NYK Line is teaming up with Pertamina International Shipping to collaborate in the growing field of liquefied carbon dioxide (LCO2) transportation.
Under a memorandum of understanding (MoU) signed last week, they aim to offer LCO2 transportation services for storage operators and CO2 emitters like Pertamina.
Indonesia, one of the largest oil and gas producers in South East Asia, is investing in building CO2 storage facilities.
According to the Ministry of Energy & Mineral Resources, Indonesia’s storage capacity, including saline aquifers, has the potential to reach 572bn tonnes.
The government plans to become the largest storage operator in Asia by attracting demand for CO2 landfills from surrounding areas.
“The demand for LCO2 carriers is expected to grow because they are essential for transporting liquefied CO2 from storage sites to consumption areas,” NYK Line said.
The two partners will also expand their collaboration in LNG transportation, as well as launching a joint venture ship management company.
Yoki Firnandi, chief executive of Pertamina International Shipping, said: “Through our long-term partnerships and close relationships with NYK, this MoU will be driving initiatives to maximise our value by growing beyond Indonesia.
“This MoU symbolises our leadership in the LCO2 transportation field in the region, based on NYK’s technology, expertise and strong collaboration for a low-carbon and decarbonised society.”
NYK Line said it aims to develop a strong cooperative relationship with Pertamina International Shipping in LCO2 and LNG transportation, which is a priority for the Indonesian government and is expected to grow in a low-carbon and decarbonised society.
“Furthermore, by jointly establishing a ship-management company, NYK plans to contribute to stable ocean transportation and create opportunities for training and employment for seafarers in the country,” the shipowner added.
This latest development builds on the companies’ strategic alliance agreed in late 2022 focused on crude oil, petroleum products, LNG transportation, floating storage and regasification units, and carbon capture and storage.
NYK Line managing executive officer Hironobu Watanabe said that since then, the partners have discussed exploring opportunities for collaboration and achieving their shared objectives.
“As a shareholder and partner of Pertamina International Shipping, we are committed to providing steadfast support for the company’s advancement and playing a role in the development of Indonesia’s maritime industry and the realisation of a low-carbon and decarbonised society,” he added.
