Exclusive Q&A: Petronas SVP Talks Technology, Low-Carbon Strategy, and OTC Asia 2026

Malaysia’s Petronas will once again host the upcoming Offshore Technology Conference Asia (OTC Asia) 2026 in Kuala Lumpur from 31 March to 2 April. The industry gathering will showcase the latest developments and technologies that are being used to strengthen the region’s access to offshore resources.

Source: Petronas.

Ir Ts Mohd Yusri Mohamed Yusof is the senior vice president of projects and technology for Petronas and the chair of the program committee for OTC Asia 2026. Ir Yusri heads strategic technology initiatives for Petronas, which include helping shape its digital direction. He holds 3 decades’ worth of experience in the energy industry and previously helped lead Petronas’ chemical unit and its refining and trading business.

In this exclusive interview with JPT, Ir Yusri explains the company’s role in carbon capture and storage (CCS) projects, the importance of regional partnerships, and what to expect at this year’s OTC Asia. To learn more about the technical program and to register, follow this link.

Editor’s note: This interview has been edited for length and clarity.

JPT: Petronas is the national oil company (NOC) of Malaysia and is an international energy player. How is the company ensuring that its low-carbon strategies can survive the ups and downs of global markets and geopolitics?

Ir Yusri: As Malaysia’s NOC, Petronas has responsibilities to our shareholder and nation, but our low-carbon strategy survives or fails on the same fundamentals any international energy company faces: commercial discipline, technology leadership, and the ability to adapt faster than market shifts. Let me focus on how we are building that resilience.

In 2020, Petronas became Southeast Asia’s first oil and gas company to declare its aspiration to achieve net-zero carbon emissions (NZCE) by 2050.

This commitment is underscored by our Energy Transition Strategy, built on three pillars: strengthening our core upstream and gas portfolio with lower emissions intensity; broadening into new energy solutions including renewables and hydrogen; and advancing decarbonization technologies including carbon capture and storage.

The resilience comes from how these pillars work together. Our upstream and liquefied natural gas (LNG) business—where we have maintained competitive positions globally—generate cash flow that funds transition investments. We are building parallel investments across the energy spectrum that let us scale what works and adjust what doesn’t as markets and policy evolve.

We are ensuring our lower-carbon strategies can withstand rapidly and radically evolving dynamics through disciplined capital allocation, robust risk management, and a diversified portfolio.

Equally important is recognizing that energy transition requires capital and technological capabilities that no single company, an NOC or an international oil company (IOC), can mobilize alone. We need strategic partnerships and a collaborative ecosystem spanning across governments, technology providers, academia, and industry peers to withstand challenges in driving this forward.

The collaborative approach isn’t just about pooling resources. It’s about building an ecosystem that can absorb shocks better than any individual player. When geopolitical tensions disrupt supply chains or policy shifts change investment economics, a diversified partnership network gives us more pathways to maintain momentum.

This is how we balance short-term volatility with long-term sustainability goals: anchoring on transition strategy in cash-generative businesses, maintain technological and commercial focus, and build partnerships that distribute risk while accelerating impact.

JPT: Can you share what a low-carbon strategy means at the operational level for Petronas? How does it translate into decisions on project design, technology deployment, or partner selection?

Ir Yusri: At Petronas, our lower-carbon strategy is not a separate initiative, it’s embedded in how we make business decisions.

The principles are straightforward. We prioritize energy efficiency, deploy energy-efficient technologies, and design for decarbonization. For existing assets, we focus on reducing emissions from our own operations with lower-emission- intensity technologies and processes that reduce operational emissions. We use technology and innovation to drive both efficiency and decarbonization, from advanced monitoring systems to artificial intelligence-driven process optimization.

Petronas actively supports strategic partnerships to identify, develop, and deploy new technologies for lower-carbon solutions. No single entity can drive the energy transition alone. Our partnerships strengthen innovation ecosystems and support other industry players in their transition toward low-carbon operations.

For example, our collaboration with the Malaysian Green Technology and Climate Change Corporation, and other partners, launched Malaysia’s first mobile hydrogen refueling station, a testament to our commitment to the hydrogen economy and to achieving NZCE by 2050.

