where
the underlying transactions occur, by this way avoiding double
counting. This is explained by evidence that amounts recognized
or allocated by the managerial accounting system are reconciled
with the accounting system and the general ledger. Common costs
are apportioned to different reporting objectives and economic
activities based on disaggregation criteria that reflect how common
inputs are absorbed.
Operating costs of Eni Group's companies to define the proportion
of the opex of aligned and eligible activities to the Group total were
determined on the basis of the managerial accounting system and
Eni’s control model of fixed costs which, starting from accounting
data relating to purchases of goods and materials, services, labour
costs and other charges, excludes raw materials costs, industrial
plant variable costs and costs of products for resale and aggregates
the remaining cost items in relation to the different measurement
and control stages in the manufacturing/sale process:
• fixed industrial costs which include the labor costs for personnel
involved in the maintenance, operation and servicing of industrial
plants, third-party services (mainly maintenance contracted to
third parties), general plant costs, consumables (spare parts) and
include energy efficiency actions at buildings and other properties,
as well as the purchase of outputs from aligned activities to
achieve CO2 emission reductions;
• non-capitalised research & development costs;
• commercial & marketing fixed costs;
• general and administrative costs.
For the purposes of reporting obligations, management has identified
industrial fixed costs and non-capitalised R&D costs as the aggregate
“opex” operating expenses corresponding to the definition of the
denominator adopted by the Delegated Regulation on reporting.
In line with the provisions, the opex incurred to purchase enabling
products or in relation to enabling manufacturing processes have
been claimed by the economic activities carried out by Eni in
compliance with Art. 16 of the Taxonomy Regulation so that do not
lead to a lock-in of assets that undermine long-term environmental
goals, considering their economic lives. In this context, the opex
incurred by the E&P sector to increase energy efficiency/reduce
CO2 emissions at oil & gas plants were excluded. This principle has
also been applied to capex.
1.2.2. Assessment of compliance with
Regulation (EU) 2020/852
1.2.2.1. INFORMATION ON ASSESSMENT OF
COMPLIANCE WITH REGULATION (EU) 2020/852
Eni’s eligible activities for purpose of assessing their substantial
contribution to the objective of climate change mitigation are:
• 3.14 manufacture of organic basic chemicals: production of
monomers and other basic chemicals;
• 3.17 manufacture of plastics in primary form: production of
polyethylene and styrene’s obtained by processing monomers
and production of resins and plastics from renewable feedstock;
• 4.1 electricity generation using solar photovoltaic technology:
photovoltaic installations are managed by the Group subsidiary
Plenitude and are located mainly in Italy, Spain, USA, Australia,
Kazakhstan and France;
• 4.3 electricity generation from wind power: the production is
obtained from onshore windmills that are managed by the
Group subsidiary Plenitude and are located mainly in Italy, Spain,
Kazakhstan;
• 4.8 electricity generation from bioenergy: production of electricity
in installations with a total rated thermal input below 2 MW and
using gaseous biomass fuels;
• 4.10 development of energy storage facilities in Italy and the
United States;
• 4.13 manufacture of biogas and biofuels for use in transport and
of bioliquids: production of biofuels by means of hydrogenating
bio-feedstock or waste organic materials. The manufactured
product is a hydrogenated vegetable oil (HVO) that can be used
as pure fuel or blended with fossil fuels to obtain a reduction
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in emitted CO2 from combustion. This activity is performed at
the biorefinery of Gela (Sicily) and Venice with total production
capacity of 1.1 mln tons/y;
• 4.20 cogeneration of heat/cool and power from bioenergy:
production of steam and electricity by means of cogeneration,
utilizing forestry biomass at the Crescentino plant (Italy);
• 5.3-5.4 construction, extension and operation of wastewater
collection, treatment and supply systems and renewal of
wastewater collection, treatment and supply system;
• 5.7-5.8 anaerobic digestion of biowaste: anaerobic digestion,
biogas production and subsequent cogeneration for electricity
production, as well as compost, at the Po’ Energia Srl plant
from organic fraction coming from the separate collection
of municipal waste, as well as production of compost. Those
activities are also eligible for the objective of circular economy
(2.5 recovery of organic waste through anaerobic digestion or
composting);
• 5.12 underground permanent geological storage of CO2: this
activity leverages depleted reservoirs operated by Eni. The
main ongoing projects are the HyNet hub in UK to upgrade Eni’s
depleted reservoirs in the Liverpool bay to permanently store CO2
emitted by local businesses in hard-to-abate industries and the
Ravenna hub, off Italy;
• 6.5 transport by motorbikes, cars and light commercial vehicles:
Enjoy rental service based on the “free floating” model with
collection and release of the vehicle at any point within the area
covered by the service. The fleet consists of internal combustion,
hybrid and electric vehicles;
• 6.15 infrastructure enabling low carbon road transport and public
transport: this activity comprises construction, maintenance, and
operations of electric charging points for EV, and is performed by
Eni’s subsidiary Plenitude.
The above-mentioned activities are also eligible for the objective of
climate change adaptation. However, the Group does not engage
in economic activities that manufacture productions and solutions
for climate change adaptation. Therefore, the objective of climate
change adaptation has been assessed as far as necessary to verify
that each of Eni’s eligible economic activities does not significantly
harm any of the objectives of the Taxonomy, in compliance with art.
3 of regulation (UE) 2020/852.
Group economic activities eligible for the environmental objectives
of DA 2023/2486 are immaterial.
As a result of the verification of the TSC for each eligible economic
activity, Eni has assessed, as of the reference date of this Annual
Financial Report, including the CSRD statement, that the following
activities are aligned with the Taxonomy as they make a substantial
contribution to achieving the climate change mitigation objective
are in compliance with the DNSH criteria.
3.17. MANUFACTURE OF PLASTICS IN PRIMARY
FORM
The economic activity includes: (i) production of resins, especially
biodegradable and compostable polyesters and copolyesters,
derived in whole or in part from renewable raw materials; (ii)
production of biodegradable and compostable plastics, i.e., blends
of resins derived in whole or in part from renewable raw materials.
These production lines belong to Novamont, whose control was
acquired in the fourth quarter of 2023.
The economic activity “Manufacture of plastics in primary form ”
is a transitional activity as of Article 10, paragraph 2, of Regulation
(EU) 2020/852 if it meets the technical screening criteria described
at the point 3.17 of Regulation (EU) 2021/2139.
Substantial contribution to climate change
mitigation
For the assessment of substantial contribution to climate change
mitigation, criterion c) related to activity 3.17 as stated in EU
Regulation 2021/2139 was applied, as follows: c) derived in whole
or in part from renewable raw materials, and the greenhouse gas
emissions over their life cycle are lower than the greenhouse gas
emissions in the life cycle of equivalent primary form plastics
manufactured from fossil fuels. Greenhouse gas emissions over
the life cycle are calculated using Recommendation 2013/179/
EU or, alternatively, ISO 14067:2018 or ISO 14064-1:2018.
Greenhouse gas emissions quantified over the life cycle are
verified by an independent third party. Agricultural biomass used
for manufacturing of plastics in primary form meets the criteria of
Article 29, paragraphs 2 to 5, of Directive (EU) 2018/2001. Forest
biomass used for manufacturing of plastics in primary form meets
the criteria of Article 29, paragraphs 6 to 7, of the same directive.
In this context, chemicals derived from hydrocarbons were identified
as equivalent to resins and plastics derived in whole or in part
from renewable raw materials. These equivalent chemicals were
identified considering chemical equivalence in terms of composition
and equivalence in the chemical family. For both product lines, the
hydrocarbon-derived equivalent is PBAT. Subsequently, emissions
from Novamont’s activity and the hydrocarbon equivalent were
calculated based on the Life Cycle Thinking methodology, which
includes all stages of their respective supply chains (procurement,
processing, transportation, and disposal). This analysis confirmed
compliance with the stated criterion “c” of the Taxonomy.
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Do No Significant Harm (“DNSH”)
Climate change adaptation
The Group has performed a risk assessment of the exposure
of all aligned activities to acute and chronic weather events as
required by Appendix “A” to the Climate Delegated Regulation
based on the Company’s methodology described herein.
The management has assessed the risk of exposure of the
Group’s assets to climate-related acute and chronic hazards,
following the guidelines of Appendix A to the Climate Delegated
Regulation, setting generic criteria for DNSH to climate change
adaptation.
The Group has put in place management control systems and
procedures to identify, evaluate and mitigate physical climate
risks, which the Company defines as the risk that potential
perspective changes in meteorological patterns, extreme
weather phenomena and gradual changes in weather conditions
and in the physical environment linked to climate change may
adversely and significantly affect assets’ future performance,
safety of operations and future expected cash flows, so to
significantly harm the objective of climate change adaptation.
The management regularly reviews the exposure of the Group’s
assets to the acute and chronic climate-related hazards
described in the above-mentioned Appendix A and other natural
hazards based on a proprietary methodology to identify physical
climate risks over a long-term horizon. The purpose of this risk
assessment is to define and execute mitigation plans designated
to adapt the Group assets to current or expected risks,
considering the already existing barriers at each Company’s
asset. This assessment considers various timing horizons based
on assets’ useful lives (about thirty years for solar installation,
wind mills and biorefineries, whereas recharging points for EV
have seven years of useful live).
Eni’s assessment methodology of assets’ exposure to natural
hazards features the following steps:
• it utilizes input data furnished by an external provider, which
has elaborated detailed geographic maps of prospective
climate-related risks ensuring a full coverage of onshore and
offshore areas where Eni’s assets are located. Those climate
maps combine the most updated climate forecast models,
also incorporating historical weather patterns, to provide
expected quantitative trends in the evolution of climate-related
events (like expected number of days with temperatures above
or below historical averages, wind strength, rain intensity,
etcetera);
• it develops a stress test of the current asset portfolio, without
limiting to assets’ residual useful lives, to evaluate the potential,
perspective exposure to climate-related risks till 2050;
• it is performed yearly, and it will undergo continuous improvement
based on the experience that will be accumulated over time, as well
as the evolution in the framework on how to identify and measure
climate-related risks;
• it utilizes the IPCC SSP5 - 8.5 scenario to project the expected
future climate-related trends and hazards in each geographical
maps;
• it utilizes the geographic coordinates of each Company’s asset
(longitude and latitude) to locate it in a given quadrant (each with an
area of one square kilometer) as defined by the external provider to
recognize the climate-related risks, which each asset is potentially
exposed to over a thirty-year horizon based on the adopted climate
scenario;
• it considers in the risk-evaluating process also third-party
assets and assets of the supply chain, where relevant to a full
understanding of the risks which each Eni’s asset is exposed to.
Once climate-related hazards have been identified and classified,
the management evaluates each asset’s existing barriers or factors
both physical ones (structural characteristics of an asset design,
materials used in its construction, distance from the sources of
possible hazards, containment walls, hydraulic barriers, etc.) and
systems and procedures (early warning systems, procedures to
put in safety plants and equipment, existence of monitoring and
verification plans, etc.).
The outcome of that review informs the management of the residual
riskand:
• in case of chronic climate-related hazards, monitoring activities
are designed, planned, and carried out leading to the possible
implementation and follow-up of remediation measures;
• in case of acute climate-related hazards, asset integrity process
is activated which can lead to the definition and activation of an
adaptation plan.
Based on the assessment of this activity’s exposure to climate-
related hazards following the methodology and procedures
described herein, the management has concluded that the
Company’s assets are not exposed to any significant physical
climate risk considering the facilities residual useful lives and
assets features and barriers. Therefore, this activity does not
significantly harm the objective of climate change adaptation.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
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4.1. ELECTRICITY GENERATION USING SOLAR
PHOTOVOLTAIC TECHNOLOGY
Substantial contribution to climate change
mitigation
The activity generates electricity using solar PV technology.
Do no significant harm (“DNSH”)
Climate change adaptation
The Group has performed a risk assessment of the activity’s
exposure to chronic and acute climate-related hazards based
on the methodology described under paragraph 3.17 and has
concluded that this activity is adapted to climate change.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
4.3. ELECTRICITY GENERATION FROM WIND
POWER
Substantial contribution to climate change
mitigation
The activity generates electricity from wind power.
Do no significant harm (“DNSH”)
Climate change adaptation
The Group has performed a risk assessment of the activity’s
exposure to chronic and acute climate-related hazards based
on the methodology described under paragraph 3.17 and has
concluded that this activity is adapted to climate change.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
4.8. ELECTRICITY GENERATION FROM
BIOENERGY
Substantial contribution to climate change
mitigation
Eni’s activity comprises electricity generation installations each
with a total rated thermal input below 2 MW, which are using
gaseous biomass fuels. The installations are located in Italy.
Do no significant harm (“DNSH”)
Climate change adaptation
The Group has performed a risk assessment of the activity’s
exposure to chronic and acute climate-related hazards based
on the methodology described under paragraph 3.17 and has
concluded that this activity is adapted to climate change.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
4.10 STORAGE OF ELECTRICITY
Substantial contribution to climate change
mitigation
The activity consists of the construction and operation of electricity
storage including pumped hydropower storage.
Do no significant harm (“DNSH”)
Climate change adaptation
The Group has performed a risk assessment of the activity’s
exposure to chronic and acute climate-related hazards based
on the methodology described under paragraph 3.17 and has
concluded that this activity is adapted to climate change.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
4.13. MANUFACTURE OF BIOGAS AND BIOFUELS
FOR USE IN TRANSPORT AND OF BIOLIQUIDS
The activity consists in manufacturing HVO for use in transport. The
activity is performed at the biorefineries of Gela (Sicily) and Venice.
Substantial contribution to climate change
mitigation
Each batch of HVO manufactured in 2024 has been reviewed to assess
the substantial contribution to climate change mitigation. Volumes of
HVO manufactured using food and feed crops as feedstock have been
excluded from the KPI, as well as those produced using agricultural
biomass that does not comply with the criteria laid down in Article 29,
paragraphs 2 to 5, of Directive (EU) 2018/2001.
The greenhouse gas emission savings from the HVO volumes
manufactured from sustainable feedstock have been measured
by applying the GHG saving methodology and the relative fossil
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fuel comparator set out in Annex V to Directive (EU) 2018/2001.
The saving has been calculated for each kind of biomass used
as feedstock. Based on the outcome of this review, 95% of the
volumes marketed to third parties at the Gela biorefinery have been
assessed to contribute substantially to climate change mitigation.
The activity turnover, OpEx, and Capex have apportioned to the
relevant KPIs in proportion to the percentage of environmentally
sustainable manufactured volumes of HVO.
Do no significant harm (“DNSH”)
Climate change adaptation
Based on the assessment of this activity’s exposure to climate-related
hazards following the methodology and procedures described herein,
the management has concluded that the Company’s biorefinery of
Gela exposed to a risk of water stress. The water risk monitoring
plan is ongoing. A monitoring plan is being implemented to check
how the risk exposure evolves over time with the goal of adapting the
activity to climate change within five years.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
5.12. UNDERGROUND PERMANENT
GEOLOGICAL STORAGE OF CO2
The activity consists in building and operating the permanent
underground HyNet hub to store CO2 by leveraging Eni’s depleted
reservoirs, off the Liverpool Bay in UK. The storage service will
be made available to local businesses in hard-to-abate industries
according to a regulated tariff which is currently under negotiation.
Italian authorities approved a pilot project to build and operate a
plant for the storage of CO2 utilizing the depleted natural gas fields
of Eni offshore Ravenna in the Adriatic Sea.
Substantial contribution to climate change
mitigation
The UK activity complies with ISO 27914:2017 for geological
storage of CO2. The Italian activity complies with provisions of
Directive 2009/31/EC.
Do no significant harm (“DNSH”)
Climate change adaptation
Based on the assessment of this activity’s exposure to
climaterelated hazards following the methodology and procedures
described herein, the management has concluded that it is adapted
to climate change.
Pollution prevention and control
The management foresees that by adopting the risk
management systems and the procedures of monitoring &
verification provided by the above-mentioned ISO rules, the
activity will comply with the pollution thresholds and markers
set by Directive 2009/31/C.
Sustainable use and protection of water and
marine resources
Protection and restoration of biodiversity and
ecosystem
The management foresees that by adopting the risk management
systems and the monitoring & verification procedures provided
by the above-mentioned ISO rules and by implementing all of the
planned measures to ensure the environmental sustainability of the
project to be granted all necessary authorizations by the relevant
UK authorities, the DNSH criteria will be met with respect to the
objectives of Sustainable use and protection of water and marine
resources and of Protection and restoration of biodiversity and
ecosystem.
6.15. INFRASTRUCTURE ENABLING
LOW CARBON ROAD TRANSPORT
AND PUBLIC TRANSPORT
Substantial contribution to climate change
mitigation
The activity consists in installing and operating a network of electric
charging points for EV and it is an enabling activity.
Do no significant harm (“DNSH”)
Climate change adaptation
The activity is adapted.
Pollution prevention and control
In the installation of electric charging points, the Company
limits waste generation in processes related construction
and demolition, in accordance with the EU Construction and
Demolition Waste Management Protocol and taking into account
best available techniques and using selective demolition to enable
removal and safe handling of hazardous substances and facilitate
reuse and high-quality recycling by selective removal of materials,
using available sorting systems for construction and demolition
waste.
Measures are taken to reduce noise, dust and pollutant emissions
during construction or maintenance works, such as for example:
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1. utilization of equipment with low environmental impact,
which reduces noise, dust and pollutant emissions compare to
traditional equipment; 2. limiting working hours by scheduling,
when and where possible, construction or maintenance activities
during the hours when there is less traffic to limit the impact on
surrounding activities.
Other objectives
No violations of the DNSH principle were found in relation to the
other objectives.
1.2.2.2. CONTRIBUTION TO MULTIPLE OBJECTIVES
Not applicable.
1.2.2.3. DISAGGREGATION OF KPIS
In the activity 4.13 manufacture of biofuels for use in transport,
the biorefinery of Gela is a common facility for both the
production of Taxonomy-aligned biofuels and for Taxonomy-
eligible biofuels. The facility common costs have been
apportioned to each activity in proportion to the manufactured
volumes of biofuels.
The management believes that such disaggregation is based
on criteria that are appropriate for the production process being
implemented and reflects the technical specificities of that process.
1.2.3. Contextual information
1.2.3.1. CONTEXTUAL INFORMATION ABOUT
TURNOVER KPI
The amounts that sum up the numerator of the turnover KPI have
derived from contracts with customers and were recognized based
on IFRS 15. The total amount of the numerator was €812 million
and the break-down is as follows:
• €80 million from the sale of electricity generated by the Group’s
PV installations;
• €159 million from the sale of electricity generated by the Group’s
windmills;
• €40 million from the sale of electricity generated by installations
using gaseous biomass fuels;
• €297 million from the sale of biofuels (HVO) in reduction of €363
million compared to 2023 due to an unfavorable scenario for
biofuels;
• €230 million from the sale of plastics in primary form.
1.2.3.2. CONTEXTUAL INFORMATION ABOUT
CAPEX KPI
The numerator of the CapEX KPI amounted to €1,222 million and
comprised:
• €529 million related to the activity of electricity generation using
solar photovoltaic technology, including: (i) €405 million in asset
increases for progress in the construction program, of which €314
million is related to the new installed capacity in 2024 for 408
MW and €91 million for ready-to-build plants with capacity within
the 2025-2028 plan period; and (ii) €124 million in acquisitions, of
which €72 million pertains to third-party facilities acquired during
the fiscal year, resulting in an operational capacity of 105 MW, and
€52 million for ready-to-build facilities with planned capacity in
operation in the 2025-2028 timeframe;
• €48 million related to the activity of production of electricity
from wind energy related to asset increases for progress in the
construction program, including €7 million for new capacity
installed in 2024 for 10 MW, and €41 million for ready-to-build
plants within the 2025-2028 plan period;
• €300 million related to the activity of production of biofuels,
relating to the increase in Property, Plant, and Equipment (PP&E),
at the biorefineries in Venice and Gela, with €28 million for Venice
and €72 million for Gela. Cost incurred for €153 million were
capitalized as part of the conversion project of oil-based Livorno
refinery into a biorefinery. Regarding Venice, various projects
are underway for upgrading the biorefinery, with the main ones
involving the establishment of a new section (degumming)
in the biomass treatment unit to enhance the processing of
more complex feedstocks; the upgrading of Ecofining and the
construction of the Steam Reformer plant, which will enable the
production of Biojet and increase capacity to a total of 600 kton/
year. Regarding Gela, the main projects involved the upgrading
of the biomass treatment unit (BTU) to enhance the processing
of more complex feedstocks, the completion of which, in terms
of assets, will be finalized by 2025. These biorefinery projects
are part of Eni’s industrial investment plan for the ‘25-’28 four-
year period, approved by the Board of Directors on February,
2025, and they represent some of the drivers that the Group has
activated to achieve the goal of reaching a capacity of over 3
million tons/year by 2028.
• €146 million relating to the activity of underground permanent
storage of CO2, fully consisting of additions to intangible assets
as part of an ongoing project to build and operate the HyNet and
Bacton storage hub in UK and a pilot project to develop a CO2
storage hub off Ravenna, Italy. Both projects have been included
in the Group four-year capital budget that was approved by the
Board of Directors on February, 2025. Total capital expenditures
for the HyNet project are estimated at €327 million in the four-
year plan, expected in the second half of the decade when the
first volume of CO2 is forecast to be injected in the depleted
reservoirs operated by Eni, offshore the Liverpool Bay, while the
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Bacton project involves a planned expenditure of €31 million,
with the first CO2 injection scheduled by 2030. The expected
expenditures for the Italian hub amount to €34 million in the four-
year plan, with expected startup by 2030 after an experimental
period in the course of 2024 at industrial scale within the term
of five years;
• €82 million relating to the activity of installing recharging points
for EV, allocated to increases in PP&E by €79 million and intangible
assets by €3 million, within the framework of the charging
network expansion plan with the installation of approximately
2.3 thousand new charging stations under the Plenitude brand in
2024;
• €98 million related to storage activities, mainly for the completion
of the storage project in the USA, Guajillo (199 MW).
1.2.3.3. CONTEXTUAL INFORMATION ABOUT THE
OPEX KPI
The numerator of the OpEx KPI comprises €282 million of
expenses that mainly related to maintenance and repair, and
other direct expenditures relating to the day-to-day servicing of
assets of property, plant and equipment by the Eni or third party to
whom activities are outsourced that were necessary to ensure the
continued and effective functioning of such assets. The breakdown
related to the main activities is as follows:
• €28 million incurred in the production of electricity from
photovoltaic plants, related to maintenance and other daily
operating expenses (inspections, cleaning, and others);
• €46 million incurred in the production of electricity from wind
plants, related to maintenance and other daily operating expenses
(inspections, cleaning, and others);
• €157 million incurred in the production of biofuels, related to
maintenance and other daily operating expenses (inspections,
cleaning, and others).
Compliance with the Minimum Safeguards (Ms) -
Article 3 “c” of the EU Taxonomy Regulation
The criteria for the eco-sustainability of economic activities outlined
in article 3 of the Taxonomy Regulation call for respecting minimum
safeguards when conducting business (referred to in paragraph
“c”). The rule under Article 18 identifies the MS with the procedures
implemented by a company to ensure that business conduct
complies with the OECD Guidelines for Multinational Enterprises
and the United Nations Guiding Principles on Business and Human
Rights. Compliance with the MS includes the principles and rights
set out in the eight core conventions identified in the International
Labour Organisation’s Declaration on Fundamental Principles and
Rights at Work and in the International Bill of Human Rights.
When companies implement these procedures, they must also
comply with the “do no significant harm” principle outlined
in Article 2, paragraph 17 of Regulation (EU) 2019/2088, the
Sustainable Finance Disclosure Regulation (SFDR). The SFDR
requires financial market participants to assess the ESG risk
of the investments within the financial products they intend to
offer investors, measuring the ESG performance of the investee
companies against a predefined set of key impact indicators in
critical “principal adverse impact” areas. Five of these indicators
have a social nature: (i) violations of the UN Global Compact
principles and the OECD Guidelines for Multinational Enterprises;
(ii) lack of processes and compliance mechanisms to monitor
compliance with the previous point’s principles; (iii) unadjusted
gender pay gap; (iv) Board gender diversity; and (v) exposure to
controversial weapons. The definition of sustainable investment in
article 2 (17) of the SFDR states that an investment is sustainable
if it contributes to broadly defined environmental or social
objectives, provided that it does not harm any of these objectives.
Thus, Eni assumes that in complying with the SFDR principle “do
no significant harm”, it is understood to refer to the five social
impact indicators described above, four of which are included in
Eni’s human rights due diligence processes. Regarding the fifth,
Eni confirms that it does not have any exposure to controversial
weapons.
The OECD Guidelines for Multinational Enterprises are principles
for responsible business conduct related to eight business areas:
(i) three relate to the issues of human rights (human rights,
consumer protection, employment and industrial relations); (ii)
Anti-Corruption;
(iii) fair competition; (iv) taxation.
Finally, environmental protection is treated by the sustainability
performance criteria set article 3 of the Taxonomy Regulation,
while science/technology are out of the scope.
The ILO’s eight labor conventions are comprised in the wider issue
of respect for human rights.
Observance of the fundamental principles of human rights
contained in the International Bill of Human Rights (Universal
Declaration of Human Rights, International Covenant on Civil
and Political Rights and International Covenant on Economic
Social and Cultural Rights) is ensured by Eni’s compliance with
the Italian Constitution and rules intended to implement it, which
embody human rights principles. As a company incorporated in
Italy, Eni is obliged to observe them.
Compliance with the safeguard clause is based on establishing
and maintaining adequate company due diligence processes and
company’s management systems in the following areas:
• ANTI-CORRUPTION see section Conduct, business culture and
corruption prevention;
• BUSINESS TAXATION see section Tax Strategy;
• HUMAN RIGHTS see section Human rights for Eni;
• COMPLIANCE WITH COMPETITION LAW see the paragraph below.
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Fair competition
Eni has set up a controlled environment and a set of procedures
and controls to minimize the risk that business and corporate
activities violate the rules protecting competition in the various
Countries where it operates. Among the fundamental values of the
Company are the principles of fair competition – understood as
a market environment that encourages companies to excel in the
quality and cost effectiveness of the products and/or services sold/
supplied – and compliance with antitrust legislation. Eni’s control
system has three phases: prevention, risk monitoring/mitigation
and counteracting unlawful conduct. It is designed to minimize
the risk that Eni’s business units and subsidiaries engage in anti-
competitive conduct, adopt practices that restrict the free market
or collude with competing companies. Corporate transactions
to increase market share (mergers/acquisitions) are executed
after the antitrust authorities of the jurisdictions concerned have
been informed. Appropriate remediation plans are formulated
in response to any comments received and in compliance with
standstill obligations and the prohibition of unlawful exchange
of information during the negotiation and due diligence phases.
In 2024, no Group company or senior management member was
party to disputes for antitrust legislation violations that resulted
in a final verdict of conviction. On the reporting date, there was no
significant pending antitrust disputes.
In 2024, Eni did not receive any final verdict of conviction for
violations of laws, regulations or other regulatory institutions relating
to human rights, bribery, competition or tax violations. The Company
is cooperating actively and in good faith with the OECD National
Contact Points to resolve pending Specific Instances.
In conclusion, considering the draft Report “Minimum Safeguards”,
Eni believes it complies with the safeguard clause of Article 3,
paragraph “c” of the EU Taxonomy Regulation.
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Financial year 2024
Substantial contribution criteria
Economic activities (1)
Code(s) (2)
Absolute Turnover (3)
Proportion of
Turnover (4)
Climate Change
Mitigation (CCM) (5)
Climate Change
Adaptation (CCA) (6)
Water and marine
resources (7)
Circular economy (8)
Pollution (9)
Biodiversity and
ecosystems (10)
m€
%
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Manufacture of plastics in primary form
CCM 3.17
230
0.3%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation using solar photovoltaic technology
CCM 4.1
80
0.1%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation (wind)
CCM 4.3
159
0.2%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation from bioenergy
CCM 4.8
40
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Storage of electricity
CCM 4.10
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas and biofuels for use in transport and of
bioliquids
CCM 4.13
297
0.3%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Anaerobic digestion of bio-waste
CCM 5.7/CE 2.5
2
0.0%
Y
N/EL
N/EL
N
N/EL
N/EL
Composting of bio-waste
CCM 5.8/CE 2.5
2
0.0%
Y
N/EL
N/EL
N
N/EL
N/EL
Transport by motorbikes, passenger cars and light commercial vehicles
CCM 6.5
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Turnover of environmentally sustainable activities (Taxonomy-aligned)
(A.1)
812
0.9%
%
of which enabling
0.0%
of which transitional
0.3%
A.2. Taxonomy-Eligible but not environmentally sustainable activities
(not Taxonomy-aligned)
Recovery of bio-waste by anaerobic digestion or composting
CE 2.5
4
0.0%
EL
N/EL
N/EL
EL
N/EL
N/EL
Manufacture of organic basic chemicals
CCM 3.14
1,341
1.5%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of plastics in primary form
CCM 3.17
1,421
1.6%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transmission and distribution of electricity
CCM 4.9
4
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas/biofuels for use in transport
CCM 4.13
219
0.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
High-efficiency co-generation of heat/cool and power from fossil
gaseous fuels
CCM 4.30
1,571
1.8%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Construction, extension and operation of waste water collection and
treatment
CCM 5.3
20
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Collection and transport of non-hazardous waste in source segregated
fractions
CCM 5.5
1
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transport by motorbikes, passenger cars and commercial vehicles
CCM 6.5
24
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Turnover of Taxonomy-eligible but not environmentally sustainable
activities (not Taxonomy-aligned activities) (A.2)
4,601
5.2%
%
%
%
%
%
%
Turnover of Taxonomy eligible activities (A.1 + A.2)
5,413
6.1%
B. TAXONOMY-NON-ELIGIBLE ACTIVITES
Turnover of Taxonomy-non-eligible activites (B)
83,384
93.9%
TOTAL
88,797
100.0%
TURNOVER KPI
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DNSH
Climate Change
Mitigation (CCM) (11)
Climate Change
Adaptation (CCA) (12)
Water and marine
resources (13)
Circular economy (14)
Pollution (15)
Biodiversity and
ecosystems (16)
Minimum Safeguards
(17)
Proportion of
Taxonomy aligned
or eligible Turnover
year 2023 (18)
Category (enabling
activity or) (20)
Category (transitional
activity) (21)
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
Y
Y
Y
Y
Y
Y
0.1%
T
Y
Y
Y
Y
Y
Y
0.2%
Y
Y
Y
Y
Y
Y
0.2%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.7%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
%
0.0%
E
0.1%
T
Y
0.0%
Y
1.4%
Y
1.7%
Y
0.0%
Y
0.1%
Y
2.2%
Y
0.0%
Y
0.0%
Y
0.0%
Y
%
%
%
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CAPEX KPI
Financial year 2024
Substantial contribution criteria
Economic activities (1)
Code(s) (2)
Absolute CapEx (3)
Proportion of
CapEx (4)
Climate Change
Mitigation (CCM) (5)
Climate Change
Adaptation (CCA) (6)
Water and marine
resources (7)
Circular economy (8)
Pollution (9)
Biodiversity and
ecosystems (10)
m€
%
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Manufacture of plastics in primary form
CCM 3.17
4
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation using solar photovoltaic technology
CCM 4.1
529
3.4%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation (wind)
CCM 4.3
48
0.3%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation from bioenergy
CCM 4.8
7
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Storage of electricity
CCM 4.10
98
0.6%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas and biofuels for use in transport and of
bioliquids
CCM 4.13
300
1.9%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Construction, extension and operation of waste water collection
and treatment
CCM 5.3
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Underground permanent geological storage of CO2
CCM 5.12
146
0.9%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Transport by motorbikes, passenger cars and commercial vehicles
CCM 6.5
5
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Infrastructure enabling road transport and public transport
CCM 6.15
82
0.5%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Installation, maintenance and repair of energy efficiency equipment
CCM 7.3
2
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
CapEx of environmentally sustainable activities
(Taxonomy-aligned) (A.1)
1,222
7.9%
%
of which enabling
0.5%
of which transitional
0.0%
A.2. Taxonomy-Eligible but not environmentally sustainable activities
(not Taxonomy-aligned)
Manufacture of hydrogen
CCM 3.10
1
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of organic basic chemicals
CCM 3.14
98
0.6%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of plastics in primary form
CCM 3.17
62
0.4%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation from bioenergy
CCM 4.8
3
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transmission and distribution of electricity
CCM 4.9
1
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas/biofuels for use in transport
CCM 4.13
69
0.4%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
High-efficiency co-generation of heat/cool and power from fossil
gaseous fuels
CCM 4.30
89
0.6%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Construction, extension and operation of waste water collection and
treatment
CCM 5.3
76
0.5%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transport by motorbikes, passenger cars and commercial vehicles
CCM 6.5
14
0.1%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Infrastructure enabling road transport and public transport
CCM 6.15
4
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Installation, maintenance and repair of energy efficiency equipment
CCM 7.3
2
0.0%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
CapEx of Taxonomy-eligible but not environmentally sustainable
activities (not Taxonomy-aligned activities) (A.2)
419
2.7%
%
%
%
%
%
%
Capex of Taxonomy eligible activities (A.1 + A.2)
1,641
10.6%
B. TAXONOMY-NON-ELIGIBLE ACTIVITIES
Capex of Taxonomy-non-eligible activites (B)
13,861
89.4%
TOTAL
15,502
100.0%
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ANNEX
DNSH
Climate Change
Mitigation (CCM) (11)
Climate Change
Adaptation (CCA) (12)
Water and marine
resources (13)
Circular economy (14)
Pollution (15)
Biodiversity and
ecosystems (16)
Minimum Safeguards
(17)
Proportion of
Taxonomy aligned or
eligible Capex
year 2023 (18)
Category (enabling
activity or) (20)
Category (transitional
activity) (21)
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
Y
Y
Y
Y
Y
Y
5.5%
T
Y
Y
Y
Y
Y
Y
4.4%
Y
Y
Y
Y
Y
Y
1.0%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.2%
Y
Y
Y
Y
Y
Y
1.6%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
1.1%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
0.9%
E
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
%
0.9%
E
5.5%
T
Y
0.0%
Y
0.5%
Y
0.6%
Y
0.0%
Y
0.0%
Y
0.6%
Y
0.7%
Y
0.2%
Y
0.1%
Y
0.0%
Y
0.0%
Y
%
%
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OPEX KPI
Financial year 2024
Substantial contribution criteria
Economic activities (1)
Code(s) (2)
Absolute Opex (3)
Proportion of
Opex (4)
Climate Change
Mitigation (CCM) (5)
Climate Change
Adaptation (CCA) (6)
Water and marine
resources (7)
Circular economy (8)
Pollution (9)
Biodiversity and
ecosystems (10)
m€
%
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
Y; N; N/EL
(b) (c)
A. TAXONOMY-ELIGIBLE ACTIVITIES
A.1. Environmentally sustainable activities (Taxonomy-aligned)
Manufacture of plastics in primary form
CCM 3.17
38
0.9%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation using solar photovoltaic technology
CCM 4.1
28
0.7%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation (wind)
CCM 4.3
46
1.1%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Electricity generation from bioenergy
CCM 4.8
10
0.2%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Storage of electricity
CCM 4.10
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas and biofuels for use in transport and of
bioliquids
CCM 4.13
157
3.7%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Anaerobic digestion of bio-waste
CCM 5.7
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
Composting of bio-waste
CCM 5.8
1
0.0%
Y
N/EL
N/EL
N/EL
N/EL
N/EL
OpEX of environmentally sustainable activities (Taxonomy-aligned)
(A.1)
282
6.5%
%
of which enabling
0.0%
of which transitional
0.9%
A.2. Taxonomy-Eligible but not environmentally sustainable activities
(not Taxonomy-aligned)
Manufacture of other low carbon technologies
CCM 3.6
8
0.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of organic basic chemicals
CCM 3.14
55
1.3%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of plastics in primary form
CCM 3.17
94
2.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transmission and distribution of electricity
CCM 4.9
3
0.1%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Manufacture of biogas/biofuels for use in transport
CCM 4.13
19
0.4%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Cogeneration of heat/cool and power from bioenergy
CCM 4.20
9
0.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
High-efficiency co-generation of heat/cool and power from fossil
gaseous fuels
CCM 4.30
51
1.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Construction, extension and operation of waste water collection and
treatment
CCM 5.3
145
3.4%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Collection and transport of non-hazardous waste in source segregated
fractions
CCM 5.5
10
0.2%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Underground permanent geological storage of CO2
CCM 5.12
4
0.1%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
Transport by motorbikes, passenger cars and commercial vehicles
CCM 6.5
5
0.1%
EL
N/EL
N/EL
N/EL
N/EL
N/EL
OpEX of Taxonomy-eligible but not environmentally sustainable
activities (not Taxonomy-aligned activities) (A.2)
403
9.4%
%
%
%
%
%
%
OpEX of Taxonomy eligible activities (A.1+A.2)
685
15.9%
B. TAXONOMY-NON-ELIGIBLE ACTIVITES
OpEX of Taxonomy-non-eligible activites (B)
3,624
84.1%
Total
4,309
100.0%
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DNSH
Climate Change
Mitigation (CCM) (11)
Climate Change
Adaptation (CCA) (12)
Water and marine
resources (13)
Circular economy (14)
Pollution (15)
Biodiversity and
ecosystems (16)
Minimum Safeguards
(17)
Proportion of
Taxonomy aligned or
eligible Opex
year 2023 (18)
Category (enabling
activity or) (20)
Category (transitional
activity) (21)
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
Y/N
%
E
T
Y
Y
Y
Y
Y
Y
0.1%
T
Y
Y
Y
Y
Y
Y
2.2%
Y
Y
Y
Y
Y
Y
0.6%
Y
Y
Y
Y
Y
Y
0.2%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
1.6%
Y
Y
Y
Y
Y
Y
0.1%
Y
Y
Y
Y
Y
Y
0.0%
Y
Y
Y
Y
Y
Y
%
0.0%
E
0.1%
T
Y
0.2%
Y
1.4%
Y
1.7%
Y
0.1%
Y
0.4%
Y
0.3%
Y
1.2%
Y
3.5%
Y
0.2%
Y
0.1%
Y
0.1%
Y
%
%
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Template 1: Nuclear and fossil gas related activities,2024
Row
Nuclear energy related activities
2024
1
The undertaking carries out, funds or has exposures to research, development, demonstration and deployment of innovative electricity generation facilities that produce
energy from nuclear processes with minimal waste from the fuel cycle.
No
2
The undertaking carries out, funds or has exposures to construction and safe operation of new nuclear installations to produce electricity or process heat, including for the
purposes of district heating or industrial processes such as hydrogen production, as well as their safety upgrades, using best available technologies.
No
3
The undertaking carries out, funds or has exposures to safe operation of existing nuclear installations that produce electricity or process heat, including for the purposes of
district heating or industrial processes such as hydrogen production from nuclear energy, as well as their safety upgrades.
No
Fossil gas related activities
4
The undertaking carries out, funds or has exposures to construction or operation of electricity generation facilities that produce electricity using fossil gaseous fuels.
No
5
The undertaking carries out, funds or has exposures to construction, refurbishment, and operation of combined heat/cool and power generation facilities using fossil gaseous
fuels.
Yes
6
The undertaking carries out, funds or has exposures to construction, refurbishment and operation of heat generation facilities that produce heat/cool using fossil gaseous
fuels.
No
Template 2: Taxonomy-aligned economic activities (denominator),2024
€ million, except where indicated
Row
Economic activities
Turnover
Capex
Opex
CCM + CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM + CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM + CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
%
1
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.26
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
2
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.27
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
3
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.28
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
4
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.29
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
5
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.30
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
6
Amount and proportion of
taxonomy-aligned economic
activity referred to in Section 4.31
of Annexes I and II to Delegated
Regulation 2021/2139 in the
denominator of the applicable KPI
7
Amount and proportion of other
taxonomy-aligned economic
activities not referred to in rows
1 to 6 above in the denominator
of the applicable KPI
812 0.9%
812
0.9%
0
0%
1,222
7.9%
1,222
7.9%
0
0%
282 6.5%
282 6.5%
0
0%
8
Total applicable KPI
88,797 100%
88,797
100%
0
0%
15,502 100%
15,502 100%
0
0%
4,309 100%
4,309 100%
0
0%
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Template 3: Taxonomy-aligned economic activities (numerator),2024
€ million, except where indicated
Row
Economic activities
Turnover
Capex
Opex
CCM + CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM+CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM+CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
% Amount
%
1
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.26 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
2
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.27 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
3
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.28 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
4
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.29 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
5
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.30 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
0
0%
6
Amount and proportion
of taxonomy-aligned
economic activity
referred to in Section
4.31 of Annexes I
and II to Delegated
Regulation 2021/2139
in the numerator of the
applicable KPI
7
Amount and proportion
of other taxonomy-
aligned economic
activities not referred
to in rows 1 to 6 above
in the numerator of the
applicable KPI
812 100.0%
812 100.0%
0
0%
1,222 100.0%
1,222 100.0%
0
0%
282 100.0%
282 100.0%
0
0%
8
Total amount and
proportion of
taxonomy-aligned
economic activities in
the numerator of the
applicable KPI
812 100.0%
812 100.0%
0
0%
1,222 100.0%
1,222 100.0%
0
0%
282 100.0%
282 100.0%
0
0%
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Template 4: Taxonomy-eligible but not taxonomy-aligned economic activities, 2024
€ million, except where indicated
Row
Economic activities
Turnover
Capex
Opex
CCM + CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM+CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
CCM+CCA
Climate
change
mitigation
(CCM)
Climate
change
adaptation
(CCA)
Amount
%
Amount
%
Amount
% Amount
%
Amount
%
Amount
% Amount
% Amount
% Amount
%
1
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.26 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
2
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.27 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
3
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.28 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
4
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.29 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
5
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.30 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
1,571 34.1%
1,571 34.1%
0
0%
89
21.2%
89 21.2%
0
0%
51
12.7%
51 12.7%
0
0%
6
Amount and proportion
of taxonomy-eligible but
not taxonomy-aligned
economic activity
referred to in Section
4.31 of Annexes I and II
to Delegated Regulation
2021/2139 in the
denominator of the
applicable KPI
7
Amount and proportion of
other taxonomy eligible
but not taxonomy-aligned
economic activities not
referred to in rows 1 to 6
above in the denominator
of the applicable KPI
3,030 59.1%
3,030 59.1%
0
0%
330 72.8%
330 72.8%
0
0%
352 87.5%
352 87.5%
0
0%
8
Total amount and
proportion of taxonomy
eligible but not
taxonomy-aligned
economic activities in
the denominator of the
applicable KPI
4,601 100%
4,601 100%
0
0%
419 100%
419 100%
0
0%
403 100%
403 100%
0
0%
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Template 5: Taxonomy non-eligible economic activities, 2024
€ million, except where indicated
Row
Economic activities
Turnover
Capex
Opex
Amount
%
Amount
%
Amount
%
1
Amount and proportion of economic activity referred to in row 1 of Template 1 that is taxonomy non-
eligible in accordance with Section 4.26 of Annexes I and II to Delegated Regulation 2021/2139 in the
denominator of the applicable KPI
2
Amount and proportion of economic activity referred to in row 2 of Template 1 that is taxonomy non-eligible
in accordance with Section 4.27 of Annexes I and II to Delegated Regulation 2021/2139 in the denominator of
the applicable KPI
3
Amount and proportion of economic activity referred to in row 3 of Template 1 that is taxonomy non-eligible
in accordance with Section 4.28 of Annexes I and II to Delegated Regulation 2021/2139 in the denominator of
the applicable KPI
4
Amount and proportion of economic activity referred to in row 4 of Template 1 that is taxonomy non-eligible
in accordance with Section 4.29 of Annexes I and II to Delegated Regulation 2021/2139 in the denominator of
the applicable KPI
5
Amount and proportion of economic activity referred to in row 5 of Template 1 that is taxonomy non-eligible
in accordance with Section 4.30 of Annexes I and II to Delegated Regulation 2021/2139 in the denominator of
the applicable KPI
0
0%
0
0%
0
0%
6
Amount and proportion of economic activity referred to in row 6 of Template 1 that is taxonomy non-eligible
in accordance with Section 4.31 of Annexes I and II to Delegated Regulation 2021/2139 in the denominator of
the applicable KPI
7
Amount and proportion of other taxonomy non-eligible economic activities not referred to in rows 1 to 6
above in the denominator of the applicable KPI
83,384
100%
13,861
100%
3,624
100%
8
Total amount and proportion of taxonomy non-eligible economic activities in the denominator of the
applicable KPI
83,384
100%
13,861
100%
3,624
100%
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MAIN DEFINITIONS
General
• Inherent risk: inherent risk in the absence of managerial actions to
manage it.
• Residual risk: risk that remains after taking reduction actions.
• Target: in general terms, a target is a specific and measurable
result, generally defined in the strategic plan, with specific
deadlines, a reference year, key performance indicators used to
assess progress, which support the achievement of objectives in
line with the company's policies. Eni identifies specific targets in its
corporate strategies (business, sustainability and decarbonization).
Climate change
• Climate is the statistical description in terms of average
and variability of the relevant meteorological quantities (e.g.
temperature, precipitation, winds, etc.), calculated over a period of
at least 30 years.
• Climate change: a change in the state of the climate that persists
for an extended period, typically decades or longer, and that can
be detected (e.g. using statistical tests) by changes in the mean
and/or variability of its features. Climate change can originate
from internal natural processes or from external forcings, such
as modulations of solar cycles, volcanic eruptions and persistent
anthropogenic changes in the composition of the atmosphere or
land use (source: IPCC glossary).
• Energy transition: it is the transition from the use of energy sources
with a high carbon footprint to low-emission energy sources, and
is part of the broader transition to sustainable economies through
the use of renewable energy and nuclear energy, the adoption of
energy saving and sustainable development techniques (Carbon
neutrality toolkit, UNECE).
• Transition risks: the risks arising from the misalignment between
the strategy and management of an organization or investor and
the evolution of the regulatory, political or social landscape in
which they operate. Developments aimed at halting or reversing
damage to the climate or nature such as government measures,
technological progress, market changes, litigation and changing
consumer preferences can all create or affect transition risks
(source: ESRS).
• Physical Risks (Acute and Chronic): risk from climate change that
can be determined by events (acute risks) or longer-term changes
in climate patterns (chronic risks). Acute physical hazards arise
from specific hazards, especially weather events such as storms,
floods, fires or heat waves. Chronic physical risks result from
longer-term climate change, such as temperature changes and
their effects on sea level rise, lower water availability, biodiversity
loss, and changes in land and soil productivity (source: ESRS).
• Climate change mitigation/decarbonization: actions or activities
that limit GHG emissions (e.g. due to production, energy use or land
use change) and/or reduce their concentration in the atmosphere
(e.g. carbon absorption through land use or other mechanisms).
• Adaptation to climate change: is the adjustment of ecological,
social or economic systems in response to actual or expected
climate impacts. It involves adjustments to reduce the vulnerability
of communities, regions or activities to climate change.
• Decarbonization Plan (Eni): the element of the company's strategic
plan that defines its objectives, actions and resources with a view
to transitioning to a lower-carbon economy, including actions such
as reducing GHG emissions in order to limit global warming to
1.5°C and achieve climate neutrality. Eni's decarbonization plan
differs from the definition of the CRSD transition plan (ESRS E1-
1) because it is built on the equity boundary, in continuity with
previous years. By comparison, the entity-specific boundary used
by Eni covers 97% of the CSRD boundary.
• Mitigation hierarchy: The mitigation hierarchy is an international
best practice, for the management of risks and potential impacts
on the environment, through a sequence of actions: i) preventing
and avoiding impacts; (ii) minimising impact where it cannot be
avoided; (iii) restore and (iv) compensate.
• Actual GHG emissions (Eni): emissions emitted in the past or
present and accounted for in the emission inventory.
• Potential GHG emissions (Eni): possible future emissions
quantified on the basis of its Strategic Plan.
• Residual emissions: GHG emissions that remain after all possible
actions have been taken to reduce them (source: ISO Net Zero
Guidelines).
• Carbon Neutrality: a condition in which the anthropogenic
emissions of carbon dioxide (CO2) associated with a given entity
are balanced through CO2 removals. Carbon neutrality is often
assessed over the entire life cycle, including indirect emissions
(Scope 3), but it can also be limited to emissions and removals,
over a specific period of time, over a given period of time, for
which the entity has direct control, as established by the relevant
reference scheme (source: IPCC glossary).
• Path towards Carbon Neutrality (Eni): a pillar of the business model
that is based on an industrial transformation plan that involves
the use of available and economically sustainable technological
solutions capable of contributing immediately to the reduction
of emissions generated throughout the entire life cycle of energy
products until their net zero by 2050.
• Net zero: on a global scale, the terms carbon neutrality and net zero
CO2 emissions are equivalent. On a sub-global scale, the term net
zero CO2 is generally applied to emissions and removals under the
direct control or territorial responsibility of the reporting entity, while
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carbon neutrality generally also includes emissions and removals
that go beyond the direct control or territorial responsibility of the
entity itself (source: IPCC glossary).
• Net zero targets (Eni): series of targets aimed at reducing emissions.
In the short to medium term, Eni prioritizes the reduction of Scope 1
and Scope 2 emissions, focusing on the Upstream sector, with the
goal of "Net Zero Carbon Footprint Upstream" by 2030. Thereafter,
Eni plans to achieve "Net Zero Carbon Footprint Eni" of Scope 1 and
Scope 2 emissions for the entire Group by 2035. In addition, the
company is taking steps to reduce Scope 3 emissions related to
the carbon intensity of its products and services, thus contributing
to the overall decarbonization of the energy system with the goal of
"Net zero" (for GHG Lifecycle Emissions and for Carbon Intensity)
by 2050.
• Soft and Hard Law: "Soft law" refers to all those phenomena of self-
regulation different from traditional regulatory instruments that are
the result of a formal process of legislative production by bodies
invested with the relevant function, so-called. "hard law", and whose
essential characteristic is given by the fact that they have no direct
binding effect.
• Lower carbon (Eni) solutions/products: represent a diversified
portfolio that aims to contribute to the decarbonization of the
energy system. This portfolio includes innovations in renewable
energy sources, sustainable biofuels, advanced CO2 capture and
storage (CCS) technologies, hydrogen production and nuclear
energy.
• Hard-to-abate: refers to those industrial and heavy transport
sectors with high CO2 emissions that are particularly complex to
decarbonise due to technological, physical and market factors
(source: Irena).
• Carbon dioxide Capture, Utilization and Storage (CCUS): involves
capturing CO2, typically from large emission sources such as power
plants or industrial plants that use fossil fuels or biomass as fuel.
If not used on-site, the captured carbon dioxide is compressed and
transported via pipelines, ship, rail, or truck to be used in a range of
applications, or injected into confined geological formations such
as depleted oil and gas fields or salt aquifers.
• Natural Climate Solutions (NCS): Nature-based solutions for
climate change. They are based on nature's ability to remove and
store carbon from the atmosphere. Among other benefits, they
help protect endangered habitats and promote biodiversity, as well
as support sustainable development for local communities.
• Climate emission scenarios: a plausible representation of the
future evolution of emissions of substances that are radiatively
active (e.g. greenhouse gases – GHGs – and aerosols) based on
a coherent and internally consistent set of assumptions about
the driving forces (such as demographic and socio-economic
development, technological change, energy and land use) and their
key relationships. Concentration scenarios, derived from emission
scenarios, are often used as input for a climate model to calculate
climate projections (source: IPCC9).
• Energy scenarios: provide a framework for exploring future energy
prospects, including the various combinations of technology
options and their implications. Many scenarios in the literature
illustrate how developments in the energy system will affect the
dynamics of different industrial sectors globally. Among the most
recognized energy scenarios are those of the International Energy
Agency (IEA), which annually publishes a series of scenarios in the
World Energy Outlook (WEO), based on detailed energy demand
forecasts by sector, built on specific demographic and economic
variables of the coming decades, according to two reference logics.
- Forecasting, which produce trajectories for the evolution of
energy consumption using demographic/economic inputs and
existing or likely future policies/declared ambitions (STEPS -
Stated Policies Scenario and APS - Announced Pledges Scenario);
- Backcasting, which identify backwards trajectories compatible with
one or more objectives imposed through the use of technologies
even in the demonstration phase, the hypothesis of a sudden
change in consumer habits and an acceleration of the efficiency of
final consumption (NZE – Net Zero Emissions scenario).
Environment
• Environmental Golden Rules: guidelines that aim to protect and
conserve the environment by directing the behavior of people
and companies towards sustainable and environmentally friendly
practices (e.g. through the reduction/reuse and recycling of waste,
energy saving, protection of bio.
• Water stress areas: areas with a baseline value of "water stress"
>40%; water stress is calculated as the ratio of water withdrawn to
recharge capacity in a given basin.
• HVO: Hydrotreated Vegetable Oil, a diesel biofuel produced mainly
from waste raw materials, vegetable residues and a residual part of
vegetable oils.
• Oil spill: spill from primary or secondary containment into the
environment of oil or petroleum derivatives from refining or
petroleum waste occurring during operational activity or as a result
of acts of sabotage, theft and vandalism. It should be noted that
the events reported in this document are only those that have
resulted in spills greater than 1 barrel.
• Mitigation hierarchy: the mitigation hierarchy is an international
best practice, for the management of risks and potential impacts
on the environment, through a sequence of actions: (i) preventing
and avoiding impacts; (ii) minimising impact where it cannot be
avoided; (iii) restore and (iv) compensate.
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Social
• Stop work authority: principle aimed at promoting virtuous and
conscious behavior that guarantees the protection of all workers
for which every collaborator, in any site, has the authority to stop an
activity when he detects dangerous behavior or condition.
• Asset integrity: the ability of an asset to function effectively and
accurately, while safeguarding the well-being of personnel and
equipment throughout the asset's lifecycle, from its design phase
to its decommissioning.
• Human Rights Defender: a person who, individually or with others,
acts peacefully to promote or protect human rights on behalf of
individuals or groups.
• Environmental Social and Health Impact Assessment (ESHIA):
environmental, social and health impact assessment studies
implemented before starting any type of operational project.
• Health Impact Assessment (HIA): structured process to assess
potential health implications within policy proposals, programmes
or projects, identifying potentially adverse effects. It suggests ways
to minimize them, maximizing health benefits, and can be applied
to a wide range of industries by influencing decisions at various
levels of planning.
• Human Rights Impact Assessment" (HRIA) or "Human Rights
Risk Analysis" (HRRA): methodologies aimed at identifying,
analyzing, evaluating and managing the negative effects that the
implementation of an industrial project or other business activities
may have on the enjoyment of the human rights of certain types
of stakeholders (so-called rights-holders), such as workers and
community members.
• Environmental and Social Management Plan: action plans relating
to the mitigation and control actions envisaged by the ESHIA on
environmental and social issues.
• Project Affected People: these are the individual owners of land or
onshore activities (farmers, managers of tourism or entrepreneurial
activities) and offshore (fishermen) who suffer economic or
physical displacement due to an Eni project.
• Salient Human Rights Issue: the set of issues considered most
significant, on which the management model and activities
to respect for human rights are concentrated, divided into the
following clusters: (i) workers' rights (direct and value chain); (ii)
community rights (including security); (iii) Customer Rights.
• Whistleblowing Reports: any Communication received by Eni
concerning conduct – referable to Eni’s People or to all those who
operate or have operated in Italy and abroad in the name of or on
behalf of or in the interest of Eni – that is in violation of laws and
regulations, provisions of the Authorities, Code of Ethics, Model
231 or Compliance Models for foreign subsidiaries and internal
regulations, in compliance with the locally applicable implementing
legislation of Directive (EU) 2019/1937.
• Grievance: a complaint or complaint raised by an individual or
group of individuals arising from actual or perceived impacts
caused by the organization's operational activities.
• B2C: Business to Consumer refers to all business relationships
between the company and the end customer who purchase gas,
electricity or other products and services provided by Plenitude for
personal or domestic, business or commercial use.
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related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS 2 - GENERAL
DISCLOSURES
ESRS 2 BP-1 General basis for
preparation of the sustainability
statement
General Information: Basis for preparation
Reporting principles and criteria:
Introduction, Reporting boundary and Basis
for preparation
ESRS 2 BP-2 Disclosures in relation to
specific circumstances
General Information: Basis for preparation
Reporting principles and criteria:
Introduction and Content index
ESRS 2 GOV-1 The role of the
administrative, management and
supervisory bodies
a) Sustainable Finance
Disclosure Regulation;
Benchmark Regulation
b) Benchmark Regulation
Governance
Integrated Risk
Management
Business conduct: Actions taken on
material IROs, Training and communication
activities
ESRS 2 GOV-2 Information provided
to and sustainability matters
addressed by the undertaking’s
administrative, management and
supervisory bodies
Governance: The Internal
Control System on
sustainability reporting
General Information: Process and results of
the double materiality assessment
ESRS 2 GOV-3 Integration of
sustainability-related performance in
incentive schemes
Governance: The
Remuneration Policy of
the Corporate Bodies
Climate change: Policies and Climate
Governance
ESRS 2 GOV-4 Statement on due
diligence
Par. 30 - Sustainable
Finance Disclosure
Regulation
Governance
General Information: Statement on due
diligence
ESRS 2 GOV-5 Risk management and
internal controls over sustainability
reporting
Governance: The
Internal Control and Risk
Management System
ESRS 2 SBM-1 – Strategy, Business
Model and Value Chain
Par. 40 (d) i –Sustainable
Finance Disclosure
Regulation; Pillar 3;
Benchmark Regulation
Par. 40 (d) ii, iii –
Sustainable Finance
Disclosure Regulation;
Benchmark Regulation
Par. 40 (d) iv –
Benchmark Regulation
Activities
Business model
Operating review
Financial review and
other information:
Revenues and Results by
business segments
Strategy
General Information: Process and results
of the double materiality assessment, value
chain and Main Impacts
Material impacts, risks and opportunities
(IROs) sections in the chapters Clients and
consumers and Business conduct
ESRS 2 SBM-2 – Interests and views
of stakeholders
Business model
General Information: Stakeholder
engagement
ESRS 2 SBM-3 - Material impacts,
risks and opportunities and their
interaction with strategy and business
model
Business model
General Information: Process and results of
the double materiality assessment
Material impacts, risks and opportunities
(IROs) sections across the different
thematic chapters
ESRS 2 IRO-1 Description of the
process to identify and assess
material impacts, risks and
opportunities
General Information: Process and results of
the double materiality assessment and The
resilience of the strategy to material IROs
ESRS 2 IRO-2 Disclosure
Requirements in ESRS covered by
the undertaking’s sustainability
statement
General Information: Basis for preparation
Reporting principles and criteria:
Content index
ESRS 2 MDR-P Policies adopted
to manage material sustainability
matters
Policies sections across all the thematic
chapters
Reporting principles and criteria: Policies
(*) The indication “Not material” is specified only for those KPIs that refer to other European regulations.
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Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS 2 Actions MDR-A Actions and
resources in relation to material
sustainability matters
Actions taken on material IROs sections
across all the thematic chapters
Climate change: Decarbonization plan
ESRS 2 Metrics MDR-M Metrics in
relation to material sustainability
matters
Metrics sections across all the thematic
chapters
Reporting principles and criteria: Metrics:
methodologies
ESRS 2 Targets MDR-T Tracking
effectiveness of policies and actions
through targets
Targets and commitments sections across
all the thematic chapters
Climate change: Decarbonization strategy,
Main GHG emission reduction targets
ESRS E1 CLIMATE CHANGE
ESRS 2 GOV-3 Integration of
sustainability-related performance in
incentive schemes
Climate change: Policies and Climate
Governance
ESRS E1-1 Transition plan for climate
change mitigation
Par. 14 – EU climate
law Par. 16 (g) – Pillar 3;
Benchmark Regulation
Climate change: Decarbonization plan
Climate change: GHG metrics
EU Taxonomy and EU Taxonomy Annex
ESRS 2 SBM-3 Material impacts,
risks and opportunities and their
interaction with strategy and business
model
PHASE-IN only for
paragraph 48(e)
(anticipated financial
effects)
Climate change: Climate risks and
opportunities for the company (outside-in
view)
ESRS 2 IRO-1 Description of the
processes to identify and assess
material climate-related impacts,
risks and opportunities
Risk factors and
uncertainties
Integrated Risk
Management
Climate change: Impacts, risks and
opportunities related to climate change
EU Taxonomy and EU Taxonomy Annex
E1-2 Policies related to climate
change mitigation and adaptation
Climate change: Policies and Climate
Governance
Reporting principles and criteria: Policies
E1-3 Actions and resources in relation
to climate change policies
Climate change: Decarbonization plan
E1-4 Targets related to climate
change mitigation and adaptation
Climate change: Decarbonization strategy,
Main GHG emission reduction targets,
Targets for the reduction of methane
emissions and flaring in the Upstream
business (operated and cooperated assets)
ESRS E1-4 GHG emission reduction
targets, paragraph 34
Par. 34 – Sustainable
Finance Disclosure
Regulation; Pillar 3;
Benchmark Regulation
Climate change: Decarbonization strategy,
Main GHG emission reduction targets,
Targets for the reduction of methane
emissions and flaring in the Upstream
business (operated and cooperated assets)
E1-5 Energy consumption and mix
Climate change: Metrics, Energy
consumption and energy mix
Reporting principles and criteria: Metrics:
methodologies
ESRS E1-5 Energy consumption
from fossil sources disaggregated
by sources (only high climate impact
sectors), paragraph 38
Par. 38 – Sustainable
Finance Disclosure
Regulation
Climate change: Metrics, Energy
consumption and energy mix
Reporting principles and criteria: Metrics:
methodologies
ESRS E1-5 Energy consumption and
mix, paragraph 37
Par. 37 – Sustainable
Finance Disclosure
Regulation
Climate change: Metrics, Energy
consumption and energy mix
Reporting principles and criteria: Metrics:
methodologies
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related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS E1-5
Energy intensity associated with
activities in high climate impact
sectors, paragraphs 40 to 43
Par. da 40 a 43 –
Sustainable Finance
Disclosure Regulation
NOT MATERIAL - The
intensity indicators, and
especially their trends,
based on revenues are
not representative for the
sector as revenues are
strictly dependent on the
commodities prices.
E1-6 Gross Scopes 1, 2, 3 and Total
GHG emissions
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E1-6 Gross Scope 1, 2, 3 and
Total GHG emissions, paragraph 44
Par. 44 – Sustainable
Finance Disclosure
Regulation; Pillar 3;
Benchmark Regulation
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E1-6 Gross GHG emissions
intensity, paragraphs 53 to 55
Par. from 53 to 55 –
Sustainable Finance
Disclosure Regulation;
Pillar 3; Benchmark
Regulation
NOT MATERIAL - The
intensity indicators, and
especially their trends,
based on revenues are
not representative for the
sector as revenues are
strictly dependent on the
commodities prices.
E1-7 GHG removals and GHG
mitigation projects financed through
carbon credits
Operating review:
CCS and Agri
Climate change: Decarbonization plan,
Offsets and removals of GHG emissions
Reporting principles and criteria: Metrics:
methodologies
ESRS E1-7 GHG removals and carbon
credits, paragraph 56
Para. 56 – EU Climate
Law
Climate change: Decarbonization plan and
Offsets and removals of GHG emissions
Reporting principles and criteria: Metrics:
methodologies
E1-8 Internal carbon pricing
Climate change: Climate risks and
opportunities for the company (outside-in
view) and Internal carbon pricing
Reporting principles and criteria: Metrics:
methodologies
E1-9 Anticipated financial effects
from material physical and transition
risks and potential climate-related
opportunities
PHASE-IN
ESRS E1-9
Exposure of the benchmark portfolio
to climate-related physical risks,
paragraph 66
Par. 66 –Benchmark
Regulation
PHASE-IN
ESRS E1-9
Disaggregation of monetary amounts
by acute and chronic physical risk,
paragraph 66, letter a)
ESRS E1-9
Location of significant assets at
material physical risk, paragraph 66,
letter c)
Par. 66 (a) – Pillar 3
Par. 66 (c) – Pillar 3
PHASE-IN
ESRS E1-9
Breakdown of the carrying value of its
real estate assets by energy-efficiency
classes, paragraph 67, letter c)
Par. 67 (c) – Pillar 3
PHASE-IN
Degree of exposure of the portfolio
to climate-related opportunities,
paragraph 69
Par. 69 –Benchmark
Regulation
PHASE-IN
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ENTITY SPECIFIC (ES) E1
ES E1-1 Scope 1 GHG emissions
of which:
- CO2 equivalent from combustion and
process
- CO2 equivalent from flaring
- CO2 equivalent from venting
- CO2 equivalent from methane fugitive
emissions
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-2
- Net Carbon Footprint upstream
(Scope 1+2)
- Net Carbon Footprint Eni (Scope1+2)
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-3
Net GHG Lifecycle Emissions (Scope
1+2+3)
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-4
Net Carbon Intensity (Scope 1+2+3)
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-5
Renewable Installed capacity
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-6
Capacity of biorefineries
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-7
- Eni direct methane emissions
(Scope 1)
- of which: fugitive upstream
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-8
Upstream methane emission intensity
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-9
- Volume of hydrocarbons sent to
flaring
- of which: routine Upstream
Climate change: GHG metrics
Reporting principles and criteria: Metrics:
methodologies
ES E1-10
Sold production of biofuels
Climate change: GHG metrics
Energy consumption and energy mix
Reporting principles and criteria: Metrics:
methodologies
ES E1-11
-R&D expenditures
-of which: related to decarbonization
Climate change: GHG metrics
Energy consumption and energy mix
Reporting principles and criteria: Metrics:
methodologies
ES E1-12
- Patent application first filings
- of which: related to renewable energy
sources
Climate change: Decarbonization plan,
Locked-in Emissions Assessment, Patents
and innovation
Reporting principles and criteria: Metrics:
methodologies
ESRS E2 POLLUTION
ESRS 2 IRO-1 Description of the
processes to identify and assess
material pollution-related impacts,
risks and opportunities
Risk factors and
uncertainties
Environment and Eni’s management system
Pollution: Material impacts, risks and
opportunities (IROs)
E2-1 Policies related to pollution
Environment and Eni’s management system
Pollution: Policies
Reporting principles and criteria: Policies
E2-2 Actions and resources related
to pollution
Pollution: Actions taken on material IROs
E2-3 Targets related to pollution
Pollution: Targets and commitments
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related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
E2-4 Pollution of air, water and soil
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E2-4
Amount of each pollutant listed in
Annex II of the
E-PRTR Regulation (European
Pollutant Release and Transfer
Register) emitted to air, water and soil,
paragraph 28
Par. 28 – Sustainable
Finance Disclosure
Regulation
Pollution: Metrics, Other pollutants listed in
Regulation 166/2006 (E-PRTR)
Reporting principles and criteria: Metrics:
methodologies
E2-6 Anticipated financial effects
from material pollution-related risks
and opportunities
PHASE-IN
ENTITY SPECIFIC (ES) E2
ES E2-1
- Operating oil spill (>1 barrel)
- of which: upstream
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-2
- Operating oil spill volumes (>1 barrel)
- of which: upstream
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-3
- Oil spill from sabotage (including
theft) (>1 barrel)
- of which: upstream
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-4
- Volumes of oil spill from sabotage
(including theft) (>1 barrel)
- of which: upstream
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-5
Oil spill volumes from sabotage
(including theft) in Nigeria (>1 barrel)
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-6
Chemical spill
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E2-7
Chemical spill volumes
Pollution: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E3 WATER AND
MARINE RESOURCES
ESRS 2 IRO-1 Description of
the processes to identify and
assess material water and marine
resources-related impacts, risks and
opportunities
Environment and Eni’s management system
Water resources: Actions taken on material
IROs
E3-1 Policies related to water and
marine resources
Pollution: Policies
Water resources: Policies
Reporting principles and criteria: Policies
ESRS E3-1
Water and marine resources,
paragraph 9
Par. 9 – Sustainable
Finance Disclosure
Regulation
Pollution: Policies
Water resources: Policies
Reporting principles and criteria: Policies
ESRS E3-1
Dedicated policy, paragraph 13
Par. 13 – Sustainable
Finance Disclosure
Regulation
Not applicable – Policies
cover all sites
ESRS E3-1
Sustainable oceans and seas,
paragraph 14
Par. 14 – Sustainable
Finance Disclosure
Regulation
NOT MATERIAL
E3-2 Actions and resources related
to water and marine resources
Water resources: Actions taken on material
IROs
E3-3 Targets related to water and
marine resources
Water resources: Targets and commitments
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Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
E3-4 Water consumption
Water resources: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E3-4 Total water recycled and
reused, paragraph 28, letter c)
Par. 28 (c) – Sustainable
Finance Disclosure
Regulation
Water resources: Metrics
Reporting principles and criteria: Metrics
methodologies
ESRS E3-4
Total water consumption in m3 per
net revenue on own operations,
paragraph 29
Par. 29 – Sustainable
Finance Disclosure
Regulation
NOT MATERIAL - The
intensity indicators, and
especially their trends,
based on revenues are
not representative for the
sector as revenues are
strictly dependent on the
commodities prices.
E3-5 Anticipated financial effects from
material water and marine resources-
related risks and opportunities
PHASE-IN
ENTITY SPECIFIC (ES) E3
ES E3-1
Water withdrawals
- of which: seawater
- of which: fresh water
Water resources: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E3-2
Water discharge
Water resources: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E3-3
Fresh water reuse
Water resources: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES E3-4
Reinjected produced water
Water resources: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E4 BIODIVERSITY AND
ECOSYSTEMS
E4-1 Transition plan and consideration
of biodiversity and ecosystems in
strategy and business model
Biodiversity: Material impacts, risks and
opportunities (IROs)
ESRS 2 SBM-3 Material impacts, risks
and opportunities and their interaction
with strategy and business model
Biodiversity: Material impacts, risks and
opportunities (IROs), Actions taken on
material IROs and metrics
ESRS 2 SBM-3 – E4 paragraph 16,
letter a), point i)
Par. 16 (a) i – Sustainable
Finance Disclosure
Regulation
Biodiversity: Actions taken on material IROs
and metrics
ESRS 2 SBM-3 – E4 paragraph 16,
letter b)
Par. 16 (b) – Sustainable
Finance Disclosure
Regulation
Biodiversity: Actions taken on material IROs
and metrics
ESRS 2 SBM-3 – E4 paragraph 16,
letter c)
Par. 16 (c) – Sustainable
Finance Disclosure
Regulation
Biodiversity: Actions taken on material IROs
and metrics
ESRS 2 IRO-1 Description of
processes to identify and assess
material biodiversity and ecosystem-
related impacts, risks, dependencies
and opportunities
Biodiversity: Material impacts, risks and
opportunities (IROs), Actions taken on
material IROs and metrics
E4-2 Policies related to biodiversity
and ecosystems
Biodiversity: Policies
Reporting principles and criteria: Policies
ESRS E4-2
Sustainable land / agriculture practices
or policies, paragraph 24, letter b)
Par. 24 (b) – Sustainable
Finance Disclosure
Regulation
Biodiversity: Policies
Reporting principles and criteria: Policies
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related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS E4-2
Sustainable oceans / seas practices
or policies, paragraph 24, letter c)
Par. 24 (c) – Sustainable
Finance Disclosure
Regulation
NOT MATERIAL
ESRS E4-2
Policies to address deforestation,
paragraph 24, letter d)
Par. 24 (d) – Sustainable
Finance Disclosure
Regulation
Biodiversity: Policies
Reporting principles and criteria: Policies
E4-3 Actions and resources related to
biodiversity and ecosystems
Biodiversity: Actions taken on material IROs
and metrics
E4-4 Targets related to biodiversity
and ecosystems
Biodiversity: Targets and commitments
E4-5 Impact metrics related to
biodiversity and ecosystems change
Biodiversity: Actions taken on material IROs
and metrics
Reporting principles and criteria: Metrics:
methodologies
E4-6 Anticipated financial effects
from material biodiversity and
ecosystem-related risks and
opportunities
PHASE-IN
ESRS E5 RESOURCE USE
AND CIRCULAR ECONOMY
ESRS 2 IRO-1 Description of the
processes to identify and assess
material resource use and circular
economy-related impacts, risks and
opportunities
Environment and Eni’s management system
Resource use and circular economy:
Material impacts, risks and opportunities
(IROs)
E5-1 Policies related to resource use
and circular economy
Resource use and circular economy:
Policies
Reporting principles and criteria: Policies
E5-2 Actions and resources related to
resource use and circular economy
Operating review:
Refining and Chemicals,
Circular economy
initiatives and chemicals
from renewables;
Environmental activities
Resource use and circular economy:
Actions taken on material IROs
E5-3 Targets related to resource use
and circular economy
Resource use and circular economy:
Targets and commitments
E5-4 Resource inflows
The metrics of E5-4
Resource inflows (net of
incoming and outgoing
hydrocarbons) are not
material, as it is not a
sector with a high use of
materials
Operating review:
Refining and Chemicals,
Circular economy
initiatives and chemicals
from renewables
E5-5 Resource outflows
Operating review:
Refining and Chemicals,
Circular economy
initiatives and chemicals
from renewables
Resource use and circular economy:
Material impacts, risks and opportunities
(IROs), Metrics
ESRS E5-5
Non-recycled waste, paragraph 37,
letter d)
Par. 37 (d) – Sustainable
Finance Disclosure
Regulation
Resource use and circular economy:
Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS E5-5
Hazardous waste and radioactive
waste, paragraph 39
Par. 39 – Sustainable
Finance Disclosure
Regulation
Resource use and circular economy:
Metrics
Reporting principles and criteria: Metrics:
methodologies
E5-6 Anticipated financial effects
from material resource use and
circular economy-related risks and
opportunities
PHASE-IN
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ESRS S1 OWN WORKFORCE
ESRS 2 SBM-2 Interests and views of
stakeholders
General Information: Stakeholder
engagement
ESRS 2 SBM-3 Material impacts,
risks and opportunities and their
interaction with strategy and business
model
General Information: Stakeholder
engagement
Eni’s own workforce: Material impacts, risks
and opportunities (IROs)
ESRS 2- SBM3 - S1
Risk of incidents of forced labour
paragraph 14, letter f)
Par. 14 (f) – Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Monitoring human
rights, Salient Human Rights Issues
ESRS 2- SBM3 - S1
Risk of incidents of child labour
paragraph 14, letter g)
Par. 14 (g) – Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Monitoring human
rights, Salient Human Rights Issues
S1-1 Policies related to own
workforce
Eni’s own workforce: Policies
Reporting principles and criteria: Policies
ESRS S1-1
Human rights policy commitments,
paragraph 20
Par. 20 – Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Policies
Reporting principles and criteria: Policies
ESRS S1-1
Due diligence policies on issues
addressed by the fundamental
International Labor Organisation
Conventions 1 to 8, paragraph 21
Par. 21 – Benchmark
Regulation
Human rights for Eni: Policies
Reporting principles and criteria: Policies
ESRS S1-1
Processes and measures for
preventing trafficking in human beings,
paragraph 22
Par. 22 – Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Policies
Reporting principles and criteria: Policies
ESRS S1-1
Workplace accident prevention policy
or management system, paragraph 23
Par. 23 – Sustainable
Finance Disclosure
Regulation
Healt & safety: Policies
Reporting principles and criteria: Policies
S1-2 Processes for engaging
with own workforce and workers’
representatives about impacts
Eni’s own workforce: Employee engagement
S1-3 Processes to remediate negative
impacts and channels for own
workforce to raise concerns
Governance: The
Internal Control and Risk
Management System
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
Eni’s own workforce: Employee engagement,
whistleblowing and remediation
mechanisms
Business conduct: Targets and
commitments, Actions taken on material
IROs, Reporting and verification process in
case of violations of the Code of Ethics, anti-
corruption rules and other regulations
ESRS S1-3
Grievance/complaints handling
mechanisms, paragraph 32, letter c)
Par. 32 (c) – Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
S1-4 Taking action on material
impacts on own workforce, and
approaches to managing material
risks and pursuing material
opportunities related to own
workforce, and effectiveness of
those actionsi
General Information: Process and results of
the double materiality assessment
Human rights for Eni: Monitoring human
rights
Eni’s own workforce: Policies, Employee
engagement, whistleblowing and
remediation mechanisms, Actions taken on
material IROs
Health & Safety, Health
S1-5 Targets related to managing
material negative impacts, advancing
positive impacts, and managing
material risks and opportunities
Eni’s own workforce: Targets and
commitments
S1-6 Characteristics of the
undertaking’s employees
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
S1-7 Characteristics of non-
employees in the undertaking’s own
workforce
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-8 Collective bargaining coverage
and social dialogue
Eni’s own workforce: Employee engagement,
Industrial relations, Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-9 Diversity metrics
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-10 Adequate wages
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-11 Social protection
PHASE-IN
S1-12 People with disabilities
PHASE-IN
S1-13 Training and skills development
metrics
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-14 Health and safety metrics
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S1-14
Number of fatalities and number
and rate of work-related accidents,
paragraph 88, letters b) and c)
Par. 88 (b), (c) –
Sustainable Finance
Disclosure Regulation;
Benchmark Regulation
PHASE-IN
(non-employees)
Healt & safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S1-14
Number of days lost to injuries,
accidents, fatalities or illness,
paragraph 88, letter e)
Par. 88 (e) – Sustainable
Finance Disclosure
Regulation
PHASE-IN
with reference to
occupational diseases.
