Eni S.p.a. · MIL:ENI
Eni — Corporate Update (October 2002)
25 slides from Eni's corporate update, October 2002
Slide 1: Nigeria Field Trip
Nigeria Field Trip Claudio Descalzi Senior Vice President for Operations Italy, Africa and Middle East E&P Division October, October, 2002 2002
Slide 2: Eni operated licenses map (OML)
OML 60 WARRI FORCADOS OML 61 SPM 1 OML 62 ABA SAM ABRI TAYLO R CR. SPM 2 OML 63 ELEME Rumuji PORT HARCOURT BRASS BONNY SPM 1 SPM 2 FPSO OML 116 OML 119 Eni 2 Nigeria Field Trip
Slide 3: Socio-Economic Situation
Socio-Economic Situation Year 2001 ! In 1999 the Country returned to democracy, after 15 years of military rule ! The main objective is to obtain international credibility to bui ld a stronger build Country GENERAL DATA UPSTREAM SECTOR Population: 120 million Oil production: 2,1 M BOPD GDP: 36.0 Bil
Slide 4: Eni's contribution to the Country's great challenges
Eni’s contribution to the Country’s great challenges ! Special attention to NIGER DELTA needs " Health improvement " Economic empowerment " Educational programs " Social Infrastructures ! Utilise gas resources currently flared Eni 4 Nigeria Field Trip
Slide 5: ENI in Nigeria
ENI in Nigeria Nigerian Agip Oil Company Ltd. J.V. Concession Agreement G R O U P Agip Energy & Natural Resources Ltd. G R O U P Service Contract Nigerian Agip Exploration Ltd. G R O U P Production Sharing Contract Downstream Participations Nigeria LNG Limited G R O U P Bonny Gas Transport Limited S
Slide 6: Typology of Contracts
Typology of Contracts ! OMLs 60/61/62/63 NAOC JV (op.) CONCESSION AGREEMENT ! OMLs SPDC JV ! SOLE RISK (OML 71/72/74/77) ! OPL 211 - 316 (Abo field: NAE Ltd.) PRODUCTION ! OPL 219 – OML 118 (Bonga : Snepco op.) SHARING ! OML 244 AGREEMENT ! OML 79 (EA field – SPDC op.) SERVICE ! OML 116 – Agbara fie
Slide 7: AGIP Concessions & participated blocks
AGIP Concessions & participated blocks DEVELOPMENT DEVELOPMENT LEASES LEASES Sq Sq km km Operated: Operated: 6,443 6,443 OPL 902 OPL 301 OPL OPL OPL OPL OPL 201 Non Non Operated: Operated: 32,955 32,955 303 304 305 306 OPL 901 OPL 302 OPL 307 LAGOS OPL 308 OPL 447 OPL 474 OPL 203 OPL 202 OPL 905 EXP
Slide 8: Eni's history in Nigeria
Eni’s history in Nigeria 1962: AGIP STARTS EXPLORATION ACTIVITIES IN NIGERIA 1965-1967: DISCOVERY OF EBOCHA, MBEDE, KWALE, OKPAI , AKRI, OBIAFU AND OBRIKOM FIELDS 1973: JV WITH NIGERIAN GOVERNMENT (60% NNPC) 1973-1975: DISCOVERY OF OBAMA FIELD AND EBEGORO FIELD 1976: FIRST TO IMPLEMENT SOCIAL PROGRA
Slide 9: Eni's history in Nigeria
Eni’s history in Nigeria 1994: EXPANSION OF OB-OB PLANT TO RECOVER NGL THE NGL, AND FUEL GAS, ARE DELIVERED TO ELEME PETROCHEMICAL 1996: INCORPORATION OF NIGERIAN AGIP EXPLORATION (NAE), FOR THE ACTIVITIES IN DEEP WATERS (PRODUCTION SHARING CONTRACT) 1997: RENEWAL OF OMLs TILL YEAR 2027 1999: START-
Slide 10: Operated production 100%
Operated production 100% 500 450 400 350 300 250 200 150 100 50 0 kboed NAOC AENR NAE Eni 10 Nigeria Field Trip
Slide 11: Averaged daily operated production Year 2001
Averaged daily operated production Year 2001 1.500 1.000 25% KBOPD 26% 500 75% 18% 74% 82% 50% 27% 32% 50% 73% 68% 0 SHELL EXXON / CHEVRON Eni Eni TotalFInaElf TEXACO MOBIL oil gas NNPC, Monthly Petroleum Information Eni 11 Nigeria Field Trip
Slide 12: Eni Equity Production
Eni Equity Production 250 200 K BOEPD 150 100 50 OIL GAS 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Eni 12 Nigeria Field Trip
Slide 13: Equity Reserves (M BOE @ Dec. 2001)
Equity Reserves (M BOE @ Dec. 2001) P1 P2 + P3 TOTAL = 2,0 B BOE 700 1300 OIL 21 % 28% GAS 72% 79 % Replacement ratio 1999 4.07 2000 2.03 2001 2.55 Eni 13 Nigeria Field Trip
