2019 Facts&Figures

Page 1

PROCESSING ENERGY 2019 FACTS & FIGURES



CONTENTS

1

A YEAR OF TRANSFORMATION 4 YEAR IN REVIEW 6 GROUP HIGHLIGHTS

3

THE FORMULA OF OUR SUCCESS 60 OPEN INNOVATION WITH TECHNOLOGICAL PORTFOLIO

8 ONE-YEAR TIMELINE

62 DIGITAL TRANSFORMATION 66 SUSTAINABILITY 71

PEOPLE

74 HEALTH, SAFETY & ENVIRONMENTAL CULTURE

2

TRANSFORMING ENERGY 14

OUR PURPOSE

16

OUR ENTREPRENEURIAL VALUES

18

BUSINESS MODEL

20 OUR STRATEGY

4

VALUE-DRIVEN GROWTH

22 LEADERSHIP AND MARKET SHARE

80 GOVERNANCE

24 OUR PRESENCE IN THE WORLD

84 FINANCIAL HIGHLIGHTS

26 OUR BUSINESS OFFERING

86 SHAREHOLDER NOTEBOOK


1 YEAR OF TRANSFORMATION 4 YEAR IN REVIEW 6 GROUP HIGHLIGHTS 8 ONE-YEAR TIMELINE

2

PROCESSING ENERGY


The adaptation to new environments is the great engine of evolution. That’s true not only in nature but also in that great, always mutating, emerging, complex system called “market”. 2019 has seen us thrive in the midst of an epic energy transition thanks to the development of our green chemistry vehicle NextChem, the completion of our digital transformation’s first phase and the execution of innovative oil & gas projects around the world, leveraging technologies to solve new problems, increasing stakeholder value, involving local communities and tying business growth to environmental sustainability. Companies need to be extremely adaptive when the vicissitudes of world markets shift value creation to different production chains, linked to different energy sources, channeled through different platforms. Resilience, innovation and entrepreneurship are the only tools a company can rely on when the market presents us with the challenges and opportunities of nothing less than a 4th industrial revolution. With our multiple roles as technologists, contractors and entrepreneurs, we are uniquely equipped to navigate through the historical shift from a carbon-intensive, centralized energy environment to a low-carbon, decentralized energy ecosystem.

2019 FACTS & FIGURES

3


Y E A R O F T R A N S F O R M AT I O N

YEAR IN REVIEW How was 2019 in terms of Maire Tecnimont adapting to the energy transition? We are not just adapting; we are active drivers of positive change. We give our clients the tools to realize the energy transition, especially in terms of providing innovative, green solutions, turning waste into new chemicals, ecological biofuels or upcycling plastics. We strongly believe companies like Maire Tecnimont play a pivotal role in leading change toward a sustainable future, both in mindset and in market dynamics.

Fabrizio Di Amato Maire Tecnimont Chairman and Major Shareholder

BOLDNESS AND INNOVATIONS ARE CRUCIAL

” 4

PROCESSING ENERGY

What are the key ingredients to be drivers of sustainable change? Entrepreneurship, a constant dialogue with academia and stakeholders are crucial in developing environmentally, socially and financially sustainable opportunities, both for us and the community at large. A business-as-usual mindset is not viable anymore. There is no playbook, no instruction book we can refer to for guidance on the best mix of measures to make the energy transition happen fast enough, sustainably enough, while at the same time safeguarding people’s jobs, dignity and participation. Boldness and innovations are crucial. In today’s extremely challenging context, an entrepreneurial attitude is more necessary than ever. What about the balance between your local presence and international dimension? The benefits from the cross-fertilization I just described would be weaker without the awareness of the impact we have in the community. Being good corporate citizens means to us giving something back to society, particularly to the local communities that host our projects. We have an international disposition by default, but local communities must be part of the equation, both in terms of environmental benefits and social participation. We do a good job and we grow when local communities grow and prosper with us.


Y E A R O F T R A N S F O R M AT I O N

How does 2019 sum up from your point of view? Large investments returned to the scene, and, although it was a very competitive and complex environment, we were able to reach two essential milestones in our growth: the development of our green-tech company NextChem and the completion of our digital transformation. Both these landmark achievements are crucial in ensuring we will play a key role in accelerating the energy transition. In terms of group results, everything went according to the plan; we had a strong order intake fueling our pipeline as never before, guaranteeing a steady backlog, which will lead to solid revenues over the next few years. Our EBITDA was 209.9 million euros and group net income 115.1 million euros. What about innovation? We are far ahead in terms of our pioneering green technologies and in our advanced models of collaboration with both clients and suppliers. Our technological advances in green chemistry, our new organizational interface with our partners along the value chain, and last but not least, our entrepreneurial spirit in orchestrating the technical and social elements of a truly transformative digital humanism, make us an effective catalyst for both innovation and sustainable growth. What does excite you the most? The challenges that difficult problems pose. The energy transition is a mountain we can’t wait to climb, we want to get on top of it to reach a sustainable world on the other side, with entrepreneurship and inventiveness fueling our sacred fire for better solutions and better lives. The exhilarating gratification of turning someone’s unsolvable technical dilemma into an orderly and elegant solution is what moves us.

Pierroberto Folgiero Maire Tecnimont Group CEO and Managing Director

WE WERE ABLE TO REACH TWO ESSENTIAL MILESTONES IN OUR GROWTH

” 2019 FACTS & FIGURES

5


Y E A R O F T R A N S F O R M AT I O N

GROUP HIGHLIGHTS

PRESENCE We are a truly international company, with a strong local presence, a constantly expanding geographical footprint and a diversified business strategy across different sectors.

~45

50

COUNTRIES

OPERATING COMPANIES

€3.3 bn

€6.4 bn

WHERE MAIRE TECNIMONT OPERATES

FINANCIAL With many signed projects in our pipeline, new orders steadily coming in and a history of healthy revenues we offer an appealing value proposition to the discerning investor.

REVENUES

BACKLOG

€3.2 bn ORDER INTAKE

TECHNOLOGY The capacity to translate cutting edge research into technological solutions solving industrial challenges is our quintessence: we facilitate the energy transition through applied innovation.

~1,500

5

PATENTS

INNOVATION

2011

B RATING

CENTERS

57

INNOVATION

PROJECTS

SUSTAINABILITY We don’t just talk about sustainability; we walk the talk by continuously striving to offer new solutions and technology answers to make possible an economic development today that doesn’t threat the environmental safeguard and the social equality tomorrow.

6

PROCESSING ENERGY

OFFICIALLY JOINED THE

“UNITED NATIONS GLOBAL COMPACT”

ITALY FOUNDING MEMBER

CARBON DISCLOSURE PROJECT

100%

SUPPLIERS SCREENED ON ENVIRONMENTAL AND SOCIAL CRITERIA


Y E A R O F T R A N S F O R M AT I O N

PEOPLE The depth of our engineering and technological expertise is matched only by the cultural breadth of our people. We thrive on both complex challenges and the diversity of the people who tackle them.

+3,000

~6,350 EMPLOYEES

PROFESSIONALS

OUT OF WHICH

IN ELECTRICAL AND INSTRUMENTATION

3,154

79

ENGINEERING NATIONALITIES DEGREE

+14%

MIDDLE MANAGEMENT POSITIONS OCCUPIED BY WOMEN VS 2018

SUPPLY CHAIN The creation of value goes only so far as the supply chain allows. Bad supply chain, poor value. Our strong, resilient, locally-based and flexible supply chain makes it the best transmission belt of our value.

€2.1 bn

TOT GOODS AND SERVICES

26,000+ SUPPLIERS

52%

GOODS AND SERVICES

ORDERED IN THE YEAR

PURCHASED LOCALLY* (*) Referred to 20 projects that best represent the business of the Group both in terms of progress and as a type of product and technology.

TRAINING We are experts in our fields, we believe in expertise and we constantly update our skills and know-how according to the latest technical and scientific developments.

2.7 mn

105.5 mn

HOURS OF TRAINING

MAN-HOURS

(INCL. HSE AND SUB-CONTRACTORS)

WORKED ON SITE

218,933

0.096

0.317

(LOST TIME INJURY FREQ.)

(TOTAL RECORDABLE INJURY RATE)

HSE The health of people and the protection of the environment are inherently linked in our approach to life. And it shows in both respects, in concrete ways, through our safety and environmental performance.

t EMISSIONS CO2EQ**

LTIF ON SITE***

(**) Referred to Home Offices and Construction Sites.

TRIR***

(***) Reffered to Hydrocarbons Business Unit. 2019 FACTS & FIGURES

7


Y E A R O F T R A N S F O R M AT I O N

ONE-YEAR TIMELINE GROWING IN THE HYDROCARBONS DOWNSTREAM VALUE CHAIN NEW RECORD IN HSE A NEW STEP FOR GREEN ACCELERATION

JANUARY

FEBRUARY

MARCH

Kima (Egypt) The Ammonia and Urea Fertilizer Project for Egyptian Chemical Industries achieved 15 million worked man-hours without Lost Time Injury (LTI).

Bedizzole (Italy) Maire Tecnimont enters the Circular Economy with the Group’s subsidiary NextChem developing the first advanced mechanical plastic recycling plant.

Rijeka (Croatia) KT selected as best contractor for the INA Refinery Turnaround.

Al Dabbi’ya (UAE) 55 million safe man-hours without LTI were achieved at the project site.

NEW CONTRACTS

Milan (Italy) Patrimonio d’Ingegno - Intellectual Heritage Maire Tecnimont presents its vast archive of projects that have marked the development of Italy.

Yanbu (Saudi Arabia) EPC contract worth about USD 65 million awarded in the revamping business for NATPET. Ruwais (Abu Dhabi) USD 45 million contract for fourth phase expansion of the petrochemicals complex signed with Borouge. Milan (Italy) The Group achieved a “B” rating for its policy on climate change and environmental sustainability from CDP (Carbon Disclosure Project).

8

PROCESSING ENERGY

Kallo (Belgium) Borealis awards €90 million engineering services contract for new world-scale propane dehydrogenation plant. Port Harcourt (Nigeria) Signed USD 50 million contract with NNPC for Phase 1 Rehabilitation Project in the refining business.


FURTHER EXPANSION IN STRATEGIC AREAS

INNOVATING A SUSTAINABLE FUTURE

GETTING REAL ABOUT SUSTAINABILITY

APRIL

MAY

JUNE

Utrecht (The Netherlands) At Stamicarbon’s Future Day the company announced its innovation strategy focused on: specialty fertilizers, production of fertilizers with renewable energy and digitalization.

El Biar (Algeria) Close to Government agencies and the Italian embassy, Maire Tecnimont opened a branch office in the same building as the Italian Trade & Investment Agency.

Bedizzole (Italy) Maire Tecnimont presented the new NextChem plant, the most advanced and efficient in Europe for plastics recycling.

Kingisepp (Leningrad Region, Russia) With the successful completion of the Kingisepp Plant the production reached 100% in April.

NEW CONTRACTS Pervomayskiy (Russia) Stamicarbon signed a contract for License, Process Design Package (PDP) and Proprietary Equipment supply for a grass root urea melt and granulation plant for Shchekinoazot. Milan (Italy) Our Group scaled up its commitment in the UN Global Compact and today it is a Participant member, as well as part of the Global Compact Network Italia Board of Directors.

San Donato Milanese (Italy) Eni and NextChem agreed to develop and implement a conversion technology for producing hydrogen, methanol and non-recyclable plastic from solid urban waste. NEW CONTRACTS Angola A new refining EPC contract of USD 200 million from Eni awarded for upgrading the Luanda Refinery with the installation of two process units. St. Petersburg (Russia) Strengthened presence in Russia for Maire Tecnimont with agreements for financing Oil, Gas and Chemical projects, signed at the Saint Petersburg Int. Economic Forum 2019.


PROGRESSING THE DIGITAL TRANSFORMATION

GOING FURTHER TOWARDS SUSTAINABILITY A MILESTONE IN HEALTH CARE

JULY

SEPTEMBER

OCTOBER

The Netherlands Protomation, a Dutch software developer of state-of-the-art operator training simulators (OTS) for the chemical process industry was acquired through Stamicarbon.

Verduno (Italy) The new complex, also known as the “New Alba Bra Hospital”, is equipped with the most advanced driverless laser-guided transportation systems. Environmental sustainability is a cornerstone of the project.

Liwa (Oman) Our team at Liwa Plastics EPC2 project site celebrated all female colleagues on October 17th, the Women’s Day in the Sultanate of Oman, the occasion to emphasize the achievements of the women of Oman in the private and public sectors.

AWARDS NEW CONTRACTS 8th place in ENR’s global Top Ten design companies in the Petroleum sector. 24th place globally in the Top 225 of International Design firms, up from 32nd place in the previous year. 47th place in the Top 150 Global Design Firms considering global revenues, up from the 64th position in the previous year. Worldwide We launched SAFETHINK, the new HSE brand & communication campaign of the Group in order to maximize our safety culture through new initiatives.

NEW CONTRACTS Ain Sokhna (Egypt) Preliminary EPC contract awarded to Tecnimont for a new Ammonia plant for the Egypt Hydrocarbon Corporation, a subsidiary of Carbon Holdings.

Sospiro (Italy) New agreement NextChem and So.G.I.S for EP services to produce bio-lubricants from residual fats: a sustainable solution for naval and air transport.


Y E A R O F T R A N S F O R M AT I O N

STRONGER TOGETHER WITH INNOVATION BECOMING A DIGITAL ORCHESTRATOR

NOVEMBER

DECEMBER

Milan (Italy) ▀ Maire Tecnimont successfully launches new R&D Project with the Laboratory of Catalysis and Catalytic Processes (LCCP) of the Politecnico di Milano for the conversion of CO2 into high-value chemicals.

The Netherlands (Italy) We celebrate 10 years of Stamicarbon’s technological attitude as well as its innovation DNA which has been adding value for the Group becoming a key element of recent Group developments.

▀ With MIND Maire Tecnimont is partner of an open, cross-industry, vertical center on sustainability and green technologies providing skills, know-how, licensing and a commercial platform, helping promote Green initiatives. ▀ Maire Tecnimont launches the event “Beyond Digital” to go beyond digitalization: create a new operational model focusing on people’s commitment and on strengthening transversal supply chain processes. ▀ Maire Tecnimont organizes Seenergy, the event to build a new relationship model with the supply chain in the projects around the world.

Verduno (Italy) With the sale of MGR Verduno to HISI Maire Tecnimont further cements its strategy to exit the EPC infrastructure business, focusing on renewable energy plants through its subsidiary Neosia Renewables.

Amursky (Russia) Proud to announce that in December 1st 2019 the AGPP 3 Amursky Project TCM Site achieved 20 million safe man-hours worked without LTI. Milan (Italy) Maire Tecnimont confirms its commitment to sustainability by finalizing an ESG-linked Schuldschein loan in order to continue its Green Acceleration project, launched in 2018. NEW CONTRACTS Rijeka (Croatia) EPC contract of about €450 million granted to Maire Tecnimont for the realization of a new Delayed Coking Complex for the Refinery.

2019 FACTS & FIGURES

11


2 TRANSFORMING ENERGY 14 OUR PURPOSE 16 OUR ENTREPRENEURIAL VALUES 18 OUR BUSINESS MODEL 20 OUR STRATEGY 22 LEADERSHIP AND MARKET SHARE 24 OUR PRESENCE IN THE WORLD 26 OUR BUSINESS OFFERING

12

PROCESSING ENERGY


The next decade will be crucial if the world wants to reduce its carbon footprint and lay the path toward a truly sustainable development. We are aware that only common actions at the global level can produce significant changes, but we are convinced that, as an industrial actor, our Group can play a key role in facilitating those changes. While maintaining and strengthening our core set of engineering skills as technologists, contractors and entrepreneurs over the last 10 years, our field of action has progressively expanded from the hydrocarbon sector to the green sector. As we continue to operate in our core business, where we are among the market leaders, we are striving to find ever new ways to respond to the unstoppable transition to a different energy mix and to the quest for new raw materials for industrial use. Our experience and reliability in hydrocarbon processing have provided us with the keys to open new doors, to implement and accelerate the energy transition. Through our green chemistry company NextChem and our Green Acceleration Project, we have laid the foundations that will allow us to industrialize sustainability, future-proofing our business as we enter the fourth industrial revolution. Our know-how in developing large technological plants will help us implement innovations, integrating green chemistry into a circular economy, ultimately reducing our clients’ carbon footprint.

