MILAN (AP) — Italian oil and gas company Eni says fourth quarter profits were more or less flat as a recovery of production in Libya was offset by higher taxes and lower investment profits.

Eni says Friday its net profit for the quarter ending Dec. 31 was €1.52 billion ($2 billion) against €1.54 billion a year earlier.

Eni says 2012 was a record year for exploration with discovered resources of 3.64 billion barrels of oil equivalent, or six times annual production. Progress was made in Mozambique, West Africa, Indonesia and the Barents Sea.

Oil and natural gas production for the year was 1.7 million barrels a day, up 7 percent from 2011.

Full year earnings rose 3 percent at €7.1 billion.

Eni is also raising the dividend to €1.08 a share from €1.04.