KUALA LUMPUR, Oct. 23 (Xinhua) -- Petroliam Nasional Berhad (Petronas)'s wholly owned subsidiary PETRONAS CCS Ventures, TotalEnergies EP CCS Malaysia, and Mitsui & Co have signed a joint venture agreement to develop carbon dioxide (CO2) storage areas offshore Peninsular Malaysia as part of the Southern Carbon Capture and Storage (CCS) Hub.
The agreement establishes a framework for a dedicated joint venture company to develop, commercialize and operate the storage areas, building on development studies and technical evaluations conducted since 2023, Petronas said in a statement on Friday.
The first phase targets a depleted offshore gas field with an expected injection capacity of up to 5 million tons of CO2 annually. First injection is targeted as early as 2031, subject to industry readiness.
The project aims to support Malaysia's ambition to become a regional CCS hub by providing long-term CO2 storage for hard-to-abate industries. The Southern CCS Hub is designed to receive CO2 from domestic and regional sources, including potential cross-border shipments. ■
