Methanex to build methanol plant in US

Canada-based Methanex Corporation has decided to relocate a 1mt methanol plant from its Chile site to Geismar, Louisiana, US.

The plant, which is expected to become operational by the end of 2014, will require an investment of about $550m, including owners' and pre-start up investment.

Bruce Aitken, Methanex president and CEO, said the company is delighted to move forward with the project, which it believes will create significant value for shareholders and add an important new supply source for customers.

''We have completed the engineering study which reaffirms that the project offers substantial capital savings compared to a greenfield methanol plant,'' Aitken added.

"Geismar possesses world-class infrastructure, skilled workers and is a positive, low-risk environment in which to do business."

Methanex is a Vancouver-based, publicly traded company and supplies methanol to major international markets.