Except where otherwise noted, all currency amounts are stated in United States dollars.

Net income attributable to Methanex shareholders of $125 million and Adjusted EBITDA of $243 million.
Geismar 3 ("G3") project capital cost and schedule review completed in July. First methanol production is now expected in the fourth quarter of 2023 and the upper band of the capital cost range has been lowered by $50 million to $1.3 billion. The remaining capital spend of $525 to $575 million is fully funded with cash on hand.
The Board approved a 20% dividend increase to $0.175 per share per quarter. The increased dividend along with our share buyback program highlights our continued commitment to return excess cash to shareholders.

VANCOUVER, British Columbia, July 27, 2022 (GLOBE NEWSWIRE) -- For the second quarter of 2022, Methanex (TSX:MX) (NASDAQ:MEOH) reported net income attributable to Methanex shareholders of $125 million ($1.41 net income per common share on a diluted basis) compared to net income of $119 million ($1.60 net income per common share on a diluted basis) in the first quarter of 2022. Net income was higher compared to the prior quarter primarily due to the change in the mark-to-market impact of share-based compensation due to changes in Methanex's share price. This was offset by the impact of lower sales of Methanex-produced methanol and higher gas and logistics costs. Adjusted EBITDA for the second quarter of 2022 was $243 million, and Adjusted net income was $84 million ($1.16 Adjusted net income per common share). This compares with Adjusted EBITDA of $337 million and Adjusted net income of $159 million ($2.16 Adjusted net income per common share) for the first quarter of 2022.

Methanol industry operating rates improved slightly in the second quarter of 2022 as a result of Iran increasing production as its seasonal gas availability constraints eased. This increase in production from Iran was partially offset by plant turnarounds in Europe and Asia. Demand increased in the second quarter of 2022 driven by high MTO operating rates and an increase in traditional demand following the seasonal slowdown of manufacturing activities during the Lunar New Year in China in the first quarter. The average realized price in the second quarter was $422 per tonne compared to $425 per tonne in the first quarter of 2022.

We ended the quarter with $878 million in cash and returned $109 million to shareholders through the regular dividend and share repurchases.

John Floren, President & CEO of Methanex, said, "Our Geismar 3 project is progressing safely and I am happy to report the narrowed capital cost range and updated timing for first production. I am proud of the project team's excellent execution to date which has allowed us to minimize the impact of inflationary pressures and will enable us to deliver significant shareholder value when G3 is operational in the fourth quarter of 2023. The recent 20% dividend increase, our third dividend increase in the past twelve months, demonstrates our confidence in the cash flow generating power of our well-positioned asset portfolio and reinforces our commitment to return excess cash to shareholders."

FURTHER INFORMATION

The information set forth in this news release summarizes Methanex's key financial and operational data for the second quarter of 2022. It is not a complete source of information for readers and is not in any way a substitute for reading the second quarter 2022 Management's Discussion and Analysis ("MD&A") dated July 27, 2022 and the unaudited condensed consolidated interim financial statements for the period ended June 30, 2022, both of which are available from the Investor Relations section of our website at www.methanex.com. The MD&A and the unaudited condensed consolidated interim financial statements for the period ended June 30, 2022 are also available on the Canadian Securities Administrators' SEDAR website at www.sedar.com and on the United States Securities and Exchange Commission's EDGAR website at www.sec.gov.

FINANCIAL AND OPERATIONAL DATA

	Three Months Ended			Six Months Ended
($ millions except per share amounts and where noted)	Jun 30 2022	Mar 31 2022	Jun 30 2021	Jun 30 2022	Jun 30 2021
Production (thousands of tonnes) (attributable to Methanex shareholders)¹	1,551	1,789	1,505	3,340	3,101
Sales volume (thousands of tonnes)
Methanex-produced methanol	1,634	1,797	1,582	3,431	3,100
Purchased methanol	798	682	903	1,480	1,917
Commission sales	260	279	345	539	606
Total sales volume¹	2,692	2,758	2,830	5,450	5,623

Methanex average non-discounted posted price ($ per tonne)²	548	527	466	534	456
Average realized price ($ per tonne)^{3 4}	422	425	376	424	369

