Khazna, Eni partner to create 500MW Milan AI Campus
New joint venture to complete first milestone of 1GW UAE investment plan
#Italy #datacentres - UAE hyperscale data centre operator Khazna Data Centers and Italian energy giant ENI have signed a joint venture agreement to develop a 500MW AI data centre campus in Ferrera Erbognone, Lombardy. The data centre constitutes the first phase of a programme targeting 1GW total compute capacity across Italy, as outlined in the letter of intent signed by G42 Group, ENI and Abu Dhabi’s technology fund MGX in February. The project combines Khazna's advanced data centre expertise with Eni's sustainable energy leadership, featuring low-carbon electricity from a new high-efficiency
SO WHAT? - The announcement of the new Khazna-Eni joint venture confirms what was agreed during UAE President Highness Sheikh Mohamed bin Zayed Al Nahyan’s state visit to Italy during February. At the time, G42 Group Khazna, ENI and MGX were identified as key partners to develop national data centre capacity in Italy with a target of building out 2GW. MGX, G42 Group and ENI signed a Letter of Intent to forge a strategic partnership with a goal of building 1GW in data centre capacity.
Here are the key facts about the data centre project and joint venture:
Khazna Data Centers and Italian energy giant ENI have signed a Head of Terms (HoT) to establish a joint venture for the development of an AI Data Center Campus with a total IT capacity of 500 MW in Ferrera Erbognone, about 45 kilometers outside Milan in Italy’s northern Lombardy region.
The Head of Terms was signed in Rome with UAE Minister of State for International Cooperation Reem Al Hashimy and Italian Minister of Enterprises Adolfo Urso present
The project stems from the strategic partnership announced during UAE President Sheikh Mohamed bin Zayed Al Nahyan's state visit to Italy in February 2025. The new AI data centre campus forms part of a broader programme targeting 1GW total IT capacity.
Eni will supply "Blue Power" through a new high-efficiency Combined Cycle Gas Turbine power plant featuring CO2 capture technology, creating Italy's first decarbonised data centre energy solution.
The campus targets high-density AI and high-performance computing workloads, delivering scalable infrastructure designed for next-generation AI applications across Europe. Khazna Data Centers serves as the main partner for Eni in designing the phased master plan.
Joint venture governance structures will accelerate delivery timelines for the strategic infrastructure project positioned at the heart of Europe's digital transformation.
ZOOM OUT - This joint venture builds upon the UAE's $40 billion investment commitment to Italy announced during President Sheikh Mohamed bin Zayed Al Nahyan's February state visit, which included over 40 bilateral agreements prioritising AI and advanced technologies. The partnership follows sister company Core42's €1 billion investment to deploy the Colosseum supercomputer with Italian AI pioneer iGenius, creating Europe's largest AI compute cluster. Together, these UAE investments represent a strategic push to establish Italy as a continental AI hub whilst deepening bilateral relations through comprehensive technology partnerships.
[Written and edited with the assistance of AI]
Read more about Italy-UAE technology deals:
G42, iGenius to build €1B AI supercomputer in Italy (Middle East AI News)
AI close to the heart of UAE-Italy $40B deal (Middle East AI News)