COVID-19 will lead to a recession worse than the Great Depression, warns the IMF, but one crucial commodity will thrive while everything else crumbles
VANCOUVER, British Columbia, May 27, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) ("Teck”) announced today that Compania Minera Antamina, in which Teck.
There’s a new showdown quietly brewing between the world’s largest superpowers, and one critical metal will play a key role in how the face off turns out
Teck Resources' (TECK) both first quarter top and bottom lines bear the brunt of lower commodity prices on account of the coronavirus pandemic.
VANCOUVER, British Columbia, May 06, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) President and Chief Executive Officer, Don Lindsay will be.
VANCOUVER, British Columbia, April 20, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) announced today that it will pay an eligible dividend of.
VANCOUVER, British Columbia, May 19, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) announces that the company will hold a conference call to.
The blow from the health crisis is the latest setback as copper and other base metal prices were already under pressure from the long-drawn tariff war between the United States and China. The miner has suspended its 2020 financial forecasts, temporarily suspended construction at its Quebrada Blanca Phase 2 project in northern Chile and withdrawn an application to build a C$20.6 billion Frontier oil sands mine in Alberta to ride out the storm. Production at its steelmaking coal operations, Teck Resources' biggest business, fell 19.7% to 4.9 million tonnes in the first quarter, while copper declined 1.4%.
NEW YORK, NY / ACCESSWIRE / April 21, 2020 / Teck Resources Ltd. (NYSE:TECK) will be discussing their earnings results in their 2020 First Quarter Earnings call to be held on April 21, 2020 at 11:00 AM ...
(Bloomberg) -- Under fire from investors who have called for his ouster, the chief executive of Teck Resources Ltd. said the miner has weathered downturns before.On Monday, Impala Asset Management LLC revealed it sent a letter to Teck’s board in February, criticizing CEO Don Lindsay for decisions it says have hurt the share price and saying he is overpaid. Earlier this month, an Australian hedge fund, Tribeca Investment Partners, also called for Lindsay’s replacement and said the company should divest its energy and coal businesses.Both investors are critical of Teck’s dual-class share structure, which allows the Keevil family -- which has been involved with the firm for more than six decades -- to control the company.Most of Teck’s A-shares are held by Temagami Mining Co., which is owned by the Keevil family and Sumitomo Metal Mining Co. Speaking at a Bank of America conference on Tuesday, Lindsay said that only Temagami has the power to dismantle the dual-class structure, which he believes will stay in place “for the foreseeable future.”Thus far, Lindsay has refrained from commenting directly on the shareholder activism, although the company has issued statements saying he has widespread shareholder support. The miner also says the stock’s decline -- 59% in the past year in Toronto -- is mostly due to falling commodity prices.Lindsay reiterated that point at the virtual conference and also defended his strategy for the company.“We know that investors tend to be cautious during these phases,” he said, referring to Teck’s “investment cycle” in which it’s ramping up its copper business and trying to boost its steelmaking-coal margins. “We’ve seen something very similar before during financing and construction of another high-altitude copper mine –- Antamina –- which also coincided with a significant downturn in the market.”‘Penalty Box’Lindsay was referring to construction of the Antamina mine in Peru which was completed in 2001, spokesman Chris Stannell said in an email following the speech.Throughout that period, Teck’s share price was in the “penalty box,” Lindsay reminded analysts. “But our then-CEO and now chairman emeritus Dr. Keevil, he had the vision and the tenacity to see it through.”Since then, Teck has weathered other commodity downturns. In 2015, the company was stripped of its investment grade rating amid the collapse of the commodities supercycle.“By contrast with the last downcycle which ended in 2016 we are in a much stronger position with a reduced debt profile; strong liquidity; and secured QB2 funding,” Lindsay said Tuesday, referring to the Quebrada Blanca expansion project in Chile.Bob Bishop, the CEO of Impala, said he began buying Teck shares in December 2015 with most of the fund’s position purchased in January 2016, the only saving grace for the investment.“If you are smart enough to buy Teck once every seven years when people think Teck may go broke, then you can make a great return because the commodity markets usually bail them out,” he said by email Tuesday. “I was that buyer in 2016.”Teck began that year at C$5.34 a share in Toronto and rose to nearly C$39 by early 2018. The stock was at C$12.12 at the end of trade in Toronto on Tuesday.(Updates with CEO comment in fourth paragraph. A previous version corrected references to Lindsay weathering downturns, and removed a reference to the Antamina mine.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Teck (TECK) resumes Antamina mine operations with reduced workforce after being shut on the Peruvian Government's restrictions in the wake of the coronavirus pandemic.
Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) reported adjusted EBITDA(1) (2) of $608 million for the first quarter of 2020 compared with $1.4 billion a year ago. In the first quarter, we had a loss attributable to shareholders of $312 million, or a $0.57 loss per share, compared with a profit of $630 million ($1.11 per share) a year ago.
