July 15, 2025 [H2 View]- Petronas has partnered with national utility Tenaga Nasional Berhad (TNB) and state-owned investor Terengganu Inc. to kick off plans for a floating solar-powered green hydrogen project in eastern Malaysia.

The project in Terengganu will use Kenyir Dam – one of Southeast Asia’s largest hydroelectric reservoirs – where TNB is developing a hybrid system combining floating solar panels with existing hydropower.

By combining solar and hydropower, the hybrid system is expected to deliver 24/7 clean electricity, which could increase electrolysis uptime to reduce production costs.

Petronas says the hydrogen will be used to make ammonia and methanol, signalling an early focus on industrial feedstocks or future export markets.

However, it appears to be in the early stages, with details like capacity, timeline, and investment remaining under wraps.

Petronas President and Group CEO, Tan Sri Tengku Muhammad Taufik, said by combining green hydrogen with the renewables installation, the projects could complement the “baseload in the national grid.”

Terengganu Inc. President and CEO Dato Burhanuddin Hilmi Mohamed stressed that the state’s investment arm would “ensure” the projects meet their goals while building up local skills and supply chains.

It comes as Malaysia looks to produce two million tonnes of hydrogen per year by 2030, with a focus on replacing existing fossil-based hydrogen with cleaner alternatives.