Business
Teck Cominco announces revised sales guidance
Teck Cominco announces revised sales guidance.
About this update from Teck Resources Limited Class A
[{"type":"text","content":"\n\n\n\n\nVANCOUVER, Sept. 26 /CNW/ - Teck Cominco Limited announced today that it\nis revising its sales guidance for the third and fourth quarters of 2006. \nWhile production in the third quarter is substantially in accordance with\nplan, third quarter sales of zinc in concentrate are now expected to be\napproximately 125,000 tonnes compared to the previously announced estimate of\n175,000 tonnes, as a result of ice and weather conditions affecting the Red\nDog Mine in Alaska. Fourth quarter sales are now expected to be above previous\nguidance as a result of the shipping delays in the third quarter.\nThe Red Dog Mine shipping season commenced two weeks later than normal as\na result of ice conditions. Poor weather has reduced ship availability and has\nfurther delayed certain shipments. In addition, a high proportion of early\nshipments from Red Dog in the quarter went to Vancouver to supply the Trail\nmetal operations, correspondingly reducing shipments to third party customers\nin Europe and the Far East. Assuming satisfactory shipping performance in the\nfourth quarter, sales tonnage for the fourth quarter of 2006 is expected to be\napproximately 225,000 tonnes, or 25,000 tonnes above previous guidance. An\nadditional 25,000 tonnes of sales originally expected in the second half of\n2006 will be deferred to the first quarter of 2007. Teck Cominco still expects\nto ship approximately 550,000 tonnes of zinc in concentrate during the 2006\nshipping season, representing substantially all of the minesite concentrate\ninventory.\nIn addition, Teck Cominco's third quarter operating profit attributed to\nthe Antamina mine will be negatively affected by the timing of shipments of\n5,000 tonnes of copper in concentrate that will be recognized in revenue in\nthe fourth quarter, increased royalty expenses and our provision for a\npotential liability resulting from Antamina's agreement in principle during\nthe quarter to make certain social payments.\nProduction at all of Teck Cominco's base metal operations has been\nsubstantially as expected during the third quarter. Teck Cominco will release\nits third quarter 2006 financial results on Monday, October 30, 2006, after\nmarkets close.\n\nTeck Cominco is a diversified mining company, headquartered in Vancouver,\nCanada. Its shares are listed on the Toronto Stock Exchange under the symb...