MercoPress. South Atlantic News Agency

Punta Arenas Methanex postpones coal turbine option

Methanex complex

The Methanex group which operates in Magallanes region, next to Punta Arenas has decided to postpone the investment in a coal turbine, which would have helped re-route more natural gas to the actual methanol processing, according to the local press.

For almost two years now the huge Methanex complex is working at a third of its capacity because Argentina privileges domestic demand over export commitments which means the plant has been exposed to a limited provision of natural gas. The turbine which was to work on coal would supply energy to the four Methanex units. "Methanex has decided to postpone the project" was the short confirmation from the world's leading methanol producer regional office in Santiago. With the 40 MW coal turbine Methanex would have been able to re-route 15% of the three million cubic meters of natural gas supplied daily by Chile's Enap to the actual methanol production. The decision was taken in Vancouver, Canada headquarters of Methanex as part of further cuts of its global production. However, before the decision was announced an agreement was reached with Ingeniería Civil Vicente, the local coal suppliers. Apparently the coal turbine project will be retaken some time later in the year or early on the following.