Revenue	1,137	1,176	1,068	2,313	2,084
Net income (attributable to Methanex shareholders)	125	119	107	244	211
Adjusted net income⁴	84	159	95	244	176
Adjusted EBITDA⁴	243	337	262	580	504
Cash flows from operating activities	105	325	243	431	410

Basic net income per common share	1.74	1.60	1.40	3.34	2.77
Diluted net income per common share	1.41	1.60	1.31	3.28	2.51
Adjusted net income per common share⁴	1.16	2.16	1.24	3.32	2.31

Common share information (millions of shares)
Weighted average number of common shares	72	74	76	73	76
Diluted weighted average number of common shares	72	74	76	73	76
Number of common shares outstanding, end of period	71	73	76	71	76

¹ Methanex-produced methanol represents our equity share of volume produced at our facilities and excludes volume marketed on a commission basis related to the 36.9% of the Atlas facility and 50% of the Egypt facility that we do not own.

² Methanex average non-discounted posted price represents the average of our non-discounted posted prices in North America, Europe, China and Asia Pacific weighted by sales volume. Current and historical pricing information is available at www.methanex.com.

³ The Company has used Average realized price ("ARP") throughout this document. This is a non-GAAP ratio that does not have any standardized meaning prescribed by GAAP and therefore is unlikely to be comparable to similar measures presented by other companies. ARP is calculated as revenue, excluding commissions earned and the Egypt non-controlling interest share of revenue, but including an amount representing our share of Atlas revenue, divided by the total sales volume of Methanex-produced and purchased methanol. It is used by management to assess the realized price per unit of methanol sold, and is relevant in a cyclical commodity environment where revenue can fluctuate in response to market prices.

⁴ Note that Adjusted net income, Adjusted net income per common share, Adjusted EBITDA, and Average realized price are non-GAAP measures and ratios that do not have any standardized meaning prescribed by GAAP and therefore are unlikely to be comparable to similar measures presented by other companies. Refer to the Non-GAAP Measures section on page 14 of our second quarter MD&A dated July 27, 2022 for a description of each non-GAAP measure.

A reconciliation from net income attributable to Methanex shareholders to Adjusted EBITDA, Adjusted net income and the calculation of Adjusted net income per common share is as follows:

	Three Months Ended									Six Months Ended
($ millions)	Jun 30 2022			Mar 31 2022			Jun 30 2021			Jun 30 2022			Jun 30 2021
Net income attributable to Methanex shareholders	$	125		$	119		$	107		$	244		$	211
Mark-to-market impact of share-based compensation		(47	)		48			(12	)		1			(37	)
Depreciation and amortization		94			92			95			186			185
Finance costs		33			34			34			67			73
Finance income (loss) and other expenses		3			—			(3	)		3			(3	)
Income tax expense		37			42			30			79			60
Earnings of associate adjustment		18			21			26			39			39
Non-controlling interests adjustment		(20	)		(19	)		(15	)		(39	)		(24	)
Adjusted EBITDA (attributable to Methanex shareholders)	$	243		$	337		$	262		$	580		$	504

	Three Months Ended								Six Months Ended
($ millions except number of shares and per share amounts)	Jun 30 2022			Mar 31 2022		Jun 30 2021			Jun 30 2022		Jun 30 2021
Net income attributable to Methanex shareholders	$	125		$	119	$	107		$	244	$	211
Mark-to-market impact of share-based compensation, net of tax		(41	)		40		(12	)		—		(35	)
Adjusted net income	$	84		$	159	$	95		$	244	$	176
Diluted weighted average shares outstanding (millions)		72			74		76			73		76
Adjusted net income per common share	$	1.16		$	2.16	$	1.24		$	3.32	$	2.31

