Methanex Corp. (Vancouver, B.C., Canada; www.methanex.com) announced that it has signed agreements with Pan American Sur S.A., Compañia General de Combustibles S.A., Total Austral S.A. and Wintershall Energia S.A. for additional gas supply on an interruptible basis and subject to gas availability in Argentina for its Chile operations through to June 1, 2020. These agreements are subject to the gas suppliers obtaining export permits from the Argentine Government and, based on the policy direction signaled by the Argentine Government, parties are optimistic that the export permits will be granted. It is expected that these new agreements, combined with existing contracts from other gas producers, will allow for a two-plant operation in Chile during the southern hemisphere summer months and up to a maximum of 75% of a two-plant operation annually.
John Floren, President and CEO of Methanex, commented, “We are very pleased to sign these agreements for additional gas supply for our Chile facilities. The ability to import natural gas from Argentina to Chile is a significant opportunity to support our operations in Chile. These agreements represent an important milestone to securing sufficient gas to underpin an ongoing two-plant operation by the end of the decade.”