Mitsubishi Gas Chemical and Transition Industries Sign Ultra-Low Carbon Methanol Agreement

Key highlights
  • The agreement takes effect upon the Project's Final Investment Decision.
  • Commercial operation is scheduled for 2029.
  • MGC will offtake 1 million tons per year of ultra-low carbon methanol.
  • The Pacifico Mexinol Project aims to produce 2.15 million tons per year.

Agreement Overview

Mitsubishi Gas Chemical Company (MGC) has signed a sales and purchase agreement with Transition Industries LLC for the offtake of ultra-low carbon methanol. The agreement will become effective upon the Final Investment Decision of the Pacifico Mexinol Project in Mexico.

Project Details

The Pacifico Mexinol Project, developed by Transition Industries in collaboration with the International Finance Corporation and other partners, aims to produce 2.15 million tons of ultra-low carbon methanol annually. The project is one of the world's largest initiatives in this field, focusing on green and blue methanol production.

Timeline and Offtake

Commercial operations for the project are scheduled to begin in 2029. MGC will offtake approximately 1 million tons of ultra-low carbon methanol per year, making it a key offtaker for the project.

Environmental Impact

By supplying ultra-low carbon methanol, MGC aims to meet the growing demand for environmentally friendly products and promote methanol-based decarbonization in Japan and across Asia. This initiative supports the transition towards a more sustainable society by reducing greenhouse gas emissions.

Source: MGC

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