Teck Resources expecting lower coal price in Q2
Teck Resources Ltd (TECKb.TO) on Thursday forecast a drop in its average realized price from sale of steelmaking coal for the second quarter, sending its shares down nearly 4 per cent in late afternoon trading.
The Canadian miner expects average realized price to be between US$160 and US$165 per tonne, much lower than the US$190 benchmark price set by the company for the second quarter and US$213 per tonne realized in the previous quarter.
"After steel mills filled their prompt requirements immediately following the Queensland cyclone, there were very few prime hard coking coal spot sales during the four week period from mid-April," the company said in a statement.
The company also expects the sales volumes to be in the range of 6.8 million to 7 million tonnes in the second quarter compared with the previous forecast of 6.8 million tonnes.