Methanex Corporation · TSX:MX
Methanex — Q3 2016 Earnings Presentation
10 slides from Methanex's earnings presentation, Oct 26, 2016
Slide 1: Q3-16 Financial Results
Q3-16 Financial Results October 26, 2016
Slide 2: Forward-looking Statements & Non-GAAP Measures
Forward-looking Statements & Non-GAAP Measures Information contained in these materials or presented orally on the earnings conference call, either in prepared remarks or in response to questions, contains forward-looking statements. Actual results could differ materially from those contemplated by
Slide 3: Q3-16 Industry Highlights
Q3-16 Industry Highlights • Healthy global demand in Q3 of approximately 16.8 million tonnes, up 10% versus Q3-15 ◦ Robust methanol-to-olefins (MTO) demand, reflecting a stronger average operating rate of over 80%, attributable to improved MTO margins and plants returning from maintenance ◦ Expect t
Slide 4: Q3-16 Methanol Price
Q3-16 Methanol Price Methanex Non-Discounted Regional Posted Prices 1 Nov Oct Sep Aug Jul (US$ per tonne) 2016 2016 2016 2016 2016 North America 319 293 276 266 266 2 Europe 280 280 265 265 265 Asia 310 285 275 275 275 1 Discounts from our posted prices are offered to customers based on various fact
Slide 5: Q3-16 Company Highlights
Q3-16 Company Highlights • Record quarterly sales of Methanex produced methanol at 1,860 thousand tonnes • Record total quarterly sales volume of 2,476 thousand tonnes • Secured additional gas in Chile sufficient to allow the 900,000 tonne Chile I facility to operate at approximately 60% of capacity
Slide 6: Q3-16 Financial & Operational Results
Q3-16 Financial & Operational Results Q3-16 Q2-16 Sales Volume (000's of tonnes) Methanex Produced Methanol 1,860 1,689 Purchased Methanol 411 533 Commission Sales 205 140 Total 2,476 2,362 Average realized price ($/tonne) 236 223 Adjusted EBITDA 1 ($millions) 74 38 Net loss attributable to Methanex
Slide 7: Q3-16 Production
Q3-16 Production (000's of tonnes) Q3-16 Q2-16 Q3-15 New Zealand 559 577 476 Geismar 1 and 2 519 527 259 Trinidad (Methanex share) 1 420 417 398 Egypt (50%) 69 53 — Medicine Hat 114 123 123 Chile 2 68 73 3 Total 1,749 1,770 1,259 1 The operating capacity of Trinidad is made up of Titan (100% interes
Slide 8: Q3-16 Production
Q3-16 Production • Strong production from our three plants in New Zealand, with production of 559,000 tonnes. • Geismar production rates continue to be strong, reflecting, in part, the relatively new catalyst at these plants. • Operating rate of 84% in Trinidad, reflecting continued gas restrictions
Slide 9: Summary
Summary • Methanol pricing has improved globally • Record Methanex-produced methanol sales and total sales volume in Q3 2016 • Good plant reliability of 96% 2016 YTD • Continued progress on increasing Chile gas supply • Strong demand growth continued with expected MTO plant start-ups in the coming m
Slide 10: Forward-looking Statements
Forward-looking Statements FORWARD-LOOKING INFORMATION WARNING This Presentation, our Third Quarter 2016 Management’s Discussion and Analysis (“MD&A”) and comments made during the Third Quarter 2016 investor conference call contain forward-looking statements with respect to us and our industry. Thes