Kuala Lumpur: Petroliam Nasional Bhd (Petronas) is actively seeking local and international partners across the carbon capture and storage (CCS) supply chain to solidify its role in the sector, with up to seven potential CCS sites identified in Malaysia.
According to BERNAMA News Agency, Petronas Carbon Management Department senior general manager Emry Hisham Yusoff emphasized the importance of collaboration, especially in developing CCS terminal infrastructure and securing necessary financing.
Petronas is currently developing an onshore terminal at Kuantan Port and is on the lookout for partners to provide essential capabilities that local players currently lack. At present, Petronas is handling all work related to the Kuantan terminal, while continuing to search for appropriate partners. This was revealed during a CCS media dialogue hosted by Petronas, coinciding with the Energy Asia 2025 conference.
Petronas is collaborating with global entities such as TotalEnergies, Mitsui and Co, and a Japanese consortium comprising JGC Holdings and K Line to explore CCS storage opportunities in Malaysia. Emry explained that although CCS projects aim to mitigate climate impact by handling carbon dioxide emissions, they do not always qualify as ‘green’ investments. However, Singapore has implemented a framework for transition financing, under which CCS is eligible, highlighting the need for partners across every stage of the value chain.
Emry disclosed that Petronas has pinpointed up to seven potential CCS sites nationwide, alongside three existing sites: two in Peninsular Malaysia and one in East Malaysia. One of the sites in Peninsular Malaysia is within the Malaysia-China Kuantan Industrial Park, where Petronas aims to provide decarbonization solutions to industries, supporting Malaysia’s climate commitments.
He also mentioned the M1 site, intended as a storage location for CO2 from the Kasawari gas field, a significant natural gas development within Petronas’ LNG portfolio. The Kasawari CCS project will manage CO2 emissions comprising 20 percent of the gas field’s output.
To date, Petronas has invested up to RM5 billion in CCS initiatives, demonstrating its dedication to establishing a sustainable ecosystem for long-term CO2 storage. The company is aiming for a minimum CCS capacity of 80 million tonnes per year, addressing both its emissions and Malaysia’s domestic needs. Emry noted that the potential exceeds this figure, contingent on further studies and the sustainability of the storage sites.