Mitsubishi Partners with KIS Group in Global Biogas Entry

Mitsubishi Corporation of Japan has entered the worldwide biogas market by acquiring a minority interest in KIS Group's Indonesian operations.

According to a news release, KIS Group, which was established by K R Raghunath in 2006, intends to invest over $1 billion in biofuel and renewable gas projects in Southeast Asia and India by 2030.

In the statement, KS Group said, "Mitsubishi Corporation, one of Japan's largest global integrated business enterprises, has acquired a minority equity stake in its Indonesia operations. This investment marks Mitsubishi Corporation's first entry into the global biogas market." Without giving financial details as well as the percentage of stake acquired, KIS said that with Mitsubishi's backing, it aims to expand to North and South America and Europe within five years.

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Using Mitsubishi's global network spanning more than 90 countries, the cooperation will concentrate on co-developing and commercializing innovative biogas, BioCNG, and BioLNG technologies. The partnership is anticipated to improve the environmental governance, supply chain robustness, and operational efficiency of KIS Group. KIS Group has long-term supply agreements with Unilever and Shell, as well as partnerships with businesses including Toyota, Godrej, Sinarmas, Banas Dairy, and Maruti Suzuki. It has carried out biomethane and renewable gas projects in eleven countries.

"The fact that Mitsubishi has chosen to enter the biogas and biofuels market for the first time through us is a huge vote of confidence in our technology and execution capability," Raghunath said.