Teck ditches coal, flags lower copper output in Chile – by Cecilia Jamasmie (Mining.com – January 4, 2024)


Teck Resources (TSX: TECK.A, TECK.B) (NYSE: TECK) has kissed coal goodbye after closing the sale of its minority stake in steelmaking coal operations to Japan’s Nippon Steel Corp. and South Korean steelmaker Posco.

Nippon Steel now has a 20% interest in Teck’s coal business, known as Elk Valley Resources. In exchange, the Japanese firm gave up its prior 2.5% stake in one of Teck’s coal operations and has paid $1.7 billion in cash.

Posco traded its interest in two of Teck’s coal operations for a 3% stake in the overall steelmaking coal business. The transactions are part of an umbrella deal inked with Glencore (LON: GLEN) in November 2023, which will see the Swiss miner and commodities trader pay $6.9 billion for for 77% of Elk Valley Resources.

The agreement with Glencore, which capped negotiations and takeover attempts initiated by the Baar-based firm, remains subject to regulatory review and is expected to close in the third quarter of 2024.

For the rest of this article: https://www.mining.com/teck-ditches-coal-flags-lower-copper-output-in-chile/