Exploration & Production Update (6 Oct 2011)
Upcoming SlideShare
Loading in...5
×
 

Exploration & Production Update (6 Oct 2011)

on

  • 3,279 views

Exploration & Production Update - Congo Field Trip

Exploration & Production Update - Congo Field Trip

Statistics

Views

Total Views
3,279
Views on SlideShare
2,911
Embed Views
368

Actions

Likes
1
Downloads
63
Comments
0

3 Embeds 368

http://www.eni.com 196
http://st-eni.eni.com 155
http://eni.com 17

Accessibility

Categories

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Exploration & Production Update (6 Oct 2011) Exploration & Production Update (6 Oct 2011) Presentation Transcript

  • Congo field tripBrazzaville – October 6th, 2011eni.com
  • agenda eni update Paolo Scaroni E&P update Claudio Descalzi Focus on sub-Saharan Roberto Casula operations Financial update Alessandro Bernini Closing remarks Paolo Scaroni Q&A 2
  • Libya: recovery plan and growth potential Recovery plan  Consolidated relationship with Security assessment of context and facilities NTC Re-opening of eni’s Tripoli office  Existing contracts confirmed Initial interventions (eg logistics) N d No damage to eni f ili i i facilities Oil start-up (12 months to full oil ramp up)  Oil production re-start achieved hi d Repowering of gas facilities (1 week)  First gas export before year- Commissioning of gas facilities and first gas export through Greenstream endd Gas ramp up (+2/3 months)  Further gas potential from large undeveloped reserves l d l d 3
  • G&P: business and market update Market update eni actions  Recovery in European spot  Improved commercial offer prices (+51% vs first 9 months  +4pp market share in Italy* 4 k t h i It l 2010)  +14% European volumes*  Increasing gas consumption and LNG prices in Far East  Ongoing renegotiations  Sonatrach: final stage  Gazprom: progressing  Weak Italian and European gas demand (-5% and -5% YTD)  Libya: working to resume Greenstream imports  Higher oil-linked prices (+41% oil linked vs first 9 months 2010) * January-August 2011 4
  • eni’s key assets: developing value creation prospects Snam Saipem Galp Exploring options to  Delivering outstanding  Continuing discussions unlock value results with potential buyers Any disposal requires  Key synergies with  Portuguese context government decree upstream operations remains difficult €150m annual impact  Excellent profitability  Potential valuation from Robin Tax and cash generation upside from Brazilian prospects capital increase 5
  • eni’s long history of growth in Africa... Countries and year of entry C t i d f t African production (1970-2010) Af i d ti (1970 2010) kboed Tunisia CAGR 1961 Algeria Al i Libya Egypt 1981 13,854 2,0% 1959 1954 Mali 2006 Togo 2010 Nigeria 1962 7,924 Ghana Congo 1,002 6,5% 2009 1968 Gabon 1981/2008 RDC 6,179 2010 386 80 Angola Presence since 1980 Mozambique Exploration 2006 1970 1990 2010 Exploration and Production South Africa % 2011 (MOU) 1.3% 4.9% 7.2% eni 6
  • ...has led to our current leadership Production in Africa Majors i Africa j in f i Algeria Tunisia Libya Egyptkboe/d Chad Cameroon Dem. Rep.Congo Nigeria Eq. Guinea Gabon Angola Congo Countries of 7 6 5 5 4 3 3 production (2010) More than doubled African production in 15 years 7
