PETRONAS’ subsidiary, PETRONAS CCS Solutions Sdn Bhd (PCCSS), has signed a land rental agreement with Kuantan Port Consortium to advance its Southern CCS hub project in Pahang, Peninsular Malaysia. This development is set to commence its first carbon injection by 2029 and will play a pivotal role in reducing carbon emissions from hard-to-abate industries both locally and internationally.
The partnership will also facilitate knowledge transfer between PETRONAS and Kuantan Port. Kuantan Port’s expertise in handling diverse cargo and fostering regional trade, along with its modern logistics solutions, will be valuable to the CCS hub’s development.
According to PETRONAS, the hub’s location is ideal for an integrated CCS value chain and is expected to create new economic opportunities for the surrounding communities.
PCCSS CEO Nora’in Md Salleh emphasized the hub’s importance for Malaysia’s energy transition and net-zero carbon goals. She noted that the hub will offer decarbonization solutions for industries such as steel, chemicals, cement, power generation, and petrochemicals in Pahang. The hub will also connect industrial areas in Western Peninsular Malaysia and the Asia Pacific region that are pursuing decarbonization efforts.
PETRONAS highlighted that advancing CCS is a key part of its strategy to address emissions from its operations and other regional industries. The company is committed to building a resilient and sustainable portfolio and accelerating its path toward achieving net-zero carbon emissions by 2050.