Petronas, MOL, MISC to develop LCO2 carriers for CCS projects in Malaysia
SUMMARY
The parties have agreed in principle on the key commercial terms to allow progress to the next stage. [Image: Petronas]
By Shardul SharmaPetronas CCS Ventures, a unit of Petronas, has signed a term sheet with Mitsui O.S.K Lines (MOL) and MISC for the potential incorporation of a joint venture to invest in developing and monetising liquefied carbon dioxide (LCO2) carriers for carbon capture and storage (CCS) projects in Malaysia, Petronas announced on September 22. The parties have agreed in principle on the key commercial terms to allow progress to the next stage.
Petronas said that the term sheet builds on the February 2022 memorandum of understanding signed with MOL and the four approvals in principle (AiPs) for the conceptual design of the LCO2 carriers in June 2023.
“LCO2 carriers are integral to the CCS value chain to connect customers to carbon capture sites and storage locations. By combining our individual strengths, we will be able to facilitate the development and subsequently materialise the transportation of liquefied CO2 in a safe and sustainable manner,” Petronas CEO of upstream, Datuk Adif Zulkifli, said.
Petronas said that this partnership further reinforces the company’s commitment in establishing Malaysia's potential as a prominent regional hub for CCS.