2019 FACTS & FIGURES

13


TRANSFORMING ENERGY

OUR PURPOSE To contribute to a higher quality of life with our technological solutions and large-scale execution skills at the crossroad between energy and basic materials for manufacturing as well as for food chain.

OUR MISSION To orchestrate the transformation of natural resources into value added derivatives both in the hydrocarbon economy and progressively in the green economy fostering energy transition technologies for the higher purpose of the climate change global target.

OUR STRENGTH Managing complexity, geography and technology thanks to our People’s world class competencies and care for the environment.

OUR PROMISE A healthy environment, a sustainable economy, a stable climate are the ultimate goals of our times, and we will pursue all of them with the same resolve that has allowed us to never step back from a challenge, ever.

14

PROCESSING ENERGY


2019 FACTS & FIGURES

15


TRANSFORMING ENERGY

OUR ENTREPRENEURIAL VALUES Entrepreneurship is a state of mind before being a life choice and a work activity. Everyone at Maire Tecnimont goes about their work with spirit of ownership and personal pride for the contributions they make. We strive to give clients, partners and employees the tools and opportunities to bring their best ideas to life.

OUR ENTREPRENEURIAL SPIRIT MAKES US VALUE ESPECIALLY:

MULTICULTURALISM

INNOVATION

FINDING BETTER TECHNOLOGIES FOR NEW CHALLENGES

16

PROCESSING ENERGY

Whatever the natural resource to be transformed is, we have been bringing cutting edge research from the lab into the field for decades, offering our clients chemical engineering innovations that actually work from day one. With more than 1,492 patents, we find custom solutions that fit a rapidly changing environment. We breath life into raw materials and create new solutions for the energy transition.

BEING EQUALLY AT HOME ANYWHERE The global presence we have cultivated for decades gives us a true international identity. We know how to operate in all parts of the world, because our projects always have local content. And we can work in every natural environment under any climatic condition. We don’t have just a superficial appreciation for cultural diversity and distinct business sensibilities, we can adapt to different industrial systems and environments because multiculturalism is in us, diversity in action is us, no matter the continent we are in.


TRANSFORMING ENERGY

PEOPLE

MAKING PEOPLE THE ENGINE FOR EVERYTHING WE DO Whether it’s a technologist studying a new solution, an engineer designing a blueprint, a technician building a system, a client turning a plant on for the first time or a final user enjoying a better quality of life thanks to something we did, we are in the People business. We don’t have cranes, vessels, technical infrastructures but our key assets are the know-how and the distinctive competence of our People along with our proprietary technologies and patents.

THRIVING IN COMPLEXITY

COMPLEXITY

We are orchestrators of complexity. We turn seemingly dissonant needs into harmonious technical solutions. We pride ourselves in being experts in the art and science of making order and clarity emerge out of complexity. We make good things happen when complexity looks insurmountable, taking difficult decisions under uncertain conditions. Problem-solving is what we do best. The harder the problem, the deeper our commitment. We have forged our temper in some of the most challenging circumstances around the world and we look at obstacles as opportunities to excel.

SUSTAINABILITY

BOOSTING RESPECTFUL GROWTH We configure our presence in the world so the communities we serve and economies we are part of can express their greatest potential in the present, while preserving natural and social diversity for the next generations. We believe technical inventiveness is best guided by respect for ethical values, respect for health and safety, respect for people and the environment. We believe there is no real economic growth without social and environmental sustainability.

2019 FACTS & FIGURES

17


TRANSFORMING ENERGY

BUSINESS MODEL We are a leading provider of engineering & construction, we provide technology & licensing, we develop energy business-ventures worldwide: in other words, we are a company providing a diverse set of clients with the best tools and technologies to transform natural resources into innovative products for countless everyday uses.

To some of our clients we are the people with the hard hats on, building an intricate set of structures and equipments as main contractor for an oil & gas refinery. To other clients we are the people with the lab coats and safety glasses on, doing applied research and licensing cutting edge technologies. To others still we are the people in suites and ties, forging energy business ventures around the world. Our technological roots are deep and spread wide, from the hydrocarbon chemical engineering industry to a diverse set of contiguous sectors, all

18

PROCESSING ENERGY

of them focusing on processing raw resources in an increasingly sustainable way. We are also equipped to deliver large-scale conventional and renewables generating plants. We provide proprietary and third-party technologies for the design, engineering and manufacture of a wide range of processing plants. We offer a broad scope of services, comprising licensing, engineering, procurement of materials and equipment, construction supervision and project management, including digital services for operation & maintenance.

Engineering, Procurement & Construction is our bread and butter: we have built many full EPC turnkey complex projects, maximizing local content and sharing value with our stakeholders in every part of the world. Our work, health and safety performance are world-class, significantly ahead of industry benchmarks. Finally, we also engage in the very early stages of clients’ investment initiatives, identifying the best market fit for potential products or services, hidden low-hanging fruits that clients may have access to.


TRANSFORMING ENERGY

OUR THREE SOULS: WHO WE ARE, WHAT WE DO CONTRACTORS ENGINEERING, PROCUREMENT, CONSTRUCTION

A well-rooted legacy in engineering design, along with a sound track record in managing large, integrated, and complex projects, has allowed us to maintain a leading position as an international contractor. A highly technological focus provides access to the best available state-of-the-art processes, guaranteeing us recognized world leadership as a contractor. Through our network of international engineering centers, we provide clients with services and know-how ranging from conceptual studies, through technology selection, to process engineering and detailed design. The services we provide benefit from business synergies and cross-fertilization across the Group, profiting from all our companies’ skills and specializations.

TECHNOLOGISTS TECHNOLOGY AND LICENSING

The Maire Tecnimont technology portfolio consists of 123 patent families and about 1,500 individual patents and patent applications in many countries. In addition, the innovation pipeline (IPL) process has been rolled out across the Group, resulting in over 70 new innovation projects in the Green Acceleration project and more than 54 new patents in different fields. Maire Tecnimont’s research activities fall mainly into the following categories: development of new raw materials for petrochemicals production; improvement of current technologies; and development of innovative and sustainable new technologies. The continuous cooperation with Universities and Research Centers makes us frontrunners in innovation and R&D, remaining on the cutting-edge of our industry.

ENTREPRENEURS BUSINESS DEVELOPMENT AND VENTURES

We pursue opportunities assisting potential clients from the early stages of the investment process, leveraging our advanced technical and financial skills to promote projects in which the Group can play a pivotal role in coordinating the whole process and the various financial, institutional, and technical actors involved. The Group itself initiates projects, bringing together investors and resources to establish a company to build and operate a plant. It entails playing a key role to steer strategic development – from concept to execution – of large-scale projects.

ENERGY TRANSITION ENABLERS Thanks to our extensive know-how in research, licensing, engineering and construction of processing plants we provide solutions for the energy transition. Our history, expertise, knowledge and leadership in transforming natural feedstocks make us an industrializer of innovative and sustainable industrial-scale plants. From scouting, pivoting, industrializing, and finally marketing a portfolio of sustainable technologies dedicated to decarbonization and green chemistry, we are committed to accelerating the energy transition, making it real for our clients and communities.

2019 FACTS & FIGURES

19


TRANSFORMING ENERGY

OUR STRATEGY

Evolve the traditional business model leveraging the digitalization and energy transition while adapting to geopolitical changes.

Focus our operational strategy on planning and execution with maximum financial discipline of our backlog gives us very good visibility on the business dynamics for the next years. A distinctive Project Development approach Leveraging our technological skills and financing capabilities, we pursue project development opportunities through an early involvement in clients’ investment initiatives. Leadership in Revamping Commercially, our leading role in the petchem and fertilizers sector puts us in the ideal conditions to keep assisting clients in brownfield revamping projects.

20

PROCESSING ENERGY

Growing through Technology & Services We will continue to invest in technology and in our bestin-class services engineering. We are promoting our new technologies in sour and acid gases and we continue exploring new ways to leverage our urea/fertilizers technological leadership into adjacent sectors. Excelling in complex Integrated Projects We will continue to enhance our execution capabilities in larger and more complex integrated projects, in order to better accommodate increasing market demand for multidisciplinary efforts. We are progressing fast track on our own digital transformation.

Moving towards Green Chemistry & Renewables Our vision on renewable energies is driven by demand for very large plants in new geographies. In order to best address new market dynamics, Maire Tecnimont is developing, through NextChem, several technological initiatives for the energy transition. We will contribute to the transition by scouting, researching, pivoting, industrializing and finally commercializing a portfolio of sustainable technologies. Expanding into New Geographies Downstream developments in the United States retain their central role in our business, and we keep expanding in areas where we have traditionally been less present, such as Sub-Saharan Africa, and South-East Asia.


TRANSFORMING ENERGY

DEDICATED REVAMPING INITIATIVES NNPC REFINERY NIGERIA

EARLY INVOLVEMENT IN INVESTMENT

- ACID GAS REMOVAL (DCCDTM)

REVAMPING

INITIATIVES: KUIBYSHEVAZOT RUSSIA

- H2S CRACKING

PROJECT DEVELOPMENT

TECHNOLOGY & SERVICES

- TECHNOLOGIES ADJACENT TO UREA (ANNA) AND SPECIALITIES (PURSELL AGRI-TECH) - FURNACES ELECTRIFICATION

FOCUS ON BUSINESS EXECUTION

NEW GEOGRAPHIES

INTEGRATED PROJECTS

GREEN CHEMISTRY & RENEWABLES

- SUB-SAHARAN AFRICA

- ENHANCING DIGITALIZATION COMPETENCES TO TACKLE INCREASING SCALE AND COMPLEXITY OF PLANTS

- INDONESIA

NEXTCHEM: -

UPCYLING WASTE TO FUELS AND WASTE TO CHEMICALS TECHNOLOGIES BIO-BASED PRODUCTS CARBON CAPTURE

NEOSIA RENEWABLES: - WIND - SOLAR

2019 FACTS & FIGURES

21


TRANSFORMING ENERGY

LEADERSHIP AND MARKET SHARE PETROCHEMICALS

WELL ROOTED TECHNOLOGY ORIENTATION: MARKET LEADER (#1) FOR INSTALLED CAPACITY (LAST 10YS)

30%

MARKET SHARE IN POLYOLEFIN PLANTS

50%

MARKET SHARE IN LDPE PLANTS

SINCE 1970

MORE THAN

200

POLYETHYLENE AND POLYPROPYLENE PLANTS**

FERTILIZERS

54%

MARKET SHARE IN LICENSING UREA PLANTS TECHNOLOGY (#1 WORLDWIDE)*

34%

MARKET SHARE IN LICENSING UREA GRANULATION TECHNOLOGY (#2 WORLDWIDE)*

SINCE 1924

172

AMMONIA AND UREA PLANTS**

1,492

CUMULATED PATENTS

€56 MN

INVESTED IN INNOVATION

22

PROCESSING ENERGY


TRANSFORMING ENERGY

* Data are based on corporate analysis ** Completed

OIL&GAS REFINING

21GW

WELL RECOGNIZED LEADERSHIP IN LICENSING HYDROGEN TECHNOLOGY AND IN LICENSING SULPHUR RECOVERY AND TAIL GAS TREATMENT TECHNOLOGY

WORLD CLASS TRACK RECORD IN LARGE GAS TREATMENT PLANTS AND REFINERY PROCESS UNITS

SINCE 1971

MORE THAN

250

GREEN CHEMISTRY & RENEWABLES

POWER

TECHNOLOGIES FOR ENERGY TRANSITION:

INSTALLED WORLDWIDE

7

th

RANK ENR WORLD TOP-10 POWER MARKET ENGINEERING COMPANIES 2016

SINCE 1962

HYDROGEN AND SULPHUR RECOVERY UNIT PROJECTS**

MORE THAN

280

POWER GENERATION PROJECTS

5 PROPRIETARY PARTNERSHIP 3 UNDER FOR EXCLUSIVE LICENSING OVER

A ROLE OF 20 WITH INTEGRATOR & EPC RESEARCH PROJECTS

OVER

A ROLE 10 WITH OF PARTNER / COORDINATOR

DEVELOPED MORE THAN

DESIGNED MORE THAN

1,000 MW WIND 800 MW SOLAR

560 MW WIND 300 MW SOLAR

MANAGED MORE THAN

BUILT MORE THAN

500 MW WIND 150 MW SOLAR

480 MW WIND 150 MW SOLAR

STRONG COMMITMENT TO TECHNOLOGY DEVELOPMENT

70

R&D PROJECTS

IN GREEN ACCELERATION (LAST 5ys)

2019 FACTS & FIGURES

23


TRANSFORMING ENERGY

OUR PRESENCE IN THE WORLD HO

USTON

~1,500 TOTAL DELIVERED PROJECTS At home in the world with projects in every continent and in every climate, both in industrial and remote areas.

50 COMPANIES Fifty different companies, three synergic business souls, one integrated group covering the next frontier of energy transition.

45 COUNTRIES A global presence and a geographical footprint strongly leveraging local content dynamization.

HEADQUARTERS

24

MAIN OFFICES AND ENGINEERING CENTERS

PROCESSING ENERGY

SUBSIDIARIES, BRANCHES AND REPRESENTATIVE OFFICES

MAIN PROJECTS (ONGOING AND RECENTLY COMPLETED)


SITTARD SC AUN HWE

IG

BR

MO

SCOW

M IL A N

MUMBAI

ROME

2019 FACTS & FIGURES

25


OUR BUSINESS OFFERING Our business has always been built on solid technological foundations, laid first in the downstream industry and then in innovative projects geared toward the energy transition and decarbonisation. We are a different species from your typical hyper-specialized, single-product, mono-service company. We have roots in petrochemicals and oil-&-gas refining, we have branched out into power and we have finally blossomed with fertilizers and green chemistry. Our technologies seek to reduce the environmental impact of the oil & gas sector, develop waste to chemicals, waste to fuels and plastic recycling, and find oil substitutes for fuels or plastics from renewable sources. We have three souls: we are contractors offering engineering, procurement and construction; we are technologists offering proprietary know-how and licensing cutting-edge innovations; we are entrepreneurs, seizing early-stage opportunities with our clients through our technical and financial capabilities. We are committed to the sustainable transformation of natural resources into energy and innovative products, applying our deep technological expertise at the crossroads between energy generation and industrial manufacturing. We are different, our business offering is different.

26

PROCESSING ENERGY


PETROCHEMICALS

FERTILIZERS

OIL&GAS REFINING

POWER

GREEN CHEMISTRY & RENEWABLES

2019 FACTS & FIGURES

27


TRANSFORMING ENERGY

PETROCHEMICALS WE ARE A FIRST-CLASS PROVIDER OF POLYOLEFINS TECHNOLOGIES We manage and execute several projects at a time, using different technologies, ensuring confidentiality and preserving licensors’ knowhows. WE HAVE BEEN SHORTLISTED AS PREFERRED ENGINEERING CONTRACTOR FOR MANY PATENTED TECHNOLOGIES Tecnimont thanks to its experience, knowhow and references is included in the shortlist of all major Licensors as preferred Contractor and so is allowed to perform detailed activities such as FEED and EPC for their technologies.

WE ARE A FULL-SERVICE, GENERAL CONTRACTOR FOR PETROCHEMICAL COMPLEXES WORLDWIDE We provide a complete suite of services, from feasibility studies and technology selection to basic and detailed engineering, from equipment and materials supply to supervision of erection, construction and commissioning. We work as an Engineering, Procurement, and Construction provider on a Lump Sum Turn-key basis (EPC – LSTK), also specialized in plant start-up, operation & maintenance, revamping, preservation, de-commissioning and relocation.

OLEFIN

POLYOLEFIN

We have a successful track record of several Olefin plants, developed from different feedstock using various technologies.

Our history goes back to Giulio Natta, the Italian Nobel Prize winner in chemistry and inventor of polypropylene (also known as “Italian plastic”).

AROMATICS AND DERIVATIVES Thanks to the synergy between our business lines, Tecnimont has the capability and know-how to provide the full production cycle.

28

PROCESSING ENERGY

BUTADIENE, RUBBERS AND STYRENICS We have a long-lasting experience in the design and construction of Butadiene plants via Extraction and via De-Hydrogenation, Synthetic Rubbers plants.

BIOCHEMICALS

OTHER CHEMICALS

Tecnimont, jointly with NextChem, is strongly committed to the development of green chemistry. We are cooperating with all the major providers of Bio and Fermentation technologies.

We can boast a wide and diversified competence in the design and construction of Chemical and Petrochemical plants.


TRANSFORMING ENERGY

SINCE

1970

MORE THAN

200 POLYETHYLENE AND POLYPROPYLENE PLANTS

30%

45 COUNTRIES

MARKET SHARE IN POLYOLEFIN PLANTS (#1 WORLDWIDE FOR CAPACITY INSTALLED IN THE LAST TEN YEARS), INCLUDING A

50%

SHARE IN LDPE

2019 FACTS & FIGURES

29


TRANSFORMING ENERGY

22 18 7

17 11 29

14 6

15 5

28

13

27

16 21 26 8 4 24 1 19 25

20

ONGOING PROJECTS 1

LLDPE-HDPE-PP PLANTS Sohar, Oman Client: LIWA Plastic Industries Complex ORPIC Contract type: EPC

2

HDPE PLANT (RAPID) Pengerang, Malaysia Client: PRPC Polymers Sdn Bhd (PETRONAS) Contract type: EPCC (JV HQC)

3

4

5

6

HDPE-PP Plants (EPCC1-EPCC2) Bathinda (Punjab), Northern India Client: HPCL-Mittal Energy Ltd. (HMEL) Contract Type: EPCC BAYTOWN CHEMICAL EXPANSION PROJECT Texas, USA Client: ExxonMobil Contract Type: EPC

NEW HDPE, PP REVAMPING Batangas, Philippines Client: JG Summit Contract type: EPC (In JV)

7

BOROUGE PP5 Project Ruwais, United Arab Emirates Client: BOROUGE (JV ADNOC – Borealis) Contract Type: EPC

NEW EUROPEAN PDH KALLO PROJECT Kallo (Kieldrecht), Belgium Client: BOREALIS KALLO N.V. Contract Type: EPCM

8

BOROUGE 4 Ruwais, United Arab Emirates Client: BOROUGE (JV ADNOC – Borealis) Contract Type: FEED

30

PROCESSING ENERGY

9

10

11

LDPE EVA PLANT Daesan, Korea Client: Hyundai Chemical Contract Type: PDP, FEED, DEHP LDPE PLANT (DEHP) Yantai, Shandong Province, China Client: WANHUA CHEMICAL GROUP CO. LTD. Contract Type: PDP + Eng. Services PE PELLETIZING AND BAGGING AREAS OF PRODUCTION PLANT NO. 4 Budyonnovsk, Stavropolskiy Region, Russia Client: OOO Stavrolen - a subsidiary of PJSC Lukoil Contract Type: EPC

12 PDH/PP Plant Tan Thanh, Vietnam Client: PHU MY Plastic Production JSC Contract Type: FEED + CE

23


TRANSFORMING ENERGY

MAIN COMPLETED PROJECTS

31

9

10

16 LDPE PLANT

Sadara, Kingdom of Saudi Arabia Client: Sadara Chemical Company (JV Saudi Aramco - Dow Chemicals) Contract type: EPC

17 LDPE PLANT

12 30

3 2

Bratislava, Slovak Republic Client: Slovnaft Petrochemicals s.r.o. (MOL Group) Contract type: EPC

18 PDH PLANT

Police, Poland Client: Polska S.a Contract type: FEED + CE

19 POLYOLEFINS COMPLEX

Rabigh, Kingdom of Saudi Arabia Client: Petro Rabigh (JV Aramco - Sumitomo) Contract type: EPC (In consortium)

20 LDPE PLANT

Veracruz, Mexico Client: Etileno XXI Services BV Contract type: EP

21 PDH - PP PLANTAl

Jubail, Kingdom of Saudi Arabia Client: Al Waha (JV Sahara, LyondellBasell) Contract type: EPC (In consortium)

22 PDH PLANT

Tobolsk, Western Siberia Client: Tobolsk Polymer LLC (JSC Sibur Holding) Contract type: EPC

13 MOTIVA POLYETHYLENE PROJECT Port Arthur - Texas, USA Client: MOTIVA ENTERPRISES LLC Contract Type: FEED + CE 14 PP PLANT Sines, Portugal Client: REPSOL POLIMEROS S.A. Contract Type: FEED

23 LLDPE-HDPE-PP PLANTS

Dahej, Gujarat, India Client: OPAL (JV ONGC, GSPC, GAIL) Contract type: EPC

24 POLYOLEFINS COMPLEX

Ruwais, United Arab Emirates Client: BOROUGE 2 (JV ADNOC - Borealis) Contract type: EPC

25 POLYOLEFINS COMPLEX

Ruwais, United Arab Emirates Client: BOROUGE 3 (JV ADNOC - Borealis) Contract type: EPC (In JV)

26 PE - NAO PLANTS

Mesaieed, Qatar Client: Qatar Chemical Company II Contract type: EPC (In consortium)

27 HDPE PLANT

Corpus Christi, Texas, USA Client: Exxon-Sabic Contract type: FEED + CE

28 PDH PLANT

Undisclosed Client: UOP Contract Type: FEED

29 PP-U&O / HDPE PLANT Sumgayit, Azerbaijan Client: SOCAR Polymer Contract type: EPC 30 PP PLANT (RAPID) Pengerang, Malaysia Client: PRPC Polymers Sdn Bhd (PETRONAS) Contract type: EPCC (JV HQC) 31 AGCC PE & LAO Svobodny, Russia Client: AMUR GAS CHEMICAL COMPLEX LLC Contract Type: FEED; CE

15 STEAS MERCURY PROJECT Aliaga, Turkey Client: SOCAR TURKEY ENERJİ A.Ş Contract Type: FEED + OBCE

< 200 Mn Euro 200 to 500 Mn Euro 500 to 1,000 Mn Euro > 1,000 Mn Euro

2019 FACTS & FIGURES

31


TRANSFORMING ENERGY

MAIN AVAILABLE TECHNOLOGIES PRODUCT

LICENSOR – TECHNOLOGY

COUNTRY

PP (POLYPROPYLENE)

BASELL POLIOLEFINE – Spheripol, Spherizone BOREALIS – Borstar PP CHEVRON PHILLIPS EXXONMOBIL GRACE (former DOW CHEMICAL) – Unipol PP INEOS – Innovene PP JAPAN POLYPROPYLENE Co. – JPP Horizone Process LUMMUS TECHNOLOGY – Novolen MITSUI CHEMICAL – Hypol II SUMITOMO

ITALY AUSTRIA USA USA USA UK JAPAN USA JAPAN JAPAN

LLDPE / HDPE (LINEAR LOW DENSITY / HIGH DENSITY POLYETHYLENE)

BASELL POLIOLEFINE – Spherilene BOREALIS – Borstar PE INEOS – Innovene G NOVACHEM - Advanced Sclairtech SUMITOMO UNIVATION – Unipol PE

ITALY AUSTRIA UK CANADA JAPAN USA

LDPE (LOW DENSITY POLYETHYLENE)

BASELL POLYOLEFINE – Lupotech T, Lupotech A EXXONMOBIL (EXCEPT HP DESIGN) SUMITOMO VERSALIS

GERMANY USA JAPAN ITALY

HDPE (HIGH DENSITY POLYETHYLENE)

BASELL POLYOLEFINE – Hostalen CHEVRON PHILLIPS EXXONMOBIL INEOS – Innovene S MITSUI CHEMICAL – Cx

GERMANY USA USA UK JAPAN

POLYSTYRENE (EPS, HIPS, GPPS)

VERSALIS

ITALY

ABS

VERSALIS

ITALY

RUBBERS

GOODYEAR (SSBR) JAPAN SYNTHETIC RUBBER (SSBR) MICHELIN (PBR) SIBUR (IIR, BUTYL RUBBER) VERSALIS (ESBR, SBS, SB, LCBR, HCBR, EPDM, SSBR)

USA JAPAN FRANCE RUSSIA ITALY

STEAM CRACKING (FOR ETHYLENE, PROPYLENE, ETC)

KBR LINDE LUMMUS TECHNOLOGY TECHNIP / STONE & WEBSTER

USA GERMANY USA FRANCE / USA

PDH (PROPANE/ISOBUTANE DEHYDROGENATION)

LUMMUS TECHNOLOGY – Catofin UHDE – Star UOP – C3 Oleflex YARSINTEZ

USA GERMANY USA RUSSIA

EO/EG (ETHYLENE OXIDE & ETHYLENE GLYCOL)

PETRON SCIENTECH INC. SCIENTIFIC DESIGN / SABTEC SHELL GLOBAL SOLUTIONS

USA USA / KSA HOLLAND

ACN (ACRYLONITRILE)

INEOS NITRILES (former BP, former SOHIO)

USA

PTA (PURIFIED TEREPHTHALIC ACID)

GRUPO PETROTEMEX (GPT) – Integrex iPTA MITSUBISHI CHEMICALS BP

MEXICO JAPAN UK

BUTADIENE

LUMMUS TECHNOLOGY / BASF (Extraction) LUMMUS TECHNOLOGY (Dehydrogenation) – Catadiene NIPPON ZEON (Extraction)

USA USA JAPAN

DICYCLOPENTADIENE

AXENS

FRANCE

ACETONE CYANOHYDRIN & MMA

REPSOL

SPAIN

CUMENE / PHENOL / ACETONE

UOP

USA

LAB (LINEAR ALKYLBENZENES)

UOP

USA

LAO (LINEAR ALPHA OLEFINS)

AXENS CHEVRON PHILLIPS LUMMUS TECHNOLOGY - OCT MITSUBISHI CHEMICALS SINOPEC TECH

FRANCE USA USA JAPAN CHINA

NYLON 6, NYLON 6.6

STAMICARBON (former NOY)

ITALY

PET (POLYETHYLENE TEREPHTHALATE )

GRUPO PETROTEMEX (GPT) – Integrex iPET STAMICARBON (former NOY)

MEXICO ITALY

1. VERSALIS 2. ZAT 3. AQUAFIL

ITALY POLAND ITALY

(METHYL METHACRYLATE)

CPL (CAPROLACTAM): 1. AMMOXIMATION 2. From CYCLO HEXANE 3. BECKMANN REARR. + CPL PURIFICATION

32

PROCESSING ENERGY


RAPID

WHERE Pengerang, Malaysia SECTOR Petrochemicals KEY NUMBERS

900,000 T/Y PP 400,000 T/Y HDPE CLIENT PETRONAS STATUS Completed THE CHALLENGE Working in a region we didn’t know well, within an unfamiliar regulatory framework, integrating a widely diverse multicultural team, during the rainy Monsoon season and over an extremely tight schedule. LOCAL VALUE The Rapid project is expected to create 4,000 new jobs upon completion, after generating a peak of more than 64,000 temporary positions during the construction phase. Our total local content for engineering, procurement, construction, services and human power in general went over and above what was stated in the contract and reached more than 25%.

THE PROJECT IS EXPECTED TO HELP TRANSFORM THE SOUTHERN JOHOR AREA INTO A NEW PETROCHEMICAL HUB

INNOVATION Pre-cast process pipe-racks in the fire areas; “Smart Helmets” for field supervision activities; a synergy approach significantly reducing piping prefabrication feeding; procurement and management work methodologies allowing significant cost reductions in shipping and transportation, vendor presence at site and purchase orders.

Giampaolo Atzori JV Project Director

2019 FACTS & FIGURES

33


BAYTOWN

WHERE Texas, USA SECTOR Petrochemicals KEY NUMBERS

400,000 T/Y Polymer 350,000 T/Y LAO CLIENT ExxonMobil STATUS Ongoing THE CHALLENGE Delivering the design for new technologies, with concurrent engineering and procurement, from Front-End Engineering Design (FEED) to mechanical completion, on a schedule-driven approach. Working together with the client in a multicultural integrated project management team is also key for the execution of the project. LOCAL VALUE We worked together with a general construction contractor since very early stages in the project to ensure all necessary construction work is pre-planned and executed to reduce capital costs and man-hours in the field as much as possible. This provided both short-term construction jobs and long-term maintenance-work opportunities for the local community.

BAYTOWN IS THE FIRST PROJECT OF TECNIMONT WITH ExxonMobil AND REPRESENTS AN OPPORTUNITY TO APPLY OUR KNOWLEDGE AND TECHNICAL EXPERTISE TO PROVIDE INNOVATIVE SOLUTIONS, IN SUCH AN IMPORTANT PROJECT FOR THE CLIENT

INNOVATION The application of Advanced Work Packaging (AWP) methodology since the early FEED stages, in cooperation with the construction contractor. This allowed the digitalization of our work and the integration of the information from different systems, improving data availability, increasing productivity, improving schedule certainty and reducing costs.

34

PROCESSING ENERGY

Trajano Vasconcelos Cardoso Tecnimont USA COO


2019 FACTS & FIGURES

35


TRANSFORMING ENERGY

FERTILIZERS WE PROVIDE A WIDE AND INTEGRATED RANGE OF SERVICES We take care of every fertilizer development requirement: from feasibility studies to basic engineering, from selecting licensors to developing lump-sum turnkey projects.

MORE THAN 250 UREA PLANTS WORLDWIDE HAVE USED OR ARE CURRENTLY USING OUR TECHNOLOGIES We provide the best technologies thanks to our company Stamicarbon, granting licensing, executing procurement and construction of new urea plants and revamping existing ones.

WE EXCEL IN THE ENGINEERING AND CONSTRUCTION OF AMMONIA-UREA PROJECTS Thanks to our expertise in ammonia-synthesis plants based on steam reforming of natural gas, we offer large scale methanol plants with the most reliable and advanced technologies in the world.

ENHANCING TECHNOLOGY PORTFOLIO: ULTRA LOW ENERGY DESIGN THE CHALLENGE Designing a urea plant with the lowest energy consumption in the world, providing the lowest Total Cost of Ownership to date. GROUP’S SOLUTION Our license and innovation company Stamicarbon develops energy-efficiency technologies for urea plants, focused on reducing both capital and operating costs, thanks to a considerable reduction in steam consumption. Our new Ultra-Low Energy Design technology substantially increases plant capacity, while keeping the absolute energy consumption the same and meeting the highest safety and environmental standards.

