The Arab Energy Fund and Hartree Partners Commit $120mln to establish climate technology investment platform

Zawya

04-03-2025

The platform will focus on venture capital (VC) stage companies
Collaboration supports The Arab Energy Fund's strategy as the leading impact investor in the energy sector with a focus on energy security and sustainability
Riyadh, Saudi Arabia —The Arab Energy Fund, formerly known as APICORP, a leading multilateral impact financial institution focused on the MENA energy sector, has announced the launch of the 'TAEF Hartree Cleantech LP', a USD 120mn Limited Partnership (LP) with Hartree Partners, a global energy and commodities firm.
The strategic partnership strengthens The Arab Energy Fund's position as the leading regional impact fund focused on investing in the entire energy value chain. It reinforces the Fund's commitment to advancing the energy agendas of its member countries, including energy security, supporting sustainable energy solutions, and innovation.
Incorporated in the UK, the LP will serve as a new platform which aims to leverage proprietary market insights and in-depth research to identify, invest in, and support entrepreneurs in developing physical and digital decarbonization technologies. It will focus on venture capital (VC) stage companies.
Hartree Partners, a global leader in energy and commodities trading, has been advancing the cleantech sector through its venture-growth equity investment strategy since 2020, implemented via its subsidiary, Vertree Partners (Vertree). The subsidiary focuses on carbon markets, scalable industrial decarbonization solutions, and the energy transition value chain.
Hartree has built a robust cleantech portfolio, investing in 10 companies across key energy transition sectors, such as industrial decarbonization, emissions verification, geospatial data and analytics, and climate change adaptation technologies. These investments reflect Hartree Partners' dedication to advancing technologies that drive the transition to a sustainable, low-carbon economy, and will be incorporated into the partnership established by The Arab Energy Fund and Hartree.
Commenting on the announcement, Khalid Ali Al-Ruwaigh, CEO of The Arab Energy Fund, said: "This initiative reflects our strategy to support the energy ecosystem with debt and equity solutions, and advances our member countries' energy agenda, by fostering the development of the local energy value chains in the MENA region and beyond.'
Stephen Hendel, Founding Managing Director of Hartree Partners, added: " We are proud to launch this platform alongside a long-term and trusted partner in The Arab Energy Fund. Together, our unique competencies will combine to expertly source, evaluate, and support transformational cleantech innovations, on a global scale."
The platform already manages a portfolio of ten companies, having previously collaborated with leading investors such as BlackRock, Microsoft, and Union Square Ventures. These investments aim to accelerate the development of innovative decarbonization solutions, reinforcing The Arab Energy Fund's position as a global leader in sustainable energy financing.
The Arab Energy Fund and Hartree Partners are leveraging the platform to accelerate growth in the global cleantech space. This collaboration aims to expand the platform's scale and scope, targeting additional investments in innovative companies poised to drive transformative changes in the global cleantech ecosystem.
This collaboration also strengthens The Arab Energy Fund's leadership in sustainable investment across the MENA region and beyond. For companies seeking investment, please contact George Potts or Peter Gutman at Hartree Partners.
About The Arab Energy Fund
The Arab Energy Fund is a multilateral impact financial institution focused on the MENA energy sector established in 1974 by the ten Arab oil-exporting countries. The Arab Energy Fund's mission is to enable a secure and sustainable energy future for the region through a comprehensive range of financing and direct equity solutions and expert advisory services across the entire energy value chain to leading public and private sector business partners in 25 countries. The Arab Energy Fund applies best-practice ESG principles across all operations, with environmental and socially-linked projects comprising 20% of its USD 5.3bn loan portfolio. The Arab Energy Fund is the only energy-focused financial institution in the MENA region rated 'Aa2' by Moody's, 'AA' by Fitch and 'AA-' by S&P.
ABOUT Hartree Partners
Hartree Partners, LP is a leading global energy and commodities firm with an international reputation for integrity developed over decades.
Hartree's global breadth and reach provide a competitive presence in a comprehensive range of commodity markets, enriched by the firm's employees who add deep insight, expertise and innovative thinking.
The firm has also been a key driver of momentum in the cleantech sector, through numerous strategic partnerships and investments. These include Ampyr Solar Europe (a 7GW solar development company); Vertree (a carbon markets, industrial decarbonisation and energy transition value chain specialist); and CHC (a battery energy storage joint venture formed with CATL and CFC).