Teck Takes a Cautious Approach to Resuming Giant Copper Project

(Bloomberg) -- At least one major copper project stalled by the pandemic is getting back to work, albeit slowly.

Teck Resources Ltd. is gradually ramping up activity at Quebrada Blanca Phase 2 in Chile after suspending work along with other big projects owned by companies including Codelco and Antofagasta Plc to contain the virus.

Work on QB2, as the almost $5 billion project is known, will steadily increase from about 4,000 people on site by the end of July to 8,000 by end-October subject to conditions, the company said Thursday. The field workforce was reduced to fewer than 500 people in March, impacting about 15,000 workers.

The project’s suspension is expected to cost $260 million to $290 million and a setback of five to six months to its schedule, the company said. Teck will also be adding additional camp space to ensure necessary social distancing.

The project, which Teck said was 29% complete in April, was scheduled to begin production in 2022. It would double Teck’s copper production and reduce its dependence on coal.

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