Japan's JGC, JX Nippon eye CCS development in Malaysia

Japan's JGC Holdings Corp. and JX Nippon Oil and Gas Exploration Corp. have signed a memorandum of understanding with state-owned Petronas to study the potential of carbon capture and storage (CCS) in Malaysia, JGC said on October 4.

The study targets not only CO₂ from Malaysia but also seeks to expand the possibility of permanently storing CO₂ from countries like Japan. JGC, JX, and Petronas will construct the entire CCS value chain, from CO₂ separation, capturing, transportation, injection, and storage.

JGC said the study may also lead to opportunities in other related businesses such as low-carbon solutions and blue hydrogen or blue ammonia, which would help accelerate the energy transitions in Asia.

In September, Petronas penned a memorandum of cooperation with Japan’s ministry of economy, trade and industry (METI) as well as a memorandum of understanding with the Japan Bank for International Cooperation (JBIC) to pursue mutual sustainability goals of achieving carbon neutrality by 2050.