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Green Hydrogen H2 News

PETRONAS and ENEOS sign MoU on hydrogen

Arnes BiogradlijaBy Arnes Biogradlija13/09/20212 Mins Read
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PETRONAS and ENEOS Corporation have signed a Memorandum of Understanding to collaboratively build a competitive, clean hydrogen supply chain between Malaysia and Japan, as well as to explore new hydrogen opportunities.

Under the terms of the MoU, both parties will conduct a technical-commercial joint study of a hydrogen supply chain that includes hydrogen production and transportation in methylcyclohexane (MCH) form, in which hydrogen is converted from its gaseous state to a liquid form to enable large-scale deliveries.

PETRONAS and ENEOS will also investigate low-carbon hydrogen generation from PETRONAS’ petrochemical plants, as well as green hydrogen produced from renewable energy sources in the future.

Due to its chemically stable character, which allows for long-term storage and long-distance delivery, the development of liquid organic hydrogen carrier (LOHC) technology such as MCH is quickly gaining traction. Furthermore, LOHC makes use of existing conventional oil and petrochemicals infrastructure, reducing the need to construct new assets and making it a realistic choice for established energy companies to execute.

ENEOS has requested for funding from the Japanese government’s Green Innovation Fund, which supports decarbonization projects and initiatives, for this project alongside PETRONAS. As Malaysia prepares to transition to a low-carbon economy, the development of a hydrogen-based economy is expected to complement future growth.

The Memorandum of Understanding originates from PETRONAS and ENEOS’ shared goal of reaching net zero carbon emissions by 2050. PETRONAS said in 2020 that as part of its holistic approach to sustainability, it intends to attain Net Zero Carbon Emissions by 2050, while ENEOS is seeking to accomplish its carbon neutral target through its Environmental Vision 2040.

“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 liquefied natural gas (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 Officer Adnan Zainal Abidin.

“With emerging clean energy sources like hydrogen, innovation and collaboration with partners in technological development are key, as they contribute towards achieving cost competitiveness and scalability for wider use across businesses and industries,” he added.

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