Teck Resources has closed the acquisition of Compañia Minera Teck Quebrada Blanca S.A. by Sumitomo Metal Mining Co. and Sumitomo Corporation.
Teck Resources (TSX:TECK.A and TECK.B,NYSE:TECK) has closed the acquisition of Compañia Minera Teck Quebrada Blanca S.A. (QBSA) by Sumitomo Metal Mining (TSE:8053) (SMM) and Sumitomo Corporation (SC).
SMM and SC now own a 30-percent interest in Compañia Minera Teck Quebrada Blanca S.A., the company that owns the Quebrada Blanca Phase 2 copper project.
As stated in the press release:
Following closing of the transaction, Teck holds a 60 percent indirect interest in QBSA and Empresa Nacional de Minería continues to hold a 10 percent carried interest. SMM and SC are expected to contribute approximately US$1.3 billion to the QB2 project during 2019. Teck’s anticipated share of 2019 QB2 capital spending is approximately US$175 million, which has been expended in the first quarter. Assuming closing during 2019 under the US$2.5 billion project financing facility expected to be signed in the second quarter, further cash contributions from Teck to QB2 capital costs are not expected to be required until late 2020.