Teck Resources (TECK) Investor Update summary

Operational Review and Governance

• Completed a comprehensive operational review with input from third-party experts and board oversight, focusing on realistic, risk-adjusted plans and enhanced monitoring of performance.

• Strengthened executive oversight, with SVPs of Operations for LATAM and North America reporting directly to the CEO since September.

• Embedded more conservative assumptions and risk adjustments into operational guidance, prioritizing demonstrated performance over design rates.

• Board sub-committee maintains increased oversight frequency and engagement on operational execution.

QB Action Plan and TMF Development

• TMF development work has constrained mill utilization, leading to lower production and recoveries in 2025 and 2026.

• Initiatives include cyclone upgrades to remove ultra-fines, paddock redesign, sand drainage improvements, and mechanical construction of rock benches to improve dam growth.

• TMF-related downtime expected to decrease in Q4 2025, with steady-state operations targeted for 2027.

• $420 million in TMF-related capital planned for 2026, covering mechanical and technological upgrades.

• All TMF work is externally reviewed and approved to ensure dam integrity and safety.

Revised Production and Cost Guidance

• 2025 QB copper production guidance revised to 170,000–190,000 tonnes (from 210,000–230,000); 2026 guidance lowered to 200,000–235,000 tonnes (from 280,000–310,000).

• Net cash unit costs for QB in 2025 raised to $2.65–$3.00/lb, improving to $2.25–$2.70/lb in 2026.

• 2027 QB copper production guidance revised to 240,000–275,000 tonnes; 2028 to 220,000–255,000 tonnes.

• Guidance for Highland Valley Copper and Red Dog adjusted to reflect lower grades and operational risks, with higher grades expected at HVC in 2027–2028.

• Total copper and zinc production guidance for 2025–2028 lowered across key assets, with unit cost guidance reflecting higher costs in 2025 and improvements expected in 2026.