Methanex Corp - to preserve Titan plant for potential future restart

Methanex Corporation (TSX:MX) (NASDAQ:MEOH) has announced that its Titan methanol facility in Trinidad, with an annual operating capacity of 875,000 metric tons, will remain idled indefinitely due to the absence of a long-term natural gas supply agreement. The company has initiated a restructuring of its Trinidad operations, including reduction of approximately 60 positions among employees and long-term contractors, to reduce costs and focus on maintaining the Titan plant for a potential future restart.

The Atlas methanol facility, in which Methanex holds a 63.1% interest, remains unaffected and continues to operate under separate natural gas supply agreement that expires in 2024. Methanex has emphasized its commitment to Trinidad and Tobago and its belief that viable long-term gas agreement for Titan can be secured in the coming years.

The company has also indicated that the Titan restart can be pursued with minimal capital requirements, according to a recent statement. Methanex continues to monitor market conditions and pursue strategic options to support its global methanol production network.