Phase-in adopted also for
non-employees)
Healt & safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-15 Work-life balance metrics
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-16 Remuneration metrics (pay gap
and total remuneration)
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S1-16
Unadjusted gender pay gap, paragraph
97, letter a)
Par. 97 (a) – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S1-16
Excessive CEO pay ratio, paragraph
97, letter b)
Par. 97 (b) – Sustainable
Finance Disclosure
Regulation
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
S1-17 Incidents, complaints and
severe human rights impacts
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms, Disputes and non-judicial
remedy mechanisms
Eni’s own workforce: Employee
engagement, whistleblowing and
remediation mechanisms
Reporting principles and criteria: Metrics:
methodologies
ESRS S1-17
Incidents of discrimination, paragraph
103, letter a)
Par. 103 (a) –
Sustainable Finance
Disclosure Regulation
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms, Disputes and non-judicial
remedy mechanisms
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS S1-17
Non-respect of the United Nations
Guiding Principles on Business and
Human Rights and OECD, paragraph
104, letter a)
Par. 104 (a) –
Sustainable Finance
Disclosure Regulation;
Benchmark Regulation
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms, Disputes and non-judicial
remedy mechanisms
Eni’s own workforce: Employee
engagement, Whistleblowing and
remediation mechanisms
Reporting principles and criteria: Metrics:
methodologies
ENTITY SPECIFIC (ES)
ES S1-1
Human rights training hours
Human rights for Eni: Monitoring human
rights
Reporting principles and criteria: Metrics:
methodologies
ES S1-2
Employees who have received human
rights training
Human rights for Eni: Monitoring human
rights
Reporting principles and criteria: Metrics:
methodologies
ES S1-3
Local employees abroad
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-4
Non-Italian employees in positions of
responsibility
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-5
New hires with permanent contracts
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-6
Training hours
Eni’s own workforce: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-7
Near miss
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-8
Fatality index
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-9
Worked hours
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-10
Participation in health promotion
initiatives
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-11
Healthcare services supported by Eni
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-12
Occupational diseases claims
submitted by heirs
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-13
Tier 1 Process Safety Events
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ES S1-14
Process safety Tier 2 events
Health & Safety: Metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S2 WORKERS IN THE
VALUE CHAIN
ESRS 2 SBM-2 Interests and views of
stakeholders
General Information: Stakeholder
engagement
Workers in Eni’s value chain: Actions taken
on material IROs
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS 2 SBM-3 Material impacts,
risks and opportunities and their
interaction with strategy and business
model
Risk factors and
uncertainties
General Information: Stakeholder
engagement
Workers in Eni’s value chain: Material
impacts, risks and opportunities (IROs),
Actions taken on material IROs
Business conduct: Sustainable supply chain
management, Actions taken on material
IROs
ESRS 2- SBM3 – S2
Significant risk of child labour or
forced labour in the value chain,
paragraph 11, letter b)
Par. 11 (b) – Sustainable
Finance Disclosure
Regulation
Workers in Eni’s value chain: Actions taken
on material IROs
S2-1 Policies related to value chain
workers
Workers in Eni’s value chain: Policies
Reporting principles and criteria: Policies
ESRS S2-1
Human rights policy commitments,
paragraph 17
Par. 17 – Sustainable
Finance Disclosure
Regulation
Reporting principles and criteria: Policies
ESRS S2-1
Policies related to value chain workers,
paragraph 18
Par. 18 – Sustainable
Finance Disclosure
Regulation
Reporting principles and criteria: Policies
ESRS S2-1
Non-respect of UNGPs on Business
and Human Rights principles and
OECD guidelines paragraph 19
Par. 19 – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
Workers in Eni’s value chain: Policies
Reporting principles and criteria: Policies
ESRS S2-1
due diligence policies on issues
addressed by the fundamental
International Labor Organisation
Conventions 1 to 8, paragraph 19
Par. 19 – Benchmark
Regulation
Workers in Eni’s value chain: Policies
Reporting principles and criteria: Policies
S2-2 Processes for engaging with
value chain workers about impacts
Workers in Eni’s value chain: Engagement of
the workers in the value chain, Actions taken
on material IROs
Business conduct: Actions taken on material
IROs, Anti-corruption initiatives for Eni's value
chain
S2-3 Processes to remediate negative
impacts and channels for value chain
workers to raise concerns
Governance: The
Internal Control and Risk
Management System
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
Workers in Eni’s value chain: Engagement
of the workers in the value chain,
Whistleblowing mechanism for workers in
the value chain and remediation processes
Business conduct: Targets and
commitments, Actions taken on material
IROs, Reporting and verification process in
case of violations of the Code of Ethics, anti-
corruption rules and other regulations
S2-4 Taking action on material
impacts on value chain workers,
and approaches to managing
material risks and pursuing material
opportunities related to value chain
workers, and effectiveness of those
actions
Workers in Eni’s value chain: Engagement of
the workers in the value chain, Actions taken
on material IROs
Business conduct: Sustainable supply chain
management, Actions taken on material IROs
ESRS S2-4
Human rights issues and incidents
connected to its upstream and
downstream value chain,
paragraph 36
Par. 36 - Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Monitoring human
rights, Disputes and non-judicial remedy
mechanisms
Workers in Eni’s value chain: Material
impacts, risks and opportunities (IROs)
Reporting principles and criteria: Metrics:
methodologies
S2-5 Targets related to managing
material negative impacts, advancing
positive impacts, and managing
material risks and opportunities
Workers in Eni’s value chain: Targets and
commitments
Business conduct: Targets and
commitments
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS S3 AFFECTED
COMMUNITIES
ESRS 2 SBM-2 Interests and views of
stakeholders
General Information: Stakeholder
engagement
Local communities: Material impacts, risks
and opportunities (IROs)
ESRS 2 SBM-3 Material impacts,
risks and opportunities and their
interaction with strategy and
business model
General Information: Stakeholder
engagement
Local communities: Material impacts, risks
and opportunities (IROs)
S3-1 Policies related to affected
communities
Local communities: Policies
Reporting principles and criteria: Policies
ESRS S3-1
Human rights policy commitments,
paragraph 16
Par. 16 – Sustainable
Finance Disclosure
Regulation
Local communities: Policies
Reporting principles and criteria: Policies
ESRS S3-1
Non-respect of UNGPs on Business
and Human Rights, ILO principles or
and OECD guidelines, paragraph 17
Par. 17 – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
Local communities: Policies
Reporting principles and criteria: Policies
S3-2 Processes for engaging with
affected communities about impacts
Local communities: Material impacts, risks
and opportunities (IROs)
Local communities: Community
engagement
S3-3 Processes to remediate negative
impacts and channels for affected
communities to raise concerns
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
S3-4 Taking action on material
impacts on affected communities,
and approaches to managing
material risks and pursuing material
opportunities related to affected
communities, and effectiveness of
those actions
Integrated Risk
Management
Local communities: Material impacts, risks
and opportunities (IROs)
Local communities: Community
engagement, Actions and metrics
ESRS S3-4
Human rights issues and incidents,
paragraph 36
Par. 36 - Sustainable
Finance Disclosure
Regulation
Human rights for Eni: Monitoring human
rights, Disputes and non-judicial remedy
mechanisms
Reporting principles and criteria: Metrics:
methodologies
S3-5 Targets related to managing
material negative impacts, advancing
positive impacts, and managing
material risks and opportunities
Local communities: Targets and
commitments
ENTITY SPECIFIC (ES)
ES S3-1 – Security personnel trained
on human rights
Local communities: Actions and metrics
Reporting principles and criteria: Metrics:
methodologies
ES S3-2 - Security personnel
(professional area) trained on human
rights
Local communities: Actions and metrics
Reporting principles and criteria: Metrics:
methodologies
ES S3-3 - Security contracts
containing clauses on human rights
Local communities: Actions and metrics
Reporting principles and criteria: Metrics:
methodologies
ES S3-4 - Number of grievances
Local communities: Actions and metrics
Reporting principles and criteria: Metrics:
methodologies
ESRS S4 CONSUMERS AND
END USERS
ESRS 2 SBM-2 Interests and views of
stakeholders
General Information: Stakeholder
engagement
Clients and consumers: Material impacts,
risks and opportunities (IROs)
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ESRS 2 SBM-3 Material impacts,
risks and opportunities and their
interaction with strategy and business
model
General Information: Stakeholder
engagement
Clients and consumers: Material impacts,
risks and opportunities (IROs)
S4-1 Policies related to consumers
and end-users
Clients and consumers: Policies
Reporting principles and criteria: Policies
ESRS S4-1
Policies related to consumers and
end-users, paragraph 16
Par. 16 – Sustainable
Finance Disclosure
Regulation
Clients and consumers: Policies
Reporting principles and criteria: Policies
ESRS S4-1
Non-respect of UNGPs on Business
and Human Rights and OECD
guidelines, paragraph 17
Par. 17 – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
Clients and consumers: Policies
Reporting principles and criteria: Policies
S4-2 Processes for engaging with
consumers and end-users about
impacts
Clients and consumers: Policies
Reporting principles and criteria: Policies
S4-3 Processes to remediate negative
impacts and channels for consumers
and end-users to raise concerns
Human rights for Eni: Monitoring human
rights, Access to Remedial Measures,
Whistleblowing process and Grievance
Mechanisms
Clients and consumers: Customer
engagement, Remediation processes and
whistleblowing channels
S4-4 Taking action on material
impacts on consumers and end-
users, and approaches to managing
material risks and pursuing material
opportunities related to consumers
and end-users, and effectiveness of
those actions
Human rights for Eni: Monitoring human
rights, Human Rights Due Diligence,
Disputes and non-judicial remedy
mechanisms
Clients and consumers: Customer
engagement, Remediation processes and
whistleblowing channels, Actions taken on
material IROs
ESRS S4-4
Human rights issues and incidents
paragraph 35
Par. 35- Sustainable
Finance Disclosure
Regulation
Clients and consumers: Customer
engagement, Remediation processes and
whistleblowing channels
Reporting principles and criteria: Metrics:
methodologies
S4-5 Targets related to managing
material negative impacts, advancing
positive impacts, and managing
material risks and opportunities
Clients and consumers: Targets and
commitments
ESRS G1 BUSINESS
CONDUCT
ESRS 2 GOV-1 The role of the
administrative, management and
supervisory bodies
Governance
Integrated Risk
Management
Business conduct: Actions taken on material
IROs
ESRS 2 IRO-1 Description of the
processes to identify and assess
material impacts, risks and
opportunities
Business conduct: Material impacts, risks
and opportunities (IROs)
G1-1 Business conduct policies and
corporate culture
Business conduct: Policies, Actions taken
on material IROs, Conduct, business culture
and corruption prevention
ESRS G1-1
United Nations Convention against
corruption, paragraph 10, letter b)
Par. 10 (b) – Sustainable
Finance Disclosure
Regulation
Reporting principles and criteria: Policies
ESRS G1-1
Protection of whistle-blowers,
paragraph 10, letter d)
Par. 10 (d) – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
NOT APPLICABLE – There
are “whistleblowers”
policies in place
Business conduct: Policies
Reporting principles and criteria: Policies
G1-2 Management of relationships
with suppliers
Business conduct: Sustainable supply chain
management, Supplier Payment Practices
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Disclosure Requirement and
related datapoint
Other EU Regulations
Not material(*)/
Phase-in
Cross reference to the
Annual Report 2024
2024 Sustainability Statement
ES G1-1
Number of suppliers involved in
awareness, measurement and
collaboration initiatives on ESG topics
Business conduct: Sustainable supply chain
management
Reporting principles and criteria: Metrics:
methodologies
ES G1-2
% of active contracts with suppliers
involved in awareness, measurement
and collaboration initiatives on ESG
topics
Business conduct: Sustainable supply chain
management
Reporting principles and criteria: Metrics:
methodologies
ES G1-3
% of the value of active contracts
with suppliers involved in awareness,
measurement and collaboration
initiatives on ESG topics
Business conduct: Sustainable supply chain
management
Reporting principles and criteria: Metrics:
methodologies
G1-3 Prevention and detection of
corruption and bribery
Business conduct: Actions taken on material
IROs, Conduct, business culture and
corruption prevention, The role of the Internal
Audit department and related actions
Reporting principles and criteria: Metrics:
methodologies
G1-4 Incidents of corruption or bribery
Business conduct: Actions taken on material
IROs, Conduct, business culture and
corruption prevention, The role of the Internal
Audit department and related actions
Reporting principles and criteria: Metrics:
methodologies
ESRS G1-4
Fines for violation of anti-corruption
and anti-bribery laws, paragraph 24,
letter a)
Par. 24 (a) – Sustainable
Finance Disclosure
Regulation; Benchmark
Regulation
Business conduct: Actions taken on material
IROs, Conduct, business culture and
corruption prevention, The role of the Internal
Audit department and related actions
Reporting principles and criteria: Metrics:
methodologies
ESRS G1-4
Standards of anti- corruption and anti-
bribery, paragraph 24, letter
Par. 24 (b) – Sustainable
Finance Disclosure
Regulation
Business conduct: Actions taken on material
IROs, Conduct, business culture and
corruption prevention, The role of the Internal
Audit department and related actions
Reporting principles and criteria: Metrics:
methodologies
G1-5 Political influence and lobbying
activities
Business conduct: Eni's lobbying activities,
Political contributions
G1-6 Payment practices
Business conduct: Actions taken on material
IROs, Supplier Payment Practices
Reporting principles and criteria: Metrics:
methodologies
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Certification of the Sustainability Statement
pursuant to article 81-ter, paragraph 1, of the
Consob Regulation n. 11971 of 14 May 1999
and subsequent changes and additions
The undersigned Claudio Descalzi and Francesco Esposito, in their quality as Chief Executive Officer and Officer responsible for the
preparation of financial reports of Eni, pursuant to article 154-bis, paragraph 5-ter, of Legislative Decree February 24, 1998, no. 58, certify that
the Sustainability Statement included in the Management Report has been prepared:
a)
in accordance with the reporting standards applied pursuant to Directive 2013/34/UE of the European Parliament and the Council of 26
June 2013 and Legislative Decree September 6, 2024, no. 125;
b)
with the specifications adopted pursuant to Article 8, paragraph 4, of Regulation (EU) 2020/852 of the European Parliament and of the
Council of June 18, 2020.
March 18, 2025
/s/ Claudio Descalzi
Claudio Descalzi
Chief Executive Officer
/s/ Francesco Esposito
Francesco Esposito
Head of accounting
and financial statements
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Other information
Acceptance of Italian responsible payments code
Coherently with Eni’s policy on transparency and accuracy in
managing its suppliers, Eni SpA adhered to the Italian responsible
payments code established by Assolombarda in 2014. In 2024,
payments to Eni’s suppliers were made within 53 days, in line with
contractual provisions.
Rules for transparency and substantial and procedural fairness of
transactions with related parties
The rules for transparency and substantial and procedural fairness
of transactions with related parties adopted by the Company, in line
with the Consob listing standards are available on the Company’s
website and in the 2024 Corporate Governance and Shareholding
Structure Report.
Branches
In accordance with Article No. 2428 of the Italian Civil Code, it is
hereby stated that Eni has the following branches:
San Donato Milanese (MI) - Via Emilia, 1;
San Donato Milanese (MI) - Piazza Vanoni, 1.
Subsequent events
Subsequent business developments are described in the operating
review of each of Eni’s business segments.
See also note “Subsequent events” in the notes to the Consolidated
Financial Statements.
Buy-back program
Eni’s Shareholders Meeting, on May 15, 2024, authorized a share
buy-back program concerning €2 billion. The first tranche of 2024
share buy-back program, launched on May 27, 2024, was completed
in June with the purchasing of 6.4 million treasury shares (equal to
0.19% of share capital) for a total cost of €92 million.
The second tranche of the share buy-back program initiated in June and
concluded in February 2025 with the purchase of 138 million own shares
(equal to 4.19% of share capital) for a cash outlay of €1.908 billion.
On February 20, 2025, was finalized the €2 bln buy-back program with
the total purchase of 144 milion of shares. Considering the treasury
shares already held and the purchases made since the start of the buy-
back program on May 27, 2024, as well as the free of charge shares
granted to Eni’s directors and employees, Eni holds 229,335,738
shares equal to 6.98% of the share capital.
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Glossary
The glossary of Oil & Gas terms is available on Eni’s web page at the
address eni.com. Below is a selection of the most frequently used
terms.
2nd and 3rd generation feedstock Are feedstocks not in competition
with the food supply chain as the first generation feedstock (vegetable
oils). Second generation are mostly agricultural nonfood and agro/
urban waste (such as animal fats, used cooking oils and agricultural
waste) and the third generation feedstocks are non-agricultural high
innovation feedstocks (deriving from algae or waste).
Average reserve life index Ratio between the amount of reserves at
the end of the year and total production for the year.
Barrel/bbl Volume unit corresponding to 159 liters. A barrel of oil
corresponds to about 0.137 metric tonnes.
Boe (Barrel of Oil Equivalent) Is used as a standard unit measure for
oil and natural gas. Effective January 1st, 2023, Eni has updated the
conversion rate of gas produced to 5,232 cubic feet of gas equals 1
barrel of oil.
Compounding Activity specialized in production of semi-finished
products in granular form resulting from the combination of two or
more chemical products.
Conversion Refinery process allowing the transformation of heavy
fractions into lighter fractions. Conversion processes are cracking,
visbreaking, coking, the gasification of refinery residues, etc. The
ration of overall treatment capacity of these plants and that of
primary crude fractioning plants is the conversion rate of a refinery.
Flexible refineries have higher rates and higher profitability.
Elastomers (or Rubber) Polymers, either natural or synthetic, which,
unlike plastic, when stress is applied, return, to a certain degree, to
their original shape, once the stress ceases to be applied. The main
synthetic elastomers are polybutadiene (BR), styrene-butadiene
rubber (SBR), ethylenepropylene rubber (EPR), thermoplastic rubber
(TPR) and nitrylic rubber (NBR).
Emissions of NOx (Nitrogen Oxides) Total direct emissions of nitrogen
oxides deriving from combustion processes in air. The include NOx
emissions from flaring activities, sulphur recovery processes, FCC
regeneration, etc. They include NO and NO2 emissions and exclude
N2O emissions.
Emissions of SOx (Sulphur Oxides) Total direct emissions of sulfur
oxides including SO2 and SO3 emissions. Main sources are combustion
plants, diesel engines (including maritime engines), gas flaring (if the
gas contains H2S), sulphur recovery processes, FCC regeneration, etc.
Enhanced recovery Techniques used to increase or stretch over time
the production of wells.
Eni carbon efficiency index Ratio between GHG emissions
(Scope 1 and Scope 2 in tonnes CO2eq.) of the main industrial
activities operated by Eni divided by the productions (converted
by homogeneity into barrels of oil equivalent using Eni’s average
conversion factors) of the single businesses of reference.
Greenhouse Gases (GHG) Gases in the atmosphere, transparent
to solar radiation, that trap infrared radiation emitted by the earth’s
surface. The greenhouse gases relevant within Eni’s activities
are carbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O).
GHG emissions are commonly reported in CO2 equivalent (CO2eq.)
according to Global Warming Potential values in line with IPCC AR4,
4th Assessment Report.
Infilling wells Infilling wells are wells drilled in a producing area in
order to improve the recovery of hydrocarbons from the field and to
maintain and/or increase production levels.
LNG Liquefied Natural Gas obtained through the cooling of natural
gas to minus 160°C at normal pressure. The gas is liquefied to allow
transportation from the place of extraction to the sites at which it is
transformed and consumed. One ton of LNG corresponds to 1,400
cubic meters of gas.
LPG Liquefied Petroleum Gas, a mix of light petroleum fractions,
gaseous at normal pressure and easily liquefied at room temperature
through limited compression.
Mineral Potential (potentially recoverable hydrocarbon volumes)
Estimated recoverable volumes which cannot be defined as
reserves due to a number of reasons, such as the temporary lack
of viable markets, a possible commercial recovery dependent
on the development of new technologies, or for their location in
accumulations yet to be developed or where evaluation of known
accumulations is still at an early stage.
Moulding Activity of moulding of expanded polyolefins for production
of ultra-light products.
Natural gas liquids Liquid or liquefied hydrocarbons recovered from
natural gas through separation equipment or natural gas treatment
plants. Propane, normal-butane and isobutane, isopentane and
pentane plus, that used to be defined natural gasoline, are natural
gas liquids.
Net Carbon Footprint Overall Scope 1 and Scope 2 GHG emissions
associated with Eni’s operations, accounted for on an equity basis,
net of carbon offsets mainly from Natural Climate Solutions.
Net Carbon Intensity Ratio between the Net GHG lifecycle emissions
and the energy products sold, accounted for on an equity basis.
Net GHG Lifecycle Emissions GHG Scope 1+2+3 emissions
associated with the value chain of the energy products sold by
Eni, including both those deriving from own productions and those
purchased from third parties, accounted for on an equity basis, net
of offset mainly from Natural Climate Solutions.
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Oil spills Discharge of oil or oil products from refining or oil waste
occurring in the normal course of operations (when accidental) or
deriving from actions intended to hinder operations of business
units or from sabotage by organized groups (when due to sabotage
or terrorism).
Oilfield chemicals Innovative solutions for supply of chemicals and
related ancillary services for Oil & Gas business.
Olefins (or Alkenes) Hydrocarbons that are particularly active
chemically, used for this reason as raw materials in the synthesis of
intermediate products and of polymers.
Over/underlifting Agreements stipulated between partners regulate
the right of each to its share in the production of a set period of time.
Amounts different from the agreed ones determine temporary over/
underlifting situations.
Plasmix The collective name for the different plastics that currently
have no use in the market of recycling and can be used as a feedstock
in the new circular economy businesses of Eni.
Production Sharing Agreement (PSA) Contract in use in African,
Middle Eastern, Far Eastern and Latin American Countries, among
others, regulating relationships between states and oil companies
with regard to the exploration and production of hydrocarbons. The
mineral right is awarded to the national oil company jointly with
the foreign oil company that has an exclusive right to perform
exploration, development and production activities and can enter
into agreements with other local or international entities. In this type
of contract, the national oil company assigns to the international
contractor the task of performing exploration and production with
the contractor’s equipment and financial resources. Exploration
risks are borne by the contractor and production is divided into two
portions: “cost oil” is used to recover costs borne by the contractor
and “profit oil” is divided between the contractor and the national
company according to variable schemes and represents the profit
deriving from exploration and production. Further terms and
conditions of these contracts may vary from Country to Country.
Proved reserves Proved oil and gas reserves are those quantities
of oil and gas, which, by analysis of geoscience and engineering
data, can be estimated with reasonable certainty to be economically
producible from a given date forward, from known reservoirs,
and under existing economic conditions. The project to extract
the hydrocarbons must have commenced or the operator must
be reasonably certain that it will commence the project within a
reasonable time.
Renewable Installed Capacity Is measured as the maximun
generating capacity of Eni’s share of power plants that use renewable
energy sources (wind, solar and wave, and any other non-fossil fuel
source of generation deriving from natural resources, excluding,
from the avoidance of doubt, nuclear energy) to produce electricity.
The capacity is considered “installed” once the power plants are in
operation or the mechanical completion phase has been reached.
The mechanical completion represents the final construction stage
excluding the grid connection.
Reserves Quantities of oil and gas and related substances
anticipated to be economically producible, as of a given date, by
application of development projects to known accumulations.
In addition, there must exist, or there must be a reasonable
expectation that will exist, the legal right to produce or a revenue
interest in the production, installed means of delivering oil and gas
or related substances to market, and all permits and financing
required to implement the project. Reserves can be: (i) developed
reserves quantities of oil and gas anticipated to be through
installed extraction equipment and infrastructure operational at the
time of the reserves estimate; (ii) undeveloped reserves: oil and gas
expected to be recovered from new wells, facilities and operating
methods.
Scope 1 GHG Emissions Direct greenhouse gas emissions from
Company’s operations, produced from sources that are owned or
controlled by the Company.
Scope 2 GHG Emissions Indirect greenhouse gas emissions resulting
from the generation of electricity, steam and heat purchased from
third parties.
Scope 3 GHG Emissions Indirect GHG emissions associated with
the value chain of Eni’s products.
Ship-or-pay Clause included in natural gas transportation contracts
according to which the customer for which the transportation is
carried out is bound to pay for the transportation of the gas also in
case the gas is not transported.
Take-or-pay Clause included in natural gas purchase contracts
according to which the purchaser is bound to pay the contractual
price or a fraction of such price for a minimum quantity of the gas
set in the contract also in case it is not collected by the customer.
The customer has the option of collecting the gas paid and not
delivered at a price equal to the residual fraction of the price set in
the contract in subsequent contract years.
UN SDGs The Sustainable Development Goals (SDGs) are the
blueprint to achieve a better and more sustainable future for all
by 2030. Adopted by all United Nations Member States in 2015,
they address the global challenges the world is facing, including
those related to poverty, inequality, climate change, environmental
degradation, peace and justice. For further detail see the website
https://unsdg.un.org.
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CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Upstream/downstream The term upstream refers to all hydrocarbon
exploration and production activities. The term mid-downstream
includes all activities inherent to oil industry subsequent to exploration
and production. Process crude oil and oil-based feedstock for the
production of fuels, lubricants and chemicals, as well as the supply,
trading and transportation of energy commodities. It also includes
the marketing business of refined and chemical products.
Upstream GHG Emission Intensity Ratio between 100% Scope 1
GHG emissions from upstream operated assets and 100% gross
operated production (expressed in barrel of oil equivalent).
Wholesale sales Domestic sales of refined products to wholesalers/
distributors (mainly gasoil), public administrations and end
consumers, such as industrial plants, power stations (fuel oil),
airlines (jet fuel), transport companies, big buildings and households.
They do not include distribution through the service station network,
marine bunkering, sales to oil and petrochemical companies,
importers and international organizations.
Work-over Intervention on a well for performing significant
maintenance and substitution of basic equipment for the collection
and transport to the surface of liquids contained in a field.
/d
per day
km
kilometers
/y
per year
ktoe
thousand tonnes of oil equivalent
bbbl
billion barrels
ktonnes
thousand tonnes
bbl
barrels
mmbbl
million barrels
bboe
billion barrels of oil equivalent
mmboe
million barrels of oil equivalent
bcf
billion cubic feet
mmcf
milion cubic feet
bcm
billion cubic meters
mmcm
million cubic meters
bln liters
billion liters
mmtonnes
million tonnes
bln tonnes
billion tonnes
MTPA
Million Tonnes Per Annum
boe
barrels of oil equivalent
No.
number
cm
cubic meter
NGL
Natural Gas Liquids
GWh
Gigawatt hour
PCA
Production Concession Agreement
LNG
Liquefield Natural Gas
ppm
parts per million
LPG
Liquefield Petroleum Gas
PSA
Production Sharing Agreement
kbbl
thousand barrels
Tep
Ton of equivalent petroleum
kboe
thousand barrels of oil equivalent
TWh
Terawatt hour
ABBREVIATIONS
271
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Consolidated
financial
statement
272
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENI ANNUAL REPORT 2024
Financial statements
274
Notes on consolidated financial statements
282
Supplemental oil and gas information
394
Certification pursuant to rule 154-bis, paragraph 5 of the Legislative Decree No. 58/1998
415
273
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENI ANNUAL REPORT 2024
CONSOLIDATED BALANCE SHEET
December 31, 2024
December 31, 2023
(€ million)
Note
Total
amount
of which with
related parties
Total
amount
of which with
related parties
ASSETS
Current assets
Cash and cash equivalents
(6)
8,183
10,193
3
Financial assets at fair value through profit or loss
(7)
6,797
6,782
Other current financial assets
(17)
1,085
48
896
19
Trade and other receivables
(8)
16,901
1,601
16,551
1,363
Inventories
(9)
6,259
6,186
Income tax receivables
(10)
695
460
Other current assets
(11) (24)
3,662
54
5,637
32
43,582
46,705
Non-current assets
Property, plant and equipment
(12)
59,864
56,299
Right-of-use assets
(13)
5,822
4,834
Intangible assets
(14)
6,434
6,379
Inventory - Compulsory stock
(9)
1,595
1,576
Equity-accounted investments
(16) (37)
14,150
12,630
Other investments
(16)
1,395
1,256
Other non-current financial assets
(17)
3,215
2,380
2,301
1,840
Deferred tax assets
(23)
6,322
4,482
Income tax receivables
(10)
129
142
Other non-current assets
(11) (24)
4,011
142
3,393
168
102,937
93,292
Assets held for sale
(25)
420
2,609
TOTAL ASSETS
146,939
142,606
LIABILITIES AND EQUITY
Current liabilities
Short-term debt
(19)
4,238
136
4,092
222
Current portion of long-term debt
(19)
4,582
21
2,921
21
Current portion of long-term lease liabilities
(13)
1,279
152
1,128
21
Trade and other payables
(18)
22,092
4,017
20,654
4,245
Income tax payables
(10)
587
1,685
Other current liabilities
(11) (24)
5,049
34
5,579
62
37,827
36,059
Non-current liabilities
Long-term debt
(19)
21,570
79
21,716
65
Long-term lease liabilities
(13)
5,174
31
4,208
6
Provisions
(21)
15,774
15,533
Provisions for employee benefits
(22)
681
748
Deferred tax liabilities
(23)
5,581
4,702
Income tax payables
(10)
40
38
Other non-current liabilities
(11) (24)
4,449
520
4,096
511
53,269
51,041
Liabilities directly associated with assets held for sale
(25)
195
1,862
TOTAL LIABILITIES
91,291
88,962
Share capital
4,005
4,005
Retained earnings
32,552
32,988
Cumulative currency translation differences
8,081
5,238
Other reserves and equity instruments
8,406
8,515
Treasury shares
(2,883)
(2,333)
Profit
2,624
4,771
Equity attributable to equity holders of Eni
52,785
53,184
Non-controlling interest
2,863
460
TOTAL EQUITY
(26)
55,648
53,644
TOTAL LIABILITIES AND EQUITY
146,939
142,606
Information about the definitive purchase price allocation of business combinations made in 2023 is provided in note 27 ‐ Other Information.
The accompanying consolidated financial statements of Eni SpA constitute a non-official version which is not compliant with the provisions
of the Commission Delegated Regulation (EU) 2019/815.
ENI ANNUAL REPORT 2024
274
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REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED PROFIT AND LOSS ACCOUNT
2024
2023
2022
(€ million)
Note
Total
amount
of which
with related
parties
Total
amount
of which
with related
parties
Total
amount
of which
with related
parties
Sales from operations
88,797
2,997
93,717
4,322
132,512
10,872
Other income and revenues
2,417
279
1,099
156
1,175
156
REVENUES AND OTHER INCOME
(29)
91,214
94,816
133,687
Purchases, services and other
(30)
(71,114)
(17,404)
(73,836)
(15,885)
(102,529)
(15,327)
Net (impairments) reversals of trade and other receivables
(8)
(168)
(2)
(249)
5
47
(2)
Payroll and related costs
(30)
(3,262)
3
(3,136)
(8)
(3,015)
(18)
Other operating income (expense)
(24)
(352)
201
478
17
(1,736)
3,306
Depreciation and amortization
(12) (13) (14)
(7,600)
(7,479)
(7,205)
Net (impairments) reversals of tangible, intangible
and right-of-use assets
(15)
(2,900)
(1,802)
(1,140)
Write-off of tangible and intangible assets
and right-of-use assets
(12) (13) (14)
(580)
(535)
(599)
OPERATING PROFIT
5,238
8,257
17,510
Finance income
(31)
7,715
198
7,417
155
8,450
160
Finance expense
(31)
(8,980)
(57)
(8,113)
(28)
(9,333)
(164)
Net finance income (expense) from financial assets at fair
value through profit or loss
(31)
388
284
(55)
Derivative financial instruments
(24) (31)
278
(61)
1
13
2
FINANCE INCOME (EXPENSE)
(599)
(473)
(925)
Share of profit (loss) from equity-accounted investments
866
1,336
1,841
Other gain (loss) from investments
984
(12)
1,108
445
3,623
30
INCOME (EXPENSE) FROM INVESTMENTS
(16) (32)
1,850
2,444
5,464
PROFIT BEFORE INCOME TAXES
6,489
10,228
22,049
Income taxes
(33)
(3,725)
(5,368)
(8,088)
PROFIT
2,764
4,860
13,961
Attributable to Eni
2,624
4,771
13,887
Attributable to non-controlling interest
(26)
140
89
74
Earnings per share (€ per share)
(34)
Basic
0.79
1.41
3.96
Diluted
0.78
1.40
3.95
275
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(€ million)
Note
2024
2023
2022
Profit
2,764
4,860
13,961
Other items of comprehensive income (loss)
Items that are not reclassified to profit or loss in later periods
Remeasurements of defined benefit plans
(26)
8
(31)
60
Share of other comprehensive income (loss) on equity-accounted investments
(26)
1
(2)
3
Change of minor investments measured at fair value with effects to OCI
(26)
62
45
56
Tax effect
(26)
(4)
10
(5)
67
22
114
Items that may be reclassified to profit or loss in later periods
Currency translation differences
(26)
3,066
(2,010)
1,095
Change in the fair value of cash flow hedging derivatives
(26)
(912)
541
794
Share of other comprehensive income (loss) on equity-accounted investments
(26)
(69)
54
(12)
Tax effect
(26)
263
(158)
(234)
2,348
(1,573)
1,643
Total other items of comprehensive income (loss)
2,415
(1,551)
1,757
Total comprehensive income
5,179
3,309
15,718
Attributable to Eni
4,962
3,220
15,643
Attributable to non-controlling interest
217
89
75
ENI ANNUAL REPORT 2024
276
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Equity attributable to equity holders of Eni
(€ million)
Note
Share capital
Retained earnings
Cumulative currency
translation differences
Other reserves and
equity instruments
Treasury shares
Profit for the year
Total
Non-controlling interest
Total equity
Balance at December 31, 2023
(26)
4,005
32,988
5,238
8,515
(2,333)
4,771
53,184
460
53,644
Profit for the year
2,624
2,624
140
2,764
Other items of comprehensive income (loss)
Remeasurements of defined benefit plans net of tax effect
(26)
4
4
4
Share of “Other comprehensive income” on equity-accounted investments
(26)
1
1
1
Change of minor investments measured at fair value with effects to OCI
(26)
62
62
62
Items that are not reclassified to profit or loss in later periods
67
67
67
Currency translation differences
(26)
2,992
(2)
2,990
76
3,066
Change in the fair value of cash flow hedge derivatives net of tax effect
(26)
(648)
(648)
(1)
(649)
Share of “Other comprehensive income (loss)” on equity-accounted investments
(26)
(71)
(71)
2
(69)
Items that may be reclassified to profit or loss in later periods
2,992
(721)
2,271
77
2,348
Total comprehensive income (loss) of the year
2,992
(654)
2,624
4,962
217
5,179
Dividend distribution of Eni SpA
(26)
(3,067)
(3,067)
(3,067)
Dividend distribution of other companies
(50)
(50)
Allocation of 2023 profit
4,771
(4,771)
Capital contribution by non-controlling interests
1
1
Purchase of treasury shares
(26)
(2,003)
2,003
(2,003)
(2,003)
(2,003)
Cancellation of treasury shares
(26)
(1,375)
1,375
Long-term share-based incentive plan and employee stock ownership plan
(26) (30)
24
(78)
78
24
24
Issuance of perpetual subordinated bonds
(26)
1,848
1,848
Coupon payment on perpetual subordinated bonds
(26)
(138)
(138)
(138)
Change in non‐controlling interest
(26)
196
196
392
588
Transactions with holders of equity instruments
(217)
550
(550)
(4,771)
(4,988) 2,191
(2,797)
Other changes
(219)
(149)
(5)
(373)
(5)
(378)
Other changes in equity
(219)
(149)
(5)
(373)
(5)
(378)
Balance at December 31, 2024
(26)
4,005
32,552
8,081
8,406
(2,883)
2,624
52,785 2,863
55,648
(continued)
277
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Equity attributable to equity holders of Eni
(€ million)
Note
Share capital
Retained earnings
Cumulative currency
translation differences
Other reserves and
equity instruments
Treasury shares
Profit for the year
Total
Non-controlling interest
Total equity
Balance at December 31, 2022
4,005
23,455
7,564
8,785
(2,937)
13,887
54,759
471
55,230
Profit for the year
4,771
4,771
89
4,860
Other items of comprehensive income (loss)
Remeasurements of defined benefit plans net of tax effect
(26)
(21)
(21)
(21)
Share of “Other comprehensive income” on equity-accounted investments
(26)
(2)
(2)
(2)
Change of minor investments measured at fair value with effects to OCI
(26)
45
45
45
Items that are not reclassified to profit or loss in later periods
22
22
22
Currency translation differences
(26)
(2,001)
(9)
(2,010)
(2,010)
Change in the fair value of cash flow hedge derivatives net of tax effect
(26)
383
383
383
Share of “Other comprehensive income (loss)” on equity-accounted investments
(26)
54
54
54
Items that may be reclassified to profit or loss in later periods
(2,001)
428
(1,573)
(1,573)
Total comprehensive income (loss) of the year
(2,001)
450
4,771
3,220
89
3,309
Dividend distribution of Eni SpA
(26)
(3,005)
(3,005)
(3,005)
Dividend distribution of other companies
(36)
(36)
Allocation of 2022 profit
13,887
(13,887)
Reimbursement to non-controlling interests
(16)
(16)
Purchase of treasury shares
(26)
(1,837)
1,837
(1,837)
(1,837)
(1,837)
Cancellation of treasury shares
(26)
(2,400)
2,400
Long-term share-based incentive plan
(26) (30)
20
(41)
41
20
20
Coupon payment on perpetual subordinated bonds
(26)
(138)
(138)
(138)
Change in non‐controlling interest
(26)
47
47
(47)
Transactions with holders of equity instruments
8,974
(604)
604 (13,887)
(4,913)
(99)
(5,012)
Issuing effect of convertible bonds
(26)
79
79
79
Other changes
559
(325)
(195)
39
(1)
38
Other changes in equity
559
(325)
(116)
118
(1)
117
Balance at December 31, 2023
(26)
4,005
32,988
5,238
8,515
(2,333)
4,771
53,184
460
53,644
(continued)
(continued)
ENI ANNUAL REPORT 2024
278
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(continued)
Equity attributable to equity holders of Eni
(€ million)
Share capital
Retained earnings
Cumulative currency
translation differences
Other reserves and
equity instruments
Treasury shares
Profit for the year
Total
Non-controlling interest
Total equity
Balance at December 31, 2021
4,005
22,750
6,530
6,289
(958)
5,821
44,437
82
44,519
Profit for the year
13,887
13,887
74
13,961
Other items of comprehensive income (loss)
Remeasurements of defined benefit plans net of tax effect
55
55
55
Share of “Other comprehensive income” on equity-accounted investments
3
3
3
Change of minor investments measured at fair value with effects to OCI
56
56
56
Items that are not reclassified to profit or loss in later periods
114
114
114
Currency translation differences
1,093
1
1,094
1
1,095
Change in the fair value of cash flow hedge derivatives net of tax effect
560
560
560
Share of “Other comprehensive income (loss)” on equity-accounted investments
(12)
(12)
(12)
Items that may be reclassified to profit or loss in later periods
1,093
549
1,642
1
1,643
Total comprehensive income (loss) of the year
1,093
663
13,887
15,643
75
15,718
Dividend distribution of Eni SpA
(1,522)
(1,522)
(1,522)
Interim dividend distribution of Eni SpA
(1,500)
(1,500)
(1,500)
Dividend distribution of other companies
(60)
(60)
Allocation of 2021 profit
4,299
(4,299)
Capital contribution by non-controlling interests
92
92
Purchase of treasury shares
(2,400)
2,400
(2,400)
(2,400)
(2,400)
Cancellation of treasury shares
(400)
400
Long-term share-based incentive plan
18
(21)
21
18
18
Coupon payment on perpetual subordinated bonds
(138)
(138)
(138)
Change in non‐controlling interest
196
196
281
477
Transactions with holders of equity instruments
475
1,979
(1,979)
(5,821)
(5,346)
313
(5,033)
Other changes
230
(59)
(146)
25
1
26
Other changes in equity
230
(59)
(146)
25
1
26
Balance at December 31, 2022
4,005
23,455
7,564
8,785
(2,937)
13,887
54,759
471
55,230
279
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CONSOLIDATED STATEMENT OF CASH FLOWS
(€ million)
Note
2024
2023
2022
Profit
2,764
4,860
13,961
Adjustments to reconcile profit to net cash provided by operating activities
Depreciation and amortization
(12) (13) (14)
7,600
7,479
7,205
Net impairments (reversals) of tangible, intangible and right-of-use assets
(15)
2,900
1,802
1,140
Write-off of tangible and intangible assets and right-of-use assets
(12) (13) (14)
580
535
599
Share of (profit) loss of equity-accounted investments
(16) (32)
(866)
(1,336)
(1,841)
Net gain on disposal of assets
(601)
(441)
(524)
Dividend income
(32)
(227)
(255)
(351)
Interest income
(497)
(517)
(159)
Interest expense
1,245
1,000
1,033
Income taxes
(33)
3,725
5,368
8,088
Other changes
(158)
(700)
(2,773)
Cash flow from changes in working capital:
1,286
1,811
(1,279)
- inventories
68
1,792
(2,528)
- trade receivables
1,145
3,322
(1,036)
- trade payables
110
(4,823)
2,284
- provisions
(87)
97
2,028
- other assets and liabilities
50
1,423
(2,027)
Change in the provisions for employee benefits
(105)
1
39
Dividends received
1,946
2,255
1,545
Interest received
456
459
116
Interest paid
(1,130)
(919)
(851)
Income taxes paid, net of tax receivables received
(5,826)
(6,283)
(8,488)
Net cash provided by operating activities
13,092
15,119
17,460
- of which with related parties
(36)
(11,508)
(7,011)
223
Cash flow from investing activities
(11,782)
(12,404)
(10,793)
- tangible assets
(12)
(7,999)
(8,739)
(7,700)
- prepaid right-of-use assets
(13)
(5)
(3)
- intangible assets
(14)
(486)
(476)
(356)
- consolidated subsidiaries and businesses net of cash and cash equivalents acquired
(5) (27)
(1,795)
(1,277)
(1,636)
- investments
(16)
(798)
(1,315)
(1,675)
- securities and financing receivables held for operating purposes
(185)
(388)
(350)
- change in payables in relation to investing activities
(514)
(209)
927
Cash flow from disposals
2,496
845
2,989
- tangible assets
1,354
122
149
- intangible assets
21
32
17
- consolidated subsidiaries and businesses net of cash and cash equivalents disposed of
(5) (27)
887
395
(60)
- investments
526
47
1,096
- securities and financing receivables held for operating purposes
69
32
483
- change in receivables in relation to disposals
(361)
217
1,304
Net change in securities and financing receivables held for non-operating purposes
(531)
2,194
786
Net cash used in investing activities
(9,817)
(9,365)
(7,018)
- of which with related parties
(36)
(3,140)
(1,695)
(32)
(continued)
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CONSOLIDATED STATEMENT OF CASH FLOWS
(€ million)
Note
2024
2023
2022
Increase in long-term financial debt
(19)
3,516
4,971
130
Repayments of long-term financial debt
(19)
(4,748)
(3,161)
(4,074)
Payments of lease liabilities
(13)
(1,205)
(963)
(994)
Increase (decrease) in short-term financial debt
(19)
(61)
(1,495)
1,375
Dividends paid to Eni's shareholders
(3,068)
(3,046)
(3,009)
Dividends paid to non-controlling interest
(45)
(36)
(60)
Capital contribution by (reimbursement to) non-controlling interests
589
(16)
92
Sale (purchase) of additional interests in consolidated subsidiaries
(60)
536
Other contributions
14
Purchase of treasury shares
(26)
(2,012)
(1,803)
(2,400)
Issuing effect of convertible bonds
(26)
79
Issue of perpetual subordinated bonds
(26)
1,778
Coupon payment on perpetual subordinated bonds
(26)
(138)
(138)
(138)
Net cash used in financing activities
(5,380)
(5,668)
(8,542)
- of which with related parties
(36)
(20)
(162)
(88)
Effect of exchange rate changes and other changes on cash and cash equivalents
83
(62)
16
Net increase (decrease) in cash and cash equivalents
(2,022)
24
1,916
Cash and cash equivalents - beginning of the year
(6)
10,205
10,181
8,265
Cash and cash equivalents - end of the year(a)
(6)
8,183
10,205
10,181
(a) As of December 31, 2023, cash and cash equivalents included €12 million of cash and cash equivalents of consolidated subsidiaries held for sale that were reported in the item “Assets held for sale”.
(continued)
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Basis of preparation
The Consolidated Financial Statements of Eni SpA and its
subsidiaries (collectively referred to as Eni or the Group) have been
prepared on a going concern basis in accordance with International
Financial Reporting Standards (IFRS)1 as issued by the International
Accounting Standards Board (IASB) and adopted by the European
Union (EU) pursuant to article 6 of the EC Regulation No. 1606/2002
of the European Parliament and of the Council of July 19, 2002,
and in accordance with article 9 of the Italian Legislative Decree
No. 38/052. The Consolidated Financial Statements have been
prepared under the historical cost convention, taking into account,
where appropriate, value adjustments, except for certain items that
under IFRSs must be measured at fair value as described in the
accounting policies that follow. The principles of consolidation and
the significant accounting policies that follow have been consistently
applied to all years presented, except where otherwise indicated.
The 2024 Consolidated Financial Statements, approved by the Eni’s
Board of Directors on March 18, 2025, were audited by the external
auditor PricewaterhouseCoopers SpA; with reference to the audit of
the Consolidated Financial Statements, the external auditor of Eni
SpA, as the main external auditor, is wholly in charge of the auditing
activities of the Consolidated Financial Statements. Consolidated
companies’ financial statements, as well as their reporting packages
prepared for use by the Group in preparing the Consolidated
Financial Statements, are audited by external auditors; when there
are other external auditors, PricewaterhouseCoopers SpA takes the
responsibility of their work. The Consolidated Financial Statements
are presented in euro and all values are rounded to the nearest
million euro (€ million), except where otherwise indicated.
SIGNIFICANT ACCOUNTING ESTIMATES
AND JUDGMENTS
The preparation of the Consolidated Financial Statements requires
the use of estimates and assumptions that affect the assets, liabilities,
revenues and expenses recognised in the financial statements, as
well as amounts included in the notes thereto, including disclosure
of contingent assets and contingent liabilities. Estimates made
are based on complex judgments and past experience of other
assumptions deemed reasonable in consideration of the information
available at the time. The accounting policies and areas that require
(1) IFRSs include also International Accounting Standards (IAS), currently effective, as well as the interpretations developed by the IFRS Interpretations Committee, previously named
International Financial Reporting Interpretations Committee (IFRIC) and initially Standing Interpretations Committee (SIC).
(2) As applied to Eni, there are no differences between IFRSs as issued by the IASB and those adopted by the EU, effective for the year 2024.
the most significant judgments and estimates to be used in the
preparation of the Consolidated Financial Statements are in relation
to the accounting for oil and natural gas activities, specifically in
the determination of reserves, impairment of financial and non-
financial assets, leases, decommissioning and restoration liabilities,
environmental liabilities, business combinations, employee benefits,
revenue from contracts with customers, fair value measurements
and income taxes. Although the Company uses its best estimates
and judgments, actual results could differ from the estimates and
assumptions used. The accounting estimates and judgments
relevant for the preparation of the Consolidated Financial Statement
are illustrated in the description of the respective accounting policy.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS MADE IN ASSESSING THE IMPACTS
OF CLIMATE-RELATED RISKS
Significant accounting estimates and judgments made by
management for the preparation of the 2024 Consolidated
Financial Statements are affected by the effects of actions to
address climate change and by the potential impact of the energy
transition. In particular, the global pressure towards a low carbon
economy, increasingly restrictive regulatory requirements for Oil
& Gas activities and hydrocarbons consumption, carbon pricing
schemes, the technological evolution of alternative energy sources
for transportation, as well as changes in consumer preferences
could imply a structural decline of the demand for hydrocarbons in
the medium/long-term, an increase in operating costs and a higher
risk of stranded assets for Eni. The Eni strategy towards Carbon
Neutrality, in line with the provisions of the scenarios compatible with
maintaining global warming within the 1.5°C threshold; is composed
of a series of actions and initiatives aimed to achieve carbon
neutrality by 2050, through the Net Zero emissions for all Scope
1, 2, and 3 GHG emissions associated with Eni’s product portfolio.
Scenarios adopted by management take into account policies,
regulatory requirements and current and expected developments
in technology and set out a development path of the future energy
system, on the basis of an economic and demographic framework,
analysis of existing and announced policies and technologies,
identifying those which can reasonably reach maturity within the
1 Significant accounting policies, estimates and judgments
NOTES ON CONSOLIDATED FINANCIAL STATEMENTS
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considered time horizon. Price variables reflect the best estimate by
management of the fundamentals of several energy markets, which
incorporates the ongoing and reasonably expected decarbonization
trends, and are subject to continuous benchmarking with the views
of market analysts and peers. Such scenarios represent the basis for
significant estimates and judgments relating to: (i) the assessment
of the intention to continue exploration projects; (ii) the assessment
of the recoverability of non-current assets and credit exposures
towards National Oil Companies; (iii) the definition of useful lives
and residual values of fixed assets; (iv) impacts on provisions (e.g.
the anticipation of the expected timing of decommissioning and
restoration costs).
PRINCIPLES OF CONSOLIDATION
SUBSIDIARIES
The Consolidated Financial Statements comprise the financial
statements of the parent Company Eni SpA and those of its
subsidiaries, being those entities over which the Company has
control, either directly or indirectly, through exposure or rights to
their variable returns and the ability to affect those returns through
its power over the investees.
Subsidiaries are fully recognized and included in the consolidated
financial statement, on the basis of consistent accounting policies,
from the date on which control is obtained until the date that
control ceases, taking into account the appropriate eliminations of
intragroup transactions (see the accounting policy for “Intragroup
transactions”). Non-controlling interests are presented separately on
the balance sheet within equity; the profit or loss and comprehensive
income attributable to non-controlling interests are presented in
specific line items, respectively, in the profit and loss account and in
the statement of comprehensive income. Non-controlling interests
also include subordinated perpetual bonds issued by subsidiaries for
which the Group holds the unconditional right to defer repayment of
principal and payment of coupons.
Taking into account the lack of any material3 impact on the
representation of the financial position and performance of the Group4,
the Consolidated Financial Statements do not fully consolidate: (i) some
subsidiaries that are immaterial, both individually and in the aggregate,
and (ii) subsidiaries acting as sole operator in the management of
oil and gas contracts on behalf of companies participating in a joint
project. In the latter case, the activities are financed proportionally
based on a budget approved by the participating companies upon
presentation of periodical reports of proceeds and expenses. Costs
and revenue and other operating data (production, reserves, etc.) of
(3) According to IFRSs, information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general-purpose
financial statements make on the basis of those financial statements.
(4) Unconsolidated subsidiaries are accounted for as described in the accounting policy for “The equity method of accounting”; for further information, see the annex “List of companies
owned by Eni SpA as of December 31, 2024”.
(5) Conversely, any amount related to the former subsidiary previously recognised in other comprehensive income, which may not be reclassified subsequently to the profit and loss
account, are reclassified in another item of equity.
the project, as well as the related obligations arising from the project,
are recognised directly in the financial statements of the companies
involved based on their own share. When the proportion of the equity
held by non-controlling interests changes, any difference between the
consideration paid/received and the amount by which the related non-
controlling interests are adjusted is attributed to Eni owners’ equity
(within the line item “Retained earnings”). Moreover, in the event of the
disposal of minority interests without loss of control, any put options
on non-controlling interests, exercisable upon the occurrence of
events not under the Group’s control, results in the recognition of a
liability, equal to the present value of the so-called redemption amount,
as a balancing entry to Group equity.
The sale of equity interests with loss of control determines the
recognition in the profit and loss account of: (i) any gain or loss
calculated as the difference between the consideration received
and the corresponding transferred net assets; (ii) any gain or loss
recognised as a result of the remeasurement of any investment
retained in the former subsidiary at its fair value; (iii) the estimate
of fair value of any contingent consideration, to be settled in cash
if specified future events occur or conditions are met; and (iv) any
amount related to the former subsidiary previously recognised in
other comprehensive income which may be reclassified subsequently
to the profit and loss account5. Any investment retained in the former
subsidiary is recognised at its fair value at the date when control is
lost and shall be accounted for in accordance with the applicable
measurement criteria.
INTERESTS IN JOINT ARRANGEMENTS
Joint control is the contractually agreed sharing of control of an
arrangement, which exists only when decisions about the relevant
activities require the unanimous consent of the parties sharing
control.
A joint venture is a joint arrangement whereby the parties that have
joint control of the arrangement have rights to the net assets of the
arrangement. Investments in joint ventures are accounted for using
the equity method as described in the accounting policy for “The
equity method of accounting”.
A joint operation is a joint arrangement whereby the parties that
have joint control of the arrangement have enforceable rights to
the assets, and enforceable obligations for the liabilities, relating
to the arrangement; in the Consolidated Financial Statements, Eni
recognises its share of the assets/liabilities and revenues/expenses
of joint operations on the basis of its rights and obligations relating
to the arrangements. After the initial recognition, the assets/liabilities
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and revenues/ expenses of the joint operations are measured in
accordance with the applicable measurement criteria.
Immaterial joint operations structured through a separate vehicle
are accounted for using the equity method or, if this does not result
in a misrepresentation of the Company’s financial position and
performance, at cost less any impairment losses.
INVESTMENTS IN ASSOCIATES
An associate is an entity over which Eni has significant influence,
which is the power to participate in the financial and operating
policy decisions of the investee but is not control or joint control of
those policies. Investments in associates are accounted for using
the equity method as described in the accounting policy for “The
equity method of accounting”. Investments in subsidiaries, joint
arrangements and associates are presented separately in the annex
“List of companies owned by Eni SpA as of December 31, 2024”. This
annex also includes the changes in the scope of consolidation.
THE EQUITY METHOD OF ACCOUNTING
Investments
in
joint
ventures,
associates
and
immaterial
unconsolidated subsidiaries, are accounted for using the equity
method6.
Under the equity method, investments are initially recognised at cost,
allocating it, similarly to business combinations procedures, to the
investee’s identifiable assets/liabilities; any excess of the cost of the
investment over the share of the net fair value of the investee’s identifiable
assets and liabilities is accounted for as goodwill, not separately
recognised but included in the carrying amount of the investment. If
this allocation is provisionally recognised at initial recognition, it can be
retrospectively adjusted within one year from the acquisition date, to
reflect new information obtained about facts and circumstances that
existed at the acquisition date. Subsequently, with the aim of reflecting
the Group’s share of the investee’s net assets and the related changes,
the carrying amount is adjusted to reflect: (i) the investor’s share of
the profit or loss of the investee after the date of acquisition, adjusted
to account for depreciation, amortization and any impairment losses
of the equity-accounted entity’s assets based on their fair values at
the date of acquisition; and (ii) the investor’s share of the investee’s
other comprehensive income. Conversely, the carrying amount is not
adjusted for changes in the equity of the investee arising, for instance,
from the issue by the investee of perpetual subordinated bonds or
convertible bonds not subscribed by the Group. Distributions received
from an equity-accounted investee reduce the carrying amount of the
investment. In applying the equity method, consolidation adjustments
(6) Joint ventures, associates and immaterial unconsolidated subsidiaries are accounted for at cost less any impairment losses, if this does not result in a misrepresentation of the
Company’s financial position and performance.
(7) If the retained investment continues to be classified either as a joint venture or an associate and so accounted for using the equity method, no remeasurement at fair value is
recognised in the profit and loss account.
(8) Conversely, any amount related to the former joint venture/associate previously recognised in other comprehensive income, which may not be reclassified subsequently to the profit
and loss account, are reclassified in another item of equity.
are considered (see also the accounting policy for “Subsidiaries”).
Losses arising from the application of the equity method in excess of
the carrying amount of the investment, recognised in the profit and
loss account within “Income (Expense) from investments”, reduce the
carrying amount, net of the related expected credit losses (see below),
of any financing receivables towards the investee for which settlement
is neither planned nor likely to occur in the foreseeable future (the so-
called long-term interests), which are, in substance, an extension of
the investment in the investee. The investor’s share of any losses of
an equity-accounted investee that exceeds the carrying amount of the
investment and any long-term interests (the so-called net investment), is
recognised in a specific provision only to the extent that the investor has
incurred legal or constructive obligations or made payments on behalf
of the investee. Whenever there is objective evidence of impairment
(e.g. relevant breaches of contracts, significant financial difficulty,
probable default of the counterparty, etc.), the carrying amount of the
net investment, resulting from the application of the abovementioned
measurement criteria, is tested for impairment by comparing it with
the related recoverable amount, determined by adopting the criteria
indicated in the accounting policy for “Impairment of non-financial
assets”. When an impairment loss no longer exists or has decreased,
any reversal of the impairment loss is recognised in the profit and loss
account within “Income (Expense) from investments”. The impairment
reversal of the net investment shall not exceed the previously recognised
impairment losses. The sale of equity interests with loss of joint control
or significant influence over the investee determines the recognition
in the profit and loss account of: (i) any gain or loss calculated as the
difference between the consideration received and the corresponding
transferred share; (ii) any gain or loss recognised as a result of the
remeasurement of any investment retained in the former joint venture/
associate at its fair value7; and (iii) any amount related to the former
joint venture/associate previously recognised in other comprehensive
income which may be reclassified subsequently to the profit and loss
account8. Any investment retained in the former joint venture/associate
is recognised at its fair value at the date when joint control or significant
influence is lost and shall be accounted for in accordance with the
applicable measurement criteria.
BUSINESS COMBINATION
Business combinations are accounted for by applying the acquisition
method. The consideration transferred in a business combination is
the sum of the acquisition-date fair value of the assets transferred, the
liabilities incurred and the equity interests issued by the acquirer. The
consideration transferred also includes the fair value of any assets
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or liabilities resulting from contingent considerations, contractually
agreed and dependent upon the occurrence of specified future events.
The acquirer shall measure the identifiable assets acquired and
liabilities assumed at their acquisition-date fair values9, unless
another measurement basis is required by IFRSs. The excess
of the consideration transferred over the Group’s share of the
acquisition-date fair values of the identifiable assets acquired and
liabilities assumed is recognised, on the balance sheet, as goodwill;
conversely, a gain on a bargain purchase is recognised in the profit
and loss account. Any non-controlling interests are measured as
the proportionate share in the recognised amounts of the acquiree’s
identifiable net assets at the acquisition date excluding the portion of
goodwill attributable to them (partial goodwill method). In a business
combination achieved in stages, the purchase price is determined
by summing the acquisition-date fair value of previously held equity
interests in the acquiree and the consideration transferred for
obtaining control; the previously held equity interests are remeasured
at their acquisition-date fair value and the resulting gain or loss, if
any, is recognized in the profit and loss account. Furthermore, on
obtaining control, any amount recognised in other comprehensive
income related to the previously held equity interests is reclassified
to the profit and loss account, or in another item of equity when such
amount may not be reclassified to the profit and loss account.
If the initial accounting for a business combination is incomplete
by the end of the reporting period in which the combination occurs,
the provisional amounts recognised at the acquisition date shall be
retrospectively adjusted within one year from the acquisition date,
to reflect new information obtained about facts and circumstances
that existed as of the acquisition date.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: INVESTMENTS AND BUSINESS
The assessment of the existence of control, joint control, significant
influence over an investee, as well as for joint operations, the
assessment of the existence of enforceable rights to the investee’s
assets and enforceable obligations for the investee’s liabilities imply
that management makes complex judgments on the basis of the
characteristics of the investee’s structure, arrangements between
parties and other relevant facts and circumstances. Significant
accounting estimates by management are required also for
measuring the identifiable assets acquired and the liabilities assumed
in a business combination at their acquisition-date fair values. For
such measurement, to be performed also for the application of the
equity method, Eni adopts the valuation techniques generally used by
(9) Fair value measurement principles are described in the accounting policy for “Fair value measurements”.
(10) Exchange differences associated with intragroup monetary assets and liabilities arising from transactions between consolidated companies operating in different currencies are
not eliminated.
(11) When the foreign subsidiary is partially owned, the cumulative exchange difference, that is attributable to the non-controlling interests, is allocated to and recognized as part of
“Non-controlling interest”.
market participants taking into account the available information; for
the most significant acquisitions, Eni engages external independent
evaluators.
INTRAGROUP TRANSACTIONS
All balances and transactions between consolidated companies,
and not yet realised with third parties, including unrealised profits
arising from such transactions, have been eliminated10. Unrealised
profits arising from transactions between the Group and its equity-
accounted entities are eliminated to the extent of the Group’s
interest in the equity-accounted entity; such accounting treatment is
applied also for transfer of businesses to equity-accounted entities
(the so-called downstream transactions). In both cases, unrealised
losses are not eliminated as the transaction provides evidence of an
impairment loss of the asset transferred.
FOREIGN CURRENCY TRANSLATION
The financial statements of foreign operations having a functional
currency other than the euro, that represents the parent’s functional
currency as well as the presentation currency of the Consolidated
Financial Statements, are translated into euros using the spot
exchange rates on the balance sheet date for assets and liabilities,
historical exchange rates for equity and average exchange rates
for the profit and loss account and the statement of cash flows.
The cumulative resulting exchange differences are presented
in the separate component of Eni owners’ equity “Cumulative
currency translation differences”11. Cumulative amount of exchange
differences relating to a foreign operation are reclassified to the
profit and loss account when the entity disposes the entire interest
in that foreign operation or when the partial disposal involves the
loss of control, joint control or significant influence over the foreign
operation. On a partial disposal that does not involve loss of control
of a subsidiary that includes a foreign operation, the proportionate
share of the cumulative exchange differences is reattributed to
the non-controlling interests in that foreign operation. On a partial
disposal of interests in joint arrangements or in associates that
does not involve loss of joint control or significant influence, the
proportionate share of the cumulative exchange differences is
reclassified to the profit and loss account. The repayment of share
capital made by a subsidiary having a functional currency other
than the euro, without a change in the ownership interest, implies
that the proportionate share of the cumulative amount of exchange
differences relating to the subsidiary is reclassified to the profit and
loss account. The financial statements of foreign operations which
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are translated into euro are denominated in the foreign operations’
functional currencies which generally is the US dollar.
The main foreign exchange rates used to translate the financial
statements into the parent’s functional currency are indicated below:
MATERIAL ACCOUNTING POLICIES
The material accounting policies used in the preparation of the
Consolidated Financial Statements are described below.
OIL AND NATURAL GAS EXPLORATION,
APPRAISAL, DEVELOPMENT AND
PRODUCTION ACTIVITIES
Oil and natural gas exploration, appraisal and development activities
are accounted for using the principles of the successful efforts
method of accounting as described below.
ACQUISITION OF EXPLORATION RIGHTS
Costs incurred for the acquisition of exploration rights (or their
extension) are initially capitalised within the line item “Intangible
assets” as “exploration rights - unproved” pending determination of
whether the exploration and appraisal activities in the reference areas
are successful or not. Unproved exploration rights are not amortised
but reviewed to confirm that there is no indication that the carrying
amount exceeds the recoverable amount. This review is based on
the confirmation of the commitment of the Company to continue the
exploration activities and on the analysis of facts and circumstances
that indicate the absence of uncertainties related to the recoverability
of the carrying amount. If no future activity is planned, the carrying
amount of the related exploration rights is recognised in the profit
and loss account as write-off. Lower value exploration rights are
pooled and amortised on a straight-line basis over the estimated
period of exploration. In the event of a discovery of proved reserves
(i.e. upon recognition of proved reserves and internal approval
for development), the carrying amount of the related unproved
exploration rights is reclassified to “proved exploration rights”, within
the line item “Intangible assets”. Upon reclassification, as well as
whether there is any indication of impairment, the carrying amount
of exploration rights to reclassify as proved is tested for impairment
considering the higher of their value in use and their fair value less
costs of disposal. From the commencement of production, proved
exploration rights are amortised according to the unit of production
method (the so-called UOP method, described in the accounting
policy for “UOP depreciation, depletion and amortisation”).
Acquisition of mineral interests
Costs incurred for the acquisition of mineral interests are
capitalised in connection with the assets acquired (such as
exploration potential, possible and probable reserves and proved
reserves). When the acquisition is related to a set of exploration
potential and reserves, the cost is allocated to the different
assets acquired based on their expected discounted cash flows.
Acquired exploration potential is measured in accordance with
the criteria illustrated in the accounting policy for “Acquisition of
exploration rights”. Costs associated with proved reserves are
amortised according to the UOP method (see the accounting
policy for “UOP depreciation, depletion and amortisation”).
Expenditure associated with possible and probable reserves
(unproved mineral interests) is not amortised until classified as
proved reserves; in case of a negative result of the subsequent
appraisal activities, it is written off.
Exploration and appraisal expenditure
Geological and geophysical exploration costs are recognised as an
expense as incurred. Costs directly associated with an exploration
well are initially recognised within tangible assets in progress, as
“exploration and appraisal costs - unproved” (exploration wells
in progress) until the drilling of the well is completed and can
continue to be capitalised in the following 12-month period (or a
longer period of time according to the complexity of the project
and to the associated investment level) pending the evaluation of
drilling results (suspended exploration wells). If, at the end of this
period, it is ascertained that the result is negative (no hydrocarbon
found) or that the discovery is not sufficiently significant to justify
the development, the wells are declared dry/ unsuccessful and the
related costs are written-off. Conversely, these costs continue to
be capitalised if and until: (i) the well has found a sufficient quantity
of reserves to justify its completion as a producing well, and (ii) the
entity is making sufficient progress assessing the reserves and the
economic and operating viability of the project; on the contrary, the
capitalised costs are recognised in the profit and loss account as
write-off. Analogous recognition criteria are adopted for the costs
related to the appraisal activity. When proved reserves of oil and/
(currency amount for 1 €)
Annual average
exchange rate 2024
Exchange rate at
December 31, 2024
Annual average
exchange rate 2023
Exchange rate at
December 31, 2023
Annual average
exchange rate 2022
Exchange rate at
December 31, 2022
U.S. Dollar
1.08
1.04
1.08
1.11
1.05
1.07
Pound Sterling
0.85
0.83
0.87
0.87
0.85
0.89
Australian Dollar
1.64
1.68
1.63
1.63
1.52
1.57
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or natural gas are determined, the relevant expenditure recognised
as unproved is reclassified to proved exploration and appraisal
costs within tangible assets in progress. Upon reclassification, or
when there is any indication of impairment, the carrying amount
of the costs to reclassify as proved is tested for impairment
considering the higher of their value in use and their fair value less
costs of disposal. From the commencement of production, proved
exploration and appraisal costs are depreciated according to the
UOP method (see the accounting policy for “UOP depreciation,
depletion and amortisation”).
DEVELOPMENT COSTS
Development costs, including the costs related to unsuccessful and
damaged development wells, are capitalised as “Tangible asset in
progress - proved”. Development costs are incurred to obtain access
to proved reserves and to provide facilities for extracting, treating,
gathering and storing the oil and gas. They are amortised, from the
commencement of production, generally on a UOP basis. When
development projects are unfeasible/not carried on, the related
costs are written off when it is decided to abandon the project.
Development costs are tested for impairment in accordance with the
criteria described in the accounting policy for “Property, plant and
equipment”.
UOP DEPRECIATION, DEPLETION AND
AMORTISATION
Proved oil and gas assets are depreciated generally under the UOP
method, as their useful life is closely related to the availability of
proved oil and gas reserves, by applying to the depreciable amounts
at the end of each quarter a rate representing the ratio between the
volumes extracted during the quarter and the reserves existing at
the end of the quarter, increased by the volumes extracted during
the quarter. This method is applied with reference to the smallest
aggregate representing a direct correlation between expenditures to
be depreciated and oil and gas reserves. Proved exploration rights
and acquired proved mineral interests are amortised over proved
reserves; proved exploration and appraisal costs and development
costs are depreciated over proved developed reserves, while
common facilities are depreciated over total proved reserves. Proved
reserves are determined according to US SEC rules that require
the use of the yearly average oil and gas prices for assessing the
economic producibility; material changes in reference prices could
result in depreciation charges not reflecting the pattern in which the
assets’ future economic benefits are expected to be consumed to
the extent that, for example, certain non-current assets would be
fully depreciated within a short-term. In these cases, the reserves
considered in determining the UOP rate are estimated on the basis
of economic viability parameters, reasonable and consistent with
management’s expectations of production, in order to recognise
depreciation charges that more appropriately reflect the expected
utilization of the assets concerned.
PRODUCTION COSTS
Production costs are those costs incurred to operate and maintain
wells and field equipment and are recognised as an expense as
incurred.
PRODUCTION SHARING AGREEMENTS AND
SERVICE CONTRACTS
Oil and gas reserves related to Production Sharing Agreements
are determined on the basis of contractual terms related to
the recovery of the contractor’s costs to undertake and finance
exploration, development and production activities at its own risk
(Cost Oil) and the Company’s stipulated share of the production
remaining after such cost recovery (Profit Oil). Revenues from the
sale of the lifted production, against both Cost Oil and Profit Oil, are
accounted for on an accrual basis, whilst exploration, development
and production costs are accounted for according to the above-
mentioned accounting policies. A similar scheme applies to service
contracts where the Group is entitled to a share of the production
as consideration for the rendered service. The Company’s share of
production volumes and reserves includes the share of hydrocarbons
that corresponds to the taxes to be paid, according to the contractual
agreement, by the national government on behalf of the Company.
As a consequence, the Company has to recognise at the same time
an increase in the taxable profit, through the increase of the revenue,
and a tax expense.
PLUGGING AND ABANDONMENT OF WELLS
Costs expected to be incurred with respect to the plugging and
abandonment of a well, dismantlement and removal of production
facilities, as well as site restoration, are capitalised, consistent
with the accounting policy described under “Property, plant and
equipment”, and then depreciated on a UOP basis.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: OIL AND NATURAL GAS ACTIVITIES
Engineering estimates of the oil and gas reserves are inherently
uncertain. Proved reserves are the estimated volumes of crude
oil, natural gas and gas condensates, liquids and associated
substances which geological and engineering data demonstrate
that can be economically producible with reasonable certainty from
known reservoirs under existing economic conditions and operating
methods. Although there are authoritative guidelines regarding the
engineering and geological criteria that must be met before estimated
oil and gas reserves can be categorised as “proved”, the estimate
of the reserves depends on a number of factors, assumptions
and variables, including: (i) the quality of available geological and
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technical-engineering data and their interpretation and judgment; (ii)
projections regarding future rates of production and operating costs
and development costs; (iii) changes in the prevailing tax rules, other
government regulations and contractual conditions; (iv) results of
drilling, testing and the actual production performance of Company’s
reservoirs after the date of the initial estimates which may drive
substantial upward or downward revisions during the current period;
and (v) changes in oil and natural gas commodity prices which could
affect expected future cash flows and the quantities of Company’s
proved reserves since the estimates of reserves are based on prices
existing as of the date when these estimates are made.
Lower oil prices or the projections of higher operating and
development costs may impair the ability of the Company to
economically produce reserves leading to downward reserve
revisions.
Many of the factors, assumptions and variables involved in
estimating proved reserves are subject to change over time and
therefore affect the estimates of oil and natural gas reserves. Similar
uncertainties concern unproved reserves. The determination of
whether potentially economic oil and natural gas reserves have been
discovered by an exploration well is made within a year after well
completion. The evaluation process of a discovery, which requires
performing additional appraisal activities on the potential oil and
natural gas field and establishing the optimum development plans,
can take longer, in most cases, depending on the complexity of the
project and on the size of capital expenditures required. During this
period, the costs related to these exploration wells remain suspended
on the balance sheet. In any case, all such capitalised costs are
reviewed, at least, on an annual basis to confirm the continued intent
to develop, or otherwise to extract value from the discovery. Field
reserves will be categorised as proved only when all the criteria for
attribution of proved status have been met. Proved reserves can
be classified as developed or undeveloped. Volumes are classified
into proved developed reserves as a consequence of development
activity. Generally, reserves are booked as proved developed at the
start of production. Major development projects typically take one to
four years from the time of initial booking to the start of production.
Estimated reserves are used both in determining depreciation,
amortisation and depletion charges (see the accounting policy
for “UOP depreciation, depletion and amortisation”) and for the
definition of future cash flows of oil and natural gas assets within
the impairment test.
PROPERTY, PLANT AND EQUIPMENT
Property, plant and equipment are recognized using the cost model
and initially stated at their purchase price or construction cost
including any costs directly attributable to bringing the asset to the
location and condition necessary for it to be capable of operating in
the manner intended by management. For assets that necessarily
take a substantial period of time to get ready for their intended use,
the purchase price or construction cost comprises the borrowing
costs incurred in the period to get the asset ready for use that would
have been avoided if the expenditure had not been made. In the case
of a present obligation for dismantling and removal of assets and
restoration of sites, the initial carrying amount of an item of property,
plant and equipment includes the estimated (discounted) costs to
be incurred when the removal event occurs; a corresponding amount
is recognised as part of a specific provision (see the accounting
policy for “Decommissioning and restoration liabilities”). Analogous
approach is adopted for present obligations to realise social projects
in oil and gas development areas. Property, plant and equipment
are not revalued for financial reporting purposes. Expenditures on
upgrading, revamping and reconversion are recognised as items
of property, plant and equipment when it is probable that they will
increase the expected future economic benefits of the asset. Assets
acquired for safety or environmental reasons, although not directly
increasing the future economic benefits of any particular existing item
of property, plant and equipment, qualify for recognition as assets
when they are necessary for running the business. Depreciation of
tangible assets begins when they are available for use, i.e. when they
are in the location and condition necessary for it to be capable of
operating as planned. Property, plant and equipment are depreciated
on a systematic basis over their useful life. The useful life is the
period over which an asset is expected to be available for use by the
Company. When tangible assets are composed of more than one
significant part with different useful lives, each part is depreciated
separately. The depreciable amount is the asset’s carrying amount
less its residual value at the end of its useful life, if it is significant
and can be reasonably determined. Changes in the asset’s useful
life, in its residual value or in the pattern of consumption of the
future economic benefits embodied in the asset, are accounted for
prospectively.
Replacement costs of identifiable parts in complex assets are
capitalised and depreciated over their useful life; the residual
carrying amount of the part that has been substituted is charged to
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the profit and loss account. Non-removable leasehold improvements
are depreciated over the earlier of the useful life of the improvements
and the lease term. Expenditures for ordinary maintenance and
repairs, other than replacements of identifiable components, which
reintegrate, and do not increase the performance of the assets,
are recognised as an expense as incurred. The carrying amount of
property, plant and equipment is derecognised on disposal or when
no future economic benefits are expected from its use or disposal;
the arising gain or loss is recognized in the profit and loss account.
LEASING12
A contract is, or contains, a lease, if the contract conveys the right
to control the use of an identified asset for a period of time in
exchange for consideration; such right exists whether, throughout
the period of use, the customer has both the right to obtain
substantially all of the economic benefits from use of the identified
asset and the right to direct the use of the identified asset. At
the commencement date of the lease (i.e. the date on which the
underlying asset is available for use), a lessee recognises on the
balance sheet an asset representing its right to use the underlying
leased asset (hereinafter also referred as right-of-use asset) and a
liability representing its obligation to make lease payments during
the lease term (hereinafter also referred as lease liability13). The
lease term is the non-cancellable period of a contract, together
with, if reasonably certain, periods covered by extension options or
by the non-exercise of termination options. In particular, the lease
liability is initially recognised at the present value of the following
lease payments14 that are not paid at the commencement date:
(i) fixed payments (including in-substance fixed payments), less
any lease incentives receivable; (ii) variable lease payments that
depend on an index or a rate15; (iii) amounts expected to be payable
by the lessee under residual value guarantees; (iv) the exercise
price of a purchase option if the lessee is reasonably certain to
exercise that option; and (v) payments of penalties for terminating
the lease, if the lease term reflects the lessee exercising an option
to terminate the lease. The lease payments are discounted using
the interest rate implicit in the lease or, if that rate cannot be readily
determined, the lessee’s incremental borrowing rate. The latter is
determined considering the term of the lease, the frequency and
currency of the contractual lease payments, as well as the features
of the lessee’s economic environment (reflected in the country risk
premium assigned to each Country where Eni operates).
(12) This accounting policy does not apply to leases to explore for and extract resources such as those for oil and gas rights, leases of land and any rights of way related to oil and gas
activities.
(13) Eni recognises the lease payments associated with those leases as an expense on a straight-line basis over the lease term.
(14) Eni does not separate non-lease components from lease components except for main contracts related to upstream activities (drilling rigs), which provide for single payments
relating to both lease and non-lease components.
(15) Conversely, the other kinds of variable lease payments (e.g. payments that depend on the use of an underlying leased asset) are not included in the carrying amount of the lease
liability, but are recognised in the profit and loss account as operating expenses over the lease term.
(16) Initial direct costs are incremental costs of obtaining a lease that would not have been incurred if the lease had not been obtained.
(17) Depreciation charges are recognised on a systematic basis from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease
term. Nevertheless, if the lease transfers ownership of the underlying asset to the lessee by the end of the lease term, or if the cost of the right-of-use asset reflects that the lessee will
exercise a purchase option, the right-of-use asset is depreciated from the commencement date to the end of the useful life of the underlying asset.
After the initial recognition, the lease liability is measured on an
amortised cost basis and is remeasured, normally, as an adjustment
to the carrying amount of the related right-of-use asset, to reflect
changes to the lease payments due, essentially, to: (i) modifications
in the lease contract not accounted as a separate lease; (ii) changes
in indexes or rates (used to determine the variable lease payments);
or (iii) changes in the assessment of contractual options (e.g. options
to purchase the underlying asset, extension or termination options).
The right-of-use asset is initially measured as the sum of: (i) the
amount of the initial measurement of the lease liability; (ii) any initial
direct costs incurred by the lessee16; (iii) any lease payments made
at or before the commencement date, less any lease incentives
received; and (iv) an estimate of costs to be incurred by the lessee in
dismantling and removing the underlying asset, restoring the site on
which it is located or restoring the underlying asset to the condition
required by the terms and conditions of the lease. After the initial
recognition, the right-of-use asset is adjusted for any accumulated
depreciation17, any accumulated impairment losses (see the
accounting policy for “Impairment of non-financial assets”) and any
remeasurement of the lease liability. The depreciation charges of
the right-of-use asset and the interest expenses on the lease liability
directly attributable to the construction of an asset are capitalised
as part of the cost of such asset and subsequently recognised in
the profit and loss account through depreciation/impairments or
write-off, mainly in the case of exploration assets. In the oil and gas
activities, the operator of an unincorporated joint operation which
enters into a lease contract as the sole signatory recognises on the
balance sheet: (i) the entire lease liability if, based on the contractual
provisions and any other relevant facts and circumstances, it has
primary responsibility for the liability towards the third-party supplier;
and (ii) the entire right-of-use asset, unless, on the basis of the
terms and conditions of the contract, there is a sublease with the
followers. The followers’ share of the right-of-use asset, recognised
by the operator, will be recovered according to the joint operation’s
contractual arrangements by billing the project costs attributable to
the followers and collecting the related cash calls. Costs recovered
from the followers are recognised as “Other income and revenues”
in the profit and loss account and as net cash provided by operating
activities in the statement of cash flows. Differently, if a lease
contract is signed by all the partners, Eni recognises its share of the
right-of-use asset and lease liability on the balance sheet based on
its working interest. If Eni does not have primary responsibility for
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the lease liability and, on the basis of the terms and conditions of the
contract, there is not a sublease, it does not recognise any right-of-
use asset and lease liability related to the lease contract. When lease
contracts are entered into by companies other than subsidiaries
that act as operators on behalf of the other participating companies
(the so-called operating companies), consistent with the provision
to recover from the followers the costs related to the oil and gas
activities, the participating companies recognise their share of the
right-of-use assets and the lease liabilities based on their working
interest, defined according to the expected use, to the extent that it is
reliably determinable, of the underlying assets.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: LEASE TRANSACTIONS
With reference to lease contracts, management makes significant
estimates and judgments related to: (i) determining the lease term,
considering all facts and circumstances that generate an economic
incentive, or not, to exercise any extension and/or termination
options; (ii) determining the lessee’s incremental borrowing rate; (iii)
identifying and, where appropriate, separating non-lease components
from lease components, where an observable standalone price is
not readily available, taking into account also the analysis performed
with external experts; (iv) recognising lease contracts, for which the
underlying assets are used in oil and gas activities (mainly drilling
rigs and FPSOs), entered into as operator within an unincorporated
joint operation, considering if the operator has primary responsibility
for the liability towards the third-party supplier and the relationships
with the followers; (v) identifying the variable lease payments and the
related characteristics in order to include them in the measurement
of the lease liability.
INTANGIBLE ASSETS
Intangible assets are identifiable non-monetary assets without
physical substance, controlled by the Company and able to
produce future economic benefits, and goodwill. An asset is
classified as intangible when management is able to distinguish
it clearly from goodwill. Intangible assets are initially recognized
at cost as determined by the criteria described in the accounting
policy for “Property, plant and equipment” and they are never
revalued for financial reporting purposes. Intangible assets with
finite useful lives are amortised on a systematic basis over their
useful life; the amortisation is carried out in accordance with the
criteria described in the accounting policy for “Property, plant and
equipment”. Goodwill and intangible assets with indefinite useful
lives are not amortised. For the recoverability of the carrying
amounts of goodwill and other intangible assets see the accounting
policy for “Impairment of non-financial assets”. Costs of obtaining
a contract with a customer are recognised on the balance sheet if
the Company expects to recover those costs. The carrying value
of the intangible asset arising from those costs is amortised on
a systematic basis, that is consistent with the transfer to the
customer of the goods or services to which the asset relates and
is tested for impairment. Costs of technological development
activities, including development costs related to CCS Projects
(Carbon, Capture and Storage) incurred before the construction
of the physical infrastructure, are capitalised when: (i) the cost
attributable to the development activity can be measured reliably;
(ii) there is the intention and the availability of financial and technical
resources to make the asset available for use or sale; and (iii) it
can be demonstrated that the asset is able to generate probable
future economic benefits. The carrying amount of intangible assets
is derecognised on disposal or when no future economic benefits
are expected from its use or disposal; any arising gain or loss is
recognised in the profit and loss account.
IMPAIRMENT OF NON-FINANCIAL ASSETS
Non-financial assets (tangible assets, intangible assets and
right-of-use assets) are tested for impairment whenever events
or changes in circumstances indicate that the carrying amounts
for those assets may not be recoverable. The recoverability
assessment is performed for each cash generating unit (hereinafter
also CGU) represented by the smallest identifiable group of assets
that generate cash inflows that are largely independent of the cash
inflows from other assets or group of assets. CGUs may include
corporate assets which do not generate cash inflows independently
of other assets or group of assets but which contribute to the
future cash flows of more CGUs; the portions of corporate assets
are allocated to a specific CGU or, if not possible, to a group of
CGUs on a reasonable and consistent basis. Goodwill is tested for
impairment at least annually, and whenever there is any indication
of impairment, at the lowest level within the entity at which it is
monitored for internal management purposes. Right-of-use assets,
which generally do not generate cash inflows independently of
other assets or groups of assets, are allocated to the CGU to which
they belong; the right-of-use assets which cannot be fully attributed
to a CGU are considered as corporate assets. The recoverability of
the carrying amount of common facilities within the E&P operating
segment is assessed by considering the set of recoverable amounts
of the CGUs benefiting from the common facility.
The recoverability of a CGU is assessed by comparing its carrying
amount with the recoverable amount, which is the higher of the
CGU’s fair value less costs of disposal and its value in use. Value
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in use is the present value of the future cash flows expected to
be derived from continuing use of the CGU and, if significant and
reliably measurable, the cash flows expected to be obtained from
its disposal at the end of its useful life, after deducting the costs
of disposal.
The value in use of CGUs which include material right of use assets
is calculated, normally, by ignoring lease payments included in the
measurement of the lease liabilities.
For impairment test purposes, cash outflows expected to be
incurred to guarantee compliance with laws and regulations
regarding CO2 emissions (e.g. Emission Trading Scheme) or
on a voluntary basis (e.g. cash outflows related to forestry
certificates acquired or produced consistent with the Company’s
decarbonization strategy – hereinafter also forestry) are taken into
account. In particular, in estimating value in use, the cash outflows
for forestry projects18 are included, consistent with the targets of
the decarbonization strategy, within the expected operating cash
outflows; in this regard, considering that the forestry projects can
be developed in countries where Eni does not carry out operating
activities and given the difficulty to allocate such cash outflows, on a
reasonable and consistent basis, to CGUs of the relevant operating
segment, the related discounted cash outflows are treated as a
reduction of the headroom of the E&P operating segment. For the
determination of value in use, the estimated future cash flows are
discounted using a rate that reflects a current market assessment
of the time value of money and of the risks specific to the asset that
are not reflected in the estimated future cash flows. In particular,
the discount rate used is the Weighted Average Cost of Capital
(WACC) adjusted for the specific country risk of the CGU. These
adjustments are measured considering information from external
parties. WACC differs considering the risk associated with each
operating segment/business where the asset operates.
In particular, for the assets belonging to the Global Gas & LNG
Portfolio (GGP) operating segment, the Chemical business, the
Biochemistry business, the Power business, E-Mobility, Retail
Domestic and Renewable businesses, Fuel Sales, Biomethane
and Green Refinery businesses, the Agri- Feedstock business,
the CCUS business and Eni Rewind business, the riskiness is
determined on the basis of a sample of comparable companies.
For the E&P operating segment and REVT (Refining Evolution
and Transformation) business, the riskiness is determined, on a
residual basis, as the difference between the risk of Eni as a whole
and the risk of other operating segments/businesses. Value in use
is calculated net of the tax effect as this method results in values
similar to those resulting from discounting pre-tax cash flows at a
pre-tax discount rate derived, through an iteration process, from a
(18) For the recognition criteria of forestry certificates see the accounting policy for “Costs”.
(19) Impairment losses recognised for goodwill in an interim period are not reversed also when, considering conditions existing in a subsequent interim period, they would have been
recognised in a smaller amount or would not have been recognised.
post-tax valuation. When the carrying amount of the CGU, including
goodwill allocated thereto, determined taking into account any
impairment loss of the non-current assets belonging to the CGU,
exceeds its recoverable amount, the excess is recognised as
an impairment loss. The impairment loss is allocated first to
reduce the carrying amount of goodwill; any remaining excess is
allocated to the other assets of the unit pro rata on the basis of
the carrying amount of each asset in the CGU, up to the related
recoverable amount. When an impairment loss no longer exists
or has decreased, a reversal of the impairment loss is recognised
in the profit and loss account. The impairment reversal shall not
exceed the carrying amount that would have been determined, net
of depreciation, had no impairment loss been recognised for the
asset in prior years. An impairment loss recognised for goodwill is
not reversed in a subsequent period19.
GRANTS RELATED TO ASSETS
Government grants related to assets are recognized by deducting
them in calculating the carrying amount of the related assets when
there is reasonable assurance that the Company will comply with the
conditions attaching to them and the grants will be received.
INVENTORIES
Inventories, including compulsory stock, are measured at the
lower of purchase or production cost and net realisable value. Net
realisable value is the estimated selling price in the ordinary course of
business less the estimated costs of completion and the estimated
costs necessary to make the sale, or, with reference to inventories
of crude oil and petroleum products already included in binding
sale contracts, the contractual selling price. Inventories which are
principally acquired with the purpose of selling in the near future and
generating a profit from fluctuations in price are measured at fair
value less costs to sell and any subsequent changes in fair value
are recognised in the profit and loss account. Materials and other
supplies held for use in production are not written down below cost if
the finished products in which they will be incorporated are expected
to be sold at or above cost. The cost of inventories of hydrocarbons
(crude oil, condensates and natural gas) and petroleum products
is determined by applying the weighted average cost method on a
three-month basis, or on a different time period (e.g. monthly), when
it is justified by the use and the turnover of inventories of crude oil
and petroleum products; the cost of inventories of the Chemical
business is determined by applying the weighted average cost on
an annual basis. When take-or-pay clauses are included in long-term
gas purchase contracts, pre-paid gas volumes that are not withdrawn
to fulfill minimum annual take obligations are measured using the
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pricing formulas contractually defined. They are recognised within
“Other assets” as “Deferred costs”, as a contra to “Trade and other
payables” or, after settlement, to “Cash and cash equivalents”. The
allocated deferred costs are charged to the profit and loss account: (i)
when natural gas is actually withdrawn – the related cost is included
in the determination of the weighted average cost of inventories; and
(ii) for the portion which is not recoverable, when it is not possible to
withdraw the previously pre-paid gas within the contractually defined
deadlines. Furthermore, the allocated deferred costs are tested for
economic recoverability by comparing the related carrying amount
and their net realisable value, determined adopting the same criteria
described for inventories.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: IMPAIRMENT OF NON-FINANCIAL
ASSETS
The assessment of the recoverability of non-financial assets
depends on management estimates on highly uncertain and
complex matters such as future commodity prices, future
discount rates, future development costs and production costs,
the effects of inflation and technology improvements on operating
expenses, production profiles and the outlook for global or regional
market supply-and-demand conditions also with reference to the
decarbonization process and the effects of changes in regulatory
requirements. The definition of CGUs and the identification of their
appropriate grouping for the purpose of testing for impairment the
carrying amount of goodwill, corporate assets as well as common
facilities within the E&P operating segment, require judgment by
management. In particular, CGUs are identified considering, inter
alia, how management monitors the entity’s operations (such as
by business lines) or how management makes decisions about
continuing or disposing of the entity’s assets and operations.
