Methanol
Overview
The global methanol industry has suffered in recent years. First COVID-19, then the Russia-Ukraine conflict, followed by global inflation, stagnation and downward revised GDP forecasts. It is hoped 2022/2023 will be the performance valley for the sector, looking toward an improved—but still slowed—outlook. The huge China methanol appetite has slowed. The MTO sector sees minimal growth ahead. The rest of the world will have to generate increased demand, but with much of this sector tied to GDP performance, the outlook here too is reserved. New capacity continues to define the landscape, with several new units expected in the coming months.
Pricing is spiking in Q4’23 due to a myriad of methanol production outages around the world. Production will return and prices weaken some. However, the outlook is for the olefins and olefin derivative sectors to finally end their respective down cycles. Olefin/derivative prices are expected to improve, driving higher MTO methanol affordability values. The rest of the methanol industry is expected to follow China’s MTO methanol price strength.
Argus’ experts will help you determine what trends to track and how to stay competitive in today’s ever-changing global markets.
Latest methanol news
Shell to buy Freepoint pyrolysis oil in US: Update
Shell to buy Freepoint pyrolysis oil in US: Update
Adds Freepoint comment in second paragraph Houston, 8 May (Argus) — Freepoint Eco-Systems has agreed to provide Shell's polymer plant in Pennsylvania with "a steady supply" of pyrolysis oil produced in Hebron, Ohio, from chemically recycled plastic waste. Under the "landmark agreement", oil will be shipped to Shell's polymer plant in Monaca, Pennsylvania, where it will be used to make plastic, the company said. Shell under the deal is entitled to the Hebron plant's production capacity of 130mn lb/yr, Freepoint said Thursday. Freepoint's Hebron plant is still in its commissioning phase, but the company expects to produce up to its full capacity of pyrolysis oil upon completion later this year. Pyrolysis uses high heat to break down waste plastic into feedstocks that can be used to make virgin-like plastic material. Shell said the agreement reflected its commitment to increasing the circularity of plastics in its portfolio. On 22 April, Freepoint sent its first railcar of pyrolysis oil to Shell's plant in Norco, Louisiana. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Shell to buy Freepoint pyrolysis oil for Penn. plant
Shell to buy Freepoint pyrolysis oil for Penn. plant
Houston, 8 May (Argus) — Freepoint Eco-Systems has agreed to provide Shell's polymer plant in Pennsylvania with "a steady supply" of pyrolysis oil produced in Hebron, Ohio, from chemically recycled plastic waste. Under the "landmark agreement", oil will be shipped to Shell's polymer plant in Monaca, Pennsylvania, where it will be used to make plastic, the company said Monday. Shell did not disclose how much supply it agreed to take or for how long. Freepoint's Hebron plant is still in its commissioning phase, but the company expects to produce up to 130mn lb/yr of pyrolysis oil upon completion later this year. Pyrolysis uses high heat to break down waste plastic into feedstocks that can be used to make virgin-like plastic material. Shell said the agreement reflected its commitment to increasing the circularity of plastics in its portfolio. On 22 April, Freepoint sent its first railcar of pyrolysis oil to Shell's plant in Norco, Louisiana. By Zach Kluver Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
India, Saudi Arabia plan two Indian refineries
India, Saudi Arabia plan two Indian refineries
Mumbai, 7 May (Argus) — India and Saudi Arabia are to collaborate on the development of two integrated refinery and petrochemical plants in India. The plan was announced after Indian prime minister Narendra Modi met Saudi counterpart Mohammed bin Salman in Jeddah on 22 April, as part of the India–Saudi Arabia Strategic Partnership Council. Saudi Arabia in 2019 pledged to invest $100bn in India in several sectors including energy and petrochemicals. No further details have been provided but the projects could be Indian state-run BPCL's planned facility in Andhra Pradesh and oil firm ONGC's refinery project in Gujarat, according to industry participants. Plans for a 1.2mn b/d refinery in Ratnagiri alongside the UAE's Adnoc have been abandoned because of logistical and land acquisition challenges, industry participants say. Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Aster to acquire Chevron Phillips Singapore Chemicals
Aster to acquire Chevron Phillips Singapore Chemicals
Singapore, 7 May (Argus) — Aster Chemicals and Energy has reached a sales and purchase agreement to acquire Chevron Phillips Singapore Chemicals (CPSC), which owns a 400,000 t/yr high-density polyethylene (HDPE) manufacturing facility on Singapore's Jurong Island. Aster will acquire CPSC through its affiliate Chandra Asri for an undisclosed sum. CPSC's plant produces mainly HDPE blow moulding grades and some HDPE film grades for exports to regional countries at preferential tariffs. The plant sources feedstock ethylene supplies from Singapore-based producer PCS' crackers on Jurong Island, according to market sources. CPSC is jointly owned by Chevron Phillips with a 50pc share, Singapore's EDB Investments with 30pc and Japan's Sumitomo Chemical with 20pc. Aster is owned by CAPGC, an 80:20 joint venture between Indonesian petrochemical producer Chandra Asri and Swiss trading firm Glencore. CAPGC acquired Shell's refinery and chemical assets in Singapore in May last year . The deal includes a 237,000 b/d refinery, a 1.1mn t/yr ethylene cracker and a 380,000 t/yr Group I base oil plant on Bukom island, as well as a 2.5mn t/yr chemical complex on Jurong Island. By Yee Ying Ang Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
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