PETRONAS’ wholly-owned subsidiary, PETRONAS CCS Ventures , has been granted an Offshore Assessment Permit for Carbon Capture and Storage  for the Duyong area by the Malaysia Carbon Capture, Utilisation, and StorageAgency on 10 October 2025.

This is the first permit issued under the newly enacted Carbon Capture, Utilisation, and Storage Act [Act 870] (CCUS Act 2025) gazetted on 1 October 2025, marking a historic milestone for Malaysia’s energy sector.

The Offshore Assessment Permit grants the exclusive rights to conduct comprehensive offshore geological assessments over the Duyong field, located offshore Peninsular Malaysia. This permit enables the ongoing collaboration between PCCSV, TotalEnergies and Mitsui & Co., Ltd. (MITSUI) under the Key Principles Agreement (KPA) dated July 2025 to continue advancing studies and evaluation of the Duyong area’s potential as a carbon storage site, which is 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 Emry Hisham Yusoff, Chief Executive Officer of PCCSV. “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 towards 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 enables PCCSV, TotalEnergies, and MITSUI to lay the foundation for the front-end engineering design (FEED) phase for the Duyong area. This partnership paves the way for the 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 building Malaysia’s carbon capture and storage industry, positioning the nation as a regional leader in cross-border CO₂ collaboration and responsible energy transition. This milestone reinforces PETRONAS’ leadership in lower-carbon technologies and its commitment through PCCSV to advance CCS as a key pathway toward Net Zero by 2050, supporting regional and global climate goals.