Skip to main content

The Globe and Mail

Teck Resources hikes dividend 12.5 per cent

A truck hauls a load at Teck Resources Coal Mountain operation near Sparwood, B.C. in a handout photo.

The Canadian Press

Teck Resources Ltd. said on Wednesday it raised its dividend payout to shareholders, giving back some of the $4-billion-plus in cash it has amassed amid years of prudent spending.

The Vancouver-based diversified miner said it would pay an eligible dividend of $0.45 per share on its outstanding class A common shares and class B subordinate voting shares on Jan. 2, a 12.5-per-cent increase from the previous dividend.

The move reflects a growing trend among global miners to give more back to shareholders and keep them loyal as many investors shy from an industry better known in recent years for a single-minded focus on growth at any cost.

Story continues below advertisement

Teck, Canada's largest diversified miner, announced just last month that it would defer some $1.5-billion in capital spending over the next year or so, making it the latest in a string of Canadian resource companies to rewrite spending plans in response to rising costs and an unpredictable outlook for the global economy.

That move raised the question among many about what the company planned to do with a cash position of $4.2-billion and growing, and there has been some speculation the company might turn to acquisitions.

Teck executives said in presenting third quarter results last month that they would eventually need cash when deferred projects resume.

Teck paid a $0.40 per share dividend in July.

Report an error Licensing Options
About the Author
Mining Reporter

Pav Jordan is a mining reporter for the Report on Business. More

Comments

The Globe invites you to share your views. Please stay on topic and be respectful to everyone. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

We’ve made some technical updates to our commenting software. If you are experiencing any issues posting comments, simply log out and log back in.

Discussion loading… ✨

Combined Shape Created with Sketch.

Combined Shape Created with Sketch.

Thank you!

You are now subscribed to the newsletter at

You can unsubscribe from this newsletter or Globe promotions at any time by clicking the link at the bottom of the newsletter, or by emailing us at privacy@globeandmail.com.