  • further growth potential in Africa Major growth d i M j h drivers i Africa in Af i Production growth i Africa (kb /d) P d i h in Af i (kboe/d) Algeria & Tunisia • MLE CAFC start up 1400 • Exploration for Libya conventional and Development of 1.5bn >2% unconventional resources ti l boe of discovered b fd d reserves 1200 ~2% 1000 800 600 West Africa 400 Mozambique • Block 15/06 start-up  Drilling ongoing  High potential in the Rovuma exploration in Gulf of Basin (10 tcf 200 Guinea (Ghana and potential) Togo) g )  Pre-salt plays (Angola, 0 DRC, Congo, Gabon) South Africa 2010 2014 2021  Signed MOU 2011 Producing Fields New Production Established presence p New presence p 8
  • the six legs of the eni model 1 Business & technology development 2 Oil & gas integration 3 Access to energy & infrastructure 4 To be local 5 Local development (agriculture, health, education) (agriculture health 6 International partnership 9
  • oil & gas integration: a driver of growth in North Africa Egypt 2010 production: 232 kboe/d Gas imports (UFG): 2 bcm eni present since 1954 First IOC in the country Libya 2010 production: 273 kboe/d Gas imports: 9.4 bcm eni present since 1959 First IOC in the country Algeria 2010 production: 77 kboe/d Gas imports: 16.3 bcm eni present since 1981 First IOC in the country pipeline LNG plant North Africa accounts for one third of eni total production and 2.1 bn boe of reserves* reserves * as of December 31, 2010 10
  • access to energy: first mover in Subsaharan Africa  First IOC to invest in power generation in Africa using associated gas  Major electricity generation: 4 plants in Congo and Nigeria  60% of Congolese electrical g production  20% of Nigerian electrical production  Large involvement in electrification projects  MOUs for 4 new power projects in Angola, Ghana, Togo and Mozambique * equity stake 11
  • to be local: a “double flag” approach Local presence in Africa Local employees (3) Number No. Onshore Countries (% of prod. (1)) 55% 1,897 1,217 7 37% 6 14% 5 13% 2000 2010 5 14% Local managers (3) Number 4 25% 186% 252 3 n.s.(2) 88 3 12% 2000 2010 (1)Based on 2010 production: net production from Annual Reportand elaboration on WoodMackenzie; (2) Only onshore production in Algeria, Libya and Nigeria in partnership with other operators (e.g. in Algeria and Nigeria with eni); (3) Sub-saharan operations only 12
  • Congo field trip: E&P updateClaudio Descalzi, COOeni.com
  • E&P strategic goals and drivers  Rapid development of project pipeline  Production optimization and near field exploration to reduce declineOrganic growth  Additional development phases of giants& value creation  Increasing exposure to far east and LNG  S ne gic unconventional Synergic ncon entional  Fast time-to-market exploration  Geological: focus on core areas and conventional assets Managing uncertainties  Operational: increased operatorship  Political: geographical diversification  Financial: project phasing 14
  • sustainable growth Organic production growth ~2% >3%  >3% CAGR 2010-14  Low decline rate  Strong project pipeline  ~2% CAGR 2014-21  Identified opportunities  Exploration potential Price scenario: 70$/bbl flat @2014, +2%/year 15
