Malaysia Eyes CO2 Transport Partnership with Japan

Malaysia’s state-owned Petroliam Nasional Berhad (Petronas) has signed a memorandum of cooperation (MOC) with Japan’s Ministry of Economy, Trade and Industry (METI) and the Japan Organization for Metals and Energy Security (JOGMEC) for projects in the cross-border transportation of carbon dioxide (CO2).

Petronas said in a media release announcing the MOC that CCS is one of the solutions to significantly reduce CO2 emissions but that there is a lack of suitable storage sites. Cross-border CO2 transportation can enable regional collaboration in light of this, it said.

The MOC seeks to strengthen cooperation in cross-boundary CCS projects between Japan and Malaysia, building on the common interest in building a CCS value chain and business model for future carbon neutrality to enhance economic, industrial and social development, according to Petronas.

The MOC also seeks to facilitate the exchange of key information on CCS between Petronas and relevant Japanese industries, including exchanges of information on country-specific laws and regulations relating to CCS, Petronas said. The parties may also explore CCS and related cooperation with key partners including Japanese companies supported by JOGMEC.

The signatories of the MOC were Petronas head of carbon management, Emry Hisham Yusoff, METI’s parliamentary vice-minister, Yoshida Nobuhiro, and JOGMEC Vice-President for the Energy Business Unit Yamamoto Koji.

“Through this collaboration, partners would be able to establish a deeper understanding on crucial aspects pertaining to the viability of CCS value chain as a solution for reducing greenhouse gas emissions within the respective business landscapes,” Hisham Yusoff said.

Petronas added that it is looking at CCS as a key solution in addressing emissions from its operations, as well as local industries. Recognizing the importance of regional collaboration in addressing climate change, Petronas said it continues to form strategic partnerships as part of its steps in building a resilient and sustainable portfolio while accelerating its net-zero carbon emissions 2050 pathway.

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