[Management View]
Teck Resources Limited announced a merger with Anglo American, forming "Anglo Tech," targeting over 1,200,000 tons of annual copper production. Management expects $800 million in recurring annual synergies, with 80% realized within two years of deal completion. Adjusted EBITDA rose 18% to $1.2 billion, driven by higher base metals prices and lower copper smelter processing charges.

[Outlook]
Management provided copper production guidance for 2025 of 415,000-465,000 tons with net cash unit costs of $2.05-$2.30 per pound, and zinc production guidance of 525,000-575,000 tons with net cash unit costs of $0.45-$0.55 per pound. The merger is expected to complete within twelve to eighteen months, pending regulatory approvals.

[Financial Performance]
Adjusted EBITDA increased by 18% YoY to $1.2 billion. Copper segment gross profit before depreciation and amortization rose 23% to $740 million, and zinc segment gross profit increased 27% to $454 million. Total liquidity stands at $9.5 billion, including $5.3 billion in cash.

[Q&A Highlights]
Question 1: Have preliminary discussions started with Glencore regarding the JV of the two assets? (Line breaks here)
Answer: The merger structure allowed Teck and Anglo American to assess potential synergies comprehensively. The processing of higher grades of Coahuasi ore through the QB plant is a capital-efficient way to add low-cost production. Commercial agreements and structure remain ahead, but all parties are expected to be motivated to capture value.

Question 2: Are you tracking towards the low end of unit cost guidance and CapEx guidance for 2025? (Line breaks here)
Answer: The guidance range remains reasonable, with growth capital progressing through Q4. Sustaining capital spending on TMF will continue into Q4. Copper unit costs are expected to be in the middle of the range, while zinc unit costs may be between the low and mid-case.

Question 3: Will discussions on the JV begin post-deal completion or earlier? (Line breaks here)
Answer: Discussions can begin before deal completion. The merger announcement has surfaced significant value, creating a platform for engagement.

Question 4: Do all shareholders need to agree to the JV for execution? (Line breaks here)
Answer: Agreement from all parties is required. The merger creates cross-ownership, de-risking and accelerating synergy capture.

Question 5: What will be the normalized unit costs for QB in 2027-2028? (Line breaks here)
Answer: No structural change to the asset. Previous guidance of $1.40 to $1.60 per pound remains valid, considering inflation impacts.

Question 6: Can you quantify the improvement in sand drainage rates? (Line breaks here)
Answer: Improvements are seen with new cyclone technology and operational changes, but it's too early to quantify the magnitude.

Question 7: What are the mill product rates for October? (Line breaks here)
Answer: Year-to-date availability was 87%, with 70% utilization due to TMF constraints. October saw strong availabilities.

Question 8: Has Teck engaged with Investment Canada on the transaction? (Line breaks here)
Answer: Ongoing and collaborative discussions with the Canadian government. The merger includes commitments like headquarters in Canada and $4.5 billion capital spending over five years.

Question 9: Is the merger compelling even if the JV doesn't happen? (Line breaks here)
Answer: Yes, the merger creates a top-five copper producer with significant synergies and value creation opportunities beyond the JV.

Question 10: How will the economic split of the JV be valued? (Line breaks here)
Answer: The commercial agreements are ahead, but cross-ownership creates a win-win situation for both assets.

[Sentiment Analysis]
Analysts showed interest in the merger's synergies and operational improvements. Management's tone was confident and optimistic about the merger and future performance.

[Quarterly Comparison]
| Metric | Q3 2025 | Q3 2024 | YoY Change |
|--------|---------|---------|------------|
| Adjusted EBITDA | $1.2 billion | $1.015 billion | +18% |
| Copper Segment Profit | $740 million | $601 million | +23% |
| Zinc Segment Profit | $454 million | $357 million | +27% |
| Liquidity | $9.5 billion | $8.5 billion | +12% |

[Risks and Concerns]
Potential delays in regulatory approvals for the merger. Operational constraints at QB due to TMF development. Inflation impacts on unit costs.

[Final Takeaway]
Teck Resources Limited's merger with Anglo American marks a significant strategic shift, creating a leading global copper producer. The merger is expected to unlock substantial synergies and enhance operational resilience. Management's revised guidance and operational improvements position the company well for future growth. Investors should monitor regulatory developments and operational progress at QB.