Dutch terminals group Vopak is to work with Malaysian energy company Petronas to capitalise on carbon capture and storage (CCS) opportunities in Singapore.

The two partners have signed a memorandum of understanding (MoU) in Kuala Lumpur for the development of a CCS value chain.

Both companies will jointly study the use of CO2 emitted by industries in Singapore.

This will include CO2 transport from a Vopak terminal for potential injection into regional storage hubs developed by Petronas.

Chris Robblee, president of Vopak Asia & Middle East, said: “This is well aligned with our commitment to support the energy transition through the development of CO2 infrastructure for sustainable energy solutions and the decarbonisation of the industry.”

Locations without an abundance of underground geological reservoirs will have to transport the captured CO2, both sides said.

Vopak is listed on the Euronext Amsterdam exchange and is headquartered in Rotterdam.

The company has not responded to TradeWinds’ request for further information on the shipping plans.

In October, Vopak unveiled a project to develop ammonia storage infrastructure in Singapore, with full import and export capabilities for low-carbon bunker fuels at its Banyan terminal.

With a storage capacity of close to 1.5m cubic metres, the Vopak Banyan terminal is an integrated oil, chemical and gas hybrid storage facility.

It is located on Jurong Island and is said to have “extensive experience” in handling ammonia, a product for which extra safety precautions are needed.

Currently, Vopak Singapore owns and operates a refrigerated ammonia tank with a capacity of 10,000 cbm. This is supporting petrochemical activities in Singapore.