Regional cooperation matters. Leading energy companies from Malaysia, Singapore, and Vietnam recently signed a joint development agreement to unlock the region’s export of renewable electricity from Vietnam to Malaysia and Singapore, demonstrating how cross-border collaboration can accelerate decarbonization at scale

The collaboration unlocks Vietnam’s rich renewable energy resources—particularly offshore wind power—to supply green electron generation across borders, turning regional geography into a competitive advantage.

We are also collaborating with Tenaga Nasional Berhad for Hybrid Hydro Floating Solar and Green Hydrogen Hub projects in Terengganu, which support Malaysia’s aspiration to become a regional leader in green hydrogen production, in line with the National Energy Transition Roadmap and Hydrogen Economy and Technology Roadmap, while also spurring socio-economic growth in Terengganu.

Also, Petronas is the first Southeast Asia-headquartered company to become a technical partner of the UK-based Energy Institute. This collaboration focuses on promoting decarbonization and operational excellence through innovative solutions, enabling informed decision-making with expert advice on policy and societal impact, and nurturing the next generation of energy professionals to ensure the sector thrives amidst rapid change.

JPT: CCS projects continue to gain traction across the region. Could you share where current developments stand and what key milestones have been achieved so far?

Ir Yusri: Petronas is advancing CCS to decarbonize our own operations while building regional infrastructure for hard-to-abate industries.

In June 2025, Petronas formed a strategic joint venture, Jules Nautica Sdn. Bhd., to develop and operate liquefied carbon dioxide (LCO₂) carriers. These vessels are critical for transporting LCO₂ from emission sources to designated storage sites.

In 2024, Petronas signed 11 agreements with major industry partners to advance storage solutions, infrastructure, and regulatory frameworks. A key milestone was securing land for the Southern CCS hub in Pahang, which targets first CO₂ injection by 2029 to serve hard-to-abate industries. Through Petronas’ partnership with the independent global assurance and risk management company, DNV, we can certify storage sites, ensuring compliance with international standards.

Technological progress includes advanced membrane contactor technology for CO₂ capture, while regional leadership is demonstrated through initiatives like the Association of Southeast Asian Nations Methane Leadership Program and the Southeast Asia Methane Emissions Technology Evaluation Center. Looking ahead, Petronas is focused on scaling CCS through further partnerships and robust regulatory foundations to deliver cost-effective solutions across the Asia Pacific.

JPT: What does Petronas’ CCS effort mean for Southeast Asia’s CO₂ storage potential, and do you see its projects serving as a template for others?

Ir Yusri: Southeast Asia has substantial CO₂ storage potential, particularly in depleted offshore oil and gas fields and saline aquifers. Malaysia’s geology can accommodate significant volumes, both for our domestic industrial emissions and cross-border storage demand. Petronas’ effort means turning that geological potential into commercial infrastructure.

Currently, we are establishing a network of offshore storage sites and related infrastructure, such as pipelines, port terminals, and CO₂ transport vessels, to serve both domestic needs and potential cross-border demand from Japan, South Korea, and Singapore—countries with net-zero aspirations but limited storage capacity

We are engaging with partners in Singapore and South Korea and exploring opportunities with Japan. This infrastructure also enables blue ammonia and blue hydrogen production; both require CCS for effective carbon management.

As for serving as a template, we’re proving the commercial and operational viability of cross-border CO₂ storage. If we demonstrate that the economics work and the infrastructure can be built reliably, it de-risks investment for other players in the region.

What matters is momentum. The more companies that commit to CCS, the faster costs decline and the more accessible the technology becomes for hard-to-abate sectors across Southeast Asia.

JPT: What role do you see NOCs playing in driving collaboration around low-carbon innovation, especially in the Asia Pacific region?

Ir Yusri: NOCs can convene regional collaborations in ways that go beyond commercial agreements, particularly where energy security and sovereign coordination are involved.

The Lao PDR-Thailand-Malaysia-Singapore Power Integration Project demonstrates this. Cross-border electricity trade required aligning four countries' regulatory frameworks, grid standards, and energy policies.

In the same spirit, NOCs play a pivotal role in driving collaboration around lower-carbon innovation in the Asia Pacific region. Regional CCS infrastructure, hydrogen ecosystem, and renewable energy development all need first-mover investments that take years to generate return. NOCs would be driven to advance national and regional energy objectives therefore would be more willing to pursue such initiatives.

