24 April 2013 18:16 [Source: ICIS news]
LONDON (ICIS)--The adjusted net loss for Eni chemicals subsidiary Versalis has narrowed by 63% in the first quarter of the year compared to the same quarter in 2012, the Italian oil and gas giant said on Wednesday.
The division’s adjusted net loss for the three months to the end of March 2013 was €63m ($85.7m) compared to a €169m loss during the same quarter in 2012, which the company attributed to cost efficiencies and optimisation measures, as well as slightly firmer pricing.
Versalis, which currently derives around 90% of its sales from Europe, is undergoing a campaign of expansion into emerging markets, reducing its reliance on lower-margin commodity chemicals, and increasing cracker operating rates to industry standard level.
Versalis is also ramping up its exposure to bio-based chemicals through a series of joint ventures with companies including Genomatica and Yulex Corporation. The company posted a loss of €485m in 2012.
“The R&M [refining and marketing] Division and Versalis, which both delivered strong improvements over the same period a year ago, will continue with their respective programs to drive a recovery in profitability,” said Eni CEO Paolo Scaroni.
On a group level, Eni’s first-quarter adjusted operating profit was €3.79bn, down 39% from the first quarter 2012, with profits primarily driven by the company’s exploration and production arm.
($1 = €0.77)
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections