Reserves and Resources at December 31, 2013


  • Resources
  • Reserves
  • Oil and Gas
  • Definitions

Mineral Resources(1) at December 31, 2013


  Measured Indicated Inferred  
Tonnes
(000's)
Grade
(%)
Tonnes
(000's)
Grade
(%)
Tonnes
(000's)
Grade
(%)
Teck Interest
Copper              
  Highland Valley Copper 372,000 0.32 842,900 0.22 514,700 0.22 97.5%
 
  Antamina
    Copper only ore 38,800 0.46 241,500 0.73 625,200 0.73 22.5%
    Copper-zinc ore 16,300 0.47 102,200 0.93 401,600 0.95 22.5%

55,100 0.47 343,700 0.79 1,026,800 0.82 22.5%
 
  Quebrada Blanca






    Heap leach(2)  0 0.00
0
0.00
100 0.36 76.5%
    Dump leach(2)  0 0.00
0
0.00 2,900 0.21 76.5%

 0 0.00
0
0.00
3,000 0.21 76.5%
 
  Quebrada Blanca - Mill 0 0.00 740,000 0.42 1,818,900 0.40 76.5%
    Andacollo - Mill 17,700 0.42 103,900 0.29 91,600 0.29 90%
    Galore Creek 39,500 0.25 247,200 0.34 346,600 0.42 50%
    Duck Pond 700 3.22 100 2.97     100%
    San Nicolas 0 0 91,700 1.24 10,800 1.24 79%
    Relincho 79,900 0.27 317,100 0.34 610,800 0.38 100%








 
Molybdenum              
  Highland Valley Copper 372,000 0.008 842,900 0.009 514,700 0.008 97.5%
  Antamina 38,800 0.035 241,500 0.021 625,200 0.017 22.5%
  Quebrada Blanca - Mill 0
0.000
740,000 0.014 1,818,900 0.017 76.5%
  Relincho 79,900 0.009 317,100 0.012 610,800 0.013 100%
 
Zinc              
  Red Dog  0 0.000
7,500 25.7 200 10.7 100%
  Pend Oreille 0
 0.000     2,900 6.1 100%
  Antamina 16,300 0.9 102,200 1.5 401,600 1.4 22.5%
  Duck Pond 700 4.8 100 4.8     100%
  San Nicolas  0 0.0
91,700 1.7 10,800 1.0 79%
 
Lead              
  Red Dog  0 0.000
7,500 6.9 200 3.4 100%
  Pend Oreille  0 0.000 0 0.0 2,900 1.3 100%
 
Metallurgical Coal(5)              
  Fording River 283,000   815,000   862,000   100%
  Elkview 498,800   233,000   261,600   95%
  Greenhills 107,500   155,100   115,300   80%
  Line Creek 317,000   444,700   567,000   100%
  Cardinal River 30,400   4,100   600   100%
  Mt Babcock 23,400   100,600   132,900   100%
  Mt Duke 25,900   116,200   209,900   92.7%
  Elco 25,600   117,300   120,200   75%
 
PCI Coal(5)  
 
 
 
  Greenhills 3,500
6,700
15,500
80%
  Coal Mountain 52,400
28,300
9,100
100%
  Line Creek 300
200
200
100%
  Cardinal River 700
300
100
100%
  Marten Wheeler 120,200
176,300
85,300
100%
 
Thermal Coal (5)  
 
 
 
  Fording River 3,000
5,000
6,000
100%
  Greenhills 1,600
2,000
2,700
80%
  Coal Mountain 2,000
600
100
100%
  Line Creek 4,600   4,600   3,900   100%
  Mt Babcock
 
  200   100%
  Mt Duke 1,200   5,000   7,600   92.68%
  Elco 700   6,200   6,000   75%
  Marten Wheeler 2,400   4,600   2,300   100%
 
  Measured Indicated Inferred  
Tonnes
(000's)
Grade
(g/t)(4)
Tonnes
(000's)
Grade
(g/t)(4)
Tonnes
(000's)
Grade
(g/t)(4)
Teck Interest
Gold              
  Andacollo - Mill(6) 17,700 0.09 103,900 0.09 91,600 0.09 90%
  Galore Creek 39,500 0.39 247,200 0.26 346,600 0.24 50%
               
Silver(7)              
  Antamina              
    Copper only ore 38,800 4.9 241,500 7.3 625,200 7.4 22.5%
    Copper-zinc ore 16,300 9.9 102,200 14.8 401,600 14.7 22.5%
  55,100 6.34 343,700 9.54 1,026,800 10.25 22.5%
               
  Red Dog  0 0.00
7,500 137.0 200 68.8 100%
















Notes to Mineral Reserves and Resources Tables

1. Mineral reserves and resources are mine and property totals and are not limited to our proportionate interests.
2. For heap leach and dump leach operations, copper grade is reported as % soluble copper rather than % total copper. Soluble copper is defined by an analytical methodology which uses acid and cyanide reagents to approximate the portion of copper recoverable in the heap and dump leach processes.
3. Coal reserves are reported as tonnes of clean coal.
4. g/t = grams per tonne.
5. Coal resources are reported as tonnes of raw coal.
6. In 2010, an interest in future gold production from the Andacollo mine was sold. The purchaser is entitled to payments based on 75% of the payable gold produced until total cumulative sales reach 910,000 ounces of gold, and 50% thereafter. As required under the relevant agreement, reserves and
resources are stated without accounting for this production interest.
7. Recoverable Metal refers to the amount of metal contained in concentrate or cathode copper.

Source: Annual Information Form (1.5MB PDF)

Mineral Reserves(1) at December 31, 2013


  Proven Probable Total Teck Interest
Tonnes
(000's)
Grade
(%)
Tonnes
(000's)
Grade
(%)
Tonnes
(000's)
Grade
(%)
Teck Ownership
(%)
Recoverable(7) Metal
(000 t)
Copper                
  Highland Valley Copper 389,000 0.34 274,300 0.23 663,400 0.29 97.5% 1,680
 
  Antamina
    Copper only ore 146,500 0.98 281,900 0.97 428,400 0.97 22.5% 870
    Copper-zinc ore 54,400 1.14 210,300 0.91 264,800 0.95 22.5% 450

200,900 1.02 492,200 0.94 693,200 0.97 22.5% 1,310
 
  Quebrada Blanca







    Heap leach(2) 29,100 0.58 8,300 0.50 37,300 0.56 76.5% 120
    Dump leach(2) 14,400 0.26 18,900 0.23 33,300 0.24 76.5% 40

43,500 0.47 27,200 0.31 70,600 0.41 76.5% 160
 
Quebrada Blanca - Mill 0 0.00 1,482,100 0.49 1,482,100 0.49 76.5% 4,770
 
  Andacollo





   
    Heap leach(2) 2,500 0.44  0  0.00 2,500 0.44 90% 10
 
  Andacollo - Mill 174,000 0.36 302,600 0.33 476,600 0.34 90% 1,280









  Galore 69,000 0.61 459,100 0.58 528,000 0.59 50% 1,390
  Duck Pond 700 3.13 200 3.26 900 3.16 100% 20
  Relincho 435,300 0.38 803,800 0.37 1,239,100 0.37 100% 4,070
 
Molybdenum                
  Highland Valley Copper 389,00 0.007 274,300 0.009 663,400 0.008 97.5% 30
  Antamina 146,500 0.034 281,900 0.029 428,400 0.031 22.5% 20
  Quebrada Blanca - Mill  0 0.000
1,482,100 0.018 1,482,100 0.018 76.5% 130
  Relincho 435,300 0.016 803,800 0.018 1,239,100 0.017 100% 110
 
Zinc                
  Red Dog  0 0.0
45,400 15.8 45,400 15.8 100% 6,050
  Pend Oreille 1,800 7.2 1,800 6.2 3,700 6.7 100% 220
  Antamina 54,400 2.0 210,300 1.9 264,800 1.9 22.5% 890
  Duck Pond 700 4.1 200 3.7 900 4.0 100% 20
 
Lead                
  Red Dog  0 0.0
45,400 4.1 45,400 4.1 100% 1,100
  Pend Oreille 1,800 1.3 1,800 0.9 3,700 1.1 100% 30









 
  Proven Probable Total Teck Interest
Tonnes
(000's)
  Tonnes
(000's)
  Tonnes
(000's)
  Teck
Ownership (%)
Clean Coal
(000 t)
Metallurgical Coal(3)                
  Fording River 61,500   567,100
628,600   100% 628,600
  Elkview 69,400   116,300   185,600   95% 176,300
  Greenhills 52,000   14,600   66,600   80% 53,300
  Line Creek 3,300   52,500   55,700   100% 55,700
  Cardinal River 7,400   15,900   23,300   100% 23,300
  Quintette (Mt Babcock) 14,900   26,200   41,100   100% 41,100
 
PCI Coal(3)  
 
 
   
  Greenhills 2,900
1,000
3,800
80% 3,040
  Coal Mountain 2,100
7,400
9,500
100% 9,500
  Line Creek 300
3,000
3,400
100% 3,400
  Cardinal River 300
500
800
100% 800
 
Thermal Coal (3)  
 
 
   
  Fording River 300
4,300
4,600
100% 4,600
  Greenhills 200
1,100
1,200
80% 960
  Coal Mountain 200
500
700
100% 700
 Line Creek 300   8,000   8,300   100% 8,300
 Quintette (Mt Babcock) 600   600   1,100   100% 1,100
 
  Proven Probable Total Teck Interest
Tonnes
(000's)
Grade
(g/t)(4)
Tonnes
(000's)
Grade
(g/t)(4)
Tonnes
(000's)
Grade
(g/t)(4)
Teck Interest Recoverable(7) Metal
(000 oz)
Gold                
  Andacollo-Mill(6) 174,000 0.13 302,600 0.11 476,600 0.12 90% 990
  Galore Creek 69,000 0.52 459,100 0.29 528,000 0.32 50% 2,040
                 
Silver(7)                
  Antamina                
    Copper only ore 146,500 8.4 281,900 8.6 428,400 8.5 22.5% 20,710
    Copper-zinc ore 54,400 17.4 210,300 14.0 264,800 14.7 22.5% 19,300
  200,900 10.9 492,200 10.9 693,200 10.9 22.5% 40,000
                 
  Red Dog     45,400 72.6 45,400 72.6 100% 58,130


















Notes to Mineral Reserves and Resources Tables

1. Mineral reserves and resources are mine and property totals and are not limited to our proportionate interests.
2. For heap leach and dump leach operations, copper grade is reported as % soluble copper rather than % total copper. Soluble copper is defined by an analytical methodology which uses acid and cyanide reagents to approximate the portion of copper recoverable in the heap and dump leach processes.
3. Coal reserves are reported as tonnes of clean coal.
4. g/t = grams per tonne.
5. Coal resources are reported as tonnes of raw coal.
6. In 2010, an interest in future gold production from the Andacollo mine was sold. The purchaser is entitled to payments based on 75% of the payable gold produced until total cumulative sales reach 910,000 ounces of gold, and 50% thereafter. As required under the relevant agreement, reserves and resources are stated without accounting for this production interest.
7. Recoverable Metal refers to the amount of metal contained in concentrate or cathode copper.

Source: Annual Information Form (1.5MB PDF)

Oil and Gas Resources at December 31, 2013

Reserve Categories and Resources

Reserves
For oil and gas, reserves are estimated remaining quantities of oil and natural gas and related substances anticipated to be recoverable from known accumulations, as of a given date, based on analysis of drilling, geological, geophysical and engineering data, the use of established technology, and specified economic conditions, which are generally accepted as being reasonable. Reserves are classified into proved or probable according to the degree of certainty associated with the estimates.

Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

Probable reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves.

Each of the proved and probable reserves categories may be divided into developed and undeveloped categories. Undeveloped reserves are those reserves expected to be recovered from known accumulations where a significant expenditure (e.g. when compared to the cost of drilling a well) is required to render them capable of production. Teck does not have any developed reserves at this time.

Contingent Resources

A contingent resource for oil and gas reporting purposes is different than a mineral resource. Contingent resources for oil and gas reporting purposes are estimated in accordance with the standards set out in the COGE Handbook. As further described below, contingent resources are defined in the COGE Handbook as those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations using established technology or technology under development, but which are not currently considered to be commercially recoverable due to one or more contingencies. There is no certainty that it will be commercially viable to produce any portion of the resources.

Fort Hills Project

The reserves data presented below summarizes our proved and probable reserves and the net present values of future net revenue for these reserves. The reserves data uses forecast prices and costs prior to provision for interest, general and administrative expenses, the impact of any hedging activities or the liability associated with abandonment and all well, lease, pipeline and facilities reclamation costs. These forecasts and other assumptions are taken from the GLJ evaluation report effective December 31, 2013. Future net revenues have been presented on a before and after tax basis in accordance with NI 51-101.

The future net revenue, development and operating cost, exchange rate, price and other assumptions set out in this “Description of the Business ― Oil and Gas Reserves and Resources―Fort Hills Project” section of this AIF are the estimates or assumptions of GLJ, our independent reserves evaluator. In order to estimate reserves and resources and future net revenues, GLJ makes a number of assumptions, including assumptions regarding inflation rates, currency exchange rates and prices for oil and other products. For planning, project approval, accounting and other purposes our management makes assumptions regarding those same factors and our assumptions generally differ from those of GLJ. Different assumptions would lead to different present value and net revenue figures, and could affect reserve estimates.

GLJ estimates capital and operating costs associated with the Fort Hills project based on general assumptions regarding project costs and comparisons to other projects. These GLJ estimated costs differ from those the Fort Hills partners use for construction planning and decision making for the project, which are based on detailed engineering studies. See “Description of the Business ― Energy―Fort Hills Project” for a further description of the project operator estimates regarding development costs.

All of our reserves are associated with our Fort Hills project. Bitumen is the only product type associated with our reserves.

Reserves are presented on a gross and net basis. Gross in relation to Teck’s interest in reserves means Teck’s working interest share before deduction of royalties. Net in relation to Teck’s interest in reserves means Teck’s working interest share after deduction of royalties.




Summary of Company Interest
Oil and Gas Reserves at December 31, 2013
(forecast prices and costs)


 Reserves
 Reserves Category

 Bitumen
Gross (MMbbl)
Net (MMbbl)*
Proved Reserves    
Producing
0
0
Developed Nonproducing   0  0
Undeveloped  414  374
Total Proved Reserves  414 374 
Probable Reserves 194 166
Total Proved plus Probably Reserves 608 541

*Column does not add due to rounding. 

For additional information, please refer to page 50: Annual Information Form (1.5MB PDF)

Definitions

Standard

Proven and Probable Mineral Reserves and Measured, Indicated and Inferred Mineral Resources have been estimated in accordance with the definitions of these terms adopted by the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) in November 2010 and incorporated in National Instrument 43-101, “Standards of Disclosure for Mineral Projects” (“NI 43-101”), by Canadian securities regulatory authorities in June 2011. Estimates of coal reserves and resources have been prepared and classified using guidance from the Geological Survey of Canada Paper 88-21. Classification terminology for coal conforms to CIM definitions incorporated by reference into NI 43-101. Mineral Resources are reported separately from and do not include that portion of the Mineral Resources that is classified as Mineral Reserves. That portion of Mineral Resource which is not classified as Mineral Reserve does not have demonstrated economic value.

Definitions

Metallurgical Coal means the various grades of coal that are used to produce coke which is used in the steel making process.

PCI Coal means coal that is pulverized and injected into a blast furnace. Those grades of coal used in the PCI process are generally non-coking. PCI grade coal is used primarily as a heat source in the steel making process in partial replacement for high quality coking coals which are typically more expensive.

Thermal Coal means coal that is used primarily for its heating value. Thermal coals tend not to have the carbonization properties possessed by metallurgical coals. Most thermal coal is used to produce electricity in thermal power plants

The CIM definitions on Mineral Resources and Mineral Reserves provide as follows:

A Mineral Resource is a concentration or occurrence of diamonds, natural solid inorganic material, or natural solid fossilized organic material including base and precious metals, coal, and industrial minerals in or on the earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.

An Inferred Mineral Resource is that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.

An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed.

A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape, and physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both geological and grade continuity.

A Mineral Reserve is the economically mineable part of a Measured or Indicated Mineral Resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A mineral reserve includes diluting materials and allowances for losses that may occur when the material is mined.

A Probable Mineral Reserve is the economically mineable part of an Indicated and, in some circumstances, a Measured Mineral Resource demonstrated by at least a preliminary feasibility study. This study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified.

