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Methanex Acquires Additional Production Flexibility

December 15, 2003

VANCOUVER, BRITISH COLUMBIA--Methanex Corporation has entered into an agreement with Terra Industries to acquire all of Terra's methanol customer contracts relating to its 700,000 tonne per year methanol facility located in Beaumont, Texas. In addition, Methanex will acquire certain production rights to the facility and exclusive rights to all methanol produced at the facility until the end of 2008. The agreement will commence following the close of business (Central Standard Time) on December 31, 2003 and lump-sum consideration paid by Methanex for this transaction will be US$25 million.

Bruce Aitken, President and COO of Methanex commented, "This transaction demonstrates our continued leadership in the methanol industry. Over the next twelve months we expect to add two important increments of low-cost capacity in Trinidad and Chile, and we need maximum flexibility as we bring this new capacity to market."

Gerry Duffy, Methanex's Senior Vice President, Global Marketing & Logistics added, "This new arrangement with Terra, and the transaction with Lyondell announced in December 2002, will provide our global supply chain with valuable flexibility and an even broader customer base."

Methanex is the world's largest producer and marketer of methanol. Methanex shares are listed for trading on the Toronto Stock Exchange in Canada under the trading symbol "MX" and on the Nasdaq National Market in the United States under the trading symbol "MEOH." Methanex can be visited online at www.methanex.com.


Information in this news release may contain forward-looking statements. By their nature, such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. They include world-wide economic conditions, the ability to implement business strategies and pursue business opportunities, conditions in the methanol and other industries and carrying out major capital expenditure projects. Please also refer to page 40 in our 2002 Annual Report for more information on forward-looking statements.



FOR FURTHER INFORMATION PLEASE CONTACT:

Methanex Corporation
Chris Cook
Director, Investor Relations
(604) 661-2600 or Toll-Free: 1-800-661-8851
Website: www.methanex.com