36

PROCESSING ENERGY

Our Ultra-Low Energy Design can be applied not only to grass roots urea projects but also in revamping existing urea plants, irrespective of the original technology and age of the plant. WHAT WE OFFER • World renowned reputation • Outstanding technologies and services • Tailor-made plant designs that meet customer specific needs • Full life cycle support


TRANSFORMING ENERGY

SINCE

1924

74 UREA PLANTS

98 AMMONIA PLANTS

54% MARKET SHARE (#1 WORLDWIDE) IN LICENSING UREA SYNTHESIS PLANTS

34% MARKET SHARE (#2 WORLDWIDE) IN LICENSING UREA GRANULATION TECHNOLOGY

2019 FACTS & FIGURES

37


TRANSFORMING ENERGY

26

12 20

1 13 3

23

2 16

18

24

11 10 25

4 27 6

19

9 22

8

5 21

7

ONGOING PROJECTS 1

AMMONIA UREA PLANT Kingisepp2, Russian Federation Client: EuroChem Mineral and Chemical Company Contract Type: EPC

2

UREA PLANT Togliatti, Russian Federation Client: Volgafert LLC Contract Type: EPC

3

AN, CAN, ASN GRANULATION PLANT Wloclawek, Poland Client: Anwil S.A. Contract Type: EPC

4

UREA, UAN PLANT Gemlik, Turkey Client: GEMLIK GÃœBRE SAS Contract Type: EPC

MAIN COMPLETED PROJECTS 5

FERTILIZERS COMPLEX Aswan, Egypt Client: KIMA Contract type: EPC

7

AMMONIA/UREA NPK PLANT Ethiopia Fertilizer Project ISBL Client: OCP Morocco Contract Type: E

9

6

AMMONIA DEBOTTLENECKING Annaba, Arzew, Algeria Client: Fertial Contract type: E

8

UREA DEBOTTLENECKING & GRANULATION PLANT Shuaiba, Kuwait Client: P.I.C. Contract type: EPC

10 IOWA FERTILIZER COMPANY

38

PROCESSING ENERGY

AMMONIA PLANT NANGAL Punjab, India Client: National Fertilizers Ltd. Contract type: EPC Wever, Iowa, USA Client: Orascom Construction Industries Contract type: EP


TRANSFORMING ENERGY

UREA LICENSING BUSINESS 14 LAUNCH MELT™

14

Ultra Low Energy Design Sanning, China Client: Hubei Sanning Chemical Industrial Co., Ltd Contract type: Licensing, PDP and Equipment

17

15 LAUNCH MELT™ Pool Condenser Design Brunei, Brunei Client: Brunei Fertilizer Industries Contract type: Licensing and PDP

15

16 LAUNCH MELT™ Pool Reactor

Design and granulation Togliatti, Russia Client: PJSC KuibyshevAzot Contract type: License, PDP, BEP, PDP and Equipment

17

18

LAUNCH MELT™ Ultra Low Energy Design Jiujiang, China Client: Jiujiang Xinlianxin Chemical Fertilizer Co., Ltd Contract type: Licensing and PDP EVOLVE PRODUCT™ Grodno, Belarus Client: P.O. Azot, Grodno Contract type: Licensing and PDP

19 EVOLVE CAPACITY™

Augusta, USA Client: PCS Nitrogen Augusta Contract type: Licencing, PDP and Equipment

20 EVOLVE ENERGY™

Geleen, The Netherlands Client: OCI Nitrogen B.V. Contract type: Licensing, PDP and Equipment

11

AMMONIA UREA PLANT Nevinnomyssk, Russian Federation Client: EuroChem Mineral and Chemical Company Contract type: E

12 YARA SLUISKIL

Sluiskil, The Netherlands Client: Yara International ASA Contract type: EPC

13

AMMONIA PLANT Kingisepp, Russian Federation Client: EuroChem Mineral and Chemical Company Contract Type: EPC

21

LAUNCH MELT™ Pool Condenser Design Talcher, India Client: Talcher Fertilizers Ltd. Contract Type: Licensing, PDP

22 LAUNCH MELT™ Pool Reactor

Design Ain El Sokhna, Egypt Client: El Nasr Company for Intermediate Chemicals (NCIC) Contract Type: Licensing, PDP, and Equipment

23 LAUNCH MELT™ Pool Reactor

Design and Granulation Pervomayskiy, Tula Region, Russia Client: ShchekinoAzot, Russia Contract Type: Licensing, PDP, and Equipment

24 EVOLVE CAPACITY™ Carseland,

Canada Client: Nutrien Carseland Contract Type: Licensing, PDP, and Equipment

25 EVOLVE CAPACITY™

Enid, Oklahoma, USA Client: Koch Nitrogen Contract Type: Licensing, PDP

26 LAUNCH FINISH™ Granulation

Design Novgorod, Russia Client: Acron, Russia Contract Type: Licensing, PDP

27 LAUNCH MELTTM Ultra Low

Energy Design and Granulation Gemlik, Turkey Client: Gemlik Gubre Sanayii A.S., Turkey Contract Type: Licensing, PDP and Equipment

< 200 Mn Euro 200 to 500 Mn Euro 500 to 1,000 Mn Euro > 1,000 Mn Euro

2019 FACTS & FIGURES

39


KIMA FERTILIZER COMPLEX

WHERE Aswan, Egypt SECTOR Fertilizers KEY NUMBERS

1,200 MTPD 1,570 MTPD CLIENT Kima STATUS Completed THE CHALLENGE Integrating two Licensor’s technologies with different specifications and requirements in the context of a single Plant. A successful key factor was the full integration of multinational personnel within our own Team as well as with the Client’s Team. LOCAL VALUE The plant can generate 180 million USD per year in revenues, contributing to the growth of the Aswan area, fully respecting environmental and safety standards.

A DEEP AND FULL TEAM WORKING, UTILIZING MULTINATIONAL PERSONNEL TOGETHER WITH CLIENT’S TEAM

The project employed more than 4,500 Egyptian Workers. Vendors in Aswan area increased their business by providing services and materials for the project. INNOVATION In the urea plant, emissions are limited by a scrubbing system reducing the ammonia effluents using nitric acid injection. The Plant has beeen designed to respect the environmental standards set by the Lenders in the contract.

40

PROCESSING ENERGY

Marco Foletti Project Director


2019 FACTS & FIGURES

41


TRANSFORMING ENERGY

OIL & GAS REFINING WE ARE EXPERTS WITH NUMEROUS REFERENCES

WE PROVIDE OUR OWN PROPRIETARY TECHNOLOGIES

We are established upstream and downstream players through our Tecnimont and KT – Kinetics Technology subsidiaries, with contracts for mega-gas processing complexes, oil field development mega-projects and refinery process units.

Our KT-Kinetics Technology subsidiary offers proprietary technologies in Sulphur Recovery and Hydrogen Production Units.

WE HAVE MATURED A FIRST-CLASS INTERNATIONAL REPUTATION We have successfully completed Engineering, Procurement and Construction (EPC) contracts in the Gulf region, specifically in the Kingdom of Saudi Arabia, Kuwait, Qatar and the UAE. We have also won major contracts in the Russian Federation, CIS, Europe (Poland), Azerbaijan, India and Algeria.

It also supplies critical equipment internationally, with significant EPC and EPC management refinery projects under way at the SOCAR Baku Refinery, the GAZPROMNEFT Moscow and OMSK Refineries (new complete hydroskimming refinery, new DCU unit) and the LOTOS Gdansk Refinery (DCU complex, naphtha hydrotreater, vacuum distillation, HPU).

GOOD POSITIONING AND STRONG SKILLSET

OUR ONGOING PROJECTS

We intend to focus on oil & gas refining through our Tecnimont and KT-Kinetics Technology companies, leveraging the synergy of their complementary capabilities.

Examples of ongoing projects include the OMSK Delayed Coker, in which the improvement of output efficiency and the mitigation of environmental impacts are combined with partnerships with strategic suppliers and local subcontractors; the upgrading of important major refineries, like the Combined Oil Refinery Unit (CORU) Project by JSC Gazprom Neft, and the Socar Baku Modernization Project, which represents a milestone in downstream refining.

We are well positioned to take advantage of some key drivers in the industry – the quest for technologies increasing the conversion rate of oil barrel processing and the demand for “clean fuel programs” in both mature and emerging countries. In the oil and gas market a worldwide trend is also arising, consisting of the combination of refining and petrochemical units into large integrated complexes, improving efficiency. Our companies’ skills are not limited to process engineering, but cover all aspects of project management, from the feasibility to the commissioning phase, guaranteeing our clients design-to-cost engineering and a construction-driven approach.

42

PROCESSING ENERGY

NEWLY AWARDED PROJECTS We won an EPC contract by INA for the Rijeka Delayed Coker as well as two EPC contracts by LUKOIL NizhegorodNefteorgSintez, a subsidiary of JSC LUKOIL. The contract covers five refinery process units as part of the oil-residue upgrading project for the Kstovo Refinery, in Central Russia. The project will streamline the technological complexity of the Kstovo Refinery, enabling the plant to produce higher value products and refine lower quality crude oil, meeting the growing market demand for cleaner fuels and ensuring higher yields of products.


TRANSFORMING ENERGY

130,000 BOPD CRUDE REFINERY CAPACITY, CORU MOSCOW REFINERY UPGRADING PROJECT

88,000 TONS STEEL STRUCTURES GAZPROM (NIPIGAS) AMURSKI GAS PROCESSING PLANT

73,000 BOPD OIL TREATMENT CAPACITY, ADCO AL DABB’IYA PHASE III PROJECT

370 KM 2,150 MMSCFD GAS TREATMENT CAPACITY, GASCO HABSHAN 5

GATHERING AND EXPORT PIPELINE NETWORK, ADCO AL DABB’IYA PHASE III PROJECT

2019 FACTS & FIGURES

43


TRANSFORMING ENERGY

28

25 10 2

34 29

27 13 1

26

6

9 18

12 24

8 5

22

16 15 30 19

11 4

21 3

32 31 20 17

33

14

ONGOING PROJECTS 1

2

NEW DELAYED COKING COMPLEX FOR THE RIJEKA REFINERY Rijeka, Croatia Client: INA – Industrija Nafte d.d. Contract type: EPC COMBINED OIL REFINING UNIT (CORU) MOSCOW REFINERY Russian Federation Client: JSC Gazprom Neft Moscow Refinery Contract type: EPCm

3

CLEAN FUEL PROJECT Rabigh, Kingdom of Saudi Arabia Client: Petro Rabigh Contract type: EPC

4

NEW HYDROGEN PRODUCTION UNIT CADEREYTA REFINERY Cadereyta (Monterrey), Mexico Client: Pemex Refinación Contract type: EPC

44

PROCESSING ENERGY

5

HYDROGEN PLANT Al Daura, Iraq Client: Midland Refineries Company Contract type: EPC – LS

6

OIL AND GAS TREATMENT “TEMPA ROSSA” Corleto Perticara, Italy Client: Total E&P Italia SpA (Total Group) Contract type: EPSCC

7

8

AMURSKI GAS PROCESSING PLANT, UI&O PACKAGE 3 Amurski, Russian Federation Client: JSC NIPIGas (General Contractor for GAZPROM) Contract type: EPC (In consortium) MODERNIZATION BAKU OIL REFINERY, HAOR PROJECT Baku, Azerbaijan Client: SOCAR HAOR Contract type: EPC (JV TCM-KT)

9

DELAYED COKING UNIT (DCU) OMSK REFINERY Omsk, Russian Federation Client: JSC Gazprom Neft Omsk Refinery Contract type: EPCm

10 EPC WORKS FOR 5 PROCESS REFINERY UNITS Ktsovo, Russian Federation Client: LLC Lukoil Nizhegorodnefteorgsintez Contract type: EPC-LS 11 LPG TRAIN 4 – ZCINA Hassi Messaoud, Algeria Client: SONATRACH Contract type: EPC 12 BURGAS REFINERY FCC UNIT REVAMPING Burgas, Bulgaria Capacity: 250 t/h Client: Lukoil Neftohim Burgas AD Contract Type: EPC LSTK


TRANSFORMING ENERGY

MAIN COMPLETED PROJECTS

7

18 MODULARIZED DEWAXING OF DIESEL FUEL PROJECT Omsk, Russia Client: JSC Gazprom Neft Contract type: EP – LS

23

19 HYDROGEN PRODUCTION UNIT Mostorod, Egypt Client: Egyptian Refinery Company (ERC) Contract type: EP 20 INTEGRATED GAS DEVELOPMENT, HABSHAN 5 Abu Dhabi, United Arab Emirates Client: GASCO Contract type: EPC (In JV) 21 AROMATICS COMPLEX Shuaiba, Kuwait Client: Kuwait Paraxylene Production Company (KPPC) Contract type: EPC (In consortium) 22 WAFA GAS PLANTS PROJECT Mellitah and Ghadames Basin, Libya Client: AGIP GAS BV Contract type: EPC (In JV) 23 LNG TERMINAL CHENTOUJIA Guangdong, China Client: Guangdong LNG JEO Contract type: EPC (In JV) 24 SULPHUR RECOVERY UNIT Burgas, Bulgaria Client: OOO Lukoil Neftochim Burgas AD Contract type: EPC

13 PROPANE/PROPYLENE SPLITTER UNIT STORAGE & INTERCONNECTING Rijeka, Croatia Client: INA - Industrija Nafte d.d. Contract Type: EPC LSTK 14 ENGINEERING, PROCUREMENT, CONSTRUCTION, INSTALLATION AND COMMISSIONING OF A NEW PLATFORMING Luanda, Angola Platforming 1,100 t/d Client: ENI Angola Exploration B.V. for Sonaref Refinery Contract Type: EPC LS Contractor: Consortium with KT ANGOLA 15 SULPHUR RECOVERY UNIT FOR RUMP-UP TO PLATEAU Port Said, Egypt Client: Belayim Petroleum Co. (PETROBEL) Contract Type: EP

25 MODULARIZED HYDROGEN PRODUCTION PLANT Perm, Russian Federation Client: Lukoil Permnefteorgsintez Contract type: EPC

16 NEW SULPHUR RECOVERY UNIT Alexandria, Egypt Client: Middle East Oil Refinery (MIDOR) Contract Type: EP HYDROGEN GENERATION UNIT 17 (HGU), REFINERY EXPANSION PROJECT (MREP) Mumbai, India Client: Hindustan Petroleum Corporation Limited (HPCL) (PETROBEL) Contract type: EPC (Consortium TCMPL)

26

MILD HYDROCRACKING UNIT Busalla, Italy Client: IPLOM Contract type: EPC

HYDROGEN GENERATION 27 PLANT Rijeka, Croatia Client: Ina Industrija Nafte Contract type: EPC 28

SULPHUR RECOVERY UNIT & TAIL GAS TREATMENT Nynashamn, Sweden Client: Nynash Refinery AB Contract type: EPC – LSTK

29 REFINERY OFF GAS (ROG) PROJECT Antwerp, Belgium Client: Total Olefins Antwerp Contract type: EPC 30 SULPHUR RECOVERY UNIT ZOHR Port Said, Egypt Client: Belaym Petroleum Co. (PETROBEL) Contract type: EP-LS 31

OIL GATHERING, TREATMENT, EXPORT AL DABB’IYA PHASE III Abu Dhabi, United Arab Emirates Client: ADCO (Adnoc Group) Contract type: EPC

32 IGD EXPANSION PROJECT (IGD-E1), GAS TREATMENT AND MARINE WORKS Das Island, United Arab Emirates Client: ADGAS (Adnoc Group) Contract type: EPC (In consortium) 33 PHRC REHABILITATION PH-1 Port Harcourt, Nigeria Client: NNPC Contract Type: E 34 DELAYED COKER COMPLEX PROJECT AND HYDROWAX VACUUM DISTILLATION Gdansk, Poland Client: LOTOS Asfalt SP. ZO.O Contract type: EPC

< 200 Mn Euro 200 to 500 Mn Euro 500 to 1,000 Mn Euro > 1,000 Mn Euro

2019 FACTS & FIGURES

45


WHERE Russian Federation

AMURSKY

SECTOR Oil&Gas Refining KEY NUMBERS THE AMURSKY PROJECT WILL BE THE LARGEST GAS-PROCESSING PLANT IN THE WORLD

42

BILLION CUBIC METERS OF GAS PER YEAR TOTAL CAPACITY

CLIENT OOO Gazprom GENERAL CONTRACTOR JSC NIPIgaspererabotka

THE CHALLENGE Remoteness of the location, size of the plant and extreme climate conditions. More than 28,000 people from 20 countries were involved in the project, making it particularly complex, both in terms of execution and social-cultural integration. LOCAL VALUE A plant of this size, with all the direct and indirect services, facilities and personnel requirements, generates a great deal of business for the local community. It will have a huge positive impact, improving infrastructures and creating employment opportunities in the whole area.

CONSTRUCTION PHASE Overall Progress: 63.50% Construction: 47%

GIVEN THE SENSITIVE NATURE OF SUCH MEGA-PROJECTS, WE HAVE IMPLEMENTED A PROGRAM FOR SOCIAL AND CULTURAL INTEGRATION

INNOVATION We have introduced the role of cultural and social mediator, filled by a local person with ethnocultural experience and academic background. The mediator manages and improves interactions with local communities, making our presence socially and culturally sustainable, as well as economically advantageous for the local community.