  • 2011-14: short-term project base for building long term growth Main FID 4Yplan main start-ups NORWAY RUSSIA2011 Goliat Yaro Yakinskoye Ekofisk South Samburgskoye ~75% of production UK Urengoskoye already sanctioned US West Franklin Ph.2 Jasmine KAZAKHSTAN Nickaitchuq IRAQ Karachaganak 4th train Appaloosa Zubair FF Kashagan EP Expected ALGERIA ITALY CAFC/MLE Argo Cluster  Perla (EP) El Merk TURKMENISTAN EGYPT Burun ph.2  15/06 East Hub Denise B VENEZUELA  Urengoskoye- Junin-5 NIGERIA INDONESIA Perla Agbara ph.2 CBM Achimov Abo ph.3 CONGO Litchendjli ANGOLA2012 Block 15/06 AUSTRALIA Kitan  Zubair (FF) A-LNG Kizomba Sat Ph.1  Yaro  A Argo Cluster Cl t Activity complete Giant fields 630 kb /d of new production by 2014 kboe/d f d ti b 16
  • building long-term growth on recent successful exploration Culzean (UK)  High class G&C discovery still in appraisal phase Barents Sea (Norway)  Sk Skrugard discovery d diGoM (USA) Greater Hadrian area Near field exploration Indonesia  High potential in profitable gas marketPerla (Venezuela) Super Giant gas discovery West Africa  Block 15/06 in Angola  Tano basin in Ghana Australia  JPDA area 17
  • growth projects beyond 2014 Main FID Start-ups post 2014 NORWAY RUSSIA2012 Skrugard Severo Asgard SS Compr. Extension Val D’Agri Yevo GLA Tor redevelopment Achimov Eldfisk II2013 UK KAZAKHSTAN Culzean Jangkrik Mariner ITALY Karachaganak ph.3 Ext VdA Kashagan ph.2 Jau US Kashagan Sat. Junin-5 (FF) Heidelberg Great Hadrian Area LIBYA Perla (FF) Gas Off h G Offshore PAKISTAN Tight gas OPL 245 (FF) Culzean GHANA VENEZUELA Sankofa NIGERIA INDONESIA Skrugard Junin-5 FF Gye Nyame Bonga SW Jangkrik Perla FF Bonga North Libya gas offshore Brass LNG Jangkrik NE CONGO Jau Sankofa Tar Sands OPL 245 Kutai Basin CBM FFBeyond 2013 ANGOLA Karachaganak ph.3 Kizomba Sat. ph.2 Block 15/06 3rd HUB Kashagan ph.2 & Sat. Mafumeira Sul Bonga SW & North Kutai Basin, Gendalo– Giant fields Gehem Great Hadrian Area Severo & Yevo ~ 1200 kboe/d of new production by 2021 85% from giants 18
  • drivers for long-term growth: our key hubs  Diversified growth Yamal  Present in world’s most Barents Sea Peninsula promising producing areas  Exposure to growing markets (eg Far East) Kazakhstan  Leveraging synergiesVenezuela  Reserves 2P  Equity -> 5 Bboe (~38%) Sub-Saharan S b S h Africa Indonesia  Production d i  Over 950 kboe/d at 2014*  ~ 1,2 Mboe/d at 2021 * price scenario: 70$/bbl flat @2014, +2%/year 19
  • Yamal Peninsula: new gas giants Yamal province Licences: Sambursky Yaro-Yakhinsky, Severo-Chalesky, Sambursky, Yaro Yakhinsky Severo Chalesky Yevo-Yakhinsky Samburgskoye Production (kboe/d, equity) 200  eni share 29.4% 150  Contract type Concession 100  Capex (100%) 3.8 B$  Reserves (100%) 1 Bboe 50  Peak production (100%) 148 kboe/d 0  Start up 2012 2011 2013 2015 2017 2019 2021 Samburgskoye Yaro-Yakhinskoye Urengoskoye Severo 20
  • Barents Sea: unlocking oil potential Barents Sea Production (kboe/d, equity) Goliat 250  eni share 65% (operated) 200  Contract type Concession 150  Capex (100%) 5 B$ 100  Reserves (100%) 175 Mboe 50  Peak production (100%) 89 kboe/d 0  Start up 2013 2011 2013 2015 2017 2019 2021 Norway Goliat Skrugard 21
  • Indonesia: growing exposure to favourable gas market Jangkrik & Jangkrik NE Production (kboe/d, equity) 120  eni share 55%  Contract type PSA 80  Capex (100%) 2.9 B$ 40  Reserves (100%) >400 Mboe  Peak production (100%) 80 kboe/d 0  Start up 2015 2011 2013 2015 2017 2019 2021 Others C MB Jangkrik Kutei Basin (Gendalo-Gehem) 22
