Eni pledges to become a leader in the energy transition
Italian oil & gas giant Eni has announced that it will be transforming its business to secure a prominent position in the energy transition.
Forming two new business units - ‘natural resources’ and ‘energy revolution’ - the company is seeking to develop a more efficient, sustainable and eco-friendly oil and gas portfolio in the former and research blue, green and biofuels in the latter.
This new vista forms the company’s long-term transformation goal for the next 30 years. Eni considers its combination of focused growth, financial value creation and sustainability goals to be a roadmap for success as the energy sector braces for 2050 and net-zero carbon.
A new direction
Claudio Descalzi, CEO, emphasised that Eni’s new direction was a watershed moment for the company and, as a leading brand, potentially the industry too:
“This new structure reflects Eni’s pivot to the energy transition. An irreversible path that will make us leaders in decarbonized energy products. With our new Plan [...] we have set our path for the next 30 years, as of today it is unique in our industry.
“The reorganisation also involves the corporate structures, which will evolve, continuing to be the central reference point for strategic and control processes, providing effective support to meet the business groups’ objectives,” he said.
What is particularly striking about Eni’s new direction is the reliance on leveraging industrial technology to effect change. As such, a new function (Technology, R&D and Digital) has been created to develop innovative solutions in-house with greater speed and at scale.
Launching research projects across its value chain and utilising scientific and technical expertise, the company will push for increased safety standards, operational efficiency and quality in its overall delivery.
The fight against climate change
One of the primary motivators of change for Eni is undoubtedly a desire to mitigate the environmental effects of the energy industry, particularly oil & gas.
The efficiency-driven mission of its ‘natural resources’ unit is likely to be an improvement, but it is the ‘energy evolution’ unit which is arguably the more exciting; researching, developing and marketing a new frontier of renewable and biomethane energy types.
Furthermore, Eni will expand its retail portfolio of these alternative fuels, therefore increasing their availability to individual consumers and enterprises in an integrated, large-scale market.
“The fight against climate change and promotion of sustainable development are recognised by governments, civil society, investors and business alike as priorities for global development,” concluded Descalzi.
“Only those who pursue these in an innovative way will create value in the long term. We want to be main actors in a Just Energy Transition, in which we believe, and is central to Eni’s transformation.”
Global Offshore rebrands Enelift and invests in global hubs
Global Offshore has rebranded Enelift and will invest "a seven-figure sum" in establishing new support hubs in Houston, Dubai, Singapore, Perth and the Caspian during the next six months.
The investment will cover oil, gas and renewables, mainly concentrating on manufacturing capability with associated R&D, as well as in stock held in the hubs.
The company’s flagship Hinge Lok technology provides aluminium, non-welded light weight transportation cradle for casing and tubing. Enelift now plans to enhance its offering by augmenting its existing solutions with robotics and remote operational and training technology, which will reduce manpower for handling offshore equipment that is transported and stored using the Hinge Lok system.
Enelift is partnering with "a Japanese robotics company" and the technology will be trialed with "a Norwegian operator on a Norwegian drilling rig", according to a statement.
Operating from its bases in Aberdeen, UK and Esbjerg, Enelift was founded by 35-year industry veteran and Managing Director Paul Brebner 10 years ago to offer the offshore energy industries safe, reliable and efficient storage and transportation of equipment.
The expansion plans are bolstered by the appointment of Jim Clark of the Craigendarroch Group to Chairman, and Adam Maitland to Non-Executive Director. Maitland is the Managing Director of Hutcheon Mearns IF, and brings his wealth of expertise in the field of corporate finance.
Brebner said Enelift may be a new name in the market, but the experience it brings is "industry renowned".
"Our solutions are underpinned by safety that enables inefficiencies and their associated costs to be eradicated – meaning operational personnel can focus doing what they do best, safely. We remain committed to providing the safest storage and transportation solutions for equipment in the sector as we grow our global operations," he said.
Clark said the market is changing and its solutions fully support customers’ economic and safety aspirations.
"We are very well placed to take full advantage of increasing opportunities in the Middle East, Africa, Far East and Americas. Safety is our absolute commitment to our customers and our support hubs will facilitate this. Aligning our identity to our entire offering ensures that we will drive our expansion through new products and global support sites across the rest of this year."