Teck's separation of coal-mining business comes with challenges

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Elk Valley communities like Teck\u0027s idea of creating a single\u002Dpurpose coal company\u003B conservationists say it offloads environmental problems.

Teck said the restructuring will make those mines, to be named Elk Valley Resources, into a high-profit producer of steelmaking coal in a world where there is high demand, which sounds good to Steve Fairbairn, the mayor of Elkford, a small town of 2,500 located on the doorstep of one of the biggest mines.Start your day with a roundup of B.C.-focused news and opinion delivered straight to your inbox at 7 a.m., Monday to Friday.

However, Teck’s split is also happening at a time of considerable challenges for those coal-mining operations, from environmental concerns that have resulted in multi-million-dollar fines, to an expansion proposal that is deeply opposed by First Nations. Teck spokesperson Dale Steeves said in a statement that the move is solely to “unlock value,” by creating “two strong, sustainable, world-class mining companies.”

The proposed Elk Valley Resources’ operations will still comprise one of the world’s biggest exporters of steelmaking coal, adding up to some 21.5 million tonnes in 2022, according to the company’s fourth-quarter financial results.Article content“Both steelmaking coal and the other resources that these two companies will generate have long-term demand world that really needs to decarbonize,” Goehring said.

 

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China properly would be interested in acquiring it but probably get blocked by the United States 🤣

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