Italian energy major Eni has signed a power offtake agreement worth more than $1 billion with US-based Commonwealth Fusion Systems (CFS), expanding their partnership to help bring fusion energy to commercial scale.
The deal covers the purchase of decarbonised electricity from CFS’s first grid-scale ARC fusion power plant, a 400 MW facility planned for Chesterfield County, Virginia, which is expected to be connected to the power grid in the early 2030s. Financial details of the agreement were not disclosed. It is the second power offtake agreement signed by CFS in the past three months for the project.
“The agreement with Eni demonstrates the value of fusion energy on the grid. It is a big vote of confidence to have Eni, who has contributed to our execution since the beginning, buy the power we intend to make in Virginia,” said Bob Mumgaard, Co-founder and CEO of CFS. “Our fusion power attracts diverse customers across the world — from hyperscalers to traditional energy leaders — because of the promise of clean, almost limitless energy.”
“This strategic collaboration, with a tangible commitment to the purchase of fusion energy, marks a turning point in which fusion becomes a full industrial opportunity,” said Eni CEO Claudio Descalzi. “Eni has been strengthening its collaboration with CFS with its technological know-how since it first invested in the company in 2018. As energy demand grows, Eni supports the development of fusion power as a new energy paradigm capable of producing clean, safe, and virtually inexhaustible energy. This international partnership confirms our commitment to making fusion energy a reality, promoting its industrialization for a more sustainable energy future.”
The new agreement builds on a long-standing relationship between the two companies. Eni was one of the first investors in CFS in 2018 and has continued to deepen its involvement, including participating in CFS’s $863 million Series B2 funding round. In 2023, the two firms signed a Collaboration Framework Agreement aimed at accelerating fusion development, which includes sharing technological expertise, supporting project execution, and engaging with key stakeholders.
CFS has achieved several technical milestones in its push towards commercial fusion, including advances in high-temperature superconducting magnet technology and rapid progress on its SPARC fusion demonstration plant in Devens, Massachusetts.
Eni, headquartered in San Donato Milanese, Italy, has operated in the US energy market since 1968, with activities ranging from oil and gas production to renewables and biofuels. The company also invests in emerging technologies through its venture capital arm, Eni Next, based in Boston.