  • Venezuela: super giants with long-term plateau Junín-5 eni share 40% (Petro-Junín Op.) Contract type Concession-like Capex (100%) 22.7 B$ Reserves (100%) 2.4 Bboe Peak production (100%) 75 kboe/d (EP), 240 kboe/d (FF) Production (kboe/d, equity) Start up S 2013 (EP), 2018 (FF) (EP) 200 Perla 150 eni share 32.5% 100 Contract type Concession Capex (100%) 4.9 4 9 B$ 50 Reserves (100%) 1.5 Bboe 0 Peak production (100%) 54 kboe/d (EP) 2011 2013 2015 2017 2019 2021 162 kboe/d (FF) Start-up 2013 (EP), 2016 (FF) C orocoro Junin 5 Perla 23
  • Kazakhstan: near-term growth and relevant long-term potential Karachaganak Kashagan Kashagan EP Production (kboe/d, equity) 250  eni share 16.81% (operated) 200  Contract type PSA 150  Reserves (100%) 3.6 Mboe 100  Production capacity (100%) 370 kboe/d 50 0 2011 2013 2015 2017 2019 2021 Progress in line to achieve KCP by Dec. 2012 Karachaganak Kashagan EP 24
  • Sub-Saharan: legacy area with further growth prospects Block 15/06 (East & West Hubs) Production (kboe/d, equity) 600  eni share 35%  Contract type PSA 400  Capex (100%) 8.2 B$  Reserves (100%) 425 Mboe 200  Peak production (100%) 80 kboe/d (WH) 75 kboe/d (EH) 0 27 kboe/d (Mpungi) 2011 2013 2015 2017 2019 2021  Start up 2013 Deepwater LNG Others * Exploration potential excluded 25
  • high potential exploration portfolio Barents Sea (Norway) Large upside GoM (USA) Near field exploration Pacific gas (Indonesia and Australia)  High potential in profitable gas market West Africa  Transform margin play in Ghana and Togo West Africa  Pre-salt play:  Offshore Angola East Africa Gas (Mozambique)  Onshore Gabon, Congo, DRC  High materiality tertiary plays of  Targeting 3rd production hub in Angola 15/06 the Rovuma Basin 26
  • a growing unconventional portfolio Shale & tight gas in North Africa Shale gas in East Europe  Algeria - ongoing joint assessment  Poland – 3 expl. Permits – Drilling Ongoing  Tunisia - ongoing exploration  Ukraine – MoU inclusive of unconventional China shale gas  Ongoing joint assessment with CNPC/Petrochina  MoU with SinopecGas shale in USA Development and production from Barnett shale Indonesia CBM  Appraisal & pilot project  Synergies with Bontang LNG plant Unconventional oil in Africa Sub-Saharan Pakistan unconventional  Tar sands Congo: ongoing exploration & pilot  Well testing & dev.plan for tight gas project feasibility  Joint assessment for shale gas potential Total acreage ~ 5,500 km2 Over 1 bln boe of prospective resources 27
  • confirmed leadership in efficiency Unit exploration costs Break even price by region OPEX* $/boe 6 106 60 10 9 5 9 50 Avg. 45 $/boe 88 4 40 77 7.033 30 66 2 20 5.7 5.4 1.9 2.0 55 1.9 1 10 440 0 3 0 07-09 08-10 11-14E North West OECD Other 3 07-09 08-10 11-14E Africa Africa eni Benchmark group** group * RDS n.a. ** XOM, CVX, COP, BP, RDS, TOT, eni. Company data and Wood Mackenzie 28
  • diversified and profitable portfolio Cash flow NPV 2P by areas CF/boe (%) 120 20% 24% 110 32% 24% 100 90 2010 2014 Africa sub-Saharan North AfricaBrent avg 70 70($/boe) Europe & America Asia & Pacific Solid cash generation 29
