Vancouver News

Methanex gets US$42M in delivery dispute

By The Canadian Press

VANCOUVER - Methanex Corp. (TSX:MX) says its Chilean subsidiary has settled a natural gas delivery dispute with Total Austral S.A. of Argentina for US$42 million.

Vancouver-based Methanex said Friday that Total has agreed to pay the money to Methanex Chile S.A. pursuant to a long-term natural gas supply agreement between the two companies.

Total will make a lump sum payment of US$42 million in order to terminate the agreement and settle all potential legal disputes, Methanex said.

"We are pleased to have reached an agreement with Total, and we believe that the settlement represents fair value for Methanex shareholders," president and CEO John Floren said.

"We will continue to focus our efforts in Chile on realizing full value from our remaining assets including non-performing natural gas contracts. We have a first-class operation in Chile and remain optimistic that we can continue to operate in the region, supported by gas supplies from both Chile and Argentina."

Methanex is the world's largest producer and supplier of methanol to major international markets.

On the Toronto Stock Exchange, the company's shares closed up 26 cents at $66 on Friday.

We encourage an open exchange of ideas on this story's topic, but we ask you to follow our guidelines for respecting community standards. Personal attacks, inappropriate language, and off-topic comments may be removed, and comment privileges revoked, per our Terms of Use. Please see our FAQ if you have questions or concerns about using Facebook to comment.

You might like ...

Mother of dead girl charged with murder
Human Rights Tribunal rejects smart meter complaint
School districts await BCTF vote tonight
Samson: An exciting time for Campbell River
Forty years of search and rescue
Victoria United Way sets $6-million fundraising target
Island Savings, First West announce merger vote
Tentative deal reached
Free veterinarian care offered at Our Place

Read the latest eEdition

Browse the print edition page by page, including stories and ads.

Sep 17 edition online now. Browse the archives.