Teck Resources Limited today provided select unaudited fourth quarter and annual 2024 production and sales volumes, alongside operational and capital guidance for 2025 and production guidance for 2026 to 2028. The company highlighted its significant portfolio transformation in 2024, repositioning as a pure-play energy transition metals business focused on Copper and Zinc.
In 2024, Teck completed the sale of its steelmaking coal business, receiving US$1.3 billion from Nippon Steel Corporation and POSCO for 23% and US$7.3 billion from Glencore for the remaining 77%. Proceeds were allocated to $3.5 billion in shareholder returns, $2.75 billion in debt reduction, and $1.0 billion for taxes and transaction costs, with cash retained for copper projects. The company executed $1.25 billion of its authorized $3.25 billion share buyback program and reduced debt by US$1.6 billion.
Annual copper production for 2024 reached 446,000 tonnes, a 50% increase from the prior year, with Quebrada Blanca (QB) achieving design throughput rates by year-end. For 2025, total copper production is expected to increase to between 490,000 and 565,000 tonnes. However, 2025 QB production guidance was adjusted to 230,000 to 270,000 tonnes, 10,000 tonnes lower than previously disclosed, due to an extended January shutdown for maintenance and tailings lifts.
Zinc in concentrate production for 2024 was 615,900 tonnes, a 4% decrease year-over-year, while refined zinc production at Trail Operations was 256,000 tonnes, down 4% due to a localized fire in September 2024. For 2025, zinc in concentrate production is projected to be between 525,000 and 575,000 tonnes, a decrease primarily due to declining grades at Red Dog. Refined zinc production at Trail is expected to be 190,000 to 230,000 tonnes, reflecting a planned reduction to maximize value amid tight concentrate markets.
Teck anticipates 2025 copper net cash unit costs to be significantly reduced to US$1.65–$1.95 per pound, down from US$1.90–$2.30 per pound in 2024, reflecting strong cost discipline and increased molybdenum by-product credits. Total capital spending for 2025, net of partner contributions, is expected to be between $1.58 billion and $1.795 billion. Structural cost reductions are projected to decrease general and administration costs by approximately 15% and research and innovation costs by 35% compared to 2024.
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