46

PROCESSING ENERGY

Costantin Cimpuieru Tecnimont Integrated Projects Vice President


2019 FACTS & FIGURES

47


TRANSFORMING ENERGY

POWER WE ARE EXPERTS IN THE ENGINEERING, DESIGN AND CONSTRUCTION OF ADVANCED ELECTRICITY GENERATION PROJECTS INTERNATIONALLY

WE DELIVER RELIABLE POWER PLANTS BASED ON NATURAL GAS, USING STATEOF-THE-ART TECHNOLOGIES IN OPEN AND COMBINED CYCLE SOLUTIONS

Our references include design and construction of simple and combined-cycle gas turbines, cogeneration, coal-fired plants, biomass plants, electricity generating units for own oil & gas business, petrochemical and fertilizer projects, electricity distribution grids for civil and industrial use and district-heating networks.

Our technologies guarantee the highest plant efficiency, reducing emissions and environmental impact to a minimum.

WE PROVIDE PROJECT MANAGEMENT CONSULTANCY AND DUE DILIGENCE SERVICES, ALONG WITH FEASIBILITY STUDIES AND FRONT-END ENGINEERING DESIGN Our engineering services meet all the energy-sourcing requirements and specific needs of our clients. We deliver reliable facilities based on the most advanced technologies, with minimum environmental impact, ensuring energy costs remain low along the whole supply chain and minimizing the impact on end users and stakeholders.

48

PROCESSING ENERGY

Based on these technologies but also on our references and capabilities we can ensure that project costs remain low throughout the whole development and supply chain, minimizing the impact of energy costs on final consumers and project stakeholders. Technologies implemented in the plants we build also allow more flexibility in operations, guaranteeing either the safe production of energy from natural and renewable resources, and, at the same time, adjusting the energy production to sustain and feed the different regional and national grids each country has.


TRANSFORMING ENERGY

SINCE

1962

44 COUNTRIES

21,000 MW INSTALLED

#7

280 PROJECTS

WORLD TOP 10 POWER MARKET ENGINEERING COMPANIES* *ENR GLOBAL SOURCEBOOK 2016 DIRECTORY

2019 FACTS & FIGURES

49


TRANSFORMING ENERGY

4 5 6

7 13 2

14

12 3 1

11

8

9 10

ONGOING PROJECTS 1

2

PULVERISED COAL POWER PLANT 2X376 MW Punta Catalina, Dominican Republic Client: CDEEE Contract type: EP (In consortium) OIL AND GAS TREATMENT “TEMPA ROSSA” 38 MW Corleto Perticara, Italy* Client: Total E&P Italia S.p.A. (Total Group) Contract type: EPSCC

50

PROCESSING ENERGY

3

FERTIZER COMPLEX 27 MW Aswan, Egypt* Client: KIMA Contract type: EPC

4

AMMONIA COMPLEX 18 MW Kingisepp, Russian Federation* Client: Kingisepp Russia Contract type: EPC

5

PDH COMPLEX 16 MW Kallo, Belgium Client: Borealis Contract type: EPC


TRANSFORMING ENERGY

MAIN COMPLETED PROJECTS 6

7

8

9

COMBINED CYCLE 850 MW Turbigo, Italy Client: Edipower Contract type: EPC (In consortium) COMBINED CYCLE 840 MW Piacenza, Italy Client: Edipower Contract type: EPC (In consortium) COAL POWER PLANT 720 MW Ceará, Brazil Client: MPX Pecem Geraçao de Energia S.A. (MPX and EDP) Contract type: EPC Third Line “Pecem 2” 365 MW (In consortium)

12

13

WAFA GAS PLANTS PROJECT DESERT & COASTAL 120 MW Mellitah and Ghadames Basin, Libya** Client: AGIP GAS BV Contract type: EPC (In JV) COMBINED CYCLE 97 MW Valona, Albania Client: Albanian ElectroEnergy Government Authority (KESH) Contract type: EPC IOWA AMMONIA COMPLEX

14 20 MW

Wever, Iowa, USA* Client: ORASCOM E&C Contract type: EP

COAL POWER PLANT 370 MW Coronel, Chile Client: Colbun Electricity Company Contract type: EPC (In consortium)

10 BOCAMINA COAL POWER

PLANT 370 MW Coronel, Chile Client: ENDESA Chile Contract type: EPC (In consortium)

11

COAL POWER PLANT 360 MW Maranhão, Brazil Client: Diferencial Energia Empreendimentos e Participaçoes Ltda (MPX) Contract type: EPC (In consortium)

*Utility plant **Power utilities projects < 200 Mn Euro 200 to 500 Mn Euro 500 to 1,000 Mn Euro

2019 FACTS & FIGURES

51


TRANSFORMING ENERGY

GREEN CHEMISTRY & RENEWABLES OUR GREEN CHEMISTRY: FROM PLASTICS UPCYCLING TO CIRCULAR HYDROGEN PRODUCTION

NextChem is also active in the biofuel sector with advanced and proprietary technologies. In partnership with Saola Energy, NextChem has introduced an innovative solution for small scale hydrogenated vegetable oil (HVO, also called Renewable Diesel) plants, tackling feedstock availability limitations while reducing logistics, transportation costs and operations complexity. NextChem finally infuses a second life to refuse-derived fuel and non-recyclable plastics through a waste-to-chemicals conversion technology.

In 2018, we created NextChem, a company specialized in the development of new processes, technologies and products from non-fossil feedstocks and from renewable energy sources, aiming to make the economy circular and low carbon intensity, by focusing on recycling, waste to fuels and chemicals technologies, biobased products and carbon capture. We have developed a portfolio of plastic waste recovery solutions to produce new raw materials, which can substitute virgin polymers to produce new plastic goods. Non-recyclable plastics can be used in chemical processes converting their basic molecules into new chemical feedstock.

TA N

K

FA R

M

L RO NTOM CO RO

FU

FL

RN

AR

AC E

E

S

H2

AR

EA E AR FL

MA AR IN EA PR O

CE

CM OOT CENTOR NTRO ERL

SS

Plant scheme of the Renewable Diesel (HVO) technology licensed by NextChem.

H2

H2

H2O

Waste Vegetable Oils and Residual Fats

52

PROCESSING ENERGY

Pretreatment

H2 O

Hydrotreatment & Isomerization

Fractionation

Renewable Diesel


TRANSFORMING ENERGY

NEXTCHEM: THE GREEN ACCELERATION CONTINUES Green chemistry enables and accelerates the next phase of the energy transition by improving the recycling and recovery of waste in an increasingly circular economy, by using biological components as feedstock for biofuels and chemicals and reducing industrial process emissions through green and circular hydrogen and carbon capture technologies.

Based on our expertise we have developed a portfolio of technologies for the production of hydrogen that intercepts the demand of those industrial sectors which need more to proceed towards decarbonization, like petrochemicals, steel and waste management.

The raw materials and processes of the decarbonization era are changing: fossil fuels are increasingly being substituted by renewable sources, and recycled materials are integrating and partially substituting the mining and extraction of new materials from the environment.

This new environment will require much greater collaboration across large scale and distributed green companies and projects.

In early 2019, NextChem was born, consolidating Maire Tecnimont capabilities, technologies, patents and projects in green chemistry. We aim to develop solutions for scaling technologies in the industrial sector and for the widespread substitution of traditional transport fuels, petrochemicals and fertilizers with bio-based feedstock alternatives.

NEW PARTNERSHIPS

Therefore, production, recycling and energy generation sites of the near future will be interconnected – in a virtual or real sense – into integrated clusters for waste collection and recycling, bio feedstock and fuel production, renewable power generation, hydrogen production, oil refining and petrochemicals production. We see a world of opportunities from the co-development of disruptive technologies and we are ready to invest in the emerging golden era of green chemistry.

CIRCULAR ECONOMY Re-generating plastic wastes has become a priority. We are specialized in a proprietary plastic waste Upcycling technology which allows the production of compounds which can substitute virgin polymers with excellent performances. We also develop chemical solutions for recycling, which enable the treatment of a wider range of otherwise non-recyclable plastics, turning them into valuable chemicals for a true circular economy. GREEN TECHNOLOGIES FOR GREEN GROWTH We are also specialized in advanced or 2nd generation biofuels. These types of biofuels will be a driving force of decarbonization in the transport sector, especially for long-haul road-transport and air travel and for agriculture, where electrification is more challenging.

MAIRE TECNIMONT AND ENI NextChem has partnered with ENI to strengthen the competitiveness of the Porto Marghera (Venice) and Livorno sites as chemical green hubs. For Porto Marghera, the two companies have signed a partnership agreement to develop and implement a conversion technology to produce hydrogen from refuse derived fuel and non-recyclable plastics while minimizing environmental impact. In Livorno, NextChem expanded its collaboration with ENI by launching a cooperation agreement to build a waste-to-methanol plant fueled by syngas, a direct output of chemical conversion process.

2019 FACTS & FIGURES

53


TRANSFORMING ENERGY

WE ARE FOCUSED ON RENEWABLE POWER GENERATION

NEOSIA RENEWABLES: GROUP’S COMMITMENT TO RENEWABLE ENERGIES

We operate worldwide in the wind and solar power sectors through our dedicated Neosia Renewables subsidiary.

The Group strategy is based on the view that renewable energy projects have been increasing their size in many geographies and the project management experience of a reputable engineering contractor as Maire Tecnimont can be positively recognized by international operators. Neosia Renewables provides high quality services along the whole value chain, from development and design to EPC, leveraging the Group global network.

Neosia Renewables provides high quality services along the whole value chain, from development and design to engineering, procurement and construction, leveraging our Group’s global network. Renewable energy projects have been increasing in size in many countries and our wide and deep project management experience in the engineering and contracting sectors for large projects positions us well to satisfy the most stringent requirements of all international operators.

54

PROCESSING ENERGY


TRANSFORMING ENERGY

7

8

1 2 3 5

9

6

4

ONGOING PROJECTS 1

Venice, Italy Client: ENI Contract type: Engineering

2

Livorno, Italy Client: ENI Contract type: Engineering

4

Thailand Client: Leader sugar producer Contract type: Engineering

5

Italy Client: Leader Utility Plastics Upcyling plant Contract type: Engineering

3

Cremona, Italy Client: So.G.I.S. Contract type: Engineering

EXISTING PLANTS 6

Coahuila, Mexico Client: Undisclosed Contract type: Engineering

9

Kansas, USA Operating Company: EKAE Contract type: Technology licensing (worldwide agreement with Saola Energy)

7

Bedizzole, Italy Operating Company: MyReplast Industries NextChem’s subsidiary

8

China Client: Undisclosed Contract type: demo plant EPC

2019 FACTS & FIGURES

55


AMISTAD

WHERE Coahuila, Mexico SECTOR Green Chemistry & Renewables KEY NUMBERS TURBINE GENERATOR 86 WIND FOUNDATIONS 850 KM OF MEDIUM-VOLTAGE CABLES 160 KM OF INTERNAL ROADS 5 HIGH-VOLTAGE SUB-STATIONS 120 KM OF HIGH-VOLTAGE LINES

CLIENT Utility Market Leader THE CHALLENGE Working in a difficult climatic environment, in a desert area with summer temperature above 45°C and low availability of water. Construction of a permanent camp for 1,000 people and more than 90 km of access roads required a huge organizational effort, also to maintain an efficient construction rate. LOCAL VALUE We emphasized the use of local contractors and local content reached 95%. People from the nearest town provided all the services. INNOVATION

STATUS Completed

CONSTRUCTION OF A PERMANENT CAMP FOR 1,000 PEOPLE AND 90 KM OF ACCESS ROADS REQUIRED A HUGE EFFORT

The specific type of work required for this project has not allowed us to be particularly innovative, but we have adopted several solutions to mitigate the impact of our construction activities. We installed a water treatment plant to recover water from the sewers of the camp and photovoltaic modules to generate electricity for the camp.

56

PROCESSING ENERGY

Nicola Colacino Neosia Renewables Managing Director


MYREPLAST INDUSTRIES

WHERE Bedizzole, Italy SECTOR Green Chemistry & Renewables Circular Economy - Plastic waste Upcycling KEY NUMBERS

40 KT

THE CHALLENGE Producing recycled plastic compounds from plastic waste with top characteristics to fill the gap between virgin (fossil source) and recycled plastics, reducing the amount of plastic waste disposed in dumps. The plant is combining both mechanical and thermo-chemical treatment of plastics, recycling rigid plastic wastes into compounded shapes at an industrial level. NextChem’s proprietary MyReplast Upcycling Technology satisfied exactly these requirements. LOCAL VALUE In 2019, the plant increased its workforce by 33%, from 45 to 60 people – all local hires. By turning plastic waste into new resources, the plant adds value to the local economy in terms of the direct and indirect revenues it generates. The other major contribution was preventing hundreds of tons of plastic waste from ending up in a dump and polluting the environment.

95% 8.5 KT

OVERALL CAPACITY PER YEAR, CORRESPONDING TO THE AVERAGE TOTAL PLASTIC CONSUMPTION OF 1 MILLION PEOPLE AND TO 100,000 M3 OF SAVED LANDFILL SPACE PER YEAR EFFICIENCY TOTAL REDUCTION OF CO2 EQUIVALENT EMISSIONS PER YEAR

THIS PROJECT IS THE MOST EFFICIENT AND ECONOMICALLY SUSTAINABLE PLASTIC WASTE UPCYCLING PLANT IN THE EU

INNOVATION This project is the most efficient and economically sustainable plastic waste Upcycling plant in the EU. At its core there are: advanced sorting sensors, a full-treatment-process from mechanical sorting by polymer to grinding, washing and color separation; and an upcycling process, finishing upgraded plastic flakes into quality granulates.

Marco Rizzo MyReplast Industries Managing Director

2019 FACTS & FIGURES

57


3 THE FORMULA OF OUR SUCCESS 60 OPEN INNOVATION WITH TECHNOLOGICAL PORTFOLIO 62 DIGITAL TRANSFORMATION 66 SUSTAINABILITY 71 PEOPLE 74 HEALTH, SAFETY & ENVIRONMENTAL CULTURE

58

PROCESSING ENERGY


Our success is driven by the power of our People, our technologies, the digital rewiring of all our processes and sustainability as the guiding principle of every innovation. Competence, entrepreneurship and adaptability are integral to our success. A lasting success can be achieved only by consistently identifying strategic business opportunities in the context of long-term market trends, tying both to the timely development of technical expertise. We recognize the power of open innovation, of leveraging the experience of as many people as possible to make new technologies more resilient and effective, even in the context of jealously guarded proprietary know-how. That’s why we have adopted an open-collaboration system within our Group and a network of partners. In our case, the ability to forge partnerships between technology providers and energy companies on one hand, and companies managing raw materials like industrial waste and agricultural biomass on the other, has been a crucial success factor for the development of our green business. We have also infused our processes with digital capabilities, giving us powerful tools to engage clients, partners and stakeholders with a wealth of new data, which will generate new business opportunities.

2019 FACTS & FIGURES

59


THE FORMULA OF OUR SUCCESS

OPEN INNOVATION Innovation that works, innovation that has network effects – whose positive impact increases as its propagation widens – tends to be open innovation, innovation whose building blocks and “code source” are made freely available, actively shared so that anybody can check for possible flaws, propose improvements and test its resilience against obstacles and in real life situations. We have adopted an open innovation model within our organization, so that anybody within the Maire Tecnimont group of companies can contribute their experience and ingenuity to leverage everybody else’s inventiveness and resourcefulness. Openness and network are key effects because inventions don’t happen only in the lab, innovation is not just Research & Development, innovation is also about connecting the conceptual dots among neighbouring disciplines and the social dots among neighbouring departments. Paradoxically, the difficult thing often is not finding the right solution to a problem, but finding the right problem to which we can apply one of the many solutions we already have.

Too often ideas remain dormant within the lower ranks of an organization. We want to make sure that our people feel free and are encouraged to speak up, because often times we already have a solution for many of our clients’ problems. In order to increase communication and facilitate open innovation within our Group of companies, we promote an open and collaborative Technical Innovation Coordination for each of our four main business macro-areas – Energy Transition, Natural Gas Valorization, Hydrogen Economy and Fertilizers – to enable a conduit between our researchers and our commercial teams. The Technical Innovation Coordinator allows to sets strategic directions for Research & Development guidelines, optimizes R&D budgets, monitors and shares the progress

of R&D activities across the Group, scout opportunities to integrate and leverage Intellectual Property, and is also a reference for the Director of the projects in a technology-development phase. Within our open innovation model, we will focus on Conceptual Design & Technology Evaluation, Pilot Plant & Simulations, Technology Feasibility Studies, Intellectual Property Protection, Licensing Package & PDP Preparation.

