Eni Denies Speculations of Splitting Shares Held in Saipem

Italy’s Eni denied on Friday speculation of being close to splitting its stake in Saipem. The six-legged dog holds a 43% interest in Saipem.

‘With reference to a press article published today by a national newspaper, Eni denies speculations of splitting shares held in Saipem, which is a solution not being studied’ the Italian company wrote on Saturday. 

On Monday, Saipem is losing ground at the Milan Stock Exchange. After a positive week for its share and a fairly decent August, the communication published by Eni on Saturday is likely to come along with more news. A source told Natural Gas Europe that, by the end of the year, Eni is expected to unveil its strategy to maximise Saipem’s potentials.  

Saipem is an Italy-based company active as contractor in the oil and gas industry in remote areas and deepwater. Given the recent focus on exploration and new pipelines in the Arctic, the company has a great potential. 

However, Saipem reported serious difficulties over the last months. In August, for example, it had received notice that prosecutors in  Milan had opened an investigation into alleged international corruption regarding a contract the oil services group was awarded in Brazil in 2011. Additionally, in July, Saipem confirmed that Gazprom had canceled its 2.4 billion euro, or $2.6 billion, contract to build a pipeline under the Black Sea to Turkey. 

On the other hand, on August 20, Gazprom's CEO Alexei Miller and Eni's Head Claudio Descalzi pledged to further strengthen ties, ‘within the European and Italian gas market, especially with respect to the existing contracts.’