Slide 14: NNPC JVs Budget contribution
NNPC JVs Budget contribution ! Average budget 1996 - 2002:$ 4.2 billion/year ! Budget Year 2002: 5.5 billion $ (50% capex for associated gas projects) 7 Total Budget billion $ 6 5 4 3 2 1 funded by NNPC 0 Eni 1996 1997 1998 1999 2000 2001 2002 14 Nigeria Field Trip
Slide 15: Investments & Operating Costs - Eni share
Investments & Operating Costs - Eni share 2001 & Four year plan 2002 - 2005 Million US$ 2001 2002 2003 - 2005 Capex Development 292 377 661 Capex Exploration 31 49 98 Total Capex 322 425 759 Operating Costs 72 107 434 Eni 15 Nigeria Field Trip
Slide 16: Offshore Developments in Nigeria Conventional & Deep Waters
Offshore Developments in Nigeria Conventional & Deep Waters OPL 902 OPL ABO Project OPL 201 301 OPL OPL OPL OPL PRODUCTION WELL 303 304 305 306 OPL 901 OPL WATER INJ.N WELL 302 OPL 307 GAS INJECTION WELL OPL 308 OPL 447 OPL 474 OPL 203 OPL 202 OPL 905 OPL OPL OPL BENIN OML ENUGU OPL 204 OPL 206 7 30
Slide 17: Utilization of Associated Gas
Utilization of Associated Gas View of Nigerian flares as seen from the satellite An unusual brightness in the dark of the African continent Nigeria produces 2.1 M Bopd of oil and 4,850 M Scf/day of associated gas. About 2500 M Scf/day is presently flared. Gas reserves of the country is estimated to
Slide 18: Utilization Associated Gas - Flaring down
Utilization Associated Gas - Flaring down NAOC is implementing the Gas Master Plan to achieve the zero flaring by 2004; to be the first among the oil multinationals operating in Nigeria 1985 2000 The Nigerian gas flare torches 2004 2008 85% 62% 40% <5% 70% 45% <5% Eni 18 Nigeria Field Trip
Slide 19: NAOC Land & Swamp Area Projects
NAOC Land & Swamp Area Projects IPP Capex: 286 MUSD Peak Production: 35,000 boepd (2007) AKRI KWALE * All figures in Eni equity EOC IRRI/ISOKO OB/ OB SAMABRI / IDU OBITE FORCADOS OSHIE Ubeta BENIBOYE P. HARCOURT OGBAINBIRI SPDC’s ROW (Nun river-Kolo creek-Rumuekpe) CLOUGH OBAMA LEGEND: CREEK AZUZUAM
Slide 20: Nigeria - LNG Projects
Nigeria - LNG Projects 7.15 Bcm/y 3.7 Bcm/y Train 1 & 2 Train 3 3.7 Billion $ 1.8 Billion $ 10.3 Bcm/y Train 4 & 5 Train 6 A feasibility study for this is currently ongoing. The start- up is foreseen by 2006 2.9 Billion $ Eni 20 Nigeria Field Trip
Slide 21: Nigeria LNG - Marketing
Nigeria LNG - Marketing Trains 1, 2 & 3 Train 4 & 5 Production: 10.85 Bcm/y Production: 10.3 Bcm/y Quantity already sold BASE PROJECT Trains 1 & 2 BUYERS - QUANTITY (Bm3 /y) - DESTINATION ENEL 3.50 Montoir-France LNG PLUS ENAGAS 1.6 Huelva -Spain BUYERS - QUANTITY (Bm3 /y) - DESTINATION GAZ DE FRANC
Slide 22: IPP project, Okpai 450 MWe Power Plant
IPP project, Okpai 450 MWe Power Plant Open Cycle Operations: End 2003: Gas Turbine Generators operation Commercial Operations: Mid 2004: Full Plant Start- up Scope of the Project: Improve Nigeria Power Generation Capacity Reduce Gas Flaring Eni 22 Nigeria Field Trip
Slide 23: Social Commitment
Social Commitment Eni 23 Nigeria Field Trip
Slide 24: Eni's social commitment in Nigeria
Eni’s social commitment in Nigeria More than 500 social projects for the host communities n. SOCIAL 160 INFRASTUCTURES 344 Social Infrastructures 140 Health Environmental Protection 120 Education - Culture ENVIRONMENTAL 21 100 PROTECTION Total number of neighbour 80 Communities: 250 60 EDUCATION - C
Slide 25: Eni's main objectives in Nigeria
Eni’s main objectives in Nigeria Increase of Hydrocarbons production (CAGR >10 %) Development of gas resources throughout integrated projects upstream / downstream Continuos improvement in Health, Safety and Environmental aspects Enhancement of development programmes for Social Communities Eni 25 Ni