Petronas, Eneos looking at commercial hydrogen

MALAYSIA’S Petronas Hydrogen Sdn Bhd has teamed up with Japan’s Eneos Corp to advance the studies for the first commercial hydrogen production and conversion project in the Malaysian state of Terengganu.

Petronas said in a statement that it has inked a joint feasibility study agreement (JFSA) to advance the studies, adding that the agreement is part of a long-term memorandum of understanding signed in August for the development of a clean hydrogen supply chain between Malaysia and Japan.

“Under the JFSA, both parties will pursue detailed technical and commercial feasibility studies for the production of low carbon hydrogen from Petronas’ existing facilities, production of green hydrogen from a new hydro-powered electrolyser facility, and hydrogen conversion into methylcyclohexane [MCH],” it added.

Petronas expects the facilities to have a total hydrogen production and conversion capacity of up to 50,000 tonnes per year by 2027 for export in MCH form to Japan, where the clean hydrogen would be distributed to Japanese industries through Eneos’ refineries.

It said once onstream, the project could likely be the first commercial scale hydrogen-toMCH undertaking in the world.

However, Petronas pointed out that its final investment decision is expected by the end of next year.

Through Eneos, Petronas said the hydrogen-to-MCH project has been selected as one of the green innovation fund project by the Japanese government.

“This is a testament to the project’s viability and competitiveness which is a critical aspect in the development of the nascent clean hydrogen supply chain.

“The two trillion Japanese yen [$17 billion] funding was introduced to support green research and development projects as well as facility developments to propel Japan’s ambitious decarbonisation plans, which include achieving the three million tonnes per annum clean hydrogen demand target by 2030,” it added.