Teck Resources Ltd. has determined that the most suitable course of action is to separate their coal business from their base metals operations after four years of consideration. The board and management examined situations that involve selling a minority stake, partnerships and spinoffs, eventually deciding to split up the company’s two main divisions in February. As the company’s largest diversified miner, this move was supported by a shift in investor attitudes toward coal.
However, when Swiss commodities giant Glencore Plc proposed a $23 billion takeover of the Vancouver-based company on March 26, the prospects of this split were thrown into question. Nevertheless, Teck Resources Ltd. has declined Glencore’s offer and will be pushing forward with their plans towards a shareholder vote regarding this separation on April 26.
About Teck Resources Ltd.: Teck Resources Ltd. (TSX: TECK.A and TECK.B, NYSE: TECK) is a Canadian metals and mining company. With its headquarters in Vancouver, it has operations in over 15 countries with its most important operations located in Canada, Chile, the U.S., and Peru. It is the largest diversified mining company in the Americas, with a focus on copper, zinc, steelmaking coal, industrial metals and minerals, potash, and energy.
The person mentioned in this article is Ian Austin, the director of Teck Resources Ltd. and chairman of the board. Originally from Victoria, Canada, Ian began his career at Teck Cominco, one of the original seven founding companies of Teck Resources. After a four year stint as the vice president of corporate initiatives, Ian was appointed to the board of directors in 2018 and then chairman twice after that. Austin’s deep knowledge and experience of the mining industry has served the company well and his leadership style has seen the board become more able to weigh options and make prompt decisions.