Advertisement
UK markets closed

  • FTSE 100

    7,895.85
    +18.80 (+0.24%)
     

  • FTSE 250

    19,391.30
    -59.37 (-0.31%)
     

  • AIM

    745.67
    +0.38 (+0.05%)
     

  • GBP/EUR

    1.1614
    -0.0069 (-0.59%)
     

  • GBP/USD

    1.2370
    -0.0068 (-0.55%)
     

  • Bitcoin GBP

    51,935.18
    +948.55 (+1.86%)
     

  • CMC Crypto 200

    1,382.53
    +69.91 (+5.32%)
     

  • S&P 500

    4,958.67
    -52.45 (-1.05%)
     

  • DOW

    37,881.26
    +105.88 (+0.28%)
     

  • CRUDE OIL

    83.13
    +0.40 (+0.48%)
     

  • GOLD FUTURES

    2,410.30
    +12.30 (+0.51%)
     

  • NIKKEI 225

    37,068.35
    -1,011.35 (-2.66%)
     

  • HANG SENG

    16,224.14
    -161.73 (-0.99%)
     

  • DAX

    17,737.36
    -100.04 (-0.56%)
     

  • CAC 40

    8,022.41
    -0.85 (-0.01%)
     
Property:

11 beautiful homes with glorious garden rooms

Investing in a home with a garden room will enable you to enjoy your outside space whatever the weather

Eni (E) Revises 2020 Capex Downward on Oil Price Weakness

Zacks Equity Research

Eni S.p.A E announced that it has downwardly revised 2020 capital budget in the wake of a weak crude pricing scenario.

The company has decided to lower capital budget for 2020 by roughly €2 billion, representing 25% of the total budget. The integrated energy firm will also slash its planned capital spending for 2021 by roughly €2.5-€3 billion, representing 30-35% of the budget. In addition to capital spending reduction, the company has also decided to cut operating expenditure for 2020 by almost €400 million.

With oil price now in the bearish territory since the coronavirus pandemic is hurting global energy demand, the outlook for exploration and production business seems gloomy. Thus, energy firms with significant presence in upstream businesses are restricting operational activities and thereby reducing capital budget. Other energy firms that followed suit are Cimarex Energy Co. XEC, Pioneer Natural Resources Company PXD and EOG Resources Inc. EOG.

Given lower spending, the company projects 2020 production volumes to decline year over year. In 2020, Eni expects to produce daily oil equivalent volumes in the range of 1.8-1.84 million barrels per day, indicating a decline from the prior-year’s 1.87 million barrels. The average annual production volume estimate for 2021 is the same as 2020, Eni added.

ADVERTISEMENT

Importantly, the company believes that the measures taken so far will help it maintain strong balance sheet and dividend payments amid the coronavirus pandemic.

Eni SpA Price

Eni SpA Price
Eni SpA Price

Eni SpA price | Eni SpA Quote

Headquartered in Rome, Italy, Eni currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Just Released: Zacks’ 7 Best Stocks for Today

Experts extracted 7 stocks from the list of 220 Zacks Rank #1 Strong Buys that has beaten the market more than 2X over with a stunning average gain of +24.5% per year.

These 7 were selected because of their superior potential for immediate breakout.

See these time-sensitive tickers now >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Pioneer Natural Resources Company (PXD) : Free Stock Analysis Report
 
EOG Resources, Inc. (EOG) : Free Stock Analysis Report
 
Eni SpA (E) : Free Stock Analysis Report
 
Cimarex Energy Co (XEC) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research