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Oil & Gas

Oil & Gas

Pirelli reduces revenue forecast for 2025 due to currency impact

Pirelli, the Italian tire manufacturer, lowered its revenue forecast for 2025 on Thursday as a result of expected adverse currency movements. The company has lowered its target to an estimated range of 6.7-6.8 million euros ($7.66-7.78 million) compared to its previous target of 6.8-7.0 millions euros. Pirelli reported that currency fluctuations caused a 2.9% loss in revenue compared to the first half of last year due to the weakening of the U.S. Dollar and the volatility of currencies of emerging countries against the euro. The firm has confirmed that it aims to achieve a margin of adjusted EBIT around 16...

Oil Refineries

Sources say that a decision on the sale of oil refiner Italiana Petroli is expected by end-June.

Italiana Petroli is in negotiations with three parties interested in purchasing the oil refinery and is expected to make a decision around the end this month on the possible 3 billion euro deal ($3.5 billion). Two sources familiar with the matter confirmed that. Sources previously stated that Gunvor, the global commodity trader, State Oil Company of Azerbaijan, (SOCAR), and the Abu Dhabi-based Bin Butti Group had all made binding offers to purchase 100% of the privately held group. Two sources said that industrial groups from the Middle East had contacted the Italian company in order to express their interest, should...

Oil & Gas

Pirelli investors support 2024 earnings report in spite of Sinochem's opposition

The company reported that Pirelli shareholders approved its earnings report for the past year, despite Sinochem's opposition, which is the largest shareholder. The result of the vote indicates that Sinochem's influence over Pirelli, which was restricted by the Italian Government, does not have an effective control over the firm. Sinochem, who owns 37% of Pirelli, and Camfin (the second largest shareholder) have fought over the issue. They claim that the large Chinese presence at Pirelli is a threat to their ambitions to expand in the United States. Sinochem was the sole shareholder who voted against the approval of 2024's annual...

Oil & Gas

The union warns that more than 500 jobs are at risk as Stellantis switches oil suppliers in Italy

A trade union warned on Wednesday that more than 500 jobs were at risk after Stellantis, an Italian automaker, switched from Malaysia's Petronas brand to France's Total. Stellantis did not respond to a request for comment immediately. Petronas is the owner of the Selenia motor oil brand, an Italian supplier that was previously a part of Fiat and sold products under the name "Olio Fiat". Stellantis, a new company created in 2021 by the merger of Fiat-Chrysler and France's PSA (maker of Peugeot and Citroen vehicles), was formed from the merger between Fiat-Chrysler and France's PSA. Also included in the...

Oil & Gas Refining

Corriere CEO: Pirelli is in a risky situation if Sinochem does not sign a deal.

The CEO of the Pirelli group told Corriere della sera that the Italian tyre manufacturer is in a dangerous situation because its Chinese major shareholder Sinochem has rejected the company's proposal to resolve governance issues which could hamper its expansion in the United States. Pirelli, and its second largest shareholder, Italy's Camfin have stated that Sinochem's stake in the company poses a risk to Pirelli's ambitions of expanding into the U.S. where some legislators are against approving projects supported by Chinese companies. Pirelli's Chinese shareholders rejected the company's proposal earlier this month, despite it not being detailed. In an interview...

Electric Utilities

Enel's Italian shareholders have approved up to 3.5 billion euros in investor rewards

Enel, Italy's largest utility, approved on Thursday a plan for a share buyback and the option to cancel shares acquired without reducing capital. This allows Enel to reward its investors more. The board was given the authority to buy back up to 500,000,000 shares at a maximum cost of 3.5 billion Euros ($3.95 billion). Enel’s board will now decide when and how much to spend on the first tranche. Financial analysts say the utility controlled by the government could spend up to 1 billion euros on the first tranche of buybacks, in an effort to increase the value. Share buyback...

Oil & Gas

Ukraine wants G7 to lower price cap on Russian oil to $30 per barrel

Andriy Sibiha, the Ukrainian Foreign Minister, said that Ukraine wanted the Group of Seven Advanced Economies to lower its price limit on Russian oil shipped by sea to $30 per barrel. The G7's current price cap is $60 per barrel. This was imposed because of Russia's conflict in Ukraine. Sybiha, a journalist from Brussels, told reporters that the reasonable price cap for oil is 30 dollars. The European Union (EU) and Britain (UK) announced new sanctions against Russia on Tuesday. They said that the sanctions would target the "shadow fleet" in Moscow of oil tankers, financial firms and other companies...

