Category: Canada

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• Quarterly net income of $1,225 million
• Cash flows from operating activities of $1,789 million and cash flows from operating activities excluding working capital¹ of $1,650 million
• Kearl quarterly production of 299,000 total gross oil-equivalent barrels per day (212,000 barrels Imperial’s share), and highest-ever full year total gross production of 281,000 barrels per day (200,000 barrels Imperial’s share)
• Cold Lake quarterly production of 157,000 gross oil-equivalent barrels per day and full year production of 148,000 barrels per day, supported by strong Grand Rapids performance
• Quarterly Upstream production of 460,000 gross oil-equivalent barrels per day, and highest annual production in over 30 years of 433,000 barrels per day
• Strong Downstream operating performance with refinery capacity utilization of 95 percent for the quarter and 92 percent for the year, at the high end of guidance
• Returned nearly $1.8 billion to shareholders in the quarter through share buybacks and dividends
• Quarterly dividend increased by 20 percent from 60 cents to 72 cents per share

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CALGARY, Alberta — Imperial (TSE: IMO) (NYSE American: IMO):

Imperial reported estimated net income in the fourth quarter of $1,225 million, compared to net income of $1,237 million in the third quarter of 2024, primarily due to lower realizations, partially offset by higher production and stronger Downstream refinery capacity utilization. Quarterly cash flows from operating activities were $1,789 million, up from $1,487 million generated in the third quarter of 2024. Excluding the impact of working capital¹, cash flows from operating activities were $1,650 million, compared to $1,797 million in the third quarter of 2024. Full year estimated net income was $4,790 million with cash flows from operating activities of $5,981 million. Excluding the impacts of working capital¹, full-year cash flows from operating activities were $6,476 million.

“Our robust financial results in 2024 were driven by outstanding operational performance. I’m proud of Imperial’s ability to deliver on all of its 2024 volume commitments including a new annual production record at Kearl. Downstream and Cold Lake performances were both at the upper end of our guidance, which was supported by excellent turnaround execution and strong Grand Rapids production,” said Brad Corson, chairman, president and chief executive officer.

Upstream production in the fourth quarter averaged 460,000 gross oil-equivalent barrels per day, which is the highest quarterly production in over 30 years when adjusting for the divestment of XTO Energy Canada. The fourth-quarter performance contributed to the company’s highest annual production of 433,000 gross oil-equivalent barrels per day in over 30 years. At Kearl, quarterly total gross production averaged 299,000 barrels per day (212,000 barrels Imperial’s share), contributing to a full year production record of 281,000 total gross barrels per day (200,000 barrels Imperial’s share) at unit cash costs¹ below the company’s previously stated target. Cold Lake quarterly gross production averaged 157,000 barrels per day, including better-than-expected production of 22,000 barrels per day of solvent-assisted SAGD production from Grand Rapids. The company’s share of Syncrude quarterly production averaged 81,000 gross barrels per day.

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Downstream throughput in the quarter averaged 411,000 barrels per day, resulting in an overall refinery capacity utilization of 95 percent, even with the completion of the Nanticoke turnaround. Petroleum product sales averaged 458,000 barrels per day. Full-year throughput achieved the high end of the company’s 2024 guidance range, averaging 399,000 barrels per day, with capacity utilization of 92 percent and petroleum product sales of 466,000 barrels per day. Construction continued on Canada’s largest renewable diesel facility at the Strathcona refinery, with a targeted start-up date in the middle of 2025.

During the quarter, Imperial returned a total of nearly $1.8 billion to shareholders through dividend payments and accelerated share repurchases under the company’s annual normal course issuer bid program. The company is also announcing a first quarter dividend increase of 12 cents per share to 72 cents per share.

“Our 20% increase in the dividend reflects confidence in our plans as we enter 2025 with strong operational momentum underpinned by Upstream production growth, strong Downstream utilization and a continued focus on expense reduction,” said Corson.

