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Market Chatter: Eni Boosts Fusion Investment, Sees Nuclear as its 'Next Refinery'

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Italian energy giant Eni (E) is increasing its investments in nuclear fusion, aiming to be among the first to commercialise it in Europe and expecting the technology will become its "next refinery", the Financial Times reported Sunday.

Competition in the fusion industry is growing as the technology and expectations have advanced significantly over the past five to six years, with fusion increasingly being viewed as an industry rather than purely a research field, the report said, citing Francesca Ferrazza, head of magnetic fusion initiatives at Eni.

Eni is targeting a commercial fusion plant in Europe by the early 2040s or sooner, developed by US start-up Commonwealth Fusion Systems, an Eni portfolio company. CFS has secured about $3 billion in funding so far and plans to bring its first commercial plant online in the US by the early 2030s, Ferrazza said.

Energy majors like Shell (SHEL) and Chevron (CVX) and Germany's RWE are among those to have invested in fusion, seen by some as the "holy grail" of energy due to its potential for abundant, low-carbon electricity, the report said.

has reached out to Eni for a comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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