BAKU, Azerbaijan, July 27. In the first half of 2023, the total investments of Italian Snam reached 734 million euros, compared to 955 million euros in the same period of 2022, which includes the acquisition of FSRU Golar Tundra, Trend reports.
As such, the company’s investments dropped by 23.1 percent.
Among these investments, 56 percent were dedicated to projects aligned with the Sustainable Development Goals, while 37 percent were in accordance with the European Taxonomy.
A significant portion of the investments, totaling 714 million euros, went into capital expenditure, reflecting a notable increase of 177 million euros (33 percent) compared to the first half of 2022. This rise was primarily attributed to higher spending in the gas infrastructure business, particularly for the upgrading of the Piombino terminal. Within capital expenditure, allocations were made to the transport segment (466 million euros), regasification (100 million euros), and storage (91 million euros). Additionally, the energy transition businesses received investments of 49 million euros.
Furthermore, the acquisition of 49.9 percent of SeaCorridor amounted to an additional 409 million euros, forming a significant part of the total investments.
The cash flow from operating activities reported a negative value of 719 million euros, mainly due to the cash absorption related to expected developments in working capital associated with balancing activities. Considering the cash requirements for investments, which amounted to 1,024 million euros (including 780 million euros in capital expenditure and 265 million euros connected with equity investments, net of cash in from a 4.2 percent disposal in Industrie De Nora S.p.A share capital), the free cash flow showed a negative value of -1,743 million euros.
The net financial debt, which includes equity cash flow of 919 million euros arising from the payment of the 2022 dividend to shareholders and non-monetary changes, witnessed a significant increase of 2,686 million euros compared to December 31st, 2022, reaching 14,609 million euros.
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