Methanex idles Chile operations

Methanex Corp. (TSX:MX) on January 10 announced plans to idle its Chilean operations in March due to anticipated insufficient natural gas supply.

Harvesting Chile plants: Methanex is spending $550 million to relocate this methanol plant from Chile to Louisiana

Methanex Corp. (TSX:MX) on January 10 announced plans to idle its Chilean operations in March due to anticipated insufficient natural gas supply.

Only one of the company’s four Chilean plants are currently operating and it represents less than 5% of the company’s total production.

“Due to continued natural gas supply challenges, we do not expect to have sufficient feedstock to keep our Chile plant operating through the southern hemisphere winter,” said John Floren, who took over from Bruce Aitken as the company’s CEO at the start of the year.

“Our current expectation is that resumption of our plant operation would be possible later in the year.”

Methanex last year embarked on a plan to spend $550 million to move one of its idled Chilean plants to Louisiana.

Relocating that plant was expected to create 1,500 jobs during the construction phase and 130 full-time jobs when it goes into production by the end of 2014.

gkorstrom@biv.com

@GlenKorstrom

comments powered by Disqus

Also Read

More From Mining & Energy

Massive $5.3 billion KSM copper-gold mine would employ more than 1,000 miners

Read Article

Lacklustre gold and silver prices, a middling performance for copper and other base metals, fresh multi-year lows in...

Read Article

Local conservation groups raise red flags about drilling under Swan Lake

Read Article

November and December netted the highest returns of the year for oil and gas exploration rights in northeast B.C., in spite of...

Read Article

Fiona Anderson on Repsol's acquisition of Talisman for US$8.3 billion

Read Article

Subscribe to our mailing lists

* indicates required

Newsletters

* You can modify your newsletter subscriptions at the bottom of any newsletter you receive.
×