Low-Carbon Stakes Rise as Methanex Makes Its Move

Methanex's OCI deal boosts US methanol reach, positioning it ahead in certified low-carbon supply

29 Jun 2025

The American e-fuels market is entering a new phase. Methanex has completed its acquisition of OCI Global's methanol assets, a June deal that adds one fully owned Beaumont, Texas plant, a 50 percent stake in the Natgasoline facility, and the HyFuels low-carbon fuel platform. The expansion strengthens Methanex's Gulf Coast footprint, though some assets such as OCI's Netherlands plant remain idle and not immediately available.

Methanol is increasingly viewed as a practical route to lower emissions in shipping and other hard-to-electrify sectors. By expanding certified low-carbon methanol capacity, Methanex is positioned to supply more of the molecules that regulators and buyers are beginning to favor. For industries facing stricter climate targets, that additional access could prove valuable.

Analysts say the acquisition consolidates Methanex's leadership while raising expectations for competitors. Customers are placing greater weight on certification and traceability, not just output. With HyFuels under its umbrella, Methanex is better placed to offer products that may qualify for programs such as California's Low Carbon Fuel Standard, potentially giving it a commercial advantage.

Rivals like Proman, which also operates along the Gulf Coast, could face added pressure to accelerate their own certified low-carbon offerings. Fewer independent producers also shift market dynamics, with scale players potentially gaining more leverage in long-term supply agreements.

For OCI, the divestment sharpens its focus. The company frees capital to invest in greener chemicals and fertilizers while retaining a foothold in methanol through its Methanex stake. The move reflects a wider industry trend toward specialization and decarbonization.

Challenges remain. Methanex's stronger position depends on steady demand growth and continued regulatory support. A slowdown in policy momentum or adoption could temper returns. Even so, momentum is generally seen as building, with ports preparing for low-carbon bunkering and industries setting firmer emissions-cutting goals.

For US e-fuels, the transaction is a milestone. Methanex emerges with more scale and credibility in certified supply, while rivals weigh faster moves. The Gulf Coast is now even more central to how the transition to cleaner fuels unfolds.