Strategic collaborations like those Petronas has established highlight the role major energy companies can play in accelerating decarbonization through commercially viable solutions when there’s alignment between business logic and national interest.

Beyond CCS, Petronas is advancing renewables, hydrogen, and circular economy solutions across Malaysia and the region. In Sarawak, we are supporting the growing hydrogen ecosystem as part of Malaysia’s transition pathway, complementing portfolio diversification into renewables and bio-based value chains including biofuels, alongside circular economy initiatives such as recycling and waste-to-product innovation.

JPT: Can you share some of the most significant challenges Petronas faces in reaching its own emissions goals and how are you overcoming them?

Ir Yusri: The challenge isn’t uniform; it varies significantly depending on where we operate.

In Europe, we face stringent regulations and carbon pricing that make decarbonization investments commercially viable. The policy framework supports the business case.

In Asia, the reality is different. Energy affordability and accessibility remain priorities for growing economies. Policy frameworks are evolving more slowly, and the commercial incentives for low-carbon investments are not as strong yet.

This creates a portfolio challenge. We need to decarbonize operations across markets with very different economics. Technologies like CCS, electrification, and emissions reduction require significant capital. These investments need to make economic sense, not just environmental sense.

The second challenge is internal: maintaining our core business performance while funding the transition. We can’t sacrifice the cash generation that finances our NZCE investments. That requires disciplined capital allocation, continuing to optimize our upstream and LNG portfolio for lower emissions and strong margins, while systematically building positions in new energy.

This is why partnerships matter. Sharing capital, technology, and risk with others—whether governments, industry players, or technology providers—allows us to move faster than we could alone. But ultimately, the pace of our transition will track with policy development across Asia. The more governments establish clear frameworks and incentives, the faster commercial capital can flow into decarbonization at scale.

JPT: Let’s discuss your role as program committee chair of OTC Asia 2026. What excites you most about leading this event, and how do you see it shaping the industry conversation in the region?

Ir Yusri: What excites me most is the timing.

OTC Asia 2026 is happening at a point where we’re moving from discussing energy transition in abstract terms to deploying commercial-scale solutions. Asia Pacific faces a unique challenge: decarbonizing offshore operations while meeting growing energy demand. The technical and commercial solutions that work in Europe or North America don’t translate directly here.

As program committee chair, I want to ensure we’re having honest conversations about what’s deployable at scale in Asia Pacific—not just showcasing technology, but discussing business models, policy frameworks, and investment structures that make projects bankable.

What does “sustainable” mean in an Asian context? It means affordable energy that supports economic growth while reducing emissions. That requires technology deployment at lower costs than developed markets, which means innovation in engineering, project execution, and financing.

I’m particularly focused on sessions that bring together NOCs, IOCs, technology providers, and policymakers to discuss practical barriers, regulatory alignment across borders, supply chain localization, and risk-sharing for first-of-a-kind projects.

OTC Asia can shape the industry conversation by moving beyond aspirational commitments to operational realities.

How do we decarbonize existing offshore platforms economically? How do we build hydrogen infrastructure that serves multiple countries? How do we finance floating wind at Asian project costs? These questions will define whether Asia Pacific meets its energy transition goals.

JPT: OTC Asia has become a marquee event for upstream players in the region. In your view, how has the show evolved since its inception and what should attendees expect in 2026 that’s different or new?

Ir Yusri: OTC Asia has evolved from being primarily focused on exploration and production technology to becoming a platform for energy transition solutions.

Attendees in 2026 can expect broader energy coverage, with deeper integration of renewables, hydrogen, CCS, and digitalization, as well as more sessions on policy, capital alignment, and technology deployment for the Asia Pacific’s energy transition.

We are also expanding programs for emerging leaders and students, reflecting the industry’s need for new skills and perspectives. Building on the momentum of the Energy Asia 2025 conference, OTC Asia 2026 will focus on practical solutions for overcoming regulatory, economic, and talent challenges, encouraging attendees to move beyond business-as-usual and explore new partnership models.

OTC Asia has matured into a platform where technical excellence meets commercial and policy realities, which is exactly what the region needs to accelerate its energy transition.