RINA has secured an important contract from PETRONAS CCS Solutions Sdn Bhd (PCCSS). This marks another step towards Malaysia attaining net zero emissions supported through carbon capture and storage technologies.

Pre-FEED Study

RINA will head the pre-FEED study of a significant CCS project that will be situated in Malaysia. It will target two hubs: the Northern hub in Kerteh and the Southern hub in Kuantan. Three distinct scopes will be dealt with. They are the onshore terminal, jetty, and pipeline for the Northern hub and the onshore terminal for the Southern hub, including the offshore pipeline and platform.

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Key Steps in Malaysia’s Decarbonisation Strategy

The pre-FEED study will deliver an optimized engineering plan for the collection, transportation, and storage of CO2. The study will complete by the end of 2024. The outcome will work as a guide for the future CCS project design and implementation.. This is part of Malaysia’s efforts in reducing CO2 emissions under its long term decarbonization strategy.

Partnership with PETRONAS

RINA’s successful bidding for the project is supportive of its strategic partnership with PETRONAS.  The undertaking is in line with Malaysia’s sustainability goals and provides a key contribution to regional management of CO2.

Enrico Beccaceci, ASEAN Engineering Integration Senior Manager at RINA, stated that the contract strengthens RINA’s position in Southeast Asia. He highlighted that the CCS project not only helps reduce CO2 emissions but also contributes to global carbon reduction efforts. RINA’s technical expertise, particularly demonstrated through multiple rounds of technical clarifications, was critical in securing the contract.

Infrastructure for CO2 Collection and Storage

RINA’s work scope includes the detailed plan for the infrastructure to manage CO2, including capture at industrial sites, pipelines for transportation, and offshore geological formations for storage. The project aims to capture millions of tonnes of CO2 annually, reducing emissions significantly from key industrial sectors. Depleted oil fields and subsurface structures will primarily store the captured CO2 permanently.

Contribution to Global Carbon Reduction Efforts

This CCS initiative is an essential part of Malaysia’s strategy for carbon management and environmental sustainability. By utilizing Malaysia’s natural subsurface structures, the project will ensure long-term, safe storage of CO2, while helping the country meet its decarbonisation goals.

INPEX Corporation, an oil and gas company based in Japan has started the front end engineering design (FEED) work for the Niigata Prefecture offshore hydrogen production in Japan. The project will leverage INPEX’s existing fields and infrastructure to generate low-carbon energy.

The project also comprises a new hydrogen production plant that has an annual production capacity of approximatively 100,000 tons. Raw materials will come from INPEX’s Minami-Nagaoka Gas Field and LNG shipped to its Naoetsu Terminal in Niigata Prefecture. INPEX will mainly source LNG from the Ichthys LNG project.

The plant will provide hydrogen for electricity and heating to Niigata Prefecture and surrounding region and will be operational around fiscal 2022.

The facility will use carbon capture and storage technology to capture CO2 emissions during hydrogen production and inject them into Niigata’s depleting gas fields. This would make all the hydrogen produced in such a facility classed as blue hydrogen compared to others produced using traditional methods.

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INPEX’s blue hydrogen project is one of the very few initiatives in Japan, which improves energy security and also offers solutions for low-carbon energy. The project will largely help supply clean energy by creating large-scale production of domestic gas reserves-based blue hydrogen.

For more than 60 years, INPEX has explored and produced oil and natural gas in Niigata Prefecture, building up experience. In addition, the company runs an LNG terminal in the area. INPEX’s new project is to develop Niigata Prefecture as a clean energy hub and expand its low-carbon energy business.

Also read: Neste Withdraws from Renewable Hydrogen Project

Commitment to Net Zero and Future Targets

INPEX’s blue hydrogen production initiative aligns with its Vision @2022, announced in February 2022. It provides a framework of how the company is going to achieve net-zero emissions. Under this vision, INPEX has ambitious targets for its hydrogen and CCS/CCUS business. The company aims to commercialize three or more projects by 2030, while the production and supply of 100,000 tons of hydrogen or ammonia per year and injecting 2.5 million tons of CO2 per year is the target.