Teck Resources Ltd (TSX:TECK.B) said on Thursday it has completed its previously announced agreement to sell minority interests in its steelmaking coal business to Japan's Nippon Steel Corp and South Korean steelmaker Posco.
Nippon Steel purchased a 20% stake in Teck's coal business, known as Elk Valley Resources (EVR), in exchange for its prior 2.5% interest in Teck's Elkview coal operations plus US$1.7 billion in cash.
Posco, meanwhile, exchanged its interest in two of Teck's coal operations for a 3% stake in EVR.
In November, Glencore agreed to pay US$6.9 billion for a 77% stake in Teck's coal business.
The deal, which is expected to close in the third quarter of 2024, would eliminate Teck's exposure to coal, freeing the miner to focus on expanding its copper and zinc production.
Class B shares of Teck Resources slipped 1% to C$53.69 in early Thursday trading but have gained 10% over the past year.