Eni and Commonwealth Fusion Systems Sign Energy Purchase Agreement Exceeding One Billion Dollars

Eni and Commonwealth Fusion Systems: A Transformative Energy Deal

On September 23, 2025, Eni and Commonwealth Fusion Systems (CFS) took a significant step towards the future of energy by announcing a groundbreaking agreement worth over one billion dollars for the purchase of fusion energy. This agreement not only represents a substantial financial commitment but also signifies the deepening of their strategic partnership aimed at advancing the commercialization of fusion energy.

Eni, a prominent player in the global energy market and a strategic investor in CFS since 2018, is set to acquire decarbonized energy from the upcoming ARC fusion power plant, which boasts a capacity of 400 MW and is located in Chesterfield County, Virginia. This facility is expected to connect to the grid by the early 2030s. Details regarding the financial terms of the agreement remain under wraps, but it marks CFS's second energy purchase agreement secured in just three months for its inaugural fusion power plant.

Bob Mumgaard, co-founder and CEO of CFS, commented on the partnership, stating, "The agreement with Eni demonstrates the value of fusion energy in the grid. It serves as a strong endorsement that Eni, who has supported us from the beginning, is willing to purchase the energy we aim to generate in Virginia. Our fusion energy is garnering interest from a diverse array of clientele globally, ranging from hyper-scalers to traditional energy leaders, due to the promise of clean and virtually limitless energy."

Claudio Descalzi, CEO of Eni, added that this collaboration marks a pivotal moment in which fusion is becoming a tangible industrial opportunity. He highlighted Eni's commitment to advancing fusion energy as a new paradigm capable of delivering clean, safe, and nearly inexhaustible energy. Descalzi noted, "This international alliance reaffirms our commitment to making fusion energy a reality while promoting its industrialization for a more sustainable energy future."

This Power Purchase Agreement (PPA) follows CFS's Series B2 funding round, where they raised $863 million, further increasing Eni's stake in the company. CFS, the largest private fusion energy firm globally, has raised almost $3 billion since inception in 2018, emphasizing its ambitious agenda to generate net energy through its flagship SPARC project, which aims to pave the way for limitless, carbon-free energy.

The envisioned partnership entails not just financial investment but an extensive collaboration encompassing operational support, technological exchange, and project execution based on shared methodologies. Such cooperative efforts are crucial for the companies as they navigate the complexities of developing a technology that could transform the energy landscape.

Moreover, this agreement underscores CFS's promising pathway to achieving commercial fusion energy in the near future. The company has made significant strides in developing key innovations in high-temperature superconducting magnets and is steadily progressing with the construction of the SPARC fusion demonstration facility located in Devens, Massachusetts.

Eni, headquartered in San Donato Milanese, Italy, has been operating in the U.S. energy sector since 1968, engaging in oil and natural gas production, renewable energies, and biofuels. The company places considerable emphasis on investing in innovative technologies to facilitate the energy transition, through its venture capital arm, Eni Next, based in Boston. Their ongoing pursuit is guided by a goal of achieving carbon neutrality by 2050, focusing on decarbonization efforts across their production processes and the products they offer.

Conclusively, as the demand for energy continues to rise, strategic investments like these are essential for fostering a more sustainable energy ecosystem. The collaboration between Eni and CFS is not merely a business transaction; it represents a significant step towards realizing a future where fusion energy, with its associated benefits of safety and minimal environmental impact, plays a central role in the global energy agenda.

As we witness such landmark agreements, the emphasis on fusion technology and its potential translates into a strong message of hope for the future of energy sustainability.