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Teck restarts Elkview dryer, to lose 200,000 tonnes of coal production

Elkview is one of the five steelmaking coal operations Teck has in the Elk Valley, British Columbia. (Image courtesy of Teck Resources.)

Canada’s largest diversified miner Teck Resources (TSX:TECK.A | TECK.B)(NYSE:TCK) said Friday it expects to lose about 200,000 tonnes in coal output due to an almost two-month interruption at its Elkview coal mine in British Columbia.

The Vancouver-based miner, which confirmed the restart of the mine’s drying complex, said repairs will cost less than $10 million, in line with previous estimates.

Full commercial production is expected to resume early next week.

Full commercial production is expected to resume early next week, it said.

Teck, which is also the world’s second-biggest exporter of steelmaking coal, had reported a “significant pressure event” at Elkview’s drying complex on Jan. 19, which was described as an explosion by a union executive.

As a result of the halt, Teck has reviewed coking coal sales volumes for the first quarter of the year. The miner now expects to sell about 6 million tonnes, in comparison to a previous guidance of 6.3 – 6.5 million tonnes.

Exports have continued to be adversely affected by logistics issues during the quarter, the company noted, particularly due to an ongoing poor performance at Westshore Terminals, located in the Metro Vancouver area.