BlackRock’s €1 Billion Bet on Eni Fuels Carbon Capture Confidence

A long-anticipated deal just became a market signal: BlackRock’s Global Infrastructure Partners is preparing to buy 49.99% of Eni’s carbon capture arm at a valuation of around €1 billion ($1.2 billion), according to sources familiar with the negotiations. That figure, revealed for the first time this week, isn’t just a price tag—it’s a fresh marker for how the world’s largest asset manager sees the future of decarbonization infrastructure. In a sector still viewed with skepticism over costs and scalability, the number lands like a vote of confidence—and a challenge to competitors still sitting on the fence.

For Eni, the deal fits squarely within CEO Claudio Descalzi’s “satellite” model: spin off low-carbon units, attract heavyweight capital, and reduce financial exposure while keeping strategic control. Just last month, Eni sold 20% of its renewables arm Plenitude to Ares for about €2 billion, following a similar playbook.

But the CCUS deal carries broader market significance. The €1 billion valuation effectively sets a benchmark for a technology still seen as commercially immature by many investors. Carbon capture, utilization, and storage (CCUS) projects have long attracted subsidies and headlines, but not always institutional capital. That may be changing.

Eni CCUS Holding includes stakes in three high-profile European projects: HyNet North West and Bacton Thames NetZero in the UK, and L10CCS in the Netherlands. HyNet and Bacton each target up to 10 million tonnes of annual CO? storage by 2030, while L10 is aiming for 5 million. A future option on Ravenna—Italy’s flagship CCS hub—could add another 4 million tonnes per year.

The HyNet cluster alone is a centerpiece of the UK government’s £21.7 billion carbon capture strategy. With EU carbon prices rebounding and industrial emitters under pressure, these projects are increasingly seen as necessary infrastructure—not speculative tech.

Eni’s choice of GIP over rival bidders like Snam, Macquarie, and PTTEP also reflects a clear preference for long-term infrastructure capital over traditional oil and gas co-investors. BlackRock’s 2024 acquisition of GIP folded the infrastructure giant into a $10 trillion asset management machine that’s now quietly positioning itself as the top decarbonization landlord in the West.

In the U.S., where President Trump is back in office and regulatory signals on carbon policy remain volatile, this kind of transatlantic deal carries even more weight. With Washington uncertain over carbon pricing and tax frameworks, Europe’s progress on commercial-scale CCS looks increasingly attractive to investors chasing real assets with climate upside.

The deal is expected to close by the end of summer, pending final agreement. If the €1 billion valuation holds, it will mark one of the largest private equity stakes ever assigned to a standalone CCS business in Europe. And it may well serve as a pricing reference point for a global wave of deals to follow.

By Julianne Geiger for Oilprice.com

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