Petronas has, through a subsidiary company, signed an MoU with Japan’s Eneos Corporation to jointly develop a hydrogen supply chain between Malaysia and Japan, and to explore other opportunities in the field
The MoU will see both companies embark on a technical-commercial joint-study of a hydrogen supply chain which includes hydrogen production and its transportation in methylcyclohexane (MCH) form, where hydrogen is converted from its original gaseous state into a liquid form to enable large volume deliveries.
The companies are eyeing the development of liquid organic hydrogen carrier (LOHC) technology such as MCH. Methylcyclohexane’s chemically stable nature allows for long-term storage and long-distance transportation.
Use of LOHC technology will build on the knowledge and use of conventional oil and petrochemicals infrastructure which heavily reduces the need to develop new assets, making it a viable option for established energy players to implement.
As such, the partners have applied for funding from the Japanese Government’s Green Innovation Fund which sponsors decarbonisation projects. While in Malaysia, the development of a hydrogen-based economy is set to complement future growth as the country prepares to transition towards a low-carbon economy.
The partners will also explore low-carbon hydrogen production from Petronas’ petrochemical facilities, which already produce low-carbon hydrogen, and in the future, explore hydrogen produced by renewable energy (green hydrogen) with the goal of producing it at scale.
“We are proud to expand our three-decade long energy partnership with Eneos to include hydrogen, on top of what we have established in the LNG space. More importantly, this partnership is a testament of how industry collaboration can help accelerate our shared aspiration towards a low-carbon future,” said Petronas Gas + New Energy executive vice president and chief executive Adnan Zainal Abidin.
The MoU stems from the companies having common stated goals. While both Petronas and Eneos are in the oil and gas business, in 2020, Petronas announced its intent to achieve net-zero carbon emissions by 2050 as part of its approach towards sustainability. The Malaysian outfit has signed a MoU with JERA to improve LNG, ammonia and hydrogen supply chains.
Eneos is working towards achieving its carbon-neutral ambition via its Environmental Vision 2040.
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