EMethanex Output Rises Despite Egypt Gas Squeeze

Canada’s Methanex, operator and 50% equity holder in Egypt’s EMethanex methanol plant at Damietta, says output rose to 1.04mn tons in 2013 from 928,000 tons in 2012. Throughput at the 1.26mn tons/year capacity plant rose despite the decline in Egyptian gas production, which has increased competition for feedstock among the country’s power, petrochemicals, LNG export and industrial sectors (MEES, 2 May).

Methanex says methanol output was lower than capacity “primarily due to natural gas supply restrictions and some minor unplanned outages.” The company receives gas through Egypt’s national grid, under a 25-year take-or-pay natural gas supply agreement with the Egyptian government, with the gas price in dollars linked to international methanol prices above a certain level. (CONTINUED - 251 WORDS)