Similar remarks are valid for assessing the physical recoverability
of assets recognised on the balance sheet (deferred costs – see
also the accounting policy for “Inventories”) related to natural gas
volumes not withdrawn under long-term supply contracts with
take-or-pay clauses.
The definition of the expected future cash flows used for impairment
analyses is based on judgmental assessments of future production
volumes, prices and costs, considering available information at the
date of review. With reference to commodity prices, management
assumes the price scenario adopted for economic-financial
projections and for the evaluation of investments over their entire
life. The price scenario is approved by the Board of Directors (see
point ‘Significant accounting estimates and judgments made in
assessing the impacts of climate-related risks’). Moreover, the
estimate of expected future cash flows taking into consideration
the current and expected decarbonization trends, is performed
taking into account: (i) the evolution of the future energy system;
(ii) the fundamentals of the various energy markets; as well as (iii)
the constant benchmarking with the views of market analysts and
other specialised institutions.
For oil and natural gas properties, the expected future cash flows
are estimated based on proved and probable reserves, including,
among other elements, production taxes and the costs to be
incurred for the reserves yet to be developed. In limited cases (e.g.
for mineral interests acquired from third parties as part of a business
combination) the expected cash flows may take into account also the
risk-adjusted possible reserves, if they are considered to determine
the consideration transferred.
The estimate of the future rates of production is based on
assumptions related to future commodity prices, operating costs,
lifting and development costs, field decline rates and other factors.
More details on the main assumptions underlying the determination
of the recoverable amount of non-financial assets are set out in
note 15 - Reversals (Impairments) of tangible and intangible assets
and right-of-use assets. Sensitivity of outcomes to decarbonization
scenarios.
FINANCIAL INSTRUMENTS
FINANCIAL ASSETS
Financial assets, held by the Group, are classified, on the basis of both
contractual cash flow characteristics and the entity’s business model
for managing them, in the following categories: (i) financial assets
measured at amortised cost; and (ii) financial assets measured at
fair value through profit or loss (hereinafter also FVTPL). At initial
recognition, a financial asset is measured at its fair value plus, in the
case of a financial asset not at FVTPL, transaction costs that are
directly attributable; at initial recognition, trade receivables that do
not have a significant financing component are measured at their
transaction price.
After initial recognition, financial assets whose contractual terms
give rise to cash flows that are solely payments of principal and
interest on the principal amount outstanding are measured at
amortised cost if they are held within a business model whose
objective is to hold financial assets in order to collect contractual
cash flows (the so-called hold to collect business model). For
financial assets measured at amortised cost, interest income
determined using the effective interest rate, foreign exchange
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differences and any impairment losses20 (see the accounting policy
for “Impairment of financial assets”) are recognised in the profit
and loss account.
Financial assets represented by debt instruments that are not
measured at amortised cost are measured at FVTPL; financial
assets held for trading, as well as the portfolios of financial assets
managed and evaluated on a fair value basis, fall into this category.
Interest income on such financial assets contributes to the related
fair value measurement and is recognised in “Finance income
(expense)”, within “Net finance income (expense) from financial
assets at fair value through profit or loss”. When the purchase or sale
of a financial asset is under a contract whose terms require delivery
of the asset within the time frame established generally by regulation
or convention in the marketplace concerned, the transaction is
accounted for on the settlement date.
CASH AND CASH EQUIVALENTS
Cash and cash equivalents include cash on hand, demand deposits,
as well as financial assets originally due, generally, up to three
months, readily convertible to known amount of cash and subject to
an insignificant risk of changes in value.
IMPAIRMENT OF FINANCIAL ASSETS
The expected credit loss model is adopted for the impairment of
financial assets that are debt instruments but are not measured
at FVTPL21. In particular, the expected credit losses are generally
measured by multiplying: (i) the exposure to the counterparty’s
credit risk net of any collateral held and other credit enhancements
(Exposure At Default, EAD); (ii) the probability that the default of
the counterparty occurs (Probability of Default, PD); and (iii) the
percentage estimate of the exposure that will not be recovered
in case of default (Loss Given Default, LGD), considering the
past experiences and the range of recovery tools that can be
activated (e.g. extrajudicial and/or legal proceedings, etc.). With
reference to trade and other receivables, Probabilities of Default
of counterparties are determined by adopting the internal credit
ratings already used for credit worthiness and are periodically
reviewed using, inter alia, back testing analyses; for government
entities (e.g. National Oil Companies), the Probability of Default,
represented essentially by the probability of a delayed payment,
is determined by using, as input data, the country risk premium
adopted to determine WACC for the impairment review of
nonfinancial assets. For customers without internal credit ratings,
the expected credit losses are measured by using a provision
matrix, defined by grouping, where appropriate, receivables
(20) Receivables and other financial assets measured at amortised cost are presented on the balance sheet net of their loss allowance.
(21) The expected credit loss model is also adopted: (i) for issued financial guarantee contracts not measured at FVTPL; as well as (ii) for issued performance guarantees contracts
Expected credit losses recognised on issued guarantees are not material.
(22) For credit exposures arising from intragroup transactions, the recovery rate is normally assumed equal to 100% taking into account, inter alia, the Group central treasury function
which supports both financial and capital needs of subsidiaries.
into adequate clusters to which apply expected loss rates
defined on the basis of their historical credit loss experiences,
adjusted, where appropriate, to take into account forward-looking
information on credit risk of the counterparty or clusters of
counterparties22. Considering the characteristics of the reference
markets, financial assets with more than 180 days past due or, in
any case, with counterparties undergoing litigation, restructuring
or renegotiation, are considered to be in default. Counterparties
are
considered
undergoing
litigation
when
judicial/legal
proceedings aimed to recover a receivable have been activated
or are going to be activated. Impairment losses of trade and other
receivables are recognised in the profit and loss account, net of
any impairment reversal, within the line item of the profit and loss
account “Net (impairment losses) reversals of trade and other
receivables”. The financing receivables granted to associates
and joint ventures, for which settlement is neither planned nor
likely to occur in the foreseeable future and which in substance
form part of the entity’s net investment in these investees, are
tested for impairment, first, on the basis of the expected credit
loss model and, then, together with the carrying amount of the
investment in the associate/joint venture, in accordance with the
criteria indicated in the accounting policy for “The equity method
of accounting”. In applying the expected credit loss model, any
adjustments to the carrying amount of long-term interest that
arise from applying the accounting policy for “The equity method
of accounting” are not taken into account.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: IMPAIRMENT OF FINANCIAL
ASSETS
Measuring impairment losses of financial assets requires
management evaluation of complex and highly uncertain elements
such as, for example, Probabilities of Default of counterparties, the
assessment of any collateral or other credit enhancements, the
expected exposure that will not be recovered in case of default, as
well as the definition of customers’ clusters to be adopted. Further
details on the main assumptions underlying the measurement of
expected credit losses of financial assets are provided in note 8 -
Trade and other receivables.
INVESTMENTS IN EQUITY INSTRUMENTS
Investments in equity instruments that are not held for trading
are measured at fair value through other comprehensive income,
without subsequent transfer of fair value changes to profit or loss
on derecognition of these investments; conversely, dividends from
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these investments are recognised in the profit and loss account,
within the line item “Income (Expense) from investments”, unless
they clearly represent a recovery of part of the cost of the investment.
In limited circumstances, an investment in equity instruments can be
measured at cost if it is an appropriate estimate of fair value.
FINANCIAL LIABILITIES
At initial recognition, financial liabilities, other than derivative financial
instruments, are measured at their fair value, minus transaction costs
that are directly attributable, and are subsequently measured at
amortised cost. The sustainability-linked bonds, i.e. financial liabilities
where the interest rate is periodically adjusted to reflect changes in the
borrower’s performance relative to certain sustainability targets (the
so-called ESG metrics), are measured at amortised cost. Generally,
changes in the interest rate result in an update of the effective interest
rate to be used for the recognition of interest expense. The issue of a
convertible bond into ordinary shares of the issuer (without substantial
cash settlement option) determines the separate recognition of the
components of the instrument represented by the debt component,
measured at amortised cost, and by the conversion option, recognised
in equity. Any eventually transaction costs are allocated proportionally
between the financial liability and the equity instrument.
SIGNIFICANT JUDGMENTS: FINANCIAL
LIABILITIES
The Group’s companies can negotiate supplier finance arrangements
(supply chain finance, payable finance, reverse factoring and similar
agreements) with suppliers to obtain extended payment terms,
without the necessary and automatic involvement of a financial
institution. In such cases, management judges whether or not
payables towards suppliers have to be reclassified as financial
liabilities from trade/investing activity payables. In order to make
such judgment, management considers if the payment terms differ
from the ones that are customary in the industry, any additional
security is provided as part of the arrangement as well as any other
facts and circumstances.
The classification of a debt as financial determines: (i) upon
reclassification/initial recognition of the liability, a non-monetary
change with no impacts on the statement of cash flows; (ii) upon
the settlement of the liability, the classification of the payment within
net cash used in financing activities. With reference to sustainability-
linked bonds, management assesses whether the non-compliance
with an ESG metric could adversely impact operations and, therefore,
revenue generation and creditworthiness of the Company.
DERIVATIVE FINANCIAL INSTRUMENTS
AND HEDGE ACCOUNTING
Derivative financial instruments are assets and liabilities
recognised and measured at their fair value. With reference to the
defined risk management objectives and strategy, the qualifying
criteria for hedge accounting requires: (i) the existence of an
economic relationship between the hedged item and the hedging
instrument in order to offset the related value changes and the
effects of counterparty credit risk do not dominate the economic
relationship between the hedged item and the hedging instrument;
and (ii) the definition of the relationship between the quantity of the
hedged item and the quantity of the hedging instrument (the so-
called hedge ratio) consistent with the entity’s risk management
objectives, under a defined risk management strategy; the hedge
ratio is adjusted, where appropriate, after taking into account any
adequate rebalancing. A hedging relationship is discontinued
prospectively, in its entirety or a part of it, when it no longer meets
the risk management objectives on the basis of which it qualified
for hedge accounting, it ceases to meet the other qualifying
criteria or after rebalancing it. When derivatives hedge the risk of
changes in the fair value of the hedged items (fair value hedge,
e.g. hedging of the variability in the fair value of fixed interest
rate assets/liabilities), the derivatives are measured at fair
value through profit and loss. Consistently, the carrying amount
of the hedged item is adjusted to reflect, in the profit and loss
account, the changes in fair value of the hedged item attributable
to the hedged risk; this applies even if the hedged item should
be otherwise measured. When derivatives hedge the exposure to
variability in cash flows of the hedged items (cash flow hedge,
e.g. hedging the variability in the cash flows of assets/liabilities
as a result of the fluctuations of exchange rate), the effective
changes in the fair value of the derivatives are initially recognised
in the equity reserve related to other comprehensive income and
then reclassified to the profit and loss account in the same period
during which the hedged transaction affects the profit and loss
account. If a hedged forecast transaction subsequently results in
the recognition of a non-financial asset or a non-financial liability,
the accumulated changes in fair value of hedging derivatives,
recognised in equity, are included directly in the carrying amount
of the hedged non-financial asset/liability (commonly referred
to as a “basis adjustment”). The changes in the fair value of
non-hedging derivatives on interest rates and exchange rates
are recognised in the profit and loss account line item “Finance
income (expense)”; conversely, the changes in the fair value of
non-hedging derivatives on commodities are recognised in the
profit and loss account line item “Other operating (expense)
income”.
Derivatives embedded in financial assets are not accounted for
separately; in such circumstances, the entire hybrid instrument is
classified depending on the contractual cash flow characteristics of
the financial instrument and the business model for managing it (see
the accounting policy for “Financial assets”). Conversely, derivatives
embedded in financial liabilities measured at amortised cost and/or
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non-financial assets are separated if the economic characteristics
and risks of the embedded derivative are not closely related to the
economic characteristics and risks of the host contract.
Eni assesses the existence of embedded derivatives to be separated
when it becomes party to the contract and, afterwards, when a change
in the terms of the contract that modifies its cash flows occurs.
Contracts to buy or sell commodities entered into and continued
to be held for the purpose of their receipt or delivery in accordance
with the Group’s expected purchase, sale or usage requirements are
recognised on an accrual basis (the so-called own use exemption).
OFFSETTING OF FINANCIAL ASSETS AND
LIABILITIES
Financial assets and liabilities are set off on the balance sheet if the
Group currently has a legally enforceable right to set off and intends
to settle on a net basis (or to realise the asset and settle the liability
simultaneously).
DERECOGNITION OF FINANCIAL ASSETS
AND LIABILITIES
Transferred financial assets are derecognised when the contractual
rights to receive the cash flows from the financial assets expire or
are transferred to another party. Financial liabilities are derecognised
when they are extinguished, or when the obligation specified in the
contract is discharged, cancelled or expired.
PROVISIONS, CONTINGENT LIABILITIES AND
CONTINGENT ASSETS
Provisions are recognised when: (i) there is a present obligation,
legal or constructive, as a result of a past event; (ii) it is probable
that an outflow of resources embodying economic benefits will
be required to settle the obligation; and (iii) the amount of the
obligation can be reliably estimated. The amount recognised as
a provision is the best estimate of the expenditure required to
settle the present obligation or to transfer it to third parties on the
balance sheet date. The amount recognised for onerous contracts
is the lower of the cost necessary to fulfill the obligations, net of
expected economic benefits deriving from the contracts, and
any compensation or penalties arising from failure to fulfill these
obligations. Where the effect of the time value is material, and
the payment date of the obligations can be reasonably estimated,
provisions to be accrued are the present value of the expected
cash outflows determined taking into account the time value of
money and the risks associated with the obligation. The change in
provisions due to the passage of time is recognised within “Finance
income (expense)” in the profit and loss account. A provision for
restructuring costs is recognised only when the Company has
a detailed formal plan for the restructuring and has raised a
valid expectation in the affected parties that it will carry out the
restructuring. Provisions are periodically reviewed and adjusted
to reflect changes in the estimates of costs, timing and discount
rates. Changes in provisions are recognised in the same line item
where the original provision was charged. Contingent liabilities are:
(i) possible obligations arising from past events, whose existence
will be confirmed only by the occurrence or non-occurrence of one
or more uncertain future events not wholly within the control of
the Company; or (ii) present obligations arising from past events,
whose amount cannot be reliably measured or whose settlement
will probably not result in an outflow of resources embodying
economic benefits. Contingent liabilities are not recognised in the
financial statements but are disclosed. Contingent assets, which
are possible assets arising from past events and whose existence
will be confirmed only by the occurrence or non-occurrence of one
or more uncertain future events not wholly within the control of
the Company, are not recognised in financial statements unless
the realisation of economic benefits is virtually certain. Contingent
assets are disclosed when an inflow of economic benefits is
probable. Contingent assets are assessed periodically to ensure
that developments are appropriately reflected in the financial
statements.
DECOMMISSIONING AND RESTORATION
LIABILITIES
Liabilities for decommissioning and restoration costs are recognized,
together with a corresponding amount as part of the related
property, plant and equipment, when the conditions indicated in the
accounting policy “Provisions, Contingent Liabilities And Contingent
Assets” are met.
Such liabilities are reviewed regularly to take into account the
changes in the expected costs to be incurred, contractual obligations,
regulatory requirements and practices in force in the countries where
the tangible assets are located.
The effects of any changes in the estimate of the liability are
recognised generally as an adjustment to the carrying amount of
the related property, plant and equipment; however, if the resulting
decrease in the liability exceeds the carrying amount of the related
asset, the excess is recognised in the profit and loss account.
ENVIRONMENTAL LIABILITIES
Environmental liabilities are recognised when the Group has a
present obligation, legal or constructive, relating to environmental
clean-up and remediation of soil and groundwater in areas owned or
under concession where the Group performed in the past industrial
operations that were progressively divested, shut down, dismantled
or restructured. Liabilities for environmental costs are recognised
when a clean-up is probable and the associated costs can be reliably
estimated. The liability is measured on the basis of the costs expected
to be incurred in relation to the existing situation at the balance sheet
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date, considering virtually certain future developments in technology
and legislation that are known.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: DECOMMISSIONING AND
RESTORATION LIABILITIES, ENVIRONMENTAL
LIABILITIES AND OTHER PROVISIONS
The Group holds provisions for dismantling and removing items of
property, plant and equipment, and restoring land or seabed at the
end of the oil and gas production activity.
Estimating the amount and the timing of the obligations to
dismantle, remove and restore items of property, plant and
equipment is complex. It requires management to make estimates
and judgments with respect to removal obligations that will come
to term many years into the future and contracts and regulations
are often unclear as to what constitutes removal. In addition, the
ultimate financial impact of environmental laws and regulations
is not always clearly known as asset removal technologies and
costs constantly evolve in the countries where Eni operates,
as do political, environmental, safety and public expectations.
Decommissioning and restoration provisions, recognised in
the financial statements, include, essentially, the present value
of the expected costs for decommissioning oil and natural
gas facilities at the end of the economic lives of fields, well-
plugging, abandonment and site restoration of the Exploration
& Production operating segment. Any decommissioning and
restoration provisions associated with the other operating
segments’ assets, given their indeterminate settlement dates,
also considering the strategy to reconvert plants in order to
produce low carbon products, are recognised when it is possible
to make a reliable estimate of the discounted abandonment costs.
In this regard, Eni performs periodic reviews for any changes
in facts and circumstances that might require recognition of a
decommissioning and restoration provision. Eni is subject to
numerous EU, national, regional and local environmental laws
and regulations concerning its oil and gas operations, production
and other activities. They include legislations that implement
international conventions or protocols. Environmental liabilities
are recognised when it becomes probable that an outflow of
resources will be required to settle the obligation and such
obligation can be reliably estimated. On this regard, with reference
to groundwater treatment plants, the enhancement of the know-
how gained on water contamination trends, as well as the
positions of the competent authorities, allows the definition of a
predictive model for estimating the time horizon within which the
operations of those plants will be terminated and, therefore, for
estimating the cost of managing and monitoring them. The reliable
determinability is verified on the basis of the available information
such as, for example, the approval or filing of the environmental
projects to the relevant administrative authorities or the making
of a commitment to the relevant administrative authorities, where
supported by adequate estimates. Management, considering
the actions already taken, insurance policies obtained to cover
environmental risks and provisions already recognised, does not
expect any material adverse effect on Eni’s consolidated results
of operations and financial position as a result of such laws and
regulations. However, there can be no assurance that there will
not be a material adverse impact on Eni’s consolidated results of
operations and financial position due to: (i) the possibility of an
unknown contamination; (ii) the results of the ongoing surveys
and other possible effects of statements required by applicable
laws; (iii) the possible effects of future environmental legislations
and rules; (iv) the effects of possible technological changes
relating to future remediation; and (v) the possibility of litigation
and the difficulty of determining Eni’s liability, if any, against other
potentially responsible parties with respect to such litigations and
the possible reimbursements.
Moreover, considering the significant time period covered by the
environmental liabilities, further uncertainties associated with the
estimate are related to the definition of: i) the time-frame required
to reduce contaminants; ii) the future costs to be incurred for
remediation activities; iii) the discount and inflation rates.
In addition to environmental and decommissioning and restoration
liabilities, Eni recognises provisions primarily related to legal and
trade proceedings. These provisions are estimated on the basis of
complex managerial judgments.
EMPLOYEE BENEFITS
Employee benefits are considerations given by the Group in
exchange for service rendered by employees or for the termination
of employment. Post-employment benefit plans, including informal
arrangements, are classified as either defined contribution plans
or defined benefit plans depending on the economic substance
of the plan as derived from its principal terms and conditions.
Under defined contribution plans, the Company’s obligation, which
consists in making payments to the State or to a trust or a fund, is
determined on the basis of contributions due. The liabilities related
to defined benefit plans, net of any plan assets, are determined
on the basis of actuarial assumptions and charged on an accrual
basis during the employment period required to obtain the benefits.
Net interest includes the interest cost on liabilities and interest
income on plan assets. Net interest is measured by applying to the
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liabilities, net of any plan assets, the discount rate used to calculate
the present value of the liability; net interest of defined benefit plans
is recognised in “Finance income (expense)”. Remeasurements
of the net defined benefit liability, comprising actuarial gains and
losses, resulting from changes in the actuarial assumptions used
or from changes arising from experience adjustments, and the
return on plan assets excluding amounts included in net interest,
are recognised within the statement of comprehensive income.
Remeasurements of the net defined benefit liability, recognised
within other comprehensive income, are not reclassified
subsequently to the profit and loss account. Obligations for long-
term benefits are determined by adopting actuarial assumptions.
The effects of remeasurements are taken to profit and loss
account in their entirety. The liabilities for termination benefits are
recognised at the earlier of the following dates: (a) when the entity
can no longer withdraw the offer of those benefits; and (b) when
the entity recognises costs for a restructuring that involves the
payment of termination benefits. Such liabilities are measured in
accordance with the nature of the employee benefit. In particular, if
the termination benefits are an enhancement to post-employment
benefits, the related liability is measured in accordance with the
requirements for post-employment benefits. Otherwise, liabilities
for termination benefits are determined applying the requirements:
(i) for short-term employee benefits, if the termination benefits are
expected to be settled wholly before twelve months after the end
of the annual reporting period in which the termination benefits are
recognised; or (ii) for long-term benefits if the termination benefits
are not expected to be settled wholly before twelve months after
the end of the annual reporting period.
SHARE-BASED PAYMENTS
The line item “Payroll and related costs” includes the cost of the
share-based incentive plan, consistent with its actual remunerative
nature. (Long-term share-based incentive plans for the managers of
Eni and Employee Stock Ownership Plan).
With reference to Long-term share-based incentive plans for the
managers of Eni the cost of the share-based incentive plan is
measured by reference to the fair value of the equity instruments
granted and the estimate of the number of shares that eventually
vest; the cost is recognised on an accrual basis pro rata temporis
over the vesting period, that is the period between the grant date
and the settlement date. The fair value of the shares underlying the
incentive plan is measured at the grant date, taking into account
the estimate of achievement of market conditions (e.g. Total
Shareholder Return), and is not adjusted in subsequent periods;
when the achievement is linked also to nonmarket conditions, the
number of shares expected to vest is adjusted during the vesting
period to reflect the updated estimate of these conditions. If, at the
end of the vesting period, the incentive plan does not vest because
of failure to satisfy the performance conditions, the portion of cost
related to market conditions is not reversed to the profit and loss
account.
A similar accounting treatment is adopted with reference to the
Employee Stock Ownership Plan, whose cost is determined on the
basis of the fair value of shares at the grant date, it is allocated over
the period of time (three years) required for the employee to acquire
full ownership and availability of the shares granted.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: EMPLOYEE BENEFITS AND SHARE-
BASED PAYMENTS
Defined benefit plans are evaluated with reference to uncertain
events and based upon actuarial assumptions. The significant
assumptions used to account for defined benefit plans are
determined as follows: (i) discount and inflation rates are based
on the market yields on high quality corporate bonds (or, in the
absence of a deep market of these bonds, on the market yields
on government bonds) and on the expected inflation rates in
the reference currency area; (ii) the future salary levels of the
individual employees are determined including an estimate of
future changes attributed to general price levels (consistent with
inflation rate assumptions), productivity, seniority and promotion;
(iii) healthcare cost trend assumptions reflect an estimate of the
actual future changes in the cost of the healthcare related benefits
provided to the plan participants and are based on past and current
healthcare cost trends, including healthcare inflation, changes in
healthcare utilisation, changes in health status of the participants
and the contributions paid to health funds; and (iv) demographic
assumptions such as mortality, disability and turnover reflect the
best estimate of these future events for individual employees
involved. The amount of the net defined benefit liability (asset)
changes according to the remeasurements, comprising, among
others, changes in the current actuarial assumptions, differences in
the previous actuarial assumptions and what has actually occurred
and differences in the return on plan assets, excluding amounts
included in net interest, usually occur. Similar to the approach
followed for the fair value measurement of financial instruments,
the fair value of the shares underlying the incentive plans is
measured by using complex valuation techniques and identifying,
through structured judgments, the assumptions to be adopted.
Further details on the share-based incentives plans for managers
are provided in note 30 - Costs.
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EQUITY INSTRUMENTS
TREASURY SHARES
Treasury shares, including shares held to meet the future
requirements of the share-based incentive plans and the Employee
Stock Ownership Plan, are recognised as deductions from equity at
cost. Any gain or loss resulting from subsequent sales is recognised
in equity.
HYBRID BONDS
The perpetual subordinated hybrid bonds are classified in the financial
statements as equity instruments considering that the issuer has
the unconditional right to defer, until the date of its own liquidation,
the repayment of the principal amount and the payment of accrued
interest23. Therefore, the issuer recognises the cash received from
the bondholders, net of costs incurred in issuing the hybrid bonds, as
an increase in Eni owners’ equity; differently, the repayments of the
principal amount and the payments of accrued interest (upon the
arising of the related contractual payment obligation) are accounted
for as a decrease in Eni owners’ equity.
REVENUE FROM CONTRACTS WITH
CUSTOMERS
Revenue from contracts with customers is recognised when the
related performance obligation is satisfied that is when a promised
good or service is transferred to a customer. A promised good or
service is transferred when (or as) the customer obtains control of
it. Control can be transferred over time or at a point in time. With
reference to the most important products sold by Eni, revenue is
generally recognised for:
• crude oil, upon shipment;
• natural gas, LNG and electricity, upon delivery to the customer;
• petroleum products sold to retail distribution networks, upon
delivery to the service stations, whereas all other sales of
petroleum products are recognised upon shipment;
• chemical products and other products, upon shipment.
Revenue from crude oil and natural gas production from properties in
which Eni has an interest together with other producers is recognised
on the basis of the quantities actually lifted and sold (sales method);
costs are recognised on the basis of the quantities actually sold.
Revenue is measured at the fair value of the consideration to which
the Company expects to be entitled in exchange for transferring
promised goods and/or services to a customer, excluding amounts
collected on behalf of third parties. If the consideration promised
in a contract includes a variable amount, the Company estimates
(23) The payment of accrued interest is required upon the occurrence of events under the issuer’s control such as, for example, a distribution of dividends to shareholders.
the amount of consideration to which it will be entitled in exchange
for transferring the promised goods and/or services to a customer;
in particular, the amount of consideration can vary because of
discounts, refunds, incentives, price concessions, performance
bonuses, penalties or if the price is contingent on the occurrence or
non-occurrence of future events.
If, in a contract, the Company grants a customer the option to acquire
additional goods or services for free or at a discount (e.g. sales
incentives, customer award points, etc.), this option gives rise to a
separate performance obligation in the contract only if the option
provides a material right to the customer that it would not receive
without entering into that contract.
When goods or services are exchanged for goods or services which
are of a similar nature and value, the exchange is not regarded as a
transaction which generates revenue.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: REVENUE FROM CONTRACTS
WITH CUSTOMERS
Revenue from sales of electricity and gas to retail customers
includes the amount accrued for electricity and gas supplied
between the date of the last invoiced meter reading (actual or
estimated) of volumes consumed and the end of the year. These
estimates consider information provided by the grid managers
about the volumes allocated among the customers of the secondary
distribution network, about the actual and estimated volumes
consumed by customers, as well as internal estimates about
volumes consumed by customers. Therefore, revenue is accrued
as a result of a complex estimate based on the volumes distributed
and allocated, communicated by third parties, likely to be adjusted,
according to applicable regulations, within the fifth year following the
one in which they are accrued, as well as on estimates about volumes
consumed by customers. Considering the contractual obligations on
the supply delivery points, revenue from sales of electricity and gas
to retail customers includes costs for transportation and dispatching
and in these cases the gross amount of consideration to which the
Company is entitled is recognised.
COSTS
Costs are recognised when the related goods and services are
sold or consumed during the year, when they are allocated on a
systematic basis or when their future economic benefits cannot be
identified. Costs associated with emission quotas, incurred to meet
the compliance requirements (e.g. Emission Trading Scheme) and
determined on the basis of market prices, are recognised in relation
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to the amounts of the carbon dioxide emissions that exceed free
allowances. Costs related to the purchase of the emission rights that
exceed the amount necessary to meet regulatory obligations are
recognised as intangible assets. Revenue related to emission quotas
is recognised when they are sold. Emission rights held for trading
are recognised within inventories. The costs incurred on a voluntary
basis for the acquisition or production of forestry certificates, also
taking into account the absence of an active market, are recognised
in the profit and loss account when incurred.
The costs incurred for scientific research activities or technological
development, which cannot be capitalised (see also the accounting
policy for “Intangible assets”), are included in the profit and loss
account when they are incurred.
EXCHANGE DIFFERENCES
Revenues and costs associated with transactions in foreign
currencies are translated into the functional currency by applying
the exchange rate at the date of the transaction. Monetary assets
and liabilities denominated in foreign currencies are translated into
the functional currency at the spot exchange rate on the balance
sheet date and any resulting exchange differences are included
in the profit and loss account within “Finance income (expense)”
or, if designated as hedging instruments for the foreign currency
risk, in the same line item in which the economic effects of the
hedged item are recognised. Non-monetary assets and liabilities
denominated in foreign currencies, measured at cost, are not
retranslated subsequent to initial recognition. Nonmonetary items
measured at fair value, recoverable amount or net realisable value
are retranslated using the exchange rate at the date when the value
is determined.
DIVIDENDS
Dividends are recognised when the right to receive payment of the
dividend is established. Dividends and interim dividends to owners
are shown as changes in equity when the dividends are declared by,
respectively, the shareholders’ meeting and the Board of Directors.
INCOME TAXES
Current income taxes are determined on the basis of estimated
taxable profit. Current income tax assets and liabilities are measured
at the amount expected to be paid to (recovered from) the taxation
authorities, using the tax rates and tax laws that have been enacted
or substantively enacted by the end of the reporting period.
Deferred tax assets and liabilities are recognised for temporary
differences arising between the carrying amounts of the assets
and liabilities and their tax bases, based on tax rates and tax laws
that are expected to apply to the period when the asset is realised
or the liability is settled, based on tax rates and tax laws that have
been enacted or substantively enacted by the end of the reporting
period. Deferred tax assets are recognised when their recoverability
is considered probable, i.e. when it is probable that sufficient
taxable profit will be available in the same year as the reversal of
the deductible temporary difference. Similarly, deferred tax assets
for the carry-forward of unused tax credits and unused tax losses
are recognised to the extent that their recoverability is probable. The
carrying amount of the deferred tax assets is reviewed, at least, on
an annual basis.
Relating to the taxable temporary differences associated with
investments in subsidiaries and associates, and interests in joint
arrangements, the related deferred tax liabilities are not recognised
if the investor is able to control the timing of the reversal of the
temporary differences and it is probable that the temporary
differences will not reverse in the foreseeable future.
If there is uncertainty over income tax treatments, if the company:
(i) concludes it is probable that the taxation authority will accept an
uncertain tax treatment, it determines the (current and/ or deferred)
income taxes to be recognised in the financial statements consistent
with the tax treatment used or planned to be used in its income tax
filings; (ii) concludes it is not probable that the taxation authority will
accept an uncertain tax treatment, the company reflects the effect
of uncertainty in determining the (current and/or deferred) income
taxes to be recognised in the financial statements.
Deferred tax assets and liabilities are presented within noncurrent
assets and liabilities and are offset at a single entity level if related to
offsettable taxes. The balance of the offset, if positive, is recognised
in the line item “Deferred tax assets” and, if negative, in the line item
“Deferred tax liabilities”.
When the results of transactions are recognised in other
comprehensive income or directly in equity, the related current and
deferred taxes are also recognised in other comprehensive income
or directly in equity.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: INCOME TAXES
The computation of income taxes involves the interpretation
of applicable tax laws and regulations in many jurisdictions
throughout the world. Although Eni aims to maintain a relationship
with the taxation authorities characterised by transparency,
dialogue and cooperation (e.g. by not using aggressive tax
planning and by using, if available, procedures intended to
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eliminate or reduce tax litigations), there can be no assurance that
there will not be a tax litigation with the taxation authorities where
the legislation could be open to more than one interpretation.
The resolution of tax disputes, through negotiations with relevant
taxation authorities or through litigation, could take several years
to complete. The estimate of liabilities related to uncertain tax
treatments requires complex judgments by management. After
the initial recognition, these liabilities are periodically reviewed for
any changes in facts and circumstances. Moreover, management
makes complex judgments regarding mainly the assessment of
the recoverability of deferred tax assets, related both to deductible
temporary differences and unused tax losses, which requires
estimates and evaluations about the amount and the timing of
future taxable profits.
ASSETS HELD FOR SALE AND
DISCONTINUED OPERATIONS
Non-current assets and current and non-current assets included
within disposal groups are classified as held for sale if their carrying
amounts will be recovered principally through a sale transaction
rather than through continuing use. This condition is regarded as met
only when the sale is highly probable and the asset or the disposal
group is available for immediate sale in its present condition. When
there is a sale plan involving loss of control of a subsidiary, all the
assets and liabilities of that subsidiary are classified as held for
sale, regardless of whether a non-controlling interest in its former
subsidiary will be retained after the sale.
Immediately before the initial classification of a noncurrent asset
and/or a disposal group as held for sale, the non-current asset and/
or the assets and liabilities in the disposal group are measured
in accordance with applicable IFRSs. Subsequently, non-current
assets held for sale are not depreciated or amortised and they are
measured at the lower of the fair value less costs to sell and their
carrying amount.
If an equity-accounted investment, or a portion of that investment
meets the criteria to be classified as held for sale, it is no longer
accounted for using the equity method. Any difference between
the carrying amount of the noncurrent assets and the fair value
less costs to sell is taken to the profit and loss account as an
impairment loss; any subsequent reversal is recognised up to
the cumulative impairment losses, including those recognised
prior to qualification of the asset as held for sale. Non-current
assets classified as held for sale and disposal groups are
considered a discontinued operation if they, alternatively: (i)
represent a separate major line of business or geographical area
of operations; (ii) are part of a disposal program of a separate
major line of business or geographical area of operations; or (iii)
are a subsidiary acquired exclusively with a view to resale. The
results of discontinued operations, as well as any gain or loss
recognised on the disposal, are indicated in a separate line item
of the profit and loss account, net of the related tax effects; the
economic figures of discontinued operations are indicated also
for prior periods presented in the financial statements. If events or
circumstances occur that no longer allow to classify a non-current
asset or a disposal group as held for sale, the noncurrent asset
or the disposal group is reclassified into the original line items of
the balance sheet and measured at the lower of: (i) its carrying
amount at the date of classification as held for sale adjusted for
any depreciation, amortisation, impairment losses and reversals
that would have been recognised had the asset or disposal group
not been classified as held for sale, and (ii) its recoverable amount
at the date of the subsequent decision not to sell.
FAIR VALUE MEASUREMENTS
Fair value is the price that would be received to sell an asset or
paid to transfer a liability in an orderly transaction between market
participants (not in a forced liquidation or a distress sale) at the
measurement date (exit price).
Assets and liabilities measured at fair value are categorized into the
fair value hierarchy which is defined on the basis of the significance
of the inputs used to measure fair value. In particular, on the basis
of the features of the inputs used in the measurement, the fair value
hierarchy provides for the following levels:
a) level 1: quoted prices (unadjusted) in active markets for identical
assets or liabilities;
b) level 2: measurement based on inputs, other than quoted prices
included within the previous point, which are observable for the asset
or liability under measurement, either directly or indirectly;
c) level 3: unobservable inputs for the asset or liability.
SIGNIFICANT ACCOUNTING ESTIMATES AND
JUDGMENTS: FAIR VALUE
Fair value measurement, although based on the best available
information and on the use of appropriate valuation techniques, is
inherently uncertain, requires the use of professional judgment and
could result in expected values other than the actual ones.
2 Primary financial statements
The primary financial statements are the same of the ones used in
the previous reporting period.
3 Changes in accounting policies
The amendments to IFRSs effective from January 1, 2024, did not
have a material impact on the Consolidated Financial Statements.
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4 IFRSs not yet effective
IFRSs ISSUED BY THE IASB AND ADOPTED
BY THE EU
By the Commission Regulation No. 2024/2862 issued on November
12, 2024, the European Commission adopted the amendments to
IAS 21 “Lack of Exchangeability”, aimed, substantially, to require
the estimate of a spot exchange rate when a currency is not
exchangeable into another currency. The amendments are effective
for annual reporting periods beginning on or after January 1, 2025.
IFRSs ISSUED BY THE IASB AND NOT YET
ADOPTED BY THE EU
On April 9, 2024, the IASB issued IFRS 18 “Presentation and Disclosure
in Financial Statements,” which replaces IAS 1. In particular, IFRS 18,
in order to increase comparability and transparency of information:
(i) requires the presentation of defined subtotals within the profit
and loss account and introduces limited changes, essentially, to the
statement of cash flows and to the balance sheet; (ii) introduces
specific disclosure requirements, to be provided in the notes to
the financial statements, about management-defined performance
measures; and (iii) introduces new criteria for aggregation and
disaggregation of information presented in the primary financial
statements and disclosed in the notes. IFRS 18 shall be applied for
annual reporting periods beginning on or after January 1, 2027.
On May 9, 2024, the IASB issued IFRS 19 “Subsidiaries without
Public Accountability: Disclosures”, aimed to reduce disclosures
requirements for the preparation of the separate (and, if applicable,
consolidated) financial statements of companies (that are neither
listed nor financial institutions) controlled, directly or indirectly, by
a parent that produces consolidated financial statements that are
available for public use and that comply with IFRSs. IFRS 19 shall be
applied for annual reporting periods beginning on or after January
1, 2027.
On May 30, 2024, the IASB issued the amendments to IFRS 9 and
IFRS 7 “Classification and Measurement of Financial Instruments”
aimed, essentially, to clarify the timing of derecognition of financial
liabilities settled through electronic payment systems and to provide
clarifications about the classification of financial assets with
environmental, social and governance features (i.e., sustainability
bond). The amendments shall be applied for annual reporting
periods beginning on or after January 1, 2026.
On July 18, 2024, the IASB issued the document “Annual
Improvements to IFRS Standards - Volume 11”, which includes,
basically, technical and editorial changes to existing standards. The
amendments to the standards shall be applied for annual reporting
periods beginning on or after January 1, 2026.
On 18 December 2024, the IASB issued amendments to IFRS 9
and IFRS 7 “Contracts Referencing Nature dependent Electricity”
essentially aimed at: (i) clarifying the use of the ‘own-use exemption’
for power purchase agreement from renewable source; and (ii)
allowing, subject to certain conditions, being met, the designation of
a cash flow hedge in the presence of contracts for the purchase or
sale of electricity from renewable sources (settable on a net basis).
The amendments shall be applied for annual reporting periods
beginning on or after January 1, 2026.
Eni is currently reviewing the IFRSs not yet effective, mentioned
above, in order to determine the likely impact on the Consolidated
Financial Statements.
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Acquisitions
In 2024, Eni closed several business combinations acquiring the
control of third-party companies with an outlay of €2,060 million,
assuming net financial liabilities for €468 million, of which cash and
cash equivalents for €265 million.
EXPLORATION & PRODUCTION
On January 31, 2024, Eni closed the 100% acquisition of the Neptune
Energy group, based in the United Kingdom and operating in exploration,
development and production of hydrocarbons, mainly natural gas
assets, primarily located in Indonesia, Algeria, United Kingdom and
Netherlands. The total cash consideration of the transaction amounted
to €1,959 million with assumption of: (i) current assets for €476 million;
(ii) non-current assets for €3,698 million; (iii) net borrowings for €405
million, of which cash and cash equivalents for €257 million; (iv) current
and non-current liabilities for €1,810 million. The price was primarily
allocated to proved properties and to unproved mineral interests on a
definitive basis without recognition of goodwill.
PLENITUDE
In 2024, Plenitude finalized minor acquisitions primarily in Spain for
a total outlay of €51 million with assumption of net borrowings for
€53 million, of which cash and cash equivalents for €8 million. The
acquisitions involved companies operating in the renewable energy
segment with a total capacity of 305 MW and, in the retail segment,
the acquisition of control through the purchase of the residual
49% stake in Enera Conseil SAS. The price allocation of net assets
acquired of Enera Conseil SAS was made on a provisional basis with
recognition of goodwill for €5 million.
ENILIVE
On May 31, 2024, Eni finalized the 100% acquisition of the Atenoil
group companies, based in Spain, operating 21 refueling stations
in the regions of Madrid, Andalusia and Castile-La Mancha. The
total cash consideration of the transaction amounted to €50 million
with acquisition of: (i) current assets for €5 million; (ii) non-current
assets for €37 million; (iii) net borrowings for €10 million; (iv) current
and non-current liabilities for €10 million. The price allocation of
the net assets acquired was made on a provisional basis with the
recognition of goodwill for €28 million.
Information about the definitive purchase price allocation of
business combinations made in 2023 is provided in note 27 ‐ Other
Information.
Balance sheet values at the acquisition date of the business
combinations realized in 2024 are shown in the following table:
5 Business combinations and other significant transactions
(€ million)
Exploration & Production -
Neptune Energy Group
Plenitude -
Renewables
and Retail
Enilive - Atenoil
Total
Cash and cash equivalents
257
8
265
Current financial assets
233
233
Other current assets
476
5
5
486
Current assets
966
13
5
984
Property, plant and equipment
2,501
71
14
2,586
Deferred tax assets
407
407
Other non-current assets
790
57
23
870
Non-current assets
3,698
128
37
3,863
TOTAL ASSETS
4,664
141
42
4,847
Current financial liabilities
45
8
53
Other current liabilities
310
3
6
319
Current liabilities
355
3
14
372
Non-current financial liabilities
850
61
2
913
Provisions
829
1
830
Deferred tax liabilities
586
3
589
Other non-current liabilities
85
2
87
Non-current liabilities
2,350
63
6
2,419
TOTAL LIABILITIES
2,705
66
20
2,791
TOTAL NET ACQUISITIONS
1,959
75
22
2,056
Goodwill
5
28
33
Fair value of investments held before the acquisition of control
(28)
(28)
Non-controlling interest
(1)
(1)
TOTAL CASH CONSIDERATION OF THE TRANSACTION
1,959
51
50
2,060
The acquisitions in 2024 contributed for €758 million to the Group’s revenues and for €319 million to the comprehensive income, of which the
Neptune group contributed for €689 million and €325 million, respectively. The transaction costs were immaterial.
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Divestments
In 2024, Eni divested certain non-strategic oil assets as part of a
portfolio analysis resulting in a review of its spending priorities
reducing its commitments in development phases of long-lived
assets and refocusing on core projects in line the Group’s financial
framework of capital discipline, as well as the strategy of creating
financially independent entities, geographically focused, aggregating
its activities with those of other operators for maximizing synergies
and cash generation opportunities. Divestments and transfers of
business combination brought in cash proceeds of €1,040 million
and acquisition of non-controlling interest in associated companies
of €788 million, divesting net financial assets of €101 million of
which cash and equivalents of €153 million.
EXPLORATION & PRODUCTION
On August 22, 2024, Eni finalized the sale onshore oil & gas assets in
Nigeria classified as held for sale in the 2023 financial statements.
The transaction resulted in the sale of its wholly owned subsidiary
Nigerian Agip Oil Co Ltd and the consequent exclusion from the
scope of consolidation of net assets and liabilities for €608 million,
of which net financial assets for €22 million, and the realization of a
capital gain for €371 million.
On October 3, 2024, Eni finalized the business combination with
Ithaca Energy Plc of substantially all of its upstream assets in the
UK. The combination was settled through the issue to Eni UK of
such number of new ordinary shares representing approximately
38.7% of the enlarged issued share capital of Ithaca. The
transaction resulted in the loss of control in Eni Elgin/Franklin Ltd,
Eni UKCS Ltd, Eni Energy E&P UK Ltd (former Neptune E&P UK Ltd)
and Eni Energy E&P UKCS Ltd (former Neptune E&P UKCS Ltd)
which were transferred to Ithaca Energy Plc including net assets
and liabilities for €670 million, of which net financial assets for
€67 million comprising cash and cash equivalents of €103 million,
receiving in exchange a non-controlling interest in Ithaca Energy
Plc for €788 million with a gain on disposal of €118 million resulting
as the difference between the fair value of the interest received
and the net book value of the assets transferred limitedly to the
share realized with the third party equal to 61.3% (the so-called
“downstream transaction” method).
REFINING
On September 3, 2024, Eni finalized the 100% sale of the company
Eni Ecuador SA and its subsidiary Esain SA, operating in the business
of transport, storage, and marketing of LPG. The transaction resulted
in the consequent exclusion from the scope of consolidation of net
assets and liabilities for €53 million, of which €12 million in cash and
equivalents, and a capital gain of €7 million.
Balance sheet values of the divestments and/or business
combinations realized in 2024 are shown in the following table:
(€ million)
Exploration & Production -
Nigerian Agip Oil Co Ltd
Exploration & Production
- Business combination
Ithaca Energy Plc
Refining -
Eni Ecuador SA
Total
Cash and cash equivalents
38
103
12
153
Other current assets
675
89
38
802
Current assets
713
192
50
955
Property, plant and equipment
806
1,333
18
2,157
Deferred tax assets
86
327
413
Other non-current assets
76
44
5
125
Non-current assets
968
1,704
23
2,695
TOTAL ASSETS
1,681
1,896
73
3,650
Current financial liabilities
10
10
Other current liabilities
509
292
15
816
Current liabilities
519
292
15
826
Non-current financial liabilities
6
36
42
Other non-current liabilities
548
898
5
1,451
Non-current liabilities
554
934
5
1,493
TOTAL LIABILITIES
1,073
1,226
20
2,319
Equity attributable to Eni
608
670
53
1,331
TOTAL EQUITY
608
670
53
1,331
TOTAL LIABILITIES AND EQUITY
1,681
1,896
73
3,650
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7 Financial assets at fair value through profit or loss
The Company has established a liquidity reserve as part of its
financial framework with a view of ensuring an adequate level of
flexibility to the Group development plans and of copying with
unexpected fund shortfalls or a sudden phase of credit crunch
and restrictions in accessing financial markets. The management
of this liquidity reserve is performed through trading activities with
the aim of optimizing returns, within a predefined and authorized
level of risk threshold, targeting the preservation of the invested
capital and the ability to promptly convert it into cash.
Financial assets held for trading include securities subject to
lending agreements of €738 million (€1,288 million at December
31, 2023).
The breakdown by currency is provided below:
(€ million)
December 31,
2024
December 31,
2023
Bonds issued by sovereign states
965
1,250
Other
5,474
5,196
Financial assets held for trading
6,439
6,446
Other financial assets at fair value through profit or loss
358
336
Total financial assets at fair value through profit or loss
6,797
6,782
(€ million)
December 31,
2024
December 31,
2023
Euro
4,230
3,766
US dollars
2,209
2,680
Financial assets held for trading
6,439
6,446
Euro
162
200
US dollars
196
136
Other financial assets at fair value through profit or loss
358
336
6,797
6,782
6 Cash and cash equivalents
Cash and cash equivalents of €8,183 million (€10,193 million at
December 31, 2023) included financial assets with maturity of up to
three months at the date of inception amounting to €4,816 million
(€6,462 million at December 31, 2023) and mainly included deposits
with financial institutions, having notice of more than 48 hours.
Expected credit losses on deposits with banks and financial
institutions measured at amortized cost were immaterial.
Cash and cash equivalents mainly consisted of deposits in US dollars
for €5,269 million and in euro for €2,402 million (€7,328 million and
€1,945 million at December 31, 2023, respectively) representing
the use of cash on hand in the market for the financial needs of the
Group.
Restricted cash amounted to €54 million (€205 million at December
31, 2023) in relation to foreclosure measures by third parties and
obligations relating to the payment of debts. In February 2025, €42
million were released.
The average maturity of financial assets originally due within 3
months was 11 days with an effective interest rate of 4.88% for bank
deposits in US dollars (€3,396 million) and 8 days with an effective
interest rate of 3.12% for bank deposits in euros (€1,240 million).
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8 Trade and other receivables
Nominal value
(€ million)
Fair Value
(€ million)
Rating - Moody's
Rating - S&P
Quoted bonds issued by sovereign states
Fixed rate bonds
Italy
57
58
Baa3
BBB
United States of America
703
693
Aaa
AA+
Chile
61
60
A2
A
France
60
61
Aa3
AA-
Other(*)
67
66
from Aaa to Baa2
from AAA to BBB-
948
938
Floating rate bonds
Italy
27
27
Baa3
BBB
27
27
Total quoted bonds issued by sovereign states
975
965
Other Bonds
Fixed rate bonds
Quoted bonds issued by industrial companies
3,083
3,087
from Aaa to Ba2
from AAA to BB
Quoted bonds issued by financial and insurance companies
986
982
from Aa1 to Baa3
from AA+ to BBB-
Other bonds
74
72
from Aaa to Baa2
from AAA to BBB
4,143
4,141
Floating rate bonds
Quoted bonds issued by industrial companies
369
371
from Aa2 to Baa2
from AA to BBB
Quoted bonds issued by financial and insurance companies
709
714
fron Aaa to Baa2
from AAA to BBB-
Other bonds
247
248
from Aaa to Baa1
from AAA to BBB+
1,325
1,333
Total other bonds
5,468
5,474
Total financial assets held for trading
6,443
6,439
Other financial assets at fair value through profit or loss
358
358
from Aaa to Baa1
from AAA to BBB+
6,801
6,797
(*) Amounts included herein are lower than €50 million.
Other financial assets at fair value through profit or loss consisted of
investments in Money Market funds.
The fair value hierarchy is level 1 for €6,169 million and level 2 for
€270 million.
Generally, trade receivables do not bear interest and provide
payment terms within 180 days.
The decrease in trade receivables of €622 million referred to the
segment Global Gas & LNG Portfolio and Power for €263 million,
to the Enilive business line for €334 million and to the Plenitude
The fair value hierarchy for Other financial assets measured at fair
value with effects to profit or loss is level 2. During 2024, there were
no significant transfers between the different hierarchy levels of
fair value.
business line for €106 million. The decrease in the segment Global
Gas & LNG Portfolio and Power and the Plenitude business line
reflected the decline in the prices of energy commodities, which
decreased the nominal value of the receivables.
In both 2024 and 2023 the group entered into non-recourse
(€ million)
December 31,
2024
December 31,
2023
Trade receivables
12,562
13,184
Receivables from joint ventures in exploration and production activities
1,754
1,365
Receivables from divestments
527
200
Other receivables
2,058
1,802
Total trade and other receivables, net of allowance for doubtful accounts
16,901
16,551
The breakdown by issuing entity and credit rating is presented below:
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arrangements to discount certain receivables in support of supply and
trading activities and the management of credit risk. The amount of
receivables, primarily current trade receivables, discounted in 2024 is
in line with the previous financial year.
At the balance sheet date net trade receivables were outstanding for
€1,256 million (€1,156 million at December 31, 2023), part of which
past due, relating to supplies of equity hydrocarbons to Egyptian
state oil companies. On the basis of the commitments of the
country’s authorities to normalize the outstanding exposure towards
Eni, an expected credit loss was estimated taking into account the
time value of collection. In the course of 2024, collected amounts
were in line with the agreed schedule; therefore, the amount of the
impairment has not changed from the previous financial year.
The increase in receivables from joint ventures in exploration and
production activities of €389 million mainly related to cash calls
from Eni’s partners in operated projects.
Receivables from other counterparties comprised: (i) the recoverable
amount of €690 million (€600 million at December 31, 2023) of
overdue trade receivables owed to Eni by the state-owned oil
company of Venezuela, PDVSA, in relation to equity volumes of
natural gas supplied to PDVSA by the joint venture Cardón IV SA,
The classification of the Company’s customers and counterparties
and the definition of the classes of counterparty risk are disclosed in
note 1 - Significant accounting policies, estimates and judgments.
Recoverability of trade receivables for the supply of hydrocarbons,
products and power to retail, business customers and national oil
companies and of receivables towards partners in joint ventures of
equally participated by Eni and Repsol. Those trade receivables
were divested by the joint venture to the two shareholders. The
receivables were stated net of an allowance for doubtful accounts,
estimated based on an expected credit loss rate deemed suitable to
discount the sovereign default risk and assuming a structural delay in
collecting natural gas invoices. During the year, under the approval of
US authorities within the context of the sanctions framework against
Venezuela, receivables were collected under a barter scheme, which
provided Eni with the right to lift crude oil entitlements of PDVSA for
4.2 million barrels, thus limiting the increase in overdue amounts; (ii)
prepayments for services of €362 million (€358 million at December
31, 2023); (iii) €243 million (€231 million at December 31, 2023) of
the amounts to be received from customers following the triggering
of the take-or-pay clause of long-term natural gas supply contracts.
Trade and other receivables stated in euro for €9,173 million and
US dollars for €7,270 million (€9,915 million and €6,041 million at
December 31, 2023, respectively).
Credit risk exposure and expected losses relating to trade and other
receivables has been prepared on the basis of internal ratings as
follows:
the Exploration & Production segment for cash calls (national oil
companies, local private operators or international oil companies)
is reviewed periodically at the close of each financial year to
adjust the assessment to the current economic environment and
business trends, as well as by factoring any possible increase in
the counterparty risks.
Performing receivables
(€ million)
Low risk
Medium
risk
High risk
Defaulted
receivables
Plenitude
customers
Total
December 31, 2024
Business customers
3,545
5,138
253
700
9,636
National Oil Companies and Public Administrations
369
733
214
3,503
4,819
Other counterparties
1,505
610
1
255
2,860
5,231
Gross amount
5,419
6,481
468
4,458
2,860
19,686
Allowance for doubtful accounts
(10)
(27)
(12)
(2,162)
(574)
(2,785)
Net amount
5,409
6,454
456
2,296
2,286
16,901
Expected loss (% net of counterpart risk mitigation factors)
0.2
0.4
2.6
48.5
20.1
14.1
December 31, 2023
Business customers
3,577
5,303
331
909
10,120
National Oil Companies and Public Administrations
215
634
168
2,438
3,455
Other counterparties
1,103
616
10
590
2,995
5,314
Gross amount
4,895
6,553
509
3,937
2,995
18,889
Allowance for doubtful accounts
(19)
(72)
(23)
(1,668)
(556)
(2,338)
Net amount
4,876
6,481
486
2,269
2,439
16,551
Expected loss (% net of counterpart risk mitigation factors)
0.4
1.1
4.5
42.4
18.6
12.4
ENI ANNUAL REPORT 2024
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MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The allowance for doubtful accounts was determined considering
mitigation factors of the counterparty risk amounting to €3,292
million (€3,493 million at December 31, 2023), which included
escrow accounts, insurance policies, sureties and bank guarantees.
Additions to allowance for doubtful accounts for trade and other
performing receivables related to the Plenitude business line for
€92 million (€78 million in 2023), mainly in the retail business.
Additions to allowance for doubtful accounts for trade and other
defaulted receivables related to: (i) the Exploration & Production
segment for €150 million (€238 million in 2023) and mainly
concerned receivables for the supply of hydrocarbons to state
company and receivables towards joint operators for cash calls in
oil projects operated by Eni; (ii) the Plenitude business line for €64
million (€90 million in 2023).
Utilizations of allowance for doubtful accounts for trade and other
performing and defaulted receivables amounted to €409 million
and mainly related to: (i) the Exploration & Production segment for
€170 million, of which €112 million for unused provisions following
the in-kind reimbursements of the overdue receivables owed to
Eni by the state-owned company PDVSA in Venezuela during the
year; (ii) to the Global Gas & LNG Portfolio business line for €49
million as consequence of the reduction in credit exposures due to
the changed market conditions; (iii) the Plenitude business line for
€136 million.
The exposure to credit risk and expected losses relating to customers of Plenitude was assessed based on a provision matrix as follows:
Past due
(€ million)
Not-past due
from 0
to 3 months
from 3
to 6 months
from 6
to 12 months
over
12 months
Total
December 31, 2024
Plenitude customers:
- Retail
1,573
114
60
127
219
2,093
- Middle
470
16
4
17
132
639
- Other
123
2
1
1
1
128
Gross amount
2,166
132
65
145
352
2,860
Allowance for doubtful accounts
(74)
(38)
(45)
(99)
(318)
(574)
Net amount
2,092
94
20
46
34
2,286
Expected loss (%)
3.4
28.8
69.2
68.3
90.3
20.1
December 31, 2023
Plenitude customers:
- Retail
1,477
107
45
93
207
1,929
- Middle
716
39
7
11
134
907
- Other
149
4
1
4
1
159
Gross amount
2,342
150
53
108
342
2,995
Allowance for doubtful accounts
(72)
(40)
(38)
(76)
(330)
(556)
Net amount
2,270
110
15
32
12
2,439
Expected loss (%)
3.1
26.7
71.7
70.4
96.5
18.6
The following table analyses the allowance for doubtful accounts for trade and other receivables:
(€ million)
2024
2023
Allowance for doubtful accounts - beginning of the year
2,338
2,954
Additions for trade and other performing receivables
136
160
Additions for trade and other defaulted receivables
243
342
Utilizations for trade and other performing receivables
(85)
(140)
Utilizations for trade and other defaulted receivables
(324)
(485)
Other changes
477
(493)
Allowance for doubtful accounts - end of the year
2,785
2,338
307
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Net (impairments) reversals of trade and other receivables are disclosed as follows:
Receivables with related parties are disclosed in note 36 - Transactions with related parties.
(€ million)
2024
2023
2022
New provisions
(379)
(502)
(419)
Net credit losses
(57)
(98)
(81)
Reversals
268
351
547
Net (impairments) reversals of trade and other receivables
(168)
(249)
47
Current inventories are disclosed as follows:
9 Current and non-current inventories
(€ million)
December 31,
2024
December 31,
2023
Raw and auxiliary materials and consumables
1,436
1,292
Components and spare parts for drilling operations, plans and equipment
1,721
1,628
Semi-finished, finished products and goods
3,092
3,260
Other
10
6
Current inventories
6,259
6,186
Raw and auxiliary materials and consumables included oil-based
feedstock and other consumables pertaining to refining and
chemical activities.
Components to be consumed in drilling activities and spare parts of
the Exploration & Production segment amounted to €1,685 million
(€1,490 million at December 31, 2023).
Semi-finished, finished products and goods included natural gas and oil
products for €2,164 million (€2,376 million at December 31, 2023) and
chemical products for €742 million (€666 million at December 31, 2023).
Inventories are stated net of write-down provisions of €567 million
(€583 million at December 31, 2023).
Non-current inventories of €1,595 million (€1,576 million at
December 31, 2023) are held for compliance purposes and related
to Italian subsidiaries for €1,575 million (€1,555 million at December
31, 2023) in accordance with minimum stock requirements for oil
and petroleum products set forth by applicable laws.
December 31, 2024
December 31, 2023
Receivables
Payables
Receivables
Payables
(€ million)
Current
Non-
current
Current
Non-
current
Current
Non-
current
Current
Non-
current
Income taxes
695
129
587
40
460
142
1,685
38
10 Income tax receivables and payables
Income taxes are described in note 33 - Income taxes.
The opening balance of current income tax payables included
€455 million relating to a one-off Solidarity Contribution for 2023,
enacted by the Italian Budget Law 2023, the payment of which has
occurred in 2024.
Non-current income tax payables include the likely outcome of
pending litigation with tax authorities in relation to uncertain
tax matters relating to foreign subsidiaries of the Exploration &
Production segment for €34 million (€33 million at December 31,
2023).
ENI ANNUAL REPORT 2024
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MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
11 Other assets and liabilities
December 31, 2024
December 31, 2023
Assets
Liabilities
Assets
Liabilities
(€ million)
Current
Non-
current
Current
Non-
current
Current
Non-
current
Current
Non-
current
Fair value of derivative financial instruments
874
88
1,921
153
3,323
46
2,414
153
Contract liabilities
552
655
437
691
Other Taxes
850
147
1,749
48
915
137
1,811
16
Other
1,938
3,776
827
3,593
1,399
3,210
917
3,236
3,662
4,011
5,049
4,449
5,637
3,393
5,579
4,096
The fair value related to derivative financial instruments is
disclosed in note 24 - Derivative financial instruments and hedge
accounting.
Assets related to other taxes included VAT for €847 million, of
which €711 million are current, and advances made in December
(€755 million at December 31, 2023, of which €637 million current).
Other assets included: (i) tax credits current of €1,210 million (€812
million at December 31, 2023) and non-current of €2,298 million
(€2,247 million at December 31, 2023) deriving from Italian tax
measures to incentivize the renovation of residential buildings and
energy savings; (ii) an asset of €732 million recorded based on
an agreement with an Italian operator to share past and expected
environmental expenses incurred and fully provisioned by Eni at
certain Italian industrial hub, under decommissioning, which were
jointly operated in past years; (iii) gas volumes prepayments that
were made in previous years due to the take-or-pay obligations
in relation to the Company’s long-term supply contracts, whose
underlying current portion Eni plans to recover within 12 months
for € 3 million and beyond 12 months for €295 million (beyond 12
months for €307 million at December 31, 2023); (iv) underlifting
positions of the Exploration & Production segment of €318 million
(€295 million at December 31, 2023); (v) non-current receivables
from divestment activities for €144 million (€205 million at
December 31, 2023).
Contract liabilities included: (i) advances received from Società
Oleodotti Meridionali SpA for the infrastructure upgrade of the
crude oil transport system from Val d’Agri to the Taranto refinery
for €486 million (€469 million at December 31, 2023); (ii) prepaid
electronic fuel vouchers for €331 million (€292 million at December
31, 2023); (iii) advances received from Engie SA, relating to a long-
term agreement for supplying natural gas and electricity for €218
million (€275 million at December 31, 2023), of which current
portion for €55 million (€56 million at December 31, 2023); (iv)
advances received from customers for future gas supplies for €65
million (€10 million at December 31, 2023).
Revenues recognized during the year related to contract liabilities
stated at December 31, 2024, are indicated in note 29 - Revenues
and other income.
Liabilities related to other current taxes include excise duties and
consumer taxes for €895 million (€1,034 million at December 31,
2023) and VAT liabilities for €405 million (€326 million at December
31, 2023).
Other liabilities included: (i) non-current payables to factoring
companies connected with the derecognition of the abovementioned
tax credit deriving from Italian tax measures to incentivize the
renovation of residential buildings and energy savings for €2,104
million (€2,040 million at December 31, 2023); (ii) the value of gas
paid and undrawn by customers due to the triggering of the take-
or-pay clause provided for by the relevant long-term contracts for
€303 million is expected to be drawn beyond the next 12 months
(€131 million within 12 months and beyond 12 months for €260
million at December 31, 2023); (iii) a put option recognized by
Eni to Energy Infrastructure Partners (EIP), which acquired a
non-controlling interest of 7.6% in Eni’s subsidiary Plenitude by
subscribing a reserved capital increase of €588 million in March
2024. The put option valorizes Eni’s commitment to repurchase
at fair value enough shares of Plenitude held by EIP as required
to pay down the financial debt incurred by EIP for the transaction.
The book value of the put option is stated at the present value of
Eni’s maximum financial commitment equal to €392 million with a
corresponding reduction in the reserve for retained earnings. The
expiry date is 2027; (iv) prepaid revenues and deferred income for
€315 million (€343 million at December 31, 2023), of which current
for €194 million (€134 million at December 31, 2023); (v) current
overlifting imbalances of the Exploration & Production segment for
€396 million (€312 million at December 31, 2023); (vi) non-current
cautionary deposits for €265 million (€286 million at December 31,
2023), of which €207 million from retail customers for the supply
of gas and electricity (€213 million at December 31, 2023); (vii)
payables related to investing activities for €96 million (€101 million
at December 31, 2023).
Transactions with related parties are described in note 36 -
Transactions with related parties.
309
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Land and
buildings
E&P wells, plant
and machinery
Other plant and
machinery
E&P exploration
assets and
appraisal
E&P tangible
assets in
progress
Other tangible
assets in
progress and
advances
Total
2024
Net carrying amount - beginning of the year
1,111
37,421
4,588
1,568
9,682
1,929
56,299
Additions
31
20
255
419
5,546
1,728
7,999
Depreciation capitalized
28
260
288
Depreciation(*)
(57)
(5,668)
(575)
(6,300)
Impairments
(9)
(1,705)
(371)
(669)
(382)
(3,136)
Reversals
107
92
74
30
303
Write-off
(1)
(1)
(414)
(5)
(1)
(422)
Currency translation differences
1
2,071
49
91
554
8
2,774
Initial recognition and changes in estimates
35
6
(4)
62
(2)
97
Changes in the scope of consolidation - included entities
12
1,314
3
97
1,090
70
2,586
Changes in the scope of consolidation - excluded entities
(1)
(822)
(17)
(25)
(486)
(1,351)
Transfers
47
6,865
566
(6)
(6,859)
(613)
Other changes
7
(1,408)
(104)
(12)
2,047
197
727
Net carrying amount - end of the year
1,142
38,229
4,491
1,742
11,296
2,964
59,864
Gross carrying amount - end of the year
4,412
139,117
33,226
1,742
14,589
5,490
198,576
Provisions for depreciation and impairments
3,270
100,888
28,735
3,293
2,526
138,712
2023
Net carrying amount - beginning of the year
1,088
40,492
4,280
1,345
7,494
1,633
56,332
Additions
22
407
764
6,294
1,252
8,739
Depreciation capitalized
20
184
1
205
Depreciation(*)
(47)
(5,699)
(610)
(6,356)
Impairments
(30)
(1,164)
(366)
(226)
(390)
(2,176)
Reversals
109
42
257
36
444
Write-off
(2)
(420)
(25)
(447)
Currency translation differences
1
(1,223)
(39)
(46)
(268)
(3)
(1,578)
Initial recognition and changes in estimates
3
698
16
17
14
748
Changes in the scope of consolidation - included entities
48
521
298
131
77
1,075
Changes in the scope of consolidation - excluded entities
(1)
(1)
Transfers
37
5,592
595
(70)
(5,522)
(632)
Other changes
(11)
(1,905)
(32)
(42)
1,349
(45)
(686)
Net carrying amount - end of the year
1,111
37,421
4,588
1,568
9,682
1,929
56,299
Gross carrying amount - end of the year
4,354
139,866
32,121
1,568
13,670
4,308
195,887
Provisions for depreciation and impairments
3,243
102,445
27,533
3,988
2,379
139,588
(*) Before capitalization of depreciation of tangible assets.
12 Property, plant and equipment
Capital expenditures included capitalized finance expenses of €220
million (€94 million in 2023) related to the Exploration & Production
segment for €173 million (€64 million in 2023) at an average interest
rate of 3.5% (3.0% at December 31, 2023).
Capital expenditures primarily related to the Exploration & Production
segment for €6,033 million (€7,108 million in 2023).
In 2024, the Group entered into supplier financing agreements to
purchase plants and equipment mainly in the Exploration & Production
segment, which were recognized as additions to assets and to
financing payables in the line item “Other changes” to reflect deferred
payments terms. The amount of purchased items under supplier
financing agreements outstanding at year-end was €2,172 million.
ENI ANNUAL REPORT 2024
310
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Capital expenditures by industry segment and geographical area
of destination are reported in note 35 - Segment information and
information by geographical area.
Depreciation other than that of oil & gas assets, relating to biorefineries,
petrochemical plants, thermoelectric plants, photovoltaic or wind
Plant and equipment used in the extraction and treatment of
hydrocarbons were depreciated according to the UOP method,
where depreciation depends on production of the estimated proved
reserves according to the US Securities & Exchange Commission
“SEC” criteria (see note 1 - Accounting standards, accounting
estimates and significant judgements, section UOP depreciation,
depletion and amortisation). The production plans associated
with the existing assets gradually deplete the SEC proved reserves
recorded at the balance sheet date, which are expected to be
produced within about ten years.
Impairment losses of property, plant and equipment mainly related: (i)
to oil & gas properties for €2,193 million, driven by the alignment to the
fair value of divestment transactions closed or highly probable at oil
properties in Alaska and Congo, and by downward reserve revisions
at oil properties in Turkmenistan and gas fields in Italy; (ii) in the
GGP business line (€180 million) to the Damietta liquefaction plant,
to reflect lower expected utilization rates in future years due to lack
of feed-gas from Egypt. In the long term, the plant has prospects of
being used as part of the gas agreement with Cyprus and Egypt which
provides for the export of Cypriot reserves to Europe by leveraging
the gas treatment and liquefaction plants owned by Eni in Egypt. The
write-down assumed a post-tax WACC of 5.8% which is recalculated
to 9.85% pre-tax; (iii) expenditures incurred for compliance and stay-in-
business at CGUs in the Refining and traditional Chemicals segment
were completely written-off because those CGUs were impaired in
previous reporting periods and continued lacking any profitability
prospects (€439 million), as well as a polyethylene plant expected
to be shut down in connection with a worsening petrochemical
scenario. In the two-year period 2023-2024, Eni took impairment
charges at almost all its oil-based petrochemicals complexes, driven
by deteriorated market fundamentals, higher energy expenses for the
European industrial sector compared to other geographies, and rising
competitive pressures from operators benefiting of larger scale and
lower feedstock costs. The Company has defined a comprehensive
plan for the transformation and industrial reconversion of the Eni’s
chemicals sector, which will be implemented by leveraging proprietary
power systems, and other ancillary assets are calculated on a straight-
line basis, based on their economic-technical lives.
The main depreciation rates adopted are included in the following
ranges and have remained unchanged compared to 2023:
technologies and by developing the businesses of bioplastics and
circular economy, which is expected to restructure the main traditional
hubs no more competitive in the current scenario. More information
about Eni’s impairment review and the sensitivity of the outcome to
different commodities scenarios is reported in note 15 - Reversals
(Impairments) of tangible and intangible assets and right-of-use
assets. Sensitivity of outcomes to decarbonization scenarios.
Currency translation differences related to subsidiaries utilizing the
US dollar as functional currency (€2,770 million).
Initial recognition and change in estimates include the increase in the
asset retirement cost of tangible assets in the Exploration & Production
segment due to the increase in abandonment cost estimates, start of
new projects, partially offset by the increase in discount rates.
Changes in the scope of consolidation related to the acquisition
for €2,501 million of 100% of the Neptune Energy group, based in
the United Kingdom, engaged in the exploration, development and
production at gas-prevalent assets, located in Indonesia, Algeria, the
United Kingdom and Netherlands.
Changes in the scope of consolidation for €1,333 million related to the
business combination with Ithaca Energy Plc.
Other changes included the disposal of oil and gas assets in Alaska for
€940 million and the reclassification to oil and gas assets held for sale
in Congo for €389 million.
Transfers from E&P tangible assets in progress to E&P UOP wells,
plant and equipment related for €6,656 million to the commissioning
of wells, plants and machinery primarily in Ivory Coast, Congo, Italy,
Mexico, Egypt, Iraq and United Arab Emirates.
Exploration and appraisal activities included write-offs for €414
million of previously capitalized exploration wells pending economic
and technical evaluation in United Arab Emirates, Egypt, Kazakhstan,
Vietnam, Cyprus and Libya.
Exploration and appraisal activities related for €1,662 million to the
costs of suspended exploration wells pending final determination
of commerciality based on management’s continuing commitment
and for €95 million to costs of exploration wells in progress at the
end of the year.
(%)
Buildings
2 - 10
Refining and chemical plants
3 - 17
Gas pipelines and compression stations
4 - 12
Power plants
3 - 5
Other plant and machinery
6 - 12
Industrial and commercial equipment
5 - 25
Other assets
10 - 20
311
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Changes relating to suspended wells are reported below:
Suspended wells costs pending a final investment decision
amounted to €356 million and primarily related to initiatives in
Indonesia, Nigeria and Netherlands. Those expenses have continued
to remain capitalized due to firm management’s commitment at
investing in the underlying initiatives.
The capitalized costs for suspended wells relating to fields including
wells drilled over the last twelve months referred to six leases for
which the evaluation of results is still in progress. The capitalized
costs for suspended wells relating to fields for which the delineation
campaign is in progress referred for approximately €750 million to
twelve leases for which appraising activities and negotiations are
ongoing to unlock the subsequent project phases; the remaining
amounts are related to five leases for which drilling activities are
underway or firmly planned for the near future.
Unproved mineral interests, comprised of assets in progress of
the Exploration & Production segment, include the purchase price
allocated to unproved reserves following business combinations or
acquisition of individual properties.
Unproved mineral interests were as follows:
(€ million)
Congo
Nigeria
Turkmenistan
USA
Algeria
Egypt
United Arab
Emirates
Italy
Indonesia
Netherlands
Total
2024
Carrying amount - beginning of the year
429
924
23
215
2
475
2
89
2,159
Additions
15
709
120
844
Net (impairments) reversals
(421)
74
(5)
(352)
Reclassification to Proved Mineral Interest
(2)
(24)
(40)
(9)
(58)
(133)
Currency translation differences and other changes
8
59
4
12
28
50
161
Carrying amount - end of the year
16
981
77
187
3
445
2
848
120
2,679
2023
Carrying amount - beginning of the year
198
958
95
16
211
3
520
2
2,003
Additions
61
92
153
Net (impairments) reversals
243
(93)
8
158
Reclassification to Proved Mineral Interest
(1)
(51)
(1)
(28)
(81)
Currency translation differences and other changes
(12)
(33)
(2)
(1)
(6)
(17)
(3)
(74)
Carrying amount - end of the year
429
924
23
215
2
475
2
89
2,159
2024
2023
2022
(€ million)
(number of wells
in Eni’s interest)
(€ million)
(number of wells
in Eni’s interest)
(€ million)
(number of wells
in Eni’s interest)
Costs capitalized and suspended for exploratory well activity
- within 1 year
253
4.4
417
7.9
216
5.0
- between 1 and 3 years
604
11.3
347
6.1
246
4.9
- beyond 3 years
805
18.2
627
14.5
623
13.9
1,662
33.9
1,391
28.5
1,085
23.8
Costs capitalized for suspended wells
- fields including wells drilled over the last 12 months
253
4.4
417
7.9
204
4.5
- fields for which the delineation campaign is in progress
1,053
16.1
804
14.0
579
11.3
- fields including commercial discoveries that are progressing to a FID
356
13.4
170
6.6
302
8.0
1,662
33.9
1,391
28.5
1,085
23.8
(€ million)
2024
2023
2022
Costs for exploratory wells suspended - beginning of the year
1,391
1,085
1,101
Increases for which is ongoing the determination of proved reserves
485
834
547
Amounts previously capitalized and expensed in the year
(362)
(388)
(374)
Reclassification to successful exploratory wells following the estimation of proved reserves
(4)
(72)
(147)
Disposals
(7)
(3)
(2)
Changes in the scope of consolidation
76
(114)
Currency translation differences
83
(40)
65
Other changes
(25)
9
Costs for exploratory wells suspended - end of the year
1,662
1,391
1,085
The following information relates to the stratification of the suspended wells pending final determination (ageing):
ENI ANNUAL REPORT 2024
312
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Unproved mineral interests comprised the net book value of
the Oil Prospecting License 245 property (“OPL 245”), offshore
Nigeria, whose exploration period expired on May 11, 2021. The
property book value included €944 million corresponding to the
purchase price paid in 2011 to the Nigerian Government to acquire
a 50% interest in the asset, plus the subsequent capitalized
exploration costs and pre-development costs bringing the total
net book value to €1,287 million. A lengthy and complex criminal
proceeding before the Court of Milan was definitively resolved
in favor of Eni, which related to alleged crimes of international
corruption regarding the purchase of the license in 2011. An
arbitration proceeding started by Eni before an ICSID tribunal
(the International Centre for Settlement of Investment Disputes)
to protect the value of the investment, claiming the Company’s
right to obtain the conversion of the license into an Oil Mining
Lease has been put on hold as the parties have been exploring
a possible agreement to set economic terms and conditions to
develop the property’s reserves. The estimated value-in-use of the
asset based on the economics under discussion confirmed the
recoverability of the asset book value.
Accumulated provisions for impairments amounted to €22,205
million (€22,650 million at December 31, 2023).
Property, plant and equipment includes assets subject to
operating leases for €377 million, essentially relating to service
stations of the Enilive business line.
As of December 31, 2024, Eni pledged property, plant and
equipment for €24 million to guarantee payments of excise duties
(same amount as of December 31, 2023).
Government grants recorded as a decrease of property, plant and
equipment amounted to €88 million (€91 million at December 31,
2023).
Contractual commitments related to the purchase of property,
plant and equipment are disclosed in note 28 - Guarantees,
commitments and risks - Liquidity risk.
Property, plant and equipment under concession arrangements
are described in note 28 - Guarantees, commitments and risks.
(€ million)
Floating production
storage and
offloading vessels
(FPSO)
Drilling rig
Naval facilities and
related logistic
bases for oil and gas
transportation
Motorway
concessions and
service stations
Oil and gas
distribution facilities
Office buildings
Vehicles
Other
Total
2024
Net carrying amount - beginning
of the year
1,977
449
724
492
17
580
17
578
4,834
Additions
630
294
690
59
53
52
19
317
2,114
Depreciation(a)
(146)
(342)
(391)
(79)
(22)
(132)
(14)
(73)
(1,199)
Impairments
(4)
(21)
(10)
(5)
(40)
Currency translation difference
145
19
5
(1)
7
18
193
Changes in the scope of consolidation
38
5
1
(2)
42
Other changes
(39)
(19)
2
(2)
(25)
(2)
(37)
(122)
Net carrying amount - end of the year
2,606
419
1,005
452
36
487
21
796
5,822
Gross carrying amount - end of the year
3,217
1,235
2,095
873
97
1,067
57
1,049
9,690
Provisions for depreciation and impairment
611
816
1,090
421
61
580
36
253
3,868
2023
Net carrying amount - beginning
of the year
2,142
148
682
457
19
595
42
361
4,446
Additions
14
570
402
133
19
110
14
322
1,584
Depreciation(a)
(145)
(219)
(315)
(74)
(18)
(125)
(12)
(65)
(973)
Impairments
(3)
(2)
(36)
(41)
Reversals
3
2
5
Currency translation differences
(71)
(8)
(5)
4
(2)
(7)
(89)
Changes in the scope of consolidation
3
10
13
Other changes
37
(42)
(40)
(28)
(1)
(1)
(27)
(9)
(111)
Net carrying amount - end of the year
1,977
449
724
492
17
580
17
578
4,834
Gross carrying amount - end of the year
2,409
985
1,593
822
81
1,039
47
826
7,802
Provisions for depreciation and impairment
432
536
869
330
64
459
30
248
2,968
(a) Before capitalization of depreciation of tangible and intangible assets.
13 Right-of-use assets and lease liabilities
313
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Right-of-use assets (RoU) of €5,822 million related: (i) for €4,266
million (€3,333 million at December 31, 2023) to the Exploration &
Production segment and mainly comprised leases of certain FPSO
vessels hired in connection with operations at offshore development
projects in Ghana (OCTP) and Area 1 in Mexico with an expected
term ranging between 13 and 17 years, including a renewal option
as well as multi-year leases of offshore drilling rigs, in relation to the
lease component only and the rental of naval vessels for shipping
activities; (ii) for €519 million (€565 million at December 31, 2023)
to the Enilive business line relating to highways concessions, land
leases, leases of service stations for the sale of oil products and the
car fleet dedicated to the car sharing business; (iii) for €476 million
(€515 million at December 31, 2023) to the Corporate and Other
activities segment mainly regarding property rental contracts (real
estate and IT).
The increase recorded in 2024 mainly referred to: (i) the Exploration &
Production segment for €1,695 million relating to rental of production
and storage vessels (FPSO) (€630 million) and vessels and related
logistics equipment for Oil & Gas transport (€469 million) of which
€353 million relating to Eni Trade & Biofuels SpA and the rental of
drilling rigs for €294 million. Main contracts concerned assets in Ivory
Coast, Congo and Italy; (ii) the Enilive business line for new contracts
and extension of existing contracts relating motorway concessions,
land leases, service station leases and the car fleet dedicated to the
car sharing business for €91 million; (iii) the Corporate and Other
activities segment for €75 million, mainly referred to the renewal of
the Servizi Aerei SpA aircraft fleet for €53 million.
The main leasing contracts signed for which the asset is not yet
available concern: (i) a contract with a nominal value of €329 million
relating to leasing of office buildings with an expiry date of 20 years
including an extension option of 6 years; (ii) storage capacity and
time charter vessels rental contracts of €16 million.
Main future cash outflows potentially due not reflected in the
measurements of lease liabilities related to options for the extension
or termination of leases existing as of December 31, 2024 of: (i)
ancillary assets in the upstream business for €855 million; (iii)
service stations for the sale of oil products of €131 million; (iii) office
buildings of €287 million.
Liabilities for leased assets were as follows:
(€ million)
Current portion of
long-term lease
liabilities
Long-term lease
liabilities
Total
2024
Carrying amount at the beginning of the year
1,128
4,208
5,336
Additions
2,109
2,109
Decreases
(1,194)
(11)
(1,205)
Currency translation differences
36
175
211
Changes in the scope of consolidation
35
15
50
Other changes
1,274
(1,322)
(48)
Carrying amount at the end of the year
1,279
5,174
6,453
2023
Carrying amount at the beginning of the year
884
4,067
4,951
Additions
1,584
1,584
Decreases
(949)
(14)
(963)
Currency translation differences
(16)
(81)
(97)
Changes in the scope of consolidation
1
12
13
Other changes
1,208
(1,360)
(152)
Carrying amount at the end of the year
1,128
4,208
5,336
ENI ANNUAL REPORT 2024
314
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Lease liabilities related for €616 million (€480 million at December
31, 2023) to the portion of the liabilities attributable to joint operators
in Eni-led projects which will be recovered through the mechanism
of the cash calls.
Total cash outflows for leases consisted of the following: (i) cash
payments for the principal portion of the lease liability for €1,205
million; (ii) cash payments for the interest portion of €305 million.
Lease liabilities stated in US dollars for €4,510 million and in euro
for €1,723 million (€3,573 million and €1,608 million at December
31, 2023, respectively).
Other changes in right-of-use assets and lease liabilities essentially
related to early termination or renegotiation of lease contracts.
Liabilities for leased assets with related parties are described in
note 36 - Transactions with related parties.
