ADNOC, Petroliam Nasional Berhad (Petronas), and Storegga, a UK-based CO2 storage systems supplier, have agreed to collaborate on offshore carbon capture and storage in Malaysia.
Petronas said, that they signed a joint study and development agreement (JSDA) to assess saline aquifers’ CO2 emissions storage capacity and build CCS facilities in the Penyu basin, offshore Peninsular Malaysia.
The agreement aims to capture and store at least 5 million tonnes of CO2 per year (mtpa) by 2030 and includes a CO2 shipping and logistics study, geophysical and geomechanical modelling, reservoir simulation, containment research, and the use of advanced technologies like artificial intelligence (AI) to increase storage capacity.
It should be mentioned that Petronas is a part of the committee for Malaysia’s National Energy Transition Roadmap (NETR), which has named CCS as one of six energy transition levers that will help the nation become resilient, low-carbon, and sustainable. By the end of 2024, the Malaysian government plans to introduce a stand-alone CCUS bill.
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As one of the few businesses who bravely took the initial steps to advance CCS globally when it was still in its infancy, Petronas emphasized how important it is to work with Storegga as a partner in Malaysia. It was mentioned that Storegga is now regarded as one of the industry leaders in this field.
“This agreement with ADNOC and Storegga will potentially allow us to build our capability to develop and de-risk saline aquifers as carbon dioxide storage sites by leveraging on our partners’ expertise and experience in other regions,” said Nora’in Md Salleh, PETRONAS CCS Solutions Sdn. Bhd. (PCCSS)’s Chief Executive Officer .According to her, this strategic partnership aligns with Petronas’ overarching goal of establishing Malaysia as a regional CCS hub to serve Asia Pacific where it may build up the storage capacity through saline aquifers. This also demonstrates our earnestness in establishing the right pace to deliver CCS hubs here while also contributing to the national climate target,” she noted.
The deal will greatly speed up regional CCS deployment while fostering cooperation between the strategic partners, and Malaysia’s geological abundance of deep saline aquifer reservoirs should enable the development of large-scale, permanent CO2 storage solutions, according to the statement.
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The establishment of a regional CCS center that serves both local and foreign emitters will be made possible by the accomplishment of this program.
“This pioneering partnership is an opportunity to develop a world-class CCS hub and bring about large-scale industrial decarbonization, Storegga’s experience from other leading CCS regions, plus the expertise of our partners, represent a combined intent to act now to tackle climate change,” said Tim Stedman, Chief Executive Officer of Storegga.
It is mentioned that by 2030, ADNOC hopes to have a carbon capture capacity of 10 mtpa, or the same amount of emissions as 2 million internal combustion cars.
“Carbon capture is an important tool to responsibly reduce carbon emissions and ADNOC will continue to develop this technology as we work towards our net zero by 2045 goal, We are committed to working with trusted global partners like Petronas and Storegga to develop and utilize global carbon management hubs, enabling our customers to reduce their emissions and supporting their decarbonization goals,” said Hanan Balalaa, ADNOC Senior Vice President for New Energies.
About Petronas
Petroliam Nasional Berhad (PETRONAS) is a global energy leader committed to responsible and sustainable progress. The Fortune Media IP Ltd.’s 2022 Fortune Global 500® list ranks us among the world’s largest enterprises by revenue with close to 50,000 workers and a global reach of over 100 countries.
About ADNOC
ADNOC, are one of the top producers of energy in the world and a major driver of Abu Dhabi’s expansion and diversification.
About Storegga
Storegga is building carbon capture, transport, and deep geological storage infrastructure. Transporting and storing carbon dioxide allows low-carbon hydrogen generation and direct air capture.
