I just see too many future opportunities for other feedstocks to interrupt the use of natural gas in producing things like methanol. I believe ultimately we will be using plants we grow with just water and the sun as a feedstock for many things, like energy (methanol, ethanol, biodiesel) and to make plastics as well (yes, plastic can be made from plants oddly enough). That, and I’m bullish on the price of natural gas as demand continues to increase.

But all that said, I’m sure that this company is one of the better bets in methanol and that they could change feedstocks if they had too – but how much would it cost to change the feedstock they use? Oh well, that probably won’t happen for years and meanwhile they are generating some excellent cash flows.