TECK Updates Mine Outlook Following Comprehensive Operational Review

Teck Resources Limited TECK has announced that it conducted a thorough review of all operating plans throughout the third quarter of 2025 with input from third-party technical experts and independent advisors. This move helped the company evaluate key inputs, value drivers and risks to set production and cost ranges.

Teck Resources also provides an update on the Quebrada Blanca (QB) Action Plan, which is part of a Comprehensive Operations Review launched in August aimed at improving performance and boosting operating practices.

The company concludes that QB's production is being impacted by the ongoing Tailings Management Facility (TMF) development work. To enable unconstrained production, Teck Resources is raising the dam's crest height by building rock benches and improving sand drainage. The company has made significant efforts to boost sand drainage and has initiatives underway.

Teck Resources Q3 Performance

In the third quarter of 2025, the company’s operations performed in line with its expectations except for QB and Highland Valley Copper (HVC).

At QB, the third-quarter copper production was 39,600 tons, impacted by the ongoing TMF development at the mine. This has hampered production through 2025, causing additional downtime of the concentrator, particularly in the third quarter. Sales volumes were reported at 43,900 tons. QB produced 5,800 tons in September 2025, owing to the 20 days of downtime to increase the tailings dam crest.

HVC’s production came in at 28,100 tons in the third quarter of 2025, impacted by lower grades. 
The company produced around 104,100 tons of copper in the third quarter, with total sales at around 110,300 tons.
  
Performance at Red Dog remained strong, with zinc in concentrate production of 122,000 tons in the third quarter. Sales volumes came in at 272,800 tons, higher than the company’s guidance. At Trail, production was 52,600 tons, in line with the company’s guidance.

TECK’s Mine Outlook

The company expects QB’s copper production to be in the range of 170,000 to 190,000 tons for 2025, lowered from the prior stated 210,000 to 230,000 tons. The constraint of TMF development is expected to persist in 2026. Backed by this, TECK has lowered its production outlook for QB to 200,000 to 235,000 tons, from the prior range of 280,000 to 310,000 tons.

Due to lower-than-expected third-quarter results at HVC, the company reduced the mine’s 2025 guidance to between 120,000 and 130,000 tons from the previously mentioned 135,000 to 150,000 tons. However, TECK raised HVC’s 2027 production outlook to 135,000 to 155,000 tons compared to 120,000 to 140,000 tons. The company now expects HVC to produce 100,000 to 120,000 tons in 2028, higher than the earlier stated 90,000 to 110,000 tons.

As Red Dog approaches the end of its mine life, grades are anticipated to decline. Backed by this, the company has lowered its guidance for lower production of zinc in concentrate for 2026, 2027 and 2028.

TECK expects Red Dog to produce 375,000 to 415,000 tons of zinc in concentrate in 2026. In 2027, Red Dog is expected to produce 330,000 to 370,000 tons, and in 2028, production is projected to be between 230,000 and 270,000 tons. Production is projected to remain steady from 2029 until the mine's expected closure in 2032.

The company’s Trail Operations is expected to produce refined zinc within the range of 190,000 to 230,000 tons in 2026, in line with expected production levels for 2025. The company expects to resume full production of 260,000-300,000 tons of refined zinc in 2027 and 2028 at Trail Operations.

Teck Resources Stock’s Price Performance

The company’s shares have lost 12% in the past year against the industry’s 17.6% growth.

TECK’s Zacks Rank & Stocks to Consider

Teck Resources currently carries a Zacks Rank of 3 (Hold).

Some better-ranked stocks from the basic materials space are DRDGOLD Limited DRD, Agnico Eagle Mines AEM and The Mosaic Company MOS. While DRD and AEM sport a Zacks Rank #1 (Strong Buy) each at present, MOS has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The consensus estimate for DRDGOLD’s 2025 earnings is pegged at $1.62 per share. The estimate indicates year-over-year growth of 13.3%. DRDGOLD’s shares have surged 175% in a year.

The consensus estimate for Agnico Eagle Mines’ 2025 earnings is pegged at $6.94 per share. The estimate indicates year-over-year growth of 64.1%. It has an average trailing four-quarter earnings surprise of 10%. Agnico Eagle Mines’ shares have surged 121% in a year.

The Zacks Consensus Estimate for The Mosaic Company’s 2025 earnings is pegged at $3.17 per share, indicating year-over-year growth of 60.1%. The Mosaic Company’s shares jumped 31.5% last year.

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