Malaysian energy giant Petronas is joining forces with Japan’s MOL to work on
liquefied carbon dioxide (CO2) transportation in the CCUS value chain.
In that regard, the two firms signed a memorandum of understanding during a virtual ceremony on February 7, according to a Petronas statement on Wednesday.
Also, Petronas EVP and CEO of upstream, Adif Zulkifli, and MOL president and CEO, Takeshi Hashimoto, signed the deal.
The partners will explore liquefied CO2 transportation opportunities in the Asia Pacific and Oceania regions.
Zulkifli said the collaboration of the two companies is important as long-haul liquefied CO2 transportation plays an “essential role” in the CCUS value chain.
“We are confident that MOL’s strong track record, coupled with its recent acquisition of Larvik Shipping AS which has safely transported CO2 for over 30 years, will position both Petronas and MOL as leaders in the region for long haul transportation of liquefied CO2,” he said.
The Malaysian energy giant said it supports the transition towards lower-carbon energy sources by applying technology that lowers emissions across the value chain, including CCUS.
Liquefied CO2 transportation can “safely and efficiently” connect CCUS sites over long distances where pipelines are not economically viable, according to Petronas.
In a separate statement, MOL said the project’s aim is to study specifications of liquefied CO2 transport vessels from the perspective of the entire CCUS value chain in order to establish optimal means for transporting the recovered CO2 to the destination by sea.
Larvik Shipping, partly owned by MOL, will contribute to this study with its know-how.
Japan’s MOL first entered into the liquefied CO2 ocean transport business in March 2021 through investment in the Norway-based firm.
The Japanese shipping giant said this memorandum would further accelerate its efforts for liquefied CO2 sea shipping.