A Proven Mineral Reserve is the economically mineable part of a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction is justified.

Methodologies and Assumptions

Mineral reserve and resource estimates are based on various assumptions relating to operating matters, including with respect to production costs, mining and processing recoveries, mining dilution, cut-off values or grades, as well as assumptions relating to long-term commodity prices and, in some cases, exchange rates. Cost estimates are based on feasibility study estimates or operating history.

Methodologies used in reserve and resource estimates vary from property to property depending on the style of mineralization, geology and other factors. Geostatistical methods, appropriate to the style of mineralization, have been used in the estimation of reserves at Teck’s material base metal properties.

Assumed metal prices vary from property to property for a number of reasons. Teck has interests in a number of joint ventures for which assumed metal prices are a joint venture decision. In certain cases, assumed metal prices are historical assumptions made at the time of the relevant reserve and resource estimates. For operations with short remaining lives, assumed metal prices may reflect shorter-term commodity price forecasts.

Comments on Individual Operations



Highland Valley Copper

In 2013, an increase of 350.2 million tonnes in resources was attributable to higher assumed metal prices. Pit shells used to constrain reserves were prepared on the basis of various assumed prices averaging US$2.06/lb copper. Within these pit shells, internal cut-offs for reserve reporting were based on US$2.80/lb copper, US$13.70/lb molybdenum and a C$1.10 per US$1.00 exchange rate.

Current reserves are expected to support a mine life to 2027.

Antamina

Two general ore types occur at Antamina. These are copper ores from which copper and molybdenum concentrates are produced and copper-zinc ores from which copper and zinc concentrates are recovered. Reserves and resources have been calculated using metal prices of: US$2.41/lb copper, US$0.88/lb zinc, US$12.46/lb molybdenum, and US$18.54/oz silver.

Mine production in 2013 removed 49.2 million tonnes from reserve and 3.3 million tonnes from resources. After other changes have been considered the end of year 2013 reserves at Antamina have decreased by 50.5 million tonnes. The end of year 2013 resources at Antamina have increased by 156 million tonnes primarily due to new drilling and an update to the resource model.

The mine life is expected to continue until 2027

Quebrada Blanca

Mine production depleted 16.6 million tonnes of the heap and dump leach reserve during 2013. End-of-year 2013 supergene reserves assume a US$3.30/lb copper price, 77.2% heap leach soluble copper recovery, 57.5% dump leach soluble copper recovery and are based on a dump leach soluble copper operating cut-off of 0.15%, and a heap leach operating cut-off of 0.35% soluble copper between 2014 and 2017 and 0.32% soluble copper for 2018 and 2019.

Supergene reserves at the end of 2013 have decreased by 25.7 million tonnes primarily due to production but also due to life of mine plan changes and an updated resource model. Supergene reserves are expected to sustain dump and heap leach operations until 2020. Hypogene reserves and resources at the end of 2013 only increased very minimally as a result of changes to the life of mine plan for the supergene operation.

Carmen de Andacollo

The Carmen de Andacollo operation includes a heap leach copper operation and a copper-gold hypogene concentrator. Supergene mineral reserve and resource estimates prepared in 2013 assume a 64% leach recovery for soluble copper, US$3.30/lb copper price and a soluble copper operating cut-off of 0.14%. Supergene reserves are expected to sustain leaching and SXEW operations until the second quarter of 2014, assuming the current mine production schedule.

The hypogene reserves are estimated using variable mill recovery values for copper and an average fixed mill recovery of 61.3% for gold. Long-term prices of US$2.80/lb copper and US$1,100/oz gold were assumed, estimated above a 0.20% copper cut-off. Current hypogene reserves are expected to sustain concentrator operations until 2037.

In 2013, the leach operation processed 1.8 million tonnes from reserve and another 18.0 million tonnes of hypogene material were depleted. After considering other changes the end of year 2013 proven and probable hypogene reserves decreased by 16.4 million tonnes. Hypogene resources increased 20.1 million tonnes primarily due to higher metal prices.

