Canadian miner Teck Resources has reaffirmed that its focus is squarely on the execution of its merger with Anglo American.

Delivering the group's third-quarter results on Wednesday, CEO Jonathan Price said the merger between Teck and Anglo was "an unique opportunity to create a global leader in critical minerals and a top five copper producer". 

“The combination will unlock significant value for shareholders through integration of Quebrada Blanca (QB) and Collahuasi and meaningful corporate synergies, offering a compelling high-quality, copper-focused investment opportunity."

Teck recently completed an operational review, which Price said would ensure its business plans were grounded in demonstrated performance. "Our focus moving forward is on disciplined execution and completion of the merger.”

Teck and Anglo announced the proposed merger of equals on September 9 to form Anglo Teck, a global critical minerals champion headquartered in Canada and led by Duncan Wanblad. The transaction is expected to deliver pretax synergies of about $800-million a year, with about 80% of those gains to be realised within two years of completion.

The new group will also seek to unlock additional value from the Collahuasi and QB copper assets in Chile, targeting underlying earnings before interest, taxes, depreciation and amortisation (Ebitda) uplift of $1.4-billion a year.

Teck reported adjusted Ebitda of C$1.2-billion in the third quarter, up C$185-million year-on-year, driven by stronger copper and zinc prices and higher by-product revenues. Profit from continuing operations before taxes was C$289-million, compared with a loss of C$759-million in the same period last year. Adjusted profit from continuing operations attributable to shareholders was C$372-million, or C$0.76 a share.

Teck’s copper segment generated C$740-million in gross profit before depreciation and amortisation, compared with C$604-million a year ago, as higher copper prices – averaging $4.44/lb – and lower smelter charges offset steady sales volumes of 110 300 t. Gross profit from the copper business came in at C$355-million.

Its zinc segment also performed strongly, with gross profit before depreciation and amortisation rising to C$454-million, from C$358-million a year earlier, supported by solid production and sales from the Red Dog operation, which shipped 272 800 t of zinc – exceeding guidance.

Teck said that development work at QB continued to limit production owing to the pace of progress on the tailings management facility (TMF). Third-quarter copper output from QB was 39 600 t, down 12 900 t year-on-year, while molybdenum production reached 480 t as ramp-up of the molybdenum plant continued.

Work to improve sand drainage and TMF construction efficiency is under way, and Teck expects the facility to no longer constrain throughput from 2027 onwards.

Teck reaffirmed its 2025 production guidance of 415 000 t to 465 000 t of copper and 525 000 t to 575 000 t of zinc, with copper unit cash costs forecast between $2.05/lb and $2.30/lb.

Completion of the Anglo merger remains subject to customary regulatory, shareholder and court approvals and is expected within 12 to 18 months of announcement.