Stefano CaoCOO

Exploration & Production

2

Disclaimer

This presentation contains forward-looking statements regarding future events and the future results of Eni that are based on current expectations, estimates, forecasts, and projections about the industries in which Eni operates and the beliefs and assumptions of the management of Eni. In particular, among other statements, certain statements with regard to management objectives, trends in results of operations, margins, costs, return on equity, risk management and competition are forward-looking in nature. Words such as ‘expects’, ‘anticipates’, ‘targets’, ‘goals’, ‘projects’, ‘intends’, ‘plans’, ‘believes’, ‘seeks’, ‘estimates’, variations of such words, and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict because they relate to events and depend on circumstances that will occur in the future. Therefore, Eni’s actual results may differ materially and adversely from those expressed or implied in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, economic conditions globally, the impact of competition, political and economic developments in the countries in which Eni operates, regulatory developments in Italy and internationally and changes in oil prices and in the margins for Eni products. Any forward-looking statements made by or on behalf of Eni speak only as of the date they are made. Eni does not undertake to update forward-looking statements to reflect any changes in Eni’s expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based. The reader should, however, consult any further disclosures Eni may make in documents it files with the US Securities and Exchange Commission.

3

Production Trend

Reserves

Capex

Exploration and Development

2005 Highlights

4

Production Growthkboe/d

1,737

1,624

1,8061,704

3226

1000

1100

1200

1300

1400

1500

1600

1700

1800

4Q 04 4Q 05 2004 2005

+7.5% +8.9%

+6.0% +7.0%

44.0 56.9 38.2 54.4Brent $/bl

PSA effect Excluding Psa effectReported1$/bl: ~ 2 kboe/d

Stronger growthin

higher price scenario

5

2005 Production Contributionkboe/d

237

1,737

1,624

-32 -10

45

-127

2004 PSA HurricaneGoM

Depletion Growth Start-ups 200520052004

Gross Operated2,466

6

Main Start-ups and Exploration Discoveries

• ALGERIARod 403 D (1Q05 - Op.)

• ANGOLABomboco/Sanha Cond. (2Q05)Kizomba B (3Q05)Belize Benguela (1Q06)

• AUSTRALIALNG Bayu Undan (1Q06)

• CHINAHZ 19-2 (1Q05)

• CROAZIAIka/Ida (1Q06 - Op.)

• EGYPTBarboni (2Q05 - Op.)

• LIBYABahr Essalam (3Q05 - Op.)

• NIGERIABonga (4Q05)4&5 Train LNG (4Q05)

• NORWAYKristin (4Q05)Svale/Staer (4Q05)

• PAKISTANRehmat (1Q05)

• USAK-2 (2Q05 - Op).

• ALGERIAROM 6 (100% Op.)

• AUSTRALIAVesta 1 (40% Op.)

• BRAZILBelmonte 1 (100% Op.)

• CHINAHZ 25-4-1 (100% Op.)HZ 25-3-2 (33% Op.)

• EGYPTBelaym L SW 1 (100% Op.)Port Fouad MD 1 (100% Op.)

• INDONESIAAster 2&3 (62% Op.)

• LIBYAT1-NC 41 (100% Op.)

• NIGERIAAbo 8 (50% Op.)Bolia 3X (12.5%)Bonga N2 (12.5%)

• NORWAYGoliat/Barents Sea (65% Op.)

• PAKISTANDujan 1 (32%)

• TUNISIANour 1 (50%)

• USAAllegheny South (100% Op.)

Total exploration reserves 730 Mboe

2006 production contribution220 kboe/d

Start upsExploration discoveries

7

Organic Production Growth(kboe/d)

1,737>1,800

2005 2006 2009 2012

~4%>2,000

~3%

Brent: 54.5 $/bl 2006, 45 $/bl 2007, 34 $/bl 2008, 32 $/bl 2009, 2010+ 30 $/bl r.t.

CAGR

2008 TARGET

05-08 Plan at 25 $/bl2,000 kboe/d

proforma at 25 $/bl2,025 kboe/d06-09 Plan

8

Production Renewal(kboe/d)

Newproduction

19%

2005 2009

>2,000

1,737

NewProduction

Depletion Growth

Main fieldsBahr-EssalamBongaElephantKizomba BKristinSouth Pars 4&5Temsah

Main fieldsBBLTBlacktipBlock 208CorocoroKashaganMondoNikaitchuq &OoogurukNorth BardawilSaxi-Batuque

9

Proved Reserves

Proved reserves(Billion boe)

2002Reported

2003Reported

2005Proforma

Reservesreplacement (%)

Year-end Brent ($/bl)

0

10 0 0

2 0 0 0

3 0 0 0

4 0 0 0

5 0 0 0

6 0 0 0

7 0 0 0

8 0 0 0

2004Proforma

40

120

118

142

119

30 30 30 30 58.2

2005Reported

7.0 7.36.8

7.4 7.5

SEC rules

115 at 40 $/bl

10

Proved Reserves (cont.)

