Methanex achieved first methanol production from the Geismar 1 plant, which was relocated from its operations site in Punta Arenas, Chile, on Jan. 24, the company said on Jan. 26.
The plant is due to ramp up to full production rates over the coming weeks, according to John Floren, Methanex president and chief executive officer.
Construction also continues to progress on the 1 million-typ Geismar 2 plant, which remains on schedule to begin methanol production late in first-quarter 2016, Floren said.
The new plants follow the company’s 2013 commitment to grow its methanol operating capacity by 3 million tpy over 3 years, Floren added.
The cost of completion for both Geismar plants remains at about $1.4 billion, the company said.
Methanex previously announced it would relocate two of its methanol plants from Chile to Geismar, a move intended to provide capital savings as well as a reduced project timeframe for bringing production online (OGJ Online, Apr. 4, 2014).