Eni SpA (E - Free Report) recently inked a strategic agreement with Sonatrach to start up renewable energy projects in Algeria.
The first project – the construction of a 10 megawatt photovoltaic plant in the Bir Rebaa North (BRN) field – will be co-operated by the two companies through GSA (Sonatrach-Agip Groupement). The project work is expected to commence before the end of this year.
This project is part of the strategic cooperation agreement on renewable energies that the companies discussed about in Algeria. This is also a step toward other plans to be carried out by the two companies in the near future.
Eni’s agreement with Sonatrach is in sync with its long-term strategy of combining its traditional business and energy from renewable sources. The company will make the best use of all potential industrial, logistic, contractual and commercial synergies with its conventional activities to achieve its target.
Eni’s presence in Algeria dates back to 1981. Currently, the company participates in 32 mining permits. During 2010–2015, the company invested $11.5 billion for the development of hydrocarbons in Algeria, which signified about 26% of the total investment made by all international companies operating in the country. Therefore, it reinforced Eni’s position as the country’s first foreign partner. Currently, Eni's production in the country amounts to over 100,000 barrels of oil equivalent per day.
Eni currently carries a Zacks Rank #3 (Hold). Some better-ranked players from the energy sector are Enbridge Inc. (ENB - Free Report) , NGL Energy Partners LP (NGL - Free Report) and Murphy USA Inc. (MUSA - Free Report) . All these stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Enbridge posted a positive earnings surprise of 19.57% in the preceding quarter.
NGL Energy Partners has a mixed earnings surprise history. The partnership posted positive earnings surprise in two of the last four quarters. It reported a positive earnings surprise of 1480.0% in the preceding quarter.
In the last reported quarter, EQT Midstream delivered a positive earnings surprise of 6.72%. Coming to the earnings surprise history, EQT Midstream beat estimates in three of the last four quarters.
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