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Methanex CEO, John Floren, says the company continues to work towards a long term gas contract.

Methanol Holdings has accepted a two month extension of their natural gas contract with the National Gas Company (NGC), as the parties try to avoid the shutting down of the Titan methanol plant and the sending home of scores of workers.

The announcement was made yesterday by Methanex CEO, John Floren, who said the company continues to work towards a long term gas contract.

In an investor conference call, Floren revealed:

“We extended the term of the interim agreement to April 1, 2020 from January 31, 2020, to enable Methanex to continue operations at our Titan methanol facility, while continuing negotiations with NGC for a longer term natural gas supply agreement. We continue to guide to approximately 85 percent operating rates for our Trinidad operation in 2020, provided we’re able to contract additional gas for our Titan facility.”

The Sunday Guardian had reported exclusively that the plant would have been shut down today if there was no renewal of the contract, and that Methanex was prepared to send the workers home rather than sign a ‘bad deal’ with the NGC.

Story by CURTIS WILLIAMS