Eni Output Down In Q2 But On Course To Meet 2015 Levels

Eni posted a loss of some $320mn in Q2 of this year along with an output drop of 2.2% on the previous quarter but it hopes restarts and key discoveries will help output reach 2015 levels by the end of the year.

Domestic troubles, major disruptions in Nigeria and a ‘weak but slowly improving market environment’ have been the major contributors behind a difficult second quarter of 2016 for Italian firm Eni, which saw its output fall 2% to 1.734mn barrels of oil equivalent per day (boe/d) from 1.772mn boe/d in Q1 16.

The root of its domestic issues came when the firm in late March was forced to shut down its 75,000 b/d Val D’Agri oil field in central Italy following the arrest of five employees accused of waste trafficking.

In Nigeria, Eni’s operations have been hit by militant attacks on oil infrastructure that has sunk the country’s crude output levels to multi-decade lows (MEES, 5 August). For instance, on 24 May it declared force majeure on the Brass River crude stream following a pipeline attack. (CONTINUED - 1035 WORDS)