  • good progress on strategic goals NORWAY NORWAY Ekofisk South Skrugard ALASKA Eldfisk II Russia Nikaitchuq Asgard SS Compression Samburgskoye NORWAY PL 226B PL 608 UK Culzean UKRAINE KAZAKHSTAN Karachaganak 4th train GOM Appaloosa ITALY Capparuccia CHINA GOM Petrochina MoU Hadrian North Sinopec MoU GHANA Libya Sankofa 2 Abu Attifel Gye Nyame 1 EGYPT INDONESIA Denise B PAKISTAN Jangkrik NE VENEZUELA Zamzama FEC Perla 4X INDONESIA NIGERIA CONGO Arguni block OPL 2009 Libondo OPL 245 ANGOLA AUSTRALIA ANGOLA Block 35 NT/P 68 (Heron) Garoupa 2 Mukuvo 1 Quiluma 4/4A W11, Business development Exploration successes FID Main Start up 30
  • Congo field trip: Sub Saharan Africa Sub-SaharanRoberto Casula, EVP Sub-Saharan Africa ,eni.com
  • eni E&P in Sub-Saharan Africa  Population 850 million  GDP growth rate 2011: 5.5%  Proved reserves YE 2010  oil 68 bln bbls Togo 2010 Nigeria  gas 230 tcf Ghana 1962 2009 Congo 1968  Production 2010 Gabon DRC 1981/2008 2010  oil 5.8 Mbbl/d; Angola  gas ~5 bcf/d 5 1980 Mozambique 2006  Overall electrification rate < 30% eni in Sub-Saharan Africa Presence since  400kboe/d of production (20% of total eni production); Exploration Exploration and production  €8bln development capex 2011-2014 32
  • production growth Production growth 2009 - 2021 (kboe/d) 4Y plan CAGR CAGR  Congo +3% 2%  Nigeria +2.2% 6%  Angola +13.4% 11% Long term g g growth 397 357  OPL 245  Bonga area  Brass LNG  Abo Ph. 3  Litchendjili  Tar sands 2009 2010 2011 2014 2021  Kizomba Sat Ph.2 Brent  Exploration potential ($/bbl) 61.5 79.5 70 70 70 33
  • growth drivers • Operated development projects and Deepwater exploration to fuel future growth Gas utilization • LNG  Gas value maximization trough • Power plant domestic consumption and export • Heavy oil upgrading  High quality assets in major Exploration exploration prolific plays  Double flag approach to help hosting Cooperation model countries development 34
  • deepwater projects KIZOMBA SAT.1 WEST HUB EAST HUB WI WI WI DW production WI GI WI DC GI Cabaça N DC DC DC DC ( (kboe/d) / ) WI Cabaça SE DC WI  Not operated  Operated  Operated 200  Plateau 90 kboe/d  Plateau 65 kboe/d  Plateau 60 kboe/d BONGA SW ABO Area OPL 245 150 100  Not operated  Operated  Operated  Plateau 155 kboe/d  Plateau 25 kboe/d  Plateau 85 kboe/d 50 MOZAMBIQUE Block 35 GHANA 1000m 1500m ra 2000m Acc 2500m 0 SALTPOND  OFFSHORE  KETA TOGO 300 0m d i FIELD ACCRA GHANA ora SOPCL m 20 m Tap 50 m T ak 3500 SALTPOND Keta Basin Oranto 100m EBONY 200m JUBILEE Saltpond Basin Area 1 500m Interoil FIELD OCTP 2010 2014 ECTP MoU ECTP MoU Sahara En DWT TAKORADI 4000m 4000 WCTP Tullow Kosmos Tano Basin Gasop DWT/CTP CTPD Hess Vanco SDT Area 4  Operated  Operated  Operated  Two discoveries Development Exploration Note: all data at 100% 35
  • deepwater projects: Block 15/06 Mpungi-1 Cabaca North-1 (2010) (2009) Nzanza-1 -1 - (2009) Nzanza North Xikomba N3 Mondo NW 1000 W5 Cinguvu-1 Cabaça 1 Cabaca SE-1 m (2010) 1 W6 (2010) Mondo W W7 W-HUB W10 W11 Cabaça S W12 BAVUCA MONDO M1-N N’Goma-W Sangos-1 N’Goma-1 -1 ( N’ (2008)) 1 (2008) M1-S E-HUB BATUQUE RECO RECO West Hub East Hub Development of Sangos, Ngoma, Cinguvu fields  Development of Cabaça North and Cabaça South-East (1,250-1,450 m WD)  One leased FPSO: 100 kbbls/d 16 wells (10 producers, 6 injectors)  21 subsea wells Cluster manifolds for each drilling centre  2 well clusters on Cabaça North Turret-moored stand alone FPSO: 100 kbbls/d  2 well clusters on Cabaça SE Recycling of associated gas in WAG wells in Sangos 36
