Petronas, Eneos sign hydrogen MoU
SUMMARY
The companies have agreed to work on the development of commercial hydrogen production and conversion project in Terengganu, Malaysia.
By Shardul SharmaPOSTED IN:
Malaysian state-owned energy company Petronas and Japanese refiner Eneos Corp have agreed to work on the development of a commercial hydrogen production and conversion project in Terengganu, Malaysia, Petronas said on March 11.
Petronas and Eneos have signed a joint feasibility study agreement under which the parties will pursue detailed technical and commercial feasibility studies for the production of low carbon hydrogen from Petronas’ existing facilities, green hydrogen from a new hydro-powered electrolyser facility, and hydrogen conversion into methylcyclohexane (MCH).
The agreement is part of the long-term memorandum of understanding (MoU) signed last August for the development of a clean hydrogen supply chain between Malaysia and Japan.
The facilities are projected to have a total hydrogen production and conversion capacity of up to 50,000 metric tons/year by 2027 for export in MCH form to Japan, where the clean hydrogen will be distributed to Japanese industries through Eneos’ refineries. The final investment decision is expected by the end of 2023, Petronas said.
Through Eneos, this hydrogen-to-MCH project has been selected as one of the Green Innovation Fund projects by the Japanese government.
Along with this project and as part of the scope of collaboration under the MoU, Petronas and Eneos are exploring other hydrogen projects and technology opportunities, both domestically and internationally.
