Can Carbon Capture Win Over Big Finance?

Eni and BlackRock join forces to expand Europe’s carbon capture network

17 Oct 2025

Eni has partnered with BlackRock’s Global Infrastructure Partners (GIP) to accelerate industrial carbon capture and storage projects across Europe, in one of the region’s largest private investments in the technology to date.

The deal, which is subject to regulatory approval, will see GIP acquire a 49.99 per cent stake in Eni’s carbon capture, utilisation, and storage (CCUS) business. The partnership will establish a joint platform aimed at developing large-scale decarbonisation infrastructure in the UK and the Netherlands, including the HyNet and Bacton projects and the L10 offshore storage hub.

Eni will retain majority ownership and operational control under a co-governance structure. “Consolidating our CCUS portfolio into a dedicated entity, with GIP as a strategic partner, enhances our ability to deliver large-scale, advanced decarbonisation solutions,” said Claudio Descalzi, Eni’s chief executive.

For GIP, the move marks a growing conviction that carbon management can become a viable investment class. “GIP’s infrastructure expertise, combined with Eni’s technical leadership, will help drive CCUS deployment faster than ever,” said Bayo Ogunlesi, the firm’s chair.

The collaboration comes as institutional investors increasingly view carbon capture as a critical part of Europe’s low-carbon transition. By combining engineering capacity with long-term capital, such partnerships seek to address the high upfront costs of transport and storage networks that have slowed project delivery.

However, challenges remain. CCUS projects are capital-intensive and rely heavily on stable regulatory support and carbon pricing frameworks. Analysts also caution that capture technologies should complement, rather than substitute, broader emissions reductions across industry and energy systems.

The European Commission’s Industrial Carbon Management Strategy and national cluster initiatives are expected to provide further policy clarity and funding mechanisms for the sector.

If approved, the Eni–BlackRock venture could encourage a wave of similar transactions across Europe, creating the infrastructure needed for cross-border CO₂ transport and permanent geological storage. Industry observers will watch for final investment decisions and project milestones over the coming year, as Europe’s carbon capture sector moves from concept to commercial scale.