Table of Contents:
Eni’s investment plan
Eni recently announced an ambitious investment plan of about 2 billion euros aimed at relaunching the chemical sector in Italy. This intervention is part of a crisis context for basic chemicals, which are facing a structural and irreversible decline in Europe. Eni’s decision to invest in this sector represents an attempt to restructure and reposition its business, reducing exposure to losses that have characterized recent years
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The challenges of the chemical sector
Versalis, Eni’s chemical division, recorded a loss of 220 million euros in the second quarter of this year, marking a negative trend that has lasted since 2017. In the last 15 years, exposure to chemicals has resulted in economic losses close to 7 billion euros. With the investment plan, Eni aims to gradually eliminate the activities of the cracking plants in Puglia and Sicily, as well as the polyethylene plant in Sicily, to reduce costs and improve sustainability
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Sustainability and emission reduction objectives
One of the main objectives of Eni’s plan is to reduce emissions by about 1 million tons of CO2, which currently represent about 40% of Versalis emissions in Italy. This intervention will not only help improve the company’s image, but it will also have a positive impact on the environment. Eni expects to break even in 2024, with a profit expected in 2026, marking a return to profitability after years
of difficulty.
Future prospects and attention to investors
On the occasion of the presentation of the third quarter results, Eni will provide further details on the investment plan and future strategies. Italgas, another important player in the Italian energy scene, also published positive results for the first nine months of 2024, highlighting a growth trend in revenues and EBITDA. Investors are following these developments carefully, as they could influence market dynamics and the strategic decisions of the companies involved
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