Duck Pond

The underground operation at Duck Pond depleted 677,000 tonnes of reserves and 48,000 tonnes of resources during 2013. Due to the short life of mine, short-range metal prices have been applied for reserves (US$3.10/lb copper, US$0.95/lb zinc, US$1,220/oz gold and US$20.90/oz silver) and an exchange rate of C$1.05 per US$1.00 were used. On the basis of these assumptions, the underground reserve is estimated at 533,000 tonnes and the open-pit (Boundary Deposit) reserves at 385,000 tonnes. Virtually all of the open-pit resources have been converted to reserves; thus the 751,000 tonnes of measured and indicated resources reported at the end of 2013 are from the underground deposit.

Red Dog

Mine production at Red Dog during 2013 removed 3.8 million tonnes of reserves from the Aqqaluk pits. A further 2.0 million tonnes was removed from reserves primarily due to higher assumed operating costs. Resources have increased by 3.1 million tonnes in 2013, primarily due to changes in mine design and updates to the resource model. Mineral reserves and resource estimates assume US$1.00/lb zinc and US$0.90/lb lead.

Pend Oreille

Reserves at Pend Oreille have increased by 1.74 million tonnes to a total of 3.66 million tonnes in 2013 primarily due to updates to the resource models and due to the transfer of some resources to reserves. The year-end reserves are sufficient to support operations at Pend Oreille for 5 years after re-commencement. Reserve and resource cut-off has been estimated at 3.51% zinc based on Teck’s mid-year 2013 short-term metal prices of US$1.00/lb zinc, and US$1.00/lb lead, and take into account by-product and transportation synergies with our Trail Operations. Resources at Pend Oreille have also increased by 177,000 tonnes to a total of 2.87 million tonnes primarily due to updates to the resource model.

Relincho

Reserves at Relincho have increased by 134.6 million tonnes in 2013 primarily due to higher assumed metal prices and resource model updates, offset by higher assumed operating costs. Reserves have been reported within designed life of mine pits created during the feasibility study assuming US$2.80/lb copper and US$13.70/lb molybdenum prices with mining cost of US$0.954/tonne, a processing cost of US$9.13/tonne milled, and assumed metallurgical recoveries of 88.8% for copper and 47.2% for molybdenum.

Resources at Relincho have decreased by 385.2 million tonnes primarily due to higher operating cost assumptions, offset by higher metal prices, updates to the resource model and mine design changes.

Galore Creek

2013 reserve and resource estimates for the Galore Creek project are supported by a 2011 prefeasibility study. Reported mineral reserves and resource estimates assume US$2.50/lb copper, US$1,050/oz gold and US$16.85/oz silver. There have been no changes to the resources for Galore Creek in 2013 in comparison to the figures presented at year end 2012.

San Nicolas

The 2013 resource estimate for San Nicolás assumes US$2.75/lb copper, US$1.00/lb zinc, US$1,275/oz gold and US$22.50/oz silver. The estimate is based on the same geological data and block model used for the previous resource estimate published in 2001. There have been no changes to the resources for San Nicolás in 2013 in comparison to the figures presented at year end 2012.

Fording River

Total reserves have increased from year end 2012 by 18.70 million clean tonnes of coal. Reserve depletion from mine production was 8.70 million tonnes of clean coal. The majority of the change was due to a significant design update of the Eagle pit resulting in an increase of 29.4 million tonnes of clean coal. Geological model updates resulting from extensive drilling added 17.0 million tonnes of raw coal to measured and indicated resources. The reserve estimate assumes a long-term selling price at the Port of Vancouver of US$170/tonne for metallurgical coal at an exchange rate of C$1.10 per US $1.00.

Elkview

Teck has a 95% interest in the Elkview mine. Reserves depletion from mine production was 5.2 million tonnes of clean coal. Total reserves have decreased from year end 2012 by 25.50 million clean tonnes of coal. Revisions of geotechnical parameters, resulting from external review, reduced reserves by 2.4 million clean tonnes. A 17.4 million tonne reduction in clean coal in reserves from geology was mainly comprised of a 4.2 million reduction in clean coal due to the geological reinterpretation and a 14.1 million tonne clean coal reduction due to reduction in modeled yield. The reserve estimate assumes a long-term selling price at the Port of Vancouver of US$170/tonne for metallurgical coal at an exchange rate of C$1.10 per US $1.00.

