Khazna and Eni to set up 500MW AI data centre campus in Italy

• By leveraging innovative carbon capture technologies and focusing on AI-optimised data centre design, the joint venture will not only enhance Italy’s digital fabric but also contribute meaningfully to Europe’s commitment to a low-carbon, technologically advanced future.

Dubai-based Khazna Data Centers and Eni, a prominent Italian energy company, have joined forces to establish a joint venture focused on developing a state-of-the-art AI data centre campus in Ferrera Erbognone, Lombardy.

The project envisions a facility with a total IT capacity of 500 megawatts (MW), purpose-built to support high-density AI and high-performance computing workloads.

The signing ceremony in Rome was dignified by the presence of distinguished officials from both the United Arab Emirates and Italy, highlighting the geopolitical and economic importance of this venture.

Blue Power

Central to the innovation of this data centre campus is its power source—so-called “Blue Power”—which will be supplied by Eni. The electricity stems from a new Combined Cycle Gas Turbine (CCGT) power plant characterised by high efficiency and equipped with carbon capture and storage (CCS) technology.

By incorporating these systems, the facility aims to drastically reduce carbon dioxide emissions, thereby aligning with global decarbonisation efforts.

The synergy between low-carbon energy and advanced data centre operations represents a first-of-its-kind model within Italy, positioning the campus as a benchmark for future developments in green digital infrastructure.

The collaboration is a tangible outcome of a broader strategic partnership forged between the UAE and Italy, emphasising mutual commitments to advance artificial intelligence, energy transition, and digital infrastructure.

The initial 500MW capacity is but the first phase of an ambitious programme that could expand to a total IT capacity of one gigawatt (GW) in Italy.

Sustainable energy

The growth trajectory is expected to play a pivotal role in shaping Europe’s AI ecosystem, delivering scalable and energy-efficient infrastructure to meet exponential computational demands.

Hassan Alnaqbi, CEO of Khazna Data Centers, highlighted the joint venture as a defining step in Khazna’s European expansion, emphasising the combined expertise in domain-specific areas such as sustainable energy and digital infrastructure operations.

Similarly, Guido Brusco, Eni’s COO for Global Natural Resources, underscored the strategic importance of the project for Italy and Europe, lauding the rapid implementation timeline and commitment to innovation.

Moreover, the head of terms delineates clear principles, roles, and governance structures for the joint venture company, facilitating streamlined and efficient execution. This structured approach ensures that the project remains aligned with both companies’ strategic objectives and sustainability goals.

According to estimates by the Polytechnic University of Milan, expenditures are projected to double to approximately 10 billion euros in the 2025–2026 period compared to the preceding two years.

This surge reflects broader trends as technology giants intensify their spending to expand digital infrastructure capabilities amid rapidly growing AI and computing demands.