Oil & Gas

After Russia-Ukraine meeting, defence stocks rise in the STOXX 600 index of Europe

European shares recovered from an early drop to close higher Thursday. Industrial stocks got the biggest boost while corporate earnings were in the spotlight. The STOXX 600 index for the continent was up by 0.6%. The majority of major regional indexes rose, with Germany up 0.7%. Russian President Vladimir Putin snubbed challenge To meet face-toface with Ukrainian president Volodymyr Zelenskiy in Turkey is to deal a serious blow to the prospects of a breakthrough for peace. Hensoldt, Rheinmetall and Leonardo all saw gains of 4% or more. The European aerospace and defence index rose 2.3%. Chris Beauchamp is the chief...

Oil & Gas

Pirelli: Talks over dispute with major shareholder ended without agreement

The Italian tyremaker Pirelli announced on Wednesday that the talks to repair relations with Sinochem, its largest shareholder in China, ended without any breakthrough. Pirelli, and its second-largest shareholder, Italy's Camfin have claimed that Sinochem's stake in the company is hindering Pirelli's ambitions for expansion in the United States. Some lawmakers there are against projects backed by Chinese firms. Pirelli stated in April that Sinochem no longer controls the company because of the Italian government's decision to "golden power" the company by 2023. Sinochem, however, denied this claim. Pirelli announced on Wednesday that "the proposals extended to Sinochem by Pirelli...

Oil & Gas Refining

Pirelli: Talks over dispute with major shareholder ended without agreement

The Italian tyremaker Pirelli announced on Wednesday that the talks to repair relations with Sinochem, its largest shareholder in China, ended without any breakthrough. Pirelli, and its second-largest shareholder, Italy's Camfin have claimed that Sinochem's stake in the company is hindering Pirelli's ambitions for expansion in the United States. Some lawmakers there are against projects backed by Chinese firms. Pirelli stated in April that Sinochem no longer controls the company because of the Italian government's decision to "golden power" the company by 2023. Sinochem, however, denied this claim. Pirelli announced on Wednesday that "the proposals extended to Sinochem by Pirelli...

Oil & Gas

Eni confirms buyback and cuts capital expenditure, despite posting a smaller-than-expected profit drop

Eni, the Italian energy company, reported Thursday a net profit drop of 11% for the first three months adjusted. This was less than expected. The adjusted net profit was 1.41 billion euro ($1.60 billion), down from 1.58 million euros in the first three months of 2024. However, it was above the analyst consensus of 1,15 billion euro compiled by the firm. As a result of lower oil prices, state-controlled group announced it would reduce its planned net capital expenditures this year below 6 billion euro as part several mitigation measures worth 2 billion euros. Eni has confirmed its distribution strategy,...

Oil & Gas

Financial Times - April 24

These are the most popular stories from the Financial Times. These stories have not been verified and we cannot vouch their accuracy. Headlines UK announces final approval for flagship carbon-capture project Davos founder accused by World Economic Forum of manipulating research Bailey: BoE must "take seriously" the risk of Trump tariffs to growth London Metal Exchange to introduce premium for green metals View the full article The UK government and Italian energy giant Eni will announce the final approval for a 38 mile pipeline that will collect carbon dioxide from industrial facilities around Liverpool and Manchester, and bury it off-shore....

Fossil Fuels

Fossil Fuels

Saipem, an energy contractor, posts a 39% increase in its second-quarter core profits

Saipem, an Italian energy contractor, reported on Wednesday a 39% increase in its core earnings for the second quarter and confirmed its outlook for this year. The adjusted earnings before interest taxes, depreciation, and amortization (EBITDA), between April and the end of June, were 413 million euro ($485 millions), beating an analyst consensus compiled by LSEG, which was 395 million euro. Saipem’s offshore, engineering and construction and business were the main drivers of growth during the second quarter. The group was able to finish orders from the first quarter. The amount of new contracts signed in this period was 2.2...

