Canadian Mining Journal

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COAL, COPPER, ZINC: Teck takes write offs, records quarterly loss



VANCOUVER – Third quarter results have not been kind to Teck Resources. The company took impairment charges totalling $2.2 billion after taxes. That amounts to $1.5 billion on metallurgical coal assets, $300 billion on copper, $19 million on zinc, and $400 million on the Fort Hills oil sands project.

Fortunately, the company has a cash balance of $1.8 billion as of Oct. 21, 2015, that more than covers its $1.5 billion commitment for its share of the oil sands development.

Teck recorded total revenue in the quarter ended Sept. 30, 2015, of $2.1 billion, compared to $2.25 billion in the same quarter of 2014. For the first nine months of 2015 and 2014, revenues were $6.1 billion and $6.3 billion, respectively.

The quarterly loss attributable to shareholders was $2.5 billion (–$3.73 per share) in Q3 2015, compared to a profit of $84 million (+$0.14 per share) a year earlier.

Details of Teck’s quarterly unaudited results are available at Teck.com.