Mitsui & Co. Ltd. has taken a 33% stake in Cim Group’s growing renewable natural gas (RNG) company as it bets on soaring demand for low-carbon gas for LNG and alternative fuels.

The Japanese industrial giant disclosed it made the investment in Atlanta-based Terreva Renewables LLC as a part of Cim’s ongoing investment plan for the company. Founded last year after the acquisition of MAS CanAm LLC’s RNG development platform, Terreva currently processes methane gas generated in landfills at five locations in North America.

Mitsui said it views RNG as “an alternative to fossil fuels” and expects its value chain “to further expand through the supply of RNG-based low-carbon methanol and LNG to Japan and other regions…”

Terreva’s RNG portfolio includes projects in...