Sojitz Enters Biomethane Production and Sales Business in the U.S.

Sojitz Corporation ("Sojitz") has invested in Fidem Energy LLC ("Fidem"), a U.S. biomethane production and sales company, through its wholly-owned subsidiary, Sojitz Corporation of America, making Fidem an equity-method affiliate. Through this investment, Sojitz will enter the biomethane production and sales business in the U.S. (hereinafter referred to as "this business").

Fidem, based in the southeastern U.S., operates a landfill-derived biomethane production and sales business in the country. The company has over 30 years of experience in waste collection and landfill operation, and it leverages this expertise and network to develop its biomethane business. Currently, in addition to an operating biomethane production plant in Tennessee, it holds project development rights for multiple landfills.

Landfill-derived biomethane is a clean energy source refined by separating carbon dioxide and nitrogen from biogas naturally generated during the landfill disposal process of municipal solid waste. In the U.S., an increase in waste volume is anticipated due to future population growth and economic expansion, and biogas is expected to be a stable long-term energy supply source.

Biomethane produced in the U.S. is currently utilized in various industrial sectors, public utilities, and as transportation fuel, with demand for biomethane in 2025 showing a significant 24% year-on-year increase (*). Further demand expansion is expected from the perspective of strengthening energy security and decarbonization through reducing greenhouse gas emissions by replacing fossil natural gas.

Through this business, Sojitz aims to combine Fidem's expertise in developing and operating landfill-derived biomethane with Sojitz's long-cultivated business development capabilities and global network to expand the biomethane business across the U.S. and supply it to other regions, including Japan and other Asian countries.

In its Medium-Term Management Plan 2026, Sojitz has positioned Green Transformation as one of its strategic priority areas, and this business is positioned within the biofuel sector. Including the biomethane business already underway in India, Sojitz aims to strengthen and expand its revenue base in this area and contribute to decarbonization.

(*) According to Sojitz research

(Reference)

【Overview of Fidem Energy LLC】