Sarawak Petchem sails away 20,000 metric tonnes methanol export to China

The ship carrying Sarawak Petchem's 10,000 metric tonnes methanol export cargo on Jan 14, 2025. Photo credit: Sarawak Public Communication Unit (UKAS)
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By Shikin Louis

BINTULU, Jan 14: Sarawak achieved another significant milestone today in its journey to becoming a regional energy powerhouse as Sarawak Petchem Sdn Bhd celebrated the sail away of 20,000 metric tonnes of methanol bound for China.

Speaking at the event held at Tanjung Kidurong, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg recounted the early stages of the project, recalling discussions four years ago with Sarawak Petchem chairman Tan Sri Datuk Amar Aziz Husain and his team, when uncertainty surrounded the venture.

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“We were unsure at first whether we should proceed, but I said, let’s take the risk. We have Sarawakians with the technology and expertise. Let us test if we can produce methanol,” he said.

He also acknowledged the challenges of securing funding due to the lack of a track record in methanol production. However, with determination, perseverance, and a shared vision, Sarawak successfully secured the necessary financial backing.

Abang Johari expressed gratitude to the vendors, including Samsung, for their contribution in building the factory using a cost-effective, ready-to-install approach, ensuring both high quality and reduced expenses.

He further highlighted the development of the newly built 3km export jetty, something that had once seemed improbable, which now allows the loading of methanol onto ships.

“Who would have thought we would have a jetty at sea? But now, we have one to supply methanol to incoming ships, especially our buyers,” he added.

Earlier, Abang Johari witnessed the sail away of the first ship carrying 10,000 metric tonnes of methanol at the jetty.

Abang Johari (front row, 5th left) cuts the ribbon to officiate the sail away of 10,000 metric tonnes of methanol export cargo at Sarawak Petchem Methanol Plant, Bintulu on Jan 14, 2025. Photo credit: Sarawak Public Communication Unit (UKAS)

With today’s sail away of the methanol cargo, Sarawak Petchem is now embarking on the next chapter of its journey through its Green Methanol Project.

Abang Johari revealed that discussions during his recent visit to Japan underscored the global demand for green energy sources, including methanol and ammonia, to power ships and reduce carbon emissions.

“We know that green ammonia is combined with carbon. By mixing carbon with hydrogen produced using renewable energy like solar and hydro, we can produce green methanol.

“Therefore, I would like to congratulate Sarawak Petchem on initiating another project that will serve as a global model of Sarawak’s active participation in shaping the green energy transition,” he said.

Aziz, in his speech, stated that the Green Methanol Project will employ water electrolysis technology powered by renewable energy, along with captured carbon dioxide as feedstock in the synthesis of methanol.

“This so-called green methanol can be used as sustainable marine fuel, contributing to a significant reduction in CO2 emissions, which is crucial in addressing climate change.

“With this initiative, we are not only addressing the energy needs of today but also moving towards a more sustainable and climate-resilient future,” he said. – DayakDaily

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