(Bloomberg) -- Impala Asset Management has become the second investor in a month to go public about efforts to pressure Canadian miner Teck Resources Ltd. into ousting its longstanding CEO.The Connecticut firm, founded by industry veteran Bob Bishop, said it sent a letter to Teck’s board Feb. 28, excerpts of which it provided to Bloomberg.The letter criticizes Teck’s chief executive officer, Don Lindsay, for what the firm calls destruction of shareholder value while saying he received one of the biggest paychecks in the industry. In 2019, Lindsay’s total compensation was C$9.2 million ($6.6 million), including C$1.64 million in salary.Doug Brown, Teck’s director of public affairs, said Monday that Lindsay has shareholder backing and that the company’s shares are down largely because underlying commodity prices have fallen.“At our recent annual meeting, shareholders voted 98% in support of Don and the board, indicating the strong level of support of Teck’s shareholders for the company’s strategy,” Brown said by phone.Impala’s letter alleges four projects -- the 2008 acquisition of Fording Canadian Coal Trust, the Neptune terminal expansion in British Columbia, and two ventures in Canada’s oil sands -- have destroyed over C$12 billion in value.“It’s been nothing but poor investment decisions over the last 10 or 12 years,” Bishop said in a phone interview Monday. “The company’s paying top dollar for underperformance.”Impala’s letter was accompanied by a slide deck that referred to Lindsay’s strategy as lacking “clear direction or coherence,” and echoed many of the valuation concerns recently made public by Tribeca Investment Partners earlier this month.READ MORE: Australian Fund Pushes Teck to Abandon Oil, Replace CEO LindsayImpala faces entrenched ownership and management in its battle with Vancouver-based Teck, Canada’s biggest diversified mining company. The Keevil family controls Teck through dual-class shares, and has been involved with the firm for more than six decades.As for Teck’s investment in the Fort Hills oil-sands project in Alberta, Brown said: “We have been very clear that if we can’t see the value reflected in our share price, we will not hesitate to pursue other options for realizing value, including divestment at the appropriate time.”Impala owned 1.9% of Class B shares outstanding at the end of 2019, making it a top-10 shareholder, according to Bloomberg data.The share structure is a major impediment to change, Bishop said.“The dual-class share structure was originally meant to protect the Class B shareholders if there was a low-ball bid for the company,” Bishop said. Instead, “it has allowed bad decision-making to occur without any repercussions.”Chair MeetingIn March, Bishop says he and another Impala representative met with Teck’s chairwoman, Sheila Murray, and vice chairman Norman Keevil III, to follow up on their letter but came away with little conviction things will change. “These have been poor investment decisions by this CEO, approved by mostly this board, and we’re expecting the same people who got us into this mess to get us out of this mess.”Bishop, who worked as chief investment officer at Soros Fund Management before founding Impala, said his views are broadly aligned with those of Tribeca, although he puts more value on Teck’s zinc and copper assets. He also said he’s less optimistic about how much the miner could get from the sale of its metallurgical coal division.Both investors think the stock is dramatically undervalued, with Bishop estimating they could at least triple under the right management.“If they did the right thing tomorrow I think the stock price would go up 40% in one day,” he said.Tribeca DemandsTribeca Investments partner Ben Cleary sent a letter to Teck this month demanding the mining giant overhaul its management team while divesting its coal and oil operations to attract green-conscious investors.He said Impala was just one of many peers with similar views on how to change Teck and boost its share price. Sydney-based Tribeca has spoken to investors representing over 20% of the Class B shares since the campaign began, with all being broadly supportive of its goals, he added.Cleary expects Teck’s directors to split the demands into one of two buckets: the deliverable and undeliverable.“If you were an independent director then management change, divestment of assets, dividend policies and ESG are all in the deliverable camp,” he said. “The shareholding structure is probably in the ‘undeliverable’ so the focus to me is on the first few in the short term.”(Updates with Tribeca comments at end)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Pomerantz LLP is investigating claims on behalf of investors of Teck Resources Limited (“Teck” or the “Company”) (NYSE: TECK). Such investors are advised to contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888-476-6529, ext. The investigation concerns whether Teck and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) today announced the creation of a $20-million fund to support COVID-19 response and future recovery efforts. This funding will go to support critical social initiatives and increased healthcare capacity, including procuring one million masks to be donated for healthcare in British Columbia. This includes procuring essential medical supplies, donating to medical research, supporting local healthcare and social services affected by COVID-19, and contributing to international relief efforts.
VANCOUVER, British Columbia, April 15, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) will release its first quarter 2020 earnings results on.
Teck Resources (TECK) is poised to gain from solid pipeline of projects and cost reduction efforts while global economic slowdown and weak commodity markets remain concerns.
VANCOUVER, British Columbia, April 22, 2020 -- Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) (“Teck”) announced today, in accordance with Toronto Stock Exchange.
Teck Resources (NYSE: TECK), one of Canada's largest and most diversified miners, looked to move into the oil space to further increase its diversification. Although its massive Fort Hills oil sands project managed to stay alive through the last deep energy market downturn, the COVID-19-related oil plunge may be more than Teck and its Fort Hills partners can handle. In the fourth quarter of 2019, Teck's energy business had a gross profit margin of just 1%.