PATENTS

123

FAMILY BASED

60

PROCESSING ENERGY

1,492

EQUIVALENTS


THE FORMULA OF OUR SUCCESS

TECHNOLOGICAL PORTFOLIO Our cutting-edge technologies are the foundation of our leadership in the sector and are a strategic asset for the Group. Ongoing technological innovation is crucial to feed our portfolio of patents and maintain our preeminent position in the market. We leverage our intellectual property and technological expertise to develop new commercial projects, forge technology alliances and grow our licensing portfolio. In 2019, the Maire Tecnimont Group owned about 1500 patents, most of which in the urea and fertilizers area. As innovation is one of our main competitive advantages, we continuously strengthen research & development as a leading provider of proprietary technologies to the refining, power, petrochemical and oil & gas industries. We carry out multiple innovation projects every year and actively cooperate with major Italian and foreign universities, top research centres and industrial partners, developing research projects and creating a strong connection between the academic and industrial worlds. Maire Tecnimont’s long-standing collaboration with the Milan Polytechnic has been further strengthened through research-project partnerships, and through the funding of a Chair of Chemical Projects Engineering and Management.

In 2019, Maire Tecnimont started cooperating with LUISS Guido Carli University, launching a Chair of Open Innovation, recognizing that innovation is best served by a constant feedback between academia and industry.

INNOVATION AND R&D

In 2018, we began cooperating with the Baku Higher Oil School, supporting the University’s Master’s Degree.

INNOVATION CENTERS

The collaboration with the Campus Bio-Medico at the University of Rome has been in force since 2011 as part of our program to support the University’s Master’s Degree course in Chemical Engineering for Sustainable Development. Other historic academic partners in Italy are “La Sapienza” University of Rome, the University of Salerno and the University of Bologna. Abroad, Maire Tecnimont companies cooperate with the Technical University of Eindhoven and with the École des Mines in Paris.

5

24

PARTNERSHIPS FOR TECHNOLOGICAL DEVELOPMENT

57

INNOVATION PROJECTS

~34

PEOPLE INVOLVED IN RESEARCH & DEVELOPMENT

2019 FACTS & FIGURES

61


THE FORMULA OF OUR SUCCESS

DIGITAL TRANSFORMATION After completing the digitalization of our own core processes, we are now focusing on how to foster a digital mindset along the entire value chain we are part of, in order to exploit the still unexpressed potential of the EPC sector. Digitalization is necessary, yet it’s insufficient on its own to accomplish a true digital transformation. The “digital” part of the equation is not that hard in the end. It’s the “transformation” part that is more challeging, because it’s easier to create a sensor to make a piece of piping “smart” than to create the human and business environment where that sensor will unleash all the potential that the digital transformation promises.

Fostering this new innovation environment is an endeavor that requires not only technical know-how but entrepreneurship and the ability to orchestrate a vision, engaging a diverse set of participants, priorities and constraints. We think we are uniquely positioned to contribute to the transition toward this new paradigm, toward a better balance between humans and machines, tradition and innovation.

Creating the right environment means engaging all stakeholders – from equipment suppliers to universities to clients – in adopting a digital mindset. Without all stakeholders on board, the digital transformation train will not go as fast and far as we want.

That’s because we have been early adopters of the digital transformation in our sectors, and thanks to our successful experience we can act as digital catalysts, showing others that it is indeed possible to enact the digital transformation in a way that makes sense operationally, financially, culturally, socially and environmentally.

62

PROCESSING ENERGY

If we can show that total cost of ownership for clients under our approach is more convenient than the simple capital investment cost, then digital transformation will fulfill its potential and be a solid competitive advantage for our business. At a more practical level, Maire Tecnimont is focusing on increasing competitiveness through the reduction of capital and operating costs for both ourselves and our clients; optimizing schedules; speeding up project proposals and implementations; improving productivity and Health & Safety performances; identifying new technology-enabled value streams; improving clients’ experience and generating more in-country value.


THE FORMULA OF OUR SUCCESS

WE ARE DIGITAL INNOVATORS We want to be pioneers in the digitalization of engineering, procurement, construction and act as orchestrators of a coordinated supply chain with 6,000+ companies. The digital transformation strategy we launched in 2015 has had two goals: the deep optimization of

internal processes (Digitalizing the Core) and enriching our offer of digital services for clients (Digital Advantage). Starting in 2018, we have been focusing on reducing time and costs and providing more flexible project manage-

ment solutions, while creating new business opportunities. The objective is promoting flexible technological platforms, integrating the best digital solutions for customers and creating an ecosystem favouring stakeholders’ engagement.

CREATING A DIGITAL ADVANTAGE We launched our program in 2017 to find new solutions for our digital transformation. We leverage our capacity for digital innovation to become

«contractor of the future». Through this program, we increase our ability to govern technological disruptions, market discontinuities and cli-

ents’ evolving needs, increasing value for all our stakeholders.

Value

DIGITAL ROADMAP IMPLEMENTATION - OVERVIEW Maire Tecnimont is moving along the journey towards the «contractor of the future» vision

DIGITAL ADVANTAGE Full potential

DIGITAL ENABLEMENT Digitalized core

— Consolidated internal processes — Technical coordination / orchestration — Platforms enabled and secured

Fund the journey Streamline processes Unlock value from data Reinforce platforms

— Fully efficient & effective internal processes — TCO-oriented external digital offering — Fully data-driven decision-making / risk control

Maturity

THIS PROGRAM FOCUSES ON FOUR MAIN AREAS: •

Improving overall value for managers and system operators through a suite of digital products geared towards customers, optimizing total cost of operations over the life of any plant with solutions like predictive maintenance, asset-digital-twin, etc.

Digital enablement of Group’s end-to-end processes like plant engineering, procurement, etc., increasing the effectiveness of our internal procedures.

Hiring highly specialized digital professionals like data scientists, robotic process automation specialists, complementing our existing technical skills while training on Digital competences our workforce.

Designing and implementing a flexible operating model to maintain a value-driven pipeline of innovative digital initiatives and ensure their effective implementation in terms of time, cost and quality.

2019 FACTS & FIGURES

63


THE FORMULA OF OUR SUCCESS

FOUR STREAMS OF DIGITAL ROADMAP IMPLEMENTATION PROGRAM

INTERNAL FOCUS EPC DIGITAL SUITE

EXTERNAL FOCUS DIGITAL OFFERING

OPERATIVE MODEL & COMMUNICATION

suggestion through an “Innovation Pipeline”, i.e., a business case-driven screening mechanism aimed at selecting the most promising proposals in terms of innovation, feasibility and cost effectiveness.

In synergy with the overall digital transformation strategy, we are involving all our employees with a bottom-up engagement for this program, gathering innovative ideas from our own people and evaluating each

CAPABILITY BUILDING

The digital program goes through a stage-gate or “funnel” process, starting with many (e.g. concrete 50+) ideas and ending up with projects that we actually implement and monitor results.

THE DIGITAL INNOVATION FUNNEL SOLUTIONS EVALUATED

Running & broadmap initiatives

+60

USE CASE APPROVED

>

40

>

BIZ. CASE APPROVED

PILOTING DEPLOYMENT

35

24

>

>

14

The strength of the program is based on its agile process and stimulating content, which feed our project pipeline with a constant stream of innovative ideas. BEYOND DIGITAL Maire Tecnimont has launched “Beyond Digital”, an event aiming to discuss experiences, advantages, effects and concerns of digitalization, overcoming stereotypes in an open debate. The goal is to propose new operational models, focusing on people and making supply chains more effective. “For us, digitalization and the energy transition are two great, complementary opportunities. I think both processes can take place organically within an entrepreneurial approach, in which we all must reinvent ourselves and the way we work and live,” said Fabrizio Di Amato, Chairman of Maire Tecnimont. Our Group’s experience indicates an effective digital transformation requires a pragmatic approach to value creation, based on many initiatives and the widespread involvement of human resources. “Our vision of digitalization involves the deep optimization of all our processes, and also the creation of an additional offer of digital services to our clients. We live digitalization with the pragmatic approach of engineering contractors who are used to competing in the market and dealing with complexity”, said Pierroberto Folgiero, CEO and Managing Director of Maire Tecnimont Group.

64

PROCESSING ENERGY


2019 FACTS & FIGURES

65


THE FORMULA OF OUR SUCCESS

SUSTAINABILITY A clear vision of sustainability guides us in managing risks, developing an ever-greater resilience to constantly changing energy scenarios and in generating long-term value for our stakeholders. In this respect, the guiding principles we have decided to embrace

are embodied by the Sustainable Development Goals (SDGs) of the United Nations, which have become our compass in the pursuit of environmental, social and governance (ESG) objectives. In 2017, Maire Tecnimont set itself the goal to define to what extent

its activities are able to contribute directly or indirectly to achieving 12 of 17 SDGs which represent common goals for the current complex social challenges and are an important reference for the international community.

MAIRE TECNIMONT IS COMMITTED TO THE FOLLOWING 12 SUSTAINABLE DEVELOPMENT GOALS ON A TOTAL OF 17 GOALS IDENTIFIED BY THE UN

As climate change shows more evident and wider impacts, the transition towards a new energy paradigm speeded up. We are dedicating know-how, projects and our best professionals to make new green

66

PROCESSING ENERGY

technologies and business solutions available to face the energy transition we already live. Our main objectives in this regard are minimizing the carbon footprint of oil & gas processing, enhancing the

circular economy, developing new products and processes from non-fossil raw materials, encouraging the development of new processes and turning urban waste into energy.


THE FORMULA OF OUR SUCCESS

SUSTAINABILITY STRATEGY In the fast-changing and highly competitive Oil & Gas sector, innovation and sustainable development are crucial to creating value. All companies have taken steps to deal with the changing world in recent years, continuously focusing on technological advantages and unique competencies, implementing efficiency pro-

grams, integrating services, and seeking operational excellence. In this complex context, Maire Tecnimont has identified five strategic pillars for creating value for its stakeholders and shareholders, within the framework of the Paris Agreement and in line with the SDGs set out in the United Nations’ 2030 Agenda.

Maire has implemented a systemic approach to pursue efficiency, resilience and growth, integrating sustainability in every aspect of its operations, with the long-term goal of driving the energy transition and contributing to the sustainable and inclusive development of the communities where we operate.

OUR COMMITMENT WITH UN GLOBAL COMPACT Since 2011, the Maire Tecnimont Group incorporates the Ten Principles of the UN Global Compact into its strategies, policies and procedures. This means operating in ways that meet fundamental responsibilities in the areas of human rights, labor, environment and anti-corruption embedding the UN principles into our everyday work. In 2019 the Group decided to upgrade our tier as an UN Global Compact member to “Participant” and to enter the Board of the Global Compact Network Italy as a further commitment, to orient more and more our actions as business player to major impacts in the social context we operate.

NEXTCHEM One central pillar in our sustainability strategy is NextChem – Maire Tecnimont’s energy transition business company, which already to look at the second phase of the transition. So far, the speed and scale of the energy transition has been determined mainly by technological advances in renewable energy generation, regulatory support and reduced costs of small-scale energy storage. While we expect the evolution and impact of renewable energy to continue at a sustained pace, we are already preparing for the next “phase” of change. This phase will focus on increasing the circularity and sustainability of industrial processes, reducing waste volumes, while increasing recycling and use of recycled materials in transport fuels and petrochemicals. NextChem is the dedicated technological vehicle that Maire Tecnimont has created to drive and accelerate the technological innovation necessary for a complete energy transition. NEXTCHEM IS DEVELOPING TECHNOLOGICAL SOLUTIONS THAT AIM AT: •

Improving the circularity of the economy through the recycling of plastic waste and waste-to-chemical and waste-to-fuels solutions;

Using biological and renewable components as raw materials for the production of chemicals, intermediates and fuels of biological origin;

Reducing greenhouse gas emissions in traditional processes.

2019 FACTS & FIGURES

67


THE FORMULA OF OUR SUCCESS

LOCAL CONTENT Resource-rich countries in the Middle East and North Africa, particularly in the Gulf countries, are increasingly focusing on getting more out of their own resources. In order to gain more from their raw materials, some countries are introducing local content requirements into their laws, regulations, guidelines, sector-contracts and bidding procedures. Whether it’s required by law or not in the many countries we operate, our Group has made local content another cornerstone of its sustainability strategy with positive business impacts. In fact, we

believe local content is always a net positive for our business, as it increases the chances to win tenders, improving project reliability and quality through proximity to local suppliers, optimizing costs for certain locally procured goods and services, building trust with the local market and reducing risks associated with projects. On the other hand, by being a global company with a strong homegrown presence wherever it operates, Maire Tecnimont contributes to the socio-economic well-being of local areas by creating local jobs, generating business

for local suppliers, developing local skills and capacities, strengthening local entrepreneurship and transferring know-how and technologies to local partners. Through a greater integration with local communities, we can make a lasting and sustainable contribution to the economic and social development of all the local areas we are in. With this in mind, we have launched a multi-year strategic “In-Country Value” (ICV) project involving all the regions we operate in, along the lines described in the following chart.

MAIRE TECNIMONT IN-COUNTRY VALUE APPROACH

EMPLOYMENT

Creation of opportunities for locals and development of local workforce

TRAINING AND EDUCATION Contribution to labor-market vocational training and support for local universities

ENVIRONMENTAL PRESERVATION

Minimization of air, land and water pollu­tion, waste reduction and biodiversity preservation

PROCUREMENT

Contribution to supply-chain develop­ment for product and services in line with International standards

Procurement of goods, services and technologies from local suppliers and subcontractors

STAKEHOLDER ENGAGEMENT AND COMMUNICATION

LOCAL COMMUNITY BENEFITS

Understanding of stakeholder concerns, effective communication and creation of aligned vision

Contribution to local communities through health, education, safety, site rehabilitation and economic sustainability

Evaluating local content in quantitative terms is important to estimate the positive impact of our activities on local economies and communities. That’s why we have developed a model that will allow us

68

TECHNOLOGY TRANSFER

PROCESSING ENERGY

to quantify our local footprint in terms of development, employment and human capital growth. By applying this model to our 20 most representative projects worldwide, for 2019 the total value of locally

PROPERTIES AND EXPORTS Owning of fixed assets in the host coun­ try and local contribution through ex­ port revenues

FISCAL CONTRIBUTION

Local contribution through tax and equi­ty obligations in a transparent manner, preventing corruption

purchased goods and services, labour and training was approximately 5 billion euros, corresponding to 52% of project costs.


THE FORMULA OF OUR SUCCESS

3 4 11 12 11 4 8 13

5 4 8

8 13 8 13

8 13

8 13

ZERO FOOD WASTE IN MILAN Milan, Group HQ, Italy

OUR CORPORATE FOREST Worldwide – Cameroon, Ecuador, Guatemala, Kenya, Madagascar

ALONGSIDE PROTEZIONE CIVILE IN ITALY Tempa Rossa, Italy

SUPPORT TO LOCAL COMMUNITIES IN OMAN Sohar, Oman

SOCIAL AND CULTURAL INTEGRATION PROGRAM IN RUSSIA Svobodny, Russian Federation Our Group is present in the Amur region, participating in the engineering, procurement and construction of AGPP (Amur Gas Processing Plant), the biggest gas treatment plant in Russia and the largest gas project in our history. The remoteness of the location, the size of the plant, and tough climate mean a higher level of complexity both in terms of project execution and cultural integration. 28,000 people of 20 nationalities participating in the project make interaction with local communities one of the challenges of this mega-project. That’s why our Group has elaborated and started to implement an AGPP P3 Program for Social and Cultural Integration, made up of yearly public events, charity actions, volunteering programs, and sport, education, science and culture initiatives to be shared by project teams, local communities and partners of the project.

