BlackRock-Backed GIP Bets on Carbon Future

GIP’s 49.99% stake in Eni’s carbon unit signals that large investors see carbon storage as a serious long-term play

17 Feb 2026

Carbon capture has long hovered at the edge of climate policy, promising, costly and slow to scale. It is now drawing more serious money. In August Global Infrastructure Partners (GIP), backed by BlackRock, agreed to buy 49.99% of Eni’s carbon-capture and storage (CCUS) business. The unit is widely reported to have been valued at about €1bn, though final terms await regulatory approval.

The transaction gives one of the world’s largest infrastructure investors joint control of a platform designed to transport and permanently store carbon dioxide. Though still young, the sector is shifting from scattered pilot projects towards larger networks linking heavy industry to shared storage hubs. That shift suits infrastructure funds, which prefer steady, regulated returns over technological gambles.

Policy has helped. In America and Europe governments have strengthened tax credits, carbon-pricing schemes and emissions standards. Such measures have improved the economics of capturing and storing carbon, particularly for industries such as cement and steel that struggle to cut emissions by other means. As decarbonisation targets tighten, demand for pipelines and storage sites is likely to grow.

For Eni, the deal brings cash without surrendering control. By selling a minority stake, it frees up capital for other low-carbon ventures while keeping operational influence. It also shares the risks of developing a business that depends heavily on regulation and long-term contracts. Executives have framed the move as a way to accelerate growth in cleaner energy.

Yet enthusiasm should be tempered. Carbon storage projects rely on clear liability rules, durable subsidies and customers willing to sign multi-year agreements. Joint ventures can stumble if governance is misaligned. And returns, though potentially stable, are not guaranteed.

Even so, the direction is clear. Large funds are beginning to treat carbon storage less as an experiment and more as an asset class. If that view spreads, the industry may consolidate around a handful of scaled platforms. Developers and industrial firms would be wise to prepare for partnerships and for deeper pockets entering the field.