Two Japanese players have inked an agreement to pursue the creation of a carbon capture and storage (CCS) value chain between Malaysia and Japan.
Tokyo-headquartered Mitsui & Co. and the Hiroshima-headquartered Chugoku Electric Power Co., Inc. concluded a memorandum of understanding (MoU) concerning a joint study aimed at the creation of a value chain encompassing CCS and carbon transportation.
The value chain is set to be developed for a CO2 storage site offshore Malaysia that is being jointly developed by Mitsui, Malaysia’s Petroliam Nasional Berhad through its subsidiary Petronas CCS Solutions, and TotalEnergies.
The study aims to build a CCS value chain on a commercial scale between Malaysia and Japan and will cover the topics of the separation, capture, liquefaction, and temporary storage of CO2 emitted by a coal-fired thermal power plant operated by Chugoku Electric Power, transportation of liquefied CO2 to Malaysia, permanent geological storage of the CO2 offshore Malaysia, and innovative initiatives, including the use of floating offshore temporary storage facilities.
Mitsui, Petronas, and TotalEnergies have been jointly developing the CO2 storage site offshore Malaysia since June 2023, and are aiming to start storing CO2 by around 2030.
Mitsui also notes that it had been actively pursuing various initiatives with the goal of the early launch of CCS business, including equity investment in UK CCS company Storegga , and contracted survey services relating to a feasibility survey on Japanese Advanced CCS Projects promoted by Japan Organization for Metals and Energy Security (JOGMEC) in 2023.