A Canadian methanol exporter plans to move one of its idle methanol plants from Chile to Geismar, with the facility to begin operations during the second half of 2014.
Vancouver-based Methanex Corp., the largest supplier of methanol to major international markets, is moving the plant to take advantage of low natural gas prices, according to company President and Chief Executive Officer Bruce Aitken. Louisiana’s advantages include industrial plants that consume large amounts of methanol, the state’s infrastructure and its skilled workforce.
By relocating to Louisiana, Methanex will be able to add capacity at a lower cost and in about half the time it would take to build a new methanol plant.
“The timing of this project is excellent: there is strong demand growth for methanol globally and there is little new production capacity being added to the industry over the next several years,” he said in a news release.