Teck Updates Steelmaking Coal Guidance

 Teck Resources provided updated guidance for its expected realized metallurgical coal price and an update on its estimated sales volumes for the fourth quarter of 2017. The fourth-quarter 2017 price index for steelmaking coal volumes sold under quarterly contract on the basis of the average of three assessments for the period September through November, is now established at $191 per metric ton (mt). Teck expects to realize an average price, for all tons sold in the quarter, of approximately $165/mt to $170/mt.

The differential between Teck’s expected average realized price and the quarterly index price is a function of the market direction, the product mix and the timing of sales and vessel arrivals. As previously announced, the company said it expects to return to a more typical product mix of premium metallurgical coal going into 2018.

Met coal sales volumes for the fourth quarter of 2017 remain in line with the company’s previous guidance of approximately 6.5 million mt.