XML 108 R37.htm IDEA: XBRL DOCUMENT
v3.19.1

Costs | 12 Months Ended
--- | ---
Dec. 31, 2018
Disclosure Of Operating Expenses [Abstract] |
Disclosure of expenses [text block] | 29 Costs Purchase, services and other
(€ million) |  | 2018 |  | 2017 |  | 2016
Production costs - raw, ancillary and consumable materials and goods |  |  | 41,125 |  |  |  | 35,907 |  |  |  | 27,783 |
Production costs - services |  |  | 10,625 |  |  |  | 12,228 |  |  |  | 12,727 |
Operating leases and other |  |  | 1,820 |  |  |  | 1,684 |  |  |  | 1,672 |
Net provisions for contingencies |  |  | 1,120 |  |  |  | 886 |  |  |  | 505 |
Expenses for price variation on overliftling and underlifting operations |  |  |  |  |  |  | 145 |  |  |  | 240 |
Other expenses |  |  | 1,130 |  |  |  | 931 |  |  |  | 666 |
|  |  | 55,820 |  |  |  | 51,781 |  |  |  | 43,593 |
less: |  |  |  |  |  |  |  |  |  |  |  |
- capitalized direct costs associated with self-constructed assets - tangible assets |  |  | (192 | ) |  |  | (224 | ) |  |  | (297 | )
- capitalized direct costs associated with self-constructed assets - intangible assets |  |  | (6 | ) |  |  | (9 | ) |  |  | (18 | )
|  |  | 55,622 |  |  |  | 51,548 |  |  |  | 43,278 |
Purchase, services and other charges include costs of geological and geophysical studies for € 287 million (€ 273 million and € 204 million in 2017 and 2016 , respectively) and operating leases for € 872 million (€ 1,022 million and € 566 million in 2017 and 2016 , respectively). Costs incurred in connection with research and development activities expensed through profit and loss, as they did not meet the requirements to be recognized as long-lived assets, amounted to €197 million (€185 million and €161 million in 2017 and 2016, respectively). Royalties on the extraction of hydrocarbons amounted to €1,043 million (€674 million and €572 million in 2017 and 2016, respectively). Future minimum lease payments expected to be paid under non-cancelable operating leases are provided below:
(€ million) |  | 2018 |  | 2017 |  | 2016
To be paid: |  |  |  |  |  |  |  |  |  |  |  |
- within 1 year |  |  | 776 |  |  |  | 883 |  |  |  | 593 |
- between 2 and 5 years |  |  | 1,653 |  |  |  | 1,710 |  |  |  | 1,040 |
- beyond 5 years |  |  | 1,524 |  |  |  | 1,939 |  |  |  | 785 |
|  |  | 3,953 |  |  |  | 4,532 |  |  |  | 2,418 |
Operating leases primarily comprised long-term rentals of FPSO vessels, offshore drilling rigs, time charter and land, service stations and office buildings. Such leases may not include renewal options. There are no significant restrictions provided by these operating leases that may limit the ability of Eni to pay dividends, use assets or take on new borrowing. Additions to provisions for contingencies net of reversal of unused provisions related to net addition for litigations amounting to €101 million (net provisions of  €375 million and €55 million in 2017 and 2016, respectively) and net additions for environmental liabilities amounting to €266 million (net provisions of €200 million and €198 million in 2017 and 2016, respectively). More information is provided in note 20 — Provisions for contingencies. Net provisions for contingencies by segment are disclosed in note 35 — Segment information and information by geographical area. Payroll and related costs
(€ million) |  | 2018 |  | 2017 |  | 2016
Wages and salaries |  |  | 2,409 |  |  |  | 2,447 |  |  |  | 2,491 |
Social security contributions |  |  | 448 |  |  |  | 441 |  |  |  | 445 |
Cost related to employee benefit plans |  |  | 220 |  |  |  | 113 |  |  |  | 81 |
Other costs |  |  | 170 |  |  |  | 162 |  |  |  | 202 |
|  |  | 3,247 |  |  |  | 3,163 |  |  |  | 3,219 |
less: |  |  |  |  |  |  |  |  |  |  |  |
- capitalized direct costs associated with self-constructed assets - tangible assets |  |  | (142 | ) |  |  | (202 | ) |  |  | (215 | )
- capitalized direct costs associated with self-constructed assets - intangible assets |  |  | (12 | ) |  |  | (10 | ) |  |  | (10 | )
|  |  | 3,093 |  |  |  | 2,951 |  |  |  | 2,994 |
Other costs comprised provisions for redundancy incentives of  € 37 million (€ 18 million and € 47 million in 2017 and 2016 , respectively) and costs for defined contribution plans of  € 95 million (€ 90 million and € 83 million in 2017 and 2016 , respectively). Cost related to employee benefit plans are described in note 21 — Provisions for employee benefits. Costs with related parties are disclosed in note 36 — Transactions with related parties. Average number of employees The Group average number and breakdown of employees by category is reported below:
|  | 2018 |  | 2017 |  | 2016
(number) |  | Subsidiaries |  | Joint operations |  | Subsidiaries |  | Joint operations |  | Subsidiaries |  | Joint operations
Senior managers |  |  | 999 |  |  |  | 17 |  |  |  | 995 |  |  |  | 17 |  |  |  | 1,018 |  |  |  | 18 |
Junior managers |  |  | 9,095 |  |  |  | 84 |  |  |  | 9,089 |  |  |  | 98 |  |  |  | 9,160 |  |  |  | 109 |
Employees |  |  | 16,220 |  |  |  | 361 |  |  |  | 16,721 |  |  |  | 371 |  |  |  | 17,180 |  |  |  | 384 |
Workers |  |  | 5,259 |  |  |  | 283 |  |  |  | 5,659 |  |  |  | 285 |  |  |  | 5,703 |  |  |  | 294 |
|  |  | 31,573 |  |  |  | 745 |  |  |  | 32,464 |  |  |  | 771 |  |  |  | 33,061 |  |  |  | 805 |