Oil & Gas Exploration

Italy and Algeria reach agreement on terrorism and migration during summit

Documents show that during an intergovernmental gathering in Rome, Italy and Algeria signed agreements on energy, telecommunications, and fighting terrorism. After a visit to Algiers in March by Antonio Tajani, the Italian Foreign Minister Giorgia Melons met with Algerian President Abdelmadjid Tebboune. Italy reported that Algeria was Rome's top trading partner in Africa with trade valued at almost 14 billion euro ($16,4 billion), while Rome's investment there amounts to 8.5 billion. A document that was seen by us states that a memorandum on combating terrorism and financing will be signed between Italy, Algeria and Tunisia. The document didn't specify which...

Climate Change

The top court of Italy says the climate case against Eni may continue

The top appeals court of Italy has ruled that a climate change case brought against Italian energy company Eni may continue. This was in response to a jurisdictional case raised by Greenpeace Italia, and ReCommon. The two organisations' judgement published on Tuesday affirms that Italian courts are competent to hear climate litigation, including cases involving emissions of Eni's subsidiaries abroad. In a joint press release, Greenpeace Italia said: "This historic decision confirms that climate Justice is possible in Italy." The organizations originally filed the suit in May 2023. They claimed that Eni’s decades-long fossil energy operations had contributed significantly to...

Crude Oil

Environment

Environment

Italy creates AI assistant that helps Italians assess landslide risk

A public research organization announced on Wednesday that climate change will likely lead to an increase in landslides. They also announced a new AI assistant which can help assess the risk. The environmental research and protection organization ISPRA stated that climate change increases the frequency of stronger thunderstorms, amplifies risks of landslides, and floods, and spreads them to areas which were previously less exposed. It said that the share of land at risk of serious landslides rose from 8.7% to 9.5% in 2021. About 2.2% or 1.3 million people live in this area. The institute stated that Italy remains one...

Pollution

Greece will draft urgent reforms in order to address water scarcity, says PM

The rapid decrease in water levels of Greece's reservoirs shows the water scarcity issues the country faces due to climate changes, said Prime Minister Kyriakos Mistiakos on Wednesday. Urgent reforms are required. Mitsotakis informed ministers that the water level in reservoirs that feed the capital Athens has dropped by 50%. The meeting was to discuss strategies to address water-related problems expected to arise in the next thirty years. Data showed that Europe was the continent with the fastest rate of warming. Last year, Greece, located on Europe's southernmost frontier, and using about 10 billion cubic meters of water per annum,...

Environment

Coffee maker Lavazza wants to delay the EU deforestation legislation

Lavazza, a coffee maker, called on Wednesday for a delay of one year in the implementation of EU's deforestation laws. The company said that its implementation would harm producers in Africa and Central America as well as drive up prices. Companies importing products like soya, beef, cacao, coffee and other related goods must prove that their supply chain does not contribute to deforestation. Otherwise, they will be fined. Giuseppe Lavazza, chairman of Lavazza, told reporters in London that he wanted the legislation to be delayed for an additional year, mainly for coffee. He said that the cocoa industry is better...

Climate Change

What if you prayed to stop climate change? Now there's a Catholic Mass to stop climate change

The Vatican published a new rite on Thursday that will allow priests celebrate a Mass exhorting Catholics to care for the Earth. This is the latest effort by the global Church of 1.4 billion members to combat global climate change. Since centuries, Catholic priests can celebrate special Masses in order to pray for their nation, to give thanks following a harvest, or to ask God to stop a natural catastrophe. Two Vatican offices have prepared a new "Mass for caring for Creation" that allows priests pray for Catholics to "lovely care" for the creation and to "learn how to live...

Environment

Allianz: Heatwaves could reduce GDP in Europe by 0.5 percentage points

A report by Allianz Research found that recent heatwaves in Europe could slow the economic growth of Europe by half a point by 2025. The report compared a day where temperatures exceeded 32 degrees Celsius with half a days worth of strikes. In Europe, the GDP loss ranges from 0.1 percent points in Germany to 1.4 percent points in Spain, where summer temperatures are approximately ten degrees warmer. Climate change increases the frequency and intensity for heatwaves, wildfires and droughts. This has far-reaching effects on the economy. Allianz Research reported that the global heatwaves have reduced GDP by 0.6 percentage...

Environment

Eni, a company based in Italy, has launched a demonstration plant for the recycling of mixed plastics

Versalis is the chemical division of the Italian energy company Eni. On Thursday, Versalis unveiled a demonstration facility based on a new technology it has developed for the chemical recycling mixed plastic waste. The "Hoop" technology allows for the conversion of mixed plastic waste to a feedstock which can then be used to create new plastic materials that are suitable for any application, including packaging intended to come into contact with food and pharmaceutical packaging. Eni is reorganizing its chemical division, which has been losing money. The European petrochemical industry is struggling with an oversupply. Eni will build a new...

Environment

Eni unveils plant to recycle plastic waste chemically

Versalis is the chemical division of the Italian energy company Eni. On Thursday, Versalis unveiled a new demonstration plant for the chemical recycling mixed plastic waste based on its proprietary technology. The technology, called 'Hoop,' allows for the conversion of mixed plastic waste to a material which can be used in order to create new plastic materials that are suitable for any application, including packaging intended to come into contact with food and pharmaceutical packaging. The move is part a larger strategy by the state-controlled company to revamp its losing chemical business. The high cost of energy and raw materials,...

Environment

Budget watchdog: Climate change will cost Italy more than 5% of its GDP by 2050

The budget watchdog of Italy said that extreme weather caused by climate change could cost the country more than 5% GDP in 2050. It added that global actions to reduce carbon emission could reduce the impact. In the past few years, flooding has devastated cities in Italy, killing dozens and causing billions in damages. Severe droughts have also damaged crops and livestock, particularly in less developed southern regions. Sicily, in 2021, also set the European record for heat with 48.8°C. In its annual report, the UPB said that the impact of extreme events on the public finances in Italy would...

Environment

US Senate Republicans propose eliminating fines on automakers for fuel efficiency

The U.S. Senate Republicans proposed Thursday eliminating fines for failing to meet Corporate average fuel economy rules as part a tax bill that would affect a broad range of industries. This is the latest step to make it easier for automakers build gas-powered cars. In 2018, Chrysler's parent company Stellantis, which is owned by Chrysler, paid nearly $400 million in penalties between 2016 and 2019. GM paid $128.2 millions in penalties between 2016 and 2017. The proposal makes the emission credits Tesla sells less valuable, as competitors won't be required to pay Tesla for meeting requirements. According to the lawmakers,...

Environment

UN: Conflict and climate will drive global hunger to record levels in 2024.

According to a U.N. release on Friday, acute food insecurity and malnutrition among children will continue to rise for the sixth consecutive year, in 2024. This will affect more than 295 millions people in 53 countries. This was a 5% rise on the levels of 2023, with 22,6% of people in the worst-hit areas experiencing hunger at crisis level or worse. The 2025 Global Report on Food Crises presents a shocking picture, said Rein Paulsen Director of Emergencies and Resilience for the U.N. Food and Agriculture Organization. He added that "conflicts, extreme weather and economic shocks" are often the primary...

Climate Change

Pope Leo criticised Trump and Vance. MAGA is not amused.

The first U.S. born pope did not hesitate to criticize President Donald Trump or Vice President JDVance on social media before he became pontiff. His comments drew him into the maelstrom that is divided U.S. political on Thursday, as he assumed leadership of the Catholic Church worldwide. Pope Leo XIV has a few posts on his X account, Robert Prevost (his name before he began the pontificate), that are not in favor of the Republican leaders. These posts attracted their own criticism from Trump's most ardent conservative supporters on Thursday, including activist Laura Loomer. The president expressed his pride in...

Climate Change

Pope Leo was critical of Trump and Vance before he became pontiff

The first U.S. Pope has some thoughts on the American President. According to posts made on the X page of Robert Prevost's account, which was his name before he became the head of the Catholic Church, Pope Leo XIV has a long history of criticizing the policies of President Donald Trump and Vice-President JD Vance. He reposted in February an article that had the headline "JDVance is wrong: Jesus does not ask us to rate our love for others." Prevost posted a comment in April when Trump met El Salvador's President Nayib Bukele to discuss the use of a prison,...