  • deepwater projects: OPL 245 OPL245 Eni share 50% (op.)  Development of Zabazaba and Etan fields Contract type PSA (1,700-2,000 m WD) Capex (100%) under evaluation  Zabazaba*: 13 producers, 5 injectors Reserves (100%)* 550 Mboe  Etan*: 5 producers, 5 injectors Peak production (100%) 110 kbbls/d  Cluster manifolds for each drilling centre Start-up* within 4YP  Spread moored FPSO (120kbbls/d) with calm buoy FID* within 4YP  Gas export sealine (130 km) to OGGS * Preliminary data 37
  • growth drivers  Operated development projects and Deepwater exploration to fuel future growth Gas utilization  LNG • Gas value maximization trough  Power plant domestic consumption and export  Heavy oil upgrading  High quality assets in major Exploration exploration prolific plays  Double flag approach to help hosting Cooperation model countries development 38
  • integrated gas cycle management Gas production in SSA (kboe/d) NIGERIA NIGERIA Okpai Eleme >120 RSG Petrolchemical P t l h i l NLNG Brass CONGO 79 Gas to MAG CONGO Tar sands CEC LPG CED ALNG Gas project ANGOLA IPP LNG operational/in execution 2010 2014 LNG pre FID/proposed Other usage g IPP operational IPP proposed Gas projects: an economic, social and environmental opportunity 39
  • gas utilization: LNG projects Operational/in execution Pre-FID/proposed Nigerian LNG - eni share: 10.4% Brass LNG - eni share: 17% Op.  Status 6 trains in operation  Status 2 trains – pre FID  LNG capacity 22 MTPA  LNG capacity 10 MTPA  Startup 1999  Startup 2016  G supply* Gas l * 3,482 3 482 mscf/d f/d  G supply* Gas l * 1,700 1 700 mscf/d f/d  Liquids 130 kboe/d  Liquids 70 kboe/d Angola LNG - eni share: 13 6% A l i h 13.6% Angola G A l Gas Project - eni 20% t P j t i tec. partner t N  Status 1 train in execution  Status 1 train “proposed” Oxy Ocean Int. Democratic Republic C of 0/A S Congo K/A Congo -IMI CABGOCFina Chevron  LNG capacity 5.2 MTPA  LNG capacity 5.2 MTPA CABGOC 14 0/B 15 Esso 1 Soyo  Startup Feb. Feb 2012 ANGOLA  Startup TBD 31 2/05 Sonangol BP 16 3/05A 32 Sonangol  Gas supply* 925 mscf/d  Gas supply* from Garoupa field TFE 17 4/05 Sonangol Total 18 33 BP 5  Liquids 60 kboe/d  Liquids TBD 34 Esso Sonangol P&P Sonangol P&P 19 Luanda 6 * Figures are nominal 100% 40
  • gas utilization: power plant projects Nigeria – Okpai IPP - eni operator 20% Nigeria – RSG IPP - Supply 100% Naoc JV  Status operational  Status operational  Plant capacity 480 MW  Plant capacity 150 MW  Startup May 2005  Startup Dec 2006  G supply Gas l 70 mscf/d f/d  G supply Gas l 30 mscf/d f/d  Final users 10 million  Final users 1 million Congo CED - eni operator Congo CEC - eni operator  Status operational  Status operational  Plant capacity 2x25 MW  Plant capacity 2x150 MW  Startup Dec 2002  Startup Mar 2010  Gas supply 25 mscf/d  Gas supply 70 mscf/d  Fi l users Final 0.5 illi 0 5 million  Fi l users Final 2 million illi Angola IPP - eni operator 50% eni in the power sector of SSA b lic pu Re Of o ola Co ng ng N A  Status “proposed “ Oxy Democratic Republic  Installed capacity 1,000 MW Ocean Int. of C 0/A Congo S K/A-IMI CABGOC Fina Chevron Congo  Plant capacity 450 MW 0/B 14 CABGOC 15 Esso 1  Future capacity 450 MW  Startup TBD 15/06 31 Eni 2/05 Sonan gol ANGOLA BP Potential users ~18 million 3/05A  16 32  Gas supply 70 mscf/d Sonangol TFE 17 4/05 Sonan gol Gas supply ~265 mscf/d Total  33 BP 18 AMBRIZ  Final users 5 million 5 34 Share of power in the region p g 7% Esso Sonangol P&P  Sonangol P&P 19 6 Luanda 41
