Eni gets IFC support for $400 million Africa biofuel project 

International Finance Corporation (IFC) is considering a financing package of up to $250 million for Eni S.p.A. to support a $400 million biofuel and agribusiness expansion across Angola, Mozambique and the Republic of Congo.

The proposed investment, disclosed Aug. 5 and scheduled for IFC board consideration on Sept. 30, is designed to accelerate certified biofuel feedstock production, expand agro-processing infrastructure and strengthen agricultural value chains across the three countries. IFC also plans to mobilize an additional $150 million from development finance partners, reinforcing its catalytic role in sustainable agriculture and energy transition projects in Africa.

Expanding biofuel supply chains in Africa

The project will be implemented through Eni Natural Energies S.p.A., a wholly owned subsidiary responsible for producing vegetable oils used in the company’s biorefineries in Italy. Feedstock will be sourced from crops grown on degraded land and from rotation crops cultivated alongside food crops, aligning with European Union Renewable Energy Directive sustainability standards.

Production will rely on networks of aggregators working with smallholder and commercial farmers in Angola, Mozambique and the Republic of Congo. Oilseeds will be processed at dedicated agricultural hubs before export, while by-products will support local animal feed and fertilizer markets, creating additional revenue streams within rural economies.

Agro-processing infrastructure and farmer support

Financing will support the construction and operation of agro-processing hubs, logistics infrastructure, working capital and agricultural mechanization. Funds will also be used to procure farming equipment, agricultural inputs and oilseeds from local farmers and intermediaries.

Existing operations include an agri-hub in Loudima, Republic of Congo, while a new facility is planned in Namialo, Mozambique. Angola will benefit from broader agricultural activities and corporate operations under the project, although no processing hub is currently planned.

Job creation and economic impact

IFC expects the investment to generate jobs, increase agricultural value addition and expand market access for farmers across the three countries. According to its Anticipated Impact Measurement and Monitoring assessment, the project could demonstrate commercially viable models for certified biofuel supply chains in underdeveloped markets, encouraging private-sector investment and improving regional competitiveness.

In parallel, IFC will provide advisory support through its supply chain program, aimed at strengthening sustainable biomass systems, promoting best agricultural practices and improving food security outcomes.

Supporting Eni’s energy transition strategy

The financing aligns with Eni’s broader strategy to expand its renewable fuels business alongside conventional operations. The company operates in more than 60 countries and employs over 30,000 people.

Eni has committed to achieving net-zero Scope I and II emissions by 2035 and net-zero Scope III emissions by 2050, while expanding investments in biofuels, solar and wind energy, carbon capture and other low-carbon technologies.

IFC said its long-term financing would provide capital that remains limited in commercial markets for agribusiness projects, while strengthening the project’s financial structure and attracting additional investment into Africa’s growing biofuel sector.