The amounts recognised in the profit and loss account consist of
the following:
(€ million)
2024
2023
2022
Other income and revenues
Income from remeasurement of lease liabilities
14
17
6
14
17
6
Purchases, services and other
Expense from remeasurement of lease liabilities
3
3
1
Short-term leases
81
59
113
Low-value leases
37
37
27
Variable lease payments not included in the measurement of lease liabilities
22
20
14
Capitalized direct cost associated with self-constructed assets - tangible assets
(5)
(5)
(5)
138
114
150
Depreciation, net impairments and write-off
Depreciation of RoU leased assets
1,199
973
1,013
Capitalized direct cost associated with self-constructed assets - tangible and intangible assets
(277)
(199)
(186)
Impairments of RoU leased assets
40
41
18
Reversals of RoU leased assets
(4)
(5)
(14)
Write-off of RoU leased assets
3
961
810
831
Finance income (expense) from leases
Interests on lease liabilities
(314)
(267)
(315)
Capitalized finance expense of RoU leased assets - tangible assets
17
11
8
Net currency translation differences on lease liabilities
(36)
19
(4)
(333)
(237)
(311)
315
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Exploration
rights
Industrial
patents and
intellectual
property rights
Other
intangible
assets with
definite useful
lives
Intangible
assets with
definite useful
lives
Goodwill
Other
intangible
assets with
indefinite
useful lives
Total
2024
Net carrying amount - beginning of the year
663
450
2,107
3,220
3,133
26
6,379
Additions
14
31
441
486
486
Depreciation capitalized
4
4
4
Amortization(*)
(6)
(98)
(289)
(393)
(393)
Impairments
(10)
(12)
(22)
(9)
(31)
Write-off
(153)
(2)
(155)
(155)
Changes in the scope of consolidation
73
73
36
109
Currency translation differences
31
12
43
43
Other changes
(5)
14
(24)
(15)
7
(8)
Net carrying amount - end of the year
534
397
2,310
3,241
3,167
26
6,434
Gross carrying amount - end of the year
1,197
2,166
5,190
8,553
Provisions for amortization and impairment
663
1,769
2,880
5,312
2023
Net carrying amount - beginning of the year
793
176
1,394
2,363
3,138
24
5,525
Additions
20
41
415
476
476
Amortization
(8)
(92)
(255)
(355)
(355)
Impairments
(22)
(17)
(39)
(6)
(45)
Reversals
11
11
11
Write-off
(85)
(3)
(88)
(88)
Changes in the scope of consolidation
291
461
752
25
2
779
Currency translation differences
(19)
(1)
(20)
(20)
Other changes
(27)
34
113
120
(24)
96
Net carrying amount - end of the year
663
450
2,107
3,220
3,133
26
6,379
Gross carrying amount - end of the year
1,295
2,119
4,674
8,088
Provisions for amortization and impairment
632
1,669
2,567
4,868
(*) Before capitalization of depreciation.
14 Intangible assets
Exploration rights comprised the residual book value of signature
bonuses and acquisition costs of exploration licenses relating to areas
with proved reserves, which are amortized based on UOP criteria and
are regularly reviewed for impairment.
The costs of licenses with unproved reserves are also in this
item and are suspended pending a final determination of the
success of the exploration activity or until management confirms
its commitment to the initiative. Additions for the year related to
signature bonuses paid for the acquisition of new exploration
acreage in Ivory Coast.
ENI ANNUAL REPORT 2024
316
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Industrial patents and intellectual property rights mainly regarded
the acquisition and internal development of software and rights for
the use of production processes and software.
Write-offs of €153 million related to the abandonment of underlying
initiatives.
Changes in the scope of consolidation of assets with a finite useful
life comprised: (i) €50 million to expected synergies from the
acquisitions of renewable assets carried out in Spain by Plenitude; (ii)
€23 million in relation to the acquisition of a network of 21 refueling
service stations in Spain.
Other intangible assets comprised: (i) concessions, licenses,
Cumulative impairment charges of goodwill at the end of the year amounted to €2,692 million.
The breakdown of goodwill by segment and business line is provided below:
trademarks and similar items for €1,154 million (€1,148 million at
December 31, 2023), of which €898 million relating to relating to
the Plenitude business line essentially for activities in relation to
renewable energy sources (€879 million at December 31, 2023); (ii)
customer acquisition costs relating to the Plenitude business line
for €412 million (€393 million at December 31, 2023); (iii) customer
relationship for €84 million recognized following the acquisition of
Finproject group (€92 million at December 31, 2023).
The main amortization rates used were substantially unchanged
from the previous year and ranged as follows:
(€ million)
December 31,
2024
December 31,
2023
Proved licence and leasehold property acquisition costs
79
91
Unproved licence and leasehold property acquisition costs
455
572
534
663
(%)
Exploration rights
UOP
Concessions, licenses, trademarks and similar items
3 - 33
Industrial patents and intellectual property rights
20 - 33
Capitalized costs for customer acquisition
17 - 33
Other intangible assets
3 - 20
(€ million)
December 31,
2024
December 31,
2023
Plenitude
2,916
2,909
Enilive
121
100
Chemical
117
112
Others
13
12
3,167
3,133
The breakdown of exploration rights by type of asset was as follows:
317
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Changes in the scope of consolidation of goodwill related to: (i) the
acquisition of a network of service stations in Spain for €28 million;
(ii) acquisitions in relation to retail activities of the Plenitude business
line for €5 million.
Contributions recorded as decrease of intangible assets amounted
to €37 million (€28 million at December 31, 2023).
Information about the allocations of goodwill deriving from business
combinations is provided in note 5 - Business combinations and
other significant transactions.
Goodwill acquired through business combinations has been
allocated to the CGUs that are expected to benefit from the synergies
of the acquisition.
The Plenitude business line is engaged in the retail sale of natural
gas and electricity, in the electricity generation from renewable
sources and in installing and managing a charging network for
electric vehicles. Plenitude has closed several acquisitions in past
reporting years leading to the recognition of significant amounts of
goodwill in each of those activities.
Goodwill allocated to the activity of the retail sale of natural gas and
electricity amounted to €1,220 million and to test its recoverability
has been allocated to a single CGU encompassing all European
retail markets where Plenitude is operating considering the
significant cross-market synergies and geographic integration. The
impairment review performed at the balance sheet date confirmed
the recoverability of the carrying amount of this CGU comprising the
book value of the allocated goodwill.
The impairment review of the CGU Retail including goodwill, was
performed by comparing the carrying amount to the value in use
of the CGU, which was estimated based on the cash flows of the
four-year plan approved by management and on a terminal value
calculated as the perpetuity of the cash flow of the last year of
the plan by assuming a nominal long-term growth rate equal to
zero, unchanged from the previous year. These cash flows were
discounted by using the post-tax WACCs of the retail business in
each country of operation, with post-tax values in a range of 4.4 % -
4.7%, corresponding to 5.6% - 6.4% pre-tax. There are no reasonable
assumptions of changes in the discount rate, growth rate, profitability
or volumes that would lead to zeroing the headroom amounting to
about €6 billion of the value in use of the CGU Retail with respect to
its book value, including the allocated goodwill.
The renewable business of Plenitude included a goodwill of €978
million related to the business combinations made in Italy and in
other European markets where operations are being developed
(Spain, France, Greece). The recoverability of goodwill was
tested by allocating the goodwill book value to all the CGUs in
the activity of renewable generation and then by comparing the
carrying amounts of those CGUs including goodwill to their value-
in-use. The projected cash flows were estimated based on the
financial projections of the four-year industrial plan approved
by the management and the subsequent cash flows associated
with the useful lives of the plants by using normalized cash
flows. The assessment of the CGU recoverability has been made
based on management’s forecast of long-term wholesale prices
of electricity, differentiated for each geographic area; for Italy it
has been assumed a wholesale price of about €120/kwh in the
four-year plan and a range of €100-110 for long-term prices.
Cash flows have been discounted at sector and country-specific
post-tax WACCs, which were comprised in a range of 5.2% - 8.8%,
corresponding to 6.7% - 11% pre-tax. This test has confirmed
the recoverability of the book values of the complex of plants
generating renewable electricity, including the allocated goodwill.
The headroom of €352 million is reduced to zero in case of a 0.8
percentage point increase in the WACC, or a reduction in power
prices of approximately 8%.
Goodwill of the electric mobility business of Plenitude of €718
million was recognized in connection with the acquisition in 2021
of the entire share capital of Be Power SpA, which engages in
building and managing a network of charging infrastructures for
electric mobility. This goodwill was tested for recoverability by
estimating the value-in-use of the network based on ten-years cash
flow projections and a terminal value incorporating a normalized
cash flow projection of the last year, using a nominal growth rate
risked with respect to the projections on the development of the
electric vehicle market provided by primary info-providers. The cash
flows were discounted at a post-tax WACC of 12%, corresponding
to 14.2% pre-tax. This test confirmed the recoverability of the
allocated book values including the allocated goodwill and showed
a headroom of about €384 million which would go to zero by
assuming a 1.7% increase in the post-tax WACC or a substantial
zeroing in the perpetuity growth rate.
ENI ANNUAL REPORT 2024
318
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The recoverability test of carrying amounts of oil & gas cash
generating units (CGUs) is the most important of the critical
accounting estimates in the preparation of Eni’s consolidated
financial statements. This owes to the relative weight of the invested
capital in the sector on total consolidated assets.
Future expected cash flows associated with the use of oil & gas assets
are based on management’s judgment and subjective assumptions
about highly uncertain matters like future hydrocarbons prices, assets’
useful lives, projections of future operating and capital expenditures,
the volumes of reserves that will ultimately be recovered and costs
of decommissioning oil & gas assets at the end of their useful lives.
Furthermore, the recoverability of carrying amounts is still pending
on the management’s commitment at allocating funds to continue
reserves development, and hence is subject to possible changes to
capital allocation priorities. The hydrocarbon prices are forecasted
based on management’s expectations about future trends in
demands and supplies of hydrocarbons in the long-term, which
incorporate assumptions on several scenario variables, including the
rate of macroeconomic growth, evolution in consumers’ preferences,
changes in governments’ regulatory and political framework in
response to climate change and preservation of the ecosystem, the
pace of the energy transition, the role of technologies, and finally
production plans of public oil & gas companies and production
policies of the OPEC+ alliance. Eni’s forecast prices are constantly
benchmarked against the market view of investment banks and
energy consultants.
Below are the main price assumptions for assessing the recoverability
of oil & gas assets, stated in 2023 real terms for comparability with
the IEA scenario:
15 Reversals (Impairments) of tangible and intangible assets and right-of-use assets.
Sensitivity of outcomes to decarbonization scenarios
Nominal
values
Values in real terms 2023
2025
2025
2028
2030
2040
2050
Brent $/bbl
75
65
68
69
59
49
TTF natural gas price $mmBtu
13
10
9
7
6.6
6.3
This scenario does not differ significantly from the one adopted in
the previous reporting year. Actual hydrocarbons prices utilized in the
calculation of future revenues of oil & gas assets in the impairment
review are derived from the main market benchmarks by applying
specific price differentials estimated by the management to consider
factors like crude qualities, different indexation mechanisms and
regional price trends.
The discount rate of the future cash flows of the CGUs was estimated
as the weighted average cost of equity (Ke) and net borrowings,
based on the Capital Asset Pricing Model methodology. The cost
of equity considers both a premium for the non-diversifiable market
risk measured on the basis of the long-term returns of the S&P500,
and an additional premium that considers exposure to operational
risks of the countries of activity and the risks of the energy transition.
For 2024, a Group cost of capital (“WACC”) of approximately 6%
was estimated and was slightly lower than in 2023 due to a lower
market risk premium and reduced yields on risk-free assets. The
Group WACC is adjusted to account for the specific operational
risks of each geography against the average portfolio, where oil &
gas activities are conducted, by adding a corrective factor (WACC
adjusted on a country-by-country basis).
The impairment test was performed at all the Group’s oil & gas CGUs
based on the price scenario of management and the country WACCs,
substantially confirming the carrying amounts of the properties, with
the exception of certain oil assets in Congo and Alaska that were
aligned to their lower fair values (€1,077 million and €803 million,
respectively) as part of a portfolio review which resulted in a reduced
management’s commitment at continuing development at long-lived
assets which were put on sale and in a refocusing on core projects
in line with the Group financial framework of capital discipline. Other
minor impairment charges were recognized at assets in Italy and
Turkmenistan (€213 million and €88 million, respectively) due to
reserves revisions.
The value in use (VIU) of the oil & gas CGUs under the management’s
scenario assumptions displayed a headroom (difference between VIU
and book values) of approximately 68% of the assets’ carrying amounts,
also discounting the expected expenses associated with the purchase
319
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Value in use of the O&G CGUs
Headroom vs Carrying amounts
Possible impacts
on the profit
and loss account
Assumption at 2050 in real terms USD 2023
Tax-deductible CO2 charges
€ billion
Brent
price
European
gas price
Cost of CO2
Eni's scenario
68%
49 $/bbl
6.3 $/mmBTU
CO2 costs projections in the EU/ETS
+ projections of forestry costs
10% haircut of Eni’s prices assumptions
51%
(0.8)
CO2 costs projections in the EU/ETS
+ projections of forestry costs
Eni’s scenario with +1% increase in WACC
60%
(0.1)
CO2 costs projections in the EU/ETS
+ projections of forestry costs
IEA NZE 2050 scenario
10%
(6.2)
25 $/bbl
4 $/mmBTU
250-180$ per tonne of CO2
*
(*) Range of values depending on advanced or emerging economies with or without net zero commitments. For low-income economies a lower cost is expected.
of carbon credits as part of the Company’s strategy to decarbonize its
oil & gas operations also through nature-based solutions of carbon
offsets. Those sensitivity analyses included assets of all consolidated
entities, joint ventures and associates, excluding Vår Energi ASA, Azule
Energy Holdings Ltd and Ithaca Energy Plc. Considering the subjectivity
of the assumptions underlying the estimate of the VIU, management
has stress-tested its base case by applying the following sensitivity
analyses to the assumptions underlying the oil & gas CGUs values-
in-use of the base case: (i) a linear cut of -10% to hydrocarbon prices
in all the years of the cash flow projections; (ii) a one-percentage
point increase in the risk-adjusted WACCs applied in each country of
operations; (iii) the projections of hydrocarbon prices and CO2 costs
of the decarbonization scenario Net Zero Emission 2050 (NZE 2050)
elaborated by IEA with forecast prices from 2030 onwards, which have
been integrated by the pricing assumptions of the management’s
four-year 2025-2028 industrial plan and linear interpolation of prices
till 2030.
The values-in-use of oil & gas assets estimated under the different
stress-test scenarios exhibit in their entirety a headroom over
the assets book values; however, it is possible the incurrence of
impairment losses as shown in the table below.
The results of those sensitivity tests expressed in terms of
cumulated headroom of the oil & gas CGUs over their corresponding
book values and potential pre-tax income statement impacts are as
follows:
These sensitivities do not consider possible actions to mitigate a
changed price environment, such as rescheduling and/or cancellation
of planned development activities, contractual renegotiations, costs
efficiencies or actions aimed at accelerating the pay-back period.
Sensitivity was not applied to Chemicals and Gas power generation
business lines considering the immateriality of the residual book
values of property, plant and equipment (€547 million and €862
million, respectively) and of economic-technical lives, while no
impact can be associated for refineries considering that their book
values are zero. Assets in the biorefinery business with a book
value of €876 million have not been stress-tested because they are
unaffected by transition risks.
ENI ANNUAL REPORT 2024
320
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
(€ million)
Investments in
unconsolidated
entities
controlled by Eni
Joint ventures
Associates
Total
Investments in
unconsolidated
entities
controlled by Eni
Joint ventures
Associates
Total
Carrying amount - beginning of the year
53
8,250
4,327
12,630
50
7,065
4,977
12,092
Additions and subscriptions
35
450
242
727
3
1,024
186
1,213
Divestments and reimbursements
(2)
(291)
(33)
(326)
Share of profit of equity-accounted investments
5
795
402
1,202
4
818
800
1,622
Share of loss of equity-accounted investments
(12)
(123)
(181)
(316)
(3)
(149)
(129)
(281)
Deduction for dividends
(3)
(655)
(1,094)
(1,752)
(1)
(939)
(1,060)
(2,000)
Changes in the scope of consolidation
8
635
7
650
3
13
(227)
(211)
Currency translation differences
461
206
667
(2)
(244)
(166)
(412)
Other changes
(2)
(73)
743
668
(1)
662
(54)
607
Carrying amount - end of the year
82
9,449
4,619
14,150
53
8,250
4,327
12,630
16 Investments
EQUITY-ACCOUNTED INVESTMENTS
Acquisitions and share capital increases mainly related: (i) for €212
million to the acquisition of shareholding in companies engaged
in the renewable activity by the Plenitude business line, including
2023 Sol IX Llc (Eni’s interest 73.59%) and 2022 Sol VII Llc (Eni’s
interest 75.26%), operating in the United States, with an installed
capacity of 0.38 GW in Plenitude share; (ii) for €160 million to the
capital increase of QatarEnergy LNG NFE (5) (Eni’s interest 25%)
which participates with a 12.5% stake in the North Field East (NFE)
project, ensuring Eni a 3.125% stake in the Qatar megaproject for
the development of LNG; (iii) for €90 million to the capital increase
of Vårgrønn AS, the joint venture (Eni’s interest 65%) which owns
the 20% stake in the Doggerbank A, B and C offshore wind projects
in the United Kingdom; (iv) for €69 million to the subscription
of Mangistau Power BV (Eni’s interest 51%) and of Mangistau
Renewables BV (Eni’s interest 51%); (v) for €64 million to the
subscription of equity investments by Enilive SpA in joint ventures
with local operators, which are building biorefinery plants in South
Korea (LG-Eni BioRefining Co Ltd - Eni’s interest 49%) and in
Malaysia (Pengerang Biorefinery Sdn Bhd - Eni’s interest 47.5%); (vi)
for €34 million to the capital increase of Lotte Versalis Elastomers
Co Ltd (Eni’s interest 50%).
Divestments and reimbursements related: (i) for €227 million to the
sale of approximately 10% of the share capital of Saipem SpA which
took place through an accelerated bookbuilding process aimed at
institutional investors; (ii) for €64 million to the capital reimbursement
by E&E Algeria Touat BV.
Share of profit from equity-accounted investments essentially
referred to: (i) Azule Energy Holdings Ltd for €602 million; (ii) Vår
Energi ASA for €259 million; (iii) ADNOC Global Trading Ltd for €113
million; (iv) Saipem SpA for €75 million; (v) SeaCorridor Srl for €45
million; (vi) E&E Algeria Touat BV for €40 million.
Share of loss from equity-accounted investments essentially
referred to: (i) St. Bernard Renewables Llc for €45 million; (ii)
Vårgrønn AS for €37 million; (iii) Abu Dhabi Oil Refining Company
(TAKREER) for €32 million.
Reduction for dividends related to: (i) Vår Energi ASA for €627 million;
(ii) Azule Energy Holdings Ltd for €427 million; (iii) Abu Dhabi Oil
Refining Company (TAKREER) for €269 million; (iv) Cardón IV SA
for €106 million; (v) ADNOC Global Trading Ltd for €102 million; (vi)
SeaCorridor Srl for €95 million; (vii) Ithaca Energy Plc for €69 million.
Changes in the scope of consolidation referred for €632 million to
the acquisition of control of Neptune Energy group through the joint
venture E&E Algeria Touat BV (Eni’s interest 54%).
Other changes included the initial recognition of the fair value of the
associate Ithaca Energy Plc (Eni’s interest 37.17%) for €788 million,
described in note 5 - Business combinations and other significant
transactions.
321
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2024
December 31, 2023
(€ million)
Net carrying
amount
% of the
investment
Net carrying amount
% of the
investment
Investments in unconsolidated entities controlled by Eni
Other
82
53
82
53
Joint ventures
Azule Energy Holdings Ltd
5,211
50.00
4,750
50.00
St. Bernard Renewables Llc
806
50.00
829
50.00
E&E Algeria Touat BV
646
54.00
Saipem SpA
528
21.61
722
31.20
SeaCorridor Srl
485
50.10
530
50.10
Vårgrønn AS
406
65.00
336
65.00
Mozambique Rovuma Venture SpA
382
35.71
343
35.71
Cardón IV SA
351
50.00
443
50.00
2023 Sol IX Llc
149
73.59
GreenIT SpA
111
51.00
92
51.00
Lotte Versalis Elastomers Co Ltd
61
50.00
43
50.00
2022 Sol VII Llc
61
75.26
Mangistau Power BV
51
51.00
Hergo Renewables SpA
33
65.00
32
65.00
LabAnalysis Environmental Scienze Srl
26
30.00
25
30.00
Mangistau Renewables BV
21
51.00
Società Oleodotti Meridionali SOM SpA
18
70.00
21
70.00
Other
103
84
9,449
8,250
Associates
Abu Dhabi Oil Refining Company (TAKREER)
2,275
20.00
2,434
20.00
Ithaca Energy Plc
725
37.17
QatarEnergy LNG NFE (5)
633
25.00
439
25.00
Coral FLNG SA
231
25.00
239
25.00
ADNOC Global Trading Ltd
165
20.00
145
20.00
United Gas Derivatives Co
79
33.33
81
33.33
Novis Renewables Holdings Llc
74
49.00
70
49.00
Bluebell Solar Class A Holdings II Llc
72
99.00
70
99.00
LG-Eni BioRefining Co Ltd
56
49.00
Vår Energi ASA
63.04
447
63.04
Other
309
402
4,619
4,327
14,150
12,630
Net carrying amounts related to the following companies:
ENI ANNUAL REPORT 2024
322
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The carrying amount of Vår Energi ASA is equal to zero in relation to the
application of the equity method of accounting which includes, among
others, the recognition of distributed dividends.
The results of equity-accounted investments by segment are disclosed
As of December 31, 2024, the market capitalization of Saipem shares
exceeded the book value of the investment; therefore, there was no
indication of impairment from the point of view of the investor. The
carrying amount was aligned with the corresponding share of the
investee’s net equity book value, less the fraction of the investee net
assets corresponding to the equity component of a convertible bond.
The fair value of the main non-controlling interests in non-listed
investees on regulated markets, classified within level 3 of the
fair value hierarchy, was estimated based on a methodology that
combines future expected earnings and the sum-of-the-parts
methodology (so-called residual income approach) and takes into
account, inter alia, the following inputs: (i) expected net profits, as
a gauge of the future profitability of the investees, derived from
the business plans, but adjusted, where appropriate, to include the
assumptions that market participants would incorporate; (ii) the
Saipem SpA
Vår Energi ASA
Ithaca Energy Plc
Number of ordinary shares held
422,920,192
1,573,713,749
614,678,516
% of the investment
21.61
63.04
37.17
Share price (€)
2.509
2.994
1.331
Market value (€ million)
1,061
4,712
818
Book value (€ million)
528
725
Market value vs Book value (€ million)
533
4,712
93
in note 35 - Segment information and information by geographical area.
As of December 31, 2024, the book and market values of Saipem SpA, Vår
Energi ASA and Ithaca Energy Plc, listed equity-accounted companies,
respectively, were as follows:
The book value of St. Bernard Renewables Llc includes the recognition
of goodwill of €19 million as confirmed by the final allocation of the
purchase price.
Additional information is included in note 37 - Other information
about investments.
cost of capital, adjusted to include the risk premium of the specific
country (7.4%) in which each investee operates. A stress test based
on a 1% change in the cost of capital considered in the valuation did
not produce significant changes at the fair value valuation.
Dividend income from these investments is disclosed in note 32 -
Income (expense) from investments.
The investment book value as of December 31, 2024, primarily
related to Nigeria LNG Ltd for €690 million (€642 million at
December 31, 2023), Saudi European Petrochemical Co “IBN ZAHR”
(€ million)
2024
2023
Carrying amount - beginning of the year
1,256
1,202
Additions and subscriptions
71
102
Change in the fair value with effect to OCI
62
45
Currency translation differences
56
(28)
Other changes
(50)
(65)
Carrying amount - end of the year
1,395
1,256
Other investments
323
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Financing receivables held for operating purposes primarily related
to funds provided to joint ventures and associates in the Exploration
& Production segment (€994 million) to execute capital projects
of interest to Eni. These receivables are long-term interests in the
initiatives funded. The main amounts were towards Coral FLNG SA
(Eni’s interest 25%) for €522 million (€453 million at December 31,
2023), operating a floating gas liquefaction plant in Area 4, offshore
Mozambique.
Financing receivables held for operating purposes due beyond five
years amounted to €214 million (€149 million at December 31, 2023).
The fair value of non-current financing receivables held for
operating purposes of €1,044 million has been estimated based on
the present value of expected future cash flows discounted at rates
ranging from 1.7% to 4.8% (1.9% and 5.2% at December 31, 2023).
The recoverability of other long-term financial assets was assessed
by considering the expected probability of default in the next
twelve months only, as the creditworthiness suffered no significant
deterioration in the reporting period.
Changes in allowance for doubtful accounts were as follows:
Financing receivables held for non-operating purposes related to: (i)
the joint venture Mozambique Rovuma Venture SpA (Eni’s interest
35.71%) for €1,769 million (€1,339 million at December 31, 2023)
engaged in the production and development of the natural gas
reserves discovered in Area 4 offshore Mozambique which from
January 1, 2024 was reclassified from financing receivables held for
operating purposes to financing receivables, considering the only
exposure to the counterparty financial risk; (ii) restricted deposits in
escrow to guarantee transactions on derivative contracts for €937
million (€712 million at December 31, 2023), referred to the Global
Gas & LNG Portfolio business line for €907 million (€677 million at
December 31, 2023).
Financing receivables were denominated in US dollar for €3,351
million and in euro for €855 million (€2,503 million and €630 million
at December 31, 2023, respectively).
Securities for €11 million (€19 million at December 31, 2023) were
pledged as guarantee of the deposit for gas cylinders as provided for
by the Italian law.
17 Other financial assets
December 31, 2024
December 31, 2023
(€ million)
Current
Non-current
Current
Non-current
Long-term financing receivables held for operating purposes
1
1,044
34
2,240
Short-term financing receivables held for operating purposes
7
1
1,044
41
2,240
Long-term financing receivables
44
2,109
Short-term financing receivables
1,040
855
1,084
2,109
855
1,085
3,153
896
2,240
Securities held for operating purposes
62
61
1,085
3,215
896
2,301
(€ million)
2024
2023
Carrying amount at the beginning of the year
383
391
Additions
26
15
Deductions
(3)
(9)
Currency translation differences
24
(13)
Other changes
(3)
(1)
Carrying amount at the end of the year
427
383
for €127 million (€121 million at December 31, 2023) and Darwin
LNG Pty Ltd for €96 million (€78 million at December 31, 2023).
Investments in subsidiaries, joint arrangements and associates
are presented separately in the annex “List of companies owned
by Eni SpA as of December 31, 2024”. This annex includes also the
changes in the scope of consolidation.
ENI ANNUAL REPORT 2024
324
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Amortized cost
(€ million)
Nominal
value
(€ million)
Fair Value
(€ million)
Nominal rate
of return (%)
Maturity
date
Rating -
Moody’s
Rating -
S&P
Sovereign states
Fixed rate bonds
Italy
11
12
11
from 0 to 2.65
from 2025 to 2031
Baa3
BBB
Others(*)
33
33
33
from 0.01 to 5.0
from 2025 to 2029 from Aa1 to Baa2 from AA+ to BBB-
Floating rate bonds
Italy
15
15
15
from 3.56 to 4.01
from 2025 to 2029
Baa3
BBB
Total sovereign states
59
60
59
Other financial institutions
European Bank of Investments
3
3
3
3.75
from 2025 to 2026
Aaa
AAA
Total
62
63
62
(*) Amounts included herein are lower than €10 million.
Securities having maturity within five years amounted to €57 million.
The fair value of securities was derived from quoted market prices.
Receivables with related parties are described in note 36 - Transactions with related parties.
The following table analyses securities per issuing entity:
325
ENI ANNUAL REPORT 2024
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REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
18 Trade and other payables
(€ million)
December 31,
2024
December 31,
2023
Trade payables
15,170
14,231
Down payments and advances from joint ventures in exploration & production activities
767
717
Payables for purchase of non-current assets
1,939
2,335
Payables due to partners in exploration & production activities
1,377
1,215
Other payables
2,839
2,156
22,092
20,654
The increase in trade payables of €939 million referred to Global Gas
& LNG Portfolio and Power segment for €830 million.
Other payables included: (i) payables to factoring companies in
relation to the derecognition of Eni’s tax credits for €1,129 million
(€728 million at December 31, 2023); (ii) payroll payables for €268
million (€287 million at December 31, 2023); (iii) the amounts still
due to the triggering of the take-or-pay clause of the long-term
supply contracts for €199 million (€187 million at December 31,
2023); (iv) payables for social security contributions for €120 million
(€110 million at December 31, 2023).
Trade and other payables were denominated in euro for €11,487
million and in US dollar for €10,047 million (€10,200 million and
€10,421 million at December 31, 2023, respectively).
Because of the short-term maturity and conditions of remuneration
of trade payables, the fair values approximated the carrying amounts.
Trade and other payables due to related parties are described in note
36 - Transactions with related parties.
Finance debt increased by €1,661 million as disclosed in table
“Changes in liabilities arising from financing activities” detailed at the
end of this paragraph.
As of December 31, 2024, finance debt included €300 million (€701
million at December 31, 2023) of sustainability-linked financial
contracts with leading banking institutions which provide for an
adjustment mechanism of the funding cost linked to the achievement
of certain sustainability targets, which are disclosed in the comment
of ordinary bonds.
Other financial institutions included supplier finance arrangements
(SFAs) as follows:
19 Finance debt
December 31, 2024
December 31, 2023
(€ million)
Short-term
debt
Current
portion of
long-term
debt
Long-term
debt
Total
Short-term
debt
Current
portion of
long-term
debt
Long-term
debt
Total
Banks
2,941
269
921
4,131
2,810
600
1,116
4,526
Ordinary bonds
2,695
19,641
22,336
1,956
19,535
21,491
Sustainability-linked convertible bonds
9
928
937
9
917
926
Other financial institutions
1,297
1,609
80
2,986
1,282
356
148
1,786
4,238
4,582
21,570
30,390
4,092
2,921
21,716
28,729
Long-term SFAs
Current portion of
long-term debt SFAs
Short-term SFAs
Total
Carrying amount at December 31, 2023
92
355
538
985
Cash flows
(412)
(432)
(844)
Non-monetary increases
451
1,013
775
2,239
Currency translation differences
2
67
25
94
Other non-monetary changes
(519)
581
32
94
Carrying amount at December 31, 2024
26
1,604
938
2,568
ENI ANNUAL REPORT 2024
326
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The payment terms for financial liabilities falling within the scope of
the SFAs range between 145 and 410 days, compared to the terms
of other comparable commercial debt not falling within the scope of
the agreement which are between 30 and 60 days. Eni formally has
no information on the timing of the settlement made by the bank to
the suppliers. The main transactions falling within the scope of the
SFA agreements mainly concern: (i) within the Congo project, the
construction of the floating LNG production vessel Nguya, which will
increase the liquefaction capacity of the project up to 3 MTPA from the
current 0.6 MTPA; (ii) the advancement of the Baleine Phase II project
offshore Côte d’Ivoire; (iii) production facilities offshore Mexico (Area 1).
Eni entered into long-term borrowing facilities with the European
Investment Bank. These borrowing facilities are subject to the retention
of a minimum level of credit rating. According to the agreements,
should the Company lose the minimum credit rating, new guarantees
could be required to be agreed upon with the European Investment
Bank. As of December 31, 2024, debts subjected to restrictive
covenants amounted to €613 million (€732 million at December 31,
2023). Eni was in compliance with those covenants.
Eni has in place a program for the issuance of Euro Medium Term
Notes up to €20 billion, of which €15.3 billion were drawn as of
December 31, 2024.
The following table provides a breakdown of ordinary bonds by issuing
entity, maturity date, interest rate and currency as of December 31, 2024:
Amount
Discount on
bond issue
and accrued
expense
Total
Currency
Maturity
Rate %
(€ million)
Issuing entity
Euro Medium Term Notes
Eni SpA
1,250
23
1,273
EUR
2033
4.250
Eni SpA
1,200
14
1,214
EUR
2025
3.750
Eni SpA
1,000
60
1,060
EUR
2029
3.625
Eni SpA
1,000
26
1,026
EUR
2034
3.875
Eni SpA
1,000
13
1,013
EUR
2026
1.500
Eni SpA
1,000
11
1,011
EUR
2031
2.000
Eni SpA
1,000
5
1,005
EUR
2026
1.250
Eni SpA
1,000
4
1,004
EUR
2030
0.625
Eni SpA
800
4
804
EUR
2028
1.625
Eni SpA
750
9
759
EUR
2027
1.500
Eni SpA
750
(3)
747
EUR
2034
1.000
Eni SpA
722
9
731
USD
2027
variable
Eni SpA
650
5
655
EUR
2025
1.000
Eni SpA
600
(1)
599
EUR
2028
1.125
Eni SpA
500
4
504
EUR
2025
1.275
Eni SpA
100
4
104
EUR
2028
5.441
Eni SpA
75
1
76
EUR
2043
3.875
Eni SpA
70
1
71
EUR
2032
4.000
Eni SpA
50
1
51
EUR
2031
4.800
Eni SpA - Sustainability-linked
1,000
1,000
EUR
2028
0.375
Eni SpA - Sustainability-linked
750
15
765
EUR
2027
3.625
15,267
205
15,472
Other bonds
Eni SpA
1,202
(20)
1,182
USD
2054
5.950
Eni SpA
962
8
970
USD
2028
4.750
Eni SpA
962
2
964
USD
2029
4.250
Eni SpA
962
(3)
959
USD
2034
5.500
Eni SpA
337
1
338
USD
2040
5.700
Eni USA Inc
385
2
387
USD
2027
7.300
Eni SpA - Sustainability-linked - Retail
2,000
64
2,064
EUR
2028
4.300
6,810
54
6,864
22,077
259
22,336
327
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2024
December 31, 2023
Short term
debt
(€ million)
Weighted
average
rate (%)
Long term
debt and
current
portion of
long-term
debt
(€ million)
Weighted
average
rate (%)
Passività
finanziarie
a breve
termine
(€ milion)
Weighted
average rate
(%)
Long term
debt and
current
portion of
long-term
debt
(€ mililon)
Weighted
average rate
(%)
Euro
3,518
3.0
19,547
2.5
3,469
3.3
20,293
2.4
US dollar
707
4.8
6,603
5.3
614
5.5
4,342
5.9
Other currencies
13
2.2
2
2.7
9
2.5
2
5.9
4,238
26,152
4,092
24,637
As of December 31, 2024, Eni SpA had in place a sustainability-
linked senior unsecured convertible bond with an aggregate
nominal amount of €1,000 million. The bonds will be convertible
into Eni existing ordinary shares bought under the share buyback
program approved by the Shareholders’ Meeting held on May 10,
2023. The bonds will mature in 7 years. The conversion price is
€17.5513.
Sustainability-linked bonds and sustainability-linked convertible
bonds are indexed to the achievement of sustainability targets
related to the Net Carbon Footprint of the Upstream (Scope 1 and
2) and renewable energy installed capacity. In case the Company
fails to reach each of the agreed targets, a step-up adjustment to
the interest rates of the underlying financing is due to be applied.
The following table provides a breakdown by currency of finance
debt and the related weighted average interest rates:
Eni retained committed borrowing facilities of €9,001 million (€9,120 million at December 31, 2023, of which €9,050 undrawn). Those facilities
bore interest rates reflecting prevailing conditions in the marketplace.
As of December 31, 2024, Eni was in compliance with covenants and other contractual provisions in relation to borrowing facilities.
During 2024, new ordinary bonds in euro were issued by Eni SpA for a
nominal value of €3,164 million.
As of December 31, 2024, Eni SpA had in place sustainability-linked
bonds for a total nominal value of €3,750 million. In case the Company
misses those targets, a step-up mechanism will be applied, increasing
the interest cost.
As of December 31, 2024, ordinary bonds maturing within 18 months
amounted to €4,350 million.
(€ million)
Amount
Discount on
bond issue
and accrued
expense
Total
Currency
Maturity
Rate
(%)
Issuing entity
Eni SpA - Convertible senior unsecured sustainability-linked bonds
1,000
16
1,016
EUR
2030
2.950
of which financial liabilities
920
17
937
of which equity
80
(1)
79
Information relating to the senior unsecured sustainability-linked convertible bonds is as follows:
ENI ANNUAL REPORT 2024
328
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Fair value of finance debts was calculated by discounting the expected future cash flows at discount rates ranging from 1.7% to 4.8% (1.9%
and 5.2% at December 31, 2023).
Because of the short-term maturity and conditions of remuneration of short-term debt, the fair value approximated the carrying amount.
(€ million)
Long-term debt and
current portion of long-
term debt
Short-term debt
Long-term and current
portion of long-term lease
liabilities
Total
2024
Carrying amount - beginning of the year
24,637
4,092
5,336
34,065
Cash flows
(1,232)
(61)
(1,205)
(2,498)
Currency translation differences
232
(303)
247
176
Changes in the scope of consolidation
855
12
50
917
Other non-monetary changes
1,660
498
2,025
4,183
Carrying amount - end of the year
26,152
4,238
6,453
36,843
2023
Carrying amount - beginning of the year
22,471
4,446
4,951
31,868
Cash flows
1,810
(1,495)
(963)
(648)
Currency translation differences
(144)
182
(116)
(78)
Changes in the scope of consolidation
38
352
13
403
Other non-monetary changes
462
607
1,451
2,520
Carrying amount - end of the year
24,637
4,092
5,336
34,065
CHANGES IN LIABILITIES ARISING FROM FINANCING ACTIVITIES
Changes in the scope of consolidation related to the acquisition of
100% of the Neptune Energy group by the Exploration & Production
segment for €895 million, the acquisitions made within the
renewable activities of Plenitude for €61 million and the acquisition
of the Atenoil companies by the Enilive business line for €10 million.
Other non-monetary changes include lease liabilities assumptions
for €2,109 million and €2,239 million of trade payables on which
payment term extensions have been negotiated, resulting in the
classification of the debt as financial.
Lease liabilities are described in note 13 - Right-of-use assets and
lease liabilities.
Transactions with related parties are described in note 36 -
Transactions with related parties.
(€ million)
December 31,
2024
December 31,
2023
Ordinary bonds and sustainability-linked bonds
21,026
21,025
Convertible sustainability-linked bonds
973
1,061
Banks
1,143
1,652
Other financial institutions
1,689
505
24,831
24,243
Fair value of long-term debt, including the current portion of long-term debt is described below:
329
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Provisions for
site restoration,
abandonment and
social projects
Environmental
provisions
Provisions for
litigations
Provisions for taxes
other than income
taxes
Loss adjustments and
actuarial provisions
for Eni’s insurance
companies
Provisions for losses
on investments
Provisions for OIL
insurance coverage
Other
Total
Carrying amount at December 31, 2023
9,470
3,613
681
183
245
208
105
1,028
15,533
New or increased provisions
481
929
100
27
87
24
2
264
1,914
Initial recognition and changes in estimates
97
97
Accretion discount
312
(51)
261
Reversal of utilized provisions
(814)
(636)
(18)
(46)
(114)
(138)
(1,766)
Reversal of unutilized provisions
(181)
(81)
(60)
(27)
(4)
(22)
(100)
(475)
Currency translation differences
312
2
19
6
3
1
9
352
Change in scope of consolidation
249
1
4
8
262
Other changes
(214)
(76)
(129)
11
11
3
(10)
(404)
Carrying amount at December 31, 2024
9,712
3,700
594
158
229
234
86
1,061
15,774
Net borrowings did not include €2,109 million of non-current
financing receivables.
Cash and cash equivalents include €54 million (€205 million at
December 31, 2023) subject to foreclosure measures and payment
guarantees.
Other current financial assets include: (i) financial assets at fair value
through profit or loss, disclosed in note 7 - Financial assets at fair
value through profit or loss; (ii) financing receivables, disclosed in
note 17 - Other financial assets.
Current and non-current debts are disclosed in note 19 - Finance
debts.
Debt instruments included €42 million of positive fair value hedge
derivative contracts entered to hedge fixed rate bonds.
Current portion of non-current financial debt and non-current
financial debt include lease liabilities of €1,279 million and €5,174
million (€1,128 million and €4,208 million at December 31, 2023,
respectively). More information on lease liabilities is reported in note
13 - Right-of-use assets and lease liabilities.
21 Provisions
(€ million)
December 31,
2024
December 31,
2023
A.
Cash
3,367
3,731
B.
Cash equivalents
4,816
6,462
C.
Other current financial assets
7,881
7,637
D.
Liquidity (A+B+C)
16,064
17,830
E.
Current financial debt
6,942
6,057
F.
Current portion of non-current financial debt
3,157
2,084
G. Current financial indebtedness (E+F)
10,099
8,141
H. Net current financial indebtedness (G-D)
(5,965)
(9,689)
I.
Non-current financial debt
6,175
5,472
J.
Debt instruments
20,527
20,452
K.
Non‐current trade and other payables
L.
Non-current financial indebtedness (I+J+K)
26,702
25,924
M. Total financial indebtedness (H+L)
20,737
16,235
20 Information on net borrowings
ENI ANNUAL REPORT 2024
330
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The decommissioning provision comprised: (i) for €8,376 million the
present value of the estimated costs that the Company expects to
incur for dismantling oil and natural gas production facilities at the
end of the producing lives of fields, well-plugging, site clean-up and
environmental restoration; (ii) for €673 million the estimated costs for
social projects in the Exploration & Production segment, relating for
€358 million to the estimated costs for social projects as part of the
commitments between Eni SpA and the Basilicata region in relation
to the oil development program in the Val d’Agri concession area; (iii)
for €596 million the estimate for decommissioning and dismantling
costs of refining and ancillary plants which have been impaired in the
current commodity scenario and for which there are no prospects
of economic reuse or reconversion into transition processes. The
amount also included the expected decommissioning costs of fuel
distribution assets.
In 2024, increases in the decommissioning provisions related to: (i)
the revision of cost estimates relating to depleted oil & gas assets,
whose book value has been completely written-down for €431
million; (ii) cost estimates for dismantling and removing ancillary
facilities of fuel refining and distribution assets for €45 million
or which management has assessed the absence of economic
prospectives in the current market context.
Initial recognition and changes in cost estimates were primarily
recognized at assets in UK, Italy, Ivory Coast and Libya. The provision
also increased due to a reduction in discounting rates in relation to
the downward movement of the yield curve and the reduction of the
discount period (accretion of discount). The effect of the accretion
of discount recognized through profit and loss was determined
based on discount rates ranging from 1.8% to 5.3% (from 2.2% to
5.4% at December 31, 2023). Utilizations of the decommissioning
provision mainly related to site restoration and social projects in UK
for €310 million, in Italy for €246 million, and in Libya for €94 million.
Change in the scope of consolidation referred to the Exploration &
Production segment and concerned the acquisition of the Neptune
Energy group for €815 million and the business combination with
Ithaca Energy Plc for €566 million. Other changes included the
reclassification to liabilities directly associated with assets held
for sale of the Exploration & Production segment for €51 million.
Main expenditures associated with decommissioning operations
are expected to be incurred over a fifty-year period, with utilizations
essentially starting after 12 months.
Provisions for environmental risks included the estimated costs for
environmental clean-up and remediation of soil and groundwater
in areas owned or under concession where the Group performed
in the past industrial operations that were progressively divested,
shut down, dismantled or restructured. The provision was accrued
because at the balance sheet date there is a legal or constructive
obligation for Eni to carry out environmental clean-up and remediation
and the expected costs can be estimated reliably. The provision
included the expected charges associated with strict liability related
to obligations of cleaning up and remediating polluted areas that met
the parameters set by law at the time when the pollution occurred
but presently are no more in compliance with current environmental
laws and regulations, or because Eni assumed the liability borne
by other operators when the Company acquired or otherwise took
over site operations. The prerequisite for the recognition of these
environmental costs is the evaluation of the probability of their being
incurred and the possibility of estimating them reliably. Provisions
related: (i) for €352 million to remediation activities at brownfield
sites in Italy and costs related to groundwater cleanups; (ii) for
about €271 million to refining plants, storage sites, fuel distribution
outlets and oil pipelines; (iii) for €152 million to remediation activities
at petrochemical plants. At December 31, 2024, environmental
provisions primarily related to Eni Rewind SpA for €2,423 million and
to the Refining and Chemical segment for €687 million.
Litigation provisions comprised expected liabilities associated
with legal proceedings and other matters arising from contractual
claims, including arbitrations, fines and penalties due to antitrust
proceedings and administrative matters. The provision was
allocated on the basis of the best estimate of the existing liability at
the balance sheet date and referred to the Exploration & Production
segment for €305 million.
Provisions for uncertain tax matters related to the estimated losses
that the Company expects to incur to settle tax litigations and tax
claims pending with tax authorities in relation to uncertainties in
applying rules in force and referred to the Exploration & Production
segment for €128 million. In particular, charges mainly relate to the
dispute regarding the taxation of Italian local administrations on Eni
offshore platforms located in common territorial waters.
Loss adjustments and actuarial provisions of Eni’s insurance
company Eni Insurance DAC represented the estimated liabilities
accrued on the basis for third party claims. Against such liability were
recorded receivables for €25 million towards insurance companies
for reinsurance contracts.
Provisions for losses on investments included provisions relating
to investments whose loss exceeds equity and primarily related to
Industria Siciliana Acido Fosforico - ISAF - SpA (in liquidation) for
€176 million.
Provisions for the Everen insurance coverage included insurance
premiums which will be charged to Eni in the next five years by the
mutual insurance company in which Eni participates together with
other oil companies.
Other provisions mainly related to claims, contingencies and
commercial renegotiations aa part of the ordinary course of the
business. Those provisions were outstanding mainly in the Global
Gas & LNG Portfolio and Enilive business lines.
Based on the outlay forecasts in relation to the progress of the
restoration and decommissioning activities of depleted oil assets, the
short-term portion of the risk provisions amounts to approximately
€1.7 billion.
331
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
(€ million)
Italian defined
benefit plans
Foreign defined
benefit plans
FISDE, foreign
medical plans and
other
Defined benefit
plans
Other benefit plans
Total
Italian defined
benefit plans
Foreign defined
benefit plans
FISDE, foreign
medical plans and
other
Defined benefit
plans
Other benefit plans
Total
Present value of benefit liabilities at beginning of year
156
380
118
654
353
1,007
177
644
126
947
341
1,288
Current service cost
1
12
2
15
56
71
1
10
2
13
51
64
Interest cost
5
18
4
27
11
38
6
29
4
39
10
49
Remeasurements:
(1)
(22)
(2)
(25)
1
(24)
5
24
1
30
(2)
28
- actuarial (gains) losses due to changes in demographic assumptions
(1)
(1)
(1)
1
1
2
(1)
1
- actuarial (gains) losses due to changes in financial assumptions
(22)
(22)
5
(17)
4
8
2
14
1
15
- experience (gains) losses
(1)
1
(2)
(2)
(4)
(6)
15
(1)
14
(2)
12
Past service cost and (gain) loss on settlements
9
9
3
12
2
(13)
4
(7)
91
84
Plan contributions:
2
2
2
1
1
1
- employee contributions
2
2
2
1
1
1
Benefits paid
(10)
(85)
(8)
(103)
(113)
(216)
(37)
(39)
(9)
(85)
(97)
(182)
Reclassification to liabilities directly associated with assets
held for sale
(147)
(6)
(153)
(2)
(155)
Currency translation differences and other changes
55
(2)
53
(1)
52
2
(129)
(4)
(131)
(39)
(170)
Present value of benefit liabilities at end of year (a)
151
369
112
632
310
942
156
380
118
654
353
1,007
Plan assets at beginning of year
261
261
261
503
503
503
Interest income
14
14
14
19
19
19
Return on plan assets
(17)
(17)
(17)
Administrative fees paid
(1)
(1)
(1)
Plan contributions:
25
25
25
25
25
25
- employee contributions
2
2
2
1
1
1
- employer contributions
23
23
23
24
24
24
Benefits paid
(25)
(25)
(25)
(31)
(31)
(31)
Reclassification to liabilities directly associated with assets held for
sale
(123)
(123)
(123)
Currency translation differences and other changes
6
6
6
(132)
(132)
(132)
Plan assets at end of year (b)
263
263
263
261
261
261
Asset ceiling at beginning of year
2
2
2
1
1
1
Change in asset ceiling
1
1
1
Asset ceiling at end of year (c)
2
2
2
2
2
2
Net liability recognized at end of year (a-b+c)
151
108
112
371
310
681
156
121
118
395
353
748
The liability relating to Eni’s commitment to cover the healthcare
costs of personnel is determined, among other things, based on the
contributions paid by the Company.
Other employee benefit plans related to deferred monetary incentive
plans for €134 million (€120 million at December 31, 2023), expansion
contracts for €86 million (€118 million at December 31, 2023),
isopensione plans (a post-retirement benefit plan applicable to a
specific category of employees) of Eni Plenitude SpA Società Benefit
for €47 million (€77 million at December 31, 2023), Jubilee Awards for
€25 million (€26 million at December 31, 2023) and other long-term
plans for €18 million (€12 million at December 31, 2023).
Present value of employee benefits, estimated by applying actuarial
techniques, consisted of the following:
(€ million)
December 31,
2024
December 31,
2023
Italian defined benefit plans
151
156
Foreign defined benefit plans
108
121
FISDE, foreign medical plans and other
112
118
Defined benefit plans
371
395
Other benefit plans
310
353
Provision for employee benefits
681
748
22 Provisions for employee benefits
ENI ANNUAL REPORT 2024
332
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Costs charged to the profit and loss account, valued using actuarial assumptions, consisted of the following:
(€ million)
Italian defined
benefit plans
Foreign
defined benefit
plans
FISDE, foreign
medical plans
and other
Defined
benefit plans
Other
benefit plans
Total
2024
Current service cost
1
12
2
15
56
71
Past service cost and (gains) losses on settlements
9
9
3
12
Interest cost (income), net:
- interest cost on liabilities
5
18
4
27
11
38
- interest income on plan assets
(14)
(14)
(14)
Total interest cost (income), net
5
4
4
13
11
24
- of which recognized in "Payroll and related cost"
11
11
- of which recognized in "Financial income (expense)"
5
4
4
13
13
Remeasurements for long-term plans
1
1
Administrative fees paid
1
1
1
Total
6
26
6
38
71
109
- of which recognized in "Payroll and related cost"
1
22
2
25
71
96
- of which recognized in "Financial income (expense)"
5
4
4
13
13
2023
Current service cost
1
10
2
13
51
64
Past service cost and (gains) losses on settlements
2
(13)
4
(7)
91
84
Interest cost (income), net:
- interest cost on liabilities
6
29
4
39
10
49
- interest income on plan assets
(19)
(19)
(19)
Total interest cost (income), net
6
10
4
20
10
30
- of which recognized in "Payroll and related cost"
10
10
- of which recognized in "Financial income (expense)"
6
10
4
20
20
Remeasurements for long-term plans
(2)
(2)
Total
9
7
10
26
150
176
- of which recognized in "Payroll and related cost"
3
(3)
6
6
150
156
- of which recognized in "Financial income (expense)"
6
10
4
20
20
2024
2023
(€ million)
Italian defined
benefit plans
Foreign
defined benefit
plans
FISDE, foreign
medical plans
and other
Total
Italian defined
benefit plans
Foreign
defined benefit
plans
FISDE, foreign
medical plans
and other
Total
Actuarial (gains)/losses due to changes in demographic assumptions
(1)
(1)
1
1
2
Actuarial (gains)/losses due to changes in financial assumptions
(22)
(22)
4
8
2
14
Experience (gains) losses
(1)
1
(2)
(2)
15
(1)
14
Return on plan assets
17
17
Changes in asset ceiling
1
1
Remeasurements
(1)
(5)
(2)
(8)
5
25
1
31
Costs of defined benefit plans recognized in other comprehensive income consisted of the following:
333
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Cash and cash
equivalents
Equity
securities
Debt securities
Real estate
Derivatives
Investment
funds
Assets held
by insurance
companies
Other
Total
December 31, 2024
Plan assets with a quoted market price
4
25
125
11
43
1
32
19
260
Plan assets without a quoted market price
3
3
4
25
125
11
43
1
35
19
263
December 31, 2023
Plan assets with a quoted market price
4
24
121
11
55
5
15
235
Plan assets without a quoted market price
26
26
4
24
121
11
55
31
15
261
Italian defined
benefit plans
Foreign defined
benefit plans
FISDE, foreign
medical plans
and other
Other
benefit plans
2024
Discount rate
(%)
3.1
1.1-26,1
3.1
2.8-3.1
Rate of compensation increase
(%)
3.0
2.0-15.0
Rate of price inflation
(%)
2.0
1.0-14.0
2,0
2.0
Life expectations on retirement at age 65
(years)
14-24
24
2023
Discount rate
(%)
3.1
1.4-25.9
3.1
3.1-3.3
Rate of compensation increase
(%)
3.0
1.9-20.0
Rate of price inflation
(%)
2.0
1.2-15.5
2,0
2.0
Life expectations on retirement at age 65
(years)
14-23
24
Plan assets consisted of the following:
The main actuarial assumptions used in the measurement of the liabilities at year-end and in the estimate of costs expected for 2025
consisted of the following:
ENI ANNUAL REPORT 2024
334
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Euro area
Rest of
Europe
Africa
Other
areas
Foreign
defined
benefit plans
2024
Discount rate
(%)
3.2-3.6
1.1-5.5
3.3-26.1
7,1
1.1-26.1
Rate of compensation increase
(%)
2.0-3.4
2,8
5.0-15.0
5,0
2.0-15.0
Rate of price inflation
(%)
2.0
1.0-3.5
3.0-14.0
3,5
1.0-14.0
Life expectations on retirement at age 65
(years)
21-23
23-24
14-18
14-24
2023
Discount rate
(%)
3.2-3.3
1.4-4.5
3.2-25.9
6.9
1.4-25.9
Rate of compensation increase
(%)
1.9-3.0
3.0
5.0-20.0
5.0
1.9-20.0
Rate of price inflation
(%)
1.9-2.1
1.2-3.4
3.1-15.5
3.5
1.2-15.5
Life expectations on retirement at age 65
(years)
21 - 23
23
14-18
14-23
The following is an analysis by geographical area related to the main actuarial assumptions used in the valuation of the principal foreign
defined benefit plans:
The effects of a possible change in the main actuarial assumptions at the end of the year are not material.
The contributions expected to be paid for employee benefit plans in the next year amounted to €153 million, of which €45 million related
to defined benefit plans.
The following is an analysis by maturity date of the liabilities for employee benefit plans and their relative weighted average duration:
(€ million)
Italian defined
benefit plans
Foreign defined
benefit plans
FISDE, foreign
medical plans and
other
Other benefit
plans
December 31, 2024
2025
19
24
8
108
108
2026
16
26
7
92
92
2027
16
21
7
80
80
2028
17
16
7
13
13
2029
18
19
7
5
5
2030 and thereafter
65
263
76
12
12
Weighted average duration (years)
6.1
13.1
11.3
2.1
2.1
December 31, 2023
2024
14
24
9
107
107
2025
13
22
9
103
103
2026
14
23
7
86
86
2027
16
22
7
30
30
2028
18
23
7
14
14
2029 and thereafter
81
7
79
13
13
Weighted average duration (years)
6.8
13.6
10.8
2.3
2.3
335
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
December 31,
2024
December 31,
2023
Deferred tax liabilities before offsetting
8,724
8,461
Deferred tax assets available for offset
(3,143)
(3,759)
Deferred tax liabilities
5,581
4,702
Deferred tax assets before offsetting (net of accumulated write-down provisions)
9,465
8,241
Deferred tax liabilities available for offset
(3,143)
(3,759)
Deferred tax assets
6,322
4,482
(€ million)
December 31,
2024
December 31,
2023
Deferred tax liabilities
Accelerated tax depreciation
5,755
6,028
Difference between the fair value and the carrying amount of assets acquired
858
305
Site restoration and abandonment (tangible assets)
368
265
Leasing
354
150
Derivative financial instruments
44
451
Application of the weighted average cost method in evaluation of inventories
20
47
Other
1,325
1,215
8,724
8,461
Deferred tax assets, gross
Carry-forward tax losses
(5,018)
(5,677)
Site restoration and abandonment (provisions for contingencies)
(2,148)
(1,802)
Timing differences on depreciation and amortization
(1,847)
(1,567)
Accruals for impairment losses and provisions for contingencies
(1,432)
(1,279)
Impairment losses
(1,320)
(1,517)
Derivative financial instruments
(352)
(236)
Leasing
(338)
(198)
Employee benefits
(151)
(168)
Over/Under lifting
(120)
(124)
Unrealized intercompany profits
(77)
(57)
Other
(1,313)
(1,284)
(14,116)
(13,909)
Accumulated write-downs of deferred tax assets
4,651
5,668
Deferred tax assets, net
(9,465)
(8,241)
23 Deferred tax assets and liabilities
The most significant temporary differences giving rise to net deferred tax assets and liabilities are disclosed below:
ENI ANNUAL REPORT 2024
336
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Deferred tax
liabilities before
offsetting
Deferred tax assets
before offsetting,
gross
Accumulated
write-downs of
deferred tax assets
Accumulated
write-downs of
deferred tax assets
2024
Carrying amount - beginning of the year
8,461
(13,909)
5,668
(8,241)
Additions
946
(1,862)
457
(1,405)
Deductions
(1,042)
2,176
(1,663)
513
Changes with effect to OCI
(351)
92
92
Currency translation differences
484
(384)
121
(263)
Change in scope of consolidation
193
156
(168)
(12)
Other changes
33
(385)
236
(149)
Carrying amount - end of the year
8,724
(14,116)
4,651
(9,465)
2024
Carrying amount - beginning of the year
9,315
(14,960)
6,170
(8,790)
Additions
654
(2,161)
639
(1,522)
Deductions
(1,099)
2,565
(861)
1,704
Changes with effect to OCI
(69)
223
223
Currency translation differences
(247)
213
(68)
145
Change in scope of consolidation
348
(183)
13
(170)
Other changes
(441)
394
(225)
169
Carrying amount - end of the year
8,461
(13,909)
5,668
(8,241)
The following table summarizes the changes in deferred tax liabilities and assets:
Changes in the scope of consolidation referred to the acquisition
of the Neptune Energy group for €914 million of deferred tax
liabilities and €732 million of deferred tax assets and, in decrease,
to the business combination with Ithaca Energy Plc of deferred
tax liabilities for €726 million and of deferred tax assets for €723
million.
Carry-forward tax losses amounted to €19,668 million, of which
€15,759 million can be carried forward indefinitely. Carry-forward tax
losses were €10,362 million at Italian subsidiaries and €9,306 million
at foreign subsidiaries. Deferred tax assets gross of accumulated
write-downs recognized on these losses amounted to €2,487 million
and €2,531 million, respectively.
The Italian tax law allows the carry-forward of tax losses indefinitely.
Foreign tax laws generally allow the carry-forward of tax losses
over a period longer than five years, and in many cases, indefinitely.
A tax rate of 24% was applied to tax losses of Italian subsidiaries
to determine the portion of the carry-forwards tax losses. The
corresponding average rate for foreign subsidiaries was 27.2%.
Accumulated write-downs of deferred tax assets related to Italian
companies for €2,407 million and non-Italian companies for €2,244
million.
Deferred tax assets of Italian companies of €1,518 million were
restored in relation to an expected higher taxable income.
Taxes are also described in note 33 - Income taxes.
337
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2024
December 31, 2023
(€ million)
Fair value
asset
Fair value
liability
Level of
Fair value
Fair value
asset
Fair value
liability
Level of
Fair value
Non-hedging derivatives
Derivatives on exchange rate
- Currency swap
233
33
2
70
168
2
- Interest currency swap
125
2
84
2
- Outright
3
24
2
236
182
70
252
Derivatives on interest rate
- Interest rate swap
20
27
2
62
34
2
20
27
62
34
Derivatives on commodities
- Over the counter
632
923
2
2,902
2,103
2
- Future
1,429
1,538
1
3,027
2,905
1
- Options
61
111
2
106
114
2
- Other
8
2
11
2
2,122
2,580
6,046
5,122
2,378
2,789
6,178
5,408
Fair value hedge derivatives
Derivatives on interest rate
- Interest rate swap
42
2
42
Derivatives on exchange rate
- Outright
2
1
2
44
Cash flow hedge derivatives
Derivatives on commodities
- Over the counter
20
335
80
13
2
- Future
28
421
2
48
756
1
80
13
Derivatives on interest rate
- Interest rate swap
6
1
6
48
756
86
13
Options
- Other options
37
41
2
37
2
41
Gross amount
2,470
3,582
6,264
5,462
Offsetting
(1,508)
(1,508)
(2,895)
(2,895)
Net amount
962
2,074
3,369
2,567
Of which:
- current
874
1,921
3,323
2,414
- non-current
88
153
46
153
- non-current
88
153
46
153
24 Derivative financial instruments and hedge accounting
ENI ANNUAL REPORT 2024
338
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2024
December 31, 2023
(€ million)
Nominal
amount of the
hedging
instrument
Change
in fair value
(effective
hedge)
Change
in fair value
(ineffective
hedge)
Nominal
amount of the
hedging
instrument
Change
in fair value
(effective
hedge)
Change
in fair value
(ineffective
hedge)
Cash flow hedge derivatives
Derivatives on commodity
- Over the counter
1,753
(524)
13
310
147
6
- Future
3,375
(499)
13
(23)
5,128
(1,023)
26
310
124
6
Other cash flow derivatives
- Other
348
(12)
128
(19)
348
(12)
128
(19)
5,476
(1,035)
26
438
105
6
Fair value hedge derivatives
Derivatives on exchange rate
- Outright
43
2
43
2
Derivatives on interest rate
- Interest rate swap
1,981
42
1
1,981
42
1
2,024
44
1
Eni is exposed to market risk, which is the risk that changes in prices
of energy commodities, exchange rates and interest rates could
reduce the future cash flows of highly probable future transactions or
the fair value of the assets. Eni enters into financial and commodities
derivatives traded on organized markets (like MTF and OTF) and into
commodities derivatives traded over the counter (swaps, forward,
contracts for differences and options on commodities) to reduce the
market risk and, currencies or interest rates and, to a limited extent in
compliance with internal authorization thresholds, with speculative
purposes to profit from expected market trends.
Derivatives fair values were estimated based on market quotations
provided by primary info-provider or, alternatively, appropriate
valuation techniques generally adopted in the marketplace.
Fair-valued non-hedging derivatives mainly comprised forward sale
contracts of natural gas for physical delivery which were not entitled
to the own use exemption, as well as derivatives for proprietary
trading activities.
Fair-valued cash flow hedges mainly related to commodity hedges
and were entered into by the Global Gas & LNG Portfolio business
line to hedge variability in future cash flows associated with highly
probable future trade transactions of gas or electricity or on already
contracted trades due to different indexation mechanisms of supply
costs versus selling prices. A similar scheme applies to exchange
rate hedging derivatives. The existence of a relationship between
the hedged item and the hedging derivative is checked at inception
to verify eligibility for hedge accounting by observing the offset in
changes of the fair values at both the underlying commodity and the
derivative. The hedging relationship is also stress-tested against the
level of credit risk of the counterparty in the derivative transaction.
The hedge ratio is defined consistently with the Company’s risk
management objectives, under a defined risk management strategy.
The hedging relationship is discontinued when it ceases to meet the
qualifying criteria and the risk management objectives on the basis
of which hedge accounting has initially been applied.
The effects of the measurement at fair value of cash flow hedge
derivatives are given in note 26 - Equity. Information on hedged
risks, the hedging policies are disclosed in note 28 - Guarantees,
commitments and risks - Risk factors.
Eni entered into sustainability-linked interest rate swaps with leading
banking institutions which provide for a cost adjustment mechanism
linked to the achievement of certain sustainability targets. At
December 31, 2024, the fair value of these contracts amounted to
positive €1 million.
In 2024, the exposure to the exchange rate risk deriving from
securities denominated in US dollars included in the strategic
liquidity portfolio amounting to €2,077 million was hedged by using,
in a fair value hedge relationship, negative exchange differences
for €133 million resulting on a portion of bonds denominated in US
dollars amounting to €2,273 million.
The offsetting of financial derivatives primarily related to Eni Global
Energy Markets SpA.
During 2024, there were no transfers between the different hierarchy
levels of fair value.
Hedging derivative instruments are disclosed below:
339
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
2024
2023
2022
Net income (loss) on cash flow hedging derivatives
26
6
275
Net income (loss) on other derivatives
(378)
472
(2,011)
(352)
478
(1,736)
December 31, 2024
December 31, 2023
(€ million)
Change of the
underlying
item used for
the calculation
of hedging
ineffectiveness
CFH reserve
Reclassification
adjustments
Change of the
underlying
item used for
the calculation
of hedging
ineffectiveness
CFH reserve
Reclassification
adjustments
Cash flow hedge derivatives
Commodity price risk
- Planned sales
1,023
(850)
(123)
(169)
56
(436)
1,023
(850)
(123)
(169)
56
(436)
Other cash flow derivatives
- hedged flows
12
(12)
(19)
(6)
12
(12)
(19)
(6)
December 31, 2024
(€ million)
Nominal amount
of the underlying
item
Cumulative
changes of the
underlying item
Change of the
underlying item
Fair value hedge derivatives
Derivatives on exchange rate
- Investments
43
(2)
(2)
Derivatives on interest rate
- Financial liabilities
2,066
44
44
The breakdown of the underlying asset or liability by type of risk hedged under cash flow hedge and fair value hedge is provided below:
More information is reported in note 28 - Guarantees, Commitments and Risks - Financial risks.
Other operating profit (loss) related to derivative financial instruments on commodity was as follows:
EFFECTS RECOGNIZED IN OTHER OPERATING PROFIT (LOSS)
Net income (loss) on cash flow hedging derivatives related to
the ineffective portion of the hedging relationship on commodity
derivatives was recognized through profit and loss.
Net income (loss) on other derivatives included the fair value
measurement and settlement of commodity derivatives which could
not be elected for hedge accounting under IFRS because they related
to net exposure to commodity risk and derivatives for trading purposes
and proprietary trading.
ENI ANNUAL REPORT 2024
340
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Profit (Loss)
Equity
(€ million)
2024
2023
December 31,
2024
December 31
2023,
Eni Marine Services SpA
1,924
2024
Eni Plenitude Group
54
3
491
54
EniPower Group
85
86
446
406
Others
1
2
140
89
2,863
460
26 Equity
25 Assets held for sale and liabilities directly associated with assets held for sale
Net finance income from derivative financial instruments was
recognized in connection with the fair value valuation of certain
derivatives which lacked the formal criteria to be treated in accordance
with hedge accounting under IFRS, as they were entered into for
amounts equal to the net exposure to exchange rate risk and interest
rate risk, and as such, they cannot be referred to specific trade or
financing transactions. Exchange rate derivatives were entered into
in order to manage exposures to foreign currency exchange rates
arising from the pricing indexation of energy commodities.
More information is disclosed in note 36 – Transactions with related
parties.
As of December 31, 2024, assets held for sale of €420 million (€2,609
million at 31 December, 2023) and directly associated liabilities of
€195 million (€1,862 million at 31 December, 2023) mainly concerned
oil assets in Congo, which book value was aligned to the expected
fair value, amounting to €417 million (of which current assets €28
million) and €195 million (of which current liabilities €3 million),
respectively.
During 2024, assets reclassified as held for sale in the 2023 relating to
some oil permits in Congo and onshore assets in Nigeria were sold (see
note 5 - Business combinations and other significant transactions).
In March 2024, Eni Plenitude SpA Società Benefit (Plenitude) and
Energy Infrastructure Partners (EIP) closed an investment agreement,
with EIP acquiring a non-controlling interest in Plenitude through a
capital increase of €588 million. This amount corresponds to 7.6% of
Plenitude’s share capital, with an underlying equity book value of €392
million.
Minority interests in Eni Marine Services SpA related to a perpetual
subordinated bonds issued in US dollars to finance a Group’s major
capital project. The perpetual subordinated bond was recognized
among minority interests in consideration of the Group’s unconditional
right to avoid transferring cash or other financial assets to the
bondholders.
NON-CONTROLLING INTEREST
EFFECTS RECOGNIZED IN FINANCE INCOME (LOSS)
(€ million)
2024
2023
2022
Derivatives on exchange rate
310
(63)
(70)
Derivatives on interest rate
(32)
2
81
Options
2
278
(61)
13
341
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
SHARE CAPITAL
As of December 31, 2024, the parent company’s issued share capital
consisted of €4,005,358,876 (same amount as of December 31,
2023) represented by 3,284,490,525 ordinary shares without nominal
value (3,375,937,893 ordinary shares at December 31, 2023).
On May 15, 2024, Eni’s Shareholders’ Meeting resolved: (i) to
distribute available reserves by way of and in place of the payment
of the dividend for the year 2024 of €1 per share in four tranches
(for an amount equal to €0.25 per share), in September 2024,
November 2024, March 2025 and May 2025; (ii) to authorize the
Board of Directors pursuant to and for the purposes of Art. 2357 of
the Italian Civil Code to proceed with the purchase of shares of the
Company, in multiple tranches, for a period up to April 30, 2025, in a
maximum number of shares to be purchased equal to 328,000,000
ordinary shares for a total outlay of up to €3.5 billion, of which: (a) up
to a maximum of 321,600,000 shares for the purpose of returning
cash to shareholders; (b) up to a maximum of 6,400,000 shares
to constitute a share provision for the 2024-2026 Employee Stock
Ownership Plan; (iii) to authorize the Board of Directors to cancel up
to a maximum of 321,600,000 treasury shares which will eventually
be acquired based on the shareholders’ authorization of the previous
point. In execution of these resolutions, as of December 31, 2024,
117,927,640 treasury shares have been acquired for a total value of
€1,639 million.
CUMULATIVE FOREIGN CURRENCY
TRANSLATION DIFFERENCES
The cumulative foreign currency translation differences arose from
the translation of financial statements denominated in currencies
other than euro.
PERPETUAL SUBORDINATED HYBRID BONDS
The hybrid bonds are governed by the English law and are traded
on the regulated market of the Luxembourg Stock Exchange. As
of December 31, 2024, hybrid bonds amounted to €5 billion (same
amount as at December 31, 2023).
The key characteristics of the hybrid bonds are: (i) an issue of €1.5 billion
perpetual 5.25-year subordinated non-call hybrid notes with a re-offer
price of 99.403% and an annual fixed coupon of 2.625% until the first reset
date of January 13, 2026. As from such date, unless it has been redeemed
in whole on or before the first reset date, which is the last day for the first
optional redemption, the bond will bear interest per annum determined
according to the relevant 5-year Euro Mid Swap rate plus an initial spread
of 316.7 basis points, increased by an additional 25 basis points as from
January 13, 2031 and a subsequent increase of additional 75 basis
points as from January 13, 2046; (ii) an issue of €1.5 billion perpetual
9-year subordinated non-call hybrid notes with a re-offer price of 100%
and an annual fixed coupon of 3.375% until the first reset date of October
13, 2029. As from such date, unless it has been redeemed in whole on
or before the first reset date, which is the last day for the first optional
redemption, the bond will bear interest per annum determined according
to the relevant 5-year Euro Mid Swap rate plus an initial spread of 364.1
basis points, increased by additional 25 basis points as from October 13,
2034 and a subsequent increase of additional 75 basis points as from
October 13, 2049; (iii) an issue of €1 billion perpetual 6-year subordinated
non-call hybrid notes with a re-offer price of 100% and an annual fixed
coupon of 2.000% until the first reset date of May 11, 2027. As from such
date, unless it has been redeemed in whole on or before the first reset
date, which is the last day for the first optional redemption, the bond will
bear interest per annum determined according to the relevant 5-year
Euro Mid Swap rate plus an initial spread of 220.4 basis points, increased
(€ million)
December 31,
2024
December 31,
2023
Share capital
4,005
4,005
Retained earnings
32,552
32,988
Cumulative currency translation differences
8,081
5,238
Other reserves and equity instruments:
- Perpetual subordinated bonds
5,000
5,000
- Legal reserve
959
959
- Reserve for treasury shares
2,883
2,333
- Reserve for OCI on cash flow hedging derivatives net of tax effect
(612)
36
- Reserve for OCI on defined benefit plans net of tax effect
(91)
(88)
- Reserve for OCI on equity-accounted investments
28
98
- Reserve for OCI on other investments valued at fair value
160
98
- Reserve for convertible bond issue
79
79
Treasury shares
(2,883)
(2,333)
Profit for the year
2,624
4,771
52,785
53,184
EQUITY ATTRIBUTABLE TO EQUITY HOLDERS OF ENI
ENI ANNUAL REPORT 2024
342
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
RESERVES FOR OTHER COMPREHENSIVE INCOME
Reserve for OCI on cash flow
hedge derivatives
Reserve for OCI on
defined benefit plans
Reserve for
OCI on equity-
accounted
investments(a)
Reserve for
OCI on
investments
valued at
fair value
(€ million)
Gross
reserve
Deferred
tax
liabilities
Net
reserve
Gross
reserve
Deferred
tax
liabilities
Net
reserve
Reserve as of December 31, 2023
50
(14)
36
(94)
6
(88)
98
98
Changes of the year
(1,034)
299
(735)
8
(4)
4
(70)
62
Currency translation differences
(5)
3
(2)
Changes in scope of consolidation
(30)
25
(5)
Reclassification adjustments
123
(36)
87
Reserve as of December 31, 2024
(861)
249
(612)
(121)
30
(91)
28
160
Reserve as of December 31, 2022
(483)
141
(342)
(20)
(38)
(58)
46
53
Changes of the year
105
(32)
73
(31)
10
(21)
52
45
Currency translation differences
(43)
34
(9)
Reversal to inventories adjustments
(8)
3
(5)
Reclassification adjustments
436
(126)
310
Reserve as of December 31, 2023
50
(14)
36
(94)
6
(88)
98
98
(a) Reserve for OCI on equity-accounted investments at December 31, 2024 includes €1 million relating to defined benefit plans (negative for €1 million at December 31, 2023).
by additional 25 basis points as from May 11, 2032 and a subsequent
increase of additional 75 basis points as from May 11, 2047; (iv) an issue
of €1 billion perpetual 9-year subordinated non-call hybrid notes with a
re-offer price of 99.607% and an annual fixed coupon of 2.750% until the
first reset date of May 11, 2030. As from such date, unless it has been
redeemed in whole on or before the first reset date, which is the last day
for the first optional redemption, the bond will bear interest per annum
determined according to the relevant 5-year Euro Mid Swap rate plus an
initial spread of 277.1 basis points, increased by additional 25 basis points
as from May 11, 2035 and a subsequent increase of additional 75 basis
points as from May 11, 2050.
LEGAL RESERVE
This reserve represents earnings restricted from the payment of
dividends pursuant to Article 2430 of the Italian Civil Code. The legal
reserve has reached the maximum amount required by the Italian
Law.
RESERVE FOR TREASURY SHARES
The reserve for treasury shares represents the reserve that was
established in previous reporting periods to repurchase the Company
shares in accordance with resolutions at Eni’s Shareholders’
Meetings.
TREASURY SHARES
A total of 203,137,967 of Eni’s ordinary shares (157,115,336 at
December 31, 2023) were held in treasury for a total cost of €2,883
million (€2,333 million at December 31, 2023).
During 2024, 142,480,744 shares were acquired, for a total value of
€2,003 million, as part of the completion of the 2023 buy-back plan
and the execution of the €2 billion 2024 program 80% completed
at the balance sheet date, in compliance with the shareholders’
authorizations; 91,447,368 treasury shares have been cancelled for
a total value of €1,375 million and 1,908,045 treasury shares were
assigned free of charge to Eni managers, following the conclusion
of the Vesting Period as required by the “Long-Term Monetary
Incentive Plan 2020-2022” approved by Eni’s Shareholders’ Meeting
of May 15, 2024.
DISTRIBUTABLE RESERVES
As of December 31, 2024, equity attributable to Eni included
distributable reserves of approximately €43 billion.
343
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Profit
Shareholders’ equity
(€ million)
2024
2023
December
31, 2024
December 31,
2023
As recorded in Eni SpA's Financial Statements
6,419
3,272
50,735
51,019
Excess of net equity stated in the separate accounts of consolidated subsidiaries over the corresponding carrying
amounts of the parent company
(2,029)
3,202
4,338
(814)
Consolidation adjustments:
- difference between purchase cost and underlying carrying amounts of net equity
153
153
- adjustments to comply with Group accounting policies
(1,722)
(2,266)
1,240
3,774
- elimination of unrealized intercompany profits
(80)
86
(537)
(437)
- deferred taxation
176
566
(281)
(51)
2,764
4,860
55,648
53,644
Non-controlling interest
(140)
(89)
(2,863)
(460)
As recorded in Consolidated Financial Statements
2,624
4,771
52,785
53,184
RECONCILIATION OF PROFIT AND EQUITY OF THE PARENT COMPANY ENI SPA
TO THE CONSOLIDATED PROFIT AND EQUITY
(€ million)
2024
2023
2022
Investment in consolidated subsidiaries and businesses
Current assets
486
408
147
Non-current assets
3,863
1,985
1,981
Net borrowings
(468)
(91)
(541)
Current and non-current liabilities
(1,825)
(622)
(366)
Net effect of investments
2,056
1,680
1,221
Goodwill
33
25
482
Fair value of investments held before the acquisition of control
(28)
(271)
(21)
Non-controlling interests
(1)
(2)
(15)
Purchase price
2,060
1,432
1,667
less:
Cash and cash equivalents acquired
(265)
(155)
(31)
Consolidated subsidiaries and businesses net of cash and cash equivalent acquired
1,795
1,277
1,636
Disposal of consolidated subsidiaries and businesses
Current assets
802
130
1,377
Non-current assets
2,695
153
8,618
Net borrowings
101
180
(2,085)
Current and non-current liabilities
(2,267)
(124)
(2,351)
Net effect of disposals
1,331
339
5,559
Current value of the stake held for business combinations
(788)
(580)
(5,726)
Reclassification among other items of OCI
(7)
(918)
Gain on disposal of business combinations
379
427
2,704
Fair value of share capital held after the sale of control
118
414
Credits for divestments
(173)
(1,609)
Selling price
1,040
420
10
less:
Cash and cash equivalents sold
(153)
(25)
(70)
Consolidated subsidiaries and businesses net of cash and cash equivalent disposed of before business combination
887
395
(60)
SUPPLEMENTAL CASH FLOW INFORMATION
27 Other information
Investments and disposals in 2024 are disclosed in note 5 - Business combinations and other significant transactions.
ENI ANNUAL REPORT 2024
344
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
BUSINESS COMBINATIONS AND OTHER SIGNIFICANT TRANSACTIONS
The provisional and definitive price allocation of the net assets acquired in 2023 is shown below:
(€ million)
HLS Bonete PV SLU e HLS
Bonete Topco SLU
(Provisional allocation)
HLS Bonete PV SLU e
HLS Bonete Topco SLU
(Definitive allocation)
Novamont SpA
(Provisional allocation)
Novamont SpA
(Definitive allocation)
Current assets
2
2
195
195
Property, plant and equipment
70
70
255
255
Goodwill
6
8
19
24
Current and non-current assets
37
35
557
552
Cash and cash equivalent (Net borrowings)
18
18
(207)
(207)
Current and non-current liabilities
(15)
(15)
(188)
(188)
Total purchase price
118
118
631
631
Following the definitive allocation of the 2023 business combinations, financial statements were not restated taking into account the
immateriality of the changes.
345
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
In the ordinary course of business, Eni issues guarantees on behalf
of non-consolidated companies (joint ventures or associates)
in relation to the fulfillment of contractual obligations, mainly
autonomous contracts to guarantee the correct execution of works,
participation in tenders and other commitments of companies
relating to the Exploration & Production segment, as well as parent
company guarantees to banks and financial institutions funding
those non-consolidated entities in relation to the execution of
capital projects in the interest of the Group (for example, projects
for the development of reserves in the offshore Mozambique).
Some guarantees have been issued to governments and state
entities with the aim of insuring the counterparty against possible
environmental damages or in relation to negligent conducts in the
development of oil projects or failure to comply with contractual
provisions. In case of guarantees for environmental damages or
similar contractual breaches which do not provide a cap, the value
Commitments related to: (i) parent company guarantees that were
issued in connection with certain contractual commitments for
hydrocarbon exploration and production activities and quantified,
based on the capital expenditures to be incurred, to be €79,858
million (€73,615 million at December 31, 2023); (ii) a parent company
guarantee of €3,849 million (€3,619 million at December 31, 2023)
issued on behalf of Eni Abu Dhabi Refining & Trading BV following
the Share Purchase Agreement to acquire from Abu Dhabi National
Oil Company (ADNOC) a 20% equity interest in ADNOC Refining and
the set-up of the joint venture ADNOC Global Trading Ltd dedicated
to marketing petroleum products. The parent company guarantee
will remain in force as long as the investment is maintained; (iii)
commitments in the Plenitude business line for the purchase of
renewable energy projects in United States, Italy, Norway and Spain
for €246 million (€107 million at December 31, 2023).
Risks related to: (i) assets of third parties under custody of Eni for
€772 million (€879 million at December 31, 2023); (ii) contractual
assurances given to acquirers of certain investments and businesses
of Eni for €264 million (€250 million at December 31, 2023).
OTHER COMMITMENTS AND RISKS
Other commitments include the agreements entered into for forestry
initiatives, implemented within the low carbon strategy defined by the
Company, concerning the commitments for the purchase until 2038
of carbon credits produced and certified according to international
standards by subjects specialized in forest conservation programs.
In addition, Eni is exposed to non-quantifiable risks related to
contractual guarantees issued in case of certain Eni transactions,
including loss of control of subsidiaries and divestment of
businesses and investments, against certain contingent liabilities
reported reflects the management’s best estimate of potential
maximum exposure. In case management would be unable to
estimate the maximum amount of potential future payments,
the adverse event is deemed to have only a remote possibility
of occurrence or a negligible impact (as the case of the parent
company guarantee issued on behalf of the jointly controlled entity
Cardón IV in the event of a default on the supply of equity gas to the
national oil company of Venezuela.
At December 31, 2024, the underlying commitment relating to the
guarantees issued was €5,790 million (€6,373 million at December
31, 2023), which takes into account the progress of the activities and
the repaid obligations.
Also on the basis of historical experience, management considers
reasonably probable that such guarantees will not have significant
effects on the economic results and cash flows of the consolidated
financial statements.
28 Guarantees, commitments and risks
GUARANTEES
COMMITMENTS AND RISKS
(€ million)
December 31,
2024
December 31,
2023
Joint ventures
9,063
9,226
Associates
165
68
Others
424
398
9,652
9,692
(€ million)
December 31,
2024
December 31,
2023
Commitments
84,129
79,513
Risks
1,046
1,140
85,175
80,653
ENI ANNUAL REPORT 2024
346
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
deriving from tax, social security contributions, environmental issues
and other matters applicable to periods during which such assets
were operated by Eni or as result of Eni’s loss of control of formerly
consolidated subsidiaries. Eni believes such matters will not have a
material adverse effect on Eni’s results of operations and cash flow.
