MILAN — Eni completed a $225m investment for a 25 per cent stake in EnergyX's lithium project in Chile on Wednesday, cementing the Italian energy group's push into critical minerals for battery supply chains.

The agreement gives Eni a foothold in one of the world's richest lithium regions, where EnergyX plans to deploy direct lithium extraction technology. The method, known as DLE, aims to recover lithium from brine more quickly and with lower water use than conventional evaporation ponds. Eni said the partnership would support its energy transition strategy through its Plenitude and dedicated minerals units.

EnergyX, headquartered in Austin, Texas, has been developing extraction operations tied to the Salar de Uyuni and Chilean salt flats. An EnergyX spokesperson said the Eni funding would accelerate pilot-to-commercial scaling and secure feedstock for European battery manufacturers seeking alternatives to Chinese-dominated supply.

The transaction reflects a wider race among European energy majors to lock in lithium ahead of tightening electric-vehicle demand and EU rules on domestic sourcing under the Critical Raw Materials Act. Analysts at Wood Mackenzie have noted that oil-and-gas firms are increasingly diversifying into battery minerals to hedge against declining hydrocarbon revenues.

Eni chief executive Claudio Descalzi has repeatedly framed critical minerals as central to the company's decarbonisation roadmap. The Chile investment adds to Eni's growing portfolio of energy-transition assets spanning renewables, biofuels and upstream battery materials.