Hi, today we are going to talk about Methanex Corp and its current landscape.
Methanex Corp is the largest producer and supplier of methanol worldwide that has an exciting landscape ahead, as the demand of China it's likely to continue to grow, combined with the cheaper Natural Gas which makes methanol more price competitive, and the most recent China endeavor on the sector into the U.S it's set to fail. These events might attract more attention and interest to the Methanex business.
In terms of pricing, a gallon of methanol costs $1.13, cheaper than gasoline that costs $2.609. The price has been so competitive due to the lower prices of natural gas, which its the base to produce the methanol, this competitive price of methanol has the potential to reshape the fuel demand as its adoption can be essential to overcome the rising prices of Crude Oil.
Despite that, the demand from China it's likely to continue to grow as have been doing for almost a decade now, as hopes from China to have more independence on its methanol supply needs have been frustrated by a Federal Lawsuit filed yesterday. The Lawsuit aims to stop Northwest Innovation Works a U.S. company owned by the Chinese government, to build a $2 billion methanol refinery on Washington. The initiative to stop the venture was started by several groups of Environmental Activists and will most likely bury the project and let China more depending, on Methanex Corp supply which might be positive for the company future results and growth.
Thank you for reading and leave your comments if you like.
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Disclaimer: All content of Golden Dragon has only educational and informational purposes, and never should be used or take it as financial advice.
Methanex Corp is the largest producer and supplier of methanol worldwide that has an exciting landscape ahead, as the demand of China it's likely to continue to grow, combined with the cheaper Natural Gas which makes methanol more price competitive, and the most recent China endeavor on the sector into the U.S it's set to fail. These events might attract more attention and interest to the Methanex business.
In terms of pricing, a gallon of methanol costs $1.13, cheaper than gasoline that costs $2.609. The price has been so competitive due to the lower prices of natural gas, which its the base to produce the methanol, this competitive price of methanol has the potential to reshape the fuel demand as its adoption can be essential to overcome the rising prices of Crude Oil.
Despite that, the demand from China it's likely to continue to grow as have been doing for almost a decade now, as hopes from China to have more independence on its methanol supply needs have been frustrated by a Federal Lawsuit filed yesterday. The Lawsuit aims to stop Northwest Innovation Works a U.S. company owned by the Chinese government, to build a $2 billion methanol refinery on Washington. The initiative to stop the venture was started by several groups of Environmental Activists and will most likely bury the project and let China more depending, on Methanex Corp supply which might be positive for the company future results and growth.
Thank you for reading and leave your comments if you like.
To have access to our exclusive contents, join the Traders Heaven today! Link Below.
Disclaimer: All content of Golden Dragon has only educational and informational purposes, and never should be used or take it as financial advice.