Eni ends 2020 with liquidity reserve of US$ 24.7 billion
Major Italian oil business, Eni MEDICAL SPA, ended 2020 with a liquidity reserve position of roughly $24.7 billion (EUR20.4 billion).
The liquidity reserve of Eni as at December 31, 2020 consisted of $11.39 billion (EUR9.4 billion) of money and money equivalents, $6.66 billion (EUR5.5 billion) of easily non reusable securities, $242 million (EUR0.2 billion) of short-term funding receivables and $6.42 billion (EUR5.3 billion) of dedicated undrawn credit centers.
Presenting the business’s 2020 outcomes and Strategic Plan for 2021 to 2024, Chief Executive Officer (CEO) for Eni, Claudio Descalzi, presumed Eni is well geared up to endure unsure trading environments in 2021.
Mr Descalzi associated Eni’s strong liquidity reserve position to definitive actions taken by management to protect the business’s liquidity and to reinforce the balance sheet, while intending to increase the success of its operations and monetary durability in the face of the COVID-19 crisis.
“In the space of a few months after the outbreak of the pandemic we reduced capital spending and limited the impact of the sharp drop in crude oil prices on the cash flow, strengthening our liquidity and preserving the robustness of our balance sheet. The fourth quarter operating profit and net profit outperformed estimates, achieved through a 44 $/barrel oil price, underpinned by our operating cash generation and the effectiveness of our response to the crisis,” he mentioned.
Eni through take advantage of– loaning– had the ability to fund its capital investment for 2020 with an adjusted capital of $8.12 billion (EUR6.7 billion) and a surplus of $2.06 billion (EUR1.7 billion).
The $8.12 billion (EUR6.7 billion) adjusted capital falls listed below a preliminary $13.93 billion (EUR11.5 billion) anticipated capital at a Brent cost of $60/barrel, credited to lower hydrocarbon rates and the effect of COVID-19.
Eni in spite of ending 2020 with a strong liquidity reserve tape-recorded a bottom line of $869 million.