BASE METALS: Teck profit down 17% after good year

VANCOUVER – Gross profit before depreciation and amortization at Teck Resources was $3.7 billion in 2013, compared to 4.5 billion in 2012. That is a drop of 17%, but at least the company is in the black.

Profit attributable to shareholders in 2013 was $961 million, down 12% from $1.1 billion a year earlier.

"We were pleased with our operating performance in 2013," said Don Lindsay, president and CEO. "We achieved record annual steelmaking coal sales, had record throughput at three of our mines, implemented approximately $360 million in savings from our cost reduction program and, with our partners, announced that we are proceeding with the construction of the Fort Hills oil sands project. However, prices for all of our key products were down compared to last year, resulting in lower profits and cash flows than in 2012."

Teck marked several milestones in 2012. Coal sales reached a record of 26.9 million tonnes for the year. A new quarterly copper production record of 105,000 tonnes was set in the fourth quarter. Four mines – Greenhills (coal in British Columbia), Antamina (copper-zinc in Peru), Carmen de Andacollo (copper in Chile), and Red Dog (zinc-lead in Alaska) – reached record annual throughputs.

Learn more about any of these operations at Teck.com.