(Kuching, 25th) Sarawak Petroleum Company (Petros) is taking the lead in utilizing advanced technology, including reinjecting carbon dioxide underground and converting sour gas into sweet gas, to develop Sarawak's natural gas reserves.
Sarawak Premier Datuk Patinggi Tan Sri Abang Johari stated that Sarawak currently holds over 60% of Malaysia's natural gas reserves. Although the state remains committed to fulfilling its contractual obligations for Malaysia's liquefied natural gas exports, a significant portion of the reserves remains untapped.
“In the past, they said extracting sour gas was quite difficult due to the high carbon dioxide content. What would they do with the carbon dioxide in those reserves? But today, you can reinject the carbon dioxide underground. In other words, sour gas can be converted into sweet gas, making previously challenging reserves extractable.”
Abang Johari believes that with this technology, over 60% of Sarawak's excess gas reserves can be utilized for other industries.
He said this during his speech at the Sarawak Gas Roadmap Summit today.
As Minister of Energy and Environmental Sustainability, he further mentioned the great potential of the resource-rich geological belt of Borneo, extending from Sabah's Kimanis to Brunei Bay, Baram, Mukah-Balingian, Lundu in Kuching, and then to Indonesia's Natuna.
He said this key information facilitated the establishment of Petros in 2017, with the Sarawak government authorizing it to explore the potential of utilizing the state's excess gas reserves through carbon capture, utilization, and storage (CCUS), positioning Sarawak as a key player in the emerging gas economy.
To understand how other countries are using CCUS, he said he led a team to the Arctic Light project in Norway to observe their management strategies.
Abang Johari also noted the success of the CCUS programs in the UK and Belgium, where these countries have enacted specific legislation to support regional and national interests.
“In other words, within the federation, a formula can be created, which means both the Malaysian federal government and the Sarawak government can work together to establish CCUS trade between both parties.”
Furthermore, Abang Johari also stated that Sarawak holds significant advantages in CCUS storage due to its abundant natural gas reserves, which fall under the Sarawak Land Code, and the region's abandoned oil wells can be repurposed for carbon injection and storage.
“We have appointed Petros as the resource manager, and we are committed to developing CCUS according to international best practices, which is a key part of our strategy.”