WOMEN EMPOWERMENT IN INDIA Mumbai, India For the fifth year in a row our Group is working with disadvantaged women in India, to empower them and offer them new opportunities to play an active role both in their families and in their communities. Thanks to our cooperation with the local NGO CORP, since 2015 we have created integrated programs of vocational and soft skills training for women living in the slums of greater Mumbai. The activities, held at 7 different centers, are aimed at offering a set of practical professional skills (tailoring, beauty, computer literacy) to provide their beneficiaries with basic working training they can easily use to enter the job market and finally giving them the opportunity to become financially independent. Childcare services are also provided as integral part of the project, to ensure an all-encompassing approach based on the real needs of women and the community. Monthly medical check-ups, basic financial education and women’s rights awareness sessions complete the programs. The empowerment of women activates a virtuous circle for the development of the community, as they are integrated, gender equality is boosted, small enterprises are created and children’s health and education improve, thus catalyzing social change on a larger scale. That’s why supporting this initiative allows us to create long-term impact from a wider perspective, in which economic development starts inside communities.

2019 FACTS & FIGURES

69


THE FORMULA OF OUR SUCCESS

PHILANTHROPY STRATEGY Our corporate giving supports crosswise the main actions defined in the Group Sustainability strategy and framed by the SDGs. Philanthropy, as discussed during last UN General Assembly in September 2019, is only one among the ingredients of the wider chain of capitals to reach sustainable development goals but has the unique capacity to be closer to the contexts impacted in more direct relationship with the problems to be remedied and

70

PROCESSING ENERGY

the actors who work to overcome them. The actions we put in place in terms of CSR, charity, advocacy and partnerships for social development are focused on those topics emerged from the materiality analysis with specific attentions to HSE, human capital development and training, commitment against global warming, socio, economic and cultural development. We use the leverage of philanthropy both at operations level, to reach closely the

local communities and answer their needs, and at corporate/ company level when a wider action with local impact is requested. In this job, the cooperation and support to NGOs is of paramount importance since the convergence between corporate resources and knowledge and skills of the third sector professionals is the only way to ensure our giving generates impacts to the beneficiaries, creating positive change.


THE FORMULA OF OUR SUCCESS

PEOPLE Human capital is our Group’s key asset. We have always recognized the strategic importance of our People in facing the most challenging opportunities and reaching our objectives. People who are passionate about their work, with solid and expanding skills, who share the company’s objectives, are the key of our success. We have built our achievements on the abilities, sense of belonging and commitment of People working together, sharing company objectives and taking pride in joint results. The complex nature of the activities and services we carry out makes it essential to attract, involve, motivate and retain the best People. We constantly implement communication, training and development programs to reinforce our values, culture and distinctive skills among employees. We are committed to guarantee them professional

growth opportunities, contributing to both their personal goals and our Group results. In all Group companies, we promote and incentivise performance by closely linking individual, project, corporate and group objectives and outcomes. Recognition of the merits and skills of our People remain the cornerstone of our success. We strive to support our People in their professional growth, clearly defining roles, responsibilities and objectives, giving them the tools and creating the conditions so they can perform at their best. Our Group periodically carries out its strategic resource planning to ensure that human resources are consistent with its needs in terms of skills and competencies.

We are also very careful to comply with the labour laws and regulations of the various countries where we operate, as well as with the International Labour Organization (ILO) conventions on workers’ rights, like freedom of association and collective bargaining, consultation, right to strike, etc. In this respect, we keep an open dialogue with labour representatives, constantly seeking an adequate level of agreement and sharing our corporate objectives and strategies. Finally, we are constantly striving to ensure that each of our employees feels valued for his or her specificity and distinctive skills, regardless of age, gender, ethnicity, social background or physical attributes.

We have launched a new digital program, called “MET Academy”, offering training to all employees and easily accessible online. Through this platform, we can promote and transfer the Group’s know-how among all employees. The first 200 training sessions are already available, thanks to an intercompany collaboration in producing and reorganising a wide range of Group content.

100%

The “MET Academy” allows all employees to take advantage of the company’s wide wealth of knowledge. It’s the go-to place to find information and tools to nurture one’s professional development, also for new recruits, to understand the EMPLOYEES culture and peculiarities of the organization, from the Code of Ethics to the origins REACHED and history of the Group.

2019 FACTS & FIGURES

71


THE FORMULA OF OUR SUCCESS

A GROWING HUMAN CAPITAL In 2019, our workforce grew by more than 200 employees compared to the previous year, increasing to 6,347 employees, 82.7% of which are permanent employees. Women’s presence increased by about 8% and female employees represented 20% of the total workforce in 2019. Gender diversity in our group was in line with the average for the reference sector (European O&G Services) in 2019.

Focusing on the professional growth of young human resources, we have also kept recruiting young people and recent graduates as apprentices in Italy and India, where governments allow programs combining work with training and skill development. In 2019, we hired a total of 80 apprentices – 52 in Italy and 28 in India – 71% of whom began their career with us in various engineering disciplines. Our focus on young people also extends to their academic development, before they enter the job-market. That’s why we have confirmed a series of fruitful collaborations with schools, research institutes and universities, in particular with the Politecnico di Milano, resulting in 44 internships lasting an average of 5 months, 20 of which at our TCMPL Indian subsidiary, 20 at various Italian companies of our group and 4 at our Stamicarbon Dutch subsidiary.

We are working to further reduce the gender gap and increase the number of female colleagues, especially among «middle managers» and «executives», where, already in 2019, there was an increase of 14% and 2%, respectively, compared to the previous year. In this respect, for instance, we have launched specific programmes aimed at supporting female colleagues returning from maternity leaves. During 2019, the overall employee turnover ratio – measuring how many people we hired with permanent contracts versus how many people left the company – was only of 6.9%.

As valuing individual diversity is central to our Group’s Code of Ethics and our hires often

have very different cultural and ethnic origins, we have further strengthened our diversity focus through a new «Human Resources» policy. This new policy will be submitted for approval in 2020 and, as further proof of our group’s commitment, we have decided to set up a «diversity and inclusion» committee that will involve representatives of all the main subsidiaries. The nationalities already represented in our group in 2018 increased to 79 when new hires from Angola, Algeria, Croatia and Nigeria joined us last year. Such international representation is also essential to increase our local content across the world, facilitating both our acquisition of new contracts and the smooth executions of existing projects. For instance, local staff employed in Engineering Centers and existing projects in India and Russia/Caspian Region is equal to 99% and 62% respectively.

EMPLOYEE BREAKDOWN BY LOCATION

9% MIDDLE EAST REGION

3% NORTH AFRICA AND SUB-SAHARAN AFRICA REGION

1% AMERICAS REGION*

12% RUSSIA AND CASPIAN REGION

42% ITALY AND REST OF EUROPE

33% INDIA, REST OF ASIA AND AUSTRALIAN REGION

72

PROCESSING ENERGY

(*) “North America Region” and “Central and South America Region” are shown together as “Americas Region”.


THE FORMULA OF OUR SUCCESS

OUR PRESENCE, OUR PEOPLE IN THE WORLD 2,654

782 2,075

564 106

166

~6,350 EMPLOYEES WORLDWIDE

+3,000 PROFESSIONALS IN ELECTRICAL & INSTRUMENTATION

EMPLOYEES BY OPERATING GEOGRAPHIC ZONE ITALY AND REST OF EUROPE

2,654

INDIA, REST OF ASIA AND AUSTRALIAN REGION

2,075

RUSSIA AND CASPIAN REGION

782

AMERICAS REGION*

106

MIDDLE EAST REGION

564

NORTH AFRICA AND SUB-SAHARAN AFRICA REGION

166

TOTAL EMPLOYEES

AVERAGE AGE: 41,7 YEARS APPROX. 68% GRADUATES

6,347

2019 FACTS & FIGURES

73


THE FORMULA OF OUR SUCCESS

HEALTH, SAFETY & ENVIRONMENTAL CULTURE We are fully committed to involving colleagues, customers and subcontractors in our HSE culture, because HSE is a value in which we all must believe in and identify with. Individual health and welfare, the safety of industrial plants and the protection of the environment are fundamental objectives for us. The safety and protection of people is not only a priority but a fundamental value that all of us put into practice in all our activities day after day. We promote these objectives in every area of the company’s operations and during all phases of projects execution. Our HSE policy clearly spells out principles, goals, roles and responsibilities.

Our top management communicates HSE objectives and targets to companies, involving all staff in each activity during the engineering, procurement, construction and commissioning of our projects. Internal auditors regularly monitor health, safety & environmental obligations while certified external bodies carry out periodic checks to ensure full HSE compliance. Training is essential to create stakeholder value, develop employees’ professional skills, prevent accidents and improve

health, safety and environmental awareness. In the last three years, we have devoted 8,321,720 hours to HSE courses. The ratio between HSE training hours and man hours worked on site was 2.74% in 2017, 2.52% in 2018 and 2.45% in 2019. Our HSE Management System is certified according to ISO 14001:2015 environmental standards and OHSAS 18001:2007 standards for occupational health and safety.

Maire Tecnimont Group has launched Safethink, a communication campaign and a new brand aiming to maximize our Health, Safety & Environmental culture. We were looking for something that could clearly distil the multiple facets of our HSE identity: a definition, a character, a symbol. But none of these options seemed to do best represent the corporate safety vision and message. That’s why we created a new word: Safethink, expressing in a concept the basis for every single action we take. Excellence in safety means we cannot afford to make the wrong choice; we must always make the right choice. Every decision is important, especially when it concerns the safety of all people working with us. Our new Safethink brand helps each of us actively think about safety, reinforcing our shared HSE identity. The Safethink campaign aims to promote HSE practices through four cycles from offices to construction sites focusing on different themes: Tools, Behaviours, Environment and Social Accountability.

74

PROCESSING ENERGY


THE FORMULA OF OUR SUCCESS

DRIVING

WA L K I N G

O N T H E WAY

S TA I R S E V E R Y DAY

WORKING USE A SEAT BELT AT ALL TIMES DRIVER AND PASSENGERS

DO NOT CONSUME ALCOHOL

ON A LONGER DRIVE, SCHEDULE BREAKS

IN THE OFFICE

ALWAYS USE THE HANDRAILS

AVOID DISTRACTIONS, SUCH AS EATING OR TALKING ON THE PHONE

ADJUST MONITOR LIGHTING RESPECT SPEED LIMITS

PLAN YOUR ROUTE ON YOUR GPS AHEAD OF TIME

BE WELL-RESTED BEFORE DRIVING

KEEP HANDS EMPTY OF UNNECESSARY ITEMS

KEEP ALL WALKWAYS CLEAR

USE GOOD POSTURE

DO NOT LEAVE FILING CABINET DRAWERS OPEN

DON’T LIFT EXCESSIVELY HEAVY LOADS

MAKE SURE THE AREA IS WELL LIT AND CLEAR OF OBSTACLES

TAKE REGULAR BREAKS

DON’T RUSH BE AWARE OF THE HEIGHT OF THE STAIR AND DEPTH OF THE STEP DON’T USE YOUR SMARTPHONE

AVOID OVERLOADING POWER STRIPS TO MINIMIZE OVERHEATING

SAFETHINK RULES FOR LIFE During the second HSE communication campaign focused on behaviours we defined and launched for sites the “Safethink Rules for Life” consisting in a selection of 10 safety rules that the Group considers of primary importance for the prevention of accidents. The rules were not simply taken from those defined by IOGP (International Association of Oil&Gas Producers) but have been customized to reflect our context. In fact, additional rules have been defined and ad hoc pictograms have been created, to emphasize the distinctiveness of our safety culture. Their implementation promotes our most important goal: protecting workers’ lives.

CONFINED SPACE ENTRY

DRIVING

ENERGY ISOLATION/ LOTO PROCEDURE

HOT WORK

WORK AT HEIGHT

LINE OF FIRE

SAFE LIFTING

ACTIVITY WITH VALID WORK PERMIT

SCAFFOLDING AND GRATING INTEGRITY

BY-PASSING SAFETY CONTROLS

2019 FACTS & FIGURES

75


THE FORMULA OF OUR SUCCESS

HSE AWARENESS PROGRAM We launched a five-year plan with the aim of defining a new approach to HSE culture in order to facilitate general empowerment of HSE awareness at Maire Tecnimont. The “HSE Awareness Program” breaks down into a series of initiatives. SAFETY TIPS These are “training nuggets” sent by e-mail on a weekly basis to all Group employees to enrich awareness of procedures and promote good practices on HSE and SA8000 issues, both in the workplace and outside. In 2019, we published 29 Safety Tips. HSE SOCIAL INITIATIVES These social gatherings on HSE and SA8000 issues are geared toward the development of local areas, carrying out activities that tangibly express the values of our Group. We have organized a series of HSE social initiatives in some schools in Central Italy. SAFETY MOMENT These are “training mini-packages” on HSE and SA8000 issues, delivered with a pleasant and fresh communication style about work life and extra curricular activities. They are usually used as ice-breakers at the opening of meetings with customers, suppliers, etc.

HSE COMMUNICATION CAMPAIGN As mentioned about Safethink, our communication campaigns keep a strong focus on HSE and Social Accountability issues. We launched two communication campaigns in 2019, aimed at all employees at headquarters and on construction sites. BE SAFE PROGRAM It’s a program implemented for sister companies’ projects to promote a “Working in safety” approach and increase knowledge on safety issues. It’s based on the involvement of field supervisors in the detection and management of HSE non-compliance.

RAISE PROGRAM “Reinforce Awareness in Safety & Environment” is an intensive program, launched for a Tecnimont ExxonMobil project and aimed at spreading and strengthening HSE awareness through team building activities. Workshops on specific safety aspects is the format we have chosen to deliver this program. MAIRE TECNIMONT HSE MULTISITE CERTIFICATION Group goal achieved in line with OHSAS 18001:2007 and ISO 14001:2015 standards, leveraging synergies among the various entities.

HSE CELEBRATION DAYS These are specific events during which we reward excellent HSE performances during construction projects.

HUMAN RIGHTS Respecting fundamental human rights is an essential element of our vision. We recognize the diversity of the countries in which we operate and of our customers, suppliers, and employees and each is valued as a strategic asset. In order to ensure ethical and responsible business management, the Group’s companies, with a similar process to that used for the Health, Safety, and the Environment assessments, are committed to a voluntary Social Responsibility certification in accordance with the SA8000 management system. For each Group certified sister company we appoint an SA8000 workers’ representative and a Social Performance Team responsible for monitoring and maintaining the SA8000 Management System. In order to listen and give voice to our internal and external stakeholders we have therefore created a channel to send/receive reports, as a direct way of receiving complaints and suggestions to improve daily working life. These channels are managed through applying thorough analysis and transparency.

76

PROCESSING ENERGY


THE FORMULA OF OUR SUCCESS

HSE CULTURE BY THE NUMBERS Over the last three years, a total of more than 349 million man hours were worked at the Group home offices and on its construction sites world-wide. GROUP MAN-HOURS WORKED 2017

2018

2019

7,344,591

7,485,863

8,169,147

SITE MAN-HOURS EMPLOYEES & SUB-CONTRACTOR

88,075,071

132,635,629

105,483,828

TOTAL MAN-HOURS WORKED

95,419,662

140,121,492

113,652,975

HEADQUARTERS MAN-HOURS EMPLOYEES

Having the Lost Time Injury (LTI1) cases a very low frequency of occurrence, in order to value their trend over time it is necessary to embrace a much longer observation period than the single year; for this purpose we adopted the IOGP 5-year rolling average LTIF2 indicator. LTIF2 FIVE YEAR ROLLING AVERAGE

LTIF five-year rolling average (per million hours)

IOGP Overall benchmark 0.50

0.45

IOGP Construction benchmark 0.43

0.40

0.40

0.38 0.33

0.30 0.22 0.20 0.10 0.00

0.06 2009 2013

0.21

0.20

Maire Tecnimont hydrocarbons

0.18

0.17

0.29

0.29

0.15

0.15

0.03

0.03

0.04

0.05

0.04

0.05

2010 2014

2011 2015

2012 2016

2013 2017

2014 2018

2015 2019

Hydrocarbons business unit includes those companies involved in petrochemical and Oil & Gas activity. 2019 data for IOGP is not available yet (as benchmark data will be published in second quarter 2020) and for this reason the Group will maintain the same 2018 benchmark data also for 2019.

