Eni: Rise of renewables and less oil, the new ‘green revolution’ plan

Eni launches its “green revolution”, announcing the strategic plan for the next 30 years and the company transformation into an all-around energy company focused on natural gas and renewables. Eni will also cut greenhouse gas emissions by 80% by 2050.

MORE GAS AND LESS OIL

To live up to its schedule, the company promises that hydrocarbon production will grow by 3.5% each year until 2025, but it will then decline mainly in its oil component. In short, Eni will increasingly become a gas-company whose production in 2050 will make up about 85% of the total oil and gas. The value of almost all oil reserves in the portfolio (94%) will have to be cashed in by 2035 (the break-even point is at 20 dollars a barrel, and the underlying assumption is a price of brent at 50 dollars, just below the current value).

CO2 AND RENEWABLE PLAN

To make gas production sustainable, Eni will launch forest conservation and CO2 ‘capture’ projects for more than 40 million tons per year by 2050. By that date Eni intends to develop more than 55 Gigawatts of renewable energy plant capacity and reach 20 million retail electricity customers, mainly in OECD countries. Enel currently has about 90 Gigawatts worldwide.

IT STARTS IN RAVENNA

The first Eni project for CO2 capture will be in Ravenna, the next hub for Italy, where the possibility of conveying CO2 captured from industrial settlements and from electricity generation to the depleted gas fields of the Adriatic offshore is already being studied.

Read the article in Italian language by industrychemistry.com