Deal signed for new hydrogen hub in Sarawak, Malaysia

Clean energy solutions provider Gentari, through its subsidiary Gentari Hydrogen, has signed a heads of agreement (HOA) with SEDC Energy (SEDCE) for the joint development of a centralized hydrogen production hub in Sarawak’s Bintulu, Malaysia.

The agreement for the production hub, to be known as the Sarawak H2 Hub, was signed on February 26, 2024, at the Borneo Energy Transition Conference (BETC2024) in Kuching.

As explained, the Sarawak H2 Hub will serve as the sole supplier of green hydrogen for downstream facilities in the Bintulu division area, managed by a joint venture company to be formed by Gentari and SEDCE, which will also be responsible for optimizing all hydrogen production projects within the region.

“Malaysia is well-placed to be a clean hydrogen hub in ASEAN, led by states such as Sarawak with its ample sustainable resources. At Gentari, we have been focused on pursuing collaborations with partners such as SEDC Energy to develop the local hydrogen economy, which will create economic value for the state while positioning the country as a hydrogen export hub,” said Michèle Azalbert, Chief Hydrogen Officer, Gentari.

“We believe that hydrogen is the way forward and we are committed to contributing towards Sarawak’s Hydrogen Economy Roadmap, in addition to the Malaysian government’s vision and objectives in the Hydrogen Economy and Technology Roadmap (HETR). Hydrogen’s role in decarbonising sectors like energy, transportation, and petrochemicals globally cannot be understated, and the demand for low carbon hydrogen-derivatives is a testament to its rising significance.”

Sarawak aims to be a commercial hydrogen producer by 2027 with the vision of transitioning the state into a hydrogen economy.

“This strategic partnership between SEDCE and Gentari for the Sarawak H2 hub will be a significant undertaking as this will spur more developments and attract new investments especially in the new energy sector. Hydrogen will play a role in the energy transition and as highlighted in the National Energy Transition Roadmap, Sarawak’s role in advancing this development is worthwhile to note. It resonates well with our approach to collaboration internationally and domestically,” added Robert Hardin, CEO, SEDCE.

Gentari and SEDC Energy had previously entered into a strategic collaboration agreement to explore potential collaborations in the development and provision of integrated clean energy solutions and contribution to policy and regulatory development in the state.

SEDC Energy is also part of a partnership involving Sarawak Energy Berhad, Lotte Chemical, Samsung Engineering, and POSCO Holdings which is developing the Sarawak H2biscus green hydrogen and ammonia project in Malaysia.