Teck CEO: We're Generating 'Staggering' Free Cash Flow

In an exclusive interview, CEO Don Lindsay discusses the unexpected rise in tech share prices and the significant changes in commodity markets in 2016. He highlights the severe downturn and subsequent recovery in coal, zinc, and copper prices, emphasizing the potential for future growth. Lindsay provides insights into the coal market, predicting high prices for the next few quarters due to supply constraints. He also discusses the zinc market's tight conditions and the potential for a price breakout. Lastly, he offers a cautious outlook on copper, noting that while sentiment has shifted, the supply-demand fundamentals remain unchanged.

What was one of the key factors that led to the dramatic upside in commodity prices in 2016?

• Introduction of new mining technologies

• Severe bottoming out process for key commodities

• Government subsidies for mining companies

• Increased demand for tech products

What is the expected impact on coal prices if supply rebalancing occurs?

• Prices will drop significantly

• Prices will stabilize immediately

• Prices will remain high for a few quarters

• Prices will increase indefinitely

What is a key indicator of the tightness in the zinc concentrate market?

• High treatment charges

• Record low treatment charges

• Increased zinc production

• Stable zinc prices

What historical price level is expected to be exceeded by zinc in the near future?

• $0.65

• $1.00

• $1.47

• $2.00

What recent event changed the market perception of copper?

• A natural disaster

• A trade agreement

• A major election

• A new mining technology

What is the expected market condition for copper in the next 12 months?

• Significant deficit

• Balanced or slight surplus

• Stable prices

• Significant surplus

What is one reason the company wants to build QB 2 quickly?

• To increase coal production

• To address a future copper deficit

• To reduce production costs

• To diversify into new markets