Only three oil majors are already aligned to comply with the GOALS indicated by theParis Agreement. Among these is the Italian ENI, together with TotalEnergies and Occidental Petroleum. Only these three majors out of a total of nearly 60 energy giants are in line with the path to limit global warming to + 1.5 ° C, according to the evaluation of the Transition Pathway Initiative (TPI), a ‘ global initiative led by asset owners evaluating companies’ readiness for the transition to a low carbon footprint.
Imperial Oil and Tatneft, on the other hand, were considered to be in line with the + 2 ° C path of the Paris Agreements, while all the others are destined to exceed these targets.
The TPI assessed the companies’ current emission levels as well as the strength of their emission reduction plans up to 2030 and 2050, and the likelihood that they will reach them with current corporate governance and investment approaches.
Fossil fuel producers around the world are coming under pressure from governments, investors and consumers to reduce greenhouse gas emissions by using cleaner energy sources to keep global warming limited to 1.5 degrees. But climate strategies vary from company to company and this makes them difficult to compare.
Plenitude is coming
Eni’s path towards a future as a sector leader in the energy transition will pass through Plenitude, a new company that will incorporate retail and renewable businesses and whose IPO is one of the most anticipated of the 2022. The new Eni entity is part of the company’s long-term strategy and commitment to be a decarbonised energy company focused on sustainability with a Net Zero goal by 2050.
Technical Analysis
After reaching the relative maximum on November 8 in the area of € 12.83, Eni seems to be losing strength in the last few sessions, especially after the red candle of November 19. The stock has in fact punctured a short-term static support on the downside 12,40 euro, a level that had previously supported prices at the beginning of the month and is now functioning as a resistance. The technical situation remains favorable on the stock which seems to want to recover, at least in the medium term, the pre-collapse prices caused by the pandemic in March 2020. As long as Eni remains above the trendline built from 29 October 2020, the situation on the stock remains set on the upside and the price position above both the 200 and 50-period moving average is reported. On the upside, the levels to be monitored are the 12.40 euro resistance and the relative highs of 12.80 while, in the event of a decline, the first support from which prices can restart is in the 12 euro area and then 11.41. There has been a slowdown in trading with decreasing volumes and a “neutral” position of the RSI which has been in zone 50 for several sessions, showing short-term uncertainty on the stock.