Abu Dhabi's Mubadala Petroleum and Italy's Eni have signed a memorandum of understanding (MoU) to identify opportunities for cooperation in the energy transition sector, including in hydrogen and carbon capture, storage and use, Mubadala Petroleum said on Tuesday.
"The scope of the cooperation covers potential joint opportunities in the Middle East, North Africa, South East Asia and Europe and other regions of mutual interest," Mubadala Petroleum said in a statement, adding the MoU aligned with the companies' decarbonisation targets.
Mubadala Petroleum, owned by Abu Dhabi sovereign wealth fund Mubadala Investment Company, said the partnership was part of its "proactive approach to Environmental, Social & Governance (ESG) considerations and its energy transition goals".
The agreement comes amid a surge in interest in ESG initiatives and deals in the hydrocarbon-rich Gulf amid growing awareness among global investors about ESG risks.
Mubadala Petroleum, which has a portfolio that is nearly two-thirds natural gas, has cut emissions by 25% over the last three years, it said.