Teck Resources (TECK) investor relations material

Strategic transformation and merger progress

• Announced transformational merger of equals with Anglo American, positioning as a top five global copper producer with over 1.2 million tons of annual copper production and six world-class assets.

• Regulatory approvals for the merger have been secured in Canada, Chile, Australia, Japan, the EU, and the US, with only two approvals remaining; timeline for completion remains 12–18 months from announcement.

• Shareholders overwhelmingly approved the merger, and a key approval under the Investment Canada Act was obtained in record time.

• The combined entity, Anglo-Teck, will have over 70% copper exposure and is expected to benefit from $800 million in annual synergies, with 80% realized within two years post-completion.

• Strategic focus includes optimizing value from QB and Quellaveco, unlocking up to $1.4 billion in annual EBITDA uplift, and leveraging adjacencies like Los Bronces and Andina.

Operational performance and guidance

• Achieved strong operational performance in 2025, meeting revised guidance and delivering a 48% increase in Adjusted EBITDA to $4.3 billion, driven by higher copper prices and by-product revenue.

• Adjusted EBITDA margin reached approximately 50% in Q4, with a return to a net cash position and $1.3 billion returned to shareholders via buybacks and dividends.

• Reaffirmed annual production guidance for 2026–2028 for all operated sites and net cash unit cost guidance for copper and zinc segments.

• Announced a 20,000-ton reduction in 2026 zinc concentrate production at Antamina due to an updated mine plan.

• At a copper price of $5.50/lb, projected 2026 EBITDA is CAD 6.2 billion and operating cash flow CAD 3.8 billion; at $6.00/lb, these rise to CAD 6.9 billion and CAD 4.8 billion.

Asset development and growth initiatives

• QB (Quebrada Blanca) achieved its strongest quarterly copper production in Q4 2025 at 55,000 tons, with steady-state operations targeted by year-end 2026.

• Significant progress made on TMF (Tailings Management Facility) development, including installation of alternative cyclone technology and paddock design improvements, improving sand drainage and construction rates.

• Highland Valley Mine Life Extension (HVC MLE) sanctioned, extending mine life to 2046 and targeting average annual copper production of 132,000 tons.

• QB has operated on 100% renewable power since October 2025.

• Plans to unlock 175,000 tons per annum of additional copper production by processing Quellaveco ore at QB, with a capital investment of $1.9 billion.