Methanex To Idle New Zealand Plants As Domestic Natural Gas Availability Declines

(RTTNews) - Methanex Corporation (MEOH), a Canadian producer and supplier of methanol, said that it has inked a deal to sell substantially all of its New Zealand natural gas contractual entitlements commencing in the first quarter of 2027 and continuing through the end of the decade. As part of the move, the company plans to indefinitely idle its New Zealand production plants during the first quarter of 2027. Methanex said: "Given the continued decline in domestic natural gas availability and the lack of a clear pathway to meaningful new supply, Methanex has determined that continued operations in New Zealand are not sustainable and as such has taken steps to optimize value from its remaining New Zealand gas position." The company noted that it does not expect to incur material cash costs as a result of this move.

(RTTNews) - Methanex Corporation (MEOH), a Canadian producer and supplier of methanol, said that it has inked a deal to sell substantially all of its New Zealand natural gas contractual entitlements commencing in the first quarter of 2027 and continuing through the end of the decade. As part of the move, the company plans to indefinitely idle its New Zealand production plants during the first quarter of 2027.

Methanex said: "Given the continued decline in domestic natural gas availability and the lack of a clear pathway to meaningful new supply, Methanex has determined that continued operations in New Zealand are not sustainable and as such has taken steps to optimize value from its remaining New Zealand gas position."

The company noted that it does not expect to incur material cash costs as a result of this move.