Teck Resources Limited

Teck Resources Limited

October 07, 2010 08:30 ET

Teck Resources Limited: Carmen de Andacollo Mine Achieves Commercial Production

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 7, 2010) - Teck Resources Limited (TSX: TCK.A and TCK.B, NYSE:TCK) announced today that it has achieved commercial production at its new copper concentrator at the Carmen de Andacollo operation in Chile.

Achievement of commercial production marks the completion of project development, commissioning and operational ramp-up of the new facility. Currently the plant is averaging throughput of 53,000 tonnes of ore per day or 97% of design capacity of 55,000 tonnes per day. The plant has also operated for a number of consecutive days at higher volumes than the targeted 55,000 tonnes per day.

Effective October 1, 2010, operating results, which were capitalized during the ramp-up to commercial production levels, will be credited to earnings. 

"We are very pleased to have achieved this milestone," said Roger Higgins, senior vice president, copper. "Our strong ramp-up performance reflects good design, fast operational learning and close cooperation between the project development and operations teams."

Higgins added that the production ramp-up, a process that can sometimes take 18-24 months, was completed in just seven months from first ore to the mill in mid-February to the end of September.

The final project cost was approximately US$440 million. The mine life is estimated to be approximately 20 years, with anticipated average annual production of 80,000 tonnes of copper and 55,000 ounces of gold in concentrate over the first 10 years of operation. In 2009, Royal Gold acquired a royalty interest on 75% of the mine's gold production.

About Carmen de Andacollo

Carmen de Andacollo is an open pit mining operation located in central Chile, adjacent to the town of Andacollo, approximately 55 kilometres southeast of La Serena and 350 kilometres north of Santiago. Teck has a 90% interest in the mine, with ENAMI holding the remaining 10%. The operation now produces copper in concentrates from the hypogene portion of the orebody and is winding down its copper cathode production from the supergene portion of the orebody. 

About Teck Resources

Teck is a diversified resource company committed to responsible mining and mineral development with major business units focused on copper, steelmaking coal, zinc and energy. Headquartered in Vancouver, Canada, its shares are listed on the Toronto Stock Exchange under the symbols TCK.A and TCK.B and the New York Stock Exchange under the symbol TCK.

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