Eni has in place long-term natural gas supply contracts with the
Russian company Gazprom. During 2024 supplies to Eni, which
has regularly recognized the minimum contractual quantities, were
effectively reduced to zero as part of various trade disputes between
the parties. Eni, having fulfilled its contractual commitments, expects
this situation to continue in 2025 also considering that the external
context has not undergone any changes. In many jurisdictions,
when a seller is divesting an oil&gas asset, decommissioning
obligations relating to the assets sold could revert to the seller in the
event the buyer fails to perform and satisfy those obligations when
they become due. This contingency applies to Eni’s divestment of
petroleum properties in Alaska to Hilcorp. In the case of the business
combination with Ithaca, this kind of contingency is estimated to be
remote considering the liquidity of the acquirer. In the divestment of
the NAOC subsidiary, Eni has been relieved of any decommissioning
or other environmental liabilities also in connection with obligations
arisen before the disposal.
Risk factors
The following is the description of financial risks and their
management. With reference to the issues related to credit risk, the
parameters adopted for the determination of Expected Credit Loss
have been updated to take into account the current energy crisis
and the impacts associated with the conflicts between Russia and
Ukraine and in the Middle East.
As of December 31, 2024, the Company retains liquidity reserves
that management deems enough to meet the financial obligations
due in the next eighteen months.
Financial risks
Financial risks are managed in respect of the guidelines issued by
the Board of Directors of Eni SpA in its role of directing and setting
the risk limits, targeting to align and centrally coordinate Group
companies’ policies on financial risks (“Guidelines on financial
risks management and control”). The “Guidelines” define for each
financial risk the key components of the management and control
process, such as the target of the risk management, the valuation
methodology, the structure of limits, the relationship model and the
hedging and mitigation instruments.
Market risk
Market risk is the possibility that changes in currency exchange
rates, interest rates or commodity prices will adversely affect the
value of the Group’s financial assets, liabilities or expected cash
flows. The Company actively manages market risk in accordance
with the aforementioned guidelines that provide a centralized
model of handling finance, treasury and risk management
transactions based on the Company’s departments of operational
finance: the parent company’s (Eni SpA) finance department
and Banque Eni SA, which is subject to certain bank regulatory
restrictions preventing the Group’s exposure to concentrations of
credit risk, as well as Eni Trade & Biofuels SpA and Eni Global Energy
Markets SpA that are in charge to execute certain activities relating
to commodity derivatives. In particular, Eni Corporate finance
department manages Eni subsidiaries’ financing requirements,
covering funding requirements and using available surpluses and
the transactions concerning currencies and financial derivatives
different from commodities of Eni, while Eni Trade & Biofuels
SpA and Eni Global Energy Markets SpA execute the negotiation
of commodity derivatives over the market. Eni SpA, Eni Trade &
Biofuels SpA and Eni Global Energy Markets SpA (also through the
subsidiary Eni Trading & Shipping Inc) perform trading activities in
financial derivatives on external trading venues, such as European
and non-European regulated markets, Multilateral Trading Facility
(MTF), Organized Trading Facility (OTF), or similar brokerage
platforms (i.e. SEF), as well as over the counter on a bilateral basis
with external counterparties. Other legal entities belonging to Eni
that require financial derivatives enter into these transactions
through Eni Trade & Biofuels SpA, Eni Global Energy Markets SpA
and Eni SpA based on the relevant asset class expertise. Eni uses
derivative financial instruments in order to minimize exposure to
market risks related to transactional exchange rates and interest
rates, as well as to optimize exposure to commodity prices risk
taking into account the currency in which commodities are
quoted. Eni monitors that every activity in derivatives classified as
risk-reducing is directly or indirectly related to covered industrial
assets, so as to effectively optimize the risk profile to which Eni
is exposed or could be exposed. If the result of the monitoring
shows those derivatives should not be considered as risk
reducing, these derivatives are reclassified in proprietary trading.
As proprietary trading is considered separately from the other
activities in specific portfolios of Eni Trade & Biofuels SpA and Eni
Global Energy Markets SpA, their exposure is subject to specific
controls, both in terms of Value at Risk (VaR) and stop loss and
in terms of nominal gross value. For Eni, the gross nominal value
of proprietary trading activities is compared with the limits set by
the relevant international standards. The framework defined by
Eni’s guidelines provides that the valuation and control of market
risk is performed on the basis of maximum tolerable levels of risk
exposure defined in terms of limits of stop loss, which expresses
the maximum tolerable amount of losses associated with a certain
portfolio of assets over a pre-defined time horizon, and limits
of strategy revision, which consist in the triggering of a revision
process of the strategy in the event of exceeding the level of profit
and loss given and VaR, which measures the maximum potential
loss of the portfolio, given a certain confidence level and holding
period, assuming adverse changes in market variables and taking
347
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into account the correlation among the different positions held
in the portfolio. Eni’s finance department defines the maximum
tolerable levels of risk exposure to changes in interest rates and
foreign currency exchange rates in terms of VaR, pooling Group
companies’ risk positions maximizing, when possible, the benefits
of the netting activity. Eni’s calculation and valuation techniques are
in accordance with banking standards, as established by the Basel
Committee for bank activities surveillance. Tolerable levels of risk
are based on a conservative approach, considering the industrial
nature of the Company. Eni’s guidelines prescribe that Eni Group
companies minimize such kind of market risks by transferring
risk exposure to the parent company finance departments. Eni’s
guidelines define rules to manage the commodity price risk
aiming at optimizing core activities and pursuing preset targets
of stabilizing industrial and commercial margins. The maximum
tolerable level of risk exposure is defined in terms of VaR, limits
of strategy revision, stop loss and volumes in connection with
exposure deriving from commercial activities, as well as exposure
deriving from proprietary trading, exclusively managed by Eni
Trade & Biofuels SpA and Eni Global Energy Markets SpA. Internal
mandates to manage the commodity price risk provide for a
mechanism of allocation of the Group’s maximum tolerable risk
level to each business unit. In this framework, Eni Trade & Biofuels
SpA and Eni Global Energy Markets SpA, in addition to managing
risk exposure associated with their own commercial activity and
proprietary trading, pool the requests for negotiating commodity
derivatives and execute them in the marketplace.
According to the targets of financial structure included in the
financial plan approved by the Board of Directors, Eni decided to
retain a cash reserve in which the amount of strategic liquidity
is identified, to allow for any extraordinary needs to be met. The
reserve is managed by Eni’s finance department, with the aim
of optimizing performance while ensuring maximum protection
of capital and its immediate liquidity within the limits assigned.
The management of strategic liquidity is part of the asset
management pursued through transactions on own risk in view of
optimizing financial returns, while respecting authorized risk levels,
safeguarding the Company’s assets and retaining quick access to
liquidity. The four different market risks, whose management and
control have been summarized above, are described below.
Market risk - Exchange rate
Exchange rate risk derives from the fact that Eni’s operations
are conducted in currencies other than euro (mainly US dollar).
Revenues and expenses denominated in foreign currencies
may be significantly affected by exchange rate fluctuations
due to conversion differences on single transactions arising
from the time lag existing between execution and definition of
relevant contractual terms (economic risk) and conversion of
foreign currency-denominated trade and financing payables and
receivables (transactional risk). Exchange rate fluctuations affect
the Group’s reported results and net equity as financial statements
of subsidiaries denominated in currencies other than euro are
translated from their functional currency into euro. Generally, an
appreciation of US dollar versus euro has a positive impact on Eni’s
results of operations, and vice versa. Eni’s foreign exchange risk
management policy is to minimize transactional exposures arising
from foreign currency movements and to optimize exposures
arising from commodity risk. Eni does not undertake any hedging
activity for risks deriving from the translation of foreign currency
denominated profits or assets and liabilities of subsidiaries, which
prepare financial statements in a currency other than euro, except
for single transactions to be evaluated on a case-by-case basis.
Effective management of exchange rate risk is performed within
Eni’s finance departments, which pool Group companies’ positions,
offsetting the exposures of opposite sign arising from business
activities involved and hedging the residual exposure in the market,
maximizing the benefits of the netting activity. To manage the residual
exposure, the guidelines admit different derivatives, such as swaps,
forwards and options. Such derivatives are evaluated at fair value
based on standard market valuation algorithms and market prices
provided by specialized public info-providers. The VaR techniques
are based on variance/covariance simulation models and are used
to monitor the risk exposure arising from possible future changes in
market values over a 24-hour period within a 99% confidence level
and a 1-day holding period.
Market risk - Interest rate
Changes in interest rates affect the market value of financial assets
and liabilities of the Company valued at fair value and the level of
finance expense and income. Eni’s interest rate risk management
policy is to minimize risk with the aim to achieve financial structure
objectives defined and approved in management’s “Finance
plan”. Eni’s finance departments pool borrowing requirements of
the Group companies in order to manage net positions and fund
portfolio developments consistent with the finance plan, thereby
maintaining a level of risk exposure within prescribed limits. Eni
enters into interest rate derivative transactions to effectively
manage the balance between fixed and floating rate debt. Such
derivatives are evaluated at fair value based on market prices
provided from specialized sources. VaR deriving from interest rate
exposure is measured daily based on a variance/covariance model,
with a 99% confidence level and a 1-day holding period.
Market risk - Commodity
Price risk of commodities is identified as the possibility that
fluctuations in the price of materials and basic products produce
significant changes in Eni’s operating margins, determining an
impact on the economic result such as to compromise the targets
defined in the four-year plan and in the budget. The commodity
price risk arises in connection with the following exposures: (i)
ENI ANNUAL REPORT 2024
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strategic exposure: exposures directly identified by the Board of
Directors as a result of strategic investment decisions or outside
the planning horizon of risk management. These exposures include,
for example, exposures associated with the program for the
production of oil&gas reserves, long-term gas supply contracts for
the portion not balanced by sales contracts (already stipulated or
expected), the margin deriving from the chemical transformation
process, the refining margin and long-term storage functional to
the logistic-industrial activities; (ii) commercial exposure: concerns
the exposures related to components underlying the contractual
arrangements of industrial and commercial (contracted exposure)
activities normally related to the time horizon of the four-year
plan and budget, components not yet under contract but which
will be with reasonable certainty (commitment exposure) and the
related activities of risk management. Commercial exposures are
characterized by a systematic risk management activity conducted
based on risk/return assumptions by implementing one or more
strategies and subjected to specific risk limits (VaR, revision strategy
limits and stop loss). In particular, the commercial exposures include
exposures subjected to asset-backed hedging activities, arising from
the flexibility/optionality of assets; (iii) proprietary trading exposure:
transactions carried out autonomously for speculative purposes in
the short term and normally not aimed at delivery with the intention
of exploiting favorable price movements, spreads and/or volatility
implemented autonomously and carried out regardless of the
exposures of the commercial portfolio or physical and contractual
assets. They are usually carried out in the short term, not necessarily
aimed at the delivery and carried out by using financial or similar
instruments in accordance with specific limits of authorized risk
(VaR, stop loss). Strategic risk is not subject to systematic activity of
management/hedging that is eventually carried out only in case of
specific market or business conditions. Because of the extraordinary
nature, hedging activities related to strategic risks are delegated to
the top management, previously authorized by the Board of Directors.
With prior authorization from the Board of Directors, the exposures
related to strategic risk can be used in combination with other
commercial exposures in order to exploit opportunities for natural
compensation between the risks (natural hedge) and consequently
reduce the use of financial derivatives (by activating logics of internal
market). With regard to exposures of a commercial nature, Eni’s risk
management target is to optimize the “core” activities and preserve
the economic/financial results. Eni manages the commodity price
risk through the trading units (Eni Trade & Biofuels SpA and Eni
Global Energy Markets SpA) and the exposure to commodity prices
through Eni’s finance departments by using financial derivatives
traded on the regulated markets, MTF, OTF and financial derivatives
traded over the counter (swaps, forward, contracts for differences
and options on commodities) with the underlying commodities
being crude oil, gas, refined products, power or emission certificates.
Such financial derivatives are valued at fair value based on market
prices provided from specialized sources and based on estimates
provided by brokers or suitable valuation techniques. VaR deriving
from commodity exposure is measured daily based on a historical
simulation technique, with a 95% confidence level and a 1-day
holding period.
Market risk - Strategic liquidity
Market risk deriving from liquidity management is identified as the
possibility that changes in prices of financial instruments (bonds,
money market instruments and mutual investment funds) affect
the value of these instruments in case of sale or when they are
valued at fair value in the financial statements. The setting up
and maintenance of the liquidity reserve are mainly aimed to
guarantee a proper financial flexibility. Liquidity should allow Eni to
fund any extraordinary need (such as difficulty in access to credit,
exogenous shock, macroeconomic environment, as well as merger
and acquisitions) and must be dimensioned to provide a coverage
of short-term debts and of medium and long-term finance debts
due within a time horizon of 24 months. In order to manage the
investment activity of the strategic liquidity, Eni defined a specific
investment policy with aims and constraints in terms of the type
of financial instruments that can be invested in, and operational
boundaries,
as
well
as
governance
guidelines
regulating
management and control systems. In particular, strategic liquidity
management is regulated in terms of VaR (measured based on
a parametrical methodology with a one-day holding period and
a 99% confidence level), stop loss and other operating limits in
terms of concentration, issuing entity, business segment, country
of emission, duration, ratings and type of investing instruments in
portfolio, aimed to minimize market and liquidity risks. Financial
leverage or short selling is not allowed. As of 31 December 2024,
the average rating of the Strategic liquidity investment portfolio
was A/A-, in line compared to the end of 2023.
The following tables show amounts in terms of VaR, recorded in
2024 (compared with 2023), relating to interest rate and exchange
rate risks in the first section and commodity price risk (aggregated
by type of exposure). Regarding the management of strategic
liquidity, the table reports the sensitivity to changes in interest rate.
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2024
2023
(€ million)
High
Low
Average
At year
end
High
Low
Average
At year
end
Interest rate(a)
13.03
3.92
5.95
7.50
7.26
0.90
2.30
1.32
Exchange rate(a)
5.47
0.07
1.65
0.69
0.62
0.04
0.21
0.33
(a) Value at risk deriving from interest and exchange rates exposures includes the following finance departments: Eni Corporate Finance Department and Banque Eni SA. Value in 2023 is calculated with: holding period: 20
days; confidence level: 99%.
2024
2023
(€ million)
High
Low
Average
At year
end
High
Low
Average
At year
end
Commercial exposures - Management Portfolio(a)
69.66
6.20
24.10
6.32
257.89
6.38
55.35
6.71
Trading(b)
1.74
0.21
0.53
0.31
1.53
0.05
0.43
0.21
(a) Refers to Global Gas & LNG Portfolio business area, Power Generation & Marketing, REVT, Plenitude, Eni Trading & Biofuels, Eni Global Energy Markets (commercial portfolio). VaR is calculated on the so-called Statutory view, with
a time horizon that coincides with the year considering all the volumes delivered in the year and the relevant financial hedging derivatives. Consequently, during the year the VaR pertaining to GGP, Power G&M, REVT and Plenitude
during the year presents a decreasing trend following the progressive reaching of the maturity of the positions within the annual horizon.
(b) Cross-commodity proprietary trading, through financial instruments, refers to Eni Trading & Biofuels SpA and Eni Global Energy Markets SpA and Eni Trading & Shipping Inc.
2024
2023
(€ million)
High
Low
Average
At year
end
High
Low
Average
At year
end
Strategic liquidity - € Portfolio
0.60
0.20
0.40
0.60
0.22
0.13
0.18
0.19
2024
2023
($ million)
High
Low
Average
At year
end
High
Low
Average
At year
end
Strategic liquidity - US dollar Portfolio
0.20
0.10
0.10
0.10
0.12
0.04
0.08
0.11
(Value at risk - Parametric method variance/covariance; holding period: 1 day; confidence level: 99%)
(Value at risk - Historic simulation method; holding period: 1 day; confidence level: 95%)
(Sensitivity - Dollar value of 1 basis point - DVBP)
(Sensitivity - Dollar value of 1 basis point - DVBP)
ENI ANNUAL REPORT 2024
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Credit risk
Credit risk is the potential exposure of the Group to losses in case
counterparties fail to fulfill obligations. Eni defined credit risk
management policies consistent with the nature and characteristics
of the counterparties of commercial and financial transactions
regarding the centralized finance model. The Company adopted a
model to quantify and control the credit risk based on the evaluation
of the expected credit loss which represents the probability of default
and the capacity to recover credits in default that is estimated through
the so-called Loss Given Default. In the credit risk management and
control model, credit exposures are distinguished by commercial
nature, in relation to sales contracts on commodities related to
Eni’s businesses, and by financial nature, in relation to the financial
instruments used by Eni, such as deposits, derivatives and real estate
securities.
Credit risk for commercial exposures
Credit risk arising from commercial counterparties is managed
by the business units and by the specialized corporate finance
and dedicated administration departments and is operated
based on formal procedures for the assessment of commercial
counterparties, the monitoring of credit exposures, credit recovery
activities and disputes. At a corporate level, the general guidelines
and methodologies for quantifying and controlling customer’s risk
are defined, in particular the riskiness of commercial counterparties
is assessed through an internal rating model that combines different
default factors deriving from economic variables, financial indicators,
payment experiences and information from specialized primary info
providers. The probability of default related to State Entities or their
closely related counterparties (e.g. National Oil Company), essentially
represented by the probability of late payments, is determined by
using the Country risk premiums adopted for the purposes of the
determination of the WACCs for the impairment of non-financial
assets. Finally, for retail positions without specific ratings, risk is
determined by distinguishing customers in homogeneous risk
clusters based on historical series of data relating to payments,
periodically updated.
Credit risk for financial exposures
With regard to credit risk arising from financial counterparties
essentially deriving from current and strategic use of liquidity and
derivative contracts, Eni has established internal policies providing
exposure control and concentration through maximum credit risk
limits corresponding to different classes of financial counterparties
based on ratings provided for by primary credit rating agencies.
Credit risk arising from financial counterparties is managed by the
Eni’s operating finance departments, Eni Global Energy Markets
SpA, Eni Trade & Biofuels SpA and Eni Trading & Shipping Inc
specifically for commodity derivatives transactions consistently
with the Group centralized finance model. Eligible financial
counterparties are closely monitored by each counterpart and by
group of belonging to check exposures against the limits assigned
daily and the Expected Credit Loss analysis and the concentration
periodically.
Liquidity risk
Liquidity risk is the risk that suitable sources of funding for the
Group may not be available, or the Group is unable to sell its assets
in the marketplace. Such a situation would negatively affect Group
results, as it would result in the Company incurring higher borrowing
expenses to meet its obligations or under the worst of conditions
the inability of the Company to continue as a going concern. Eni’s
risk management targets include the maintaining of an adequate
level of financial resources readily available to deal with external
shocks (drastic changes in the scenario, restrictions on access to
capital markets, etc.) or to ensure an adequate level of operational
flexibility for the development projects of the Company. The strategic
liquidity reserve is employed in short-term marketable financial
assets, favoring investments with a very low risk profile. At present,
the Group believes to have access to more than sufficient funding
to meet the current foreseeable borrowing requirements due to
available cash on hand financial assets and borrowing facilities and
the access to a wide range of funding opportunities which can be
activated through the credit system and capital markets.
Due to the continuing volatility of commodity markets and the
related financial commitment linked to the margin of commodity
derivatives, Eni consolidated its financial flexibility achieved in the
last years through the activation of liquidity swaps in addition to new
financing lines acquired.
Eni has in place a program for the issuance of Euro Medium Term
Notes up to €20 billion, of which €15.3 billion were drawn as of
December 31, 2024.
The Group has credit ratings of A- outlook Negative and A-2,
respectively, for long and short-term debt, assigned by Standard &
Poor’s; Baa1 outlook Stable and P-2, respectively, for long and short-
term debt, assigned by Moody’s; A- outlook Stable and F1, respectively
for long and short-term debt, assigned by Fitch. Eni’s credit rating
is linked, in addition to the Company’s industrial fundamentals and
trends in the trading environment, to the sovereign credit rating of
Italy. Based on the methodologies used by the credit rating agencies,
a downgrade of Italy’s credit rating may trigger a potential knock-on
effect on the credit rating of Italian issuers such as Eni. During 2024
Standard & Poor’s revised Eni’s outlook from Stable to Negative.
During 2024, Eni extended its Euro Commercial Paper program from
€4 billion to €6 billion. As of December 31, 2024, available committed
borrowing facilities amounted to €9 billion.
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Maturity year
(€ million)
2025
2026
2027
2028
2029
2030 and
thereafter
Total
December 31, 2024
Financial liabilities
8,370
2,410
2,815
5,568
2,018
8,916
30,097
Lease liabilities
1,261
781
663
572
468
2,688
6,433
Fair value of derivative instruments
1,921
31
6
48
4
64
2,074
11,552
3,222
3,484
6,188
2,490
11,668
38,604
Interest on finance debt
880
705
661
552
369
2,786
5,953
Interest on lease liabilities
336
284
248
212
184
708
1,972
1,216
989
909
764
553
3,494
7,925
Financial guarantees
1,106
1,106
Maturity year
(€ million)
2024
2025
2026
2027
2028
2029 and
thereafter
Total
December 31, 2023
Financial liabilities
7,432
2,689
3,219
2,611
5,520
7,780
29,251
Lease liabilities
1,120
691
476
399
364
2,270
5,320
Fair value of derivative instruments
2,414
21
40
5
37
50
2,567
10,966
3,401
3,735
3,015
5,921
10,100
37,138
Interest on finance debt
738
676
572
496
389
804
3,675
Interest on lease liabilities
269
221
188
167
148
668
1,661
1,007
897
760
663
537
1,472
5,336
Financial guarantees
1,114
1,114
The table below summarizes the Group main contractual obligations for finance debt and lease liability repayments, including expected
payments for interest charges and liabilities for derivative financial instruments.
Liabilities for leased assets including interest charges for €925 million (€741 million at December 31, 2023) pertained to the share of joint
operators participating in unincorporated joint operation operated by Eni which will be recovered through a partner-billing process.
EXPECTED PAYMENTS FOR FINANCIAL DEBTS, LEASE LIABILITIES, TRADE AND OTHER PAYABLES
ENI ANNUAL REPORT 2024
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Maturity year
(€ million)
2025
2026
2027
2028
2029
2030 and
thereafter
Total
Decommissioning liabilities(a)
918
614
577
572
779
11,009
14,469
Environmental liabilities
743
603
457
361
354
1,220
3,738
Purchase obligations(b)
22,828
20,864
16,216
14,503
12,108
58,558
145,077
- Gas
. take-or-pay contracts
20,015
19,672
15,800
14,170
11,970
58,247
139,874
. ship-or-pay contracts
683
514
331
329
135
286
2,278
- Other purchase obligations
2,130
678
85
4
3
25
2,925
Other obligations
11
7
18
- Memorandum of intent - Val d’Agri
11
7
18
Total(c)
24,500
22,088
17,250
15,436
13,241
70,787
163,302
(a) Represents the estimated future costs for the decommissioning of oil and natural gas production facilities at the end of the production life of fields, well-plugging, removal of the structures and site restoration.
(b) Represents any agreement to purchase goods or services that is enforceable and legally binding. For take-or-pay contracts with Gazprom, please refer to the section “Other commitments and risks”.
(c) Expected payments under contractual obligations comprises obligations for site abandonment and restoration costs directly associated with assets held for sale for €155 million.
In addition to lease, financial, trade and other liabilities represented
in the balance sheet, the Company is subject to non-cancellable
contractual obligations or obligations, the cancellation of which
requires the payment of a penalty. These obligations will require cash
settlements in future reporting periods. These liabilities are valued
based on the net cost for the company to fulfill the contract, which
consists of the lowest amount between the costs for the fulfillment
of the contractual obligation and the contractual compensation/
penalty in the event of non-performance.
The Company’s main contractual obligations at the balance sheet
date comprise take-or-pay clauses contained in the Company’s
gas supply contracts or shipping arrangements, whereby the
Company obligations consist of off-taking minimum quantities of
EXPECTED PAYMENTS UNDER CONTRACTUAL OBLIGATIONS23
product or service or, in case of failure, paying the corresponding
cash amount that entitles the Company the right to collect the
product or the service in future years. The amounts due were
calculated on the basis of the assumptions for gas prices and
services included in the four-year industrial plan approved by
the Company’s management and for subsequent years on the
basis of management’s long-term assumptions. The table below
summarizes the Group principal contractual obligations for the
main existing contractual obligations as of the balance sheet
date, shown on an undiscounted basis. Amounts expected to
be paid in 2025 for decommissioning oil&gas assets and for
remediation activities are based on management’s estimates and
do not represent financial obligations at the closing date.
(23) Contractual obligations related to employee benefits are indicated in note 22 - Provisions for employee benefits.
Maturity year
(€ million)
2025
2026-2029
2030 and
thereafter
Total
December 31, 2024
Trade payables
15,170
15,170
Other payables and advances
6,922
59
121
7,102
22,092
59
121
22,272
Maturity year
(€ million)
2024
2025-2028
2029 and
thereafter
Total
December 31, 2023
Trade payables
14,231
14,231
Other payables and advances
6,423
50
104
6,577
20,654
50
104
20,808
The table below presents the timing of the expenditures for trade and other payables.
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Maturity year
(€ million)
2025
2026
2027
2028
2029 and
thereafter
Total
Committed projects
7,674
5,896
3,579
2,280
174
19,603
In the next four years, Eni expects capital investments and
capital expenditures of €33 billion. The table below summarizes
Eni’s full-life capital expenditure commitments for property,
plant and equipment and capital projects at the closing date. A
project is considered to be committed when it has received the
appropriate level of internal management approval and for which
procurement contracts have usually already been awarded or are
being awarded.
The amounts shown in the table below include committed
expenditures to execute certain environmental projects.
2024
2023
Carrying
amount
Income (expense) recognized in
Carrying
amount
Income (expense) recognized in
(€ million)
Profit and
loss account
OCI
Profit and
loss account
OCI
Financial instruments at fair value with effects recognized
in profit and loss account
Financial assets at fair value through profit or loss(a)
6,797
388
6,782
284
Non-hedging and trading derivatives(b)
(1,119)
(73)
837
417
Other investments valued at fair value(c)
1,395
227
62
1,256
255
45
Receivables and payables and other assets/liabilities
valued at amortized cost
Trade receivables and other(d)
17,753
(106)
17,054
(285)
Financing receivables(e)
4,238
233
3,136
141
Securities(a)
62
1
61
1
Trade payables and other(a)
22,273
(153)
20,808
69
Financing payables(f)
30,390
(1,176)
28,729
(734)
Net assets (liabilities) for hedging derivatives(g)
7
(95)
(912)
(35)
(442)
541
(a) Income or expense were recognized in the profit and loss account within “Finance income (expense)”.
(b) In the profit and loss account, economic effects were recognized as loss within “Other operating income (loss)” for €352 million (income for €478 million in 2023) and in the “Finance income (expense)”.
(c) Income or expense were recognized in the profit and loss account within “Income (expense) from investments - Dividends”.
(d) Income or expense were recognized in the profit and loss account as net impairments within “Net (impairments) reversals of trade and other receivables” for €168 million (net impairments for €249 million in 2023) and as
income within “Finance income (expense)” for €62 million (expense for €36 million in 2023), including interest income calculated on the basis of the effective interest rate of €27 million (interest income for €15 million in 2023).
(e) In the profit and loss account, income or expense were recognized as income within “Finance income (expense)”, including interest income calculated on the basis of the effective interest rate of €175 million (interest income
for €144 million in 2023) and net impairments for €22 million (net impairments for €6 million in 2023).
(f) In the profit and loss account, income or expense were recognized as expense within “Finance income (expense)”, including interest expense calculated on the basis of the effective interest rate of €897 million (interest
expense for €743 million in 2023).
(g) In the profit and loss account, income or expense were recognized within “Sales from operations”, “Purchase, services and other” and “Finance income (expense)”.
OTHER INFORMATION ABOUT FINANCIAL INSTRUMENTS
CAPITAL INVESTMENT AND CAPITAL EXPENDITURE COMMITMENT
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(€ million)
Gross amount
of financial assets
and liabilities
Gross amount
of financial assets and liabilities
subject to offsetting
Net amount of
financial assets
and liabilities
December 31, 2024
Financial assets
Trade and other receivables
21,330
4,429
16,901
Other current assets
5,182
1,520
3,662
Other non-current assets
4,012
1
4,011
Financial liabilities
Trade and other liabilities
26,521
4,429
22,092
Other current liabilities
6,569
1,520
5,049
Other non-current liabilities
4,450
1
4,449
December 31, 2023
Financial assets
Trade and other receivables
19,936
3,385
16,551
Other current assets
8,525
2,888
5,637
Other non-current assets
3,400
7
3,393
Financial liabilities
Trade and other liabilities
24,039
3,385
20,654
Other current liabilities
8,467
2,888
5,579
Other non-current liabilities
4,103
7
4,096
The offsetting of financial assets and liabilities related to: (i) receivables
and payables pertaining to the Exploration & Production segment
towards State entities for €4,429 million (€3,385 million at December
DISCLOSURES ABOUT THE OFFSETTING OF FINANCIAL INSTRUMENTS
31, 2023); (ii) other current and non-current assets and liabilities for
derivative financial instruments of €1,508 million (€2,895 million at
December 31, 2023) and other assets and liabilities for €13 million.
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Legal Proceedings
Eni is a party in a number of civil actions and administrative
arbitral and other judicial proceedings arising in the ordinary
course of business. Based on information available to date, taking
into account the existing risk provisions disclosed in note 21 -
Provisions and that in some instances it is not possible to make
a reliable estimate of contingency losses, Eni believes that the
foregoing will likely not have a material adverse effect on the Group
Consolidated Financial Statements.
In addition to proceedings arising in the ordinary course of business
referred to above, Eni is party to other proceedings, and a description
of the most significant proceedings currently pending is provided in
the following paragraphs. Generally, and unless otherwise indicated,
these legal proceedings have not been provisioned because Eni
believes a negative outcome to be unlikely or because the amount of
the provision cannot be estimated reliably.
1.
ENVIRONMENT, HEALTH AND SAFETY
1.1
Criminal proceedings in the matters
of environment, health and safety
(i)
Eni Rewind SpA - Crotone omitted clean-up. In April 2017, the
Public Prosecutor of Crotone initiated a criminal case relating
to reclamation activities at the Crotone site. Meanwhile, the
new clean-up project presented by the Company POB phase
2 was approved by the Italian Ministry for the Environment.
By a court order of January 10, 2022, the judge of the
preliminary hearing of Crotone ordered the performing of
an independent technical assessment on the environmental
status of the site which ascertained that Eni Rewind had
carried out the environmental activities in its own areas in
compliance with the granted authorizations. A decision of
the Public Prosecutor is awaiting following the filing of this
supplementary consultancy.
(ii) Eni Rewind SpA - Illegal landfill in Minciaredda area, Porto
Torres site. In 2015, the Public Prosecutor of Sassari had
initiated a criminal case for alleged crimes of unauthorized
landfill management and environmental disaster concerning
the landfill area, near the western border of the Porto
Torres site (Minciaredda area), managed by Eni Rewind
which was charged of being liable pursuant to Legislative
Decree No. 231/01. This decree states the responsibility of
legal entities for the crimes committed by their employees
acting on behalf of them. The remediation and clean-up plan
of the site filed by Eni Rewind was granted the necessary
administrative authorization in July 2018. Upon conclusion
of the investigations, the judge of the preliminary hearing
resolved that the natural persons allegedly liable of the
environmental crimes and the legal entity would stand trial.
The court also resolved that Eni Rewind would be sued for
civil liability. The region of Sardegna and other territorial
administrations and NGOs were admitted in the proceeding
as civil plaintiffs. Subsequently, Eni Rewind was acquitted
due to the inability to proceed with the action against it
pursuant to Legislative Decree No. 231/01 and definitively
excluded from the criminal trial.
In the context of the criminal proceedings against the
managers of Eni Rewind, however, on November 13, 2022,
the Court of Sassari pronounced an acquittal sentence for
the non-existence of the crime of illegal waste and for not
having committed the crime of environmental disaster.
Due to the effects of the acquittal, the damage compensation
claimed by the civil parties against the defendants and Eni
Rewind were rejected. Since the public prosecutor and the
civil parties have filed an appeal against the first instance
sentence, the judgement is still pending against the Second
Instance Court.
(iii) Raffineria di Gela SpA and Eni Mediterranea Idrocarburi
SpA - Alleged environmental disaster. A criminal proceeding
is pending in relation to crimes allegedly committed by the
managers of the Raffineria di Gela SpA and Eni Mediterranea
Idrocarburi SpA relating to environmental disaster, unauthorized
waste disposal and unauthorized spill of industrial wastewater.
The Raffineria di Gela SpA has been prosecuted for administrative
offence pursuant to Legislative Decree No. 231/01. This criminal
proceeding initially regarded soil pollution allegedly caused by
spills from 14 tanks of the refinery storage, which had not been
provided with double bottoms, and pollution of the sea water
near the coastal area adjacent to the site due to the failure of
the barrier system implemented as part of the clean-up activities
conducted at the site. The Public Prosecutor of Gela then
merged into this proceeding the other investigations related to
the pollution that occurred at the other sites of the Gela refinery
as well as hydrocarbon spills at facilities of Eni Mediterranea
Idrocarburi SpA. A first instance acquittal was issued in favor of
the defendants and the Company.
(iv)
Eni SpA - Val d’Agri. In March 2016, the Public Prosecutors
of Potenza started a criminal investigation into alleged
illegal handling of waste material produced at the Viggiano
oil center (COVA), part of the Eni operated Val d’Agri oil
complex. The Prosecutors ordered the house arrest of 5
Eni employees and the seizure of certain plants functional
to the production activity of the Val d’Agri complex which,
consequently, was shut down. From the commencement of
the investigation, Eni has carried out several technical and
environmental surveys, with the support of independent
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experts of international standing, who found a full
compliance of the plant and the industrial process with the
requirements of the applicable laws, as well as with best
available technologies and international best practices.
The Company implemented certain corrective measures
to upgrade plants which were intended to address the
claims made by the Public Prosecutor about an alleged
operation of blending which would have occurred during
normal plant functioning. Those corrective measures were
favorably reviewed by the Public Prosecutor. The Company
restarted the plant in August 2016. In relation to the criminal
proceeding, the Public Prosecutor’s Office requested the
indictment of all the defendants for alleged illegal trafficking
of waste, violation of the prohibition of mixing waste,
unauthorized management of waste and other violations,
and the Company for administrative offenses pursuant to
Legislative Decree No. 231/01. The trial started in November
2017. At the conclusion of the preliminary hearings, the
Court of Potenza, on March 10, 2021, acquitted all the
defendants in relation to the allegation of false statements
in an administrative deed, while in relation to the alleged
administrative offenses, the Court found that there was no
need to proceed due to the statute of limitations. Finally, in
relation to the alleged crime of illegal trafficking of waste,
the Court acquitted two former employees of the Southern
District for not having committed the crime, convicted six
former officials of the same District with suspension of the
sentence and sentenced Eni pursuant to Legislative Decree
No. 231/01 to pay a fine of €700,000, with the contextual
confiscation of a sum of €44,248,071 deemed to constitute
the unfair profit obtained from the crime, from which Eni will
deduct the amount incurred for the plant upgrade carried
out in 2016. Following the filing of the merits of the sentence
by the Court, an appeal was promptly filed against all the
condemnations. The appeal proceedings are underway.
(v)
Eni SpA - Val d’Agri - Tank spill. In February 2017, following
the detection of an oil leak from one of the tanks of the
COVA, a criminal proceeding for alleged environmental
disaster was commenced against some former COVA
officers, the Operation Managers in charge since 2011 and
the HSE Manager in charge at the time of the accident. Eni
was investigated too, in relation to the same alleged crimes
pursuant to Legislative Decree No. 231/01. In the same year,
the Company promptly equipped all COVA tanks with double
bottoms, complied with all regulatory requirements, carried
out all necessary remediation and safety measures to ensure
continuity of oil activities, after a brief shutdown, and provided
compensation for damages to all the landlords of areas close
to the COVA, which were affected by a spillover.
The Public Prosecutor, at the conclusion of the preliminary
investigations, required the indictment for the employees
and for Eni pursuant to Legislative Decree No. 231/01. At
the outcome of the preliminary hearing the judge issued a
sentence not to prosecute the Company for the events up
to 2015 because the fact was not envisaged by the law as
a crime to claim a legal entity liable for. With reference to
the events subsequent to 2015, the judge acknowledged
the nullity of the request for indictment, thus returning the
documents to the Public Prosecutor.
Finally, the judge of the preliminary hearing approved to put
on trial two Eni employees before the Court of Potenza, with
the allegation of unnamed disaster. Several parties filed an
application to bring a civil action and, pending assessment
of the requests for exclusion presented by the defense with
respect to the latter, the Court issued a summons decree
from Eni, as civilly liable and Eni duly reconstituted itself. The
two proceedings against natural persons - i.e., the ordinary
trial and the immediate trial - were then combined by the
Court into a single trial, currently pending in the initial phase.
As regards, the Company as an entity pursuant to
Legislative Decree No. 231/01, the Public Prosecutor
issued a new request for indictment, at the end of which
the judge ordered the judgment against Eni SpA. The
Court annulled this decree due to the indeterminacy of the
indictment against the Company, returning the documents
to the judge of preliminary hearing.
(vi)
Raffineria di Gela SpA and Eni Mediterranea Idrocarburi
SpA - Waste management of the landfill Camastra. In June
2018, the Public Prosecutor of Palermo (Sicily) notified Eni’s
subsidiaries Raffineria di Gela SpA and Eni Mediterranea
Idrocarburi SpA of a criminal proceeding relating to
allegations of unlawful disposal of industrial waste resulting
from the reclaiming activities of soil, which were discharged
at a landfill owned by a third party. The Prosecutor charged
the then chief executive officers of the two subsidiaries,
and the legal entities have been charged with the liability
pursuant to Legislative Decree No. 231/01. The alleged
wrongdoing related to the willful falsification of the waste
certification for purpose of discharging at the landfill. The
charges against the CEO of the Refinery of Gela SpA and
the company itself were dismissed, while a request to put
on trial the CEO of Eni Mediterranea Idrocarburi SpA and
the company was approved. The proceeding is in progress
before the Court of Agrigento, to which the proceeding has
been transferred due to territorial jurisdiction.
(vii) Versalis SpA - Preventive seizure at the Priolo Gargallo
plant. In February 2019, the Court of Syracuse at the
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request of the Public Prosecutor of Siracusa ordered the
seizure of the Priolo/Gargallo plant as part of an ongoing
investigation concerning the offenses of dangerous
disposal of materials and environmental pollution, by the
former plant manager of Priolo, as well as of Versalis,
pursuant to Legislative Decree No. 231/01. The Public
Prosecutor’s thesis, according to the consultants, is that
the seized plants had points of emissions that do not
comply with the Best Available Techniques (BAT), therefore
resulting in violation of the applicable legislation, which
determined the annulment of the seizure of the plants in
March 2019, evaluating the plant improvements made by
Versalis even before the seizure. In March 2021, a notice
of conclusion of the preliminary investigations was thus
notified, with the formulation by the Public Prosecutor of
the allegations already previously stated. At present there
is no news of further procedural developments.
(viii) Versalis SpA - Seizure of the treatment plant managed by IAS
SpA - Priolo Gargallo. By the end of February 2022, the Public
Prosecutor of Syracuse commenced a proceeding relating
to alleged crimes of environmental disaster and violation of
the legislation on discharges in relation to the industrial waste
discharge system of the Versalis plant at the Priolo treatment
plant managed by IAS SpA against two former directors of
the Versalis plant in Priolo, as well as an employee of Versalis,
having then a managerial role in Priolo Servizi.
The legal entities Versalis, Priolo Servizi and the other co-
located companies were under investigation pursuant to
Legislative Decree 231/01.
On June 15, 2022, the Judge for Preliminary Investigations
ordered the seizure of the reclamation plant and the
shareholding of IAS SpA, with the appointment of a judicial
administrator of the assets subject to seizure. Subsequently,
the investigations were enlarged to the current manager of
the Versalis Plant and to the CEO of Priolo Servizi, who was
an employee of Versalis SpA. Versalis SpA challenged the
‘Integrated Environmental Authorization’ (“AIA”) issued to
IAS before the Regional Administrative Court of Catania
only for the part in which the provision is interpreted as
imposing new and different limits on discharge, compared
to those contained in the authorizations originally granted
to the Eni’s subsidiary. In the meantime, the AIA issued
for the management of the reclamation plant by IAS has
been suspended by the Region of Sicily. Versalis therefore
challenged before the TAR the provision to initiate a review
of its AIA and, with a separate appeal, the provision of
suspension of the AIA of IAS by the Region of Sicily. At the
same time, the Public Prosecutor of Syracuse raised the
question before the Third Instance Court which, following
the hearing on May 7, 2024, declared the constitutional
illegitimacy of the provision in the part in which it does
not provide for the measures indicated therein to apply
for a period of time not exceeding thirty-six months. A
proceeding is pending before the Court of Rome relating to
the authorization to continue the production activity. The
proceeding was transferred to the Third Instance Court and
Versalis also appealed. Meanwhile, the criminal proceeding
is ongoing.
(ix)
Eni SpA - Fatal accident Ancona offshore platform. On
March 5, 2019, a fatal accident occurred at the Barbara F
platform offshore of Ancona that resulted in the death of
an Eni employee and the injury of two contractors. Two
contract workers and the family of the Eni employee were all
fully compensated. As part of the technical assessment of
the incident, the Public Prosecutor of Ancona resolved to put
under investigation two Eni employees. Also, the Company
was put under investigation as entity liable pursuant to
Legislative Decree No. 231/01, and two employees of the
contractor company engaged in the work. At the outcome
of the preliminary hearing, the Judge ordered the indictment
for all the defendants and Eni. The proceeding is currently
pending in the preliminary hearing phase.
(x)
Raffineria di Gela SpA and Eni Rewind SpA - Groundwater
pollution survey and reclamation process of the Gela site.
Following complaints made by former contractors, the Public
Prosecutor of Gela commenced a proceeding for allegations
of environmental pollution, omitted clean-up, negligent
personal injury and illegal waste management in the area
of the Gela refinery, as part of the execution of clean-up of
soil and groundwater as well as decommissioning activities
in the area currently managed by Eni Rewind SpA, also on
behalf of the companies Raffineria di Gela SpA, ISAF SpA (in
liquidation) and Versalis SpA with respect to the efficiency and
efficacy of the barrier system. The Public Prosecutor carried
out various checks and investigations, and then proceeded
with a preventive seizure, with reference to the plants used
for the remediation of the site’s underground water currently
managed by Eni Rewind as well as the plant areas intended
for the implementation of the groundwater remediation
project. A judicial administrator was appointed to manage
those facilities.
The judicial administrator filed an initial technical report
in which he confirmed that the clean-up activities were
being executed in compliance with the legislation and with
a series of implementation improvements by the company
in agreement with other parties in charge. The Public
Prosecutor’s Office also issued a summon decree. On
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January 29, 2025, following the first-instance hearing, the
Court of Gela issued a sentence of acquittal “because the fact
does not exist” against all the defendants, simultaneously
ordering the revocation of the seizure and the appointment
of the judicial administrator.
(xi)
Eni Rewind SpA and Versalis SpA - Mantua. Environmental
crime investigation. With regard to the Mantua site, where
the company is executing duly authorized environmental
activities, in August and September 2020, the Public
Prosecutor notified the conclusion of a preliminary
investigation relating to several criminal proceedings.
Several employees of the Eni’s subsidiaries Versalis SpA
and Eni Rewind SpA as well as of a third-party company
Edison SpA were notified of being under investigation.
Furthermore, the above-mentioned legal entities were being
investigated pursuant to Legislative Decree No. 231/01. The
Public Prosecutor is alleging, with respect to some specific
areas related to the Mantua industrial hub, the crimes of
unauthorized waste management, environmental damage
and pollution, omitted communication of environmental
contamination and omitted clean-up. Following the filing
of defense briefs addressed to the investigating authority,
the case has been dismissed against some individuals and
archived. The Public Prosecutor’s Office then requested
the indictment of the remaining defendants. During the
Preliminary Hearing, the MITE, the Province of Mantua,
the Municipality of Mantua and Mincio Regional Park
were allowed in the trial as plaintiffs, while the companies
Eni Rewind, Versalis and Edison were instead sued as
civil parties and therefore they appeared in court. The
Preliminary Hearing Phase ended with the provision of GUP,
which ordered the indictment of all the defendants and of
the abovementioned companies, with the exception of a
former employee of Versalis and of two Edison employees.
The proceeding is pending on the trial phase.
(xii) Eni SpA R&M Depot of Civitavecchia - Criminal
proceedings for groundwater pollution. In the period in
which Eni was in charge of the Civitavecchia storage hub
(2008-2018), pending the approval of a characterization
plan of the environmental status of the site, the Company,
in coordination with public authorities, adopted measures
to preserve the safety of the groundwaters and to pursue
the clean-up process of the site until its disposal.
The Public Prosecutor of Civitavecchia contested, among
others, the former manager of the Eni fuel storage hub of
Civitavecchia, the alleged crime of environmental pollution.
Eni is under investigation pursuant to Legislative Decree
No. 231/01. The first instance proceeding is underway.
(xiii) Eni SpA R&M Genoa Pegli storage hub - Criminal proceeding
for crude oil spill - September 2022. Following a crude oil
spill that occurred at the Genoa Pegli depot on September
27, 2022, the Public Prosecutor’s Office of Genoa instituted
criminal proceedings for the alleged crime of culpable
environmental disaster, charged against four Eni employees,
while the Company is charged with an administrative offense
pursuant Legislative Decree No. 231/01. The proceeding is
pending in the preliminary investigation phase.
(xiv) Sannazzaro Refinery - Proceeding in relation to alleged
criminal environmental pollution and discharge - Public
Prosecutor’s Office of Pavia. A criminal proceeding is
pending for alleged crimes of environmental pollution and
lack of remediation against some pro-tempore directors
and HSE managers of the refinery located at Sannazzaro
de’ Burgondi who are under investigation, as well as Eni
SpA pursuant to the Legislative Decree no. 231/2001, in
relation to the alleged crime of environmental pollution on
site, with a seizure of the sewage treatment plant (TAE),
and possible expansion of the area affected by possible
pollution beyond the site’s hydraulic barriers.
On November 28, 2023, the TAE plant was released
from seizure. The Prosecutor’s Office has ordered three
unrepeatable technical investigations, during which further
complaints regarding further environmental complaints. At
the conclusion of the preliminary investigation phase, the
allegations raised were confirmed.
(xv) Eni SpA - Pomezia depot - Involuntary environmental
pollution. A criminal proceeding is ongoing concerning an
alleged crime of pollution of the groundwater underlying
the fuel depot in Pomezia attributable, according to the
indictment, to product leaks from the tanks.
The Public Prosecutor’s Office has appointed its consultants
to carry out a technical review of the site to verify the state
of environmental contaminations at the tanks. As a result of
these assessments, two Eni’s employees as well as Eni SpA
pursuant to Legislative Decree no. 231/01 were notified of
being under investigation for the alleged crime. Subsequently,
the Public Prosecutor issued a request for indictment and,
following the preliminary hearing, the trial was issued. The
proceeding is pending at the stage of initiation of the first
instance judgement.
(xvi) Eni SpA - Calenzano depot - Explosion. The proceeding
concerns the fatal accident which caused the death of five
contractors of Eni due to an explosion occurred during the
carrying out of operations at the fuel storage site in Calenzano
(Florence) on December 9, 2024, and the consequential
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order of seizure of the site from the Judicial authorities. The
proceeding was initially charged against unknown persons
for aggravated multiple involuntary manslaughter, willful
omission of precautions against accidents at work and
unnamed disaster. The Public Prosecutor’s Office appointed
a pool of technical consultants to ascertain dynamics and
causes of the event and identify any responsibilities and, in
the course of the investigations carried out so far, several
perquisitions were executed with the acquisition of all the
requested documentation, spontaneously delivered by
the Company. Recently, the Public Prosecutor’s Office has
notified a notice of investigation against the Employer and
Manager of the Calenzano storage hub and other Managers
and operators of technical operational areas related to the
activities of the site, as well as two employees of a supplier,
for the alleged crime of complicity in multiple involuntary
manslaughter, complicity in multiple negligent personal
injuries and complicity in unnamed negligent disaster,
as well as against Eni SpA pursuant to Legislative Decree
231/01. At the same time, the Public Prosecutor’s Office
has requested a probatory incident from the Judge for
Preliminary Investigations to carry out an expert assessment.
The Company is collecting all requests for compensation
in relation to any material and non-material damage that
has occurred for their settlement, regardless of any aspect
of the merits of the matter. A provision has been accrued
considering a preliminary estimate of the damages resulting
from the event. The case is still pending in the preliminary
investigation phase.
.
1.2
Civil and administrative proceedings in the
matters of environment, health, safety and
antitrust
(i)
Republic of Kazakhstan / Eni SpA, Agip Karachaganak BV et al.
The Republic of Kazakhstan (“Rok”) promoted an international
arbitration against the consortium of international oil
companies that manage the Karachaganak fields, pursuant
to the Final Production Sharing Agreement which governs
the project activities (Eni’s share 29.25%). Rok is claiming a
revision of the cost recovery of the companies in the period
2010-2020 and formally started the proceedings in March
2023 with the appointment of an arbitrator. In April 2024, Rok
presented its statements of claim, and the proceeding is now
underway. Eni is evaluating the merit of these requests and
therefore it is not possible to reliably estimate the outcome of
the proceedings.
(ii)
Republic of Kazakhstan/ Agip Caspian Sea BV et al.
The Republic of Kazakhstan (“Rok”) promoted a further
international arbitration, pursuant to the North Caspian
Sea Production Sharing Agreement “NCSPSA” against the
Contractor (Eni’s share 16.67%). The Claims advanced by the
Republic refer to alleged violations of the NCSPSA, including
cost recovery exceptions and failure to pursue development
opportunities. The proceeding is ongoing; Eni is continuing
to evaluate the merit of the arbitration claims in light of the
available investigative evidence and, therefore, it is not possible
to estimate the outcome of the proceedings
(iii)
Administrative proceeding - Novamont. In 2024, the Italian
Competition and Market Authority (ACGM) initiated a proceeding
against Novamont SpA, notifying its parent company Eni SpA for
alleged abuse of a dominant position in the bioplastics market.
In February 2025, AGCM sent the company a communication of
the investigation results.
As of the date of filing of the Financial Statements, the
investigation results are being analyzed for the purposes of the
subsequent procedural phases. The Company believes it has
valid defense elements to support the correctness of its actions.
(iv)
Eni Rewind SpA - Versalis SpA - Eni SpA (R&M) - Augusta
Harbor. The complex administrative dispute relating to the
environmental status of the Augusta harbor commenced in
September 2017 with a formal notice issued by the Ministry of
the Environment against the companies operating at the Priolo
petrochemical hub, including Eni Rewind, Polimeri Europa (now
Versalis) and Eni (R&M), to present projects for sediments
removal from the harbor on the basis of an alleged assessment
of responsibility as per a ruling of the Regional Administrative
Court of Catania in 2012. The Ministry on various occasions
reiterated its own assessment about the environmental
responsibility of the companies co-located at the Priolo hub
with respect to the pollution of the harbor and warned them
against carrying out remediation activities. Following various
meetings held with the Ministry of the Environment, Eni
Rewind offered to define and to plan for certain environmental
remediation activities basing on updated environmental data.
The Eni’s subsidiary also commenced activities to identify the
persons responsible of the pollution of the harbor and their
respective shares of liability.
In September 2020 Eni Rewind took part in the Investigation
Services Conference convened by the Ministry of the
Environment and the competent bodies and presented a
review of the environmental status of the Rada which stated
that the pollution was attributable to industrial activities of
prior periods and that it would not spread into the surrounding
environment.
Between the end of 2023 and the beginning of 2024, the
Catania Regional Administrative Court issued a ruling on all
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the appeals presented by the operators, deeming them as
inadmissible, because the injunction does not constitute
an act suitable for having legal efficacy with respect to the
appellants. The Court did not take a position on the existence
of the pollution or otherwise did not make any conclusion
about responsibility regarding the pollution of the harbor,
limiting itself to highlighting the fact that the proceeding
administration believes that the pollution is matter of fact.
For this reason, on June 27, 2024, the Group companies
challenged the TAR sentences limited to an interpretation of
the same as confirming the existence of a final judgment on
the responsibility for the contamination.
(v)
Eni SpA - Eni Rewind SpA - Raffineria di Gela SpA - Claim for
preventive technical inquiry and judgments on the merits. In
February 2012, Eni’s subsidiaries Raffineria di Gela SpA and
Eni Rewind SpA and the parent company Eni SpA (involved in
this matter through the operations of the Refining & Marketing
Division) were notified of a claim issued by the parents of children
with birth defects in the Municipality of Gela between 1992 and
2007 for a total of 30 cases. The claim called for an inquiry
aimed at determining any causality between the birth defects
suffered by these children and any environmental pollution
caused by the Gela site, quantifying the alleged damages
suffered and eventually identifying the terms and conditions to
settle the claim. The same issue was the subject of previous
criminal proceedings, of which one closed without determining
any illegal behavior on the part of Eni or its subsidiaries, while
a further criminal proceeding is still pending. In May 2018, the
Court issued a first instance judgment concerning one case.
The Judge rejected the claim for damages, acknowledging
the arguments of the defendant companies in relation to the
absence of evidence concerning the existence of a causal link
between the birth defects and the alleged industrial pollution.
The judgment has been appealed by the claimants.
In June 2021 the Civil Court of Gela issued a second judgment
rejecting the claim for compensation, recognizing the validity of
the arguments of the defendant companies regarding the lack
of evidence on the existence of a cause between the pathology
and the alleged industrial pollution. The counterparties filed an
appeal.
In relation to the first appeal promoted against the first
ruling of the Court of Gela, the First Instance Court of
Caltanissetta rejected the appeal proposed and accepted
the one proposed incidentally by the Eni companies involved,
concerning the regulation of litigation costs relating to the
first instance proceedings and the reported incorrectness of
the compensation made therein since the legal requirements
were not met. The counterparty appealed to the Third Instance
Court. In 2024, the Court of Gela issued two other sentences
with which the plaintiffs’ requests for compensation were
rejected. The First Instance Court confirmed the rejection of
the claims brought against Eni’s subsidiaries basing on lack
of a causal link between the pathologies and the alleged
industrial pollution.
(vi)
Val d’Agri - Eni / Vibac. In September 2019 a claim was brought
in the Court of Potenza against Eni. The plaintiffs are 80 people,
living in different municipalities of the Val d’Agri area, who are
complaining of economic, non-economic, biological and moral
damages, all deriving from the presence of Eni’s oil facilities
in the territory. The Judge has been asked to ascertain Eni’s
responsibility for causing emissions of polluting substances
into the atmosphere. The plaintiffs have also requested
that Eni be ordered to interrupt any polluting activity and be
allowed to resume industrial activities on condition that all the
necessary remediation measures be implemented to eliminate
all of the alleged dangerous situations. Finally, they are asking
Eni for compensation for damages. At the end of the trial
phase, the Judge submitted to the parties the proposal for an
extra-judicial settlement, fixing a deadline to present further
proposals on the matter.
The parties did not adhere to the conciliatory proposal. The
Judge deemed the case ripe for a decision and set the hearing
to clarify the conclusions for July 10, 2026.
(vii) Eni Rewind SpA / Province of Vicenza - Clean-up process for
Trissino site. On May 7, 2019, the Province of Vicenza issued
a warning, imposing on certain individuals and companies as
MITENI SpA in bankruptcy, Mitsubishi and ICI the obligation to
clean-up the Trissino site where MITENI carried out its industrial
activity. Based on the analysis carried out by administrative
parties, significant concentrations of substances considered
highly toxic and carcinogenic were allegedly discovered in
groundwater and in surface water at this site. The analysis
carried out by the Province of Vicenza with the direct involvement
of the Istituto Superiore di Sanità reported the presence of these
substances in the blood of about 53,000 people in the area. The
Province warned some individuals, including a former employee
who served between 1988 and 1996 as CEO of EniChem, a
company that was subsequently acquired by Eni Rewind.
Eni Rewind was summoned as the “successor” of EniChem in
several appeals before the Regional Administrative Court as
the majority shareholder of MITENI, as well as liable for the
potential contamination of Trissino plant (together with other
subjects). The Province extended the proceeding also to Eni
Rewind, which filed a counterclaim for having its position
taken out of the procedure.
Eni Rewind appealed to a Regional Administrative Court
against the Province claims and orders. Eni Rewind is
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carrying out the environmental interventions and has
made itself available to carry out – as part of the project
approved by the territorial administrations in charge –
further anti-pollution interventions on a voluntary basis and
without giving any acquiescence with respect to the liability
charges for the pollution by chemical agents. The Province
extended the identification of the person responsible for
the pollution also to Manifatture Lane Marzotto & Figli Spa
which challenged the relevant provision before the Regional
Administrative Court. This act was also challenged by ICI3
and Eni Rewind in the part in which, unlike what was ordered
by the Province towards the other companies identified as
responsible for the pollution, it does not order Manifatture
Lane Marzotto & Figli SpA to carry out the environmental
interventions. With sentences issued in May 2024, the
Regional Administrative Court ruled on the appeals brought
by ICI3 and Mitsubishi regarding the measure to identify
the person responsible for the pollution. The administrative
judge rejected the appeals, deeming the Province’s actions
legitimate. Similarly, with a ruling dated December 27,
2024, the Regional Administrative Court also rejected Eni
Rewind’s appeal, confirming the identification measures
adopted by the Province as responsible for the pollution.
The Company is considering to appeal the sentence.
Discussions are underway with the companies involved
to reach a transaction agreement regarding cleanup and
remediating costs of the site.
(viii) Eni SpA - Greenpeace Onlus, ReCommon APS and others
- Climate dispute. On May 9, 2023, the NGOs Greenpeace
Onlus and ReCommon APS, together with 12 private citizens,
summoned Eni, the Ministry of Economy and Finance (MEF)
and an Italian agency, Cassa Depositi e Prestiti (CDP), before
the Civil Court of Rome based on allegations of climate
change responsibility. The plaintiffs claimed economic
losses and other damages and requested that Eni revise its
decarbonization strategy (for example by reducing by 45%
its emissions by 2030 compared to 2020 levels, or other
appropriate measures to comply with the Paris Agreement)
as well as the cessation of any harmful conducts.
The parties appeared in Court, promptly filing deeds and
documents. On June 10, 2024, the plaintiffs promoted
a separate proceeding for the settlement of jurisdiction,
remitting the final decision regarding the jurisdiction of the
Court of Rome seized of the merits proceedings to the Third
Instance Court. On July 11, 2024, the Court of Rome ordered
the suspension of the proceedings on the merits until the
definition of the jurisdiction regulation proposed by the
plaintiffs. Eni promptly appeared before the Third Instance
Court. The proceeding is ongoing.
(ix)
Eni SpA - NAOC / Egbema Voice of Freedom Association
- Request for compensation for damages. On November
30, 2023, Eni SpA was notified of a summons relating to a
claim advanced by Pastor Nicholas Evaristus Ukaonu, by the
Advocates for Community Alternatives association and by the
Egbema Voice of Freedom association, for alleged damages
deriving from constructions created by NAOC in Nigeria in the
territory of the communities represented by the associations.
The Pastor and the associations ask for joint compensation
from Eni and NAOC for approximately €48 million in addition
to the execution of works which, according to the plaintiff,
would be necessary to avoid and contain flooding caused by
constructions created by NAOC. The application submitted
reiterates complaints made in past years, including in 2017
before the National Contact Point envisaged by the OECD
Guidelines addressed to Multinational enterprises, where an
ad hoc conciliation procedure was initiated which ended with
an agreement between the parties. The first hearing was held
on December 10, 2024. At the hearing the judge unsuccessfully
attempted conciliation and subsequently each party recalled
what was deduced in the documents and Eni requested that
the case be decided without further preliminary investigation.
The Judge reserved the sentence.
(x)
Eni Rewind SpA - Calabria Region, Province and Municipality
of Crotone, WWF Italy, ARCI and others (Regional
Administrative Court of Catanzaro). A decree of the Ministry
of the Environment of August 1, 2024 n. 27 ordered the
beginning of excavations for the execution of the reclamation
of the Site of National Interest of Crotone upon the occurrence
of certain conditions and ordered the Calabria Region to
start the procedure for removing the constraint from Single
Regional Authorization Provision (“PAUR”), which authorized
the construction of the D15 - preliminary deposit and D9
plants. Several public entities, as well as the WWF and ARCI
associations have challenged the decree with a precautionary
application before the Regional Administrative Court. The
constraint imposed by the Region in the PAUR obliges Eni
Rewind to dispose of waste outside the regional territory;
various checks carried out by the Company and confirmed by
public entities have confirmed that the only authorized plant
capable of receiving hazardous waste from the reclamation
is in Crotone. This conclusion was also substantially
confirmed by scouting among foreign operators (provided
for by the ministerial decree) from which it emerged that
only 2 entities (out of almost 30 contacted) are available to
accept the hazardous waste coming from the reclamation of
the site of Crotone, in a context characterized by regulatory,
administrative, timing and logistical uncertainties that are
not compatible with the reclamation timetable. The Region’s
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resistance to removing the restriction has so far prevented
the start of remediation activities at the site. WWF and ARCI
also challenged the order of the Ministry (dated September
24, 2024) requiring Eni Rewind to commence remediation
activities. The Company carried out all the preparatory
activities for the beginning of the works, implementing
the provisions of the Decree. In January 2025, the local
authorities warned Eni Rewind and the company in charge
of the Crotone landfill not to sign the waste disposal contract
and therefore, the remediation activities have yet to start. Eni
Rewind (and Edison) appealed against these warnings to the
Regional Administrative Court, which requested a report on
the environmental remediation plan from the Ministry and set
the hearing of the merits for June 18, 2025, together with the
appeals against the warnings filed by Eni Rewind.
2.
SETTLED PROCEEDINGS
(i)
Eni SpA R&M Refinery of Livorno - Criminal proceedings for
incidents at work. On October 20, 2020, a notice was served
at the Livorno refinery for Eni as entity subjected to preliminary
investigations in the context of a criminal proceeding pending
before the Public Prosecutor’s Office of Livorno, in relation to an
accident at work occurred in summer of 2019 at an electrical
substation of the Refinery and as consequence two employees
were injured. The company provided compensations. The
allegation was aggravated by personal injury while the
Company was accused of being liable pursuant to Legislative
Decree No. 231/01.
In September 2021, the Public Prosecutor’s Office issued
a notice of conclusion of the preliminary investigations.
Subsequently, the summons order was notified.
Following the outcome of the first level of judgement, on
March 12, 2024, the Court issued a sentence of acquittal
of the accused natural persons and of Eni SpA pursuant to
Legislative Decree. 231/01. The acquittal sentence was not
contested and therefore became final.
(ii)
Eni SpA - Eni Oil & Gas Inc - Climate change. Between 2017
and 2018, seven lawsuits were brought in the California state
court by local government authorities and a fishermen’s
association against Eni SpA, a subsidiary (Eni Oil & Gas Inc
- “EOG”) and several other companies, aimed at obtaining
compensation for damages attributable to the increase in sea
level and temperature as well as to hydrogeological instability.
On April 25, 2023, the Supreme Court assigned the six
government-issued lawsuits to California State Courts. On
December 14, 2023, the fishermen’s association, having failed
to obtain a referral to State Court, voluntarily withdrew from
the case. On August 27, 2024, after the meeting before the
Court of San Francisco of the remaining pending disputes,
as part of the personal jurisdiction evaluation phase (aimed
at verifying the effective existence of jurisdiction of the
competent court with respect to the defendants), both Eni and
EOG were definitively excluded from the relevant proceedings,
having accepted the plaintiffs’ proposal to conclude the
case by settlement, without any admission of liability by Eni
and without any possibility of change of mind on the part
of the plaintiffs, committing themselves to pay only modest
procedural costs.
(iii)
OPL 245 Nigeria. In relation to the stipulation between Eni,
the Government of the Federal Republic of Nigeria “FGN” and
another international oil company of the Resolution Agreement
of April 29, 2011 relating to the “Oil Prospecting Licence” of
the offshore field identified in block 245, several investigations
had been opened by the judicial authorities of Italy, UK and
Nigeria concerning alleged crimes in the assignment of the
block, including the crime of international corruption. The
investigations involved some top managers of Eni and of the
Company itself pursuant to Legislative Decree No. 231/01. Eni
basing also on the findings of an internal review of the case
performed by an independent US legal consultant appointed
by the Company’s board of statutory auditors and by the
Watch body considered the accusations groundless. The US
Department of Justice carried out its own inquiry basing on
the US FCPA and dismissed the case without any liability in
2019. The UK prosecutors dismissed the case due to lack of
jurisdiction.
The proceeding in Italy established by the Public Prosecutor
of Milan, which had requested the indictment of the Eni
managers involved and of the Company, was resolved in a
manner totally favorable to Eni with a sentence of acquittal
for all the defendants because the fact did not exist. The
appeal proceedings, promoted by the First Instance public
prosecutors, and by the FGN as civil party, concluded during
2022, reaffirming the first instance acquittal sentence which
therefore became final.
Finally, FGN, which in 2023 had promoted an appeal to the
Third Instance Court against the ruling of the Court of Milan,
requesting its annulment with referral to the competent
civil judge for the sole purpose of civil rulings and damage
compensation, withdrew the appeal to the Third Instance
Court, as it was inferred from a letter signed by the Attorney
General transmitted after two hearings of the ICSID arbitration
held in London. This arbitration was promoted by Eni after the
acquittal sentence to protect the investment, requesting the
forced conversion of the exploration license (OPL 245) into an
extractive license (OML) as well as $700 million in damages for
the mere delay (in addition to a reserve for possible damages).
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On January 20, 2020, Eni’s subsidiary in Nigeria (“NAE”) was
notified of the beginning of a new criminal case before the
Federal High Court of Abuja.
The proceeding, mainly focused on the accusations against
Nigerian individuals (including the Minister of Justice in office
in 2011, at the time of the disputed facts), has involved NAE
and Shell Nigeria Exploration and Production Company Limited
(“SNEPCO”) as co-holders of the OPL 245 license. These
Nigerian individuals were accused in 2011 of illicit corruption,
which NAE and SNEPCO allegedly unlawfully facilitated. The
beginning of the trial, originally scheduled for the end of March
2020, was postponed as a result of the closure of judicial
offices in Nigeria due to the COVID-19 emergency and resumed
at the beginning of 2021. During the proceedings, several
witnesses were heard, mainly summoned at the request of
the “Economic and Financial Crimes Commission” (“EFCC”).
Considering the weakness of the evidence produced by the
EFCC, the defendants presented a request for a declaration
of no need to proceed, which the EFCC did not oppose for the
part relating to the accusations made against NAE, SNEPCO
and the Minister of Justice.
(iv) Enimed SpA - Criminal proceedings for alleged evasion of
payment of the excise duty on flux products. The criminal
case derived from an investigation by the financial police of
Ragusa which led to the verification in May 2020 of a series of
incidents of theft of flux - an energy product used in suspension
of excise duty - stolen directly from Enimed pipelines by
arrested third parties flagrantly. As a result of the investigations,
the Company was firstly charged with irregularities in the
management of the diesel flux with alleged subtractions of
indirect taxes (excise duties and VAT) equal to approximately
€50 million. The competent Public Prosecutor’s Office (Gela) for
its part has promoted proceedings against the former CEO of
Enimed (for the years 2018 - 2020) and two other employees
for the crime of evading the payment of excise duties on energy
products. As part of the same proceeding, third parties were
being prosecuted for theft of flux, an allegation which put the
Eni’s subsidiary in the position of offended person. During the
investigations, the Public Prosecutor requested the preventive
seizure of €34,135,328 (corresponding to the allegedly unpaid
excise duty). This request was deemed unfounded by the
investigating judge, ruling out that the crime of evading the
payment of excise duties was attributable to the CEO of the
Company, who was actually the victim of theft by third parties.
At the hearing on October 1, 2024, the Judge for the preliminary
hearing pronounced a sentence of no need to proceed because
the fact does not constitute a crime against Enimed people.
The Public Prosecutor did not appeal; therefore, the sentence
became final.
(v)
Eni SpA (R&M) - Taranto Refinery - Criminal proceedings for
breach of excise assessment. The proceeding relates to the
alleged lack of tax assessment of an energy product moved,
under excise duty suspension, from a tank of the Taranto refinery.
At the end of the preliminary investigation phase, the former
manager of the refinery and three other employees resulted
under investigation for an alleged continued hypothesis of
subtraction from the assessment of excise duties, due to
multiple movements that took place in the period from June
30 to September 9, 2021, from the tank under investigation,
the meter of which has been seized since October 13, 2021.
Following the hearing on December 17, 2024, the Public
Prosecutor of Taranto pronounced an acquittal sentence
against all the defendants because the fact does not exist.
(vi)
Eni SpA - Eni Rewind SpA - Priolo - Malformation civil
lawsuits. In February 2022 Eni Rewind was sued before the
Court of Syracuse for compensation for damages (€800,000
for each of the plaintiffs) by two citizens of Augusta (SR), who
claimed to have been born with serious malformations due to
spills of mercury from the chlor-soda plant in Priolo.
Eni Rewind filed an appearance in court filing a claim and
indemnification against Edison, taking into account that the
chlor- soda plant was received by Eni group as part of the
Enimont transaction, therefore in a period following the alleged
exposure to the mercury by the actors, which necessarily
occurred between the years of birth 1972 and 1975. Following
the incorporation of Edison SpA and the celebration of the
respective hearings, the two proceedings are currently in the
preliminary investigation phase. The proceeding has become
immaterial.
Assets under concession arrangements
Eni operates under concession arrangements mainly in the
Exploration & Production segment and the Enilive business line.
In the Exploration & Production segment, contractual clauses
governing mineral concessions, licenses and exploration permits
regulate the access of Eni to hydrocarbon reserves. Such clauses
can differ in each Country. In particular, mineral concessions,
licenses and permits are granted by the legal owners and, generally,
entered into with government entities, State oil companies and, in
some legal contexts, private owners. Pursuant to the assignment
of mineral concessions, Eni sustains all the operational risks and
costs related to the exploration and development activities and
it is entitled to the productions realized. In respect of the mining
concessions received, Eni pays royalties in accordance with the
tax legislation in force in the country and is required to pay income
taxes deriving from the exploitation of the concession. In production
sharing agreement and service contracts, realized productions are
defined based on contractual agreements with State oil companies,
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which hold the concessions. Such contractual agreements regulate
the recovery of costs incurred for the exploration, development and
operating activities (Cost Oil) and give entitlement to the own portion
of the realized productions (Profit Oil). In the Enilive business line,
several service stations and other auxiliary assets of the distribution
service are located in the motorway areas and they are granted by
the motorway concession operators following a public tender for the
sub-concession of the supplying of oil products distribution service
and other auxiliary services. In exchange for the granting of the
services described above, Eni provides to the motorway companies
fixed and variable royalties based on quantities sold. At the end of
the concession period, all non-removable assets are transferred to
the grantor of the concession for no consideration.
Environmental regulations
In the future, Eni will sustain significant expenses in relation to
compliance with environmental, health and safety laws and
regulations and for reclaiming, safety and remediation works of
areas previously used for industrial production and dismantled
sites. In particular, regarding the environmental risk, management
does not currently expect any material adverse effect upon
Eni’s Consolidated Financial Statements, taking account of
ongoing remediation actions, existing insurance policies and
the environmental risk provision accrued in the Consolidated
Financial Statements. However, management believes that it
is possible that Eni may incur material losses or significant
responsibilities because, at the current state of knowledge, it is
impossible to forecast the effects of future developments taking
into account, among other things, the following aspects: (i) the
possibility of as yet unknown contamination; (ii) the results
of ongoing surveys and other possible effects of statements
required by Legislative Decree 152/2006; (iii) new developments in
environmental regulation (i.e. Law No. 68/2015 on crimes against
the environment and European Directive 2015/2193 on medium
combustion plants); (iv) the effect of possible technological
changes relating to future remediation; and (v) the possibility of
litigation and the difficulty of determining Eni’s liability, if any, as
against other potentially responsible parties with respect to such
litigation and the possible insurance recoveries.
Emission trading
From 2021, the fourth phase of the European Union Emissions
Trading Scheme (EU-ETS) came in force. The award of free emission
allowances is performed based on emission benchmarks defined
at European level specific to each industrial segment, except for the
electric power generation sector that is not eligible for allocations
for no consideration. At the same time, emissions trading (UK ETS)
was introduced in the United Kingdom, the rules of which are largely
similar to those of the EU-ETS. This regulatory scheme implies
for Eni’s plants subject to emission trading a lower assignment
of emission permits compared to the emissions recorded in the
relevant year and, consequently, the necessity of covering the
amounts in excess by purchasing the relevant emission allowances
on the open market. In 2024, the emissions of carbon dioxide from
Eni’s plants were higher than the free allowances assigned to Eni.
Against emissions of carbon dioxide amounting to approximately
17.1 million tonnes, Eni was awarded free emission allowances
of 5.4 million tonnes, determining a deficit of 11.7 million tonnes.
This deficit was entirely covered through the purchase of emission
allowances in the open market, with delivery in 2025.
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29 Revenues and other income
SALES FROM OPERATIONS
(€ million)
Exploration
& Production
Global Gas & LNG
Portfolio and Power
Refining and
Chemicals
Enilive
Plenitude
Corporate and
Other activities
Total
2024
Sales from operations
38,875
15,061
5,881
18,670
10,124
186
88,797
Products sales and service revenues
Sales of crude oil
28,151
28,151
Sales of oil products
4,058
1,518
18,165
23,741
Sales of natural gas and LNG
6,039
12,480
2
3,620
22,141
Sales of petrochemical products
253
3,667
3,920
Sales of power
2,244
1
4,073
6,318
Sales of other products
40
16
326
62
67
7
518
Services
334
321
367
443
2,364
179
4,008
Products sales and service revenues
38,875
15,061
5,881
18,670
10,124
186
88,797
Transfer of goods/services
Goods/Services transferred in a specific moment at a
point in time
38,557
14,963
5,844
18,670
10,124
61
88,219
Goods/Services transferred over a period of time
318
98
37
125
578
2023
Sales from operations
37,961
19,468
6,188
18,877
11,040
183
93,717
Products sales and service revenues
Sales of crude oil
25,685
25,685
Sales of oil products
5,219
1,847
18,442
25,508
Sales of natural gas and LNG
5,881
16,638
4,431
26,950
Sales of petrochemical products
766
3,619
4,385
Sales of power
2,420
4,832
7,252
Sales of other products
44
38
305
28
91
3
509
Services
366
372
417
407
1,686
180
3,428
Products sales and service revenues
37,961
19,468
6,188
18,877
11,040
183
93,717
Transfer of goods/services
Goods/Services transferred in a specific moment at a
point in time
37,626
19,383
6,147
18,645
11,040
64
92,905
Goods/Services transferred over a period of time
335
85
41
232
119
812
2022
Sales from operations
38,729
47,544
8,413
24,225
13,412
189
132,512
Products sales and service revenues
Sales of crude oil
26,277
26,277
Sales of oil products
5,084
1,916
23,770
30,770
Sales of natural gas and LNG
6,173
40,838
5,573
52,584
Sales of petrochemical products
817
5,424
3
6,244
Sales of power
6,122
6,326
12,448
Sales of other products
68
11
359
52
212
2
704
Services
310
573
714
403
1,301
184
3,485
Products sales and service revenues
38,729
47,544
8,413
24,225
13,412
189
132,512
Transfer of goods/services
Goods/Services transferred in a specific moment at a
point in time
38,417
47,361
8,331
23,982
13,285
65
131,441
Goods/Services transferred over a period of time
312
183
82
243
127
124
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Sales from operations by industry segment and geographic area of destination are disclosed in note 35 - Segment information and information
by geographic area.
Sales from operations with related parties are disclosed in note 36 - Transactions with related parties.
Other proceeds include: (i) €1,048 million relating to the agreement
with an Italian operator to share past and expected environmental
expenses incurred and fully provisioned by Eni at certain Italian
industrial hub, under decommissioning, which were jointly operated
in past; (ii) €194 million (€121 million and €204 million in 2023 and
2022, respectively) related to the recovery of the cost share of
right-of-use assets pertaining to partners of unincorporated joint
operations operated by Eni.
Other income and revenues with related parties are disclosed in
note 36 - Transactions with related parties.
Purchase, services and other charges included geological and
geophysical expenses for €186 million (€205 million and €220
million in 2023 and 2022, respectively).
Costs incurred in connection with research and development
activities and technological improvement expensed through profit
and loss, as they did not meet the requirements to be recognized
as long-lived assets, amounted to €178 million (€166 million and
€164 million in 2023 and 2022, respectively).
Royalties on the extraction rights of hydrocarbons amounted to
€1,122 million (€1,138 million and €1,570 million in 2023 and 2022,
respectively).
Additions to provisions net of reversal of unused provisions related
to: (i) net additions to the environmental provision for €848 million
30 Costs
PURCHASE, SERVICES AND OTHER CHARGES
OTHER INCOME AND REVENUES
(€ million)
2024
2023
2022
Gains from sale of assets and businesses
48
27
48
Other proceeds
2,369
1,072
1,127
2,417
1,099
1,175
(€ million)
2024
2023
2022
Revenues associated with contract liabilities at the beginning of the period
87
642
157
Revenues associated with performance obligations totally or partially satisfied in previous years
7
1,087
1
(€ million)
2024
2023
2022
Production costs - raw, ancillary and consumable materials and goods
54,204
58,170
85,139
Production costs - services
12,217
11,512
10,303
Lease expense and other
1,512
1,432
2,301
Net provisions for contingencies
1,397
1,369
2,985
Other expenses
2,073
1,746
2,069
71,403
74,229
102,797
less:
- capitalized direct costs associated with self-constructed assets - tangible assets
(227)
(367)
(246)
- capitalized direct costs associated with self-constructed assets - intangible assets
(62)
(26)
(22)
71,114
73,836
102,529
(net additions of €559 million and €1,700 million in 2023 and
2022, respectively); (ii) net additions to the decommissioning and
social project provision for €300 million (net additions of €305
million and €376 million in 2023 and 2022, respectively), of which
€250 million related to the decommissioning of depleted oil & gas
assets where the UOP amortization has ceased; (iii) net additions
for litigations amounting to €40 million (net reversals of €87 million
and net additions of €501 million in 2023 and 2022, respectively).
More information is provided in note 21 - Provisions. Net additions
to provisions by segment are disclosed in note 35 - Segment
information and information by geographical area.
Information about leases is disclosed in note 13 - Right-of-use
assets and lease liabilities.
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(€ million)
2024
2023
2022
Wages and salaries
2,665
2,427
2,311
Social security contributions
527
497
465
Cost related to employee benefit plans
96
156
174
Other costs
123
196
194
3,411
3,276
3,144
less:
- capitalized direct costs associated with self-constructed assets - tangible assets
(139)
(131)
(120)
- capitalized direct costs associated with self-constructed assets - intangible assets
(10)
(9)
(9)
3,262
3,136
3,015
2024
2023
2022
(number)
Subsidiaries
Joint
operations
Subsidiaries
Joint
operations
Subsidiaries
Joint
operations
Senior managers
933
19
944
19
957
19
Junior managers
9,257
90
9,157
84
9,084
80
Employees
16,086
431
15,810
420
15,517
420
Workers
5,719
282
5,937
294
6,074
288
31,995
822
31,848
817
31,632
807
Other costs comprised provisions for redundancy incentives of €66
million (€56 million and €78 million in 2023 and 2022, respectively)
and costs for defined contribution plans of €104 million (€102 million
and €103 million in 2023 and 2022, respectively).
Cost related to employee benefit plans are described in note 22 -
Provisions for employee benefits.
Costs with related parties are disclosed in note 36 - Transactions
with related parties.
The average number of employees was calculated as the average
between the number of employees at the beginning and the end of
the year.
The average number of senior managers included managers
employed in foreign Countries, whose position is comparable to a
senior manager’s status.
AVERAGE NUMBER OF EMPLOYEES
LONG-TERM SHARE-BASED INCENTIVE PLAN FOR THE ENI’S MANAGERS
Eni has in place a share-based compensation plan to retain its
managers, with awards outstanding as of the balance sheet date.
On May 13, 2020 and on May 10, 2023, the Shareholders Meeting
approved the Long-Term Shared-based Incentive Plan 2020-2022
and the similar 2023-2025 plan which award up to a maximum of
20 million of treasury shares as part of the plan 2020-2022 and 16
million of treasury shares as part of the plan 2023-2025 to selected
Company’s managers.
Each plan provides three annual awards (respectively in the years
2020, 2021 and 2022 and in the years 2023, 2024, 2025) to reward
PAYROLL AND RELATED COSTS
the Chief Executive Officer of Eni and the managers of Eni and its
subsidiaries who qualify as “senior managers deemed critical for the
business”, selected among those who are in charge of tasks directly
linked to the Group results or of strategic clout to the business. The
Plans provide the granting of Eni shares for no consideration to eligible
managers after a three-year vesting period under the condition that
they would remain in office until vesting. Considering that these
incentives fall within the category of employee compensation, in
accordance with IFRS, the cost of the plans is determined based on
the fair value of the financial instruments awarded to the beneficiaries
The Group average number and breakdown of employees by category is reported below:
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and the number of shares that are granted at the end of the vesting
period; the cost is accruing along the vesting period.
The vesting features of those share-based compensation schemes
are linked to achievement of Company’s preset targets of financial
results, share appreciation as benchmarked against a peer group’s
performance, and certain KPIs of environmental sustainability and
emission reduction, in a proportion of 40%, 25% and 35% respectively,
for the most recent equity compensation plan. For the older plan, the
vesting of shares included also certain industrial targets.
Depending on the performance of the parameters mentioned
above, the number of shares that will vest free of charge after
three years may range between 0% and 180% of the initial award.
A 50% of the shares that will effectively be granted to each
beneficiary in service will be subject to a lock-up clause: (i) of one
year after the vesting date for the 2020-2022 Long-Term Incentive
Plan; (ii) two years after the vesting date for the 2023-2025 Long-
Term Incentive Plan.
The number of shares awarded at the grant date was: (i) 1,889,808
shares in 2024; with a weighted average fair value of €9.39 per share;
(ii) 1,909,849 shares in 2023; with a weighted average fair value of
€10.82 per share; (iii) 2,069,685 shares in 2022; with a weighted
average fair value of €9.20 per share.
The estimation of the fair value was calculated by adopting
specific valuation techniques regarding the different performance
parameters provided by the plans (stochastic method for both
Long-Term Monetary Incentive plan), taking into account the fair
value of the Eni share at the grant date (between €14,428 and
€13,416 for the grant date for the 2024 award; between €15,482
and €15,068 depending on the grant date for the 2023 award;
between €12,918 and €14,324 depending on the grant date for
the 2022 award), reduced by dividends expected along the vesting
period (between 7.3% and 7.9% for the 2024 award; between 6.6%
and 6.8% for the 2023 award; between 6.1% and 6.8% for the
2022), considering the volatility of the stock (between 23.7% and
21.8% for the 2024 award; between 28.2% and 28.4% for the 2023
award; between 30% and 31% for the 2022 award), the forecasts
relating to the performance parameters, as well as the lower value
attributable to the shares considering the lock-up period at the end
of the vesting period.
