Malaysian state energy firm Petroliam Nasional (Petronas) will collaborate with Abu Dhabi National Oil Co. and UK-based Storegga to evaluate carbon dioxide emissions storage in Malaysia, the companies said on Tuesday.
According to a press statement, the three companies have signed an agreement to assess the CO2 storage capabilities of saline aquifers and the construction of carbon capture and storage facilities in the Penyu basin, offshore Peninsular Malaysia.
The deal targets at least 5 million tonnes per annum of CO2 capture and storage capacity by 2030.
“This agreement with ADNOC and Storegga will potentially allow us to build our capability to develop and de-risk saline aquifers as CO2 storage sites by leveraging on our partners’ expertise and experience in other regions,” said Nora’in Md Salleh, CEO of Petronas CCS Solutions.
“This 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.”
Petronas is a member of Malaysia’s National Energy Transition Roadmap Committee, which has identified CCS as one of six energy transition levers that enable the country to be sustainable, low-carbon, and resilient. The Malaysian Government is set to table a standalone CCUS bill by the end of 2024.
Deep saline aquifers
Malaysia has an abundance of deep saline aquifer reservoirs, which presents an opportunity for developing a CCS hub in Southeast Asia.
Deep saline aquifers are underground layers of porous rock containing salty water. While unsuitable for drinking or agriculture, they hold immense potential for other uses.
They are considered prime locations for storing CO2 captured from industrial processes and can help Malaysia reduce its carbon footprint and contribute to global climate change mitigation efforts.
Malaysia’s strategic location, existing infrastructure, and growing focus on sustainable development position the country well to capitalize on the opportunities presented by these underground reservoirs.
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