Greenhills

Teck owns 80% of the Greenhills joint venture. Normal mine depletion accounted for a 5.0 million tonne reduction in clean coal reserves. An expansion to Cougar South Phase 6 pit resulted in the addition of 6.4 million tonnes of clean coal to proven reserves. A one-time addition of stockpiles of 1.0 million tonnes of clean coal increased proven reserves. The reserve estimate assumes a long-term selling price at the Port of Vancouver of US$170/tonne for metallurgical coal at an exchange rate of C$1.10 per US$1.00.

Line Creek

Reserve reductions were primarily attributed to mine production (3.4 million tonnes of clean coal), which was offset by increases attributable to mine design, geology and positive reconciliations. Measured and indicated resources increased by 29.5 million tonnes of raw coal, and inferred resources increased by 43.9 million tonnes of raw coal as a result of 2012 and 2013 exploration drilling campaigns. The reserve estimate assumes a long-term selling price at the Port of Vancouver of US$170/tonne for metallurgical coal at an exchange rate of C$1.10 per US$1.00.

Coal Mountain

The Coal Mountain Operation is a relatively low strip ratio open-pit operation that primarily mines PCI coal from a highly folded and faulted deposit. Mine production removed 2.6 million tonnes of clean coal from reserves. The reserve estimate assumes a long term selling price of US$120/tonne for PCI coal at an exchange rate of C$1.10 per US$1.00.

Cardinal River

Mine production decreased reserves by 1.7 million tonnes of clean coal. Changes were made to the pit designs to remove uneconomic resources, leading to an additional reduction of 2.3 million tonnes of clean coal. The reserve estimate assumes a long term selling price at the Port of Vancouver of US$170/tonne for metallurgical coal at an exchange rate of C$1.10 per US$1.00.

Quintette (Mt Babcock)

Changes to the reserve between 2012 and 2013 reflect updated geotechnical mine design changes which reduced reserves by 1.1 million tonnes of clean coal and inclusion of oxide coal which increases reserves by 1.1 million tonnes of clean coal. The resource estimates assume a long-term selling price of US$170/tonne for metallurgical coal with discounts to the premium product benchmark price to reflect the specific quality attributes of products, and an exchange rate of C$1.10 per US$1.00.

Other Coal Properties

Other properties include Mt. Duke (92.6% interest) south of Tumbler Ridge B.C., Elco (75% interest) at the north end of the Elk Valley and the Marten Wheeler property south of Elkview. The resource estimates for these other coal properties assumed a long-term selling price of US$170/tonne for metallurgical coal, US$120/tonne for clean PCI, US$95/tonne for clean thermal coal and an exchange rate of C$1.10 per US$1.00.

Risks and Uncertainties

Mineral Reserves and Mineral Resources are estimates of the size and grade of the deposits based on the assumptions and parameters currently available. These assumptions and parameters are subject to a number of risks and uncertainties, including, but not limited to, future changes in metals prices and/or production costs, differences in size, grade, continuity, geometry or location of mineralization from that predicted by geological modeling, recovery rates being less than those expected and changes in project parameters due to changes in production plans. There are no known environmental, permitting, legal, title, taxation, sociopolitical, marketing or other issues that are currently expected to materially affect the mineral reserves or resources. Certain operations will require further permits over the course of their operating lives in order to continue operating. Where management expects such permits to be issued in the ordinary course, material that may only be mined after such permits are issued is included in proven and probable reserves. Specific current permitting issues are described in the narrative concerning the relevant operation under the heading “Description of the Business”, “Safety and Environmental Protection” and under the headings “Risk Factors — We face risks associated with the issuance and renewal of environmental permits”.

Qualified Persons

Estimates of mineral reserves and resources for our material base metal properties have been prepared under the general supervision of Rodrigo Marinho, P.Geo., who is an employee of Teck Resources Limited. Mineral reserve and resource estimates for Antamina have been prepared under the supervision of Marco Maulen, MAusIMM (CP), who is an employee of Compañía Minera Antamina S.A. Messrs. Marinho and Maulen are the Qualified Persons for the purposes of National Instrument 43-101. Reserve and resource estimates for coal properties were prepared under the general supervision of Don Mills P.Geol. and Eric Jensen P.Eng. employees of Teck Coal Limited, who are the Qualified Persons for the purposes of National Instrument 43– 101.

Source: 2013 Annual Information Form (1.5MB PDF)