We recorded net income attributable to Methanex shareholders of $125 million in the second quarter of 2022 compared to net income of $119 million in the first quarter of 2022. Net income was higher compared to the prior quarter primarily due to the change in the mark-to-market impact of share-based compensation due to changes in Methanex's share price. This was offset by the impact of lower sales of Methanex-produced methanol, higher natural gas costs for unhedged production in North America and higher logistics costs attributable to higher bunker fuel pricing during the second quarter.
We recorded Adjusted EBITDA of $243 million for the second quarter of 2022 compared to $337 million for the first quarter of 2022. We recorded Adjusted net income of $84 million for the second quarter of 2022 compared to Adjusted net income of $159 million for the first quarter of 2022. Adjusted EBITDA and Adjusted net income for the second quarter of 2022 were lower than the first quarter of 2022 primarily due to lower sales of Methanex-produced methanol, higher natural gas costs for unhedged production in North America and higher logistics costs attributable to higher bunker fuel pricing.
We sold 2,692,000 tonnes in the second quarter of 2022 compared to 2,758,000 tonnes for the first quarter of 2022. Sales of Methanex-produced methanol were 1,634,000 tonnes in the second quarter of 2022 compared to 1,797,000 tonnes in the first quarter of 2022.
Production for the second quarter of 2022 was 1,551,000 tonnes compared to 1,789,000 tonnes for the first quarter of 2022. Production was lower for the second quarter of 2022 primarily due to lower production in New Zealand and Chile.
We have continued construction on our highly advantaged Geismar 3 project and recently completed a review of the capital cost and schedule. Based on the review, first methanol production is now expected in the fourth quarter of 2023 and the upper band of the capital cost range has been lowered by $50 million to $1.3 billion. The remaining capital spend of $525 to $575 million is fully funded with cash on hand. Geismar 3's world-class CO2 intensity profile will enhance our current asset portfolio and help us meet our commitment to reduce our greenhouse gas emissions intensity.
To June 30, 2022, we have repurchased 5,315,384 common shares of the 6,094,171 permitted under our current normal course issuer bid for $253 million. In the second quarter of 2022, we returned $99 million to shareholders through the normal course issuer bid. We completed the bid in July 2022.
In the second quarter of 2022 we paid a $0.145 per common share quarterly dividend to shareholders for a total of $10 million. On July 14, 2022 we announced a 20% increase in our quarterly dividend to $0.175 per common share. The increased dividend will apply to the dividend payable on September 30, 2022.
At June 30, 2022, we have a strong liquidity position including a cash balance of $878 million and $600 million of undrawn backup liquidity.

PRODUCTION HIGHLIGHTS

	Q2 2022		Q1 2022	Q2 2021	YTD Q2 2022	YTD Q2 2021
(thousands of tonnes)	Operating Capacity¹	Production	Production	Production	Production	Production
New Zealand²	550	244	386	306	630	675
USA (Geismar)	550	556	556	484	1,112	906
Trinidad (Methanex interest)³	490	249	258	294	507	569
Chile	425	197	324	128	521	349
Egypt (50% interest)	158	150	104	134	254	282
Canada (Medicine Hat)	160	155	161	159	316	320
	2,333	1,551	1,789	1,505	3,340	3,101

¹ Operating capacity includes only those facilities which are currently capable of operating, but excludes any portion of an asset that is underutilized due to a lack of natural gas feedstock over a prolonged period of time. The operating capacity of our production facilities may be higher than original nameplate capacity as, over time, these figures have been adjusted to reflect ongoing operating efficiencies at these facilities. Actual production for a facility in any given year may be higher or lower than operating capacity due to a number of factors, including natural gas composition or the age of the facility's catalyst. We review and update the operating capacity of our production facilities on a regular basis based on historical performance.

² The operating capacity of New Zealand is made up of the two Motunui facilities and the Waitara Valley facility. The New Zealand facilities are capable of producing up to 2.4 million tonnes annually, depending on natural gas composition and availability. Annual Operating Capacity is currently 2.2 million tonnes based on the natural gas composition expected for the foreseeable future. The Waitara Valley plant is currently idled indefinitely due to insufficient natural gas availability.

³The operating capacity of Trinidad is made up of the Titan (100% interest) and Atlas (63.1% interest) facilities. The Titan plant remains idled indefinitely since the expiry of its gas contract with the National Gas Company of Trinidad and Tobago Limited ("NGC"). We continue to engage with the NGC to negotiate terms for a new gas contract for Titan.