Analysis of the trends of the last few years confirms Group’s commitment to excellence in injuries prevention. In fact, net of a small fluctuation in the last five years, our values remain consistently lower than the IOGP benchmarks, as one can see straight away in the above graph3. The recorded LTIF2 (0.046 for 2017, 0.015 for 2018, 0.096 for 2019 year) and TRIR4 indicators, adopted by our Group according to IOGP, remained also below than their IOGP benchmark over the last three years. LTI is the sum of fatalities and lost work day cases. 2 Lost Time Injury Frequency (LTIF) is the number of lost time injuries (fatalities + lost work day cases) /man hours worked per 1 million exposure hours. The LTIF indicator takes into account fatalities and injuries with lost days. 3 The calculation was made on the basis of the subsidiaries Tecnimont S.p.A. and KT - Kinetics Technology S.p.A., as they are the top societies in the Group by hours worked in construction. 4 Total Recordable Injury Rate (TRIR) is the number of recordable injuries (fatalities + lost work day cases + restricted work day cases + medical treatment cases)/man hours worked per 1 million exposure hours. The TRIR indicator takes into account: fatalities, injuries with lost days, restricted work day cases and medical treatment cases. 1

ENVIRONMENT In 2019, the energy intensity indicator reduced on 2018 for Group home offices while for construction sites slightly increased. Generally, the energy intensity indicator remains substantially unchanged over the last three years of observation, with oscillation in consumption of 2-3% for construction sites. ENERGY INTENSITY* (kJ/WORKED MAN-HOURS) 2017

2018

2019

HEADQUARTERS

12,451

11,048

10,253

CONSTRUCTION SITES

25,911

23,849

24,437

(*) The Group’s energy intensity factors are calculated using both direct and indirect energy consumption as a numerator and man hours worked as a denominator. 2019 FACTS & FIGURES

77


4 VALUE-DRIVEN GROWTH 80 GOVERNANCE 84 FINANCIAL HIGHLIGHTS 86 SHAREHOLDER NOTEBOOK

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PROCESSING ENERGY


Strong ethical standards, the full compliance with laws and regulations, and the scrupulous and profitable management of our finances are the cornerstones supporting and strengthening our stakeholders’ trust in us. The same general principles apply to the creation of value in different economic areas: costs must be lower than revenues in the long run, for instance, but the specifics, the actors, the precise execution and the tools and structures used to apply those general principles can change considerably over time. That’s why our governance is geared toward a world where the energy business is rapidly shifting from a fossil-fuel based to a much more renewable-rich type of ecosystem. This type of bottom-up reorganization of the energy industry is reflected in the much more inclusive nature of business processes, both inside and outside the company. As an international Group, we are keenly aware that individual and cultural diversity can greatly contribute to the creation of both tangible and intangible value. The new paradigm in the energy sector has also given an even greater role in both the planning and execution of projects to local communities, whose input and participation we seek regularly.

2019 FACTS & FIGURES

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GOVERNANCE Maire Tecnimont’s governance focuses on creating sustainable shareholder value, based on maintaining and strengthening stakeholder confidence through constantly ethical and compliant behaviours. Our governance system actively promotes ethics and compliance with all laws and regulations among all managers, workers and employees, fighting corruption and ensuring everybody in our group behaves with integrity in their everyday actions. Ethics and compliance are the key factors in maintaining and strengthening stakeholder confidence, which is in turn crucial to ensure our governance main goal: creating sustainable shareholder value over the medium-long term. In order to promote business ethics and compliance, we have created two internal committees with advisory functions, the Remuneration Committee and the Control Risk and Sustainability Committee. This last committee enacts an Internal Control and Risk Management System, consisting of a set of rules, controls and grievance mechanisms to prevent illicit behavior and protect our global reputation.

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PROCESSING ENERGY

The cornerstones of this system are our Group Code of Ethic, our Organization, Management and Control Model as per Italy’s Legislative Decree 231/2001 (“231 Model”), our Group Standard Procedures and the execution of audits by both the Internal Audit Department and the Supervisory Body as per Italy’s Legislative Decree 231/2001. The Board of Directors has also established a Related Party Committee with the task to carry out the duties set out by CONSOB, the Italian Authority for public companies. Maire Tecnimont’s governance is based on a traditional model, comprising a Shareholders’ Meeting, a Board of Directors and a Board of Statutory Auditors. The Board of Directors and the Board of Statutory Auditors are appointed by the Shareholders according to a slate-voting system that protects also the rights of the minorities.

The number of independent directors – 5 out of 9, all non-executive directors – exceeds the requirements of both Italian regulations and Maire Tecnimont’s By-Laws. Similarly, Committees are composed of non-executive directors, the majority of whom are independent, including the Chairperson. Regarding gender diversity, the Board of Directors in force, with 4 women out of 9 directors, is fully compliant with the most recent laws and regulations. The Board of Directors is also well-balanced in terms of training, professional and managerial background, age, geographical origin and international experience, and compliant with the “diversity guidelines” approved by the Board of Directors in 2019.


VA L U E - D R I V E N G R O W T H

1

3

4

10

5

8

7

6

BOARD OF DIRECTORS

2

11

BOARD OF STATUTORY AUDITORS

9

12

* Appointed for the three-year period 2019-2021

BOARD OF DIRECTORS* 1 FABRIZIO DI AMATO Chairman 2 PIERROBERTO FOLGIERO Group Chief Executive Officer and Managing Director 3 LUIGI ALFIERI Director, Non Executive

4 GABRIELLA CHERSICLA Independent Director Control Risk and Sustainability Commitee Chairman, Related-Party Committee Chairman

6 PATRIZIA RIVA Independent Director

5 ANDREA PELLEGRINI Independent Director Remuneration Committee Chairman

8 STEFANO FIORINI Director, Non Executive

7 VITTORIA GIUSTINIANI Independent Director

9 MAURIZIA SQUINZI Independent Director

BOARD OF STATUTORY AUDITORS* 10 FRANCESCO FALLACARA Chairman Board Statutory Auditors

11 GIORGIO LOLI Standing Statutory Auditor

12 ANTONIA DI BELLA Standing Statutory Auditor

2019 FACTS & FIGURES

81


VA L U E - D R I V E N G R O W T H

1

3

7

8

4

9

14

13

2

19

5

10

11

16

15

20

6

21

12

17

22

18

23

GROUP MANAGEMENT TEAM 1 FABRIZIO DI AMATO Chairman

8 FABIO FAGIOLI Group General Counsel

2 PIERROBERTO FOLGIERO Group Chief Executive Officer and Managing Director

9 FABIO FRITELLI Group Finance Vice President

15 PAOLO MONDO Group Performance Improvement & Supply Chain Excellence Vice President 16 GIUSEPPE BANFI Tecnimont Procurement Vice President

3 ALESSANDRO BERNINI Group Chief Financial Officer

10 MARIANO AVANZI Group Planning, Control & Contract Management Vice President

4 FRANCO GHIRINGHELLI Human Resources, ICT and Process Excellence Senior Vice President

11 ENRICO ROLANDELLI Tecnimont Engineering & Projects Vice President

5 GIOVANNI SALE Group Corporate Strategy Senior Vice President, Central and South America Region Vice President

12 CONSTANTIN CIMPUIERU Tecnimont Integrated Projects Vice President

19 VINCENZO ACCURSO NextChem Chief Operating Officer

13 DARIO PRINA Tecnimont Construction & Subcontracting Vice President

20 GIACOMO FERNANDO RISPOLI NextChem Waste to Chemical Senior Executive

14 SATHIAMOORTHY GOPALSAMY Tecnimont Services Projects Vice President, Tecnimont Engineering, Technology and Research & Development Vice President, Tecnimont Private Limited Managing Director

21 GAETANO IAQUANIELLO KT Innovation Strategy Vice President

6 PEJMAN DJAVDAN Technology President, Stamicarbon Managing Director 7 GIANNI BARDAZZI Group Special Initiatives and Regions Coordination Senior Vice President, Russia and Caspian Region Vice President 82

PROCESSING ENERGY

17 ROBERTO PACE KT Procurement Vice President 18 MARCO MEZZANOTTE KT Projects Execution Vice President


VA L U E - D R I V E N G R O W T H

25

28

29

33

24

27

26

30

34

39

31

35

40

32

37

36

41

38

42

29 SUSA 22 ALESSANDRO NextChem Chief Technology Innovation Officer

29 PONZIANO PRANDI North Africa Region Vice President

36 INHO JEE South East Asia and Australian Region Vice President

23 OSCAR SPALMACH NextChem Chief Engineering & Projects Officer

30 MILIND V. BARIDE Group Project Control, Contract & Subcontract Management Vice President, India Region Vice President

37 HENRI SMOLENAERS Stamicarbon Services Vice President

24 NICOLA COLACINO Neosia Renewables Managing Director and Chief Operating Officer 25 MASSIMO SICARI Middle East Region Vice President 26 DAVIDE PELIZZOLA Sub-Saharan Africa Region Vice President 27 SCOTT WISEMAN North America Region Vice President 28 ANDREA VENA KT Commercial Vice President

31 STEPHEN ZWART Stamicarbon Licensing Vice President 32 ROBERT SMULDERS Stamicarbon Innovation Vice President 33 MICHELE BRUNO KT Production Vice President 34 ALDO ALESSANDRO BERTOZZI KT Construction & Subcontracts Construction Vice President 35 GIUSEPPE GUADAGNO Tecnimont Project Risk/Opportunity Management Vice President

38 MICHELE COLOZZI NextChem Technology Carbon and Emission Reduction Vice President 39 SALVATORE ESPOSITO Neosia Managing Director 40 CARLO NICOLAIS Head of Institutional Relations and Communication 41 SIMONA DOLCE Head of Group Corporate Affairs, Governance & Compliance 42 DAMIANO D’ALESSANDRO Group HSE, Project Quality and Risk Management Head of Department

2019 FACTS & FIGURES

83


VA L U E - D R I V E N G R O W T H

FINANCIAL HIGHLIGHTS REVENUES

3,527.2

3,646.6

BACKLOG

3,338.4

4,000

8,000

3,500

5,000 4,000

2,000

3,000

1,500

FY 2018

2,000

1,000 500

1,000

0

0 FY 2017

FY 2018

FY 2019

in €mn

140

189.81

205.7

FY 2019

GROUP NET INCOME

EBITDA

209.92

89.83

110.6

115.12

FY 2017*

FY 2018

FY 2019

120 100

200

80

150

60

100

40

50

20

0

0

in €mn

FY 2017

6,373.4

7,000

2,500

250

6,612.0

6,000

3,000

in €mn

7,229.4

FY 2017

FY 2018*

FY 2019

in €mn

(1) Restated by retroactively applying the IFRS 15 standards to the 2017 financial data. (2) Restated excluding the application of the IFRS 16 standards. (3) Restated as per Note (1) and excluding a positive one-off impact of Euro 28.3 million (pre-tax) from derivates related to the 2014-2019 Convertible Bond.

84

PROCESSING ENERGY


VA L U E - D R I V E N G R O W T H

REVENUES

breakdown by sector

4%

96%

GREEN ENERGY

HYDROCARBONS

BACKLOG

breakdown by geographic area

5% NORTH AMERICA

7% MIDDLE EAST

62% EUROPE*

15% AFRICA

11% ASIA

* Out of which the vast majority pertains to Russian Federation.

2019 FACTS & FIGURES

85


VA L U E - D R I V E N G R O W T H

SHAREHOLDER NOTEBOOK Maire Tecnimont S.p.A has been listed on the Milan Stock Exchange since November 2007 (ISIN code: IT0004931058, ticker: MT).

MAIRE TECNIMONT S.P.A. SHARE CAPITAL as of 31 December, 2019 BY SHARES

BY VOTING RIGHTS

SHARE CAPITAL

€ 19,920,679

€ 19,920,679

TOTAL

328,640,432

496,305,566

FLOAT (# OF SHARES)

160,975,298

n.a.*

48.982%

n.a.*

FLOAT (%)

(*) Following the amendments made to Article 2.2.1. of the “Regulations for Markets Organised and Managed by Borsa Italiana”, in force as of 4 March 2019, the calculation of the free float is based only on the number of shares and not the number of voting rights.

The Maire Tecnimont share price in 2019 was influenced in the initial part of the year by a number of sector issues of particular interest to investors, such as working capital management and the net financial position, and in

the second half by the growth outlook, supported not only by new orders acquired during the year - but also by those to be acquired in 2020. In 2019, Maire Tecnimont met 182 investors in the main European countries -

France, Germany, the United Kingdom and Switzerland - and also in Australia. The average daily trading volume in 2019 was €3.2 million.

MAIRE TECNIMONT S.P.A’S MAIN SHAREHOLDERS 51.018%

67.565% GLV Capital S.p.A.

44.249%

Other Investors

29.301%

Arab Development Establishment (ARDECO)

3.134%

4.733% ORDINARY SHARES

VOTING RIGHTS**

Based on the latest official information communicated to Maire Tecnimont (e.g. shareholders’ register, official filings) (**) Pursuant to Article 120, Paragraph 1 of the Legislative Decree no. 58 of 24 February 1998 and to Article 6 bis of the By-Laws (“Voting right increase”), share capital of Maire Tecnimont S.p.A. refers to the total number of voting rights equal to 496,305,566. 86

PROCESSING ENERGY


VA L U E - D R I V E N G R O W T H

MILAN STOCK EXCHANGE SHARE PRICE, EURO

01/01 - 31/12/2019 MAXIMUM (MARCH 1, 2019)

3.64

MINIMUM (AUGUST 14, 2019)

2.04

AVERAGE

2.80

PERIOD-END (DECEMBER 30, 2019)

2.47 813,056,429

STOCK MARKET CAPITALIZATION (DECEMBER 30, 2019)

MAIRE TECNIMONT 2019 SHARE PERFORMANCE AGAINST THE FTSE MIB 150 140 130 120 110 100 90 80 70 60

MAIRE TECNIMONT

19

19

EC 1D

T C 1O

20

20

19 20 1J

U

L

PR 1A

1J A

N

20

20

19

19

50

FTSE MIB INDEX

2019 FACTS & FIGURES

87


1. RIDE THE TURNAROUND!

2. TAKE THE CHALLENGE!

The challenge of our Group: impeccably deliver our portfolio through operational and financial discipline.

Managing uncertainties is the core of our job… As a sailor faces the sea every day.

MASTER THE CHANGE, BE ACTIVELY PART OF IT!

LET THE PASSION FOR RESULTS DRIVE YOUR ACTIONS!

3. EVERY SINGLE DECISION COUNTS!

4. STEP UP AND MAKE THINGS HAPPEN!

5. BE ADAPTIVE!

Our work-success is the result of a thousand single choices made in the right sequence. There is no time for procrastination.

Talk and listen directly to your colleagues. Sending an e-mail could not be a solution. Let’s keep our doors open.

Fast changes in the market create discontinuities while opening also opportunities to the most responsive players.

YOUR CONTRIBUTION MAKES A DIFFERENCE!

BEAT THE BUREAUCRATIC APPROACH!

AGILITY IS THE KEY!

6. WE ARE RESILIENT!

7. NOT JUST THE COMPANY, THIS IS YOUR COMPANY!

8. OUR TOMORROW IS NOW!

Recovering quickly from drastic changes is part of our noble and precious DNA. We live in a tough environment, but adversity made us stronger.

Building together the success of our Group creates shared value to everyone.

These are extraordinary times. If we stay focused on our corridor of growth we will be ready to build the next decade of Maire Tecnimont.

LET’S CAPITALIZE ON LESSONS LEARNT!

BE ENTREPRENEUR IN A NETWORK OF ENTREPRENEURS!

THE FLOOR IS OURS!

OUR MOTTOS

88

PROCESSING ENERGY


EDITED BY Maire Tecnimont - Institutional Relations & Communication Department GRAPHIC DESIGN Lundquist PHOTOS Maire Tecnimont Group Image Bank PRINTING Gam Edit – June 2020


www.mairetecnimont.com


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