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Methanex Announces Share Buy-Back

May 13, 2004

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 13, 2004) - Methanex Corporation announced today that its Board of Directors has approved a normal course issuer bid under which it may repurchase up to 6,143,543 common shares of the Company representing not more than 5% of the total shares issued and outstanding. There are currently 122,870,872 Methanex common shares issued and outstanding.

Bruce Aitken, President and CEO of Methanex commented, "This planned share repurchase is consistent with our balanced approach to the utilization of cash and reflects our ongoing commitment to returning excess cash to shareholders." Mr. Aitken added, "Our low-cost production facilities and leading market position have combined with strong methanol pricing to allow us to generate almost US$300 million in cash flow from operating activities over the previous four quarters. We have excellent financial strength and flexibility with over US$150 million in cash, an undrawn US$250 million credit facility and continued strong cash generation."

Mr. Aitken concluded, "We have the financial flexibility to complete the construction of the low cost Atlas and Chile IV methanol production facilities and pursue opportunities to enhance our supply position to the important Asia Pacific market."

The normal course issuer bid repurchase program was filed and accepted by the Toronto Stock Exchange (TSX) today. The program will be carried out through the facilities of the TSX. Purchases under the program may commence on May 17, 2004 and will terminate on the earlier of May 16, 2005 and the date upon which the Company has acquired the maximum number of common shares permitted under the purchase program or otherwise decided not to make further purchases. Purchases will be made from time to time at the then current market price of the Company's common shares as traded on the TSX and the common shares purchased will be cancelled.

Methanex believes that purchasing its shares under the normal course issuer bid is in the best interests of its shareholders and represents an effective use of the Company's financial resources. Methanex intends to finance the purchase of common shares under the bid with cash on hand.

Methanex, based in Vancouver, 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."



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