Malaysia’s energy powerhouse Petronas and Mitsui & Co of Japan are teaming up for conceptual and feasibility studies on the carbon capture and storage (CCS) value chain, including the evaluation of carbon dioxide storage sites in Malaysia.

Under a memorandum of understanding, the companies will evaluate potential CO2 storage sites offshore Peninsular Malaysia in line with Petronas’ aim to establish Malaysia as a regional CCS hub in the Asia Pacific.

The scope of collaboration covers the evaluation of the CCS value chain, capturing and gathering strategy of CO2 from various industries, competitive transportation of the CO2 and emerging technology in direct air capture.

“Through this collaboration, Petronas can leverage on Mitsui’s experience in its CCS project in the United Kingdom, which is the first CO2 [ appraisal and storage licence issued by the UK’s Oil and Gas Authority [now called North Sea Transition Authority],” said Petronas head of carbon management Emry Hisham.

“We are confident that the feasibility studies will bring about valuable contribution in unlocking CCS potential in Malaysia.

“This is one of the many efforts to establish Malaysia as a leading CCS solutions hub in the region.”

The collaboration with Mitsui is part of Petronas’ strategy to build a sustainable portfolio to support the transition toward climate change and subsequently participate in lower-carbon energy plays through collaborative efforts with industry partners.

The duo intend to leverage their combined strength, network and expertise to progress in these areas.