Teck previously approved investments to extend the life of the interior B.C. Highland Valley mine. Premier David Eby plans to visit the operation on Thursday to mark the formal start of life extension construction.JONATHAN HAYWARD/The Canadian Press
Union leaders at Teck Resources Ltd.’s operations in British Columbia are guardedly optimistic about job stability after the company announced what is being billed as a merger with Anglo American PLC NGLOY.
The United Steelworkers represents 1,500 unionized employees at Teck’s Highland Valley Copper mine near Logan Lake in the southern interior and 1,200 workers at the company’s zinc and lead smelter in the community of Trail in the Kootenay region of southeast B.C.
The well-paying jobs are located in regions that are attractive for balancing work duties and recreational activities, union leaders said in interviews on Tuesday, after Vancouver-based Teck and London-based Anglo American announced their plans to combine.
Teck TECK-B-T workers in B.C. with skilled trades can earn roughly $130,000 a year, plus pensions and benefits.
Two months ago, Teck approved investments to extend the life of the Highland Valley mine, which also produces molybdenum, an additive used to strengthen steel.
The mine’s life extension from 2028 to 2046 is geared toward meeting rising global demand for copper as a critical mineral.
With 2,900 jobs anticipated to be created during the construction phase, the prospect of the combination of Anglo American and Teck appears promising for the local impact, said Kyle Wolff, president of Local 7619 of the United Steelworkers.
“Outside of direct employment, there also will be contractors, suppliers, grocery stores and car dealerships benefiting,” Mr. Wolff said of the expansion’s ripple effect.
Chris Walker, president of the union’s Local 480 in Trail, B.C., said he is looking forward to discussing the future with management.
“I’m cautiously optimistic, but it’s a waiting game to see how everything plays out,” he said. “I don’t like to hit the panic button on things, so I’m not.”
In what's shaping up to be the world's biggest mining deal of the past decade, Vancouver-based Teck Resources Ltd. and London-headquartered Anglo American PLC have agreed to join together, creating a copper-focused giant worth about $70-billion.
The Canadian Press
Many workers are located within a 15-minute drive to work at the smelter, and they enjoy the perks of living in a region with ski resorts and golf courses, Mr. Walker said.
Teck also produces germanium at its Trail smelter as a byproduct of zinc mining in Alaska. Germanium is used in fibre-optic networks, infrared vision systems and solar panels.
Even though germanium is only a tiny part of Teck’s current output, Mr. Walker said there is potential for growth.
B.C. Premier David Eby welcomed the corporate announcement, noting the importance of critical minerals.
“What a remarkable vote of confidence in the people and resources of B.C., and our province’s role as the engine of the new Canadian economy,” he said in a statement.
Mr. Eby plans to visit the Highland Valley operations on Thursday to mark the formal start of construction of the mine’s life extension.
Michael Goehring, president of the Mining Association of BC, said he views the plan for the corporate marriage as one that will improve financing for Teck’s development projects in northwest B.C.
“Both of these companies bring a fantastic portfolio of assets,” he said in an interview. “Bringing these two miners together is a strategic win for them. It brings their balance sheets together and that is a positive for B.C. and for Canada because they will have a greater ability to invest.”
Alex McMillan, interim chief executive officer of the BC Chamber of Commerce, welcomed the potential of Anglo Teck, especially as the United States continues its global trade war.
“The BC Chamber of Commerce noted the companies have reaffirmed their commitments to honour existing agreements with communities, Indigenous governments and labour contracts in Canada,” he said in a statement.
Teck sold the remaining 77-per-cent stake in its legacy coal operations to Switzerland’s Glencore PLC last year.
Two months ago in southeast B.C., Glencore cut 140 jobs at its Elk Valley Resources coal unit, which employs more than 5,000 workers. The unit produces metallurgical coal that goes into the production of steel.
Teck’s stock price has experienced a roller-coaster ride over the past two decades. In 2009, China Investment Corp. came to Teck’s rescue as a major investor. China has been a large buyer of copper, zinc and metallurgical coal.