13.2 12.7 12.110.8

2002 2003 2004 200563%60%58%

53%

7.0 7.3 7.26.8

11.5 at 30 $/bl

Gas

Liquids

Proved reserves(Billion boe)

Life index (year)

Proved developedas % provedRRR Proved dev.

100% at 58 $/bl160% at 30 $/bl

SEC rules

11

Capex(Bln euro)

5.55.04.9

0.6

0

1

2

3

4

5

6

7

2004 2005 Yearly Avg2006-09

6.1

$/euro: 1.29 (average 2006-09)

OpportunitiesGas Projects

Integrated LNG Projects

Access to large oil reserves

Non conventional

2006-09 24.4 Bln euro

12

Total Capex

Exploration12%

Development69%

Opportunities10%

TransportSystem

5%LNG4%

(*) Including not consolidated investment of 0.9 Bln euro, mainly LNG

25.3

17.4 0.6 4.70.3

1.21.1

2005-08 Plan Transport LNG Opportunities Expl. Devel. 2006-09 Plan

Capex increase 7.9 Bln euroActivities 5.1Cost Inflation 2.8

2005-08Plan

2006-09Plan

25.3 Bln euro*

13

Exploration Strategy

Renewal of Portfolio

• New acreage in core areas

• Access to high potentialareas

Selective exploration

More funds

Capex(Million euro)

avg (06-09)avg (02-05)

720

760 M$760 M$ 930 M$930 M$

680

14

Renewal of Exploration PortfolioNew Acreage

2005 net new acreage ~ 44,000 kmq 93% operated 45% of total acreage renewed in the last three years

• ALGERIA1 block onshore

• ANGOLA1 block offshore

• EGYPT3 blocks onshore2 blocks offshore

• IRELAND4 blocks offshore

• LIBYA4 blocks onshore

• NIGERIA2 blocks offshore

• PAKISTAN4 blocks onshore 2 blocks offshore

• USA30 blocks deepwater

• ALASKA77 blocks onshore27 blocks offshore

• BRAZIL1 block offshore

• INDIA1 block onshore1 block deepwater

• SAUDI ARABIA1 block onshore

New areasCore areas

15

New Projects

Start-up Jan 2006 Jan 2006 2006-07

Angola

BBLT Bl. 14

Eni 20%

Australia

LNG - Bayu Undan

Eni 12%

Alaska

Oooguruk

Eni 30%

16

T C F P

T A TT A PT A F 1

T A F 2

A F P

K O U A L A L A F 1

L A F 2

P P N 2

P P N 1

P P C

M A H I A

E M V UE M V FE M E R A U D E

P U N T A N E R A

D J E N O

D J E N O T E R M I N A L

A W A

K i t i n a o N ’ K o s s a B l e n d ?

AWA & PALOUKOU

DJENO TERMINAL

New Projects (cont.)

Start-up 2007 2007 2007

Angola

Mondo Bl. 15

Eni 20%

Congo

Awa-Paloukou

Eni 100% Op.

Nigeria

Bonny LNG 6th train

Eni 10.4%

17

New Projects (cont.)

Start-up 2008 2008 2008

Algeria

Block 208

Eni 12.3%

Egypt

North Bardawil

Eni 60% Op.

Kazakhstan

Kashagan

Eni 18.5% Op.

Algeria

B208B405a

B404-B403a

B212

EKT

EMN

EMEEMK

HBN/HBNS

EOR IAN

Condensate export

to Gassi Touill

MLSE

West Barrier

D Island

South Barrier

Riser Island

18

BLACKTIP Platform

Existing PWC Plant in Darwin

WADAYE Gas Treatment Plant

16” x 108 km offshore line

Existing gas line from Amadeus Basin

New PWC onshore gas line –340 km.

New Projects (cont.)

Start-up 2009 2009 2009

Angola

Landana Tombua Bl. 14

Eni 20%

Australia

Blacktip

Eni 100% Op.

Norway - Barents Sea

Goliath

Eni 65% Op.