In 2024, the costs related to the long-term monetary incentive plan,
recognized as a component of the payroll cost with contra-entry to
equity reserves as they pertain to company employees, amounted
to €23 million (€20 million and €18 million in 2023 and 2022,
respectively).
EMPLOYEE STOCK OWNERSHIP PLAN
The Shareholders’ Meeting held on May 15, 2024, authorized the
adoption of an Employee Stock Ownership Plan, with the aim of
strengthening motivation and retention across the company and
the participation in the growth of corporate value, in line with the
interests of the shareholders. The Plan provides for three annual
awards in the period 2024-2026 intended for employees of Eni and
its subsidiaries.
For 2024, Eni awarded a one-time stock-based compensation for
no consideration to 22,000 employees in Italy. A three-year lock-up
period applies to each award.
At the grant date (November 27, 2024), a total of 3,102,700 shares
were issued.
Consistent with the substantial nature of remuneration, pursuant to
the provisions of international accounting standards, the cost of the
plan is determined with reference to the fair value of the shares on
the assignment date. The recording of the cost will take place pro-
rata temporis over the three-year period.
Costs relating to the Employee Stock Ownership Plan, recognized
as a component of payroll cost amounted to €1 million with a
counterpart in net equity reserves.
COMPENSATION OF KEY MANAGEMENT PERSONNEL
Compensation, including contributions and collateral expenses,
of personnel holding key positions in planning, directing and
controlling the Eni Group subsidiaries, including executive and
non-executive officers, general managers and managers with
strategic responsibilities in office during the year consisted of the
following:
(€ million)
2024
2023
2022
Wages and salaries
39
35
37
Post-employment benefits
4
3
3
Other long-term benefits
23
19
17
Indemnities upon termination of employment
9
66
57
66
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FINANCIAL STATEMENTS
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(€ million)
2024
2023
2022
Finance income
7,715
7,417
8,450
Finance expense
(8,980)
(8,113)
(9,333)
Net finance income (expense) from financial assets at fair value through profit or loss
388
284
(55)
Income (expense) from derivative financial instruments
278
(61)
13
Finance income (expense)
(599)
(473)
(925)
(599)
(473)
(925)
31 Finance income (expense)
(€ million)
2024
2023
2022
Finance income (expense) related to net borrowings
Interest and other finance expense on ordinary bonds
(827)
(667)
(507)
Net finance income (expense) on financial assets held for trading
367
250
(53)
Net income (expenses) on other financial assets valued at fair value with effects on profit and loss
21
34
(2)
Interest and other expense due to banks and other financial institutions
(358)
(207)
(128)
Interest expense on lease liabilities
(314)
(267)
(315)
Interest from banks
294
356
57
Interest and other income on financial receivables and securities held for non-operating purposes
161
14
9
(656)
(487)
(939)
Exchange differences
(38)
255
238
Income (expense) from derivative financial instruments
278
(61)
13
Other finance income (expense)
Interest and other income on financing receivables and securities held for operating purposes
44
153
128
Capitalized finance expense
222
94
38
Finance expense due to the passage of time (accretion discount) (a)
(261)
(341)
(199)
Other finance income (expense)
(188)
(86)
(204)
(183)
(180)
(237)
(599)
(473)
(925)
(a) The item relates to the increase in provisions for contingencies that are shown at present value in non-current liabilities.
The analysis of finance income (expense) was as follows:
Information about leases is disclosed in note 13 - Right-of-use assets and lease liabilities.
The analysis of derivative financial income (expense) is disclosed in note 24 - Derivative financial instruments and hedge accounting.
Finance income (expense) with related parties is disclosed in note 36 - Transactions with related parties.
COMPENSATION OF DIRECTORS AND STATUTORY AUDITORS OF ENI SPA
Compensation of Directors amounted to €12.9 million, €13.9 million
and €11.1 million in 2024, 2023 and 2022, respectively. Compensation
of Statutory Auditors amounted to €0.5 million, €0.6 million and €0.6
million in 2024, 2023 and 2022, respectively.
Compensation included emoluments and social security benefits due
for the office as Director or Statutory Auditor held at the parent company
Eni SpA or other Group subsidiaries, which was recognized as a cost to
the Group, even if not subject to personal income tax.
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(€ million)
2024
2023
2022
Dividends
227
255
351
Net gain (loss) on disposals
562
430
483
Other net income (expense)
195
423
2,789
984
1,108
3,623
More information is provided in note 16 - Investments.
Share of profit or loss of equity accounted investments by industry segment is disclosed in note 35 – Segment information and information
by geographical area.
SHARE OF PROFIT (LOSS) OF EQUITY-ACCOUNTED INVESTMENTS
32 Income (expense) from investments
Dividend income primarily related to Nigeria LNG Ltd for €166
million (€179 million in 2023 and €247 million in 2022) and to Saudi
European Petrochemical Co ‘IBN ZAHR’ for €22 million (€55 million
in 2023 and €77 million in 2022).
Gains on disposals for 2024 referred: (i) for €371 million to the sale
of a 100% stake of the equity interest in Nigerian Agip Oil Co Ltd
to Oando Plc; (ii) for €166 million to the sale of a 10% stake of the
equity interest of Eni in Saipem SpA, which took place through an
accelerated book-building process aimed at institutional investors
and includes the effects recognized in other comprehensive
income for €9 million.
Other net income for 2024 referred for €118 million to a capital gain
given by the difference between the fair value of shares of Ithaca
Energy Plc received in exchange of the Group oil & gas assets in UK
which were contributed to the entity.
Gains on disposals for 2023 referred to the capital gain realized from
the sale to Snam of the 49.9% stake of SeaCorridor Srl and other
net income for 2023 referred to the capital gain from the fair value
measurement of the retained share of the entity.
Gains on disposals for 2022 referred to the capital gains realized
following the listing, through IPO on the Oslo Stock Exchange, of the
investee Vår Energi ASA and subsequent sales made on the market.
Other net income for 2022 referred for €2,542 million to the capital
gain from the fair value measurement of the business combination
between Eni and bp with the establishment of the joint venture Azule
Energy Holdings Ltd and includes realized exchange differences on
translation of €764 million.
OTHER GAIN (LOSS) FROM INVESTMENTS
(€ million)
2024
2023
2022
Current taxes:
- Italian subsidiaries
(255)
97
1,920
- subsidiaries of the Exploration & Production segment - outside Italy
4,946
5,349
7,027
- other subsidiaries - outside Italy
22
185
944
4,713
5,631
9,891
Net deferred taxes:
- Italian subsidiaries
(1,433)
(137)
(2,191)
- subsidiaries of the Exploration & Production segment - outside Italy
294
(22)
713
- other subsidiaries - outside Italy
151
(104)
(325)
(988)
(263)
(1,803)
3,725
5,368
8,088
33 Income taxes
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Current income taxes of Italian subsidiaries include the net
effect of the use of tax-suspended reserves for €397 million of
net income and foreign taxes for €116 million. Income taxes for
foreign companies include the release of a provision set aside
to cover uncertainties in the application of tax rules for €170
million.
Income taxes for 2022 included an extraordinary solidarity tax
for the year 2022 (€1,036 million) enacted in Italy by Law No.
51/2022 and the UK Energy profit levy. Total income taxes for
2022 included an extraordinary contribution as enacted by Law
No. 197/2022 (Italian 2023 Budget Law) calculated on the 2022
taxable income, determined also considering the distribution of
certain revaluation reserves of the parent company.
The higher tax charges at non-Italian subsidiaries related to the
Exploration & Production segment for €3,403 million (€3,026 million
and €2,940 million in 2023 and 2022, respectively).
In 2023, Italy substantively enacted Pillar Two Model Rules, effective
as from January 1, 2024, through Legislative Decree 209/2023
as mandated by EU Directive 2022/2523. The Pillar Two rules are
designed to ensure large multinational enterprises (meeting certain
conditions) pay a minimum level of tax on the income arising in each
jurisdiction where they operate. The impact of Pillar Two rules on
current income taxes for 2024 was immaterial. Eni has applied the
exception, as set out in the amendments to IAS 12 Income Taxes,
to recognizing and disclosing information about deferred tax assets
and liabilities related to Pillar Two income taxes.
The reconciliation between the statutory tax charge calculated by
applying the Italian statutory tax rate of 24% (same amount in 2023
and 2022) and the effective tax charge is the following:
Group’s effective tax rate amounted to 57.4% (52.5% in 2023 and
36.7% in 2022). The increase in the tax rate in 2024 is due to the
greater weight on consolidated pre-tax profit of the results obtained in
foreign E&P jurisdictions with tax rates higher than the Group average.
Basic earnings (loss) per ordinary share are calculated by dividing profit
(loss) for the period attributable to Eni’s shareholders by the weighted
average number of ordinary shares issued and outstanding during the
period, excluding treasury shares.
Diluted earnings (loss) per share are calculated by dividing the profit
(loss) of the period attributable to Eni’s shareholders by the weighted
average number of shares fully diluted, excluding treasury shares, and
including the number of potential shares to be issued. As of December
31, 2024, the shares that could be potentially issued related to the
estimation of new shares that will vest in connection with the 2020-2022
and 2023-2025 long-term monetary incentive plans and the convertible
bond issued in 2023.
In determining basic and diluted earnings (loss) per share, the net profit
(loss) for the period attributable to Eni is adjusted to take into account
the remuneration of perpetual subordinated bonds and the convertible
bond, net of tax effect, calculated by using the amortized cost method.
34 Earnings (loss) per share
(€ million)
2024
2023
2022
Profit (loss) before taxation
6,489
10,228
22,049
Tax rate (IRES) (%)
24.0
24.0
24.0
Statutory corporation tax charge (credit) on profit or loss
1,557
2,455
5,292
Increase (decrease) resulting from:
- higher tax charges related to subsidiaries outside Italy
3,452
3,036
3,388
- tax effect on reserve distribution
147
106
47
- impact pursuant to foreign tax effects of Italian entities
108
14
66
- effect due to the tax regime provided for intercompany dividends
82
7
11
- tax effects related to previous years
6
48
(19)
- Italian regional income tax (IRAP)
(15)
91
(18)
- effect of the valuation of the investments under the equity method
(30)
(26)
50
- effect of reversals (impairments) of deferred tax assets
(38)
(96)
(241)
- impact pursuant to (reversal) impairment of deferred tax assets
(1,470)
(221)
(2,087)
- extraordinary contribution effect for companies in energy sector
1,971
- other adjustments
(74)
(46)
(372)
2,168
2,913
2,796
Effective tax charge
3,725
5,368
8,088
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Reconciliation of basic and diluted earnings (loss) per share was as follows:
2024
2023
2022
Weighted average number of shares used for basic earnings (loss) per share
3,167,006,396
3,303,766,512
3,483,633,816
Potential shares to be issued for ILT incentive plan
6,369,161
6,352,583
6,319,989
Potential shares to be issued for Sustainability-linked bond
56,975,836
17,014,702
Weighted average number of shares used for diluted earnings (loss) per share
3,230,351,393
3,327,133,797
3,489,953,805
Eni’s profit (loss)
(€ million)
2,624
4,771
13,887
Remuneration of subordinated perpetual bonds net of tax effect
(€ million)
(132)
(109)
(109)
Eni’s profit (loss) for basic earnings (loss) per share
(€ million)
2,492
4,662
13,778
Remuneration of Sustainability-linked bond net of tax effect
(€ million)
31
9
Eni’s profit (loss) for basic diluted earnings (loss) per share
(€ million)
2,523
4,671
13,778
Basic earnings (loss) per share
(€ per share)
0.79
1.41
3.96
Diluted earnings (loss) per share
(€ per share)
0.78
1.40
3.95
SEGMENT INFORMATION
Effective October 1, 2024, the Company reorganized its business
activities into three business groups to increase the effectiveness
of strategy execution:
• the “Chief Transition & Financial Officer” business group,
responsible for increasing the value of the two Eni’s subsidiaries,
Plenitude and Enilive, which are engaged in growing the
businesses related to the energy transition, mainly production of
electricity from renewable sources and manufacturing of biofuels
in synergy with the traditional activities of retail marketing of
gas, power, and fuels. The goal of increasing the value of those
two subsidiaries will be pursued also by means of third-party
investments in the share capital of the entities and possibly by
market offerings of shares and listing;
• the “Global Natural Resources” business group, responsible for
increasing the value of the oil&gas exploration and development
activities and of wholesale gas, LNG and power activities by
leveraging organic growth and with the support of trading
activities, vertical integration and operational excellence. It
is also in charge of developing the new CCS and agri-hub
businesses;
• the “Industrial Transformation” business group, responsible for
implementing the restructuring and upgrading of the Chemical
business, managed by the subsidiary Versalis, and of the oil-
based refining business leveraging on proprietary technologies,
product specialization and the criteria of the circular economy
and by reducing the weight of business lines with challenged
fundamentals (commodity chemicals and low-scale refineries). It
is also in charge of managing environmental remediation activities
conducted by the subsidiary Eni Rewind.
For financial reporting purposes, management evaluated that
segmental reporting are presented based on the operating
segments tracked by the by the Chief Operating Decision Maker
(the CEO) to evaluate profit centers financial performance and
resources allocation. Therefore, in compliance with the provisions
of the international reporting standard that regulates the segment
reporting (IFRS 8), the new reportable segments of Eni effective
December 31, 2024, have been reorganized as follows with the
restatement of comparative periods:
• Exploration & Production: exploration, development and production
of crude oil, condensates and natural gas. The business also
35 Segment information and information by geographic area
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engages in oil and products trading activities, designed to perform
supply balancing transactions in the market with a view of ensuring
the requested slate of crudes to the refining business and to stabilize
or hedge commercial margins.
• Global Gas & LNG Portfolio (GGP) and Power: wholesale supply
and marketing of gas via pipeline, LNG, and electricity, as well
as international transport activities. It includes gas, LNG, and
electricity trading activities finalized to hedging and stabilizing
the trade margins, as well as optimizing the gas asset portfolio.
The results of the Power business operating segment relating
to the production of electricity from thermoelectric plants have
been included in this reportable segment because it presents
similar economic returns and it is ancillary to the main business.
• Refining and Chemicals: processing of crude oil to manufacture
traditional refined products (fuels, bitumen, lubricants, etc.) and
inter-company wholesale marketing of refined products to the
Enilive operating segment and to third-party large accounts.
The Chemicals operating segment, through Eni wholly owned
subsidiary Versalis, engages in the production and marketing of
basic petrochemical products, plastics and elastomers. Versalis
is developing the business of manufacturing chemical products
from renewable raw materials, bioplastics, and bio-based products
through the recently acquired subsidiary Novamont. The results of
operations of the Refining business and the Chemical business
have been combined in a single reporting segment because the
businesses exhibit similar economic characteristics.
• Enilive: engages in the manufacturing of biofuels and in retail
marketing activities of fuels through an extensive network of
refueling outlets, also providing non-fuel products and services
to drivers. It also engages in the wholesale supplies of fuels,
bitumen and lubricants.
• Plenitude: engages in the retail sales of gas, electricity and
related services, production and wholesale sales of electricity
from renewable plants, and is also building and managing a
network of charging points for electric vehicles.
• Corporate and Other activities: includes the main business
support functions, in particular holding, central treasury, IT,
human resources, real estate services, captive insurance
activities, research and development, new technologies,
business digitalization and the environmental activity managed
by the subsidiary Eni Rewind. The segment also includes the
businesses under development of projects to capture and
store CO2 at Eni’s depleted sites (CCUS), the agribusiness and
initiatives for carbon offset (NBS), under development.
Segment information presented to the CEO (the Chief Operating
Decision Maker, ex IFRS 8) includes: revenues, operating profit and
directly attributable assets and liabilities.
According to the requirements of the international accounting
standards regarding segment information in the event of a
reorganization of business segments, the segment information
for the 2023 and 2022 comparative periods have been restated
for homogeneous comparison as follows. The main changes
compared to 2023 concerned the allocation of oil trading in the E&P
segment (previously in the Refining operating segment) and of the
thermoelectric generation activity in the GGP operating segment
(previously in the Plenitude and Power aggregate). Enilive is subject
to separate exposure from the Refining & Chemicals aggregate.
As reported in 2023:
(€ million)
Exploration &
Production
Global Gas & LNG
Portfolio
Enilive, Refining
and Chemicals
Plenitude & Power
Corporate and
Other activities
Adjustments of
intragroup profits
Total
2023
Sales from operations including intersegment sales
23,903
20,139
52,558
14,256
1,972
Less: intersegment sales
(13,060)
(3,229)
(393)
(658)
(1,771)
Sales from operations
10,843
16,910
52,165
13,598
201
93,717
Operating profit
8,549
2,431
(1,397)
(464)
(943)
81
8,257
Identifiable assets(a)
62,180
6,381
15,530
13,999
1,952
(378)
99,664
Identifiable liabilities(a)
18,020
5,997
10,200
6,076
4,629
(56)
44,866
2022
Sales from operations including intersegment sales
31,194
48,586
59,178
20,883
1,886
Less: intersegment sales
(18,305)
(7,356)
(708)
(1,157)
(1,689)
Sales from operations
12,889
41,230
58,470
19,726
197
132,512
Operating profit
15,963
3,730
460
(825)
(1,956)
138
17,510
Identifiable assets(a)
60,298
12,282
14,925
11,987
1,666
(472)
100,686
Identifiable liabilities(a)
17,339
12,572
9,011
4,787
4,462
(68)
48,103
(a) Include assets/liabilities directly associated with the generation of operating profit.
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ANNEX
(€ million)
Exploration &
Production
Global Gas & LNG
Portfolio and Power
Refining
and Chemicals
Enilive
Plenitude
Total reportable
segments
Corporate and
Other activities
Adjustments of
intragroup profits
Total
2023
Sales from operations including intersegment sales
55,773
24,168
23,061
21,780
11,102
135,884
Less: intersegment sales
(17,812)
(4,700)
(16,873)
(2,903)
(62)
(42,350)
Sales from operations
37,961
19,468
6,188
18,877
11,040
93,534
183
93,717
Operating profit
8,693
2,626
(2,121)
585
(659)
9,124
(948)
81
8,257
Identifiable assets(a)
64,504
7,688
7,186
6,081
12,692
98,151
1,891
(378)
99,664
Identifiable liabilities(a)
21,461
6,637
3,910
2,900
5,436
40,344
4,578
(56)
44,866
2022
Sales from operations including intersegment sales
61,834
58,119
26,633
26,479
13,497
186,562
Less: intersegment sales
(23,105)
(10,575)
(18,220)
(2,254)
(85)
(54,239)
Sales from operations
38,729
47,544
8,413
24,225
13,412
132,323
189
132,512
Operating profit
16,158
4,231
(606)
876
(1,326)
19,333
(1,961)
138
17,510
Identifiable assets(a)
62,522
13,813
8,064
4,690
10,456
99,545
1,613
(472)
100,686
Identifiable liabilities(a)
20,431
13,537
3,714
2,253
3,822
43,757
4,414
(68)
48,103
(a) Include assets/liabilities directly associated with the generation of operating profit.
As restated:
Segment Information
(€ million)
Exploration &
Production
Global Gas & LNG
Portfolio and Power
Refining
and Chemicals
Enilive
Plenitude
Total reportable
segments
Corporate and
Other activities
Adjustments of
intragroup profits
Total
2024
Sales from operations including intersegment sales
54,440
18,876
21,210
21,139
10,179
125,844
Less: intersegment sales
(15,565)
(3,815)
(15,329)
(2,469)
(55)
(37,233)
Sales from operations
38,875
15,061
5,881
18,670
10,124
88,611
186
88,797
Operating profit
6,715
(909)
(1,681)
282
1,307
5,714
(371)
(105)
5,238
Net provisions for contingencies
(282)
(11)
(478)
(48)
(81)
(900)
(484)
(13)
(1,397)
Depreciation and amortization
(6,353)
(267)
(161)
(284)
(424)
(7,489)
(144)
33
(7,600)
Impairments of tangible and intangible assets and right-of-use assets
(2,385)
(195)
(458)
(117)
(1)
(3,156)
(51)
(3,207)
Reversals of tangible and intangible assets and right-of-use assets
182
94
3
5
284
23
307
Write-off of tangible and intangible assets and right-of-use assets
(576)
(3)
(579)
(1)
(580)
Share of profit (loss) of equity-accounted investments
904
44
73
(43)
(47)
931
(65)
866
Identifiable assets(a)
67,572
7,421
7,228
5,893
13,588
101,702
2,712
(457)
103,957
Unallocated assets(b)
42,982
Equity-accounted investments
8,348
488
2,621
899
1,019
13,375
775
14,150
Identifiable liabilities(a)
20,627
7,230
4,253
2,995
5,883
40,988
4,881
(49)
45,820
Unallocated liabilities(b)
45,471
Capital expenditure in tangible and intangible assets
6,055
110
632
416
887
8,100
408
(23)
8,485
(a) Include assets/liabilities directly associated with the generation of operating profit.
(b) Include assets/liabilities not directly associated with the generation of operating profit.
375
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Exploration &
Production
Global Gas & LNG
Portfolio and
Power
Refining
and Chemicals
Enilive
Plenitude
Total reportable
segments
Corporate and
Other activities
Adjustments of
intragroup profits
Total
2023
Sales from operations including intersegment sales
55,773
24,168
23,061
21,780
11,102
135,884
Less: intersegment sales
(17,812)
(4,700)
(16,873)
(2,903)
(62)
(42,350)
Sales from operations
37,961
19,468
6,188
18,877
11,040
93,534
183
93,717
Operating profit
8,693
2,626
(2,121)
585
(659)
9,124
(948)
81
8,257
Net provisions for contingencies
(354)
(206)
(352)
(33)
(73)
(1,018)
(339)
(12)
(1,369)
Depreciation and amortization
(6,271)
(295)
(142)
(261)
(404)
(7,373)
(140)
34
(7,479)
Impairments of tangible and intangible assets and right-of-use assets
(1,419)
(14)
(732)
(38)
(7)
(2,210)
(52)
(2,262)
Reversals of tangible and intangible assets and right-of-use assets
376
52
6
434
26
460
Write-off of tangible and intangible assets and right-of-use assets
(531)
(5)
(536)
1
(535)
Share of profit (loss) of equity-accounted investments
1,012
49
381
(38)
(55)
1,349
(13)
1,336
Identifiable assets(a)
64,504
7,688
7,186
6,081
12,692
98,151
1,891
(378)
99,664
Unallocated assets(b)
42,942
Equity-accounted investments
6,780
534
2,724
858
664
11,560
1,070
12,630
Identifiable liabilities(a)
21,461
6,637
3,910
2,900
5,436
40,344
4,578
(56)
44,866
Unallocated liabilities(b)
44,096
Capital expenditure in tangible and intangible assets
7,135
119
556
428
636
8,874
360
(19)
9,215
2022
Sales from operations including intersegment sales
61,834
58,119
26,633
26,479
13,497
186,562
Less: intersegment sales
(23,105)
(10,575)
(18,220)
(2,254)
(85)
(54,239)
Sales from operations
38,729
47,544
8,413
24,225
13,412
132,323
189
132,512
Operating profit
16,158
4,231
(606)
876
(1,326)
19,333
(1,961)
138
17,510
Net provisions for contingencies
(160)
(395)
(658)
(439)
(12)
(1,664)
(1,340)
19
(2,985)
Depreciation and amortization
(6,130)
(268)
(150)
(245)
(307)
(7,100)
(138)
33
(7,205)
Impairments of tangible and intangible assets and right-of-use assets
(613)
(114)
(709)
(43)
(17)
(1,496)
(71)
(1,567)
Reversals of tangible and intangible assets and right-of-use assets
181
180
35
396
31
427
Write-off of tangible and intangible assets and right-of-use assets
(596)
(1)
(2)
(599)
(599)
Share of profit (loss) of equity-accounted investments
1,530
4
445
1
(20)
1,960
(119)
1,841
Identifiable assets(a)
62,522
13,813
8,064
4,690
10,456
99,545
1,613
(472)
100,686
Unallocated assets(b)
51,444
Equity-accounted investments
7,318
4
3,062
22
660
11,066
1,026
12,092
Identifiable liabilities(a)
20,431
13,537
3,714
2,253
3,822
43,757
4,414
(68)
48,103
Unallocated liabilities(b)
48,797
Capital expenditure in tangible and intangible assets
6,252
173
605
273
481
7,784
276
(4)
8,056
(a) Include assets/liabilities directly associated with the generation of operating profit.
(b) Include assets/liabilities not directly associated with the generation of operating profit.
ENI ANNUAL REPORT 2024
376
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Other
European
Union
Rest of
Europe
Americas
Asia
Africa
Other
areas
Total
2024
Identifiable assets(a)
29,787
7,704
4,709
6,470
21,232
32,624
1,431
103,957
Capital expenditure in tangible and intangible assets
2,009
673
308
556
1,519
3,276
144
8,485
2023
Identifiable assets(a)
30,026
6,962
5,124
7,658
17,855
30,928
1,111
99,664
Capital expenditure in tangible and intangible assets
2,006
485
235
609
1,471
4,105
304
9,215
2022
Identifiable assets(a)
29,195
7,689
6,564
8,892
18,653
28,167
1,526
100,686
Capital expenditure in tangible and intangible assets
1,475
415
205
1,266
1,390
3,163
142
8,056
(a) Include assets directly associated with the generation of operating profit.
(€ million)
2024
2023
2022
Italy
30,994
33,450
60,090
Other European Union
15,975
18,271
25,413
Rest of Europe
16,493
18,476
21,748
Americas
7,908
7,004
6,929
Asia
9,114
7,404
9,062
Africa
8,285
9,057
9,191
Other areas
28
55
79
88,797
93,717
132,512
INFORMATION BY GEOGRAPHIC AREA
Identifiable assets and investments by geographic area of origin
Sales from operations by geographic area of destination
377
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
In the ordinary course of its business, Eni enters into transactions
mainly regarding:
a) Purchase, sale and supply of goods and services and the provision
of financing to joint ventures, associates and non-consolidated
subsidiaries;
b) purchase, sale and supply of goods and services to entities
controlled by the Italian Government;
c) purchase, sale and supply of goods and services to companies
related to Eni SpA through members of the Board of Directors. Most
of these transactions are exempt from the application of the Eni
internal procedure “Transactions involving interests of Directors and
Statutory Auditors and transactions with related parties” pursuant
to the Consob Regulation, since they relate to ordinary transactions
conducted at market or standard conditions, or because they fall
below the materiality threshold provided for by the procedure;
d) contributions to non-profit entities correlated to Eni with the aim
to develop solidarity, culture and research initiatives. In particular
these related to: (i) Eni Foundation, established by Eni as a
non-profit entity with the aim of pursuing exclusively solidarity
initiatives in the fields of social assistance, health, education,
culture and environment, as well as scientific and technological
research; and (ii) Eni Enrico Mattei Foundation, established by Eni
with the aim of enhancing, through studies, research and training
initiatives, knowledge enrichment in the fields of economics,
energy and environment, both at the national and international
level.
Transactions with related parties were conducted in the interest of Eni
companies and, with exception of those with entities whose aim is to
develop charitable, cultural and research initiatives, are related to the
ordinary course of Eni’s business.
Investments in subsidiaries, joint arrangements and associates are
presented separately in the annex “List of companies owned by Eni SpA
as of December 31, 2024”. This annex includes also the changes in the
scope of consolidation.
36 Transactions with related parties
ENI ANNUAL REPORT 2024
378
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
TRANSACTIONS AND BALANCES WITH RELATED PARTIES
December 31, 2024
2024
Name
(€ million)
Receivables
and other
assets
Payables
and other
liabilities
Guarantees
Revenues
Costs
Other
operating
(expense)
income
Joint ventures and associates
Agiba Petroleum Co
4
126
256
Cardón IV SA
1
77
4
(2)
Coral FLNG SA
12
1,411
15
(3)
Azule Group
59
399
3,343
76
2,290
Saipem Group
41
186
9
52
1,253
SeaCorridor Group
105
27
1
242
Vårgrønn Group
1
886
Ithaca Energy Plc
188
76
366
(138)
Karachaganak Petroleum Operating BV
31
292
1,198
Lotte Versalis Elastomers Co Ltd
6
14
3
51
Mellitah Oil & Gas BV
56
52
11
523
Mozambique Rovuma Venture SpA
26
2
31
53
Petrobel Belayim Petroleum Co
23
509
562
Società Oleodotti Meridionali SpA
12
491
16
11
Société Centrale Electrique du Congo SA
97
104
Vår Energi ASA
30
828
1,918
48
5,047
(57)
Other(*)
37
71
120
74
187
729
3,150
7,687
435
12,034
(195)
Unconsolidated entities controlled by Eni
Eni BTC Ltd
195
Industria Siciliana Acido Fosforico - ISAF SpA (in liquidation)
161
3
10
Other
16
7
11
27
18
177
10
206
37
18
906
3,160
7,893
472
12,052
(195)
Entities controlled by the Government
Cassa Depositi e Prestiti Group
3
25
65
Enel Group
33
153
46
798
(28)
Italgas Group
1
186
5
612
Snam Group
196
436
219
1,342
Terna Group
104
116
386
350
10
GSE - Gestore Servizi Energetici
201
110
1,805
1,548
414
ITA Airways - Italia Trasporto Aereo SpA
13
238
Other(*)
23
66
71
574
1,092
2,770
4,715
396
Other related parties
1
3
2
37
Groupement Sonatrach – Eni «GSE»
316
316
32
599
1,797
4,571
7,893
3,276
17,403
201
(*) Each individual amount included herein was lower than €50 million.
379
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2023
2023
Name
(€ million)
Receivables
and other
assets
Payables
and other
liabilities
Guarantees
Revenues
Costs
Other
operating
(expense)
income
Joint ventures and associates
Agiba Petroleum Co
1
194
308
Cardón IV SA
24
142
4
1
Coral FLNG SA
4
1,327
6
Azule Group
113
475
3,156
86
2,146
Saipem Group
5
235
9
6
768
SeaCorridor Group
29
29
1
357
Vårgrønn Group
1,321
Karachaganak Petroleum Operating BV
17
250
1,183
Mellitah Oil & Gas BV
49
20
16
517
Petrobel Belayim Petroleum Co
58
885
870
Società Oleodotti Meridionali SpA
11
473
19
12
Société Centrale Electrique du Congo SA
74
79
Vår Energi ASA
51
764
2,013
58
4,487
(165)
Other(*)
62
73
19
83
203
498
3,540
7,845
358
10,852
(165)
Unconsolidated entities controlled by Eni
Eni BTC Ltd
183
Industria Siciliana Acido Fosforico - ISAF SpA (in liquidation)
152
4
1
12
Other
13
10
12
13
30
165
14
196
25
30
663
3,554
8,041
383
10,882
(165)
Entities controlled by the Government
Cassa Depositi e Prestiti Group
5
33
2
69
Enel Group
95
168
93
497
(109)
Italgas Group
1
149
8
(20)
Snam Group
245
352
1,157
1,625
Terna Group
85
61
400
317
8
GSE - Gestore Servizi Energetici
230
219
2,104
1,875
283
ITA Airways - Italia Trasporto Aereo SpA
5
238
Other(*)
11
68
52
38
677
1,050
4,054
4,401
182
Other related parties
1
2
1
36
Groupement Sonatrach - Eni «GSE»
222
212
40
569
1,563
4,818
8,041
4,478
15,888
17
(*) Each individual amount included herein was lower than €50 million.
ENI ANNUAL REPORT 2024
380
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2022
2022
Name
(€ million)
Receivables
and other
assets
Payables
and other
liabilities
Guarantees
Revenues
Costs
Other
operating
(expense)
income
Joint ventures and associates
Agiba Petroleum Co
17
71
224
Angola LNG Ltd
79
Coral FLNG SA
10
1,378
12
Azule Group
320
517
3,268
46
1,152
Saipem Group
3
195
9
9
452
Vårgrønn Group
1,259
Karachaganak Petroleum Operating BV
27
251
1,347
Mellitah Oil & Gas BV
58
144
9
234
Petrobel Belayim Petroleum Co
33
595
944
Société Centrale Electrique du Congo SA
47
74
Società Oleodotti Meridionali SpA
6
433
16
14
Vår Energi ASA
58
722
2,378
84
4,085
(597)
Other(*)
127
76
9
167
338
706
3,004
8,301
417
8,869
(597)
Unconsolidated entities controlled by Eni
Eni BTC Ltd
190
Industria Siciliana Acido Fosforico - ISAF SpA (in liquidation)
139
4
1
15
Other
8
10
11
7
15
147
14
202
22
15
853
3,018
8,503
439
8,884
(597)
Entities controlled by the Government
Cassa Depositi e Prestiti Group
2
47
3
86
Enel Group
438
264
97
275
484
Italgas Group
218
8
84
Snam Group
763
25
1,767
873
Terna Group
119
159
612
701
(18)
GSE - Gestore Servizi Energetici
207
225
7,786
4,039
3,437
ITA Airways - Italia Trasporto Aereo SpA
3
179
Other(*)
12
35
27
33
1,762
763
10,555
6,007
3,903
Other related parties
2
1
39
Groupement Sonatrach - Eni «GSE»
179
114
33
417
2,794
3,897
8,503
11,028
15,347
3,306
(*) Each individual amount included herein was lower than €50 million.
381
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The most significant transactions with joint ventures, associates
and unconsolidated subsidiaries concerned:
• Eni’s share of expenses incurred to develop oil fields from Agiba
Petroleum Co, Karachaganak Petroleum Operating BV, Mellitah Oil
& Gas BV, Petrobel Belayim Petroleum Co, Groupement Sonatrach
- Eni «GSE» and, limited to Karachaganak Petroleum Operating BV,
purchase of crude oil by Eni Trade & Biofuels SpA; costs recovered
from Eni associates are invoiced on the basis of costs incurred;
• the residual debt relating to the payment of the consideration for
the assignment of Cardón IV credits;
• supply of upstream specialist services and a guarantee issued
on a pro-quota basis granted to Coral FLNG SA on behalf of the
Consortium TJS for the contractual obligations assumed following
the award of the EPCIC contract for the construction of a floating
gas liquefaction plant;
• supply of upstream specialist services, purchase of crude oil and
issue of guarantees against leasing contracts of FPSO vessels to
Azule Group;
• engineering, construction and drilling services by Saipem Group
mainly for the Exploration & Production segment;
• acquisition of transport services from SeaCorridor Group;
• guarantees issued to Vårgrønn Group in relation to the participation
in the Dogger Bank offshore wind project;
• receivables relating to the business combination carried out in
2024 and the purchase of crude oil and condensate from Ithaca
Energy Plc Group;
• the purchase of elastomers from Lotte Versalis Elastomers Co Ltd;
• the purchase of condensates and the supply of upstream
specialized services to Mozambique Rovuma Venture SpA;
• the sale of gas to Société Centrale Electrique du Congo SA;
• advances received from Società Oleodotti Meridionali SpA for the
infrastructure upgrade of the crude oil transport system at the
Taranto refinery;
• guarantees issued in compliance with contractual agreements in
the interest of Vår Energi ASA, the supply of upstream specialist
services and maritime transport, the purchase of crude oil,
condensates and gas and the realized part of forward contracts for
the purchase of gas;
• a guarantee issued granted to Eni BTC Ltd for the construction of
an oil pipeline;
• services for environmental restoration to Industria Siciliana Acido
Fosforico - ISAF SpA (in liquidation).
The most significant transactions with entities controlled by the
Italian Government concerned:
• activities aimed at ensuring operation, upgrading and efficiency
of the plants provided to Ansaldo group (Cassa Depositi e
Prestiti);
• sale of fuel, sale and purchase of gas, acquisition of power
distribution services and fair value of derivative financial
instruments with Enel Group;
• acquisition of natural gas transportation, distribution and
storage services with Snam Group and Italgas Group on the
basis of the tariffs set by the Italian Regulatory Authority for
Energy, Networks and Environment and purchase and with
Snam Group the receivable for divestment relating to the sale
of the 49.9% share capital of SeaCorridor Srl and the purchase
and sale of natural gas for granting the system balancing on
the basis of prices referred to the quotations of the main energy
commodities;
• acquisition of electricity transmission services and sale and
purchase of electricity for granting the system balancing based on
prices referred to the quotations of the main energy commodities,
and derivatives on commodities entered to hedge the price risk
related to the utilization of transport capacity rights with Terna
Group;
• sale and purchase of electricity, gas, environmental certificates,
fair value of derivative financial instruments, sale of oil products
and storage capacity with GSE - Gestore Servizi Energetici for the
setting-up of a specific stock held by the Organismo Centrale di
Stoccaggio Italiano (OCSIT) according to the Legislative Decree
No. 249/12; the contribution to cover the charges deriving from
the performance of OCSIT functions and activities and the
contribution paid to GSE for the use of biomethane and other
advanced biofuels in the transport sector;
• the sale of jet fuel to ITA Airways - Italia Trasporto Aereo SpA.
Transactions with other related parties concerned:
• provisions to pension funds managed by Eni of €26 million and
debts for contributions to be paid for €2 million;
• costs for contributions paid to the Supplementary Healthcare Fund
for Managers of Eni Group Companies (FISDE) for €5 million and
debts for contributions to be paid for €1 million;
• contributions and service provisions to Eni Enrico Mattei
Foundation for €4 million and to Eni Foundation for €2 million.
ENI ANNUAL REPORT 2024
382
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
31.12.2023
2023
Name
(€ million)
Receivables
and cash
equivalents
Payables
Guarantees
Finance
incomes and
derivative
financial
instruments
Finance
Expenses
Gain on
disposals
Joint ventures and associates
Coral FLNG SA
453
15
Coral South FLNG DMCC
1,448
Saipem Group
56
8
Mozambique Rovuma Venture SpA
1,339
170
101
Other
49
13
1
39
14
1
1,841
239
1,449
155
22
1
Unconsolidated entities controlled by Eni
Other
7
38
1
1
7
38
1
1
Entities controlled by the Government
Cassa Depositi e Prestiti Group
56
2
Snam Group
443
Other
14
2
3
1
14
58
5
444
1,862
335
1,449
156
28
445
December 31, 2024
2024
Name
(€ million)
Receivables
Payables
Guarantees
Finance
incomes and
derivative
financial
instruments
Finance
Expenses
Gain on
disposals
Joint ventures and associates
Coral FLNG SA
522
24
Coral South FLNG DMCC
1.539
(1)
Saipem Group
222
1
Mozambique Rovuma Venture SpA
1,769
58
132
11
Pengerang Biorefinery Sdn Bhd
60
Other
37
39
2
38
41
2,388
319
1,541
195
51
Unconsolidated entities controlled by Eni
Other
40
36
2
2
40
36
2
2
Entities controlled by the Government
Cassa Depositi e Prestiti Group
53
Other
7
1
4
(12)
60
1
4
(12)
Other related parties
4
2,428
419
1,541
198
57
(12)
FINANCING TRANSACTIONS AND BALANCES WITH RELATED PARTIES
383
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
The most significant transactions with joint ventures, associates and
unconsolidated subsidiaries concerned:
• a financing loan granted to Coral FLNG SA for the construction of a
floating gas liquefaction plant in Area 4 offshore Mozambique;
• a bank debt guarantee issued on behalf of Coral South FLNG DMCC
as part of the project financing of the Coral FLNG development
project;
• liabilities for leased assets towards Saipem Group related to long-
term contracts for the use of drilling rigs;
• a financing loan granted to Mozambique Rovuma Venture SpA for
the development of gas reserves offshore Mozambique;
• a credit line granted to Pengerang Biorefinery Sdn Bhd for the
construction of a biorefinery in Malaysia.
The most significant transactions with entities controlled by the
Italian Government concerned:
• finance debt for the realization of charging infrastructures for
electric vehicles with Cassa e Depositi e Prestiti Group.
December 31, 2022
2022
Name
(€ million)
Receivables
and cash
and cash
equivalents
Payables
Guarantees
Finance
incomes and
derivative
financial
instruments
Finance
Expenses
Gain on
disposals
Joint ventures and associates
Coral FLNG SA
356
140
Coral South FLNG DMCC
1.499
1
1
Mozambique Rovuma Venture SpA
1,187
57
48
5
Saipem Group
100
16
3
Other(*)
96
28
2
91
10
1,639
185
1,501
156
159
Unconsolidated entities controlled by Eni
Other
8
31
5
4
8
31
5
4
Entities controlled by the Government
Enel Group
176
Italgas Group
30
Other
10
40
1
1
10
216
1
1
30
1,657
432
1,501
162
164
30
(*) Each individual amount included herein was lower than €50 million.
ENI ANNUAL REPORT 2024
384
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
December 31, 2024
December 31, 2023
(€ million)
Total
Related
parties
Impact %
Total
Related
parties
Impact %
Cash and cash equivalents
8,183
10,193
3
0.03
Other current financial assets
1,085
48
4.42
896
19
2.12
Trade and other receivables
16,901
1,601
9.47
16,551
1,363
8.24
Other current assets
3,662
54
1.47
5,637
32
0.57
Other non-current financial assets
3,215
2,380
74.03
2,301
1,840
79.97
Other non-current assets
4,011
142
3.54
3,393
168
4.95
Short-term debt
4,238
136
3.21
4,092
222
5.43
Current portion of long-term debt
4,582
21
0.46
2,921
21
0.72
Current portion of non-current lease liabilities
1,279
152
11.88
1,128
21
1.86
Trade and other payables
22,092
4,017
18.18
20,654
4,245
20.55
Other current liabilities
5,049
34
0.67
5,579
62
1.11
Long-term debt
21,570
79
0.37
21,716
65
0.30
Non-current lease liabilities
5,174
31
0.60
4,208
6
0.14
Other non-current liabilities
4,449
520
11.69
4,096
511
12.48
2024
2023
2022
(€ million)
Total
Related
parties
Impact %
Total
Related
parties
Impact %
Total
Related
parties
Impact %
Sales from operations
88,797
2,997
3.38
93,717
4,322
4.61
132,512
10,872
8.20
Other income and revenues
2,417
279
11.54
1,099
156
14.19
1,175
156
13.28
Purchases, services and other
(71,114)
(17,404)
24.47
(73,836)
(15,885)
21.51
(102,529)
(15,327)
14.95
Net (impairments) reversals of trade and other
receivables
(168)
(2)
1.19
(249)
5
..
47
(2)
..
Payroll and related costs
(3,262)
3
..
(3,136)
(8)
0.26
(3,015)
(18)
0.60
Other operating income (expense)
(352)
201
..
478
17
3.56
(1,736)
3,306
..
Finance income
7,715
198
2.57
7,417
155
2.09
8,450
160
1.89
Finance expense
(8,980)
(57)
0.63
(8,113)
(28)
0.35
(9,333)
(164)
1.76
Derivative financial instruments
278
(61)
1
..
13
2
15.38
Other income (expense) from investments
984
(12)
..
1,108
445
40.16
3,623
30
0.83
(€ million)
2024
2023
2022
Revenues and other income
3,276
4,478
11,028
Costs and other expenses
(15,056)
(13,539)
(13,749)
Other operating income (loss)
201
17
3,306
Net change in trade and other receivables and payables
(61)
1,916
(431)
Net interests
132
117
69
Net cash provided from operating activities
(11,508)
(7,011)
223
Capital expenditure in tangible and intangible assets
(2,347)
(2,349)
(1,596)
Disposal of investments
440
165
Net change in accounts payable and receivable in relation to investments
(292)
504
1,480
Change in financial receivables
(501)
(290)
(81)
Net cash used in investing activities
(3,140)
(1,695)
(32)
Change in financial and lease liabilities
(20)
(162)
(88)
Net cash used in financing activities
(20)
(162)
(88)
Change in cash and cash equivalents
(3)
(7)
8
Total financial flows to related parties
(14,671)
(8,875)
111
IMPACT OF TRANSACTIONS AND POSITIONS WITH RELATED PARTIES ON THE BALANCE SHEET,
PROFIT AND LOSS ACCOUNT AND STATEMENT OF CASH FLOWS
The impact of transactions and positions with related parties on the balance sheet accounts consisted of the following:
The impact of transactions with related parties on the profit and loss accounts consisted of the following:
Main cash flows with related parties are provided below:
385
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
2023
2022
(€ million)
Total
Related
parties Impact %
Totale
Related
parties Impact %
Total
Related
parties Impact %
Net cash provided from operating activities
13,092
(11,508)
..
15,119
(7,011)
..
17,460
223
1.28
Net cash used in investing activities
(9,817)
(3,140)
31.99
(9,365)
(1,695)
18.10
(7,018)
(32)
0.46
Net cash used in financing activities
(5,380)
(20)
0.37
(5,668)
(162)
2.86
(8,542)
(88)
1.03
The impact of cash flows with related parties consisted of the following:
The following section provides information about economic, equity and financial data, gross of intragroup elisions, relating to the Plenitude
Group, 92.42% owned by Eni, and EniPower group, 51% owned by Eni. The ownership of the non-controlling interest corresponds to voting rights.
Equity pertaining to non-controlling interests as of December 31, 2024, amounted to €2,863 million (€460 million December 31, 2023)
and includes the perpetual subordinated bond of Eni Marine Services SpA of €1,924 million. More information is reported in note 26 -
Equity - Non-controlling interest.
37 Other information about investments24
INFORMATION ON ENI’S CONSOLIDATED SUBSIDIARIES WITH SIGNIFICANT NON-CONTROLLING
INTEREST
(24) Investments in subsidiaries, joint arrangements and associates are presented separately in the annex “List of companies owned by Eni SpA as of December 31, 2024”. This annex
includes also the changes in the scope of consolidation.
Plenitude Group
EniPower Group
(€ million)
2024
2024
2023
Non-controlling interest (%)
7.58
49.00
49.00
Current assets
4,571
695
374
Non-current assets
11,185
934
868
Current liabilities
4,626
709
389
Non-current liabilities
5,156
31
46
Revenues
10,179
962
1,251
Profit
803
167
169
Total comprehensive income
821
167
169
Net cash provided by operating activities
916
178
198
Net cash used in investing activities
(1,389)
(92)
(126)
Net cash used in financing activities
(85)
(18)
(3)
Net increase (decrease) in cash and cash equivalents
(23)
(9)
(31)
Profit attributable to non-controlling interest
54
85
86
Dividends paid to minority interest
5
41
36
ENI ANNUAL REPORT 2024
386
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country of
operation
Segment
% ownership
% equity ratio
Joint venture
2023 Sol IX Llc
Wilmington
(USA)
USA
Plenitude
73.59
73.59
Azule Energy Holdings Ltd
London
(United Kingdom)
United Kingdom
Exploration & Production
50.00
50.00
Cardón IV SA
Caracas
(Venezuela)
Venezuela
Exploration & Production
50.00
50.00
E&E Algeria Touat BV
The Hague
(Netherlands)
Algeria
Exploration & Production
54.00
54.00
GreenIT SpA
San Donato Milanese (MI)
(Italy)
Italy
Plenitude
51.00
51.00
Mozambique Rovuma Venture SpA
San Donato Milanese (MI)
(Italy)
Mozambique
Exploration & Production
35.71
35.71
Saipem SpA
Milan
(Italy)
Italy
Corporate and financial companies
21.19
21.61
SeaCorridor Srl
San Donato Milanese (MI)
(Italy)
Italy
Global Gas & LNG Portfolio
50.10
50.10
St. Bernard Renewables Llc
Wilmington
(USA)
USA
Enilive
50.00
50.00
Vårgrønn AS
Stavanger
(Norway)
Norway
Plenitude
65.00
65.00
Joint operation
Damietta LNG (DLNG) SAE
Damietta
(Egypt)
Egypt
Global Gas & LNG Portfolio
50.00
50.00
GreenStream BV
Amsterdam
(Netherlands)
Libya
Global Gas & LNG Portfolio
50.00
50.00
Raffineria di Milazzo ScpA
Milazzo (ME)
(Italy)
Italy
Refining
50.00
50.00
Associates
ADNOC Global Trading Ltd
Abu Dhabi
(Emirati Arabi Uniti)
United Arab Emirates
Refining
20.00
20.00
Abu Dhabi Oil Refining Company (Takreer)
Abu Dhabi
(United Arab Emirates)
United Arab Emirates
Refining
20.00
20.00
Coral FLNG SA
Maputo
(Mozambique)
Mozambique
Exploration & Production
25.00
25.00
Ithaca Energy Plc
London
(United Kingdom)
United Kingdom
Exploration & Production
37.17
37.17
QatarEnergy LNG NFE (5)
Doha
(Qatar)
Qatar
Exploration & Production
25.00
25.00
Vår Energi ASA
Sandnes
(Norway)
Norway
Exploration & Production
63.04
63.04
CHANGES IN THE OWNERSHIP INTEREST WITHOUT LOSS OF CONTROL
In 2024, Eni sold 7.58% of the capital of Eni Plenitude SpA with a consideration of €588 million.
In 2023, Eni purchased the entirety of third-party interests (29.48%) of the company Evolvere SpA (now Plenitude Energy Services SpA)
for a total consideration of €60 million.
PRINCIPAL JOINT VENTURES, JOINT OPERATIONS AND ASSOCIATES AS OF DECEMBER 31, 2024
387
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Main line items of profit and loss and balance sheet related to the joint ventures, represented by the amounts included in the reports accounted
under IFRS of each company, are provided in the table below:
2024
(€ million)
Azule Energy
Holdings Ltd
St. Bernard
Renewables Llc
E&E Algeria
Touat BV
Saipem SpA
SeaCorridor Srl
Current assets
3,181
313
130
9,675
134
- of which cash and cash equivalent
549
72
55
2,158
89
Non-current assets
20,542
1,615
1,497
4,844
975
Total assets
23,723
1,928
1,627
14,519
1,109
Current liabilities
3,505
99
54
8,564
126
- of which current financial liabilities
1,182
796
Non-current liabilities
9,796
217
376
3,431
15
- of which non-current financial liabilities
3,297
215
2,220
1
Total liabilities
13,301
316
430
11,995
141
Net equity
10,422
1,612
1,197
2,524
968
Eni’s % of the investment
50.00
50.00
54.00
21.61
50.10
Book value of the investment
5,211
806
646
528
485
Revenues and other income
4,961
1,220
290
14,552
332
Operating expense
(1,261)
(1,134)
(98)
(13,224)
(45)
Other operating profit (loss)
(93)
1
Depreciation, amortization and impairments
(1,479)
(72)
(105)
(723)
(44)
Operating profit (loss)
2,221
(79)
87
606
243
Finance income (expense)
(474)
(11)
(85)
6
Income (expense) from investments
208
(25)
29
Profit (loss) before income taxes
1,955
(90)
87
496
278
Income taxes
(751)
(13)
(190)
(189)
Profit (loss)
1,204
(90)
74
306
89
Other comprehensive income (loss)
572
99
72
(124)
11
Total other comprehensive income (loss)
1,776
9
146
182
100
Profit (loss) attributable to Eni
602
(45)
40
75
45
Dividends received from the joint venture
427
95
ENI ANNUAL REPORT 2024
388
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
(€ million)
2023 Sol IX Llc
GreenIT SpA
Mozambique Rovuma
Venture SpA
Cardón IV SA
Vårgrønn AS
Profit (loss)
1
4
47
(18)
(57)
Other comprehensive income (loss)
8
(2)
64
47
26
Total other comprehensive income (loss)
9
2
111
29
(31)
2023
(€ million)
Mozambique Rovuma
Venture SpA
Cardón IV SA
Vårgrønn AS
Profit (loss)
131
(28)
(77)
Other comprehensive income (loss)
(35)
(30)
(39)
Total other comprehensive income (loss)
96
(58)
(116)
2023
(€ million)
Azule Energy
Holdings Ltd
St. Bernard
Renewables Llc
Saipem SpA
SeaCorridor Srl
Current assets
3,554
317
8,104
165
- of which cash and cash equivalent
546
65
2,136
104
Non-current assets
19,976
1,594
4,737
964
Total assets
23,530
1,911
12,841
1,129
Current liabilities
2,360
134
6,857
55
- of which current financial liabilities
97
Non-current liabilities
11,670
119
3,588
16
- of which non-current financial liabilities
4,239
119
2,599
1
Total liabilities
14,030
253
10,445
71
Net equity
9,500
1,658
2,396
1,058
Eni’s % of the investment
50.00
50.00
31.20
50.10
Book value of the investment
4,750
829
722
530
Revenues and other income
5,125
591
11,898
456
Operating expense
(814)
(598)
(10,967)
(42)
Other operating profit (loss)
(45)
(5)
Depreciation, amortization and impairments
(2,560)
(28)
(489)
(43)
Operating profit (loss)
1,751
(80)
437
371
Finance income (expense)
(373)
(4)
(167)
(3)
Income (expense) from investments
332
60
33
Profit (loss) before income taxes
1,710
(84)
330
401
Income taxes
(404)
(145)
(303)
Profit (loss)
1,306
(84)
185
98
Other comprehensive income (loss)
(295)
(22)
59
(8)
Total other comprehensive income (loss)
1,011
(106)
244
90
Profit (loss) attributable to Eni
653
(42)
56
49
Dividends received from the joint venture
829
95
The results for the year and the comprehensive income of the significant joint ventures are shown below:
389
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2024
(€ million)
Abu Dhabi Oil Refining
Company (TAKREER)
Vår Energi ASA
Ithaca Energy Plc
QatarEnergy
LNG NFE (5)
Current assets
6,719
1,249
946
- of which cash and cash equivalent
47
268
170
Non-current assets
18,130
19,760
6,100
2,658
Total assets
24,849
21,009
7,046
2,658
Current liabilities
3,835
1,724
1,320
60
- of which current financial liabilities
68
31
Non-current liabilities
9,640
19,285
3,775
67
- of which non-current financial liabilities
6,543
5,795
994
Total liabilities
13,475
21,009
5,095
127
Net equity
11,374
1,951
2,531
Eni’s % of the investment
20.00
63.04
37.17
25.00
Book value of the investment
2,275
725
633
Revenues and other income
12,879
6,884
703
Operating expense
(11,985)
(1,375)
(134)
(6)
Other operating income (expense)
(386)
Depreciation, amortization and impairments
(338)
(1,884)
(367)
Operating profit (loss)
170
3,625
202
(6)
Finance income (expense)
(332)
(455)
(66)
1
Profit (loss) before income taxes
(162)
3,170
136
(5)
Income taxes
(2,759)
(118)
1
Profit (loss)
(162)
411
18
(4)
Other comprehensive income (loss)
708
(125)
100
138
Total other comprehensive income (loss)
546
286
118
134
Profit (loss) attributable to Eni
(32)
259
7
(1)
Dividends received from associates
269
627
69
Main line items of profit and loss and balance sheet related to the associates represented by the amounts included in the reports accounted
under IFRS of each company are provided in the table below:
ENI ANNUAL REPORT 2024
390
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
2023
(€ million)
Abu Dhabi Oil Refining
Company (TAKREER)
Vår Energi ASA
QatarEnergy LNG NFE (5)
Current assets
3,506
1,502
- of which cash and cash equivalent
196
665
Non-current assets
17,036
15,784
1,884
Total assets
20,542
17,286
1,884
Current liabilities
648
1,843
83
- of which current financial liabilities
Non-current liabilities
7,722
14,734
44
- of which non-current financial liabilities
4,972
3,586
Total liabilities
8,370
16,577
127
Net equity
12,172
709
1,757
Eni’s % of the investment
20.00
63.04
25.00
Book value of the investment
2,434
447
439
Revenues and other income
29,259
6,335
Operating expense
(26,459)
(1,242)
(18)
Other operating income (expense)
(738)
Depreciation, amortization and impairments
(426)
(1,840)
Operating profit (loss)
1,636
3,253
(18)
Finance income (expense)
(154)
(148)
3
Profit (loss) before income taxes
1,482
3,105
(15)
Income taxes
(2,541)
4
Profit (loss)
1,482
564
(11)
Other comprehensive income (loss)
(412)
(48)
(55)
Total other comprehensive income (loss)
1,070
516
(66)
Profit (loss) attributable to Eni
296
356
(3)
Dividends received from associates
277
640
2024
(€ million)
ADNOC Global Trading Ltd
Coral FLNG SA
Profit (loss)
563
(33)
Other comprehensive income (loss)
48
57
Total other comprehensive income (loss)
611
24
2023
(€ million)
ADNOC Global Trading Ltd
Coral FLNG SA
Profit (loss)
602
(161)
Other comprehensive income (loss)
(27)
(38)
Total other comprehensive income (loss)
575
(199)
The results for the year and the comprehensive income of the significant associates are shown below:
391
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Under art. 1, paragraphs 125-bis and 126, of the Italian Law No.
124/2017 and subsequent modifications, the disclosures about: (i)
contributions received by Eni SpA and its consolidated subsidiaries
from Italian public authorities and entities with the exclusion
of listed public controlled companies and their subsidiaries; (ii)
contributions granted by Eni SpA and by its fully consolidated
subsidiaries to companies, persons and public and private
entities25, are provided below. Furthermore, it should be underlined
that when Eni acts as operator26 of unincorporated joint ventures27,
a type of joint venture constituted for the management of oil
projects, each consideration made directly by Eni is reported in its
full amount, regardless of whether Eni is reimbursed proportionally
by the non-operating partners through the mechanism of the cash
calls. The following disclosure requirements do not apply to: (i)
incentives/subventions granted to all those entitled in accordance
with a general assistance aid scheme; (ii) consideration in
exchange for supplied goods/services, included sponsorships;
(iii) reimbursements and indemnities paid to persons engaged
in professional and orientation trainings; (iv) continuous training
contributions to companies granted by inter-professional funds
established in the legal form of association; (v) membership fees
for the participation to industry trade and territorial associations,
as well as to foundations or similar organizations, which perform
activities linked with the Company’s business; (vi) costs incurred
with reference to social projects linked to the investing activities of
the Company. Contributions are identified on a cash basis28. The
disclosure includes assistance equal or exceeding €10,000, even
though they are granted through several payments during 2024.
Under Art. 1, paragraph 125-quinquies of Law No. 124/2017, for
received contributions see the information included in the Italian
State aid Register, prepared in accordance with the Art. 52 of the
Italian Law 24 December 2012, No. 234.
Granted contributions provided herein are mainly referred to
foundations, associations and other entities for reputational
purposes, donations and support for charitable and solidarity
initiatives:
38 Public contributions - Italian Law No. 124/2017 and subsequent modifications
(25) The following disclosures do not include contribution granted by foreign subsidiaries to foreign beneficiaries.
(26) In the oil projects, the operator is the subject who in accordance with the contractual agreements manages the exploration activities and, in this role, fulfills the payments due
(27) “Unincorporated joint ventures” mean a grouping of companies that operate jointly within the project in accordance with a contract.
(28) In case of non-monetary economic benefits, the cash basis must be assumed substantially referring to the year in which the benefit was enjoyed.
Granted subject
Amount of the benefit
granted (€)
Fondazione Eni Enrico Mattei (FEEM)
4,000,000
Fondazione Teatro alla Scala
3,221,088
Eni Foundation
2,771,800
Fondazione Giorgio Cini
500,000
Fondazione Banco dell'energia Ente Filantropico
437,050
WeWorld GVC ONLUS
350,000
Fondazione Terre des Hommes Italia ETS
270,000
Fondazione Dynamo Camp ETS
256,000
EITI - Extractive Industries Transparency Initiative
55,107
Associazione Pionieri e Veterani Eni
56,000
Parrocchia di Santa Barbara – San Donato Milanese
50,000
FONDAZIONE COTEC - Fondazione per l'innovazione tecnologica
50,000
Amici della Terra Italia ONLUS
50,000
Aspen Institute Italia
35,000
E4IMPACT Foundation
35,000
Italiadecide
35,000
Alma Mater Studiorum
30,000
ENI ANNUAL REPORT 2024
392
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Granted subject
Amount of the benefit
granted (€)
GCNI - Fondazione Global Compact Network Italia
28,200
Voluntary Principles Association (VPA)
25,038
Casa Bethlem
25,000
Croce Rossa Italiana sezione di Macerata
25,000
Associazione Cilla Liguria ODV
21,000
Associazione Amici della Luiss Guido Carli
20,000
Centro Studi Americani
20,000
Parrocchia San Giovanni Evangelista - Gela
14,786
Harvard University
11,221
Parks - Liberi e Uguali
10,000
CasAmica ODV
10,000
Fondazione Talento all'opera
10,000
39 Significant non-recurring events and
operations
In 2024, in 2023 and 2022, Eni did not report any non-recurring
events and operations.
40 Positions or transactions deriving
from atypical and/or unusual operations
In 2024, in 2023 and 2022, no transactions deriving from atypical
and/or unusual operations were reported.
In January 2025, Eni issued two hybrid bonds for a total nominal
amount of €1.5 billion to repurchase a similar hybrid bond of
the same amount outstanding at the balance sheet date, which
was close to its reset date. Following the repurchase offer, about
83% of the outstanding hybrid bond has been delivered to Eni in
acceptance of the repurchase offer for an amount of about €1.25
billion.
On March 6, 2025, Eni and the private equity fund KKR completed
the investment transaction agreed in October 2024 with KKR
acquiring a 25% noncontrolling interest in Eni’s subsidiary Enilive
for a consideration of about €2.97 billion. Previously, in February
2025, Eni and KKR had agreed another investment transaction
of a further 5% acquisition by KKR of the share capital of Enilive
based on the same terms and condition as the transaction defined
in October 2024. At closing, the fund will have a shareholding of
30% in Enilive.
On March 19, 2025, Eni and Vitol agreed on the economic terms
and conditions of the farm-out to Vitol of a 25% working interest
in the Eni-operated Congo FLNG project (with Eni retaining a post-
closing 40% w.i.) and of a 30% working interest in the Eni-operated
Baleine oil project offshore Cote d’Ivoire (with Eni retaining a post-
closing 47.25% w.i.) for a cash consideration of $1.65 billion and
economic date January 1, 2024. Closing is subject to customary
regulatory approval and other conditions.
41 Subsequent events
At the end of March 2025, Eni was notified by the US Department of
State that prior authorization concerning in-kind repayment through
oil supplies of gas produced and supplied in Venezuela to PDVSA
have been withdrawn. Eni continues its transparent engagement
with US Authorities on the matter to identify options for ensuring that
non-sanctioned gas supplies can be remunerated by PDVSA. 2024
393
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REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Capitalized costs
SUPPLEMENTAL OIL AND GAS INFORMATION (UNAUDITED)
The following information prepared in accordance with “International Financial Reporting Standards” (IFRS) is presented based on the disclo-
sure rules of the FASB Extractive Activities - Oil and Gas (Topic 932). Amounts related to minority interests are immaterial.
Capitalized costs represent the total expenditures for proved and unproved mineral properties and related support equipment and facilities
utilized in oil and gas exploration and production activities, together with related accumulated depreciation, depletion and amortization.
Capitalized costs by geographical area consist of the following:
(€ million)
Italy
Rest of
Europe
North
Africa
Sub -
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2024
Consolidated subsidiaries
Proved property
19,272
3,242
43,769
30,245
14,379
15,223
16,212
1,626
143,968
Unproved property
22
190
651
2,393
2,259
887
209
6,611
Support equipment and facilities
339
29
2,012
837
138
14
26
13
3,408
Incomplete wells and other
756
249
2,554
2,583
1,202
2,232
388
149
10,113
Gross Capitalized Costs
20,389
3,710
48,986
36,058
15,719
19,728
17,513
1,997
164,100
Accumulated depreciation, depletion and
amortization
(16,541)
(2,969)
(36,505)
(24,075)
(5,441)
(12,698)
(14,273)
(1,108) (113,610)
Net Capitalized Costs consolidated
subsidiaries(a)(b)
3,848
741
12,481
11,983
10,278
7,030
3,240
889
50,490
Equity-accounted entities
Proved property
12,751
645
10,137
295
2,150
25,978
Unproved property
1,178
149
88
1,415
Support equipment and facilities
86
9
82
9
186
Incomplete wells and other
4,989
22
2,246
370
249
7,876
Gross Capitalized Costs
19,004
825
12,553
665
2,408
35,455
Accumulated depreciation, depletion and
amortization
(6,799)
(140)
(2,809)
(1,644)
(11,392)
Net Capitalized Costs equity-accounted
entities(a)(c)
12,205
685
9,744
665
764
24,063
(a) The amounts include net capitalized financial charges totalling €830 million for consolidates subsidiaries and €996 million for equity-accounted entities.
(b) Includes allocation at fair value of the assets of Neptune Energy Group.
(c) Includes allocation at fair value of the assets of Neptune Energy Group and of Ithaca Energy in UK.
(€ million)
Italy
Rest of
Europe
North
Africa
Sub -
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2023
Consolidated subsidiaries
Proved property
19,073
6,802
40,429
30,058
13,360
13,048
19,106
1,608
143,484
Unproved property
22
325
651
2,280
7
1,480
859
197
5,821
Support equipment and facilities
310
27
1,868
1,102
128
12
24
12
3,483
Incomplete wells and other
1,006
354
2,146
2,510
1,062
1,834
511
83
9,506
Gross Capitalized Costs
20,411
7,508
45,094
35,950
14,557
16,374
20,500
1,900
162,294
Accumulated depreciation, depletion and
amortization
(16,515)
(6,390)
(32,559)
(24,796)
(4,578)
(10,853)
(16,042)
(1,060) (112,793)
Net Capitalized Costs consolidated
subsidiaries (a)(b)
3,896
1,118
12,535
11,154
9,979
5,521
4,458
840
49,501
Equity-accounted entities
Proved property
8,585
119
27,267
278
2,030
38,279
Unproved property
835
69
904
Support equipment and facilities
50
8
257
7
322
Incomplete wells and other
3,790
9
1,823
193
233
6,048
Gross Capitalized Costs
13,260
136
29,416
471
2,270
45,553
Accumulated depreciation, depletion and
amortization
(4,364)
(73)
(20,707)
(1,480)
(26,624)
Net Capitalized Costs equity-accounted
entities(a)
8,896
63
8,709
471
790
18,929
(a) The amounts include net capitalized financial charges totalling €709 million for consolidates subsidiaries and €658 million for equity-accounted entities.
(b) Includes allocation at fair value of the assets of the companies acquired by Chevron in Indonesia and by BP in Algeria.
ENI ANNUAL REPORT 2024
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FINANCIAL STATEMENTS
ANNEX
Costs incurred
Costs incurred represent amounts both capitalized and expensed in connection with oil and gas producing activities. Costs incurred by ge-
ographical area consist of the following:
(€ million)
Italy
Rest of
Europe
North
Africa
Sub - Saharan
Africa Kazakhstan
Rest
of Asia America
Australia
and
Oceania
Total
2024
Consolidated subsidiaries
Proved property acquisitions
Unproved property acquisitions
Exploration
47
53
98
139
57
128
124
2
648
Development(a)
445
340
1,168
3,250
252
1,012
760
101
7,328
Total costs incurred consolidated subsidiaries
492
393
1,266
3,389
309
1,140
884
103
7,976
Equity-accounted entities
Proved property acquisitions
Unproved property acquisitions
Exploration
231
90
321
Development(b)
1,850
15
1,191
157
(6)
3,207
Total costs incurred equity-accounted entities
2,081
15
1,281
157
(6)
3,528
2023
Consolidated subsidiaries
Proved property acquisitions
Unproved property acquisitions
Exploration
12
55
328
189
9
277
138
1
1,009
Development(a)
798
249
1,633
2,662
296
921
937
151
7,647
Total costs incurred consolidated subsidiaries
810
304
1,961
2,851
305
1,198
1,075
152
8,656
Equity-accounted entities
Proved property acquisitions
Unproved property acquisitions
Exploration
92
46
138
Development(b)
1,703
4
731
150
2
2,590
Total costs incurred equity-accounted entities
1,795
4
777
150
2
2,728
2022
Proved property acquisitions
Proved property acquisitions
4
51
82
137
Unproved property acquisitions
2
111
11
124
Exploration
12
101
247
295
4
253
26
1
939
Development(a)
216
(129)
1,138
1,458
277
835
1,292
117
5,204
Total costs incurred consolidated subsidiaries
234
(28)
1,547
1,764
281
1,088
1,400
118
6,404
Equity-accounted entities
Proved property acquisitions
291
291
Unproved property acquisitions
Exploration
73
13
86
Development(b)
1,690
(8)
125
49
(9)
1,847
Total costs incurred equity-accounted entities
1,763
(8)
138
340
(9)
2,224
(a) Includes abandonment costs for €73 million in 2024, abandonment costs for €773 million in 2023, decrease of the assets for €307 million in 2022.
(b) Includes abandonment costs for €42 million in 2024, abandonment costs for €163 million in 2023, decrease of the assets for €111 million in 2022.
395
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FINANCIAL STATEMENTS
ANNEX
Results of operations from oil and gas producing activities
Results of operations from oil and gas producing activities represent
only those revenues and expenses directly associated with such acti-
vities, including operating overheads. These amounts do not include
any allocation of interest expenses or general corporate overheads
and, therefore, are not necessarily indicative of the contributions to
consolidated net earnings of Eni. Related income taxes are calcu-
lated by applying the local income tax rates to the pre-tax income
from production activities. Eni is party to certain Production Sharing
Agreements (PSAs), whereby a portion of Eni’s share of oil and gas
production is withheld and sold by its joint venture partners which are
state owned entities, with proceeds being remitted to the state to ful-
fil Eni’s PSA related tax liabilities. Revenue and income taxes include
such taxes owed by Eni but paid by state-owned entities out of Eni’s
share of oil and gas production.
Results of operations from oil and gas producing activities by geo-
graphical area consist of the following:
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2024
Consolidated subsidiaries
Revenues:
- sales to consolidated entities
1,256
524
1,590
1,984
1,747
3,171
1,364
11,636
- sales to third parties
462
7,135
892
958
752
138
19
10,356
Total revenues
1,256
986
8,725
2,876
2,705
3,923
1,502
19
21,992
Production costs
(350)
(328)
(971)
(617)
(280)
(392)
(403)
(25)
(3,366)
Transportation costs
(4)
(86)
(65)
(8)
(175)
(8)
(15)
(361)
Production taxes
(139)
(1)
(299)
(276)
(339)
(73)
(1,127)
Exploration expenses
(16)
(158)
(148)
(54)
(81)
(243)
(39)
(2)
(741)
D.D. & A. and Provision for abandonment(a)
(606)
(440)
(1,880)
(2,121)
(555)
(1,142)
(1,373)
(52)
(8,169)
Other income (expenses)
(179)
(413)
(330)
(280)
(168)
(335)
(45)
(7)
(1,757)
Pretax income from producing activities
(38)
(440)
5,032
(480)
1,446
1,464
(446)
(67)
6,471
Income taxes
73
134
(3,150)
(347)
(507)
(1,283)
39
23
(5,018)
Results of operations from E&P activities
of consolidated subsidiaries
35
(306)
1,882
(827)
939
181
(407)
(44)
1,453
Equity-accounted entities
Revenues:
- sales to consolidated entities
3,330
1,149
4,479
- sales to third parties
1,213
162
1,682
669
3,726
Total revenues
4,543
162
2,831
669
8,205
Production costs
(711)
(33)
(621)
(23)
(1,388)
Transportation costs
(151)
(15)
(3)
(169)
Production taxes
(2)
(42)
(148)
(192)
Exploration expenses
(119)
(7)
(126)
D.D. & A. and Provision for abandonment
(1,150)
(62)
(864)
(66)
(2,142)
Other income (expenses)
37
(26)
(127)
(1)
(333)
(450)
Pretax income from producing activities
2,449
24
1,170
(1)
96
3,738
Income taxes
(1,839)
(2)
(456)
(42)
(2,339)
Results of operations from E&P activities
of equity-accounted entities
610
22
714
(1)
54
1,399
(a) Includes asset net impairment amounting to €2,203 million.
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396
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia America
Australia
and
Oceania
Total
2023
Consolidated subsidiaries
Revenues:
- sales to consolidated entities
1,475
862
1,477
1,745
1,845
2,970
1,661
1
12,036
- sales to third parties
18
7,936
903
897
532
135
51
10,472
Total revenues
1,475
880
9,413
2,648
2,742
3,502
1,796
52
22,508
Production costs
(348)
(202)
(952)
(656)
(267)
(304)
(469)
(25)
(3,223)
Transportation costs
(3)
(43)
(68)
(10)
(178)
(6)
(19)
(327)
Production taxes
(152)
(300)
(294)
(326)
(73)
(1,145)
Exploration expenses
(12)
(14)
(245)
(121)
(2)
(140)
(152)
(1)
(687)
D.D. & A. and Provision for
abandonment(a)
(886)
(166)
(1,979)
(716)
(601)
(1,093)
(1,531)
(95)
(7,067)
Other income (expenses)
(347)
(117)
(360)
(128)
(148)
(263)
(108)
(7)
(1,478)
Pretax income from producing activities
(273)
338
5,509
723
1,546
1,370
(556)
(76)
8,581
Income taxes
169
(292)
(3,368)
(391)
(503)
(1,150)
369
19
(5,147)
Results of operations from E&P
activities of consolidated subsidiaries
(104)
46
2,141
332
1,043
220
(187)
(57)
3,434
Equity-accounted entities
Revenues:
- sales to consolidated entities
2,911
958
3,869
- sales to third parties
1,063
10
1,905
604
3,582
Total revenues
3,974
10
2,863
604
7,451
Production costs
(562)
(6)
(535)
(20)
(1,123)
Transportation costs
(102)
(1)
(26)
(3)
(132)
Production taxes
(2)
(54)
(126)
(182)
Exploration expenses
(50)
(37)
(87)
D.D. & A. and Provision for abandonment
(1,116)
(5)
(1,314)
(1)
(68)
(2,504)
Other income (expenses)
(78)
(1)
24
(4)
(372)
(431)
Pretax income from producing activities
2,066
(5)
921
(5)
15
2,992
Income taxes
(1,614)
6
(273)
1
(56)
(1,936)
Results of operations from E&P
activities of equity-accounted entities
452
1
648
(4)
(41)
1,056
(a) Includes asset net impairment amounting to €1,036 million.
397
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2022
Consolidated subsidiaries
Revenues:
- sales to consolidated entities
1,952
1,854
2,095
4,434
1,602
2,982
1,683
3
16,605
- sales to third parties
329
23
8,843
1,216
1,001
837
307
72
12,628
Total revenues
2,281
1,877
10,938
5,650
2,603
3,819
1,990
75
29,233
Production costs
(387)
(189)
(970)
(871)
(241)
(326)
(410)
(21)
(3,415)
Transportation costs
(3)
(42)
(55)
(29)
(147)
(3)
(16)
(295)
Production taxes
(286)
(330)
(478)
(421)
(63)
(1,578)
Exploration expenses
(11)
(25)
(268)
(150)
(6)
(123)
(21)
(1)
(605)
D.D. & A. and Provision for
abandonment(a)
(449)
(158)
(1,995)
(1,488)
(434)
(727)
(707)
(90)
(6,048)
Other income (expenses)
(1,987)
(98)
1,577
(196)
(127)
(292)
2
(4)
(1,125)
Pretax income from producing activities
(842)
1,365
8,897
2,438
1,648
1,927
775
(41)
16,167
Income taxes
337
(665)
(3,932)
(979)
(524)
(1,457)
(41)
47
(7,214)
Results of operations from E&P
activities of consolidated subsidiaries
(505)
700
4,965
1,459
1,124
470
734
6
8,953
Equity-accounted entities
Revenues:
- sales to consolidated entities
2,937
572
3,509
- sales to third parties
3,039
14
1,327
533
4,913
Total revenues
5,976
14
1,899
533
8,422
Production costs
(567)
(6)
(244)
(24)
(841)
Transportation costs
(131)
(1)
(9)
(141)
Production taxes
(2)
(15)
(123)
(140)
Exploration expenses
(44)
(7)
(13)
(64)
D.D. & A. and Provision for abandonment
(1,121)
(6)
(628)
(1)
(63)
(1,819)
Other income (expenses)
(64)
(271)
1
(234)
(568)
Pretax income from producing activities
4,049
(1)
725
(13)
89
4,849
Income taxes
(3,076)
3
(21)
(105)
(3,199)
Results of operations from E&P
activities of equity-accounted entities
973
2
704
(13)
(16)
1,650
(a) Includes asset net impairment amounting to €279 million.
ENI ANNUAL REPORT 2024
398
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REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Proved reserves of oil and natural gas
Eni’s criteria concerning evaluation and classification of proved de-
veloped and undeveloped reserves comply with Regulation S-X 4-10
of the US Securities and Exchange Commission and have been di-
sclosed in accordance with FASB Extractive Activities - Oil and Gas
(Topic 932).
Proved oil and gas reserves are those quantities of oil and gas, whi-
ch, by analysis of geoscience and engineering data, can be estima-
ted with reasonable certainty to be economically producible, from a
given date forward, from known reservoirs, and under existing eco-
nomic conditions, operating methods, and government regulations,
prior to the time at which contracts providing the right to operate
expire, unless evidence indicates that renewal is reasonably certain,
regardless of whether deterministic or probabilistic methods are
used for the estimation. The project to extract the hydrocarbons
must have commenced or the operator must be reasonably certain
that it will commence the project within a reasonable time.
Existing economic conditions include prices and costs at which eco-
nomic producibility from a reservoir is to be determined. The price
shall be the average price during the 12-month period prior to the
ending date of the period covered by the report, determined as an
un-weighted arithmetic average of the first-day-of-the-month price
for each month within such period, unless prices are defined by
contractual arrangements, excluding escalations based upon future
conditions. In 2024, the average price for the marker Brent crude oil
was $81 per barrel. Net proved reserves exclude interests and royal-
ties owned by others.
Proved reserves are classified as either developed or undeveloped.
Developed oil and gas reserves are reserves that can be expected
to be recovered through existing wells with existing equipment and
operating methods or in which the cost of the required equipment
is relatively minor compared to the cost of a new well. Undeveloped
oil and gas reserves are reserves of any category that are expected
to be recovered from new wells on undrilled acreage, or from exi-
sting wells where a relatively major expenditure is required for re-
completion.
Eni has its proved reserves evaluated on a rotational basis by indepen-
dent oil engineering companies29. The description of qualifications of
the person primarily responsible of the reserves audit is included in
the third-party audit report30. In the preparation of their reports, inde-
pendent evaluators rely, without independent verification, upon data
furnished by Eni with respect to property interest, production, current
costs of operation and development, sale agreements, prices and
other factual information and data that were accepted as represen-
ted by the independent evaluators. Eni’s net equity share after cost
recovery. These data, equally used by Eni in its internal process, in-
clude logs, directional surveys, core and PVT (Pressure Volume Tem-
perature) analysis, maps, oil/gas/water production/injection data of
wells, reservoir studies and technical analysis relevant to field perfor-
mance, long-term development plans, future capital and operating
costs. In order to calculate the economic value of Eni equity reserves,
actual prices applicable to hydrocarbon sales, price adjustments re-
quired by applicable contractual arrangements, and other pertinent
information are provided.
The volumes and monetary values of the reserves of certain joint
venture and affiliated companies are certified on their behalf in a si-
milar manner by independent petroleum engineering companies and
provided to Eni31.
In 2024, an independent evaluation of about 40%32 of Eni’s total pro-
ved reserves as of December 31, 2024, confirming, as in previous
years, the reasonableness of Eni’s internal evaluations.
In the three-year period from 2022 to 2024, 85% of Eni’s total proved
reserves were subject to independent evaluation.
Eni operates under production sharing agreements in several of the
foreign jurisdictions where it has oil and gas exploration and pro-
duction activities. Reserves of oil and natural gas to which Eni is en-
titled under PSA arrangements are shown in accordance with Eni’s
economic interest in the volumes of oil and natural gas estimated
to be recoverable in future years. Such reserves include estimated
quantities allocated to Eni for recovery of costs, income taxes owed
by Eni but settled by its joint venture partners (which are state-owned
entities) out of Eni’s share of production and Eni’s net equity sha-
re after cost recovery. Proved oil and gas reserves associated with
PSAs represented 57%, 55% and 54% of total proved reserves as of
December 31, 2024, 2023 and 2022 respectively, on an oil-equiva-
lent basis. Similar effects as PSAs apply to service contracts; proved
reserves related to these contracts represent 2% of total proved re-
serves in barrels of oil equivalent for both 2024 and the years 2023
and 2022.
Oil and gas reserves quantities include: (i) oil and natural gas quanti-
ties in excess of cost recovery which the Company has an obligation
to purchase under certain PSAs with governments or authorities,
whereby the Company serves as producer of reserves. Reserves
volumes associated with oil and gas deriving from such obligation
represent 1%, 2% and 3% of total proved reserves as of December
(29) For the past three years we have availed of the independent certification service of DeGolyer and Mac Naughton, Ryder Scott, and Sproule.
(30) The reports of independent engineers are available on Eni website eni.com section Publications/Annual Report 2024.
(31) In 2024 Azule and Vår Energi.
(32) In 2024, the volumes of Azule Energy and Vår Energi are included, for which Eni has requested a Third Party Letter.
399
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Proved undeveloped reserves
31, 2024, 2023 and 2022, respectively, on an oil equivalent basis; (ii)
volumes of proved reserves of natural gas to be consumed in opera-
tions amounted to 2,380 BCF at 2024 year-end (2,338 BCF and 2,389
BCF respectively at 2023 and 2022 year-end); (iii) the quantities of
hydrocarbons related to the Angola LNG plant owned by the JV Azule
set up 50% with bp during the year.
Numerous uncertainties are inherent in estimating quantities of pro-
ved reserves, in projecting future productions and development co-
sts. The accuracy of any reserve estimate is a function of the quality
Proved undeveloped reserves as of December 31, 2024, totalled
2,787 mmBOE. At year-end, proved undeveloped reserves of liquids
amounted to 1,192 mmBBL and of natural gas amounted to 8,343
BCF, mainly concentrated in Africa and Asia.
In 2024, total proved undeveloped reserves increased by 368 mm-
boe (proved undeveloped reserves of consolidated companies de-
creased by 29 mmboe, while those of joint ventures and associates
increased by 397 mmboe).
Main changes derived from:
i) Progress in conversion to proved developed reserves (-128 mil-
lion boe) mainly related to the advancement of development
activities, reservoir start-ups and project reviews related to Ba-
leine in Ivory Coast, Azule Energy in Angola, Karachaganak in
Kazakhstan, and Cassiopea in Italy;
ii) new discoveries and extensions amounting to 367 million boe,
of which 51 million boe of liquids and 316 million boe of gas,
are mainly the result of the recognition of reserves from the Co-
ral North project (329 million boe), based on Eni’s final invest-
ment decision, the status and commitment by the joint venture
operating the project, and the reasonable expectation that the
remaining formal approvals from the Mozambique government
authorities will be obtained shortly. The development of the Co-
of available data and engineering and geological interpretation and
evaluation. The results of drilling, testing and production after the
date of the estimate may require substantial upward or downward
revisions. In addition, changes in oil and natural gas prices have an
effect on the quantities of Eni’s proved reserves since estimates of
reserves are based on prices and costs relevant to the date when
such estimates are made. Consequently, the evaluation of reserves
could also significantly differ from actual oil and natural gas volumes
that will be produced.
