KUALA LUMPUR — PETRONAS’ wholly-owned subsidiary, PETRONAS CCS Ventures Sdn Bhd (PCCSV), has been granted an Offshore Assessment Permit for Carbon Capture and Storage (CCS) for the Duyong area by the Malaysia Carbon Capture, Utilisation and Storage (MyCCUS) Agency, today.
This marks the first permit issued under the newly enacted Carbon Capture, Utilisation and Storage Act 2025 [Act 870], which came into force on Oct 1, 2025 — a historic milestone for Malaysia’s energy sector.
The Offshore Assessment Permit grants PCCSV exclusive rights to conduct comprehensive offshore geological assessments over the Duyong field, located offshore Peninsular Malaysia. The permit enables the ongoing collaboration between PCCSV, TotalEnergies and Mitsui & Co Ltd (MITSUI) — under the Key Principles Agreement (KPA) signed in July 2025 — to continue advancing studies and evaluations of the Duyong area’s potential as a carbon storage site. This effort forms part of the Southern CCS offshore hub development.
“The granting of the Offshore Assessment Permit by the MyCCUS Agency represents a critical milestone for the Duyong CCS project,” said PCCSV Chief Executive Officer Emry Hisham Yusoff.
“This permit allows our collaboration with TotalEnergies and MITSUI to advance to the next phase of technical studies and evaluations, bringing us closer to realising Duyong’s potential as a safe and commercially viable carbon dioxide (CO₂) storage site. It reinforces PETRONAS’ commitment to reducing emissions and offering decarbonisation solutions to our customers and partners.”
All assessment activities will be conducted in full compliance with the CCUS Act 2025 and its Offshore Permit and Licensing Regulations 2025, adhering to national laws and relevant guidelines to determine the site’s technical and commercial feasibility.
The KPA allows PCCSV, TotalEnergies and MITSUI to lay the groundwork for the front-end engineering design (FEED) phase for the Duyong area. This partnership paves the way for a first-of-its-kind integrated CCS solution for industries in the Asia-Pacific region. The agreement builds upon the initiatives outlined in the CCS Development Agreement signed by PETRONAS, TotalEnergies and MITSUI in 2023.
The permit issuance marks a pivotal step in developing Malaysia’s carbon capture and storage industry, positioning the nation as a regional leader in cross-border CO₂ collaboration and the responsible energy transition. This milestone reinforces PETRONAS’ leadership in lower-carbon technologies and its commitment — through PCCSV — to advance CCS as a key pathway towards achieving Net Zero by 2050, supporting both regional and global climate goals. (Bernama)
