Bloomberg reports Teck considering selling coal assets

Bloomberg News says Teck considering selling its metallurgical coal assets

One of Teck's metallurgical coal mines near Sparwood. | Teck

Teck Resources (TSX:TECK.B, NYSE:TECK) is considering selling its metallurgical coal assets, says a report by Bloomberg News.

The Vancouver headquartered mining company's biggest and most valuable business has historically been metallurgical coal -- used for making steel -- though it also owns copper and zinc mines, as well as a share of the Fort Hills oil sands mine.

Earler this year, Teck produced a climate change outlook that sketches out its plans to become carbon neutral by 2050. The plan sees the company more focused on growing its copper business -- copper being an essential metal in the energy transition.

The company's first major step towards becoming less focused on high carbon commodities was last year, when it cancelled plans to go through an environmental review for its proposed $20 billion Frontier oil sands project.

Bloomberg reports that "people with knowledge of the matter" have said the company is now weighing options for "a sale or spinoff" of its metallurgical coal business.

Teck owns four met coal mines in the Elk Valley region of B.C.

In response to a request from BIV News to comment on the report the company responded: "Teck does not comment on market rumours or speculation."

 

nbennett@biv.com

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