Eni profits more than double thanks to renegotiated long-term gas contracts

MILAN – Italian oil and gas company Eni says its second quarter earnings more than doubled thanks to its successful renegotiation of long-term gas supply contracts.

Eni said Thursday that net profit was 658 million euros, up from 275 million euros in the same period last year.

CEO Claudio Descalzi said that “Eni reported a significant increase in cash flow” due to deals for oil price cuts with Gazprom and Statoil. That helped lower sales prices and offset weaker demand in Eni’s home Italian market.

Net sales dropped 2.7 per cent to 27 billion euros from 28 billion euros. Oil and gas production was 1.58 million barrels of oil equivalent a day, in line with a year earlier.