Italian oil and gas company Eni has announced it has signed an agreement with the government of Mozambique for the production of agro-feedstocks for biofuels from oilseeds and vegetable oils.

The agreement between the company and the Ministry of Agriculture and Rural Development of the Republic of Mozambique (MADER) was signed on 28 February, Eni said.

As part of the joint venture, Eni and MADER will assess potential sites and the most appropriate crops for the production of oilseeds and vegetable oils, focusing on areas that would not compete with food production and taking into consideration the preservation of forests and natural ecosystems, according to the statement.

Other initiatives would include the collection and valorisation of agricultural and agro-processing residues, and by-products and co-products, for the production of bio-feedstock and natural climate solutions, Eni said.

Eni said the agreement built on the memorandum of understanding it had signed with the government of Mozambique in 2019 for the joint definition of sustainable development and decarbonisation projects to support the country’s National and Local Economic and Social Development Agenda.

The project was also in line with Eni´s commitments to accelerate energy transition in fossil fuel producing countries, and promote the integration of the African continent into the biofuel value chain through agribusiness and industrial development initiatives aimed at producing advanced biofuels, the company said.