KIS Group Forms Joint Venture with Toyota Tsusho for Biomethane Production in Indonesia
KIS Group has partnered with Japan-based Toyota Tsusho Corporation to establish a joint venture focused on biomethane production and sales in Indonesia. The new entity, PT KIS Toyota Tsusho Biomethane Indonesia (KTBI), was established in September 2026, with commercial operations targeted to begin in 2027.
Under the partnership, PT KIS Biofuels Indonesia, a subsidiary of KIS Group, will hold a 51% stake, while PT Toyota Tsusho Indonesia will own the remaining 49%.
The joint venture’s first project will involve converting biogas generated from palm oil mill effluent (POME) at a palm oil mill in South Sumatra into high-purity biomethane. The renewable gas is planned to be supplied to industrial customers, including manufacturers in West Java, through the existing pipeline network of Indonesia’s state-owned gas company, PT Perusahaan Gas Negara (PGN).
The project targets annual biomethane sales of approximately 150,000 MMBTU, with operations expected to commence in 2027.
The initiative aims to reduce greenhouse gas emissions by preventing methane from being released during palm oil wastewater treatment and by replacing conventional fossil-based gas with renewable biomethane. Using existing gas infrastructure is also expected to help industrial consumers adopt lower-carbon energy without significant additional investment in equipment.
The partnership marks another step in KIS Group’s international expansion in the renewable gas sector. By combining KIS Group’s expertise in biogas and biomethane with Toyota Tsusho’s industrial network, the companies aim to support industrial decarbonisation and expand the use of renewable gas across Indonesia.