6916

7016

7116 7117

7017

7118

7018 7019 7020 7021

71217119 7120 7122 7123 71287124 7125 7126 7127 7129 713

703

Goliat Central/Main

Goliat South

GoliatSnØhvit

AlbatrossAskeladden

HAMMERFEST

2009 New Production

>350 kboe/d

19

North Caspian Sea PSA

Russia

Kazakhstan

Caspian Sea

KASHAGAN SWKASHAGAN SW

KALAMKASKALAMKAS

KAIRANKAIRAN

AKTOTEAKTOTE

KASHAGANKASHAGAN

D Island

Kashagan Experimental Program

40% of development completedCosts review in progress

• Weakening of US dollar• Increased costs for material and services • Lack of benchmark for offshore

Reconfiguration of wells and offshore facilitiesProduction start up: late 2008

Appraisal campaign

Kashagan: one well in East area, 4 wells in Neck and West area in 2006-08Kalamkas: 2 wells in 2006-08Kairan: 1 well in 2006Aktote: studies to appraise discovery

20

Transportation System

Iraq

CaspianSea

KASHAGAN

Samara Samara

Turkey

Uzbekistan

Kazakhstan

Russia

Georgia

UkraineMoldavia

Azerbaijan

CeyhanCeyhan

TbilisiTbilisi

BakuBaku

NovorossiyskNovorossiysk

To Baltic SeaTo Baltic Sea

MakhachkalaMakhachkala

Samsun

BTC (Eni 5%)

CPC (Eni 2%)

1.1 Bln euro capexin 2006-09

1.1 Bln euro capexin 2006-09

Bolashak

KurykKuryk

AtyrauAtyrau

AktauAktau

To ChinaTo China

Existing

New terminal/infrastructures

Shuttle vessels

Planned alternatives

Future alternatives

In progress

21

DAMIETTA

OMAN

PANIGAGLIA

SINES

REGANOSA

BRASS

SAGUNTO

BONNYT&T

CAMEROON

BONTANG

DARWIN

LNG Expansion for Long Term Growth(bcm)

Liquefaction Regassification

Equity production Main LNG routes

2000 2005 2009 2012E

0.9

7.79.6

>16

Liquefaction Capacity

LNG Sales

2000 2005 2009 2012E

2.97.0

~13

>20

Direct

In association

2000 2005 2009 2012E

2.03.8

11.5~15

2000 2005 2009 2012E

0.6

4.4

7.3

>12

Equity Gas Supply

Regassification Capacity

Appendix

23

1.9

1.5

Referred to Proved Reserves of key projects in three core areas; 5 bln $ of capex to be recovered

Reserves(Bln boe)

Revenues

IRR

Payouttime

+11.5 Bln $

+5%

-2 years

PRODUCTION

0

50

100

150

200

250

300

350

2006

2010

2015

2020

2025

2030

2035

Payout time: 3.9 years

Payout time: 1.9 years

(kboe/d)

Brent price 30 $/bl 58 $/bl

PSA - Price Effect

24

Performance Index

Proforma Brent 30 $/blReportedDiscovery and F&D costs net of Lasmo and Fortum acquisitions; F&D costs net of Buy Back (Iran)

Reserves Replac. (organic)(%)

Discovery Cost($/bl)

F&D Cost($/bl)

80

117127

116

137132

01-03 02-04 03-05

1.7

1.21.2

1.11.0

1.2

01-03 02-04 03-05

10.7

7.3

6.57.2

6.26.3

01-03 02-04 03-05

25

Focus on Unit CostsEni Benchmark Group

Benchmark Group includes BP, Chevron, ConocoPhillips, Eni, ExxonMobil, Shell, TotalCash Flow = Net Income + Exploration expenses + DD&A

0

1

2

3

4

5

6

00-02 '01-03 '02-04 '03-05

4.8

4.33.93.8

3.22.9

2.73.0

0

1

2

3

4

5

6

00-02 01-03 02-04 03-05

Opex

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

00-02 '01-03 '02-04 '03-05

11.8 11.7

13.4

16.1

3

6

9

12

15

18

00-02 01-03 02-04 03-05

Lifting Costs($/boe)

Cash Flow($/boe)

26

HR - Technology - HSE

Safety

Environment

Health

In compliance with most advanced International

Standards

Talent Management

Knowledge and Professional skill

International approach

Organization flexibility

To sustain growthZero Emission Well Testing

Drilling time

Targetdepth

Dep

th

Access to possibledeeper targets

Reduced time, costs and wastes

CRS StackCONVENTIONAL WELL TESTING

EMISSIONSEMISSIONS(HC(HC--GASGAS--COCO22-- HH22S)S)

ZERO EMISSIONSZERO EMISSIONS

UNCONVENTIONAL WELL TESTING

No Risk of Environmental impact

Risk of Environmental impact

Lean Profile

ENI’s Technology

TechnoloyHuman Resources HSE