Coal production in 2010 is expected to be 23.5-25 million tons, and the company is “actively planning” for further production increases over the following two years.
"Our coal team is focused on near-term expansion opportunities in light of the tight market that we expect for high-quality hard coking coal,” Teck president and chief executive Don Lindsay said.
“We are fortunate to be able to add production with relatively small incremental capital."
While the company is still looking over its capital budgets, it said overall capital spending in 2010 would be steady compared to this year.
As 2009 wraps up, Teck said it anticipated 20Mt in production and 19.5-20Mt in sales for the year.
The forecast is at the lower end of the company’s guidance range, after high wind conditions at the Vancouver port resulted in shipping delays. Teck plans to make up the missed shipments in the first quarter of next year, weather permitting.
The producer said in June that it was increasing its sales guidance for 2009 thanks to a progression of coal contract settlements.
“Significant increases in sales to China contribute significantly to Teck's increased confidence in higher sales volumes,” the company said at the time.
“Previously planned temporary production shutdowns at several mines have now been cancelled in order to meet the increased demand.”