@ green | March-April , 2022

Agreement to develop a clean hydrogen supply chain between Malaysia and Japan

Under the JFSA , both parties will pursue detailed technical and commercial feasibility studies to produce low carbon hydrogen from Petronas existing facilities , produce green hydrogen from a new hydro-powered electrolyser facility , and hydrogen conversion into methylcyclohexane ( M . C . H .).

The agreement is part of the long-term Memorandum of Understanding ( MoU ) signed last August to develop 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 tonnes per annum

MALAYSIAN gas shipper Petrolife Aero Sdn Bhd ( Petrolife ) has inked a gas sale agreement ( G . S . A .) with PETRONAS Energy & Gas Trading Sdn Bhd ( PEGT ) for the supply of natural gas .

Under the G . S . A ., PEGT will provide natural gas supply to Petrolife for five years , beginning January 2022 .

The agreement cements Petrolife ’ s position as one of several natural gas shippers in Malaysia , following the full liberalisation of the non-power sector natural gas market under the Third-Party Access ( T . P . A .) mechanism from 2022 onwards .

This development is a step forward in the operationalisation of the T . P . A . by the government to strengthen Malaysia ’ s energy security and improve the efficiency of the natural gas ecosystem through increased industry participation .

The agreement , said Petrolife Managing Director Datuk Mohd Aqliff Shane , signifies the company ’ s commitment to providing a secure supply of natural gas to industrial customers .

“ It is the long-time commitment

( 50KTPA ) by 2027 for export in M . C . H . form to Japan , where the clean hydrogen will be distributed to Japanese industries through ENEOS ’ refineries . Once onstream , the project could potentially be the first commercial-scale hydrogento-MCH undertaking globally . Its Final Investment Decision is expected by the end of 2023 .

Through ENEOS , this hydrogento-MCH project has been selected as one of the Green Innovation Fund projects by the Japanese government , a testament to the project ’ s viability and competitiveness which is a critical aspect in the development of the nascent clean hydrogen supply chain .

The two trillion Japanese Yen funding was introduced to support green research and development projects and facility developments to propel Japan ’ s ambitious decarbonisation plans , which include achieving the three million tonnes per annum clean hydrogen demand target by 2030 .

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 . This collaboration is intended to develop a competitive hydrogen supply chain that is crucial for both parties ’ decarbonisation agenda .

PETRONAS continues to strengthen its position in hydrogen following its venture into this space at the end of 2020 . Since then , it has entered into several strategic partnerships with international and domestic players to grow its hydrogen production capabilities and delivery networks , covering low-carbon and green hydrogen .

Recently , the Company announced that it will set up a new , independent entity focused entirely on cleaner energy solutions and will capture opportunities in the energy transition alongside its core portfolio . The entity will provide customers with lower carbon solutions through three initial core offerings – renewables , hydrogen and green mobility .

of Petrolife to support the T . P . A . mechanism and the natural gas industry liberalisation . Natural gas is the cleanest fossil fuel and the best energy source as the world transitions into renewable energy . By encouraging the use of natural gas , we are aligning the industries with the government ’ s net-zero carbon ambition while ensuring greater economic growth ,” Mohd Aqliff said .

“ We would like to thank PEGT for this maiden collaboration . We look forward to more partnerships as Petrolife further establishes its market presence as a trusted natural gas shipping company in Malaysia .”

PEGT Chief Executive Officer Mohd Khairuddin Khalik said : “ With this new partnership ,

PETRONAS Energy & Gas Trading CEO Mohd Khairuddin Khalik ( 2nd from left ) and Petrolife MD Datuk Mohd Aqliff Shane ( 2nd from right ).

PEGT and Petrolife will continue to supply natural gas to domestic users via flexible energy solutions and competitive pricing whilst pursuing more collaboration in the near future .”

With the G . S . A ., Petrolife has successfully shipped natural gas to its industrial customers since 2022 , said Petrolife Director , Commercial and Trading , Samsul Ariff Idris .

“ Petrolife strives to set new benchmarks in proving that the gas market liberalisation can be done successfully . For the industry , the entry of new players such as Petrolife will encourage a more efficient price discovery process , foster better productivity , and entice greater investments across the gas value chain in the years to come ”, said Samsul Ariff .

Petronas collaborates with Mitsuk OSK Lines

PETRONAS has signed a Memorandum of Understanding ( MoU ) with leading global shipping company Mitsui OSK . Lines , Ltd ( M . O . L .) to jointly explore opportunities in liquefied carbon dioxide ( CO2 ) transportation for the carbon capture , utilisation and storage ( CCUS ) value chain in Asia Pacific and Oceania regions .

The MoU was signed in a virtual ceremony on Feb 7 by Petronas Executive Vice President and Chief Executive Officer of Upstream , Adif Zulkifli and M . O . L . President and Chief Executive Officer Takeshi Hashimoto .

Adif said : “ Petronas continuously explores opportunities to reduce carbon emissions in our operations . This collaboration is important as long haul liquefied CO2 transportation plays an essential role in the CCUS value chain .

“ We are confident that M . O . L .’ s strong track record , coupled with its recent acquisition of Larvik Shipping AS , which has safely transported CO2 for over 30 years , will position Petronas and M . O . L . as leaders in the region for long haul transportation of liquefied CO2 .”

Petronas and Japex on carbon capture and storage solutions

PETRONAS has signed a Memorandum of Understanding ( MoU ) with Japan Petroleum Exploration Co ., Limited ( JAPEX ) to collaborate on carbon capture and storage ( C . C . S .) opportunities , including suitable carbon dioxide ( CO2 ) storage solutions in Malaysia .

Under the MoU , Petronas and Japex will perform technical maturation activities to unlock potential C . C . S . solutions , including evaluating optimal capture , storage and transportation methods , and estimation of emissions , capture volumes and monitoring methods of CO2 stored underground .

This joint study will consider methods to capture and transport CO2 from the Petronas LNG Complex in Bintulu and from outside Malaysia as a future possibility .

Signing the MoU on behalf of Petronas was , while Japex was represented by Representative Director and Executive Vice President , Kazuhiko Ozeki . The signing was witnessed by Japan ’ s Ministry of Economy , Trade and Industry representative , Takeshi Soda and Petronas ’ Head of C . C . S . Enterprise Unit , Upstream , Nora ’ in Md Salleh .

PCG partners with KDEB and Biosys to drive circular economy of plastics

PETRONAS Chemicals Group Berhad ( PCG ) signed a Memorandum of Understanding ( MoU ) with KDEB Waste Management ( KDEBWM ) and One Biosys Sdn Bhd for the supply of plastic waste from landfills and evaluation of potential collaboration to build waste segregation facilities in Malaysia .

Under the MoU , KDEBWM and One Biosys will supply plastics waste that consists of polyethylene ( PE ), polypropylene ( PP ) as well and polyethylene terephthalate ( PET ) to PCG for the production of circular products for food packaging , healthcare , household and industrial applications .

The MoU also covers a joint feasibility study to evaluate the commercial viability of building waste segregation facilities in Malaysia , ensuring effective plastic waste segregation .

Signing the MoU on behalf of PCG was Managing Director / CEO Mohd Yusri Mohamed Yusof . At the same time , KDEBWM was represented by its Managing Director , Ramli Mohd Tahir and One Biosys by its Executive Director , Dr Muhammad Yani . — @ Green