Proved undeveloped reserves of consolidated subsidiaries amoun-
ted to 775 mmBBL of liquids and 4,489 BCF of natural gas. The table
below provide a summary of changes in total proved undeveloped
reserves for 2024.
ral North project is regulated under the terms and conditions of
the Area 4 PSC awarded to the joint venture in 2006. In addition,
the new discoveries and extensions also refer to the final invest-
ment decision and the obtaining of all approvals for the projects,
of Bonga North in Nigeria (23 million boe) and Umm Shaif in the
United Arab Emirates (15 million boe);
iii) revisions of previous estimates (107 million boe), mainly in li-
quids. Positive revisions mainly refer to the advancement of de-
velopment activity in the United Arab Emirates (155 million boe)
mainly in the Hail & Ghasha fields and in the United States (18
million boe). Negative revisions mainly refer to a reduction in Var
Energi (-58 million boe) and Libya (-29 million boe);
iv) portfolio operations (+22 million boe), from the effect of the
acquisition of Neptune, which brought new assets in Norway,
Indonesia, and the UK, and from the business combination with
Ithaca Energy (sale of UK assets to Ithaca Energy and acquisi-
tion of 37.17% stake in all assets in Ithaca Energy) and from the
sale of assets in Alaska, Nigeria, and Congo.
(mmboe)
Proved undeveloped reserves as of December 31, 2023
2,419
Transfer to proved developed reserves
(128)
Extensions and discoveries
367
Revisions of previous estimates
107
Improved recovery
Portfolio
22
Proved undeveloped reserves as of December 31, 2024
2,787
ENI ANNUAL REPORT 2024
400
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Proved reserves of crude oil (including condensate and natural gas liquids)
(million barrels)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2024
Consolidated subsidiaries
Reserves at December 31, 2023
211
27
523
334
637
485
213
2,430
of which: developed
136
24
326
225
576
240
163
1,690
undeveloped
75
3
197
109
61
245
50
740
Purchase of Minerals in Place
8
8
Revisions of Previous Estimates
12
22
(6)
105
52
185
Improved Recovery
1
1
Extensions and Discoveries
15
22
37
Production
(10)
(6)
(65)
(32)
(40)
(34)
(21)
(208)
Sales of Minerals in Place
(29)
(71)
(118)
(218)
Reserves at December 31, 2024
213
458
268
591
578
127
2,235
Equity-accounted entities
Reserves at December 31, 2023
326
6
207
110
26
675
of which: developed
167
6
107
26
306
undeveloped
159
100
110
369
Purchase of Minerals in Place
90
1
2
93
Revisions of Previous Estimates
21
2
35
58
Improved Recovery
Extensions and Discoveries
14
14
Production
(44)
(1)
(32)
(3)
(80)
Sales of Minerals in Place
(2)
(2)
Reserves at December 31, 2024
391
8
226
110
23
758
Reserves at December 31, 2024
213
391
466
494
591
688
150
2,993
Developed
129
207
299
290
539
233
104
1,801
consolidated subsidiaries
129
291
187
539
233
81
1,460
equity-accounted entities
207
8
103
23
341
Undeveloped
84
184
167
204
52
455
46
1,192
consolidated subsidiaries
84
167
81
52
345
46
775
equity-accounted entities
184
123
110
417
401
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(million barrels)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2023
Consolidated subsidiaries
Reserves at December 31, 2022
188
36
531
367
644
433
234
1
2,434
of which: developed
139
32
336
212
585
231
171
1
1,707
undeveloped
49
4
195
155
59
202
63
727
Purchase of Minerals in Place
4
4
Revisions of Previous Estimates
34
(2)
58
(2)
35
35
3
(1)
160
Improved Recovery
Extensions and Discoveries
50
50
Production
(11)
(7)
(70)
(31)
(42)
(31)
(24)
(216)
Sales of Minerals in Place
(2)
(2)
Reserves at December 31, 2023
211
27
523
334
637
485
213
2,430
Equity-accounted entities
Reserves at December 31, 2022
350
8
235
100
27
720
of which: developed
173
8
135
27
343
undeveloped
177
100
100
377
Purchase of Minerals in Place
2
2
Revisions of Previous Estimates
9
(1)
2
10
20
Improved Recovery
Extensions and Discoveries
Production
(32)
(1)
(32)
(1)
(66)
Sales of Minerals in Place
(1)
(1)
Reserves at December 31, 2023
326
6
207
110
26
675
Reserves at December 31, 2023
211
353
529
541
637
595
239
3,105
Developed
136
191
332
332
576
240
189
1,996
consolidated subsidiaries
136
24
326
225
576
240
163
1,690
equity-accounted entities
167
6
107
26
306
Undeveloped
75
162
197
209
61
355
50
1,109
consolidated subsidiaries
75
3
197
109
61
245
50
740
equity-accounted entities
159
100
110
369
ENI ANNUAL REPORT 2024
402
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(million barrels)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2022
Consolidated subsidiaries
Reserves at December 31, 2021
197
34
603
589
710
476
237
1
2,847
of which: developed
146
34
389
435
641
262
164
1
2,072
undeveloped
51
214
154
69
214
73
775
Purchase of Minerals in Place
1
17
2
20
Revisions of Previous Estimates
3
6
(24)
(62)
(34)
(15)
13
(113)
Improved Recovery
2
4
6
Extensions and Discoveries
3
6
61
70
Production
(13)
(7)
(73)
(51)
(32)
(28)
(22)
(226)
Sales of Minerals in Place
(170)
(170)
Reserves at December 31, 2022
188
36
531
367
644
433
234
1
2,434
Equity-accounted entities
Reserves at December 31, 2021
378
9
21
6
414
of which: developed
175
9
9
6
199
undeveloped
203
12
215
Purchase of Minerals in Place
132
100
232
Revisions of Previous Estimates
38
37
22
97
Improved Recovery
4
4
Extensions and Discoveries
4
54
58
Production
(33)
(1)
(13)
(1)
(48)
Sales of Minerals in Place
(37)
(37)
Reserves at December 31, 2022
350
8
235
100
27
720
Reserves at December 31, 2022
188
386
539
602
644
533
261
1
3,154
Developed
139
205
344
347
585
231
198
1
2,050
consolidated subsidiaries
139
32
336
212
585
231
171
1
1,707
equity-accounted entities
173
8
135
27
343
Undeveloped
49
181
195
255
59
302
63
1,104
consolidated subsidiaries
49
4
195
155
59
202
63
727
equity-accounted entities
177
100
100
377
Main changes in proved reserves of crude oil (including condensates and natural gas liquids) reported in the tables above for the period 2024,
2023 and 2022 are discussed below.
403
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Consolidated subsidiaries
PURCHASE OF MINERALS IN PLACE
In 2022, 20 mmbbl were booked, mainly for the acquisition of the
BHP share in Algeria and a share in some fields in the United States
Gulf of Mexico.
In 2023, we had an acquisition of some BP assets in Algeria for 4
mmbbl.
In 2024, 8 mmbbl were obtained for the acquisition of the Neptune
company.
REVISIONS OF PREVIOUS ESTIMATES
In 2022, revisions of previous estimates were negative of 113 mmbbl.
The main positive revisions were in the United Arab Emirates (+23
mmbbl) particularly of the Umm Shaif field (19 mmbbl), the United
States (+16 mmbbl) mainly at the Triton and Allegheny fields, and Li-
bya (15 mmbbl) at the Wafa and Structure E fields. The main negative
changes were in Nigeria (-70 mmbbl), Iraq (-39 mmbbl) and Kazakh-
stan (-34 mmbbl) due to price effect and Algeria (-23 mmbbl).
In 2023, revisions of previous estimates were +160 mmbbl. The main
positive revisions were in Libya (+53 mmbbl) mainly in Area D and Bouri
due to contractual changes and price effect; in Kazakhstan (+35 mmb-
bl) in Kashagan and Karachaganak fields mainly due to price effect; in
Italy (+34 mmbbl) mainly in Val d’Agri and Gela; in Iraq (+24 mmbbl) in
Zubair field due to price effect. The main negative changes were Nige-
ria (-8 mmbbl) mainly on NAOC fields; in the United States of America
(-10 mmbbl) mainly on Triton, Oooguruk and Allegheny fields.
In 2024, revisions of previous estimates were +185 mmbbl. The main
positive revisions were in the United Arab Emirates (+110 mmbbl) mainly
in the Ghasha, Lower Zakum and Hail fields, due to availability of updated
data from the new wells; in Algeria (+30 mmbbl) mainly in the Berkine
North fields due to better performances. The main negative revisions
were in Egypt (-31 mmbbl) mainly concentrated in the Belayim and Me-
leiha fields and considered the performance trends of the fields.
IMPROVED RECOVERY
In 2022, 6 mmbbl were booked due to improved recovery mainly at
the Mizton field in Mexico and the BRW field in Algeria.
In 2023, there were no increases due to improvements from assisted
recovery.
In 2024, there was 1 mmbbl due to improvements from assisted re-
covery on the St. Malo field in the United States of America.
EXTENSIONS AND DISCOVERIES
In 2022, 70 mmbbl of new discoveries and extensions were realized
mainly due to the final investment decision on the development of
the Baleine field in Ivory Coast (59 mmbbl), the NAHE project in Alge-
ria, and the Talbot field in the United Kingdom.
In 2023, new discoveries and extensions amounted to 50 mmbbl,
mainly related to the United Arab Emirates following the final invest-
ment decision in the Hail and Ghasha project.
In 2024, new discoveries and extensions amounted to 37 mmbbl, mainly
due to the final investment decision in the Umm Shaif projects in the
United Arab Emirates (22 mmbbl) and Bonga North in Nigeria (15
mmbbl).
SALES OF MINERALS IN PLACE
In 2022, 170 mmbbl were de-booked in connection to the contribu-
tion of Eni’s assets in Angola to the JV Azule set up 50% with bp and
the sale of OML 11 in Nigeria.
In 2023, the divestment of 2 mmbbl mainly concerned the reduction
of the share in the Ghasha concession in the United Arab Emirates.
In 2024, 218 mmbbl of divestments were recorded. Of these, 71
mmbbl were related to the sale of NAOC assets in Nigeria, 118 mmbbl
to the sale of assets in Alaska, and the remainder were related to the
sale of some minor fields in Congo and the results of the business
combination with Ithaca Energy.
ENI ANNUAL REPORT 2024
404
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Equity-accounted entities
PURCHASE OF MINERALS IN PLACE
In 2022, acquisitions amounted to 232 mmbbl due to the acquisition
of a 50% stake in the JV Azule in Angola (132 mmbbl) and to Eni’s
joining the NFE project in Qatar (100 mmbbl).
In 2023, the 2 mmbbl of acquisition of a share in Block 3/05a in Azule.
Acquisitions in 2024 amounted to 93 mmbbl and were mainly due to
the business combination with Ithaca Energy and Vår Energi’s acqui-
sition of Neptune.
REVISIONS OF PREVIOUS ESTIMATES
In 2022, revisions were a positive 97 mmbbl, located mainly in Azule
in Angola (+38 mmbbl), Vår Energi in Norway (+37 mmbbl) and Ve-
nezuela (+21 mmbbl).
In 2023, positive revisions of +20 mmbbl were mainly due to Qatar
(+10 mmbbl) on the NFE field, Vår Energi in Norway (+9 mmbbl).
In 2024, revisions were positive by 58 mmbbl, affecting mainly Azule
Energy and Vår Energi.
EXTENSIONS AND DISCOVERIES
In 2022, extensions and new discoveries of 58 mmbbl were reported
by Azule in Angola and Vår Energi in Norway.
No extensions or new discoveries were recorded in 2023.
In 2024, extensions and new discoveries of 14 mmbbl were mainly
the result of the inclusion of reserves from the Coral North project.
SALES OF MINERALS IN PLACE
In 2022, sales of 37 mmbbl related to the IPO of Vår Energi in Norway.
In 2023, sales amounted to -1 mmbbl for the divestment of the Brage
field in Vår Energi in Norway.
In 2024, divestments of 2 mmbbl involved assets of Vår Energi.
405
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(billion cubic feet)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2024
Consolidated subsidiaries
Reserves at December 31, 2023
859
174
5,935
2,479
1,546
1,303
131
192
12,619
of which: developed
653
167
3,181
1,350
1,546
725
107
58
7,787
undeveloped
206
7
2,754
1,129
578
24
134
4,832
Purchase of Minerals in Place
184
9
226
419
Revisions of Previous Estimates
30
2
172
194
35
267
23
3
726
Improved Recovery
Extensions and Discoveries
2
2
4
Production(a)
(72)
(71)
(778)
(164)
(92)
(215)
(18)
(5)
(1,415)
Sales of Minerals in Place
(235)
(580)
(42)
(857)
Reserves at December 31, 2024
817
54
5,338
1,931
1,489
1,583
94
190
11,496
Equity-accounted entities
Reserves at December 31, 2023
515
14
1,501
1,406
1,260
4,696
of which: developed
359
14
1,036
1,260
2,669
undeveloped
156
465
1,406
2,027
Purchase of Minerals in Place
544
174
718
Revisions of Previous Estimates
28
56
38
5
3
130
Improved Recovery
Extensions and Discoveries
1,651
1,651
Production(b)
(139)
(22)
(87)
(104)
(352)
Sales of Minerals in Place
(9)
(9)
Reserves at December 31, 2024
939
222
3,103
1,411
1,159
6,834
Reserves at December 31, 2024
817
993
5,560
5,034
1,489
2,994
1,253
190
18,330
Developed
693
597
2,914
2,260
1,486
799
1,215
23
9,987
consolidated subsidiaries
693
52
2,692
1,206
1,486
799
56
23
7,007
equity-accounted entities
545
222
1,054
1,159
2,980
Undeveloped
124
396
2,646
2,774
3
2,195
38
167
8,343
consolidated subsidiaries
124
2
2,646
725
3
784
38
167
4,489
equity-accounted entities
394
2,049
1,411
3,854
(a) Includes production volumes consumed in operations equal to 223 Bcf.
(b) Includes production volumes consumed in operations equal to 33 Bcf.
Proved reserves of natural gas
ENI ANNUAL REPORT 2024
406
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(billion cubic feet)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2023
Consolidated subsidiaries
Reserves at December 31, 2022
869
223
6,204
2,341
1,560
1,281
264
408
13,150
of which: developed
695
214
3,402
1,306
1,560
796
195
223
8,391
undeveloped
174
9
2,802
1,035
485
69
185
4,759
Purchase of Minerals in Place
214
214
Revisions of Previous Estimates
67
(10)
326
294
79
112
5
(202)
671
Improved Recovery
Extensions and Discoveries
4
5
275
284
Production(a)
(77)
(39)
(813)
(161)
(93)
(187)
(25)
(14)
(1,409)
Sales of Minerals in Place
(178)
(113)
(291)
Reserves at December 31, 2023
859
174
5,935
2,479
1,546
1,303
131
192
12,619
Equity-accounted entities
Reserves at December 31, 2022
646
9
1,562
1,490
1,355
5,062
of which: developed
444
9
1,070
1,355
2,878
undeveloped
202
492
1,490
2,184
Purchase of Minerals in Place
Revisions of Previous Estimates
(32)
6
22
(84)
7
(81)
Improved Recovery
Extensions and Discoveries
Production(b)
(97)
(1)
(83)
(102)
(283)
Sales of Minerals in Place
(2)
(2)
Reserves at December 31, 2023
515
14
1,501
1,406
1,260
4,696
Reserves at December 31, 2023
859
689
5,949
3,980
1,546
2,709
1,391
192
17,315
Developed
653
526
3,195
2,386
1,546
725
1,367
58
10,456
consolidated subsidiaries
653
167
3,181
1,350
1,546
725
107
58
7,787
equity-accounted entities
359
14
1,036
1,260
2,669
Undeveloped
206
163
2,754
1,594
1,984
24
134
6,859
consolidated subsidiaries
206
7
2,754
1,129
578
24
134
4,832
equity-accounted entities
156
465
1,406
2,027
(a) Includes production volumes consumed in operations equal to 206 Bcf.
(b) Includes production volumes consumed in operations equal to 33 Bcf.
407
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
2022
Consolidated subsidiaries
Reserves at December 31, 2021
918
247
6,424
2,953
1,705
1,522
274
428
14,471
of which: developed
729
242
4,437
1,759
1,705
971
210
266
10,319
undeveloped
189
5
1,987
1,194
551
64
162
4,152
Purchase of Minerals in Place
6
2
8
Revisions of Previous Estimates
39
15
473
(285)
(73)
(53)
17
(1)
132
Improved Recovery
1
1
Extensions and Discoveries
7
89
154
250
Production(a)
(88)
(46)
(789)
(176)
(72)
(185)
(29)
(19)
(1,404)
Sales of Minerals in Place
(305)
(3)
(308)
Reserves at December 31, 2022
869
223
6,204
2,341
1,560
1,281
264
408
13,150
Equity-accounted entities
Reserves at December 31, 2021
654
10
1,285
1,460
3,409
of which: developed
457
10
165
1,460
2,092
undeveloped
197
1,120
1,317
Purchase of Minerals in Place
194
1,490
1,684
Revisions of Previous Estimates
144
127
(10)
261
Improved Recovery
Extensions and Discoveries
19
19
Production(b)
(108)
(1)
(44)
(95)
(248)
Sales of Minerals in Place
(63)
(63)
Reserves at December 31, 2022
646
9
1,562
1,490
1,355
5,062
Reserves at December 31, 2022
869
869
6,213
3,903
1,560
2,771
1,619
408
18,212
Developed
695
658
3,411
2,376
1,560
796
1,550
223
11,269
consolidated subsidiaries
695
214
3,402
1,306
1,560
796
195
223
8,391
equity-accounted entities
444
9
1,070
1,355
2,878
Undeveloped
174
211
2,802
1,527
1,975
69
185
6,943
consolidated subsidiaries
174
9
2,802
1,035
485
69
185
4,759
equity-accounted entities
202
492
1,490
2,184
(a) Includes production volumes consumed in operations equal to 208 Bcf.
(b) Includes production volumes consumed in operations equal to 27 Bcf.
Main changes in proved reserves of natural gas reported in the tables above for 2024, 2023 and 2022 are discussed below.
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REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Consolidated subsidiaries
PURCHASE OF MINERALS IN PLACE
In 2022, acquisitions of 8 BCF cubic meters were made mainly for
the acquisition of the BHP share in Algeria (6 BCF) and a share in
some fields in the United States Gulf of Mexico.
In 2023, there was 214 BCF meters due to the acquisition of some
BP assets in Algeria.
In 2024, 419 BCF were reported for the acquisition of the Neptune
company in Indonesia, Netherlands and the United Kingdom.
REVISIONS OF PREVIOUS ESTIMATES
In 2022, total revisions were 132 BCF. The main positive revisions
were in Congo (469 BCF) mainly at the Nené field, Libya (357 BCF)
and Egypt (193 BCF). The main negative revisions were in Nigeria
(-764 BCF), Algeria (-74 BCF) and Kazakhstan (-73 BCF).
In 2023, total revisions were +671 BCF. The main positive revisions
were recorded in: Libya (+651 BCF) in Area D and Bouri due to con-
tractual changes and price effect; in Congo (+237 BCF) mainly in
Mboundi Gas and Nene; in Algeria (+178 BCF) mainly in Block 208-
404. The main negative revisions were in Australia (-202 BCF) in the
Blacktip field and in Egypt (-506 BCF) mainly for the reconfiguration of
the Zohr project phase 2, which entailed a review of the compression
design and a downward revision of the relevant reserves.
In 2024, total revisions were +726 BCF. The main revisions were in
the United Arab Emirates (+256 BCF) mainly in the Hail and Ghasha
fields due to availability of updated data from the new wells; in Al-
geria (+101 BCF) mainly in the In Amenas, In Salah, HBNS and Brn
Silurian fields due to better performance; in Ivory Coast (+87 BCF) in
the Baleine field due to better performance; and in Ghana (+76 BCF)
in the Sankofa field as a result of the implementation of compression
activities.
IMPROVED RECOVERY
In 2022, we had 1 BCF of improved recoveries in Algeria on the
BRW and BKNE Alpha fields.
In 2023 and 2024 there were no improvements from assisted re-
covery.
EXTENSIONS AND DISCOVERIES
In 2022, new discoveries and extensions amounted to 250 BCF and
mainly related to the final investment decision in Baleine in Ivory Co-
ast and Bashrush in Egypt.
In 2023, new discoveries and extensions were 284 BCF in United
Arab Emirates (217 BCF) as a result of the final investment decision
in the Hail and Ghasha project and Indonesia (59 BCF) for the final
investment decision in Merakes East.
In 2024, new discoveries and extensions totalled 4 BCF, following
the final investment decision in the Umm Shaif projects in the United
Arab Emirates (2 BCF) and Bonga North in Nigeria (2 BCF).
SALES OF MINERALS IN PLACE
In 2022, sales were 308 BCF in relation to the contribution of Eni’s
assets in Angola to the JV Azule and 3 BFC related to Pakistan.
In 2023, divestments of 291 BCF were mainly due in the United Sta-
tes of America (113 BCF) for the divestment of Alliance assets and
in the United Arab Emirates (177 BCF) for the reduction of the share
in the Ghasha concession.
In 2024, divestments of 857 BCF were related to the sale of NAOC
assets in Nigeria, the sale of assets in Alaska and some minor fields
in Congo, and the results of the business combination with Ithaca
Energy.
409
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Equity-accounted entities
PURCHASE OF MINERALS IN PLACE
In 2022, we had acquisitions for 1,684 BCF due to Eni’s entry into
the NFE project in Qatar and the acquisition of a 50% stake in the
JV Azule in Angola.
No purchase was made in 2023.
In 2024, acquisitions totalled 718 BCF due to Vår Energi’s acquisi-
tion of Neptune and the business combination with Ithaca Energy.
REVISIONS OF PREVIOUS ESTIMATES
In 2022, revisions of previous estimates were 261 BCF, mainly due
to Azule in Angola, Vår Energi in Norway, and Coral in Mozambique.
In 2023, revisions of previous estimates were -81 BCF mainly due
to a positive revision in Mozambique (+77 BCF) in Coral South, Azu-
le in Angola (-55 BCF) and Qatar (-84 BCF) on the NFE field.
In 2024, revisions of previous estimates were +130 BCF, located
mainly in Algeria (+57 BCF) in the Touat field, in Mozambique (+46
BCF) in the Coral South field and in Vår Energi.
Estimated future cash inflows represent the revenues that would be
received from production and were determined by applying the ye-
ar-end average prices during the years ended. Future price changes
are considered only to the extent provided by contractual arrange-
ments. Estimated future development and production costs are de-
termined by estimating the expenditures to be incurred in developing
and producing the proved reserves at the end of the year. Neither the
effects of price and cost escalations nor expected future changes in
technology and operating practices have been considered. The stan-
dardized measure is calculated as the excess of future cash inflows
from proved reserves less future costs of producing and developing
the reserves, future income taxes and a yearly 10% discount factor.
Future production costs include the estimated expenditures related to
the production of proved reserves plus any production taxes without
consideration of future inflation. Future development costs include
EXTENSIONS AND DISCOVERIES
In 2022, extensions and new discoveries were 19 BCF due to Vår
Energi in Norway.
In 2023, there were no extensions or new relevant discoveries.
In 2024, extensions and new discoveries of 1,651 BCF were mainly
the result of the Coral North project’s reserve booking offshore Mo-
zambique, based on the Company final investment decision, status
of project maturity and commitment of all the JV partners, as well
as the management’s reasonable expectation that remaining for-
mal government approvals will be obtained shortly.
SALES OF MINERALS IN PLACE
In 2022, sales of 63 BCF were due to the IPO of Vår Energi in Norway.
In 2023, divestments were 2 BCF in the Brage field in Vår Energi in
Norway.
In 2024, disposals of 9 BCF were mainly related to portfolio activi-
ties of Vår Energi and Azule Energy.
the estimated costs of drilling development wells and installation of
production facilities, plus the net costs associated with dismantle-
ment and abandonment of wells and facilities, under the assumption
that year-end costs continue without considering future inflation. Fu-
ture income taxes were calculated in accordance with the tax laws
of the Countries in which Eni operates. The standardized measure of
discounted future net cash flows, related to the preceding proved oil
and gas reserves, is calculated in accordance with the requirements
of FASB Extractive Activities - Oil and Gas (Topic 932). The standar-
dized measure does not purport to reflect realizable values or fair
market value of Eni’s proved reserves. An estimate of fair value would
also take into account, among other things, hydrocarbon resources
other than proved reserves, anticipated changes in future prices and
costs and a discount factor representative of the risks inherent in the
oil and gas exploration and production activity.
Standardized measure of discounted future net cash flows
ENI ANNUAL REPORT 2024
410
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
December 31, 2024
Consolidated subsidiaries
Future cash inflows
20,844
570
66,540
30,478
40,322
49,205
9,164
742
217,865
Future production costs
(8,273)
(297)
(14,034)
(10,912)
(6,786)
(13,462)
(3,994)
(132)
(57,890)
Future development and abandonment
costs
(3,318)
(417)
(9,317)
(4,942)
(1,658)
(7,547)
(2,104)
(280)
(29,583)
Future net inflow before income tax
9,253
(144)
43,189
14,624
31,878
28,196
3,066
330
130,392
Future income tax
(2,088)
(49)
(21,879)
(3,541)
(8,505)
(18,186)
(387)
(6)
(54,641)
Future net cash flows
7,165
(193)
21,310
11,083
23,373
10,010
2,679
324
75,751
10% discount factor
(2,995)
60
(10,150)
(4,102)
(11,301)
(5,826)
(656)
(96)
(35,066)
Standardized measure of discounted
future net cash flows
4,170
(133)
11,160
6,981
12,072
4,184
2,023
228
40,685
Equity-accounted entities
Future cash inflows
39,301
1,846
31,708
18,602
7,397
98,854
Future production costs
(10,169)
(612)
(7,702)
(5,969)
(1,882)
(26,334)
Future development and abandonment
costs
(7,279)
(111)
(4,289)
(278)
(191)
(12,148)
Future net inflow before income tax
21,853
1,123
19,717
12,355
5,324
60,372
Future income tax
(16,126)
(205)
(5,549)
(9,018)
(2,231)
(33,129)
Future net cash flows
5,727
918
14,168
3,337
3,093
27,243
10% discount factor
(1,077)
(285)
(7,742)
(2,119)
(1,128)
(12,351)
Standardized measure of discounted
future net cash flows
4,650
633
6,426
1,218
1,965
14,892
Total consolidated subsidiaries and equity-
accounted entities
4,170
4,517
11,793
13,407
12,072
5,402
3,988
228
55,577
The standardized measure of discounted future net cash flows by geographical area consists of the following:
411
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
December 31, 2023
Consolidated subsidiaries
Future cash inflows
22,724
3,926
72,835
35,147
40,081
40,622
14,951
707
230,993
Future production costs
(8,848)
(1,227)
(15,439)
(13,512)
(6,475)
(11,042)
(5,852)
(164)
(62,559)
Future development and abandonment
costs
(4,270)
(824)
(9,383)
(7,757)
(1,814)
(7,437)
(1,954)
(355)
(33,794)
Future net inflow before income tax
9,606
1,875
48,013
13,878
31,792
22,143
7,145
188
134,640
Future income tax
(2,233)
(1,274)
(24,069)
(4,729)
(8,186)
(16,348)
(3,161)
(8)
(60,008)
Future net cash flows
7,373
601
23,944
9,149
23,606
5,795
3,984
180
74,632
10% discount factor
(3,325)
(39)
(10,467)
(4,223)
(11,668)
(3,081)
(1,462)
(58)
(34,323)
Standardized measure of discounted
future net cash flows
4,048
562
13,477
4,926
11,938
2,714
2,522
122
40,309
Equity-accounted entities
Future cash inflows
29,387
168
22,954
19,108
7,519
79,136
Future production costs
(7,128)
(122)
(6,202)
(5,880)
(1,925)
(21,257)
Future development and abandonment
costs
(5,221)
(54)
(2,972)
(410)
(179)
(8,836)
Future net inflow before income tax
17,038
(8)
13,780
12,818
5,415
49,043
Future income tax
(12,548)
(1)
(3,254)
(9,702)
(2,263)
(27,768)
Future net cash flows
4,490
(9)
10,526
3,116
3,152
21,275
10% discount factor
(1,114)
27
(4,508)
(2,158)
(1,237)
(8,990)
Standardized measure of discounted
future net cash flows
3,376
18
6,018
958
1,915
12,285
Total consolidated subsidiaries and equity-
accounted entities
4,048
3,938
13,495
10,944
11,938
3,672
4,437
122
52,594
ENI ANNUAL REPORT 2024
412
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Italy
Rest of
Europe
North
Africa
Sub
Saharan
Africa
Kazakhstan
Rest
of Asia
America
Australia
and
Oceania
Total
December 31, 2022
Consolidated subsidiaries
Future cash inflows
38,968
7,609
85,036
48,292
53,529
45,179
21,233
1,525
301,371
Future production costs
(10,267)
(1,752)
(17,846)
(15,823)
(7,844)
(12,181)
(5,950)
(230)
(71,893)
Future development and abandonment costs
(4,484)
(1,296)
(7,835)
(10,057)
(1,873)
(4,562)
(3,063)
(377)
(33,547)
Future net inflow before income tax
24,217
4,561
59,355
22,412
43,812
28,436
12,220
918
195,931
Future income tax
(6,388)
(3,087)
(30,885)
(7,990)
(11,568)
(21,227)
(4,903)
(81)
(86,129)
Future net cash flows
17,829
1,474
28,470
14,422
32,244
7,209
7,317
837
109,802
10% discount factor
(7,141)
(344)
(11,738)
(6,456)
(16,087)
(2,980)
(3,443)
(357)
(48,546)
Standardized measure of discounted future
net cash flows
10,688
1,130
16,732
7,966
16,157
4,229
3,874
480
61,256
Equity-accounted entities
Future cash inflows
50,468
265
42,450
33,075
8,133
134,391
Future production costs
(7,628)
(123)
(10,579)
(9,749)
(2,083)
(30,162)
Future development and abandonment costs
(6,458)
(57)
(3,508)
(560)
(178)
(10,761)
Future net inflow before income tax
36,382
85
28,363
22,766
5,872
93,468
Future income tax
(27,333)
(3)
(8,117)
(19,393)
(2,469)
(57,315)
Future net cash flows
9,049
82
20,246
3,373
3,403
36,153
10% discount factor
(2,501)
(15)
(9,058)
(2,462)
(1,416)
(15,452)
Standardized measure of discounted future
net cash flows
6,548
67
11,188
911
1,987
20,701
Total consolidated subsidiaries and equity-
accounted entities
10,688
7,678
16,799
19,154
16,157
5,140
5,861
480
81,957
(€ million)
Consolidated
subsidiaries
Equity-accounted
entities
Total
2024
Standardized measure of discounted future net cash flows at December 31, 2023
40,309
12,285
52,594
Increase (Decrease):
- sales, net of production costs
(17,581)
(6,150)
(23,731)
- net changes in sales and transfer prices, net of production costs
(5,380)
89
(5,291)
- extensions, discoveries and improved recovery, net of future production and development costs
401
1,851
2,252
- changes in estimated future development and abandonment costs
(2,959)
(3,860)
(6,819)
- development costs incurred during the period that reduced future development costs
6,649
4,824
11,473
- revisions of quantity estimates
4,664
(2,467)
2,197
- accretion of discount
7,405
1,984
9,389
- net change in income taxes
6,578
(1,654)
4,924
- purchase of reserves in-place
1,085
5,167
6,252
- sale of reserves in-place
(2,947)
(1)
(2,948)
- changes in production rates (timing) and other
2,461
2,824
5,285
Net increase (decrease)
376
2,607
2,983
Standardized measure of discounted future net cash flows at December 31, 2024
40,685
14,892
55,577
Changes in standardized measure of discounted future net cash flows
Changes in standardized measure of discounted future net cash flows for the years ended December 31, 2024, 2023 and 2022, were as follows:
413
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(€ million)
Consolidated
subsidiaries
Equity-accounted
entities
Total
2023
Standardized measure of discounted future net cash flows at December 31, 2022
61,256
20,701
81,957
Increase (Decrease):
- sales, net of production costs
(19,397)
(5,426)
(24,823)
- net changes in sales and transfer prices, net of production costs
(33,769)
(19,785)
(53,554)
- extensions, discoveries and improved recovery, net of future production and development costs
1,659
1,659
- changes in estimated future development and abandonment costs
(4,684)
(1,353)
(6,037)
- development costs incurred during the period that reduced future development costs
6,691
2,517
9,208
- revisions of quantity estimates
6,531
155
6,686
- accretion of discount
10,627
3,033
13,660
- net change in income taxes
12,675
14,753
27,428
- purchase of reserves in-place
977
44
1,021
- sale of reserves in-place
(845)
(60)
(905)
- changes in production rates (timing) and other
(1,412)
(2,294)
(3,706)
Net increase (decrease)
(20,947)
(8,416)
(29,363)
Standardized measure of discounted future net cash flows at December 31, 2023
40,309
12,285
52,594
(€ million)
Consolidated
subsidiaries
Equity-accounted
entities
Total
2022
Standardized measure of discounted future net cash flows at December 31, 2021
44,615
7,281
51,896
Increase (Decrease):
- sales, net of production costs
(25,987)
(4,912)
(30,899)
- net changes in sales and transfer prices, net of production costs
56,002
24,343
80,345
- extensions, discoveries and improved recovery, net of future production and development costs
1,519
2,139
3,658
- changes in estimated future development and abandonment costs
(7,046)
(3,169)
(10,215)
- development costs incurred during the period that reduced future development costs
3,821
2,000
5,821
- revisions of quantity estimates
(1,295)
7,134
5,839
- accretion of discount
7,226
1,510
8,736
- net change in income taxes
(18,393)
(21,676)
(40,069)
- purchase of reserves in-place
765
10,200
10,965
- sale of reserves in-place
(6,436)
(6,436)
- changes in production rates (timing) and other
6,465
(4,149)
2,316
Net increase (decrease)
16,641
13,420
30,061
Standardized measure of discounted future net cash flows at December 31, 2022
61,256
20,701
81,957
ENI ANNUAL REPORT 2024
414
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Certification pursuant to rule 154-bis,
paragraph 5 of the Legislative Decree
No. 58/1998 (Testo Unico della Finanza)
1.
The undersigned Claudio Descalzi and Francesco Esposito, in their quality as Chief Executive Officer and Officer responsible for the pre-
paration of financial reports of Eni, also pursuant to article 154-bis, paragraphs 3 and 4 of Legislative Decree No. 58 of February 24, 1998,
certify that internal controls over financial reporting in place for the preparation of the consolidated financial statements as of December
31, 2024 and during the period covered by the report, were:
•
adequate to the Company structure, and
•
effectively applied during the process of preparation of the report.
2.
Internal controls over financial reporting in place for the preparation of the 2024 consolidated financial statements have been defined
and the evaluation of their effectiveness has been assessed based on principles and methodologies adopted by Eni in accordance with
the Internal Control-Integrated Framework Model issued by the Committee of Sponsoring Organizations of the Treadway Commission,
which represents an internationally-accepted framework for the internal control system.
3.
The undersigned officers also certify that:
3.1 2024 consolidated financial statements:
a)
have been prepared in accordance with applicable international accounting standards adopted by the European Community pur-
suant to Regulation (CE) n. 1606/2002 of the European Parliament and European Council of July 19, 2002;
b)
correspond to the accounting books and entries;
c)
fairly and truly represent the financial position, the performance and the cash flows of the issuer and the companies included in the
consolidation as of, and for, the period presented in this report;
3.2 the operating and financial review provides a reliable analysis of business trends and results, including trend analysis of the issuer and
the companies included in the consolidation, as well as a description of the main risks and uncertainties to which they are exposed.
March 18, 2025
/s/ Claudio Descalzi
Claudio Descalzi
Chief Executive Officer
/s/ Francesco Esposito
Francesco Esposito
Head of accounting
and financial statements
415
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Annex
416
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENI ANNUAL REPORT 2024
Annex to the notes on consolidated financial statements as of December 31, 2024
418
Investments owned by Eni as of December 31, 2024
418
Changes in the scope of consolidation for 2024
464
Audit fees
468
Independent auditor’s limited assurance report on the sustainability statement
469
Independent auditor’s report on the consolidated financial statements
475
417
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENI ANNUAL REPORT 2024
Investments owned by Eni SpA
as of December 31, 2024
In accordance with the provisions of articles 38 and 39 of the
Legislative Decree No. 127/1991 and Consob communication
No. DEM/6064293 of July 28, 2006, the list of subsidiaries, joint
arrangements and associates and significant investments owned by
Eni SpA as of December 31, 2024, is presented below. Companies
are divided by business segment and, within each segment, they are
ordered between Italy and outside Italy and alphabetically.
For each company are indicated: company name, registered head
office, operating office, share capital, shareholders and percentage
of ownership; for consolidated subsidiaries is indicated the equity
SUBSIDIARIES RESIDENT IN STATES
OR TERRITORY WITH A PRIVILEGED TAX REGIME
Legislative Decree of December 17, 2023 no. 209, containing the
rules for implementing the tax reform on international taxation,
amended the regulations referred to in art. 167 of the Presidential
Decree n. 917 of December 22, 1986.
The provisions regarding foreign subsidiaries (so-called CFC), apply
if the non-resident controlled entities jointly integrate the following
conditions: a) they are subject to effective taxation of less than 15
percent (equal to the ratio between the sum of current taxes, the
deferred tax asset and liabilities in their financial statements and the
pre-tax profit for the year resulting from the aforementioned financial
statements), and to an effective taxation lower than half of that to
ratio attributable to Eni; for unconsolidated investments owned by
consolidated companies is indicated the valuation method. In the
footnotes are indicated which investments are listed in the Italian
regulated markets or in other regulated markets of the European
Union and the percentage of the ordinary voting rights entitled to
shareholders if different from the percentage of ownership. The
currency codes indicated are reported in accordance with the
International Standard ISO 4217.
As of December 31, 2024, the breakdown of the companies owned
by Eni is provided in the table below:
which they would have been subject if resident in Italy; b) over a
third of the subject's incomes fall into one or more of the following
categories: interests, royalties, dividends, financial leasing income,
income from insurance and banking activities, income from services
and sale of intragroup assets with low or zero economic value added.
As of December 31, 2024, Eni controls 3 companies that benefit
from a privileged tax regime. These 3 companies are subject to
taxation in Italy because they are included in Eni's tax return.
No subsidiary that benefits from a privileged tax regime has
issued financial instruments. All the financial statements for 2024
are subject to external audit.
ANNEX TO THE NOTES ON CONSOLIDATED FINANCIAL STATEMENTS
AS OF DECEMBER 31, 2024
Subsidiaries
Joint arrangements
and associates
Other significant
investments(a)
Italy
Outside
Italy
Total
Italy
Outside
Italy
Total
Italy
Outside
Italy
Total
Fully consolidated subsidiaries
98
304
402
Consolidated joint operations
4
7
11
Investments owned by consolidated companies(b)
Equity-accounted investments
13
57
70
25
79
104
Investments at cost
4
3
7
2
24
26
Investments at fair value
4
19
23
17
60
77
27
103
130
4
19
23
Investments owned by unconsolidated companies
Owned by controlled companies
3
3
Owned by joint arrangements
1
8
9
1
11
12
Total
115
364
479
32
121
153
4
19
23
(a) Relate to investments other than subsidiaries, joint arrangements and associates with an ownership interest greater than 2% for listed companies or 10% for unlisted companies.
(b) Investments in subsidiaries accounted using the equity method and at cost relate to non-significant companies.
ENI ANNUAL REPORT 2024
418
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
PARENT COMPANY
SUBSIDIARIES
EXPLORATION & PRODUCTION
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Marine Services SpA
San Donato
Milanese (MI)
Italy
EUR
100,000
Eni SpA
100.00
100.00
F.C.
Eni Mediterranea Idrocarburi SpA
Gela (CL)
Italy
EUR
5,200,000
Eni SpA
100.00
100.00
F.C.
Eni Mozambico SpA
San Donato
Milanese (MI)
Mozambique
EUR
200,000
Eni SpA
100.00
100.00
F.C.
Eni Natural Energies Italia Srl
(former Eni Energia Italia Srl)
San Donato
Milanese (MI)
Italy
EUR
50,000
Eni Natural
Energies SpA
100.00
Co.
Eni Natural Energies Mozambico Srl
San Donato
Milanese (MI)
Mozambique
EUR
100,000
Eni Natural
Energies SpA
100.00
100.00
F.C.
Eni Natural Energies SpA
San Donato
Milanese (MI)
Italy
EUR
100,000
Eni SpA
100.00
100.00
F.C.
EniProgetti SpA
Venezia
Marghera (VE)
Italy
EUR
2,064,000
Eni SpA
100.00
100.00
F.C.
Eni Timor Leste SpA
San Donato
Milanese (MI)
East Timor
EUR
4,386,849
Eni SpA
100.00
Eq.
Eni Trade & Biofuels SpA
Rome
Italy
EUR
22,568,759
Eni SpA
100.00
100.00
F.C.
Floaters SpA
San Donato
Milanese (MI)
Italy
EUR
200,120,000
Eni SpA
100.00
100.00
F.C.
Ieoc SpA
San Donato
Milanese (MI)
Italy
EUR
1,518,000
Eni SpA
100.00
Eq.
Società Petrolifera Italiana SpA
San Donato
Milanese (MI)
Italy
EUR
3,652,000
Eni SpA
Third parties
99.96
0.04
99.96
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(#) Company with shares listed on regulated market of Italy or of other EU Countries.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
Eni SpA(#)
Rome
Italy
EUR
4,005,358,876
Cassa Depositi e Prestiti SpA
28.50
Ministero dell’Economia e delle Finanze
2.00
Eni SpA
6.18
Other shareholders
63.32
419
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Agip Caspian Sea BV
Amsterdam
(Netherlands)
Kazakhstan
EUR
20,005
Eni International BV
100.00
100.00
F.C.
Agip Energy and Natural
Resources (Nigeria) Ltd
Abuja
(Nigeria)
Nigeria
NGN
100,000,000
Eni International BV
Eni Oil Holdings BV
95.00
5.00
100.00
F.C.
Agip Karachaganak BV
Amsterdam
(Netherlands)
Kazakhstan
EUR
20,005
Eni International BV
100.00
100.00
F.C.
Bacton CCS Ltd
London
(United Kingdom)
United Kingdom
GBP
65,310,000
Eni CCUS H. Ltd
100.00
100.00
F.C.
Burren Energy (Bermuda) Ltd(1)
Hamilton
(Bermuda)
United Kingdom
USD
12,002
Burren Energy Plc
100.00
100.00
F.C.
Burren Energy (Egypt) Ltd
London
(United Kingdom)
Egypt
GBP
2
Burren Energy Plc
100.00
Eq.
Burren Energy Congo Ltd(2)
Road Town
(British Virgin
Islands)
Republic
of the Congo
USD
50,000
Burren En. (Berm) Ltd
100.00
100.00
F.C.
Burren Energy India Ltd
London
(United Kingdom)
United Kingdom
GBP
2
Burren Energy Plc
100.00
100.00
F.C.
Burren Energy Plc
London
(United Kingdom)
United Kingdom
GBP
28,819,023
Eni UK Holding Plc
Eni UK Ltd
99.99
(..)
100.00
F.C.
Eni Abu Dhabi BV(3)
Amsterdam
(Netherlands)
United Arab
Emirates
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Albania BV
Amsterdam
(Netherlands)
Albania
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Algeria Exploration BV
Amsterdam
(Netherlands)
Algeria
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Algeria Ltd Sàrl
Luxembourg
(Luxembourg)
Algeria
USD
20,000
Eni Oil Holdings BV
100.00
Eq.
Eni Algeria Production BV
Amsterdam
(Netherlands)
Algeria
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Ambalat Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni America Ltd
Dover
(USA)
USA
USD
72,000
Eni UHL Ltd
100.00
100.00
F.C.
Eni Argentina Exploración y
Explotación SA
Buenos Aires
(Argentina)
Argentina
ARS
36,864,768,292
Eni International BV
Eni Oil Holdings BV
95.00
5.00
100.00
F.C.
Eni Arguni I Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Australia BV
Amsterdam
(Netherlands)
Australia
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Australia Ltd
London
(United Kingdom)
Australia
GBP
20,000,000
Eni International BV
100.00
100.00
F.C.
Eni Bahrain BV
Amsterdam
(Netherlands)
Bahrain
EUR
20,000
Eni International BV
100.00
Eq.
Eni BB Petroleum Inc
Dover
(USA)
USA
USD
1,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(1) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917. The company is fiscally resident in the
United Kingdom.
(2) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company operates with permanent
establishment in Congo and the tax rate is not lower than 50% of that current in Italy.
(3) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company operates with permanent
establishment in the United Arab Emirates and the nominal tax rate is not lower than 50% of that current in Italy.
ENI ANNUAL REPORT 2024
420
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni BTC Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni International BV
100.00
Eq.
Eni Bukat Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Canada Holding Ltd
Calgary
(Canada)
Canada
USD
3,938,200,001
Eni International BV
100.00
100.00
F.C.
Eni CBM Ltd
London
(United Kingdom)
Indonesia
USD
2,210,728
Eni Lasmo Plc
100.00
Eq.
Eni CCUS Holding Ltd
London
(United Kingdom)
United Kingdom
GBP
255,020,000
Eni UK Ltd
100.00
100.00
F.C.
Eni China BV
Amsterdam
(Netherlands)
China
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Congo SAU
Pointe-Noire
(Republic of the
Congo)
Republic
of the Congo
USD
500,000
Eni E&P Holding BV
100.00
100.00
F.C.
Eni Côte d'Ivoire Ltd
London
(United Kingdom)
Ivory Coast
GBP
1
Eni Lasmo Plc
100.00
100.00
F.C.
Eni Cyprus Ltd
Nicosia
(Cyprus)
Cyprus
EUR
2,014
Eni International BV
100.00
100.00
F.C.
Eni do Brasil Investimentos em
Exploração e Produção de Petróleo Ltda
(in liquidation)
Rio de Janeiro
(Brazil)
Brazil
BRL
1,597,792,240
Eni International BV
Eni Oil Holdings BV
99.99
(..)
Co.
Eni East Ganal Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni East Med BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni East Sepinggan Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Energy Alam El Shawish BV
The Hague
(Netherlands)
Egypt
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Arguni I BV
The Hague
(Netherlands)
Indonesia
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Ashrafi BV
The Hague
(Netherlands)
Egypt
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Australia Pty Ltd
Perth
(Australia)
Australia
USD
540,000,001
Eni En. Holding NL BV
100.00
100.00
F.C.
Eni Energy Bonaparte Pty Ltd
Perth
(Australia)
Australia
AUD
1
Eni En. Australia Pty Ltd
100.00
100.00
F.C.
Eni Energy Bondco Ltd
(in liquidation)
London
(United Kingdom)
United Kingdom
GBP
1
Eni En. Group Midco Ltd
100.00
100.00
F.C.
Eni Energy Brasil Participações Ltda
Rio de Janeiro
(Brazil)
Brazil
BRL
60,000,000
Eni En. Holding NL BV
Eni En. E&P Hold. NL BV
99.00
1.00
100.00
F.C.
Eni Energy Capital Ltd
(in liquidation)
London
(United Kingdom)
United Kingdom
USD
2
Eni Energy Finance Ltd
100.00
100.00
F.C.
Eni Energy E&P Holding Netherlands BV
The Hague
(Netherlands)
Netherlands
EUR
18,200
Eni En. Holding NL BV
100.00
100.00
F.C.
421
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni Energy East Ganal BV
The Hague
(Netherlands)
Indonesia
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy East Sepinggan BV
The Hague
(Netherlands)
Indonesia
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Egypt BV
The Hague
(Netherlands)
Egypt
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Exploration BV
The Hague
(Netherlands)
Netherlands
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Facilities Netherlands BV
The Hague
(Netherlands)
Netherlands
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Finance Ltd
London
(United Kingdom)
United Kingdom
USD
3
Eni Energy Group H. Ltd
100.00
100.00
F.C.
Eni Energy France SAS
Neuilly-Sur-Seine
(France)
France
EUR
137,740
Eni En. International SAS
100.00
100.00
F.C.
Eni Energy Germany BV
The Hague
(Netherlands)
Germany
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Group Holdings Ltd
London
(United Kingdom)
United Kingdom
USD
1
Eni En. Group Midco Ltd
100.00
100.00
F.C.
Eni Energy Group Ltd
London
(United Kingdom)
United Kingdom
USD
0.01
Eni International BV
100.00
100.00
F.C.
Eni Energy Group Midco Ltd
London
(United Kingdom)
United Kingdom
USD
1
Eni Energy Group Ltd
100.00
100.00
F.C.
Eni Energy Group Resourcing Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni Energy Group H. Ltd
100.00
100.00
F.C.
Eni Energy Holding Netherlands BV
The Hague
(Netherlands)
Netherlands
EUR
764,342,437.50
Eni International BV
100.00
100.00
F.C.
Eni Energy Hydrogen BV
The Hague
(Netherlands)
Netherlands
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Hydrogen Ltd
(in liquidation)
London
(United Kingdom)
United Kingdom
GBP
1
Eni Energy Group H. Ltd
100.00
100.00
F.C.
Eni Energy International SAS
Neuilly-Sur-Seine
(France)
France
EUR
196,184.08
Eni Energy Group H. Ltd
100.00
100.00
F.C.
Eni Energy Jakarta BV
The Hague
(Netherlands)
Indonesia
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Muara Bakau BV
The Hague
(Netherlands)
Indonesia
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Netherlands Administration BV
The Hague
(Netherlands)
Netherlands
EUR
1
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy Netherlands BV
The Hague
(Netherlands)
Netherlands
EUR
113,500
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy North Ganal BV
The Hague
(Netherlands)
Indonesia
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy North West El Amal BV
The Hague
(Netherlands)
Egypt
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
ENI ANNUAL REPORT 2024
422
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(4) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company operates with permanent
establishment in Indonesia and the nominal tax rate is not lower than 50% of that current in Italy.
(5) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company operates with permanent
establishment in Algeria and the nominal tax rate is not lower than 50% of that current in Italy.
(6) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company is fiscally resident in the United
Kingdom and operates with a permanent establishment in Indonesia with a tax rate not lower than 50% of that current in Italy.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni Energy Participation Netherlands BV
The Hague
(Netherlands)
Netherlands
EUR
36,320
Eni Energy NL BV
100.00
100.00
F.C.
Eni Energy Russia BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Energy Touat Holding BV
The Hague
(Netherlands)
Netherlands
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Energy West Ganal BV
The Hague
(Netherlands)
Indonesia
EUR
18,000
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni Exploration & Production
Holding BV
Amsterdam
(Netherlands)
Netherlands
EUR
29,832,777.12
Eni International BV
100.00
100.00
F.C.
Eni Ganal Deepwater Ltd(4)
Hamilton
(Bermuda)
Indonesia
USD
12,700
Eni Lasmo Plc
100.00
100.00
F.C.
Eni Ganal Ltd
London
(United Kingdom)
Indonesia
GBP
2
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Gas & Power LNG Australia BV
Amsterdam
(Netherlands)
Australia
EUR
1,013,439
Eni International BV
100.00
100.00
F.C.
Eni Ghana Exploration and
Production Ltd
Accra
(Ghana)
Ghana
GHS
21,412,500
Eni International BV
100.00
100.00
F.C.
Eni GoM Llc
Dover
(USA)
USA
USD
5,000
Eni Marketing Inc
100.00
100.00
F.C.
Eni Hewett Ltd
Aberdeen
(United Kingdom)
United Kingdom
GBP
3,036,000
Eni UK Ltd
100.00
100.00
F.C.
Eni Hydrocarbons Venezuela Ltd
London
(United Kingdom)
Venezuela
GBP
8,050,500
Eni Lasmo Plc
100.00
Eq.
Eni In Amenas Ltd
Aberdeen
(United Kingdom)
Algeria
USD
1
Eni Algeria Expl.BV
100.00
100.00
F.C.
Eni In Salah Ltd(5)
Nassau
(Bahamas)
Algeria
USD
1,002
Eni IS Exploration Ltd
Eni Algeria Expl.BV
60.48
39.52
100.00
F.C.
Eni India Ltd
London
(United Kingdom)
India
GBP
1
Eni Lasmo Plc
100.00
Eq.
Eni Indonesia Ltd
London
(United Kingdom)
Indonesia
GBP
100
Eni ULX Ltd
100.00
100.00
F.C.
Eni Indonesia Ots 1 Ltd(6)
George Town
(Cayman Islands)
Indonesia
USD
1.01
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni International NA NV Sàrl
Luxembourg
(Luxembourg)
United Kingdom
USD
25,000
Eni International BV
100.00
100.00
F.C.
Eni Investments Plc
London
(United Kingdom)
United Kingdom
GBP
750,050,000
Eni SpA
Eni UK Ltd
99.99
(..)
100.00
F.C.
Eni Iran BV
Amsterdam
(Netherlands)
Iran
EUR
20,000
Eni International BV
100.00
Eq.
Eni Iraq BV
Amsterdam
(Netherlands)
Iraq
EUR
20,000
Eni International BV
100.00
100.00
F.C.
423
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(7) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the company operates with permanent
establishment in Indonesia and the nominal tax rate is not lower than 50% of that current in Italy.
(8) Company for which the conditions of art. 167, paragraph 4 of the D.P.R. of December 22,1986, n. 917 are not verified; the company operates with a permanent establishment in the
United Arab Emirates and carries out an effective economic activity.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni IS Exploration Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni Algeria Expl.BV
100.00
100.00
F.C.
Eni Isatay BV
Amsterdam
(Netherlands)
Kazakhstan
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni JPDA 03-13 Ltd
London
(United Kingdom)
Australia
GBP
250,000
Eni International BV
100.00
100.00
F.C.
Eni JPDA 06-105 Pty Ltd
Perth
(Australia)
Australia
AUD
80,830,576
Eni International BV
100.00
100.00
F.C.
Eni Kenya BV
Amsterdam
(Netherlands)
Kenya
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Krueng Mane Ltd
London
(United Kingdom)
Indonesia
GBP
2
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Lasmo Plc
London
(United Kingdom)
United Kingdom
GBP
337,638,724.25
Eni Investments Plc
Eni UK Ltd
99.99
(..)
100.00
F.C.
Eni Lebanon BV
Amsterdam
(Netherlands)
Lebanon
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Liverpool Bay Operating Co Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni UK Ltd
100.00
Eq.
Eni LNS Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni UK Ltd
100.00
100.00
F.C.
Eni Makassar Ltd(7)
Hamilton
(Bermuda)
Indonesia
USD
12,000
Eni Lasmo Plc
100.00
100.00
F.C.
Eni Marketing Inc
Dover
(USA)
USA
USD
1,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
Eni Maroc BV
Amsterdam
(Netherlands)
Morocco
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni México S. de RL de CV
Mexico City
(Mexico)
Mexico
MXN
18,093,739,080.83
Eni International BV
Eni Oil Holdings BV
99.90
0.10
100.00
F.C.
Eni Middle East Ltd(8)
London
(United Kingdom)
United Arab
Emirates
GBP
1
Eni ULT Ltd
100.00
100.00
F.C.
Eni Mozambique LNG Holding BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Muara Bakau BV
Amsterdam
(Netherlands)
Indonesia
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Natural Energies Congo SAU
Pointe-Noire
(Republic
of the Congo)
Republic
of the Congo
XOF
10,000,000
Eni Natural Energies SpA
100.00
Eq.
Eni Natural Energies Côte d'Ivoire SA
Abidjan
(Ivory Coast)
Ivory Coast
XOF
10,000,000
Eni Natural Energies SpA
100.00
100.00
F.C.
Eni Natural Energies Kenya EPZ Ltd
Kinango
(Kenya)
Kenya
KES
1,500,000
Eni Natural Energies SpA
100.00
Eq.
Eni Natural Energies Vietnam Llc
Ho Chi Minh City
(Vietnam)
Vietnam
VND
2,425,500,000
Eni Natural Energies SpA
100.00
Eq.
Eni Netherlands CCUS BV
The Hague
(Netherlands)
Netherlands
EUR
100
Eni En. E&P Hold. NL BV
100.00
100.00
F.C.
Eni New Energy Egypt SAE
Cairo
(Egypt)
Egypt
EGP
250,000
Eni International BV
Ieoc Exploration BV
Ieoc Production BV
99.98
0.01
0.01
Eq.
ENI ANNUAL REPORT 2024
424
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(9) Company for which the conditions of art. 167, paragraph 4 of the D.P.R. of December 22,1986, n. 917 are not verified; the company operates with a permanent establishment in the
United Arab Emirates and carries out an effective economic activity.
(10) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917; the company operates with permanent
establishment in Indonesia and the nominal tax rate is not lower than 50% of that current in Italy.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni North Africa BV
Amsterdam
(Netherlands)
Libya
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni North Ganal Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Oil & Gas Inc
Dover
(USA)
USA
USD
100,800
Eni America Ltd
100.00
100.00
F.C.
Eni Oil Algeria Ltd
London
(United Kingdom)
Algeria
GBP
1,000
Eni Lasmo Plc
100.00
100.00
F.C.
Eni Oil Holdings BV
Amsterdam
(Netherlands)
Netherlands
EUR
450,000
Eni ULX Ltd
100.00
100.00
F.C.
Eni Oman BV
Amsterdam
(Netherlands)
Oman
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Peri Mahakam Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Petroleum Co Inc
Dover
(USA)
USA
USD
290,125,000
Eni SpA
Eni International BV
60.06
39.94
100.00
F.C.
Eni Petroleum US Llc
Dover
(USA)
USA
USD
1,000
Eni BB Petroleum Inc
100.00
100.00
F.C.
EniProgetti Egypt Ltd
Cairo
(Egypt)
Egypt
EGP
50,000
EniProgetti SpA
Eni SpA
99.00
1.00
100.00
F.C.
Eni Qatar BV
Amsterdam
(Netherlands)
Qatar
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni RAK BV(9)
Amsterdam
(Netherlands)
United Arab
Emirates
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Rapak Deepwater Ltd(10)
Hamilton
(Bermuda)
Indonesia
USD
12,000
Eni Lasmo Plc
100.00
100.00
F.C.
Eni Rapak Ltd
London
(United Kingdom)
Indonesia
GBP
2
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni RD Congo SA
Kinshasa
(Democratic
Republic
of the Congo)
Democratic
Republic
of the Congo
CDF
750,000,000
Eni International BV
Eni Oil Holdings BV
99.99
(..)
Eq.
Eni Rovuma Basin BV
Amsterdam
(Netherlands)
Mozambique
EUR
20,000
Eni Mozamb. LNG H. BV
100.00
100.00
F.C.
Eni Sharjah BV(9)
Amsterdam
(Netherlands)
United Arab
Emirates
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni South China Sea Ltd Sàrl
Luxembourg
(Luxembourg)
China
USD
20,000
Eni International BV
100.00
Eq.
Eni Tellus CCS Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni CCUS H. Ltd
100.00
100.00
F.C.
Eni Timor 22-23 BV
Amsterdam
(Netherlands)
East Timor
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni TNS Ltd
Aberdeen
(United Kingdom)
United Kingdom
GBP
1,000
Eni UK Ltd
100.00
100.00
F.C.
Eni Trading & Shipping Inc
Dover
(USA)
USA
USD
1,000,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
Eni Transporte y Suministro
México S. de RL de CV
Mexico City
(Mexico)
Mexico
MXN
3,000
Eni International BV
Eni Oil Holdings BV
99.90
0.10
100.00
F.C.
425
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Eni Tunisia BV
Amsterdam
(Netherlands)
Tunisia
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Turkmenistan Ltd(11)
Hamilton
(Bermuda)
Turkmenistan
USD
20,000
Burren En. (Berm) Ltd
100.00
100.00
F.C.
Eni UHL Ltd
London
(United Kingdom)
United Kingdom
GBP
1
Eni ULT Ltd
100.00
100.00
F.C.
Eni UK Holding Plc
London
(United Kingdom)
United Kingdom
GBP
424,050,000
Eni Lasmo Plc
Eni UK Ltd
99.99
(..)
100.00
F.C.
Eni UK Ltd
London
(United Kingdom)
United Kingdom
GBP
500,000,000
Eni International BV
100.00
100.00
F.C.
Eni ULT Ltd
London
(United Kingdom)
United Kingdom
GBP
93,215,492.25
Eni Lasmo Plc
100.00
100.00
F.C.
Eni ULX Ltd
London
(United Kingdom)
United Kingdom
GBP
200,010,000
Eni ULT Ltd
100.00
100.00
F.C.
Eni US Operating Co Inc
Dover
(USA)
USA
USD
1,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
Eni USA Gas Marketing Llc
Dover
(USA)
USA
USD
10,000
Eni Marketing Inc
100.00
100.00
F.C.
Eni USA Inc
Dover
(USA)
USA
USD
1,000
Eni Oil & Gas Inc
100.00
100.00
F.C.
Eni Venezuela BV
Amsterdam
(Netherlands)
Venezuela
EUR
20,000
Eni Venezuela E&P H.
100.00
100.00
F.C.
Eni Venezuela E&P Holding SA
Bruxelles
(Belgium)
Belgium
USD
254,925,100
Eni International BV
Eni Oil Holdings BV
99.99
(..)
100.00
F.C.
Eni Vietnam BV
Amsterdam
(Netherlands)
Vietnam
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni West Ganal Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni West Timor Ltd
London
(United Kingdom)
Indonesia
GBP
1
Eni Indonesia Ltd
100.00
100.00
F.C.
Eni Yemen Ltd
London
(United Kingdom)
United Kingdom
GBP
1,000
Burren Energy Plc
100.00
Eq.
Export LNG Ltd(12)
Hong Kong
(Hong Kong)
Hong Kong
USD
1
Eni SpA
100.00
100.00
F.C.
First Calgary Petroleums LP
Wilmington
(USA)
Algeria
USD
1
Eni Canada Hold. Ltd
FCP Partner Co ULC
99.99
0.01
100.00
F.C.
First Calgary Petroleums
Partner Co ULC
Calgary
(Canada)
Canada
CAD
10
Eni Canada Hold. Ltd
100.00
100.00
F.C.
Ieoc Exploration BV
Amsterdam
(Netherlands)
Egypt
EUR
20,000
Eni International BV
100.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(11) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917; the company operates with permanent
establishment in Turkmenistan and the nominal tax rate is not lower than 50% of that current in Italy.
(12) Company for which the conditions of art. 167, paragraph 4 of the D.P.R. of December 22,1986, n. 917 are not verified.
ENI ANNUAL REPORT 2024
426
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
%Equity ratio
Consolidation or
valutation method(*)
Ieoc Production BV
Amsterdam
(Netherlands)
Egypt
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Lasmo Sanga Sanga Ltd(13)
Hamilton
(Bermuda)
Indonesia
USD
12,000
Eni Lasmo Plc
100.00
100.00
F.C.
Liverpool Bay CCS Ltd
London
(United Kingdom)
United Kingdom
GBP
186,310,000
Eni CCUS H. Ltd
100.00
100.00
F.C.
LLC "Eni Energhia"
Moscow
(Russia)
Russia
RUB
2,000,000
Eni Energy Russia BV
Eni Oil Holdings BV
99.90
0.10
Eq.
Mizamtec Operating
Company S. de RL de CV
Mexico City
(Mexico)
Mexico
MXN
3,000
Eni US Op. Co Inc
Eni Petroleum Co Inc
99.90
0.10
Eq.
Nigerian Agip Exploration Ltd
Abuja
(Nigeria)
Nigeria
NGN
100,000,000
Eni International BV
Eni Oil Holdings BV
99.99
0.01
100.00
F.C.
Production North Sea Netherlands Ltd
Wilmington
(USA)
Netherlands
USD
1,000
Eni Energy NL BV
100.00
100.00
F.C.
Zetah Congo Ltd(14)
Nassau
(Bahamas)
Republic
of the Congo
USD
300
Eni Congo SAU
Burren En. Congo Ltd
66.67
33.33
Co.
Zetah Kouilou Ltd(14)
Nassau
(Bahamas)
Republic
of the Congo
USD
2,000
Eni Congo SAU
Burren En. Congo Ltd
Third parties
54.50
37.00
8.50
Co.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(13) Company that does not benefit from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917; the company is fiscally resident in the United
Kingdom and operates with permanent establishment in Indonesia and the nominal tax rate is not lower than 50% of that current in Italy.
(14) Company that benefits from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the income attributable to the Group is subject to
taxation in Italy.
427
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Global Gas & LNG Portfolio
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Gas Transport Services Srl
San Donato
Milanese (MI)
Italy
EUR
120,000
Eni SpA
100.00
Co.
Eni Global Energy Markets SpA
Rome
Italy
EUR
41,233,720
Eni SpA
100.00
100.00
F.C.
LNG Shipping SpA
San Donato
Milanese (MI)
Italy
EUR
240,900,000
Eni SpA
100.00
100.00
F.C.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni España Comercializadora
de Gas SAU
Madrid
(Spain)
Spain
EUR
2,340,240
Eni SpA
100.00
100.00
F.C.
Eni G&P Trading BV
Amsterdam
(Netherlands)
Turkey
EUR
70,000
Eni International BV
100.00
100.00
F.C.
Eni Gas Liquefaction BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
100.00
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
GLOBAL GAS & LNG PORTFOLIO AND POWER
ENI ANNUAL REPORT 2024
428
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Power
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
EniPower SpA
San Donato
Milanese (MI)
Italy
EUR
200,000,000
Eni SpA
Third parties
51.00
49.00
51.00
F.C.
EniPower Mantova SpA
San Donato
Milanese (MI)
Italy
EUR
44,000,000
EniPower SpA
Third parties
86.50
13.50
44.12
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
429
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Refining
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Ecofuel SpA
San Donato
Milanese (MI)
Italy
EUR
52,000,000
Eni SpA
100.00
100.00
F.C.
Eni Industrial Evolution SpA
(former Eni West Africa SpA)
Rome
Italy
EUR
1,000,000
Eni SpA
100.00
Eq.
Petroven Srl
Genova
Italy
EUR
918,520
Eni SpA
100.00
100.00
F.C.
SeaPad SpA
Genova
Italy
EUR
12,400,000
Ecofuel SpA
Third parties
80.00
20.00
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Abu Dhabi Refining & Trading BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
100.00
F.C.
Eni Abu Dhabi Refining & Trading
Services BV(15)
Amsterdam
(Netherlands)
United Arab
Emirates
EUR
20,000
Eni Abu Dhabi R&T BV
100.00
Eq.
Eni USA R&M Co Inc
Wilmington
(USA)
USA
USD
11,000,000
Eni International BV
100.00
Eq.
Oléoduc du Rhône SA
Bovernier
(Switzerland)
Switzerland
CHF
7,000,000
Eni International BV
100.00
Eq.
REFINING AND CHEMICALS
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(15) Company for which the conditions of art. 167, paragraph 4 of the D.P.R. of December 22,1986, n. 917 are not verified; the company operates with a permanent establishment in the
United Arab Emirates and carries out an effective economic activity.
ENI ANNUAL REPORT 2024
430
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Chemicals
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Versalis SpA
San Donato
Milanese (MI)
Italy
EUR
200,000,000
Eni SpA
100.00
100.00
F.C.
Finproject SpA
Morrovalle
(MC)
Italy
EUR
18,500,000
Versalis SpA
100.00
100.00
F.C.
Mater-Agro Srl
Novara
Italy
EUR
50,000
Novamont SpA
Third parties
85.00
15.00
Eq.
Matrìca SpA
Porto Torres
(SS)
Italy
EUR
37,500,000
Novamont SpA
Versalis SpA
50.00
50.00
100.00
F.C.
Novamont SpA
Novara
Italy
EUR
20,000,000
Versalis SpA
100.00
100.00
F.C.
Rewave Srl
San Donato
Milanese (MI)
Italy
EUR
51,640
Versalis SpA
100.00
Eq.
Tecnofilm SpA
Sant'Elpidio
a Mare (FM)
Italy
EUR
7,315,000
Versalis SpA
100.00
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Asian Compounds Ltd(16)
Hong Kong
(Hong Kong)
Hong Kong
HKD
1,000
Finproject Asia Ltd
100.00
100.00
F.C.
BBI Sverige AB
Torsby
(Sweden)
Sweden
SEK
100,000
BioBag International
100.00
Eq.
BioBag Americas Inc
Dunedin
(USA)
USA
USD
476
BioBag International
100.00
100.00
F.C.
BioBag Finland OY
Vantaa
(Finland)
Finland
EUR
203,784
BioBag International
100.00
Eq.
BioBag Inc
Toronto
(Canada)
Canada
CAD
100
BioBag International
100.00
Eq.
BioBag International AS
Indre Østfold
(Norway)
Norway
NOK
3,565,000
Novamont SpA
100.00
100.00
F.C.
BioBag Norge AS
Indre Østfold
(Norway)
Norway
NOK
200,000
BioBag International
100.00
Eq.
BioBag Plastics Ltd
Dún Laoghaire
(Ireland)
Ireland
EUR
1,000
BioBag International
100.00
Eq.
BioBag Polska Sp zoo
(in liquidation)
Wroclaw
(Poland)
Poland
PLN
106,100
BioBag International
100.00
Eq.
BioBag UK Ltd
Belfast
(United Kingdom)
United Kingdom
GBP
1,000
BioBag International
100.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(16) Company for which the conditions of art. 167, paragraph 4 of the D.P.R. of December 22,1986, n. 917 are not verified.
431
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
BioBag Zenzo A/S
Hillerød
(Denmark)
Denmark
DKK
400,000
BioBag International
100.00
Eq.
Dagöplast AS
Hiiumaa
(Estonia)
Estonia
EUR
76,800
BioBag International
100.00
100.00
F.C.
Dunastyr Polisztirolgyártó Zártkörûen
Mûködõ Részvénytársaság
Budapest
(Hungary)
Hungary
HUF
11,025,568,000
Versalis SpA
Versalis Deutsch. GmbH
Versalis International SA
96.34
1.83
1.83
100.00
F.C.
Finproject Asia Ltd(17)
Hong Kong
(Hong Kong)
Hong Kong
USD
1,000
Finproject SpA
100.00
100.00
F.C.
Finproject Brasil Industria
De Solados Eireli
Franca
(Brazil)
Brazil
BRL
1,000,000
Finproject SpA
100.00
Eq.
Finproject Guangzhou Trading Co Ltd
Guangzhou
(China)
China
USD
180,000
Finproject SpA
100.00
100.00
F.C.
Finproject India Pvt Ltd
Jaipur
(India)
India
INR
121,767,880
Versalis Asia Pacific
Finproject SpA
99.99
(..)
100.00
F.C.
Finproject Romania Srl
Valea Lui Mihai
(Romania)
Romania
RON
7,523,030
Finproject SpA
100.00
100.00
F.C.
Finproject Viet Nam Company Limited
Hai Phong
(Vietnam)
Vietnam
VND
19,623,250,000
Versalis Asia Pacific
100.00
Eq.
Foam Creations (2008) Inc
Quebec City
(Canada)
Canada
CAD
1,215,000
Finproject SpA
100.00
100.00
F.C.
Foam Creations México SA de CV
León
(Mexico)
Mexico
MXN
35,956,433
Foam Creations (2008)
Finproject SpA
53.23
46.77
100.00
F.C.
Novamont France SAS
Paris
(France)
France
EUR
40,000
Novamont SpA
100.00
100.00
F.C.
Novamont GmbH
Eschborn
(Germany)
Germany
EUR
25,564
Novamont SpA
100.00
Eq.
Novamont Iberia SLU
Cornellà
de Llobregat
(Spain)
Spain
EUR
50,000
Novamont SpA
100.00
100.00
F.C.
Novamont North America Inc
Shelton
(USA)
USA
USD
50,000
Novamont SpA
100.00
100.00
F.C.
Padanaplast America Llc
Wilmington
(USA)
USA
USD
70,000
Finproject SpA
100.00
Eq.
Padanaplast Deutschland GmbH
Hannover
(Germany)
Germany
EUR
25,000
Finproject SpA
100.00
Eq.
Versalis Americas Inc
Dover
(USA)
USA
USD
100,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
Versalis Asia Pacific Pte Ltd
(former Versalis Singapore Pte Ltd)
Singapore
(Singapore)
Singapore
SGD
15,927,500
Versalis SpA
100.00
100.00
F.C.
Versalis Congo Sarlu
Pointe-Noire
(Republic
of the Congo)
Republic
of the Congo
XAF
1,000,000
Versalis International SA
100.00
100.00
F.C.
Versalis Deutschland GmbH
Eschborn
(Germany)
Germany
EUR
100,000
Versalis SpA
100.00
100.00
F.C.
Versalis France SAS
Mardyck
(France)
France
EUR
126,115,582.90
Versalis SpA
100.00
100.00
F.C.
Versalis International Côte d'Ivoire Sarlu
Abidjan
(Ivory Coast)
Ivory Coast
XOF
270,000,000
Versalis International SA
100.00
100.00
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(17) Company that benefits from a privileged tax regime pursuant to art. 167, paragraph 4 of the D.P.R. of December 22, 1986, n. 917: the income attributable to the Group is subject to
taxation in Italy.
ENI ANNUAL REPORT 2024
432
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Versalis International SA
Bruxelles
(Belgium)
Belgium
EUR
15,449,173.88
Versalis SpA
Versalis Deutsch. GmbH
Dunastyr Zrt
Versalis France
59.00
23.71
14.43
2.86
100.00
F.C.
Versalis Kimya Ticaret Limited Sirketi
Istanbul
(Turkey)
Turkey
TRY
20,000
Versalis International SA
100.00
100.00
F.C.
Versalis México S. de RL de CV
Mexico City
(Mexico)
Mexico
MXN
45,001,000
Versalis International SA
Versalis SpA
99.99
(..)
100.00
F.C.
Versalis Pacific (India) Private Ltd
Mumbai
(India)
India
INR
238,700
Versalis Asia Pacific
Versalis International SA
99.99
(..)
100.00
F.C.
Versalis Pacific Trading (Shanghai) Co Ltd
Shanghai
(China)
China
CNY
15,237,236
Versalis Asia Pacific
100.00
100.00
F.C.
Versalis UK Ltd
London
(United Kingdom)
United Kingdom
GBP
4,023,042
Versalis SpA
100.00
100.00
F.C.
Versalis Zeal Ltd
Takoradi
(Ghana)
Ghana
GHS
5,650,000
Versalis International SA
Third parties
80.00
20.00
80.00
F.C.
VME Oilfield Chemicals Llc
Doha
(Qatar)
Qatar
QAR
1,000,000
Versalis SpA
100.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
433
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENILIVE AND PLENITUDE
Enilive
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Enilive SpA
(former Eni Sustainable Mobility SpA)
Rome
Italy
EUR
418,494,406
Eni SpA
100.00
100.00
F.C.
Bioraffineria di Gela SpA
(former Raffineria di Gela SpA)
Gela (CL)
Italy
EUR
15,000,000
Enilive SpA
100.00
100.00
F.C.
EniBioCh4in Aprilia Srl
San Donato
Milanese (MI)
Italy
EUR
10,000
EniBioCh4in SpA
100.00
100.00
F.C.
EniBioCh4in Grupellum
Società Agricola Srl
San Donato
Milanese (MI)
Italy
EUR
100,000
EniBioCh4in SpA
Third parties
98.00
2.00
98.00
F.C.
EniBioCh4in Jonica Srl
San Donato
Milanese (MI)
Italy
EUR
20,000
EniBioCh4in SpA
100.00
100.00
F.C.
EniBioCh4in Pannellia
BioGas Srl Società Agricola
San Donato
Milanese (MI)
Italy
EUR
50,000
EniBioCh4in SpA
100.00
100.00
F.C.
EniBioCh4in Po Energia Srl
Società Agricola
San Donato
Milanese (MI)
Italy
EUR
10,000
EniBioCh4in SpA
100.00
100.00
F.C.
EniBioCh4in Quadruvium Srl
Società Agricola
San Donato
Milanese (MI)
Italy
EUR
100,000
EniBioCh4in SpA
100.00
100.00
F.C.
EniBioCh4in SpA
San Donato
Milanese (MI)
Italy
EUR
2,500,000
Enilive SpA
100.00
100.00
F.C.
Enimoov SpA
Rome
Italy
EUR
59,944,310
Enilive SpA
100.00
100.00
F.C.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Aten Oil Activos SLU
Madrid
(Spain)
Spain
EUR
303,000
Aten Oil SLU
100.00
100.00
F.C.
Aten Oil Operaciones SLU
Madrid
(Spain)
Spain
EUR
703,000
Aten Oil SLU
100.00
100.00
F.C.
Aten Oil Setor Activos SLU
Madrid
(Spain)
Spain
EUR
10,293,060
Aten Oil Setor SLU
100.00
100.00
F.C.
Aten Oil Setor Operaciones SLU
Madrid
(Spain)
Spain
EUR
57,198,511
Aten Oil Setor SLU
100.00
100.00
F.C.
Aten Oil Setor SLU
Madrid
(Spain)
Spain
EUR
3,000
Enilive Iberia SLU
100.00
100.00
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
ENI ANNUAL REPORT 2024
434
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Aten Oil SLU
Madrid
(Spain)
Spain
EUR
3,000
Enilive Iberia SLU
100.00
100.00
F.C.
Eni Energy (Shanghai) Co Ltd
Shanghai
(China)
China
EUR
5,000,000
Enilive SpA
100.00
100.00
F.C.
Enilive Austria GmbH
(former Eni Austria GmbH)
Wien
(Austria)
Austria
EUR
78,500,000
Enilive SpA
Enilive Deutsch. GmbH
75.00
25.00
100.00
F.C.
Enilive Benelux BV
(former Eni Benelux BV)
Rotterdam
(Netherlands)
Netherlands
EUR
1,934,040
Enilive SpA
100.00
100.00
F.C.
Enilive Deutschland GmbH
(former Eni Deutschland GmbH)
Munich
(Germany)
Germany
EUR
90,000,000
Enilive SpA
Eni International BV
89.00
11.00
100.00
F.C.
Enilive France Sàrl
(former Eni France Sàrl)
Lyon
(France)
France
EUR
56,800,000
Enilive SpA
100.00
100.00
F.C.
Enilive Iberia SLU
(former Eni Iberia SLU)
Alcobendas
(Spain)
Spain
EUR
17,299,100
Enilive SpA
100.00
100.00
F.C.
Enilive Marketing Austria GmbH
(former Eni Marketing Austria GmbH)
Wien
(Austria)
Austria
EUR
19,621,665.23
Enimoov Austria GmbH
Enilive SpA
99.99
(..)
100.00
F.C.
Enilive Schmiertechnik GmbH
(former Eni Schmiertechnik GmbH)
Wurzburg
(Germany)
Germany
EUR
2,000,000
Enilive Deutsch. GmbH
100.00
100.00
F.C.
Enilive Suisse SA
(former Eni Suisse SA)
Lausanne
(Switzerland)
Switzerland
CHF
102,500,000
Enilive SpA
100.00
100.00
F.C.
Enilive US Inc
(former Eni Sustainable Mobility US Inc)
Dover
(USA)
USA
USD
1,000
Enilive SpA
100.00
100.00
F.C.
Enimoov Austria GmbH
(former Eni Mineralölhandel GmbH)
Wien
(Austria)
Austria
EUR
34,156,232.06
Enilive Austria GmbH
100.00
100.00
F.C.
Tasonis DirectorShip SLU
Madrid
(Spain)
Spain
EUR
3,000
Enilive Iberia SLU
100.00
100.00
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
435
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Plenitude SpA Società Benefit
Milan
Italy
EUR
833,135,092
Eni SpA
Third parties
92.42
7.58
92.42
F.C.
Agrikroton Srl - Società Agricola
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Alirsila Srl
Milan
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
Eq.
Atis Floating Wind Srl
Milan
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
Eq.
Be Charge Srl
Milan
Italy
EUR
500,000
Be Power SpA
100.00
92.42
F.C.
Be Charge Valle d'Aosta Srl
Milan
Italy
EUR
10,000
Be Charge Srl
100.00
92.42
F.C.
Be Power SpA
Milan
Italy
EUR
698,251
Eni Plenitude SpA SB
100.00
92.42
F.C.
Borgia Wind Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Corridonia Energia Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Dynamica Srl
Cesena
(FC)
Italy
EUR
50,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Ecoener Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Elettro Sannio Wind 2 Srl
Cesena
(FC)
Italy
EUR
1,225,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Enerkall Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eni Plenitude Miniwind Srl
Cesena
(FC)
Italy
EUR
50,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eni Plenitude Renewables Italy SpA
(former Eni New Energy SpA)
Milan
Italy
EUR
9,296,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Plenitude Società Agricola Bio Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eni Plenitude Solar Abruzzo Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eni Plenitude Solar II Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Plenitude
ENI ANNUAL REPORT 2024
436
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Plenitude Storage Italy Srl
(former Ruggiero Wind Srl)
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eolica Pietramontecorvino Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eolica Wind Power Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eolo Energie - Corleone -
Campofiorito Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Evolvere Venture SpA
Milan
Italy
EUR
50,000
Plen. En. Serv. SpA
100.00
92.42
F.C.
Faren Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
FAS Srl
Cesena
(FC)
Italy
EUR
119,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Fotovoltaica Pietramontecorvino Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
FV4P Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Gemsa Solar Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
GPC Due Srl
Cesena
(FC)
Italy
EUR
12,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
GPC Uno Srl
Cesena
(FC)
Italy
EUR
25,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Green Parity Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Krimisa Floating Wind Srl
Milan
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
Eq.
Lugo Società Agricola Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Lugo Solar Tech Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Marano Solar Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Marano Solare Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
437
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Marcellinara Wind Srl
Cesena
(FC)
Italy
EUR
35,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Messapia Floating Wind Srl
Milan
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
Eq.
Micropower Srl
Cesena
(FC)
Italy
EUR
30,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Molinetto Srl
Cesena
(FC)
Italy
EUR
10,000
Faren Srl
100.00
92.42
F.C.
Montefano Energia Srl
Cesena
(FC)
Italy
EUR
20,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Monte San Giusto Solar Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Olivadi Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Parco Eolico di Tursi e Colobraro Srl
Cesena
(FC)
Italy
EUR
31,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Pescina Wind Srl
Cesena
(FC)
Italy
EUR
50,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Pieve5 Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Plenitude Energy Services SpA
(former Evolvere SpA Società Benefit)
Milan
Italy
EUR
1,130,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Pollenza Sole Srl
Cesena
(FC)
Italy
EUR
32,500
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Ravenna 1 FTV Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
RF-AVIO Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
RF-Cavallerizza Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
SAV - Santa Maria Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Società Agricola Casemurate Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Società Agricola Forestale
Pianura Verde Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Società Agricola Isola d'Agri Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
ENI ANNUAL REPORT 2024
438
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Società Agricola L'Albero Azzurro Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Tate Srl
Bologna
Italy
EUR
408,509.29
Evolvere Venture SpA
Third parties
36.00
64.00
Eq.