  • growth drivers  Operated development projects and Deepwater exploration to fuel future growth Gas utilization • LNG  Gas value maximization trough • Power plant domestic consumption and export • Heavy oil upgrading • High quality assets in major Exploration exploration prolific plays  Double flag approach to help hosting Cooperation model countries development 42
  • exploration overview Sub-saharan plays  Pre-salt  Deepwater Santos Basin Brazil-like Togo themes Nigeria  Coastal basin and shallow water Ghana  Transform margin  Cretaceous plays deepwater p y p Gabon G b Congo DRC  Tertiary play  East Africa margin and West Africa Angola Mozambique Exploration KPI  Acreage 62,182 km2  Estimated resources 10 bln boeMain exploration plays  3D Seismic (09-11) 8,800 km2 Pre-salt Trasform margin Tertiary  2011-14 capex $1.2 bln 43
  • pre-salt and transform margin Angola Bl. 35 (eni W.I.: 30%) Ghana/Togo 1000m 1500m ra 2000m Acc 2500m SALTPOND  OFFSHORE  KETA TOGO 300 0m i rad FIELD ACCRA GHANA SOPCL 20 m Tap o m 50 0m 350 Tak SALTPOND Keta Basin Oranto 100m EBONY 200m JUBILEE Saltpond Basin Interoil 500m FIELD OCTP ECTP MoU ECTP MoU Sahara En DWT TAKORADI 4000m WCTP Tullow Kosmos Tano Basin Gasop DWT/CTP CTPD Hess Vanco SDT B Brazil-like pre-salt play il lik lt l  Gh Ghana  3 successful wells in Tano Basin New frontier area  Cretaceous play in undrilled Keta Basin  Kwanza deep offshore: 2,000-2,500m of water  Togo Resources potential: >2.5 bln bbl  2,000 km2 3D seismic acquisition on block 2 completed 44
  • emerging East African Tertiary plays - Mozambique Block Area 4 (eni W.I.: 70%)  Rovuma Basin  Deep offshore: 1,500 3,000 1 500-3 000 m  Area: 12,956 km2  Resource potential: 10-20 Tcf GOIP  7 gas discoveries out of 9 wells drilled in the basin g  The largest discoveries are very close to Area 4 Area 4 prospect – 3D seismic Barq.-1 Direct Hydrocarbon Indicator Windj.-1 Mamba North-1 North- Several high potential gas prospect already defined on 3D seismic Secured rig to drill 2 firm wells on 2011 (drilling activity Lagosta-1 ongoing), and two wells in 2012 Mamba South-1 South- Development scenarios foresee LNG export to the Far East markets Area 1 Area 4 10 km 45
  • growth drivers  Operated development projects and Deepwater exploration to fuel future growth Gas utilization • LNG  Gas value maximization trough • Power plant domestic consumption and export • Heavy oil upgrading  High quality assets in major Exploration exploration prolific plays • Double flag approach to help hosting Cooperation model countries development 46
  • the six legs of the eni model 1 Business & technology development 2 Oil & gas integration 3 Access to energy & infrastructure 4 To be local 5 Local development (agriculture, health, education) (agriculture health 6 International partnership 47
  • M’Boundi, the energy hub of Congo Brazzaville RC LPG plant Brazzaville M’Boundi Tar sands RIT Loudima Mi d li L di Mindouli Tsielampo T i l M’Boundi Zingali Loufika MAGLitchendjili Kouakouala y Refinery RIT Coraf Pointe Mongo Kamba g Noire 1/2 N’Goyo Oil centre Cote Water injection Mateve Gas compression/ pumps gas injection Water Power distribution injection CEC jack-up (2x150MW) Djeno oil CED (2x25MW) Feed to RC LPG plant ( p (future) ) terminal Tar sands (future) 48
