PORT OF SPAIN, Trinidad, CMC – The Energy Chamber of Trinidad and Tobago says methanol production remains a critical component of the country’s downstream energy sector, contributing significantly to manufacturing output, foreign exchange earnings, and employment.
“Methanol production in Trinidad and Tobago remains strategically important, both as a source of export earnings and as a platform for accessing new markets linked to lower-carbon energy solutions. Longer-term opportunities exist to monetize methanol through expanded fuel applications, including marine bunkering and power generation.
“Realizing these opportunities will require coordinated action across the energy value chain, combining upstream gas development, downstream investment, and supportive policy frameworks to enhance resilience and competitiveness,” the Energy Chamber noted.
It said that, leveraging its natural gas resources, Trinidad and Tobago has established itself as one of the world’s leading exporters of methanol, with production largely oriented toward international markets. The Energy Chamber said that as a value-added, gas-based industry, methanol plays an important role in supporting industrial activity beyond the extractive industry.
It said that at present, there are three methanol producers and eight methanol facilities in Trinidad, six of which are currently operational.
The first methanol plant started up at Point Lisas Industrial Estate in 1984, and since then, six other facilities have been built there. The most recent plant, the Caribbean Gas Chemical Limited (CGCL) facility, was built in 2020 and is located in La Brea. In 2025, the main producers were Proman, Methanex, and CGCL.
But the Energy Chamber said that, despite the resilience of the production base, natural gas supply constraints remain the most significant challenge facing methanol producers in Trinidad and Tobago.
It said periodic gas shortfalls have resulted in reduced utilisation rates across downstream facilities, affecting methanol output and export volumes. Declines in natural gas production and subsequent availability have led to plant idling in Trinidad and Tobago, including Methanex’s Atlas plant—their largest facility in Trinidad and Tobago — and Proman’s TTMC1 facility.
“Producers remain exposed to global methanol price cycles, with revenues influenced by international demand conditions and competition from lower-cost producers, particularly those benefiting from shale gas developments in the US and large-scale capacity expansions in the Middle East.
“At the same time, emerging opportunities are reshaping the outlook for methanol beyond its traditional role as a chemical feedstock. Globally, methanol is increasingly being considered as an alternative fuel for transport, particularly within the maritime sector, as shipping companies seek to comply with tightening emissions regulations,” the Energy Chamber said.
It said regionally, Methanex and Proman have supported this transition by demonstrating methanol’s practicality and safety.
Methanex completed the Caribbean’s first ship-to-ship methanol bunkering demonstration in 2024 and, in partnership with National Energy and the University of the West Indies, concluded a three-year M15 gasoline blend pilot in 2025, with positive results.
Proman has similarly emphasized methanol’s potential in marine fuel and power generation applications, reflecting the broader industry trend of expanding methanol’s role within the global energy transition.
The Energy Chamber said that these opportunities were further underscored during discussions at the recent Trinidad and Tobago Energy Conference, including a session focused on collaboration to create a low-carbon marine bunkering industry in the Caribbean.
“The session highlighted growing interest in alternative marine fuels, such as methanol, and the importance of regional collaboration, infrastructure development, and regulatory alignment.
“Given Trinidad and Tobago’s strategic location along major shipping routes and its existing port and energy infrastructure, the development of methanol bunkering facilities has been identified as a potential pathway for expanding the country’s participation in emerging maritime fuel markets.”
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