Timpe Muzzunetti 2 Srl
Cesena
(FC)
Italy
EUR
2.500
Eni Plen. Ren. Italy SpA
Third parties
70.00
30.00
64.70
F.C.
Vivaro FTV Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
VRG Wind 127 Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
VRG Wind 149 Srl
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
W-Energy Srl
Cesena
(FC)
Italy
EUR
93,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Wind Salandra Srl
Cesena
(FC)
Italy
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Windsol Srl
Cesena
(FC)
Italy
EUR
3,250,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Wind Turbines Engineering 2 Srl
Cesena
(FC)
Italy
EUR
5,450,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
439
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Adriaplin Podjetje za distribucijo
zemeljskega plina doo Ljubljana
Ljubljana
(Slovenia)
Slovenia
EUR
12,956,935
Eni Plenitude SpA SB
Third parties
51.00
49.00
47.14
F.C.
Aleria Solar SAS
Bastia
(France)
France
EUR
100
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
Almazara Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Alpinia Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Argenta Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Argon SAS
Argenteuil
(France)
France
EUR
180,000
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
Armadura Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Arm Wind Llp
Astana
(Kazakhstan)
Kazakhstan
KZT
48,175,700,000
Eni Energy Solutions BV
100.00
92.42
F.C.
Athies-Samoussy Solar PV1 SAS
Argenteuil
(France)
France
EUR
68,000
Krypton SAS
100.00
92.42
F.C.
Athies-Samoussy Solar PV2 SAS
Argenteuil
(France)
France
EUR
40,000
Krypton SAS
100.00
92.42
F.C.
Athies-Samoussy Solar PV3 SAS
Argenteuil
(France)
France
EUR
36,000
Krypton SAS
100.00
92.42
F.C.
Athies-Samoussy Solar PV4 SAS
Argenteuil
(France)
France
EUR
14,000
Xenon SAS
100.00
92.42
F.C.
Athies-Samoussy Solar PV5 SAS
Argenteuil
(France)
France
EUR
14,000
Xenon SAS
100.00
92.42
F.C.
Atlante Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Belle Magiocche Solaire SAS
Bastia
(France)
France
EUR
10,000
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
Boceto Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Bonete Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Brazoria Class B Member Llc
Dover
(USA)
USA
USD
1,000
Eni New Energy US Inc
100.00
92.42
F.C.
Brazoria County Solar Project Llc
Dover
(USA)
USA
USD
1,000
Brazoria HoldCo Llc
100.00
85.47
F.C.
Brazoria HoldCo Llc
Dover
(USA)
USA
USD
190,593,950
Brazoria Class B
Third parties
92.48
7.52
85.47
F.C.
Brown Chapel Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
BT Kellam Solar Llc
Austin
(USA)
USA
USD
1,000
Kellam Tax Eq. Partn.
100.00
87.53
F.C.
Burlington Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Camelia Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Cattlemen Class A Llc
Dover
(USA)
USA
USD
1
Eni New Energy US Inc
100.00
92.42
F.C.
Celtis Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
ENI ANNUAL REPORT 2024
440
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Chapitel Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Chimney Creek Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Corazon Energy Class B Llc
Dover
(USA)
USA
USD
100
Eni New Energy US Inc
100.00
92.42
F.C.
Corazon Energy Llc
Dover
(USA)
USA
USD
100
Corazon Tax Eq. Part. Llc
100.00
88.17
F.C.
Corazon Energy Services Llc
Dover
(USA)
USA
USD
100
Eni New Energy US Inc
100.00
Eq.
Corazon Tax Equity Partnership Llc
Dover
(USA)
USA
USD
179,823,501
Corazon En. Class B Llc
Third parties
95.40
4.60
88.17
F.C.
Cornisa Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Daviess County Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Desarrollos Empresariales Illas SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Eagle Springs Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Ecovent Parc Eolic SAU
Madrid
(Spain)
Spain
EUR
1,037,350
Eni Plenitude SpA SB
100.00
92.42
F.C.
Ekain Renovables SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. T. S. Spain
100.00
92.42
F.C.
Emery Bull Creek Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Enera Conseil SAS
Levallois-Perret
(France)
France
EUR
9,690
Eni G&P France SA
100.00
92.42
F.C.
Energía Eólica Boreas SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Energías Alternativas Eólicas Riojanas SL
Madrid
(Spain)
Spain
EUR
2,008,901.71
Eni Plenitude SpA SB
Energías Amb. de Outes
57.50
42.50
92.42
F.C.
Energías Ambientales de Outes SLU
Madrid
(Spain)
Spain
EUR
643,451.49
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Energy Solutions BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Gas & Power France SA
Levallois-Perret
(France)
France
EUR
239,500,800
Eni Plenitude SpA SB
Third parties
99.99
(..)
92.42
F.C.
Eni New Energy Australia Pty Ltd
Perth
(Australia)
Australia
AUD
4
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni New Energy Batchelor Pty Ltd
Perth
(Australia)
Australia
AUD
1
Eni New En. Aus. Pty Ltd
100.00
92.42
F.C.
Eni New Energy Katherine Pty Ltd
Perth
(Australia)
Australia
AUD
1
Eni New En. Aus. Pty Ltd
100.00
92.42
F.C.
Eni New Energy Manton Dam Pty Ltd
Perth
(Australia)
Australia
AUD
1
Eni New En. Aus. Pty Ltd
100.00
92.42
F.C.
Eni New Energy US Holding Llc
Dover
(USA)
USA
USD
100
Eni New Energy US Inc
Eni New Energy US Inv.Inc
99.00
1.00
92.42
F.C.
Eni New Energy US Inc
Dover
(USA)
USA
USD
100
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni New Energy US Investing Inc
Dover
(USA)
USA
USD
1,000
Eni New Energy US Inc
100.00
92.42
F.C.
441
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Plenitude Iberia SLU
Santander
(Spain)
Spain
EUR
3,192,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Plenitude Investment Colombia SAS
Bogotà
(Colombia)
Colombia
COP
1,010,840,000
Eni Plen. Ren. Italy SpA
Third parties
51.00
49.00
47.14
F.C.
Eni Plenitude Investment Spain SLU
Madrid
(Spain)
Spain
EUR
100,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eni Plenitude Operations France SAS
Argenteuil
(France)
France
EUR
1,116,489.72
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Eni Plenitude Renewables France SAS
Argenteuil
(France)
France
EUR
51,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Eni Plenitude Renewables Hellas
Single Member SA
Athens
(Greece)
Greece
EUR
43,227,464
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Plenitude Renewables
Luxembourg Sàrl
Luxembourg
(Luxembourg)
Luxembourg
EUR
10,253,560
Eni Plenitude SpA SB
100.00
92.42
F.C.
Eni Plenitude Renewables Spain SLU
Madrid
(Spain)
Spain
EUR
6,680
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Eni Plenitude Rooftop France SAS
Argenteuil
(France)
France
EUR
40,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Eni Plenitude Technical Services
Colombia SAS
Bogotà
(Colombia)
Colombia
COP
1,000,000
Eni Plen. Ren. Italy SpA
Third parties
60.00
40.00
55.45
F.C.
Eni Plenitude Technical Services
Romania Srl
Cluj-Napoca
(Romania)
Romania
RON
4,400
Eni Plen. Ren. Italy SpA
Eni Plen. St. Italy Srl
95.00
5.00
92.42
F.C.
Eni Plenitude Technical Services
Spain SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Italy SpA
100.00
92.42
F.C.
Eolica Cuellar de la Sierra SLU
Madrid
(Spain)
Spain
EUR
110,999.77
Eni Plen. Inv. Spain SLU
100.00
92.42
F.C.
Estanque Redondo Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Five Mile Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Flat Bayou Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Fortaleza Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Fotovoltaica Escudero SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Fotovoltaica Fotozar 5 SLU
Madrid
(Spain)
Spain
EUR
7,616
Eni Plen. Ren. Spain SLU
100.00
92.42
F.C.
Fotovoltaica Fotozar 6 SLU
Madrid
(Spain)
Spain
EUR
7,545
Eni Plen. Ren. Spain SLU
100.00
92.42
F.C.
Garita Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Gas Supply Company
Thessaloniki - Thessalia SA
Thessaloniki
(Greece)
Greece
EUR
13,761,788
Eni Plenitude SpA SB
100.00
92.42
F.C.
Golden Acres Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Granville Invest SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Guajillo Energy Storage Llc
Dover
(USA)
USA
USD
100
Eni New Energy US H. Llc
100.00
92.42
F.C.
Guillena Nivel II SL
(former Tebar Solar SLU)
Madrid
(Spain)
Spain
EUR
3,000
Almazara Solar SLU
Atlante Solar SLU
Chapitel Solar SLU
Fortaleza Solar SLU
Garita Solar SLU
20.00
20.00
20.00
20.00
20.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
ENI ANNUAL REPORT 2024
442
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Hanks Crossing Energy Llc
Dover
USA
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
HLS Bonete PV SLU
Madrid
(Spain)
Spain
EUR
3,602
HLS Bonete Topco SLU
100.00
92.42
F.C.
HLS Bonete Topco SLU
Madrid
(Spain)
Spain
EUR
6,602
Eni Plenitude SpA SB
100.00
92.42
F.C.
Holding Lanas Solar Sàrl
Argenteuil
(France)
France
EUR
100
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
Huisache Solar Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Inveese SAS
Bogotà
(Colombia)
Colombia
COP
100,000,000
Eni Plen. Inv. Colombia
Third parties
75.00
25.00
35.35
F.C.
Kellam Solar Class B Llc
Dover
(USA)
USA
USD
1
Eni New Energy US Inc
100.00
92.42
F.C.
Kellam Tax Equity Partnership Llc
Dover
(USA)
USA
USD
40,236,049
Kellam Solar Class B
Third parties
94.70
5.30
87.53
F.C.
Killington SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Krypton SAS
Argenteuil
(France)
France
EUR
180,000
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
Ladronera Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
Lanas Solar SAS
Argenteuil
(France)
France
EUR
100
Holding Lanas Solar Sàrl
100.00
92.42
F.C.
Lone Pine Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Maristella Directorship SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Spain SLU
100.00
92.42
F.C.
Membrio Solar SLU
Lodosa
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Miburia Trade SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. T. S. Spain
100.00
92.42
F.C.
Muddy Creek Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Olea Solar SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Plumlee SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
POP Solar SAS
Argenteuil
(France)
France
EUR
1,000
Eni Plen. Ren. Lux. Sàrl
100.00
92.42
F.C.
Renopool 1 SLU
Madrid
(Spain)
Spain
EUR
3,015
Eni Plen. Ren. Spain SLU
100.00
92.42
F.C.
Richwood Invest SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
100.00
92.42
F.C.
SKGRPV1 Single Member
Private Company
Athens
(Greece)
Greece
EUR
37,600
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV2 Single Member
Private Company
Athens
(Greece)
Greece
EUR
39,600
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV3 Single Member
Private Company
Athens
(Greece)
Greece
EUR
37,600
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV4 Single Member
Private Company
Athens
(Greece)
Greece
EUR
36,600
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV5 Single Member
Private Company
Athens
(Greece)
Greece
EUR
37,600
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
443
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
SKGRPV6 Single Member
Private Company
Athens
(Greece)
Greece
EUR
48,300
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV7 Single Member
Private Company
Athens
(Greece)
Greece
EUR
109,000
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV8 Single Member
Private Company
Athens
(Greece)
Greece
EUR
27,200
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV9 Single Member
Private Company
Athens
(Greece)
Greece
EUR
47,200
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV10 Single Member
Private Company
Athens
(Greece)
Greece
EUR
47,800
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV11 Single Member
Private Company
Athens
(Greece)
Greece
EUR
57,300
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV12 Single Member
Private Company
Athens
(Greece)
Greece
EUR
31,000
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV13 Single Member
Private Company
Athens
(Greece)
Greece
EUR
45,100
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV14 Single Member
Private Company
Athens
(Greece)
Greece
EUR
34,121,900
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV15 Single Member
Private Company
Athens
(Greece)
Greece
EUR
39,000
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV16 Single Member
Private Company
Athens
(Greece)
Greece
EUR
32,000
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV17 Single Member
Private Company
Athens
(Greece)
Greece
EUR
50,200
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV18 Single Member
Private Company
Athens
(Greece)
Greece
EUR
36,200
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV19 Single Member
Private Company
Athens
(Greece)
Greece
EUR
91,400
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
SKGRPV20 Single Member
Private Company
Athens
(Greece)
Greece
EUR
59,200
Eni Plen. Renew. Hellas
100.00
92.42
F.C.
South Triangle Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Tallahatchie Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Tantalio Renovables SLU
Madrid
(Spain)
Spain
EUR
3,000
Eni Plen. Ren. Spain SLU
100.00
92.42
F.C.
Timber Road Blue Harvest Class A Llc
Dover
(USA)
USA
USD
1
Eni New Energy US Inc
100.00
92.42
F.C.
Turner Creek Energy Llc
Dover
(USA)
USA
USD
10
Eni New Energy US H. Llc
100.00
Eq.
Wind Grower SLU
Ourense
(Spain)
Spain
EUR
593,000
Eni Plen. T. S. Spain
100.00
92.42
F.C.
Wind Hero SLU
Ourense
(Spain)
Spain
EUR
563,000
Eni Plen. T. S. Spain
100.00
92.42
F.C.
Xenon SAS
Argenteuil
(France)
France
EUR
1,500,100
Eni Plen. Op. Fr. SAS
100.00
92.42
F.C.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
ENI ANNUAL REPORT 2024
444
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
CORPORATE AND OTHER ACTIVITIES
Corporate and financial companies
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Agenzia Giornalistica Italia SpA
Rome
Italy
EUR
2,000,000
Eni SpA
100.00
100.00
F.C.
D-Share SpA
San Donato
Milanese (MI)
Italy
EUR
121,719.25
AGI SpA
100.00
100.00
F.C.
Eni Corporate University SpA
San Donato
Milanese (MI)
Italy
EUR
3,360,000
Eni SpA
100.00
100.00
F.C.
Eni Insurance SpA
Rome
Italy
EUR
5,000,000
Eni SpA
100.00
100.00
F.C.
Eni Trading & Shipping SpA
(in liquidation)
Rome
Italy
EUR
334,171
Eni SpA
100.00
Co.
Eniquantic SpA
Rome
Italy
EUR
50,000
Eni SpA
Third parties
94.00
6.00
Co.
EniServizi SpA
San Donato
Milanese (MI)
Italy
EUR
13,427,419.08
Eni SpA
100.00
100.00
F.C.
Eniverse Ventures Srl
San Donato
Milanese (MI)
Italy
EUR
1,550,000
Eni SpA
100.00
100.00
F.C.
Enivibes Srl
Vimodrone (MI)
Italy
EUR
3,552,632
Eniverse
Third parties
76.00
24.00
76.00
F.C.
Servizi Aerei SpA
San Donato
Milanese (MI)
Italy
EUR
48,205,536
Eni SpA
100.00
100.00
F.C.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Banque Eni SA
Bruxelles
(Belgium)
Belgium
EUR
50,000,000
Eni International BV
Eni Oil Holdings BV
99.90
0.10
100.00
F.C.
Eni Finance USA Inc
Dover
(USA)
USA
USD
2,500,000
Eni Petroleum Co Inc
100.00
100.00
F.C.
Eni Insurance DAC
Dublin
(Ireland)
Ireland
EUR
500,000,000
Eni SpA
100.00
100.00
F.C.
Eni International BV
Amsterdam
(Netherlands)
Netherlands
EUR
641,683,425
Eni SpA
100.00
100.00
F.C.
Eni International Resources Ltd
London
(United Kingdom)
United Kingdom
GBP
50,000
Eni SpA
Eni UK Ltd
99.99
(..)
100.00
F.C.
Eni Next Llc
Dover
(USA)
USA
USD
100
Eni Petroleum Co Inc
100.00
100.00
F.C.
445
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Other activities
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Rewind SpA
San Donato
Milanese (MI)
Italy
EUR
101,755,495.30
Eni SpA
Third parties
99.99
(..)
100.00
F.C.
Industria Siciliana Acido
Fosforico - ISAF - SpA
(in liquidation)
Gela (CL)
Italy
EUR
1,300,000
Eni Rewind SpA
Third parties
52.00
48.00
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Eni Rewind International BV
Amsterdam
(Netherlands)
Netherlands
EUR
20,000
Eni International BV
100.00
Eq.
Oleodotto del Reno SA
Coira
(Switzerland)
Switzerland
CHF
1,550,000
Eni Rewind SpA
100.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
ENI ANNUAL REPORT 2024
446
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
JOINT ARRANGEMENTS AND ASSOCIATES
EXPLORATION & PRODUCTION
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Agri-Energy Srl(†)
Jolanda di Savoia
(FE)
Italy
EUR
50,000
Eni Natural Energies SpA
Third parties
50.00
50.00
Eq.
Azule Energy Angola SpA
San Donato
Milanese (MI)
Angola
EUR
20,200,000
Azule Energy Holdings Ltd
100.00
Mozambique Rovuma Venture SpA(†)
San Donato
Milanese (MI)
Mozambique
EUR
20,000,000
Eni SpA
Third parties
35.71
64.29
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Agiba Petroleum Co(†)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
50.00
50.00
Co.
Ashrafi Island Petroleum Co
(in liquidation)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
Azule Energy Angola (Block 18) BV
Rotterdam
(Netherlands)
Angola
EUR
2,275,625.42
Azule Energy Holdings Ltd
100.00
Azule Energy Angola BV
Amsterdam
(Netherlands)
Angola
EUR
20,000
Azule Energy Holdings Ltd
100.00
Azule Energy Angola Production BV
Amsterdam
(Netherlands)
Angola
EUR
20,000
Azule Energy Holdings Ltd
100.00
Azule Energy Exploration Angola (KB) Ltd
London
(United Kingdom)
Angola
USD
1
Azule Energy Holdings Ltd
100.00
Azule Energy Exploration (Angola) Ltd
London
(United Kingdom)
Angola
USD
1,000,000
Azule Energy Holdings Ltd
100.00
Azule Energy Gas Supply Services Inc
Dover
(USA)
USA
USD
1,000
Azule Energy Holdings Ltd
100.00
Azule Energy Holdings Ltd(†)
London
(United Kingdom)
United
Kingdom
USD
1,000,000
Eni International BV
Third parties
50.00
50.00
Eq.
Azule Energy Ltd
London
(United Kingdom)
Angola
USD
1
Azule Energy Holdings Ltd
100.00
Azule Energy US Gas Llc
Wilmington
(USA)
USA
USD
12,800,000
Azule En. Gas Sup. S. Inc
100.00
Barentsmorneftegaz Sàrl(†)
Luxembourg
(Luxembourg)
Russia
USD
20,000
Eni Energy Russia BV
Third parties
33.33
66.67
Eq.
447
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(#) Company with shares listed on regulated market of extra-EU Countries.
(†) Jointly controlled entity.
(a) Shares without nominal value.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Cabo Delgado Gas Development
Limitada(†)
Maputo
(Mozambique)
Mozambique
MZN
2,500,000
Eni Mozamb. LNG H. BV
Third parties
50.00
50.00
Co.
Cardón IV SA(†)
Caracas
(Venezuela)
Venezuela
VED
0
Eni Venezuela BV
Third parties
50.00
50.00
Eq.
Compañia Agua Plana SA
Caracas
(Venezuela)
Venezuela
VED
0
Eni Venezuela BV
Third parties
26.00
74.00
Co.
Coral FLNG SA
Maputo
(Mozambique)
Mozambique
MZN
100,000,000
Eni Mozamb. LNG H. BV
Third parties
25.00
75.00
Eq.
Coral South FLNG DMCC Dubai
(United Arab
Emirates)
United Arab
Emirates
AED
500,000
Eni Mozamb. LNG H. BV
Third parties
25.00
75.00
Eq.
E&E Algeria Touat BV(†)
The Hague
(Netherlands)
Algeria
EUR
63,149,580
Eni En. Touat Hold. BV
Third parties
54.00
46.00
Eq.
East Delta Gas Co
(in liquidation)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
37.50
62.50
Co.
East Obaiyed Petroleum Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
37.50
62.50
Co.
El Temsah Petroleum Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
El-Fayrouz Petroleum Co(†)
(in liquidation)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Exploration BV
Third parties
50.00
50.00
Fedynskmorneftegaz Sàrl(†)
Luxembourg
(Luxembourg)
Russia
USD
20,000
Eni Energy Russia BV
Third parties
33.33
66.67
Eq.
In Salah Gas Ltd
St. Helier
(Jersey)
Netherlands
GBP
180
Eni In Salah Ltd
Third parties
25.56
74.44
Co.
In Salah Gas Services Ltd
St. Helier
(Jersey)
Netherlands
GBP
180
Eni In Salah Ltd
Third parties
25.56
74.44
Co.
Isatay Operating Company Llp(†)
Astana
(Kazakhstan)
Kazakhstan
KZT
400,000
Eni Isatay
Third parties
50.00
50.00
Co.
Ithaca Energy Plc(#)
London
(United Kingdom)
United
Kingdom
GBP
16,537,324.55
Eni UK Ltd
Third parties
37.17
62.83
Eq.
Karachaganak Petroleum Operating BV
Amsterdam
(Netherlands)
Kazakhstan
EUR
20,000
Agip Karachaganak BV
Third parties
29.25
70.75
Co.
Khaleej Petroleum Co Wll
Safat
(Kuwait)
Kuwait
KWD
250,000
Eni Middle E. Ltd
Third parties
49.00
51.00
Eq.
Liberty National Development Co Llc
Wilmington
(USA)
USA
USD
0
Eni Oil & Gas Inc
Third parties
32.50
67.50
Eq.
Mangistau Power BV(†)
Amsterdam
(Netherlands)
Kazakhstan
USD
104,381,000
Eni International BV
Third parties
51.00
49.00
Eq.
Mediterranean Gas Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
Meleiha Petroleum Company
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
37.50
62.50
Co.
Mellitah Oil & Gas BV(†)
Amsterdam
(Netherlands)
Libya
EUR
20,000
Eni North Africa BV
Third parties
50.00
50.00
Co.
Nile Delta Oil Co Nidoco
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
37.50
62.50
Co.
NOGAT BV(†)
The Hague
(Netherlands)
Netherlands
EUR
30,657,500
Eni En. Holding NL BV
Third parties
15.00
85.00
15.00
J.O.
Noordgastransport BV
The Hague
(Netherlands)
Netherlands
EUR
18,151,208.64
Eni En. Holding NL BV
Third parties
18.57
81.43
Eq.
(a)
ENI ANNUAL REPORT 2024
448
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(#) Company with shares listed on regulated market of extra-EU Countries.
(†) Jointly controlled entity.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Norpipe Terminal Holdco Ltd
London
(United Kingdom)
Norway
GBP
55.69
Eni SpA
Third parties
14.20
85.80
Eq.
North El Burg Petroleum Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
North El Hammad Petroleum Co
Cairo
(Egypt)
Egypt
USD
20,000
Ieoc Production BV
Third parties
18.75
81.25
Co.
Petrobel Belayim Petroleum Co(†)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
50.00
50.00
Co.
PetroBicentenario SA(†)
Caracas
(Venezuela)
Venezuela
VED
0
Eni Lasmo Plc
Third parties
40.00
60.00
Eq.
PetroJunín SA(†)
Caracas
(Venezuela)
Venezuela
VED
0.02
Eni Lasmo Plc
Third parties
40.00
60.00
Eq.
PetroSucre SA
Caracas
(Venezuela)
Venezuela
VED
0
Eni Venezuela BV
Third parties
26.00
74.00
Eq.
Pharaonic Petroleum Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
Port Said Petroleum Co(†)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
50.00
50.00
Co.
QatarEnergy LNG NFE (5)
Doha
(Qatar)
Qatar
USD
1,175,885,000
Eni Qatar BV
Third parties
25.00
75.00
Eq.
Rovuma LNG Investment (DIFC) Ltd
Dubai
(United Arab
Emirates)
Mozambique
USD
50,000
Eni Mozamb. LNG H. BV
Third parties
25.00
75.00
Eq.
Rovuma LNG SA
Maputo
(Mozambique)
Mozambique
MZN
100,000,000
Eni Mozamb. LNG H. BV
Third parties
25.00
75.00
Eq.
Shorouk Petroleum Company
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
25.00
75.00
Co.
Société Centrale Electrique
du Congo SA
Pointe-Noire
(Republic
of the Congo)
Republic
of the Congo
XAF
44,732,000,000
Eni Congo SAU
Third parties
20.00
80.00
Eq.
Société Italo Tunisenne
d’Exploitation Pétrolière SA(†)
Tunis
(Tunisia)
Tunisia
TND
5,000,000
Eni Tunisia BV
Third parties
50.00
50.00
Eq.
Sodeps - Société de Developpement
et d’Exploitation du Permis du Sud SA(†)
Tunis
(Tunisia)
Tunisia
TND
100,000
Eni Tunisia BV
Third parties
50.00
50.00
Co.
Tecninco Engineering Contractors Llp(†)
Aksai
(Kazakhstan)
Kazakhstan
KZT
29,478,455
EniProgetti SpA
Third parties
49.00
51.00
Eq.
Thekah Petroleum Co
(in liquidation)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Exploration BV
Third parties
25.00
75.00
United Gas Derivatives Co
New Cairo
(Egypt)
Egypt
USD
153,000,000
Eni International BV
Third parties
33.33
66.67
Eq.
Vår Energi ASA(#)
Sandnes
(Norway)
Norway
NOK
399,425,000
Eni International BV
Third parties
63.04
36.96
Eq.
VIC CBM Ltd(†)
London
(United Kingdom)
Indonesia
USD
52,315,912
Eni Lasmo Plc
Third parties
50.00
50.00
Eq.
Virginia Indonesia Co CBM Ltd(†)
London
(United Kingdom)
Indonesia
USD
25,631,640
Eni Lasmo Plc
Third parties
50.00
50.00
Eq.
West Ashrafi Petroleum Co(†)
(in liquidation)
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Exploration BV
Third parties
50.00
50.00
449
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
(a) Equity ratio equal to the Eni's working interest.
Global Gas & LNG Portfolio
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
SeaCorridor Srl(†)
San Donato
Milanese (MI)
Italy
EUR
100,000,000
Eni SpA
Third parties
50.10
49.90
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Blue Stream Pipeline Co BV(†)
Amsterdam
(Netherlands)
Russia
USD
22,000
Eni International BV
Third parties
50.00
50.00
74.62 (a)
J.O.
Damietta LNG (DLNG) SAE(†)
Damietta
(Egypt)
Egypt
USD
375,000,000
Eni Gas Liquef. BV
Third parties
50.00
50.00
50.00
J.O.
DLNG Service SAE(†)
Damietta
(Egypt)
Egypt
USD
1,000,000
Damietta LNG
Eni Gas Liquef. BV
Third parties
98.00
1.00
1.00
50.00
J.O.
GreenStream BV(†)
Amsterdam
(Netherlands)
Libya
EUR
200,000,000
Eni North Africa BV
Third parties
50.00
50.00
50.00
J.O.
Société Energies Renouvelables
Eni-ETAP SA(†)
Tunis
(Tunisia)
Tunisia
TND
11,100,000
Eni International BV
Third parties
50.00
50.00
Eq.
GLOBAL GAS & LNG PORTFOLIO AND POWER
ENI ANNUAL REPORT 2024
450
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
Power
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Società EniPower Ferrara Srl(†)
San Donato
Milanese (MI)
Italy
EUR
140,000,000
EniPower SpA
Third parties
51.00
49.00
26.01
J.O.
451
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
REFINING AND CHEMICALS
Refining
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
CePIM Centro Padano Interscambio
Merci SpA
Fontevivo
(PR)
Italy
EUR
6,642,928.32
Ecofuel SpA
Third parties
44.78
55.22
Eq.
Consorzio Operatori GPL di Napoli
Napoli
Italy
EUR
102,000
Ecofuel SpA
Third parties
25.00
75.00
Co.
Costiero Gas Livorno SpA(†)
Livorno
Italy
EUR
26,000,000
Ecofuel SpA
Third parties
65.00
35.00
65.00
J.O.
Disma SpA
Segrate (MI)
Italy
EUR
2,600,000
Ecofuel SpA
Third parties
25.00
75.00
Eq.
Green Hydrogen Venezia Srl(†)
Verona
Italy
EUR
10,000
Eni SpA
Third parties
50.00
50.00
Eq.
Porto Petroli di Genova SpA
Genova
Italy
EUR
2,068,000
Ecofuel SpA
Third parties
40.50
59.50
Eq.
Raffineria di Milazzo ScpA(†)
Milazzo (ME)
Italy
EUR
171,143,000
Eni SpA
Third parties
50.00
50.00
50.00
J.O.
Seram SpA
Fiumicino (RM)
Italy
EUR
852,000
Eni SpA
Third parties
25.00
75.00
Eq.
Sigea Sistema Integrato Genova
Arquata SpA
Genova
Italy
EUR
3,326,900
Ecofuel SpA
Third parties
35.00
65.00
Eq.
Società Oleodotti Meridionali -
SOM SpA(†)
Rome
Italy
EUR
3,085,000
Eni SpA
Third parties
70.00
30.00
Eq.
South Italy Green Hydrogen Srl(†)
Rome
Italy
EUR
10,000
Eni SpA
Third parties
50.00
50.00
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Abu Dhabi Oil Refining Company
(TAKREER)
Abu Dhabi
(United Arab
Emirates)
United Arab
Emirates
AED
500,000,000
Eni Abu Dhabi R&T BV
Third parties
20.00
80.00
Eq.
ADNOC Global Trading Ltd
Abu Dhabi
(United Arab
Emirates)
United Arab
Emirates
USD
100,000,000
Eni Abu Dhabi R&T BV
Third parties
20.00
80.00
Eq.
Egyptian International Gas
Technology Co
New Cairo
(Egypt)
Egypt
EGP
100,000,000
Eni International BV
Third parties
40.00
60.00
Eq.
Mediterranée Bitumes SA
Tunis
(Tunisia)
Tunisia
TND
1,000,000
Eni International BV
Third parties
34.00
66.00
Eq.
Supermetanol CA(†)
Jose Puerto
La Cruz
(Venezuela)
Venezuela
VED
0
Ecofuel SpA
Supermetanol CA
Third parties
34.51
30.07
35.42
50.00(a)
J.O.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
(a) Equity ratio equal to the Eni's working interest.
ENI ANNUAL REPORT 2024
452
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Chemicals
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Brindisi Servizi Generali Scarl
Brindisi
Italy
EUR
1,549,060
Versalis SpA
Eni Rewind SpA
EniPower SpA
Third parties
49.00
20.20
8.90
21.90
Eq.
IFM Ferrara ScpA
Ferrara
Italy
EUR
5,304,464
Versalis SpA
Eni Rewind SpA
S.E.F. Srl
Third parties
19.61
11.51
10.63
58.25
Eq.
Polymer Servizi Ecologici Scarl
Terni
Italy
EUR
10,000
Novamont SpA
Third parties
32.44
67.56
Eq.
Priolo Servizi ScpA
Melilli (SR)
Italy
EUR
28,100,000
Versalis SpA
Eni Rewind SpA
Third parties
37.22
5.65
57.13
Eq.
Ravenna Servizi Industriali ScpA
Ravenna
Italy
EUR
5,597,400
Versalis SpA
EniPower SpA
Ecofuel SpA
Third parties
42.13
30.37
1.85
25.65
Eq.
Servizi Porto Marghera Scarl
Venezia
Marghera (VE)
Italy
EUR
8,695,718
Versalis SpA
Eni Rewind SpA
Third parties
48.44
38.39
13.17
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
BioBag Baltic OÜ
Tallinn
(Estonia)
Estonia
EUR
3,846
BioBag International
Third parties
35.00
65.00
Eq.
Lotte Versalis Elastomers Co Ltd(†)
Yeosu
(South Korea)
South Korea
KRW
701,800,000,000
Versalis SpA
Third parties
50.00
50.00
Eq.
Versalis Chem-invest Llp(†)
Uralsk City
(Kazakhstan)
Kazakhstan
KZT
64,194,000
Versalis International SA
Third parties
49.00
51.00
Eq.
VPM Oilfield Specialty Chemicals Llc(†)
Abu Dhabi
(United Arab
Emirates)
United Arab
Emirates
AED
1,000,000
Versalis International SA
Third parties
49.00
51.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
453
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
ENILIVE AND PLENITUDE
Enilive
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
AET - Raffineriebeteiligungsgesellschaft
mbH(†)
Schwedt
(Germany)
Germany
EUR
27,000
Enilive Deutsch. GmbH
Third parties
33.33
66.67
Eq.
Agass Energy Solution Europe SL(†)
Madrid
(Spain)
Spain
EUR
3,000
Aten Oil Setor SLU
Third parties
50.00
50.00
Eq.
Bayernoil Raffineriegesellschaft mbH(†)
Vohburg
(Germany)
Germany
EUR
10,226,000
Enilive Deutsch. GmbH
Third parties
20.00
80.00
20.00
J.O.
City Carburoil SA(†)
Monteceneri
(Switzerland)
Switzerland
CHF
6,000,000
Enilive Suisse SA
Third parties
49.91
50.09
Eq.
ENEOS Italsing Pte Ltd
Singapore
(Singapore)
Singapore
SGD
12,000,000
Enilive SpA
Third parties
22.50
77.50
Eq.
Fuelling Aviation Services GIE
Tremblay-
en-France
(France)
France
EUR
0
Enilive France Sàrl
Third parties
25.00
75.00
Co.
LG-Eni BioRefining Co Ltd
Seosan-Si
(South Korea)
South Korea
KRW
6,804,000,000
Enilive SpA
Third parties
49.00
51.00
Eq.
Pengerang Biorefinery Sdn Bhd(†)
Kuala Lumpur
(Malaysia)
Malaysia
MYR
67,500,000
Enilive SpA
Third parties
47.50
52.50
Eq.
Routex BV
Amsterdam
(Netherlands)
Netherlands
EUR
67,500
Enilive SpA
Routex BV
Third parties
20.00
20.00
60.00
Eq.
Saraco SA
Meyrin
(Switzerland)
Switzerland
CHF
420,000
Enilive Suisse SA
Third parties
20.00
80.00
Co.
St. Bernard Renewables Llc(†)
Wilmington
(USA)
USA
USD
1,000
Enilive US Inc
Third parties
50.00
50.00
Eq.
TBG Tanklager Betriebsgesellschaft
GmbH(†)
Salzburg
(Austria)
Austria
EUR
43,603.70
Enilive Mark. A. GmbH
Third parties
50.00
50.00
Eq.
Weat Electronic Datenservice GmbH
Düsseldorf
(Germany)
Germany
EUR
409,034
Enilive Deutsch. GmbH
Third parties
20.00
80.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
(a) Controlling interest: Enilive SpA
25.00
Third parties 75.00
(a)
ENI ANNUAL REPORT 2024
454
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Plenitude
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Bettercity SpA
Bergamo
Italy
EUR
4,050,000
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
Evogy Srl Società Benefit(†)
Seriate (BG)
Italy
EUR
11,785.71
Evolvere Venture SpA
Third parties
54.55
45.45
Eq.
GreenIT SpA(†)
San Donato
Milanese (MI)
Italy
EUR
50,000
Eni Plenitude SpA SB
Third parties
51.00
49.00
Eq.
Hergo Renewables SpA(†)
Milan
Italy
EUR
50,000
Eni Plenitude SpA SB
Third parties
65.00
35.00
Eq.
Siel Agrisolare Srl(†)
Cesena
(FC)
Italy
EUR
10,000
Eni Plen. Ren. Italy SpA
Third parties
51.00
49.00
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
2022 Sol VII Llc(†)
Wilmington
(USA)
USA
USD
84,794,091
Timber Road Blue Harvest
Third parties
75.26
24.74
Eq.
2023 Sol IX Llc(†)
Wilmington
(USA)
USA
USD
210,333,261
Cattlemen Class A Llc
Third parties
73.59
26.41
Eq.
Bluebell Solar Class A Holdings II Llc
Wilmington
(USA)
USA
USD
82,351,634
Eni New Energy US Inc
Third parties
99.00
1.00
Eq.
Clarensac Solar SAS
Fuveau
(France)
France
EUR
25,000
Eni Plen. Op. Fr. SAS
Third parties
40.00
60.00
Eq.
EnerOcean SL(†)
Malaga
(Spain)
Spain
EUR
493,320
Eni Plenitude SpA SB
Third parties
37.70
62.30
Eq.
Evacuación San Serván 400 SL(†)
Madrid
(Spain)
Spain
EUR
3,000
Renopool 1 SLU
Third parties
68.77
31.23
Eq.
Grijota Renovables SL
Madrid
(Spain)
Spain
EUR
3,000
Fotovoltaica Fotozar 6
Fotovoltaica Fotozar 5
Third parties
8.67
8.66
82.67
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
455
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Guillena 400 Promotores SL(†)
Seville
(Spain)
Spain
EUR
3,000
Almazara Solar SLU
Atlante Solar SLU
Chapitel Solar SLU
Fortaleza Solar SLU
Garita Solar SLU
Third parties
6.99
6.99
6.99
6.99
6.99
65.05
Eq.
Infraestructuras Renovables
de Entrenúcleos SL(†)
Madrid
(Spain)
Spain
EUR
3,000
Killington SLU
Granville Invest SLU
Plumlee SLU
Richwood Invest SLU
Third parties
12.24
12.23
12.23
12.23
51.07
Eq.
Infraestructuras San Serván SET 400 SL(†)
Madrid
(Spain)
Spain
EUR
90,000
Renopool 1 SLU
Third parties
42.31
57.69
Eq.
Instalaciones San Serván II 400 SL(†)
Madrid
(Spain)
Spain
EUR
11,026
Renopool 1 SLU
Third parties
52.38
47.62
Eq.
Mangistau Renewables BV(†)
Amsterdam
(Netherlands)
Netherlands
USD
42,822,000
Eni Energy Solutions BV
Third parties
51.00
49.00
Eq.
Novis Renewables Holdings Llc
Wilmington
(USA)
USA
USD
100
Eni New Energy US Inc
Third parties
49.00
51.00
Eq.
Novis Renewables Llc(†)
Wilmington
(USA)
USA
USD
100
Eni New Energy US Inc
Third parties
50.00
50.00
Eq.
Parc Tramuntana SL(†)
Cerdanyola
del Valles
(Spain)
Spain
EUR
3,500
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
Parque Eolico Marino La Janda SL(†)
Madrid
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
Parque Eolico Marino Nordes SL(†)
La Coruña
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
Parque Eolico Marino Tarahal SL(†)
Las Palmas
de Gran Canaria
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
POW - Polish Offshore
Wind-Co Sp zoo(†)
Warsaw
(Poland)
Poland
PLN
5,000
Eni Energy Solutions BV
Third parties
95.00
5.00
Eq.
Promotores Caparacena 400 SL
Madrid
(Spain)
Spain
EUR
3,000
Ladronera Solar SLU
Boceto Solar SLU
Cornisa Solar SLU
Third parties
8.21
7.30
7.30
77.19
Eq.
ST Becerril Renovables SL(†)
Madrid
(Spain)
Spain
EUR
3,000
Fotovoltaica Fotozar 6
Fotovoltaica Fotozar 5
Third parties
17.37
17.36
65.27
Eq.
Tramuntana Energy LAB SL(†)
Cerdanyola
del Valles
(Spain)
Spain
EUR
3,000
Eni Plenitude SpA SB
Third parties
50.00
50.00
Eq.
Vårgrønn AS(†)
Stavanger
(Norway)
Norway
NOK
800,000
Eni Energy Solutions BV
Third parties
65.00
35.00
Eq.
ENI ANNUAL REPORT 2024
456
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
CORPORATE AND OTHER ACTIVITIES
Corporate and financial companies
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Consorzio per l'attuazione del Progetto
Divertor Tokamak Test DTT Scarl(†)
Frascati
(RM)
Italy
EUR
1,000,000
Eni SpA
Third parties
25.00
75.00
Co.
Energy Dome SpA
Milan
Italy
EUR
190,425.41
Eni Next Llc
Third parties
Eq.
Saipem SpA(#)(†)
Milan
Italy
EUR
501,669,790.83
Eni SpA
Saipem SpA
Third parties
21.19
1.92
76.89
(a)
Eq.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
Avanti Battery Company
Natick
(USA)
USA
USD
813.58
Eni Next Llc
Third parties
Eq.
Commonwealth Fusion Systems Llc
Wilmington
(USA)
USA
USD
943.23
Eni Next Llc
Third parties
Eq.
Cool Planet Technologies Ltd
London
(United Kingdom)
United
Kingdom
GBP
1,000
Eni Next Llc
Third parties
Eq.
CZero Inc
Wilmington
(USA)
USA
USD
570.88
Eni Next Llc
Third parties
Eq.
Form Energy Inc
Somerville
(USA)
USA
USD
1,149.76
Eni Next Llc
Third parties
Eq.
M2X Energy Inc
Wilmington
(USA)
USA
USD
24.76
Eni Next Llc
Third parties
Eq.
Mantel Capture Inc
Wilmington
(USA)
USA
USD
989.01
Eni Next Llc
Third parties
Eq.
sHYp BV PBC
Wilmington
(USA)
USA
USD
103.01
Eni Next Llc
Third parties
Eq.
Swift Solar Inc
Wilmington
(USA)
USA
USD
170.58
Eni Next Llc
Third parties
Eq.
Thiozen Inc
Wilmington
(USA)
USA
USD
363.90
Eni Next Llc
Third parties
Eq.
Tidal Vision Products Inc
Dover
(USA)
USA
USD
1,347.81
Eni Next Llc
Third parties
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(#) Company with shares listed on regulated market of Italy or of other EU countries.
(†) Jointly controlled entity.
(a) Controlling interest: Eni SpA
21.61
Third parties
78.39
457
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
Other activities
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
% Equity ratio
Consolidation or
valutation method(*)
HEA SpA(†)
Bologna
Italy
EUR
50,000
Eni Rewind SpA
Third parties
50.00
50.00
50.00
J.O.
LabAnalysis Environmental Science Srl(†)
San Giovanni
Teatino (CH)
Italy
EUR
100,000
Eni Rewind SpA
Third parties
30.00
70.00
Eq.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(†) Jointly controlled entity.
ENI ANNUAL REPORT 2024
458
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
OTHER SIGNIFICANT INVESTMENTS
EXPLORATION & PRODUCTION
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholders
% Ownership
Consolidation or
valutation method(*)
BF SpA(#)
Jolanda di Savoia
(FE)
Italy
EUR
261,883,391
Eni Natural Energies SpA
Third parties
5.32
94.68
F.V.
Consorzio Universitario in Ingegneria
per la Qualità e l’Innovazione
Pisa
Italy
EUR
142,000
Eni SpA
Third parties
12.50
87.50
F.V.
Società Italiana Sementi SpA
San Lazzaro
di Savena (BO)
Italy
EUR
40,790,314.24
Eni Natural Energies SpA
Third parties
17.24
82.76
F.V.
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholdersp
% Ownership
Consolidation or
valutation method(*)
Administradora del Golfo
de Paria Este SA
Caracas
(Venezuela)
Venezuela
VED
0
Eni Venezuela BV
Third parties
19.50
80.50
F.V.
Alam El Shawish Petroleum Co
Cairo
(Egypt)
Egypt
EGP
20,000
Eni En. Alam El Shaw. BV
Third parties
12.50
87.50
F.V.
Brass LNG Ltd
Lagos
(Nigeria)
Nigeria
USD
1,000,000
Eni Int. NA NV Sàrl
Third parties
20.48
79.52
F.V.
Darwin LNG Pty Ltd
West Perth
(Australia)
Australia
AUD
187,569,921.42
Eni G&P LNG Aus. BV
Third parties
10.99
89.01
F.V.
New Liberty Residential Urban
Renewal Company Llc
West Trenton
(USA)
USA
USD
0(a) Eni Oil & Gas Inc
Third parties
17.50
82.50
F.V.
Nigeria LNG Ltd
Port Harcourt
(Nigeria)
Nigeria
USD
1,138,207,000
Eni Int. NA NV Sàrl
Third parties
10.40
89.60
F.V.
North Caspian Operating Company NV
The Hague
(Netherlands)
Kazakhstan
EUR
128,520
Agip Caspian Sea BV
Third parties
16.81
83.19
F.V.
Petrolera Güiria SA
Caracas
(Venezuela)
Venezuela
VED
0
Eni Venezuela BV
Third parties
19.50
80.50
F.V.
Torsina Oil Co
Cairo
(Egypt)
Egypt
EGP
20,000
Ieoc Production BV
Third parties
12.50
87.50
F.V.
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(#) Company with shares listed on regulated market of Italy or of other EU countries.
(a) Shares without nominal value.
459
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
GLOBAL GAS & LNG PORTFOLIO AND POWER
Global Gas & LNG Portfolio
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholdersp
% Ownership
Consolidation or
valutation method(*)
Norsea Gas GmbH
Friedeburg-Etzel
(Germany)
Germany
EUR
1,533,875.64
Eni International BV
Third parties
13.04
86.96
F.V.
ENI ANNUAL REPORT 2024
460
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
REFINING AND CHEMICALS
Refining
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholdersp
% Ownership
Consolidation or
valutation method(*)
Saudi European Petrochemical Co
"IBN ZAHR"
Al Jubail
(Saudi Arabia)
Saudi Arabia
SAR
1,200,000,000
Ecofuel SpA
Third parties
10.00
90.00
F.V.
Tema Lube Oil Co Ltd
Accra
(Ghana)
Ghana
GHS
258,309
Eni International BV
Third parties
12.00
88.00
F.V.
461
ENI ANNUAL REPORT 2024
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
(a) Shares without nominal value.
ENILIVE AND PLENITUDE
Enilive
OUTSIDE ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholdersp
% Ownership
Consolidation or
valutation method(*)
Dépôt Pétrolier de la Côte d’Azur SAS
Nanterre
(France)
France
EUR
207,500
Enilive France Sàrl
Third parties
18.00
82.00
F.V.
Dépôts Pétroliers de Fos SA
Fos-Sur-Mer
(France)
France
EUR
3,954,196.40
Enilive France Sàrl
Third parties
16.81
83.19
F.V.
Gestión de Envases Comerciales
e Industriales SL
Madrid
(Spain)
Spain
EUR
3,000
Enilive Iberia SLU
Third parties
16.40
83.60
F.V.
Joint Inspection Group Ltd
Cambourne
(United Kingdom)
United
Kingdom
GBP
0
Enilive SpA
Third parties
12.50
87.50
F.V.
S.I.P.G. Société Immobilière Pétrolière
de Gestion Snc
Tremblay-en-
France
(France)
France
EUR
40,000
Enilive France Sàrl
Third parties
12.50
87.50
F.V.
Sistema Integrado de Gestion
de Aceites Usados
Madrid
(Spain)
Spain
EUR
175,713
Enilive Iberia SLU
Third parties
15.45
84.55
F.V.
TAR - Tankanlage Ruemlang AG
Ruemlang
(Switzerland)
Switzerland
CHF
3,259,500
Enilive Suisse SA
Third parties
16.27
83.73
F.V.
(a)
ENI ANNUAL REPORT 2024
462
MANAGEMENT
REPORT
CONSOLIDATED
FINANCIAL STATEMENTS
ANNEX
(*) F.C. = full consolidation, J.O. = joint operation, Eq. = equity-accounted, Co. = valued at cost, F.V. = valued at fair value.
CORPORATE AND OTHER ACTIVITIES
Other activities
IN ITALY
Company name
Registered office
Country
of operation
Currency
Share Capital
Shareholdersp
% Ownership
Consolidation or
valutation method(*)
Ottana Sviluppo ScpA
(in bankruptcy)
Nuoro
Italy
EUR
516,000
Eni Rewind SpA
Third parties
30.00
70.00
F.V.
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Changes in the scope of consolidation for 2024
Fully consolidated subsidiaries
Companies included (No. 65)
Aten Oil Activos SLU
Madrid
Enilive
Acquisition
Aten Oil Operaciones SLU
Madrid
Enilive
Acquisition
Aten Oil Setor Activos SLU
Madrid
Enilive
Acquisition
Aten Oil Setor Operaciones SLU
Madrid
Enilive
Acquisition
Aten Oil Setor SLU
Madrid
Enilive
Acquisition
Aten Oil SLU
Madrid
Enilive
Acquisition
Bacton CCS Ltd
London
Exploration & Production
Relevancy
Cattlemen Class A Llc
Dover
Plenitude
Acquisition
Enera Conseil SAS
Levallois-Perret
Plenitude
Acquisition of control
EniProgetti Egypt Ltd
Cairo
Exploration & Production
Relevancy
Eniverse Ventures Srl
San Donato Milanese (MI)
Corporate and financial companies
Relevancy
Enivibes Srl
Vimodrone (MI)
Corporate and financial companies
Relevancy
Eni Energy Alam El Shawish BV
The Hague
Exploration & Production
Acquisition
Eni Energy Arguni I BV
The Hague
Exploration & Production
Acquisition
Eni Energy Ashrafi BV
The Hague
Exploration & Production
Acquisition
Eni Energy Australia Pty Ltd
Perth
Exploration & Production
Acquisition
Eni Energy Bonaparte Pty Ltd
Perth
Exploration & Production
Acquisition
Eni Energy Bondco Ltd
(in liquidation)
London
Exploration & Production
Acquisition
Eni Energy Brasil Participações Ltda
Rio de Janeiro
Exploration & Production
Acquisition
Eni Energy Capital Ltd
(in liquidation)
London
Exploration & Production
Acquisition
Eni Energy E&P Holding Netherlands BV
The Hague
Exploration & Production
Acquisition
Eni Energy E&P UKCS Ltd
London
Exploration & Production
Acquisition
Eni Energy E&P UK Ltd
London
Exploration & Production
Acquisition
Eni Energy East Ganal BV
The Hague
Exploration & Production
Acquisition
Eni Energy East Sepinggan BV
The Hague
Exploration & Production
Acquisition
Eni Energy Egypt BV
The Hague
Exploration & Production
Acquisition
Eni Energy Exploration BV
The Hague
Exploration & Production
Acquisition
Eni Energy Facilities Netherlands BV
The Hague
Exploration & Production
Acquisition
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ANNEX
Eni Energy Finance Ltd
London
Exploration & Production
Acquisition
Eni Energy France SAS
Neuilly-Sur-Seine
Exploration & Production
Acquisition
Eni Energy Germany BV
The Hague
Exploration & Production
Acquisition
Eni Energy Group Holdings Ltd
London
Exploration & Production
Acquisition
Eni Energy Group Ltd
London
Exploration & Production
Acquisition
Eni Energy Group Midco Ltd
London
Exploration & Production
Acquisition
Eni Energy Group Resourcing Ltd
London
Exploration & Production
Acquisition
Eni Energy Holding Netherlands BV
The Hague
Exploration & Production
Acquisition
Eni Energy Hydrogen BV
The Hague
Exploration & Production
Acquisition
Eni Energy Hydrogen Ltd
(in liquidation)
London
Exploration & Production
Acquisition
Eni Energy International SAS
Neuilly-Sur-Seine
Exploration & Production
Acquisition
Eni Energy Jakarta BV
The Hague
Exploration & Production
Acquisition
Eni Energy Muara Bakau BV
The Hague
Exploration & Production
Acquisition
Eni Energy Netherlands Administration BV
The Hague
Exploration & Production
Acquisition
Eni Energy Netherlands BV
The Hague
Exploration & Production
Acquisition
Eni Energy North Ganal BV
The Hague
Exploration & Production
Acquisition
Eni Energy North West El Amal BV
The Hague
Exploration & Production
Acquisition
Eni Energy Participation Netherlands BV
The Hague
Exploration & Production
Acquisition
Eni Energy Touat Holding BV
The Hague
Exploration & Production
Acquisition
Eni Energy West Ganal BV
The Hague
Exploration & Production
Acquisition
Eni Insurance SpA
Rome
Corporate and financial companies
Constitution
Eni Marine Services SpA
San Donato Milanese (MI)
Exploration & Production
Relevancy
Eni Natural Energies Côte d'Ivoire SA
Abidjan
Exploration & Production
Relevancy
Eni Natural Energies Mozambico Srl
San Donato Milanese (MI)
Exploration & Production
Relevancy
Eni Netherlands CCUS BV
The Hague
Exploration & Production
Acquisition
Eni Tellus CCS Ltd
London
Exploration & Production
Acquisition
Eni Timor 22-23 BV
Amsterdam
Exploration & Production
Relevancy
Fotovoltaica Fotozar 5 SLU
Madrid
Plenitude
Acquisition
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ANNEX
Anberia Invest SLU
Madrid
Plenitude
Cancellation
Burren Shakti Ltd
(in liquidation)
Hamilton
Exploration & Production
Cancellation
Corlinter 5000 SLU
Madrid
Plenitude
Cancellation
Desarrollos Energéticos Riojanos SL
Madrid
Plenitude
Fusion
EniBioCh4in Alexandria Srl Società Agricola
San Donato Milanese (MI)
Enilive
Fusion
EniBioCh4in Flaibano Srl Società Agricola
San Donato Milanese (MI)
Enilive
Fusion
EniBioCh4in Momo Società Agricola Srl
San Donato Milanese (MI)
Enilive
Fusion
EniBioCh4in Service BioGas Srl
San Donato Milanese (MI)
Enilive
Fusion
Eni Algeria Ltd Sàrl
Luxembourg
Exploration & Production
Irrelevancy
Eni Bahrain BV
Amsterdam
Exploration & Production
Irrelevancy
Eni Ecuador SA
Quito
Refining
Sale
Eni Elgin/Franklin Ltd
London
Exploration & Production
Business Combination
Eni Energy E&P UKCS Ltd
London
Exploration & Production
Business Combination
Eni Energy E&P UK Ltd
London
Exploration & Production
Business Combination
Eni JPDA 11-106 BV
Amsterdam
Exploration & Production
Sale
Eni MOG Ltd
(in liquidation)
London
Exploration & Production
Cancellation
Companies excluded (No. 37)
Fotovoltaica Fotozar 6 SLU
Madrid
Plenitude
Acquisition
Granville Invest SLU
Madrid
Plenitude
Acquisition
Killington SLU
Madrid
Plenitude
Acquisition
Plumlee SLU
Madrid
Plenitude
Acquisition
Production North Sea Netherlands Ltd
Wilmington
Exploration & Production
Acquisition
Richwood Invest SLU
Madrid
Plenitude
Acquisition
Tasonis DirectorShip SLU
Madrid
Enilive
Acquisition
Timber Road Blue Harvest Class A Llc
Dover
Plenitude
Acquisition
Versalis International Côte d'Ivoire Sarlu
Abidjan
Chemicals
Relevancy
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FINANCIAL STATEMENTS
ANNEX
Consolidated Joint Operation
Companies included (No. 2)
NOGAT BV
The Hague
Exploration & Production
Acquisition of joint control
HEA SpA
Bologna
Other activities
Relevancy
Eni Plenitude Solar & Miniwind Italia Srl
Cesena
Plenitude
Fusion
Eni Plenitude Solar III Srl
Cesena
Plenitude
Fusion
Eni Plenitude Solar Srl
Cesena
Plenitude
Fusion
Eni Plenitude Technical Services Srl
Cesena
Plenitude
Fusion
Eni Plenitude Wind & Energy Srl
Cesena
Plenitude
Fusion
Eni Plenitude Wind 2020 Srl
Cesena
Plenitude
Fusion
Eni Plenitude Wind 2022 SpA
Cesena
Plenitude
Fusion
Eni Timor Leste SpA
San Donato Milanese (MI)
Exploration & Production
Irrelevancy
Eni UKCS Ltd
London
Exploration & Production
Business Combination
Esain SA
Quito
Refining
Sale
Guillena Nivel II SL
(ex Tebar Solar SLU)
Madrid
Plenitude
Irrelevancy
Guilleus Consulting SLU
Madrid
Plenitude
Cancellation
Ieoc SpA
San Donato Milanese (MI)
Exploration & Production
Irrelevancy
Ixia Solar SLU
Madrid
Plenitude
Cancellation
Mater-Biotech SpA
Novara
Chemicals
Fusion
Nigerian Agip Oil Co Ltd
Abuja
Exploration & Production
Sale
Opalo Solar SLU
Madrid
Plenitude
Cancellation
Pistacia Solar SLU
Madrid
Plenitude
Cancellation
Punes Trade SLU
Madrid
Plenitude
Cancellation
Società Agricola Agricentro Srl
Cesena
Plenitude
Fusion
Zinnia Solar SLU
Madrid
Plenitude
Cancellation
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Audit fees
(€ thousand)
Parent company's independent
accounting firm
Member firms of the independent
accounting firm
Total
Services
Eni SpA
(parent
company)
Eni's
subsidiaries(1)
Eni
Group
Eni SpA
(parent
company)
Eni's
subsidiaries(1)
Eni
Group
Eni SpA
(parent
company)
Eni's
subsidiaries(1)
Eni
Group
Audit
10,220
5,490
15,710
96
12,429
12,525
10,316
17,920
28,235
Audit related services
1,532
149
1,681
-
182
182
1,532
330
1,863
Tax related services
-
-
-
-
-
-
-
-
-
Other services
843
311
1,153
66
520
586
908(2)
831(3)
1,739
Total
12,595
5,950
18,544
162
13,131
13,293
12,756
19,081
31,837
(1) These are subsidiaries, as referred to in the Transparency Directive, mainly relating to consolidated subsidiaries according to the provisions of international accounting standards and to the applicable civil regulations.
(2) Other services provided by PWC to the parent company mainly relate to services for the issue of comfort letter in case of bond issues, services related to the report prepared by Eni SpA on payments to governments and checks
on cost recharges/rate.
(3) Other services provided by PWC and member firms of its network mainly relate to (i) the issue of comfort letters, (ii) agreed verification procedures, and (iii) tariff certifications.
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Independent auditor’s limited assurance
report on the sustainability statement
Independent auditor’s limited assurance report
on the sustainability statement
in accordance with article 14-bis of Legislative Decree No. 39 of January
27, 2010
Eni SpA
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\
Independent auditor’s limited assurance report on the
sustainability statement
in accordance with article 14-bis of Legislative Decree No. 39 of January 27, 2010
To the shareholders of
Eni SpA
Conclusion
In accordance with articles 8 and 18, paragraph 1 of Legislative Decree No. 125 of September 6, 2024
(hereinafter also the “Decree”), we have undertaken a limited assurance engagement on the
sustainability statement of the Eni Group (hereinafter also the “Group”) for the year ended December
31, 2024 prepared in accordance with article 4 of the Decree, presented in the specific section of the
management report.
Based on the procedures performed, nothing has come to our attention that causes us to believe that:
●
the sustainability statement of the Eni Group for the year ended December 31, 2024 is not
prepared, in all material respects, in accordance with the reporting criteria adopted by the
European Commission pursuant to Directive (EU) 2013/34/EU (European Sustainability
Reporting Standards, hereinafter also the “ESRS”);
●
the information set out in paragraph “EU Taxonomy” of the sustainability statement is not
prepared, in all material respects, in accordance with article 8 of Regulation (EU) No. 852 of
June 18, 2020 (hereinafter also the “Taxonomy Regulation”).
Basis for conclusion
We conducted our limited assurance engagement in accordance with the Standard on Sustainability
Assurance Engagements - SSAE (Italia). The procedures performed in a limited assurance engagement
vary in nature and timing from, and are less in extent than for, a reasonable assurance engagement.
Consequently, the level of assurance obtained in a limited assurance engagement is substantially lower
than the assurance that would have been obtained had a reasonable assurance engagement been
performed. Our responsibilities under this Standard are further described in the “Auditor’s
Responsibilities for the Limited Assurance Conclusion on the Sustainability Statement” section of this
report.
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2 of 5
We are independent in accordance with the principles of ethics and independence applicable to
assurance engagements on sustainability reporting under Italian law.
Our firm applies International Standard on Quality Management ISQM Italia 1, which requires the
firm to design, implement and operate a system of quality management including policies or
procedures regarding compliance with ethical requirements, professional standards and applicable
legal and regulatory requirements.
We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our
conclusion.
Other matters – Comparative information
The comparative information reported in the sustainability statement related to the year ended
December 31, 2023 has not been subjected to any review.
Responsibilities of the directors and the board of statutory auditors of Eni SpA for the
sustainability statement
The directors of Eni SpA are responsible for developing and implementing the procedures adopted to
identify the information included in the sustainability statement in accordance with the provisions of
the ESRS (hereinafter the “materiality assessment process”) and for describing those procedures in the
note “Process and results of the double materiality assessment” of the sustainability statement.
The directors are also responsible for preparing the sustainability statement, which contains the
information identified through the materiality assessment process, in accordance with the provisions
of article 4 of the Decree, including:
●
its compliance with the ESRS;
●
its compliance with article 8 of the Taxonomy Regulation of the information set out in
paragraph “EU Taxonomy”.
That responsibility involves designing, implementing and maintaining, in the terms prescribed by law,
such internal control as they determine is necessary to enable the preparation of a sustainability
statement in accordance with article 4 of the Decree that is free from material misstatement, whether
due to fraud or error. That responsibility also involves selecting and applying appropriate methods for
processing the information, as well as developing hypotheses and estimates about specific items of
sustainability information that are reasonable in the circumstances.
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The board of statutory auditors is responsible for overseeing, in the terms prescribed by law,
compliance with the Decree.
Inherent limitations in the preparation of the sustainability statement
In reporting forward-looking information in accordance with the ESRS, directors are required to
prepare this information based on assumptions described in the sustainability statement about events
that may occur in the future and possible future actions by the Group. Because of the unpredictability
of the occurrence of any future event, including as to whether an event can actually take place and to
the extent and timing of its occurrence, deviations between actual values and forward-looking
information could be significant.
Information provided by the Group regarding Scope 3 emissions is subject to higher inherent
limitations compared to Scope 1 and 2 emissions, because of the poor availability and low precision of
the quantitative and qualitative information relating to the value chain.
Auditor’s responsibilities for the limited assurance conclusion on the sustainability
statement
Our objectives are to plan and perform procedures to obtain limited assurance about whether the
sustainability statement is free from material misstatement, whether due to fraud or error, and to issue
a limited assurance report that contains our conclusion. Misstatements can arise from fraud or error
and are considered material if, individually or in the aggregate, they could reasonably be expected to
influence the decisions of users taken on the basis of the sustainability statement.
As part of our engagement designed to achieve limited assurance in accordance with the Standard on
Sustainability Assurance Engagements - SSAE (Italia), we exercised professional judgement and
maintained professional scepticism throughout the engagement.
Our responsibilities include:
•
Performing risk assessment procedures to identify the disclosures where a material
misstatement, whether due to fraud or error, is likely to arise;
•
Designing and performing procedures to verify the disclosures where a material misstatement
is likely to arise. The risk of not detecting a material misstatement resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control;
•
Directing, supervising and performing a limited assurance engagement on the sustainability
statement and assuming full responsibility for the conclusion on the sustainability statement.
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Summary of the work performed
An engagement designed to obtain limited assurance involves performing procedures to obtain
evidence as a basis for our conclusion.
The procedures performed were based on our professional judgement and included inquiries,
primarily of personnel of Eni Group responsible for the preparation of the information presented in
the sustainability statement, analyses of documents, recalculations and other procedures designed to
obtain evidence considered useful.
We performed the following main procedures:
●
We understood the Group’s business model and strategies, and the environment in which it
operates with reference to sustainability issues;
●
We obtained an understanding and assessed the criteria to identify the reporting boundary in
order to ascertain its compliance with the ESRS;
●
We understood the processes underlying the generation, collection and management of the
qualitative and quantitative information included in the sustainability statement;
●
We understood the process implemented by the Group to identify and assess the material
impacts, risks and opportunities, in accordance with the double materiality principle, related
to sustainability issues and, based on the information thus obtained, we considered whether
any contradictory items emerged that could point to the existence of sustainability issues not
considered by the Group in the materiality assessment process;
●
We identified the disclosures where a material misstatement is likely to arise;
●
We defined and performed procedures, based on our professional judgement, to address the
risks of material misstatement identified; in particular:
(a)
With reference to qualitative information, we held interviews and obtained related
supporting documentation in order to ascertain whether that information was
consistent with what was reported in the sustainability statement;
(b)
With reference to quantitative information, we verified the correct aggregation of data,
the compliance with the procedure adopted by the Group and the correct application
of the calculation methods used. Testing consisted of analytical procedures and
acquisition of documentary evidence at parent company level and in relation to a
sample of entities falling under the reporting boundary;
●
We understood the process implemented by the Group to identify the eligible economic
activities and to determine whether they are aligned in accordance with the provisions of the
Taxonomy Regulation, and we verified the related disclosures in the sustainability statement;
●
We reconciled the information reported in the sustainability statement with the information
reported in the consolidated financial statements in accordance with the applicable financial
reporting framework, or with the accounting information used for the preparation of the
consolidated financial statements, or with management accounting information;
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●
We verified the structure and presentation of disclosures included in the sustainability
statement in accordance with the ESRS;
●
We obtained management’s representation letter.
Rome, April 4, 2025
PricewaterhouseCoopers SpA
Signed by
Massimo Rota
(Partner)
This report has been translated into the English language solely for the convenience of international
readers. Accordingly, only the original text in Italian language is authoritative.
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Independent auditor’s report
in accordance with article 14 of Legislative Decree No. 39 of January 27,
2010 and article 10 of Regulation (EU) No. 537/2014
Eni SpA
Consolidated Financial Statements
as of December 31, 2024
Independent auditor’s report
on the consolidated financial statements
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Independent auditor’s report
in accordance with article 14 of Legislative Decree No. 39 of January 27, 2010 and article 10 of
Regulation (EU) No. 537/2014
To the shareholders of
Eni SpA
Report on the Audit of the Consolidated Financial Statements
Opinion
We have audited the consolidated financial statements of Eni Group (the Group), which comprise the consolidated
balance sheet as of December 31, 2024, the consolidated profit and loss account, the consolidated statement of
comprehensive income, the consolidated statement of changes in equity, the consolidated statement of cash flows
for the year then ended, and notes to the consolidated financial statements, including material accounting policy
information.
In our opinion, the consolidated financial statements give a true and fair view of the financial position of the Group
as of December 31, 2024, and of the result of its operations and cash flows for the year then ended in accordance
with IFRS Accounting Standards as issued by the International Accounting Standards Board and adopted by the
European Union, as well as with the regulations issued to implement article 9 of Legislative Decree No. 38/05.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing (ISA Italia).
Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of
the Consolidated Financial Statements section of this report. We are independent of Eni SpA pursuant to the
regulations and standards on ethics and independence applicable to audits of financial statements under Italian
law. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the consolidated financial statements of the current period. These matters were addressed in the context of our
audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not
provide a separate opinion on these matters.
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Key Audit Matters
Auditing procedures performed in
response to key audit matters
Evaluation of hydrocarbon reserves,
measurement of mineral assets and of
other financial statement line items
related thereto, also considering the
impacts of the energy transition and
climate changes
Note 1 “Significant accounting policies, estimates
and judgments”, Note 12 “Property, plant and
equipment”, Note 13 “Right-of-use assets and
lease liabilities”, Note 15 “Reversals
(Impairments) of tangible and intangible assets
and right-of-use assets. Sensitivity of outcomes
to decarbonisation scenarios” and Note 21
“Provisions” of the consolidated financial
statements.
The financial statement line items “Property,
plant and equipment” and “Right-of-use assets”
include significant amounts related to mineral
assets, more specifically referring to “E&P wells,
plant and machinery” in an amount of Euro
38,229 million, “E&P exploration assets and
appraisal” amounting to Euro 1,742 million, “E&P
tangible assets in progress” equal to Euro 11,296
million and “Right-of-use assets” amounting to
Euro 4,266 million.
The carrying amount of mineral assets also
comprises estimated costs for decommissioning
and restoration costs and social projects, the
provision of which amounted to Euro 9,049
million at December 31, 2024.
Mineral assets are depreciated according to the
unit of production method (UOP method) based
on the units produced during the year and the
estimated hydrocarbon reserves that can be
produced. At December 31, 2024, depreciation of
mineral assets related to the E&P segment
amounted to Euro 6,353 million.
At year-end, in accordance with IAS 36
“Impairment of assets”, the mineral assets
recognised in the consolidated financial
statements are subject to specific tests on their
recoverable value (“impairment test”), if changes
or circumstances have highlighted that (i) their
carrying value may no longer be recoverable
Our audit procedures included testing the
effectiveness of controls relating to the
measurement of hydrocarbon reserves, the
valuation of mineral assets and of additional
financial statement items related thereto, as
well as the consistency of the estimates and
disclosures in relation to the financial and
non-financial variables (for example those
connected with climate and decarbonization
objectives) contained in the 2025-2028
Strategic Plan and in the Strategic long-term
plan to 2050.
The audit procedures over the estimate of the
hydrocarbon reserves included, inter alia, the
analysis of the movements in reserves during
the year, an understanding of the main
assumptions and evaluation of their
reasonableness.
The audit procedures relating to depreciation
also included verifying the use of the UOP
rates resulting from the valuation of the
reserves and re-calculations of the
depreciation charges.
With reference to the estimate of
abandonment costs, the following audit
procedures were also carried out:
(i)
understanding of the legislative and
regulatory framework and of the
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Key Audit Matters
Auditing procedures performed in
response to key audit matters
and/or (ii) impairments recognised in previous
years have ceased to exist or their amount has
changed. The recoverable amount of mineral
assets is generally taken as being equal to their
value in use (VIU) and determined by discounting
the estimated future cash flows from the use of
the assets.
At December 31, 2024, impairments, net of
reversals, of tangible and intangible assets and
right-of-use assets related to the E&P segment,
amounted to Euro 2,203 million.
The estimate of hydrocarbon reserves is relevant
for the determination of
depreciation/amortisation and for the
determination of the future cash flows from the
oil assets as part of the impairment process.
The estimate of hydrocarbon reserves depends on
a number of factors, assumptions and variables,
including:
(i)
the quality of available geological and
technical engineering data, and their
interpretation and judgement;
(ii) projections regarding future rates of
production and operating costs and
development costs;
(iii) changes in the prevailing tax rules, other
government regulations and contractual
conditions;
(iv) results of drilling, testing and the actual
production performance of the Company’s
reservoirs after the date of the initial
estimates which may drive substantial
upward or downward revisions during the
current period;
(v)
changes in oil and natural gas commodity
prices which could affect expected future
cash flows and the quantities of the
Company’s proved reserves since the
estimates of reserves are based on prices
existing as of the date when these estimates
are made.
In order to determine the recoverable amount
of mineral assets, expected future cash flows are
estimated based on proved and probable
reserves including, among other elements,
underlying mineral arrangements;
(ii) comparison between the costs and
related timing of expenses at year-end
with the previous year’s forecasts and,
when significant, investigation on the
differences identified and verification of
the consistency of the actual
expenditures in comparison with those
expected and the timing such
expenditures were incurred.
The main audit procedures performed as part
of the impairment test were as follows:
(i)
verification of the consistency of the
method used by the Group with the
requirements of IAS 36, and the
appropriateness of the cash flows used
and related consistency with the
Group’s forecasted plans;
(ii) meetings with management to discuss
the main assumptions used to prepare
the impairment models consistent with
the Group’s 2025-2028 Strategic Plan
and the Strategic long-term plan to
2050;
(iii) evaluation of the reasonableness of the
assumptions used by management to
estimate cash flows and check about
whether they were in line with the
estimated reserves and site
abandonment and restoration costs;
(iv) evaluation of the reasonableness of the
estimates regarding production, prices
and operating and development costs
performed by management during the
previous years, and comparison of
previous years’ estimates with actual
values (“retrospective review”), with the
aim of assessing management’s capacity
to develop estimates;
(v)
verification of the sensitivity analyses
performed by the Group that include (i)
a linear cut of -10% to hydrocarbon
prices in all the years of the cash flow
projections; (ii) a one-percentage point
increase in the risk-adjusted WACCs
applied in each country of operations;
(iii) the projections of hydrocarbon
prices and CO2 costs of the
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Key Audit Matters
Auditing procedures performed in
response to key audit matters
production taxes and the costs to be incurred
for the reserves yet to be developed. The
estimate of the future rates of production is
based on assumptions related to future
commodity prices, operating costs, lifting and
development costs, field decline rates and other
factors.
Considering the subjectivity of the assumptions
underlying the estimate of the VIU, management
has stress-tested its base case by applying the
following sensitivity analyses to the assumptions
underlying the oil&gas cash-generating units
VIUs of the base case: (i) a linear cut of -10% to
hydrocarbon prices in all the years of the cash
flow projections; (ii) a one-percentage point
increase in the risk-adjusted weighted average
costs of capital (WACCs) applied in each country
of operations; (iii) the projections of hydrocarbon
prices and CO2 costs of the decarbonization
scenario Net Zero Emission 2050 (NZE 2050)
elaborated by IEA with forecast prices from 2030
onwards, which have been integrated by the
pricing assumptions of management’s four-year
2025-2028 industrial plan and linear
interpolation of prices till 2030.
We paid special attention to the risk of incorrect
quantification of the estimates carried out by
management in relation to the measurement of
hydrocarbon reserves and the valuation of
mineral assets and the other financial statement
line items related thereto considering (i) the high
degree of uncertainty of the estimates and
measurements, (ii) the complexity of the
valuation models used and (iii) the materiality of
the related financial statement line items.
decarbonization scenario Net Zero
Emission 2050 (NZE 2050) elaborated
by IEA with forecast prices from 2030
onwards, which have been integrated by
the pricing assumptions of
management’s four-year 2025-2028
industrial plan and linear interpolation
of prices till 2030.
Our experts in mineral resources valuation,
assisted by our system and process assurance
experts, supported us with (i) testing the
effectiveness of controls relating to the
adequacy of the estimates, assumptions and
methods used by the Group’s internal experts
to estimate hydrocarbon reserves; (ii)
evaluating the process of identification,
measurement and reporting of financial and
non-financial data used by the Group’s
internal experts in developing the estimation
models; (iii) testing the completeness and
accuracy of the historical production used by
the Group’s internal experts for estimating
future production volumes; (iv) a check of the
consistency between the geological and
technical engineering data measured and
reported by third parties and used by the
Group’s internal experts for the estimate of
hydrocarbon reserves; and (v) testing the
completeness and accuracy of the data
provided to the Group’s external experts
compared to the data used by the Group’s
internal experts for the estimate of
hydrocarbon reserves.
We assessed the technical skill and
knowledge of the internal and external
experts and the objectivity of the external
experts involved in the valuation process
around the hydrocarbon reserves.
Our valuation experts supported us in the
verification of the consistency of the
assumptions contained in the 2025–2028
Strategic Plan and the Strategic long-term
plan to 2050 with the macroeconomic
perspectives of the E&P segment and, in
particular, in (i) evaluating the
appropriateness of the valuation models used
(ii) the reasonableness of a sample of
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Key Audit Matters
Auditing procedures performed in
response to key audit matters
medium/long-term future commodity prices,
including testing the consistency of such
prices with the most recent market
consensus; (iii) the reasonableness of
inflation rates, including testing the
consistency of such rates with the market
prices and those expressed by sector analysts;
and (iv) the reasonableness of the discount
rates adopted.
We also verified the consistency between the
decarbonisation strategic objectives set by
management and the main assumptions
underlying the 2025-2028 Strategic Plan and
the Strategic long-term plan to 2050.
Finally, we evaluated the disclosures provided
in the notes to the financial statements on all
of the above-reported matters relating to
mineral assets and the other financial
statement line items related thereto, as well
as their consistency, where applicable, with
the information contained in the
sustainability statement and with the other
information provided by management to the
market, on the achievement of carbon
neutrality and the related climate risks,
including energy transition.
Responsibilities of the Directors and the Board of Statutory Auditors for the Consolidated
Financial Statements
The directors are responsible for the preparation of consolidated financial statements that give a true and fair view
in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board and
adopted by the European Union, as well as with the regulations issued to implement article 9 of Legislative Decree
No. 38/05 and, in the terms prescribed by law, for such internal control as they determine is necessary to enable
the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud
or error.
The directors are responsible for assessing the Group’s ability to continue as a going concern and, in preparing the
consolidated financial statements, for the appropriate application of the going concern basis of accounting, and for
disclosing matters related to going concern. In preparing the consolidated financial statements, the directors use
the going concern basis of accounting unless they either intend to liquidate Eni SpA or to cease operations or have
no realistic alternative but to do so.
The board of statutory auditors is responsible for overseeing, in the terms prescribed by law, the
Group’s financial reporting process.
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Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole
are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes
our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in
accordance with International Standards on Auditing (ISA Italia) will always detect a material misstatement when
it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the
consolidated financial statements.
As part of our audit conducted in accordance with International Standards on Auditing (ISA Italia), we exercised
professional judgement and maintained professional scepticism throughout the audit. Furthermore:
●
We identified and assessed the risks of material misstatement of the consolidated financial statements,
whether due to fraud or error; we designed and performed audit procedures responsive to those risks; we
obtained audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal
control;
●
We obtained an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Group’s internal control;
●
We evaluated the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the directors;
●
We concluded on the appropriateness of the directors’ use of the going concern basis of accounting and,
based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions
that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that a
material uncertainty exists, we are required to draw attention in our auditor’s report to the related
disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our
opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report.
However, future events or conditions may cause the Group to cease to continue as a going concern;
●
We evaluated the overall presentation, structure and content of the consolidated financial statements,
including the disclosures, and whether the consolidated financial statements represent the underlying
transactions and events in a manner that achieves fair presentation;
●
We obtained sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the consolidated financial statements. We are
responsible for the direction, supervision and performance of the group audit. We remain solely
responsible for our audit opinion on the consolidated financial statements.
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We communicated with those charged with governance, identified at an appropriate level as required by ISA Italia
regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including
any significant deficiencies in internal control that we identified during our audit.
We also provided those charged with governance with a statement that we complied with the regulations and
standards on ethics and independence applicable under Italian law and communicated with them all relationships
and other matters that may reasonably be thought to bear on our independence, and where applicable, actions
taken to eliminate the related risks, or safeguards applied.
From the matters communicated with those charged with governance, we determined those matters that were of
most significance in the audit of the consolidated financial statements of the current period and are therefore the
key audit matters. We described these matters in our auditor’s report.
Additional Disclosures required by Article 10 of Regulation (EU) No. 537/2014
On May 10, 2018, the shareholders of Eni SpA in general meeting engaged us to perform the statutory audit of the
Company’s and the consolidated financial statements for the years ending December 31, 2019, to December 31,
2027.
We declare that we did not provide any prohibited non-audit services referred to in article 5, paragraph 1, of
Regulation (EU) No. 537/2014 and that we remained independent of the Company in conducting the statutory
audit.
We confirm that the opinion on the consolidated financial statements expressed in this report is consistent with the
additional report to the board of statutory auditors, in its capacity as audit committee, prepared pursuant to article
11 of the aforementioned Regulation.
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Report on Compliance with other Laws and Regulations
Opinion on compliance with the provisions of Commission Delegated Regulation (EU) 2019/815
The directors of Eni SpA are responsible for the application of the provisions of Commission Delegated Regulation
(EU) 2019/815 concerning regulatory technical standards on the specification of a single electronic reporting
format (ESEF - European Single Electronic Format) (hereinafter, the “Commission Delegated Regulation”) to the
consolidated financial statements as of December 31, 2024, to be included in the annual report.
We have performed the procedures specified in auditing standard (SA Italia) No. 700B in order to express an
opinion on the compliance of the consolidated financial statements with the provisions of the Commission
Delegated Regulation.
In our opinion, the consolidated financial statements as of December 31, 2024, have been prepared in XHTML
format and have been marked up, in all significant respects, in compliance with the provisions of the Commission
Delegated Regulation.
Due to certain technical limitations, some information included in the notes to the consolidated financial
statements when extracted from the XHTML format to an XBRL instance may not be reproduced in an identical
manner with respect to the corresponding information presented in the consolidated financial statements in
XHTML format.
Opinions and statement in accordance with article 14, paragraph 2, letters e), e-bis) and e-ter) of
Legislative Decree No. 39/10 and with article 123-bis, paragraph 4, of Legislative Decree No.
58/98
The directors of Eni SpA are responsible for preparing a management report and on the corporate governance and
shareholdings structure report of Eni group as of December 31, 2024, including their consistency with the relevant
consolidated financial statements and their compliance with the law.
We have performed the procedures required under auditing standard (SA Italia) No. 720B in order to:
●
express an opinion on the consistency of the management report and of the specific information included in
the report on corporate governance and ownership structure referred to in article 123-bis, paragraph 4, of
Legislative Decree No. 58/98, with the consolidated financial statements;
●
express an opinion on the compliance with the law of the management report, excluding the section on
sustainability statement, and of the specific information included in the report on corporate governance
and ownership structure referred to in article 123-bis, paragraph 4, of Legislative Decree No. 58/98;
●
issue a statement on material misstatements, if any, in the management report and in the specific
information included in the report on corporate governance and ownership structure referred to in article
123-bis, paragraph 4, of Legislative Decree No. 58/98.
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In our opinion, the management report and the specific information included in the report on corporate governance
and ownership structure referred to in article 123-bis, paragraph 4, of Legislative Decree No. 58/98 are consistent
with the consolidated financial statements of Eni group as of December 31, 2024.
Moreover, in our opinion, the management report, excluding the section on the sustainability statement, and the
specific information included in the report on corporate governance and ownership structure referred to in article
123-bis, paragraph 4, of Legislative Decree No. 58/98 are prepared in compliance with the law.
With reference to the statement referred to in article 14, paragraph 2, letter e-ter), of Legislative Decree No. 39/10,
issued on the basis of our knowledge and understanding of the Company and its environment obtained in the
course of the audit, we have nothing to report.
Our opinion on compliance with the law does not extend to the section of the management report on operations
relating to the sustainability statement reporting. The conclusions on the compliance of that section with the rules
governing its preparation and on compliance with the disclosure requirements established by article 8 of
Regulation (EU) 2020/852 are expressed by ourselves in the report prepared in accordance with article 14-bis of
Legislative Decree No. 39/10.
Rome, April 4, 2025
PricewaterhouseCoopers SpA
Signed by
Massimo Rota
(Partner)
As disclosed by the Directors, the accompanying consolidated financial statements of Eni SpA constitute a non-
official version which is not compliant with the provisions of the Commission Delegated Regulation (EU)
2019/815. This independent auditor’s report has been translated into the English language solely for the
convenience of international readers. Accordingly, only the original text in Italian language is authoritative.
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Eni SpA
Headquarters
Piazzale Enrico Mattei, 1 - Rome - Italy
Capital Stock as of December 31, 2024: € 4,005,358,876.00 fully paid
Tax identification number 00484960588
Branches
Via Emilia, 1 - San Donato Milanese (Milan) - Italy
Piazza Ezio Vanoni, 1 - San Donato Milanese (Milan) - Italy
Contacts
eni.com
+39-0659821
800940924
segreteriasocietaria.azionisti@eni.com
Investor Relations
Piazza Ezio Vanoni, 1 - 20097 San Donato Milanese (Milan)
Tel. +39-0252051651 - Fax +39-0252031929
e-mail: investor.relations@eni.com
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