Snam: reasons for investments
Snam: a strong company with a unique proposition
- A European leader in energy infrastructure. Snam is the largest in Europe in terms of the size of its transmission network (over 41,000 km, including international assets) and in terms of natural gas storage capacity (around 20 billion cubic metres, including international assets) and is one of the largest continental operators in regasification with a total pro quota regasification capacity of around 8.5 bcm annually.
- Disciplined capital deployment approach based on financial efficiency and prudent balance sheet management. Snam has a plan to invest €8.1 bn in the period 2021-2025 (ca+ €700 mln vs 2020-24 Plan). The plan includes the maintenance, upgrade and development of its infrastructure, net zero investments and the acceleration of the energy transition. In particular, €5.6 bn will be invested in the energy networks in Italy; €1.2 bn in energy storage and €1.3 bn in enerfgy transition activities.
- Well positioned for the future energy system. Over the last years, Snam has repositioned to be a key player in the major transformation underway in the energy sector. The track record in implementing and managing projects in natural gas transport and storage, new skills in green gases and energy transition new trends, an increased international footprint in promising areas also for integrated greenfield projects, the large number of partnerships with different investors across different geographies, coupled with a strategy focused on ESG, will be key to develop the energy system of the future, competitive, safe and with zero net emissions. Snam will be able to take advantage of new and relevant development opportunities throughout the next decisive decade, in which a strong acceleration of the energy transition is required to achieve net zero targets with rising investments; more specifically, in energy transport and storage infrastructure, as well as in projects along the entire green gases value chain. For this reason, in addition to the plan to 2025, which includes investments already in the money today, Snam has developed a longer-term vision: up to 23 billion euros of weighted opportunities in networks, energy storage and green energy projects over the 2021-2030 period.
- Excellence in project execution. Proven capabilities in project planning, management and construction. Impressive track record in delivering on time and on budget every year.
- Not only a domestic player. Through its associates Snam operates in Albania (AGSCo), Austria (TAG, GCA), China (Snam Gas & Energy Services Beijing), France (Teréga), Greece (DESFA) and the United Kingdom (Interconnector UK). Snam is also one of the main shareholders of TAP (Trans Adriatic Pipeline), the final section of the Southern Energy Corridor. In 2020 Snam further strengthened its position as leader in energy infrastructures at an international level, thanks to the acquisition of the stake in ADNOC Gas Pipelines, while in 2021 Snam and Eni have entered into an agreement for the sale by Eni to Snam of a 49.9% stake in its subsidiaries operating TTPC and TMPC gas pipelines connecting Algeria to Italy. Finally in december 2021 has finalised the acquisition from Thai energy company PTTER of a 25% stake in the East Mediterranean Gas Company (EMG), owner of the Arish-Ashkelon gas pipeline (part of the so-called “Peace Gas Pipeline”) connecting the Israeli terminal of Ashkelon to the Egyptian receiving station of Al-Arish.
- Operating in regulated businesses it provides its shareholders with long-term visibility on results and a low risk profile (92% of Snam’s FY20 revenues derive from activities regulated). It was developed over time high quality relationship and constructive dialogue with Regulatory Bodies.
- Snam's business model is based on sustainable growth, transparency, the promotion of talents and diversity and the social development of local areas also through the initiatives of Fondazione Snam.
DIVIDEND PER SHARE (€ cent - for the period)
08 April 2022 - 09:41 CEST