Regional CCU: HYCO1 signs MOU with Malaysia LNG for carbon conversion project

By Romel S. Gurky

US-based carbon utilization company HYCO1, Inc. and Malaysia LNG Sdn. Bhd. (MLNG), a subsidiary of PETRONAS, have signed a Memorandum of Understanding (MOU) to explore the development of a groundbreaking Carbon Capture and Utilization (CCU) project. The initiative aims to utilize and convert up to 1 million tons per annum (MTPA) of carbon dioxide (CO₂) into valuable products, marking a major step forward in industrial decarbonization.

The MOU was signed on Wednesday by Gregory Carr, CEO of HYCO1, Inc., and Mohamed Syazwan bin Abdullah @ Laga Jenggi, Managing Director & CEO of the Malaysia LNG Group of Companies. The CCU facility is set to be located in Bintulu, Sarawak—a key oil and gas hub in Malaysia that is quickly emerging as a global low-carbon industrial center.

At the heart of the project is HYCO1’s proprietary CUBE™ Technology, a breakthrough process that utilizes CO₂ as a feedstock to produce customizable syngas (a mixture of hydrogen and carbon monoxide). This process displaces costlier natural gas, offering a low-cost, low-carbon alternative that aligns with global sustainability goals.

Read also: Regional CCS: RINA awarded pre-FEED contract for CCS in Malaysia

Under the MOU, HYCO1 and MLNG will conduct a joint feasibility study to determine the most effective design for producing industrial-grade syngas. The project aims to cater to a diverse array of downstream users, transforming CO₂ from a waste emission into a valuable raw material.

“This is a very exciting opportunity for all stakeholders, including HYCO1, MLNG, PETRONAS, and the people of Malaysia,” said Gregory Carr. “We approached PETRONAS and MLNG to support their decarbonization goals, and we’re honored to partner with them on their journey to Net Zero Carbon Emissions by 2050. Our revolutionary technology and catalyst don’t just prevent CO₂ emissions—they transform them into essential chemical and fuel products.”

The MOU outlines MLNG’s plan to supply HYCO1 with an initial 1 MTPA of raw CO₂ for a 20-year term starting no later than 2030. The CCU facility is expected to be completed by 2029.

This collaboration is poised to become one of the world’s largest CO₂ utilization projects. Unlike conventional Carbon Capture and Storage (CCS) initiatives focused solely on sequestration, this project takes a bold, market-driven approach—turning emissions into profit.

HYCO1 and MLNG are demonstrating that achieving net-zero emissions at scale can be both economically viable and environmentally transformative. By capturing CO₂ from existing industrial sources and converting it into renewable products, the partnership exemplifies how innovation can drive both sustainability and economic growth.

Editing by Reiner Simanjuntak