Fourth quarter highlights

• Net income of $1,225 million or $2.37 per share on a diluted basis, compared to $1,365 million or $2.47 per share in the fourth quarter of 2023.
• Cash flows from operating activities of $1,789 million, up from cash flows from operating activities of $1,311 million in the fourth quarter of 2023. Cash flows from operating activities excluding working capital¹ of $1,650 million, compared to $1,799 million in the fourth quarter of 2023.
• Capital and exploration expenditures totaled $423 million, compared to $469 million in the fourth quarter of 2023.
• The company returned $1,792 million to shareholders in the fourth quarter of 2024, including $317 million in dividends paid and $1,475 million with the successful completion of its accelerated share repurchases.
• Production averaged 460,000 gross oil-equivalent barrels per day, the highest quarterly production in over 30 years when adjusting for the divestment of XTO Energy Canada, up from 452,000 gross oil-equivalent barrels per day in the fourth quarter of 2023, primarily driven by Grand Rapids.
• Total gross bitumen production at Kearl averaged 299,000 barrels per day (212,000 barrels Imperial’s share), compared to 308,000 barrels per day (218,000 barrels Imperial’s share) in the fourth quarter of 2023.
• Gross bitumen production at Cold Lake averaged 157,000 barrels per day, up from 139,000 barrels per day in the fourth quarter of 2023, mainly driven by Grand Rapids.
• Leming SAGD redevelopment project remains on track with expected start up in late 2025 with peak production anticipated to be around 9,000 barrels per day.
• The company’s share of gross production from Syncrude averaged 81,000 barrels per day, compared to 85,000 barrels per day in the fourth quarter of 2023.
• Refinery throughput averaged 411,000 barrels per day, up from 407,000 barrels per day in the fourth quarter of 2023. Capacity utilization was 95 percent, up from 94 percent in the fourth quarter of 2023.
• Petroleum product sales were 458,000 barrels per day, compared to 476,000 barrels per day in the fourth quarter of 2023, primarily driven by lower wholesale volume.
• Construction continued on Canada’s largest renewable diesel facility at the Strathcona refinery, with a targeted start-up date in the middle of 2025.
• Chemical net income of $21 million in the quarter, up from $17 million in the fourth quarter of 2023.

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Recent business environment

During the fourth quarter, crude prices decreased versus the third quarter, reflecting uncertainty in supply and demand balances. The Canadian WTI/WCS spread remained consistent with the third quarter, and the full-year average was narrower versus the 2023 full-year average. Industry refining margins declined versus the third quarter due to increased supply.

Operating results
Fourth quarter 2024 vs. fourth quarter 2023

Upstream
Net income (loss) factor analysis
millions of Canadian dollars

Price – Average bitumen realizations increased by $7.53 per barrel, primarily driven by the narrowing WTI/WCS spread and lower diluent costs, partially offset by lower marker prices. Synthetic crude oil realizations decreased by $6.27 per barrel, primarily driven by lower WTI and a weaker Synthetic/WTI spread.

Volume – Higher volumes were primarily driven by Grand Rapids production at Cold Lake.

Royalty – Higher royalties were primarily driven by higher prices and volumes.

Other – Primarily due to favourable foreign exchange impacts of about $60 million.

Marker prices and average realizations

Production

Higher production at Cold Lake was primarily driven by Grand Rapids.

Downstream
Net income (loss) factor analysis
millions of Canadian dollars

Margins – Lower margins primarily reflect weaker market conditions.

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Other – Primarily due to favourable foreign exchange impacts of about $70 million.

Refinery utilization and petroleum product sales

Refinery throughput in the fourth quarter of 2024 reflects the impact of planned turnaround activities at the

Nanticoke refinery. Refinery throughput in the fourth quarter of 2023 reflected the impact of planned turnaround activities at the Sarnia refinery.

Lower petroleum product sales were primarily driven by lower wholesale volume.

Chemicals
Net income (loss) factor analysis
millions of Canadian dollars

Corporate and other

Liquidity and capital resources

Cash flows from operating activities primarily reflect favourable working capital impacts.

Cash flows used in investing activities primarily reflect lower additions to property, plant and equipment.

Cash flows used in financing activities primarily reflect:

The company completed share repurchases under its normal course issuer bid on December 19, 2024.

Full-year 2024 vs. full-year 2023

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Upstream
Net income (loss) factor analysis
millions of Canadian dollars

Price – Average bitumen realizations increased by $7.11 per barrel, primarily driven by the narrowing WTI/WCS spread and lower diluent costs, partially offset by lower marker prices. Synthetic crude oil realizations decreased by $3.66 per barrel, primarily driven by a weaker Synthetic/WTI spread and lower WTI.

Volume – Higher volumes were primarily driven by Grand Rapids production at Cold Lake, as well as improved mine fleet productivity and optimized turnaround at Kearl.

Royalty – Higher royalties were primarily driven by higher volumes and prices.

Other – Primarily due to lower operating costs of about $210 million, mainly driven by lower energy prices, and favourable foreign exchange impacts of about $120 million, partially offset by lower electricity sales at Cold Lake due to lower prices.

Marker prices and average realizations

Production

Higher production at Cold Lake was primarily driven by Grand Rapids.

Downstream
Net income (loss) factor analysis
millions of Canadian dollars

Margins – Lower margins primarily reflect weaker market conditions.

Other – Primarily due to lower turnaround impacts of about $120 million and favourable foreign exchange impacts of about $110 million, partially offset by lower volumes of about $60 million.

Refinery utilization and petroleum product sales

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Refinery throughput in 2024 reflects the impact of planned turnaround activities at Nanticoke, Sarnia, and Strathcona refineries. Refinery throughput in 2023 reflected the impact of planned turnaround activities at Strathcona and Sarnia refineries.

Chemicals
Net income (loss) factor analysis
millions of Canadian dollars

Corporate and other

Liquidity and capital resources

Cash flows from operating activities primarily reflect the absence of unfavourable working capital impacts mainly related to an income tax catch-up payment of $2.1 billion in the prior year.

Cash flows used in investing activities primarily reflect higher additions to property, plant and equipment.

Cash flows used in financing activities primarily reflect:

On June 24, 2024, the company announced that it had received final approval from the Toronto Stock Exchange for a new normal course issuer bid to continue its then existing share purchase program. The program enabled the company to purchase up to a maximum of 26,791,840 common shares during the period June 29, 2024 to June 28, 2025. The program completed on December 19, 2024 as a result of the company purchasing the maximum allowable number of shares under the program.

Key financial and operating data follow.

Forward-looking statements

Statements of future events or conditions in this report, including projections, targets, expectations, estimates, and business plans, are forward-looking statements. Similarly, discussion of roadmaps or future plans related to carbon capture, transportation and storage, biofuel, hydrogen, and other future plans to reduce emissions and emission intensity of the company, its affiliates and third parties are dependent on future market factors, such as continued technological progress, policy support and timely rule-making and permitting, and represent forward-looking statements. Forward-looking statements can be identified by words such as believe, anticipate, intend, propose, plan, goal, seek, estimate, expect, future, continue, likely, may, should, will and similar references to future periods. Forward-looking statements in this report include, but are not limited to, references to the company’s Strathcona renewable diesel project, including start-up timing; the company’s Leming SAGD redevelopment project, including timing and anticipated production; the company’s unit cash cost target; and the company’s operational momentum, anticipated Upstream production growth and Downstream utilization, and continued focus on expense reduction.

