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Mercuria Energy Group is a commodity trader. It trails Vitol, Trafigura and Gunvor in physical trading volumes, according to World Oil. Eni is an integrated Italian energy group.<\/p>\n
Eni and Mercuria have signed an agreement to create a 50-50 joint venture dedicated to trading energy commodities. The new entity will be headquartered in Geneva, according to World Oil.<\/p>\n
It will combine trading in oil, biofuels, gas and liquefied natural gas (LNG). It will also manage the related infrastructure and logistics rights. The entity will operate independently and deconsolidated, through a holding company with international hubs, Zonebourse adds.<\/p>\n
The alliance should help them compete better with Shell, BP, TotalEnergies or Vitol. Both groups' trading activities will be exclusive to the joint venture for the commodities concerned. No trader redundancies are planned, according to an Eni spokesperson.<\/p>\n
Mercuria chief executive Marco Dunand speaks of \"two highly complementary organisations\". For Stefano Pujatti, head of global trading at Eni, the deal should improve both partners' profitability.<\/p>\n
The joint venture is expected to be operational in 2027. The two groups will be equally represented in senior management. Eni does not plan to include its refineries.<\/p>\n