Key production and operational highlights during the second quarter and production outlook for 2022 include:

New Zealand produced 244,000 tonnes compared to 386,000 tonnes in the first quarter of 2022. In New Zealand, our production was lower in the second quarter of 2022 compared to the first quarter of 2022 as we primarily operated one plant due to a longer than forecasted planned turnaround in May and June of the Maui gas field which restricted gas availability during the quarter. Based on production to date and our outlook for natural gas in New Zealand, we estimate production for 2022 to be approximately 1.3 million tonnes.
Geismar produced 556,000 tonnes in both the first and second quarters of 2022.
Atlas produced 249,000 tonnes (Methanex interest) in the second quarter of 2022 compared to 258,000 tonnes in the first quarter of 2022. Titan remains idled indefinitely.
Chile produced 197,000 tonnes in the second quarter of 2022 compared to 324,000 tonnes in the first quarter of 2022. Production for the second quarter of 2022 was lower than the first quarter of 2022 as our Chile plants ran at reduced rates or were shut down for a portion of the second quarter due to seasonal gas limitations during the Southern hemisphere winter months, when domestic natural gas demand is high. We expect to operate one plant through the remainder of the Southern hemisphere winter. We estimate Chile production in 2022 to be approximately 1 million tonnes.
Egypt produced 300,000 tonnes (Methanex interest - 150,000 tonnes) in the second quarter of 2022 compared to 208,000 tonnes (Methanex interest - 104,000 tonnes) in the first quarter of 2022. Production in Egypt was higher in the second quarter of 2022 compared to the first quarter of 2022 due to a planned 20 day outage in the first quarter.
Medicine Hat produced 155,000 tonnes in the second quarter of 2022 compared to 161,000 tonnes in the first quarter of 2022. Production for the second quarter of 2022 was similar to the first quarter.

CONFERENCE CALL

A conference call is scheduled for July 28, 2022 at 11:00 am ET (8:00 am PT) to review these second quarter results. To access the call, dial the conferencing operator fifteen minutes prior to the start of the call at (416) 340-2217, or toll free at (800) 806-5484. The passcode for the call is 2066193#. A simultaneous audio-only webcast of the conference call can be accessed from our website at www.methanex.com/investor-relations/events and will also be available following the call.

ABOUT METHANEX

Methanex is a Vancouver-based, publicly traded company and is the world's largest producer and supplier of methanol to major international markets. Methanex shares are listed for trading on the Toronto Stock Exchange in Canada under the trading symbol "MX" and on the NASDAQ Global Market in the United States under the trading symbol "MEOH".

FORWARD-LOOKING INFORMATION WARNING

This second quarter 2022 press release contains forward-looking statements with respect to us and the chemical industry. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond the Company's control. Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Methanex does not undertake to update, correct or revise any forward-looking information as a result of any new information, future events or otherwise, except as may be required by applicable law. Refer to Forward-Looking Information Warning in the second quarter 2022 Management's Discussion and Analysis for more information which is available from the Investor Relations section of our website at www.methanex.com, the Canadian Securities Administrators' SEDAR website at www.sedar.com and on the United States Securities and Exchange Commission's EDGAR website at www.sec.gov.

NON-GAAP MEASURES

The Company has used the terms Adjusted EBITDA, Adjusted net income, Adjusted net income per common share and Average realized price throughout this document. These items are non-GAAP measures and ratios that do not have any standardized meaning prescribed by GAAP. These measures represent the amounts that are attributable to Methanex Corporation shareholders and are calculated by excluding the mark-to-market impact of share-based compensation as a result of changes in our share price and the impact of certain items associated with specific identified events. Refer to Additional Information - Non-GAAP Measures on page 14 of the Company's MD&A for the period ended June 30, 2022 for reconciliations to the most comparable GAAP measures. Unless otherwise indicated, the financial information presented in this release is prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB").

For further information, contact:

Sarah Herriott

Director, Investor Relations

Methanex Corporation

604-661-2600

Methanex Reports Second Quarter 2022 Results