Abu Dhabi-based investment and holding company ADQ has entered into a partnership with Eni, a global energy technology enterprise based in Rome, Italy, to explore potential strategic areas of cooperation aimed at reinforcing supply chains for critical minerals vital to facilitating the energy transition.
The collaboration, Abu Dhabi Media Office reported, will emphasize potential investments in essential regions such as Africa, North America, and Central Asia, where both companies will seek opportunities and examine synergies throughout the complete critical and strategic minerals value chain, ranging from mining to refining, processing, and downstream applications. The agreement will evaluate the feasibility of setting up refining and processing facilities in the UAE, as well as in Italy and other strategic centers.
The International Energy Agency forecasts that the demand for critical minerals could rise sixfold by 2050. This increase in consumption is fueled by the expanding adoption of clean energy technologies, encompassing electric vehicles, wind turbines, solar panels, and energy storage systems, all of which depend heavily on minerals like lithium, cobalt, nickel, and rare earth elements for their production.
Safeguarding a stable and resilient supply of critical mineral
Hamad Al Hammadi, deputy group chief executive officer of ADQ, stated: “As the world transitions to cleaner energy solutions, safeguarding a stable and resilient supply of critical minerals is essential for enabling the development and deployment of technologies that drive this fundamental change. Through our MoU with Eni, we aim to combine our expertise and capabilities to develop high-impact projects across the entire value chain that ensure the availability and affordability of these critical resources. This underscores our commitment to forging partnerships that drive long-term, transformative value for our portfolio companies as well as for the broader economies they operate in.”
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Leveraging innovation and collaboration across key sectors
Claudio Descalzi, chief executive officer of Eni S.p.A, remarked: “The agreement Eni signed with ADQ is part of our partnership with the UAE and a testament to our shared commitment to a sustainable energy future, leveraging innovation and collaboration across key sectors. Together with leading UAE companies, we will develop initiatives in areas that are essential to the energy transition. This strategic cooperation underscores our dedication to driving technological progress and contributing to energy security on a global scale.”
Operating in 62 countries, Eni is an integrated energy company aiming to play a significant role in ensuring energy security and leading the energy transition. Moreover, Eni’s declared ambition is to attain carbon neutrality by 2050 through the decarbonization of its processes and the products it provides to its customers. In alignment with this objective, Eni invests in the research and development of technologies that can expedite the transition to increasingly sustainable energy.
The agreement with Eni enhances ADQ’s existing investments in the sector, including Orion Abu Dhabi, a recently formed 50-50 joint venture with Orion Resource Partners, a global investment firm specializing in the metals and materials crucial for sustainable economic growth and the energy transition.
