NASDAQ: MEOH US $49.45
TSX: MX CDN $67.90

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Methanex Reports Fourth Quarter Results

VANCOUVER, BRITISH COLUMBIA–(Marketwired – Jan. 27, 2016) – For the fourth quarter of 2015, Methanex (TSX:MX)(NASDAQ:MEOH) reported Adjusted EBITDA1 of $80 million and Adjusted net income1 of $15 million ($0.16 per share on a diluted basis1). This compares with Adjusted EBITDA of $95 million and Adjusted net income of $23 million ($0.26 per share on a diluted basis) for the third quarter of 2015. Net income attributable to Methanex shareholders was $10 million in the fourth quarter compared to $78 million in the third quarter of 2015. For the year ended December 31, 2015, Methanex reported Adjusted EBITDA of $401 million and Adjusted net income of $110 million ($1.20 per share on a diluted basis). This compares with Adjusted EBITDA of $702 million and Adjusted net income of $397 million ($4.12 per share on a diluted basis) for the year ended December 31, 2014.

John Floren, President and CEO of Methanex commented, “Our fourth quarter Adjusted EBITDA reflects lower average realized methanol pricing compared to the third quarter. The continued decline in oil pricing further reduced the affordability for methanol into energy applications. This, combined with new methanol supply introduced in the fourth quarter, negatively impacted methanol pricing.”

Mr. Floren continued, “I am pleased to confirm that our one million tonne Geismar 2 plant started production on December 27, 2015 and has been operating at high rates since start up. The delivery of Geismar 2 ahead of schedule in a safe and efficient manner is a major accomplishment. The two Geismar plants are core components of our asset portfolio with strong, reliable production expected for years to come.”

“We returned over $30 million to shareholders in the fourth quarter of 2015 in the form of dividends and share repurchases. While the future of oil and methanol pricing is uncertain, Methanex is well positioned to navigate through this period of challenging industry conditions. Our flexible cost structure decreases when methanol prices are lower, preserving positive cash margins at a broad range of methanol prices. With over $250 million cash on hand, a $400 million undrawn credit facility, and a robust balance sheet, we are well positioned to meet our financial and capital commitments. Further, with the higher operating capacity provided by the Geismar facilities, we believe we are well positioned to leverage a recovery in methanol pricing, allowing us to generate strong future cash flows.”

A conference call is scheduled for January 28, 2016 at 12:00 noon ET (9:00 am PT) to review these fourth quarter results. To access the call, dial the conferencing operator ten minutes prior to the start of the call at (416) 340-8530, or toll free at (800) 769-8320. A playback version of the conference call will be available until February 18, 2016 at (905) 694-9451, or toll free at (800) 408-3053. The passcode for the playback version is 7161356. Presentation slides summarizing the Q4 2015 results and a simultaneous audio-only webcast of the conference call can be accessed from our website at www.methanex.com. The webcast will be available on the website for three weeks following the call.

Methanex is a Vancouver-based, publicly traded company and is the world’s largest producer and supplier of methanol to major international markets. Methanex shares are listed for trading on the Toronto Stock Exchange in Canada under the trading symbol “MX” and on the NASDAQ Global Market in the United States under the trading symbol “MEOH”.

FORWARD-LOOKING INFORMATION WARNING

This fourth quarter 2015 press release contains forward-looking statements with respect to us and the chemical industry. Refer to Forward-Looking Information Warning in the attached fourth quarter 2015 Management’s Discussion and Analysis for more information.

1 The Company has used the terms Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, Adjusted Revenue and operating income throughout this document. These terms are non-GAAP measures which do not have any standardized meaning prescribed by GAAP. These measures represent the amounts that are attributable to Methanex Corporation shareholders and are calculated by excluding the mark-to-market impact of share-based compensation as a result of changes in our share price and the impact of certain items associated with specific identified events. Refer to the Additional Information – Supplemental Non-GAAP Measures section of the attached Interim Report for the three and twelve months ended December 31, 2015 for reconciliations to the most comparable GAAP measures.

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For further information, contact:

Sandra Daycock
Director, Investor Relations
Methanex Corporation
604-661-2600
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