The average number of employees was calculated as the average between the number of employees at the beginning and the end of the period. The average number of senior managers included managers employed in foreign countries, whose position is comparable to a senior manager’s status. Long-term monetary incentive plan for the managers of Eni On April 13, 2017 , the Shareholders Meeting approved the Long-Term Monetary Incentive Plan 2017 – 2019 and empowered the Board of Directors to execute the Plan by authorizing it to dispose up to a maximum of 11 million of treasury shares in service of the Plan. The Long-Term Monetary Incentive Plan 2017 – 2019 provides for three annual awards for the years 2017 , 2018 and 2019 and is intended for the Chief Executive Officer of Eni and for the managers of Eni and its subsidiaries who qualify as “senior managers deemed critical for the business”, selected among those who are in charge of tasks directly linked to the Group results or of strategic interest to the business. The Plan provides the granting of Eni shares for no consideration to eligible managers after a three-year vesting period under the condition that they would remain in service until vesting. Considering that this incentive falls within the category of employee compensation, in accordance with IFRS, the cost of the plan is determined based on the fair value of the financial instruments awarded to the beneficiaries and the number of shares that will be granted at the end of the vesting period; the cost is accruing along the vesting period. The number of shares that will be granted at the end of the vesting period is conditioned on a 50 - 50 basis to actual results of two performance parameters against preset targets: (i) a market condition in terms of Total Shareholder Return (TSR) of the Eni share compared to the TSR of the FTSE Mib index of the Italian Stock Exchange Market, and to a group of Eni’s competitors (“Peers Group”) 28 and the TSR of their corresponding stock exchange market 29 ; (ii) growth in the Net Present Value (NPV) of proved reserves benchmarked against the Peer Group. Depending on the performance of the parameters mentioned above, the number of shares that will vest after three years may range between 0 % and 180 % of the initial award. Furthermore , 50% of the shares that will eventually vest is subject to a lock-up clause of one year after the vesting date. At the grant date, the number of shares awarded was 1,517,975 and 1,719,061 respectively in 2018 and in 2017 ; the weighted average fair value of the shares at the same date was € 11.73 and € 7.99 per share. The determination of the fair value was calculated by adopting specific valuation techniques regarding the different performance parameters provided by the plan (the stochastic method for the market condition of the plan and the Black-Scholes model for the component related to the NPV of the reserves), taking into account the fair value of the Eni share at the grant date (€ 14.246 per share in 2018 ; € 13.81 per share in 2017) , reduced by dividends expected along the vesting period (5.8 % of the share price at vesting date), the volatility of the stock (20 % for attribution 2018 ; 25 % for attribution 2017) , the forecasts for the performance parameters, as well as the lower value attributable to the shares considering the lock-up period at the end of the vesting period. In 2018 , the costs related to the long-term monetary incentive plan 2017 – 2019 , recognized as a component of the payroll cost, amounted to € 5.1 million (€ 0.4 million in 2017) with a contra-entry to equity reserves. Compensation of key management personnel Compensation (including contributions and ancillary costs) of personnel holding key positions in planning, directing and controlling the Eni Group subsidiaries, including executive and non-executive officers, general managers and managers with strategic responsibilities in service during the year consisted of the following:
(€ million) |  | 2018 |  | 2017 |  | 2016
Wages and salaries |  |  | 27 |  |  |  | 25 |  |  |  | 26 |
Post-employment benefits |  |  | 2 |  |  |  | 2 |  |  |  | 2 |
Other long-term benefits |  |  | 10 |  |  |  | 9 |  |  |  | 12 |
Indemnities upon termination of employment |  |  |  |  |  |  | 7 |  |  |  | 4 |
|  |  | 39 |  |  |  | 43 |  |  |  | 44 |
Compensation of Directors and Statutory Auditors Compensation of Directors amounted to €9.6 million, €14.5 million and €7.1 million for 2018, 2017 and 2016, respectively. Compensation of Statutory Auditors amounted to €0.604 million, €0.760 million and €0.738 million in 2018, 2017 and 2016, respectively.
| 28 | The group consists of the following oil companies: Anadarko, Apache, BP, Chevron, ConocoPhillips, ExxonMobil, Marathon Oil, Royal Dutch Shell, Statoil and Total.
| 29 | The performance condition connected with the TSR in accordance with the international accounting standards represents a so-called market condition.
Compensation included emoluments and social security benefits due for the office as Director or Statutory Auditor held at the parent company Eni SpA or other Group subsidiaries, which was recognized as a cost to the Group, even if not subject to personal income tax.

X
- Definition Disclosure Of Operating Expenses + References No definition available. + Details
Name: | e_DisclosureOfOperatingExpensesAbstract
Namespace Prefix: | e_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of expenses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Name IAS -Number 1 -IssueDate 2018-01-01 -Paragraph 10 -Subparagraph e -URI http://eifrs.ifrs.org/eifrs/XBRL?type=IAS&num=1&date=2018-03-01&anchor=para_10_e&doctype=Standard -URIDate 2018-03-16 + Details
Name: | ifrs-full_DisclosureOfExpensesExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration