Friday 10 July, 2020

Titan Plant idled, Energy Chamber urges stakeholders to work together

Image of Titan Plant in Point Lisas. Photo courtesy

Image of Titan Plant in Point Lisas. Photo courtesy

The Canadian company Methanex Corporation has announced plans to idle its Titan plant in Trinidad and IV plant in Chile amid the COVID-19 pandemic that continues to create unprecedented turmoil globally.

In a statement on Monday, the Trinidad and Tobago Energy Chamber sought to justify the move noting that the world economy and commodity prices have both experienced sharp declines as demand has been significantly eroded due to the novel coronavirus. As a result, the chamber said companies around the world have been forced to adjust their plans to be able to survive.

“One of the options being taken by companies, is to decrease the production of commodities for which there is falling demand. Companies will look across their portfolio and make decisions about which facilities make most sense for them to idle. One of the issues that will be considered by a downstream petrochemical company will be the contractual obligations for purchasing raw materials, such as natural gas. This is the case that we are seeing with Methanes and the Titan plant in Trinidad. The idling of the Titan plant highlights the significance of the national crisis that we are facing,” the release said.

Meanwhile, the Energy Chamber called on all stakeholders to continue to work closely to find solutions.

"The global crisis created by this pandemic will pass. We need to work together to both navigate this difficult period and be ready to return stronger than before, once we have come through the immediate crisis period," it stated.

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