  • social investment model projects Angola Congo 2008 MOU SONANGOL AND ENI INTEGRATED PROJECT HINDA  Cooperation areas:  Objective:  food & biodiesel  promote sustainable local development  infrastructures  mitigating the social risks  education  providing indirect support to the  social projects operating processes  Main areas of intervention: MEDICAL PROJECTS  health and education;  Vaccination campaigns  development of microeconomics;  Supply of medical equipments  agriculture and environment;  Fighting the malnourishment  infrastructure Duration: 4 years (2011-2015) Nigeria Gabon SOCIAL PROJECTS EDUCATIONAL PROJECTS  Green River pr.: support of local communities  Educational support to university system EDUCATIONAL PROJECTS  Adaptive skill acquisition programs ENVIRONMENTAL PROJECTS ENVIRONMENTAL PROJECTS  Water main rehabilitation  Realization of infrastructures  Projects of protection of coasts from flooding MEDICAL PROJECTS  Rehabilitation and construction of MEDICAL PROJECTS hospitals  Roll-back malaria program  Social and medical campaigns for HIV/AIDS 49
  • strong and increasing cash flow SSA cash flow $/boe • Strong cash flow, significantly 35 100 $/boe enhanced by new start-ups 30 28.9  Focus on conventional and large size 26.5 70 $/boe projects to exploit economies of scale 25 and operational synergies p y g 20  Monetization of low cost stranded gas resources 15 10 5 IRR of new projects: ~28% 0 Average breakeven: 07-09 08-10 11-14 36 $/boe Brent avg 77 79 70 ($/ ($/boe) ) 50
  • Congo field trip: financial updateAlessandro Bernini, CFO ,eni.com
  • growing cash flow to finance capex… 2011-14 cash flow* 2011-14 2011 14 capexBln € *@ 70$/bbl 52
  • … focused on high return e&p projects Eni capex Bln € 2011-2014 E&P development Other Oh capex plan 33.7 19.6 E&P development capex 2% Onshore PSA Shallow offshore Service contract 23% 38% Deepwater Concession 35% Unconventional 47% 18% 37% 53
  • ...and to further strengthen our balance sheetNet debt at June 30, 2011 Snam Rete Gas  Lowest risk profile of eni’s 2011 portfolio  Self financing  €1.7bn of € 10.7 billion divestments closed  Net debt to equity Saipem below YE2010  Major vessels almost completed € 3.4 billion  Strong cash flow Going forward  Net debt to eq it equity <40% within the eni plan period  Mainly PSA exposure  Cash neutrality at € 12 billion 40$/boe by 2014 Total € 26.1 billion 54
  • low risk and high quality financial debt Debt by instrument Debt by maturity Commercial >5 yrs paper 10% 3-5 yrs Bonds 51% 2-3 yrs Banks 39%  Extension of debt maturity: >80% long term  €1.3 bln retail bond issued successfully this week  Over 50% of long term debt at fixed interest rates g  €300m of refinancing in 2011 (no bonds due) Data @ June 2011 55
  • Congo field trip: closing remarksPaolo Scaroni, CEO ,eni.com
  • a strong growth profile Past and future leadership in Africa as a d u u e eade s p ca E&P: sustainable long-term growth Solid balance sheet to fuel growth 57
  • a strong growth profile Past and future leadership in Africa as a d u u e eade s p ca E&P: sustainable long-term growth Solid balance sheet to fuel growth 58