THREE companies have signed an agreement for a potential joint venture to invest in developing and monetising liquefied carbon dioxide carriers for carbon capture and storage projects in Malaysia.

Petronas CCS Ventures, a wholly-owned subsidiary of Malaysian state oil company Petronas signed a term sheet with Japanese maritime transport colossus Mitsui O.S.K Lines and Malaysian international shipping line MISC to investigate developing the joint venture.

The term sheet builds on a February 2022 memorandum of understanding (MOU) signed with MOL and the four Approval in Principle (AiPs) for the conceptual design of the LCO2 carriers in June 2023.

Petronas executive vice-president and chief executive officer of upstream Datuk Adif Zulkifli said: “LCO2 carriers are integral to the CCS value chain to connect customers to carbon capture sites and storage locations. Our partnership with MOL and MISC is a powerful synergy of multiple expertise, abundant resources, and shared values. By combining our individual strengths, we will be able to facilitate the development and subsequently materialise the transportation of liquefied CO2 in a safe and sustainable manner”.

MISC president and group chief executive officer Captain Rajalingam Subramaniam said: “As a future-focused shipowner, MISC is well-equipped to deliver the technical expertise required for LCO2 shipping, an essential link in the carbon capture and storage value chain”.