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Forward-looking statements are based on the company’s current expectations, estimates, projections and assumptions at the time the statements are made. Actual future financial and operating results, including expectations and assumptions concerning future energy demand, supply and mix; production rates, growth and mix across various assets; project plans, timing, costs, technical evaluations and capacities and the company’s ability to effectively execute on these plans and operate its assets, including the Strathcona renewable diesel project and the Leming SAGD redevelopment project; the adoption and impact of new facilities or technologies on reductions to greenhouse gas emissions intensity, including but not limited to technologies using solvents to replace energy intensive steam at Cold Lake, Strathcona renewable diesel, carbon capture and storage including in connection with hydrogen for the renewable diesel project, recovery technologies and efficiency projects, and any changes in the scope, terms, or costs of such projects; the results of research programs and new technologies, including with respect to greenhouse gas emissions, and the ability to bring new technologies to scale on a commercially competitive basis, and the competitiveness of alternative energy and other emission reduction technologies; for renewable diesel, the availability and cost of locally-sourced and grown feedstock and the supply of renewable diesel to British Columbia in connection with its low-carbon fuel legislation; the amount and timing of emissions reductions, including the impact of lower carbon fuels; the degree and timeliness of support that will be provided by policymakers and other stakeholders for various new technologies such as carbon capture and storage will be provided; receipt of regulatory approvals in a timely manner, especially with respect to large scale emissions reduction projects; performance of third-party service providers including service providers located outside of Canada; refinery utilization; applicable laws and government policies, including with respect to climate change, greenhouse gas emissions reductions and low carbon fuels; the ability to offset any ongoing inflationary pressures; capital and environmental expenditures; cash generation, financing sources and capital structure, such as dividends and shareholder returns, including the timing and amounts of share repurchases; and commodity prices, foreign exchange rates and general market conditions, could differ materially depending on a number of factors.

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These factors include global, regional or local changes in supply and demand for oil, natural gas, and petroleum and petrochemical products and resulting price, differential and margin impacts, including Canadian and foreign government action with respect to supply levels, prices, trade tariffs, trade controls, the occurrence of disruptions in trade or military alliances, and wars; political or regulatory events, including changes in law or government policy, applicable royalty rates, and tax laws; third-party opposition to company and service provider operations, projects and infrastructure; competition from alternative energy sources and competitors who may be more experienced or established in these markets; availability and allocation of capital; the receipt, in a timely manner, of regulatory and third-party approvals, including for new technologies relating to the company’s lower emissions business activities; failure, delay, reduction, revocation or uncertainty regarding supportive policy and market development for the adoption of emerging lower emission energy technologies and other technologies that support emissions reductions; environmental regulation, including climate change and greenhouse gas regulation and changes to such regulation; unanticipated technical or operational difficulties; project management and schedules and timely completion of projects; availability and performance of third-party service providers including those located outside of Canada; environmental risks inherent in oil and gas exploration and production activities; management effectiveness and disaster response preparedness; operational hazards and risks; cybersecurity incidents; currency exchange rates; general economic conditions, including inflation and the occurrence and duration of economic recessions or downturns; and other factors discussed in Item 1A risk factors and Item 7 management’s discussion and analysis of financial condition and results of operations of Imperial’s most recent annual report on Form 10-K.

Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties, some that are similar to other oil and gas companies and some that are unique to Imperial. Imperial’s actual results may differ materially from those expressed or implied by its forward-looking statements and readers are cautioned not to place undue reliance on them. Imperial undertakes no obligation to update any forward-looking statements contained herein, except as required by applicable law.

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Forward-looking and other statements regarding Imperial’s environmental, social and other sustainability efforts and aspirations are not an indication that these statements are material to investors or require disclosure in the company’s filings with securities regulators. In addition, historical, current and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future, including future rule-making. Individual projects or opportunities may advance based on a number of factors, including availability of supportive policy, technology for cost-effective abatement, company planning process, and alignment with our partners and other stakeholders.

In this release all dollar amounts are expressed in Canadian dollars unless otherwise stated. This release should be read in conjunction with Imperial’s most recent Form 10-K. Note that numbers may not add due to rounding.

The term “project” as used in this release can refer to a variety of different activities and does not necessarily have the same meaning as in any government payment transparency reports.

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Attachment VI

Non-GAAP financial measures and other specified financial measures

Certain measures included in this document are not prescribed by U.S. Generally Accepted Accounting Principles (GAAP). These measures constitute “non-GAAP financial measures” under Securities and Exchange Commission Regulation G and Item 10(e) of Regulation S-K, and “specified financial measures” under National Instrument 52-112 Non-GAAP and Other Financial Measures Disclosure of the Canadian Securities Administrators.

Reconciliation of these non-GAAP financial measures to the most comparable GAAP measure, and other information required by these regulations, have been provided. Non-GAAP financial measures and specified financial measures are not standardized financial measures under GAAP and do not have a standardized definition. As such, these measures may not be directly comparable to measures presented by other companies, and should not be considered a substitute for GAAP financial measures.

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Cash flows from (used in) operating activities excluding working capital

Cash flows from (used in) operating activities excluding working capital is a non-GAAP financial measure that is the total cash flows from operating activities less the changes in operating assets and liabilities in the period. The most directly comparable financial measure that is disclosed in the financial statements is “Cash flows from (used in) operating activities” within the company’s Consolidated statement of cash flows. Management believes it is useful for investors to consider these numbers in comparing the underlying performance of the company’s business across periods when there are significant period-to-period differences in the amount of changes in working capital. Changes in working capital is equal to “Changes in operating assets and liabilities” as disclosed in the company’s Consolidated statement of cash flows and in Attachment II of this document. This measure assesses the cash flows at an operating level, and as such, does not include proceeds from asset sales as defined in Cash flows from operating activities and asset sales in the Frequently Used Terms section of the company’s annual Form 10-K.

Reconciliation of cash flows from (used in) operating activities excluding working capital

Free cash flow

Free cash flow is a non-GAAP financial measure that is cash flows from operating activities less additions to property, plant and equipment and equity company investments plus proceeds from asset sales. The most directly comparable financial measure that is disclosed in the financial statements is “Cash flows from (used in) operating activities” within the company’s Consolidated statement of cash flows. This measure is used to evaluate cash available for financing activities (including but not limited to dividends and share purchases) after investment in the business.

Reconciliation of free cash flow

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Net income (loss) excluding identified items

Net income (loss) excluding identified items is a non-GAAP financial measure that is total net income (loss) excluding individually significant non-operational events with an absolute corporate total earnings impact of at least $100 million in a given quarter. The net income (loss) impact of an identified item for an individual segment in a given quarter may be less than $100 million when the item impacts several segments or several periods. The most directly comparable financial measure that is disclosed in the financial statements is “Net income (loss)” within the company’s Consolidated statement of income. Management uses these figures to improve comparability of the underlying business across multiple periods by isolating and removing significant non-operational events from business results. The company believes this view provides investors increased transparency into business results and trends, and provides investors with a view of the business as seen through the eyes of management. Net income (loss) excluding identified items is not meant to be viewed in isolation or as a substitute for net income (loss) as prepared in accordance with U.S. GAAP. All identified items are presented on an after-tax basis.

Reconciliation of net income (loss) excluding identified items

There were no identified items in the fourth quarter or year-to-date 2024 and 2023 periods.

Cash operating costs (cash costs)

Cash operating costs is a non-GAAP financial measure that consists of total expenses, less purchases of crude oil and products, federal excise taxes and fuel charge, financing, and costs that are non-cash in nature, including depreciation and depletion, and non-service pension and postretirement benefit. The components of cash operating costs include “Production and manufacturing”, “Selling and general” and “Exploration” from the company’s Consolidated statement of income, and as disclosed in Attachment III of this document. The sum of these income statement lines serves as an indication of cash operating costs and does not reflect the total cash expenditures of the company. The most directly comparable financial measure that is disclosed in the financial statements is “Total expenses” within the company’s Consolidated statement of income. This measure is useful for investors to understand the company’s efforts to optimize cash through disciplined expense management.

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Reconciliation of cash operating costs

Components of cash operating costs

Segment contributions to total cash operating costs

Unit cash operating costs (unit cash costs)

Unit cash operating costs is a non-GAAP ratio. Unit cash operating costs (unit cash costs) is calculated by dividing cash operating costs by total gross oil-equivalent production, and is calculated for the Upstream segment, as well as the major Upstream assets. Cash operating costs is a non-GAAP financial measure and is disclosed and reconciled above. This measure is useful for investors to understand the expense management efforts of the company’s major assets as a component of the overall Upstream segment. Unit cash operating cost, as used by management, does not directly align with the definition of “Average unit production costs” as set out by the U.S. Securities and Exchange Commission (SEC), and disclosed in the company’s SEC Form 10-K.

Components of unit cash operating costs

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Components of unit cash operating costs

After more than a century, Imperial continues to be an industry leader in applying technology and innovation to responsibly develop Canada’s energy resources. As Canada’s largest petroleum refiner, a major producer of crude oil, a key petrochemical producer and a leading fuels marketer from coast to coast, our company remains committed to high standards across all areas of our business.

Source: Imperial

View source version on businesswire.com: https://www.businesswire.com/news/home/20250131854215/en/

Contacts

Investor Relations
(587) 962-4401

Media Relations
(587) 476-7010

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Except where otherwise noted, all currency amounts are stated in United States dollars.

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Financial and Production Highlights

• Net income attributable to Methanex shareholders of $45 million and Adjusted EBITDA of $224 million in the fourth quarter. Our average realized price in the fourth quarter was $370 per tonne compared to $356 per tonne in the third quarter of 2024.
• Full year 2024 net income attributable to Methanex shareholders of $164 million and Adjusted EBITDA of $764 million.
• Fourth quarter production of 1,868 kmt was higher than third quarter production of 1,347 kmt driven by higher production from Chile, New Zealand, Geismar, and Egypt.
• In 2024, $50 million was returned to shareholders through regular dividends and the $300 million bond due in December was repaid with cash flows generated from operations. We ended the year with $892 million in cash.
• During the fourth quarter we completed the financing plan for the acquisition of OCI Global’s international methanol business (“OCI Acquisition”) including renewing and increasing the undrawn credit facility, syndicating a $650 million Term Loan A and issuing a $600 million bond.
• We have been advised by our legal counsel that earlier today OCI Global received a favourable decision from the Delaware Court of Chancery in its dispute with its joint venture partner with respect to the Natgasoline asset (subject to any potential further proceedings or appeal).

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VANCOUVER, British Columbia, Jan. 29, 2025 (GLOBE NEWSWIRE) — For the fourth quarter of 2024, Methanex (TSX:MX) (NASDAQ:MEOH) reported net income attributable to Methanex shareholders of $45 million ($0.67 net income per common share on a diluted basis) compared to net income of $31 million ($0.35 net income per common share on a diluted basis) in the third quarter of 2024. Adjusted EBITDA for the fourth quarter of 2024 was $224 million and Adjusted net income was $84 million ($1.24 Adjusted net income per common share). This compares with Adjusted EBITDA of $216 million and Adjusted net income of $82 million ($1.21 Adjusted net income per common share) for the third quarter of 2024.

Our average realized price in the fourth quarter was $370 per tonne compared to $356 per tonne in the third quarter of 2024. The increase in our average realized price was driven by tightening market conditions from lower supply compared to the third quarter coupled with steady demand.

For the year ended December 31, 2024, Methanex reported net income attributable to Methanex shareholders of $164 million ($2.39 net income per common share on a diluted basis), Adjusted EBITDA of $764 million and an Adjusted net income of $252 million ($3.72 Adjusted net income per common share). This compares with a net income attributable to Methanex shareholders of $174 million ($2.57 net income per common share on a diluted basis), Adjusted EBITDA of $622 million and an Adjusted net income of $153 million ($2.25 Adjusted net income per common share) for the year ended December 31, 2023.

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Rich Sumner, President & CEO of Methanex, said, “2024 was a significant year for Methanex. Thanks to the dedication of our global team, we achieved the best safety performance in the company’s history, successfully achieved commercial production at G3, and announced the acquisition of OCI Global’s methanol business. Our top priorities for 2025 are operating our assets and supply chain safely, reliably, and efficiently, closing the OCI acquisition and integrating the business, and generating strong cash flows to continue to decrease leverage.”

FURTHER INFORMATION

The information set forth in this news release summarizes Methanex’s key financial and operational data for the fourth quarter of 2024. It is not a complete source of information for readers and is not in any way a substitute for reading the fourth quarter 2024 Management’s Discussion and Analysis (“MD&A”) dated January 29, 2025 and the unaudited condensed consolidated interim financial statements for the period ended December 31, 2024, both of which are available from the Investor Relations section of our website at www.methanex.com. The MD&A and the unaudited condensed consolidated interim financial statements for the period ended December 31, 2024 are also available on the Canadian Securities Administrators’ SEDAR+ website at www.sedarplus.ca and on the United States Securities and Exchange Commission’s EDGAR website at www.sec.gov.

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FINANCIAL AND OPERATIONAL DATA

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• A reconciliation from net income attributable to Methanex shareholders to Adjusted EBITDA, Adjusted net income and the calculation of Adjusted net income per common share is as follows:

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• We recorded net income attributable to Methanex shareholders of $45 million in the fourth quarter of 2024 compared to net income of $31 million in the third quarter of 2024. Net income in the fourth quarter of 2024 was higher compared to the prior quarter primarily due to a higher average realized price and the impact of the non-recurring asset impairment expense recorded in the third quarter of 2024. This was offset by lower New Zealand gas sale net proceeds, the negative impact of the mark-to-market adjustments of share-based compensation and gas supply contracts, higher finance costs and the impact of the non-recurring Egypt insurance proceeds recorded in the third quarter of 2024.

• We sold 2,564,000 tonnes in the fourth quarter of 2024 compared to 2,623,000 tonnes in the third quarter of 2024. Sales of Methanex-produced methanol were 1,455,000 tonnes in the fourth quarter of 2024 compared to 1,378,000 tonnes in the third quarter of 2024. Production was higher than produced sales in the fourth quarter of 2024 due to seasonally higher production in Chile and New Zealand and the start-up timing of G3.

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• Production for the fourth quarter of 2024 was 1,868,000 tonnes compared to 1,347,000 tonnes for the third quarter of 2024. Production was higher in the fourth quarter of 2024 compared to the third quarter of 2024 mainly due to higher production in Chile, New Zealand, Geismar and Egypt which was partially offset by lower production in Trinidad.

• In the fourth quarter of 2024 we paid a quarterly dividend of $0.185 per common share for a total of $12.5 million.

• At December 31, 2024, we had a strong liquidity position including a cash balance of $892 million, or $879 million excluding non-controlling interests and including our share of cash in the Atlas joint venture. During the fourth quarter, we repaid the $300 million bond due in December with cash flows generated from operations. We also completed the financing plan for the acquisition of OCI Global’s international methanol business including renewing and extending the undrawn credit facility, syndicating a $650 million Term Loan A and issuing a $600 million bond. The new facilities have been structured to provide financial flexibility to support the OCI Acquisition while allowing future de-leveraging.

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PRODUCTION HIGHLIGHTS

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Key production and operational highlights during the fourth quarter include:

United States

Geismar produced 839,000 tonnes in the fourth quarter of 2024 compared to 605,000 tonnes in the third quarter of 2024. Production was higher in the fourth quarter with higher production from the Geismar 3 plant. The plant produced first methanol at the end of July and successfully completed its commercial performance tests in early October. In mid-November, a proactive shutdown of G3 was taken to inspect some of the newly commissioned equipment to ensure reliability. The plant successfully restarted and resumed full operating rates in early December.

Trinidad

In Trinidad, the Titan plant, which restarted in late September, produced 205,000 tonnes (Methanex interest) in the fourth quarter of 2024 compared to the 262,000 tonnes produced primarily by the Atlas plant in the third quarter of 2024. Production was lower in the fourth quarter compared to the third quarter due to the Atlas methanol plant being idled in September and the Titan methanol plant resuming operations.

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New Zealand

New Zealand produced 143,000 tonnes in the fourth quarter of 2024 compared to 72,000 tonnes in the third quarter of 2024. Production in the fourth quarter was higher compared to the third quarter with the restart of Motunui II in November. In August, operations were temporarily idled as we entered short-term commercial arrangements to provide contracted natural gas into the New Zealand electricity market until the end of October 2024. In the fourth quarter, gas availability was seasonally high, allowing the plant to operate at full rates. Based on the current outlook from our gas suppliers we expect 500,000 to 700,000 tonnes of production from New Zealand in 2025. Future production will be dependent on gas availability and any on-selling of gas into the electricity market to support New Zealand’s energy needs. We are in continuing discussions with our gas suppliers to ensure our contractual entitlements, which are in place until 2029, are being respected as well as engaging with our gas suppliers and government agencies in supporting efforts to improve energy balances in the country.

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Chile

Chile produced 387,000 tonnes in the fourth quarter of 2024 compared to 173,000 tonnes in the third quarter of 2024. Production was higher in the fourth quarter compared to the third quarter primarily due to higher gas supply from Argentina as the Southern hemisphere winter months ended and demand for natural gas in the region decreased. We have gas contracts in place with Chilean and Argentinean gas producers until 2030 and 2027, respectively, which underpin approximately 55% of the site’s gas requirements year round. We continue to expect seasonality in production but are seeing positive developments making gas available for longer periods. Based on contracted gas, 2025 production is expected to be between 1.3 – 1.4 million tonnes.

Egypt

Egypt produced 310,000 tonnes (Methanex interest – 155,000 tonnes) in the fourth quarter of 2024 compared to 186,000 tonnes (Methanex interest – 93,000 tonnes) in the third quarter of 2024. Production increased compared to the third quarter as temperatures moderated, the gas balances in the country stabilized and we operated at full rates. We are monitoring the gas market closely and would expect to experience some curtailments in 2025, particularly in the summer months, depending on gas supply and demand dynamics.

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Canada

Medicine Hat produced 139,000 tonnes in the fourth quarter compared to 142,000 tonnes in the third quarter of 2024.

Outlook

Our expected production guidance for 2025 is approximately 7.5 million tonnes (Methanex interest), which excludes any incremental production from OCI assets post-acquisition closing date. In 2025, production will be impacted by three turnarounds occurring in the first three quarters of 2025. Actual production may vary by quarter based on gas availability, turnarounds, unplanned outages and unanticipated events.

In the first quarter of 2025, we expect significantly higher Adjusted EBITDA compared to the fourth quarter, with produced sales expected to be closer to production levels in the fourth quarter of 2024, and a higher average realized price. Based on our January and February posted prices we expect that our average realized price range will be between approximately $395 to $405 per tonne for these two months.

CONFERENCE CALL

A conference call is scheduled for January 30, 2025 at 11:00 am ET (8:00 am PT) to review these fourth quarter results. To access the call, dial the conferencing operator fifteen minutes prior to the start of the call at (647) 932-3411, or toll free at (800) 715-9871. The conference ID for the call is #2019292. A simultaneous audio-only webcast of the conference call can be accessed from our website at www.methanex.com/investor-relations/events and will also be available following the call.

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ABOUT METHANEX

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 2024 press release contains forward-looking statements with respect to us and the chemical industry. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond the Company’s control. Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Methanex does not undertake to update, correct or revise any forward-looking information as a result of any new information, future events or otherwise, except as may be required by applicable law. Refer to Forward-Looking Information Warning in the fourth quarter 2024 Management’s Discussion and Analysis for more information which is available from the Investor Relations section of our website at www.methanex.com, the Canadian Securities Administrators’ SEDAR+ website at www.sedarplus.ca and on the United States Securities and Exchange Commission’s EDGAR website at www.sec.gov.

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NON-GAAP MEASURES

Throughout this document, the Company has used the terms Adjusted EBITDA, Adjusted net income, Adjusted net income per common share, and Total debt and lease obligations attributable to Methanex shareholders. These items are non-GAAP measures and ratios that 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, the impact of the Egypt and New Zealand gas contract revaluation and the impact of certain items associated with specific identified events. Refer to Additional Information – Non-GAAP Measures on page 14 of the Company’s MD&A for the period ended December 31, 2024 for reconciliations to the most comparable GAAP measures. Unless otherwise indicated, the financial information presented in this release is prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

For further information, contact:
Sarah Herriott
Director, Investor Relations
Methanex Corporation
604-661-2600

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