(Bloomberg) -- Teck Resources Ltd. has been targeted by a hedge fund shareholder that’s pushing the underperforming Canadian miner to divest its energy and coal businesses and consider replacing long-standing Chief Executive Officer Don Lindsay.Tribeca Investment Partners said making those changes and pivoting to a pure base metals miner would improve Teck’s environmental credentials and could lead to a sixfold share gain over the next year. The company should also scrap its dual-class shares to boost returns, the Australian fund with $1.6 billion in assets said in a letter to the board.“There’s been a very steady de-rating of the company versus its peers over the last five years and if they continue to do nothing they can only see that continue,” said Tribeca partner Ben Cleary, citing overhauls at Teck rivals Rio Tinto Group and BHP Group as examples of a better way forward.A spokesman for Vancouver-based Teck said Thursday the company hasn’t received the letter. “I can point out though that Don received 98% votes in favor of appointment at our recent” annual meeting Doug Brown, director of public affairs, said by phone.“The board has full confidence in Don Lindsay and the rest of Teck’s management,” Sheila Murray, Teck’s chairwoman, said in an emailed statement.Tribeca faces entrenched ownership and management in its battle with Teck, Canada’s biggest diversified mining company. The Keevil family controls Teck through dual-class shares, and has been involved with the firm for more than six decades. Tribeca holds a 1.8% stake, worth about $85 million at the current share price.Stock PlungeThe activist pressure comes at a difficult time for Teck, whose stock has tumbled about 60% in the past 12 months amid the oil rout and the plunge in prices for its copper, zinc and steel-making coal. The company’s market value has dropped below $5 billion, after touching a four-year low last month. The shares fell 0.8% to C$12.27 in Toronto.The miner has been forced to temporarily suspend its Quebrada Blanca copper expansion in Chile because of the coronavirus pandemic, while its metallurgical coal and energy divisions have been beset with problems this year. The miner is considering halting production at the Fort Hills oil sands mine in Alberta, and pulled the plug on a planned multibillion oil project in February.“We agree that Teck had traded below its potential,” Jackie Przybylowski, an analyst with BMO Capital Markets, said in a research note. But a major shakeup to the portfolio “is likely to be high risk, and costly.”Tribeca, a Teck holder for three years, is launching its campaign now because “enough is enough,” Cleary said in a phone interview from Singapore, where he works for the Sydney-based firm.Tribeca’s previous activist campaign against BHP, which coincided with a similar push by Paul Singer’s Elliott Management Corp., helped prompt the world’s biggest miner to sell a suite of U.S. shale assets and reshuffle its board, resulting in billions of dollars returned to investors, the fund says.Cleary said Tribeca had held informal discussions with other major Teck investors about its complaints. He declined to name them and said Tribeca wasn’t working with other investors. Teck’s biggest institutional shareholders include China Investment Corp., the sovereign wealth fund, according to Bloomberg data.While Lindsay has previously said the zinc and copper division could be twice the size of its coal arm once the Quebrada Blanca mine is fully developed, and has raised the possibility of spinning off oil assets, the changes would require a fundamental shift for the company.Management MovesLast year the coal and metals segments each accounted for roughly 46% of revenue, with energy making up the rest. Tribeca is calling for Teck to sell or spin off its 21% stake in the Fort Hills oil project and unload its coal business to focus on copper, zinc and possibly nickel.The fund also expressed frustration with the board and questioned why it hasn’t sought to oust Lindsay, who has been in charge since 2005, making him one of the longest-serving CEOs in the sector. Over that time, Teck’s shares have dropped more than a quarter including dividends, lagging gains by Rio Tinto and BHP.“There is no sugar coating the underperformance of the company over the last 15 years,” the fund says in its letter.Teck shares would also get a boost from scrapping the dual-class shares, making the company a take-over target, the fund argues in its letter dated April 30.Family patriach Norman Keevil stepped down as chairman in 2018, though his son Norman Keevil III remains on the board as vice chairman. Former Chairman Dominic Barton, now Canada’s ambassador to China, said in 2018 that neither family control nor the dual-class shares are going anywhere.“I don’t see this as a ‘Keevils or nothing’ issue because the Keevils want to make money as much as the minority shareholders want to maximize their investment,” Cleary said, adding Tribeca has expressed its concerns to the family. Even if the share structure were left alone, Teck could undertake the other measures and enjoy a substantial boost, he said.ESG PushThe hedge fund’s campaign to push Teck out of the fossil-fuels business isn’t driven by green ideology. A good portion of the fund’s investments are in oil transportation and service providers. The metallurgical coal produced by Teck is used mainly for steel making and not for burning in power plants.Even so, it believes that cutting off oil and coal would attract the rising pool of pension funds and family offices that are restricting their investments in companies based on their environmental impact.“You can either do something now and see a material upside or you can continue to de-rate and be an orphan stock in the global materials universe,” Cleary said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.