Anglo American said its merger with Teck remains on track pending Chinese approval, while maintaining copper guidance and warning that diamonds and steelmaking coal are expected to post negative first-half underlying earnings.
Teck Resources Limited previously reported strong second-quarter 2026 earnings and cash flow, helped by higher copper production, stronger commodity prices and increased by-product revenue. Adjusted EBITDA reached $2.2 billion, up $1.5 billion or 204% from a year earlier, while profit before taxes was $1.5 billion. Adjusted profit attributable to shareholders rose to $948 million, or $1.93 per share, from $187 million, or $0.38 per share, and profit attributable to shareholders was $854 million, or $1.74 per share. Cash flow from operations was $1.7 billion, lifting Teck’s net cash position by $756 million in the quarter, with liquidity at June 30, 2026 totaling $10.3 billion, including $6.1 billion of cash. Copper production increased 25% to 135,900 tonnes, with Quebrada Blanca delivering a third straight quarter of stable operating performance. Anglo American now says its proposed merger with Teck remains on track, with Chinese approval the final regulatory hurdle. Anglo maintained full-year copper production guidance of 700,000 to 760,000 metric tons after first-half output of 343,600 tons, compared with 342,200 tons a year earlier, and lowered its 2026 copper cost guidance. It also said weak diamond demand and lower prices continued to weigh on the market despite an 88% rise in second-quarter diamond output, and that its diamonds and steelmaking coal businesses are expected to post negative underlying earnings in the first half. As part of its portfolio reshaping, Anglo selected a preferred consortium led by former De Beers Chief Executive Gareth Penny to acquire De Beers, while Botswana, which owns 15% of the business, is considering whether to exercise a right of first refusal to buy the stake itself or through a third party.