Methanex Proceeds with a Second Methanol Plant in Geismar, Louisiana

Methanex Proceeds with a Second Methanol Plant in Geismar, Louisiana 
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 04/24/13 -- Methanex
Corporation (TSX:MX)(NASDAQ:MEOH) announced today that it has reached
a final investment decision to proceed with the relocation of a
second one million tonne per year methanol plant from its Chile site
to Geismar, Louisiana. The plant is expected to be operational by
early 2016, and has an estimated total cost of approximately US$550
million. 
John Floren, President and CEO of Methanex commented, "We are excited
to move forward with the Geismar II project. We have made excellent
progress with our first plant relocation, Geismar I, and that project
is proceeding on schedule and on budget. The first shipment of
equipment has been loaded and is currently in transit to Louisiana.
Methanex will leverage its experience gained from Geismar I to ensure
a smooth execution for Geismar II." 
Mr. Floren added, "The global demand outlook for methanol is very
favourable and demand is expected to outpace capacity additions in
the industry over the next several years. Relocating a second plant
to Louisiana allows us to benefit quickly from the competitive
natural gas price environment in North America and add additional
molecules to our system to supply our customer's growing requirements
for methanol. The two Geismar projects, combined with our other
growth initiatives in New Zealand and Medicine Hat, represent three
million tonnes of additional operating capacity which we believe will
create significant value for shareholders." 
Methanex is a Vancouver-based, publicly traded company and is the
world's largest supplier of methanol to major international markets.
Methanex shares are listed for trading on the Toronto Stock Exchange
in Canada under the trading symbol "MX" and on the NASDAQ Global
Market in the United States under the trading symbol "MEOH". 
Methanex can be visited online at www.methanex.com. 
FORWARD-LOOKING INFORMATION WARNING 
This press release contains forward-looking statements with respect
to us and our industry. Statements that include the words "targeted",
"expected", "will", "believe" or other comparable terminology and
similar statements of a future or forward-looking nature identify
forward-looking statements. 
More particularly and without limitation, any statements regarding
the following are forward-looking statements: 


 
--  expected demand for methanol and its derivatives, 
--  expected new methanol supply, 
--  expected re-start date of our relocated methanol plant, 
--  ability to obtain natural gas for our relocated methanol plant on
    commercially acceptable terms, 
--  expected capital cost to restart our relocated methanol plant, 
--  anticipated production rates of our restarted methanol plant, 
--  expected operating costs, including natural gas feedstock costs and
    logistics costs of our restarted methanol plant, 
--  expected timing of receipt of government permits and approvals, 
--  ability to successfully execute the relocation of our idled methanol
    plant, 
--  expected global or regional economic activity (including industrial
    production levels).

 
We believe that we have a reasonable basis for making such
forward-looking statements. The forward-looking statements in this
document are based on our experience, our perception of trends,
current conditions and expected future developments as well as other
factors. Certain material factors or assumptions were applied in
drawing the conclusions or making the forecasts or projections that
are included in these forward-looking statements, including, without
limitation, future expectations and assumptions concerning the
following: 


 
--  success of natural gas exploration and development and our ability to
    procure economically priced natural gas in the United States, 
--  production rates of our relocated methanol plant, 
--  receipt or issuance of governmental and regulatory consents or
    approvals, including without limitation, environmental permits, required
    in order to operate the relocated methanol plant, 
--  global and regional economic activity (including industrial production
    levels), 
--  absence of a material negative impact from changes in laws or
    regulations, and 
--  timing of completion and cost of execution of both Louisiana relocation
    projects.

 
However, forward-looking statements, by their nature, involve risks
and uncertainties that could cause actual results to differ
materially from those contemplated by the forward-looking statements.
The risks and uncertainties primarily include those attendant with
producing and marketing methanol and successfully carrying out major
capital expenditure projects in various jurisdictions, including
without limitation: 


 
--  conditions in the methanol and other industries, including fluctuations
    in supply, demand and price for methanol and its derivatives, including
    demand for methanol for energy uses, 
--  the price of natural gas, oil and oil derivatives, 
--  our ability to enter into gas purchase arrangements on commercially
    acceptable terms, 
--  the ability to successfully carry out corporate initiatives and
    strategies, 
--  actions of competitors, suppliers, and financial institutions, 
--  changes in laws or regulations, 
--  world-wide economic conditions, and 
--  other risks described in our 2012 Management's Discussion and Analysis
    and first quarter, 2013 Management's Discussion and Analysis.

 
Having in mind these and other factors, investors and other readers
are cautioned not to place undue reliance on forward-looking
statements. They are not a substitute for the exercise of one's own
due diligence and judgment. The outcomes anticipated in
forward-looking statements may not occur and we do not undertake to
update forward-looking statements except as required by applicable
securities laws.
Contacts:
Investor Inquiries:
Sandra Daycock
Director, Investor Relations
Methanex Corporation
604-661-2600 or Toll Free: 1 800 661 8851 
Media Inquiries:
Marc Dupont
Director, Government and Public Affairs
Methanex Corporation
604 661 2600 or Toll Free: 1 800 661 8851
www.methanex.com
 
 
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