Exploration is a core strength for Eni and remains central to its near-term strategy
Eni’s recent Baleine discovery underscores its status as one of the best explorers in the business.
Baleine has the potential to be transformational. It’s the largest discovery ever made in Cote d’Ivoire and the biggest oil find in Sub Saharan Africa for eight years.
However, like all IOCs, Eni also has ambitious energy transition targets. How will the company’s portfolio adapt as it works towards its emissions deadlines? And what role is there for exploration as we move towards a low-carbon future?
Long term pivot to gas
Eni’s 2050 strategy lays out its Net Zero Scope 3 target and a plan to move to new energies.
As part of that plan, Eni expects production to plateau in 2025 before entering a flexible decline. While the profile of its portfolio post-2025 will be determined by market conditions, it’s almost certain that we’ll start to see a pivot to gas.
Eni’s production is now about 50% gas, and its ambition is to get to 90% in the long term.
As well as the 2050 Scope 3 target, Eni’s plan is to reach net zero in upstream on Scope 1 and Scope 2 emissions by 2030.
What more can Eni do to meet its net zero targets?
Eni will have a lot of work to do over the next decade to reduce emissions across its portfolio. And in order to meet its net zero 2050 goal, Eni will need to transform its business.
Watch the video to hear Adam Pollard and Greig Aitken discuss the options available to Eni as it works towards its 2030 and 2050 goals.
Exploration is still central to Eni’s strategy
The energy transition is increasingly influencing investment decisions. But exploration is still core to Eni’s strategy, with a target of a 2bln boe of resources in its current four-year plan.
The Baleine discovery builds on its success in Mozambique, Egypt and Vietnam. Watch our video for our take on what made the company Wood Mackenzie’s most admired explorer for three years running.
Is there still a role for exploration?
Or is there enough oil in existing discoveries to meet future demand?
Even in a lower carbon world, exploration can deliver new resource into the supply stack that’s lower cost and less carbon intensive than existing resources.
There is still a likelihood that oil and gas demand holds up for some years. In that case, new resources will be needed to offset the natural decline in production from existing fields.
Fill in the form to hear Adam Pollard and Greig Aitken discuss the options available to Eni as it works towards its 2030 and 2050 goals.