Teck Resources reduced its production forecast for its Chilean badge, which represents a new setback for the Canadian company in its efforts to join the big leagues of copper.
The extensive Open Heaven Operation Blanca, in the Andes Cordillerafaces tailings storage problems, which requires greater expense and restricts production, According to Teck in a results report and a telephone conference on Thursday.
The problems with the tailings are produced after geotechnical and plant setbacks that have interrupted the launch of Quebrada Blanca after an important remodeling that exceeded the budget at US $ 4,000 million and was delayed years. The difficulties in the operation called QB2 show how the mining industry struggles to expand the offer at a time when the world faces an imminent scarcity of the key metal.
It is expected that QB2 double the production of Copper from Teck and is a key component of its strategy to become an important independent metal producer after leaving coal. A successful increase in production is crucial for Teck investment, According to Jefferies analysts, Christopher Lafemino and Patricia Hove.
“It is unlikely that the market recognizes this production increase until, since there are doubts about whether there are structural problems with the asset“The analysts wrote in a client note on Thursday.
Blanca Quebrada, whose production was expected between 230,000 and 270,000 metric tons this yearnow it is estimated in a range of 210,000 to 230,000, according to Teck in a statement.
Without a doubt, Teck expects the mine to solve the tailings problems soon, thus maintaining its production projection by 2026. On the other hand, the mine continues with the repairs of a ship charger, Works that now expects to extend until the first half of next year, although without impact on production.
The Canadian mining company, which has an indirect participation of 60% in Quebrada Blanca, is exploring possible synergies with the nearby Mina Collahuasi, in which Anglo American PLC and Glencore PLC have a 44% participation each.
