Press release: IEEFA statement on Teck Resources decision to withdraw Frontier Mine proposal

February 24, 2020 – Tom Sanzillo, Director of Finance for the Institute for Energy Economics and Financial Analysis (IEEFA), made the following statement today on Teck Resources’ decision to withdraw its proposal to build the Frontier oil sands mine in Alberta:

“Teck’s leadership has acknowledged that conditions have changed, and the $20 billion Frontier project is no longer a good investment. Market forces have confirmed what indigenous leaders and environmental advocates have been saying for years— that expenditures on the oil sands mine would have been a waste of public and private resources.”

Over the past five years, IEEFA has repeatedly warned that the project was not financially viable. A January 2020 analysis by Sanzillo and IEEFA financial analyst Kathy Hipple said the proposal was misguided and reckless because it was based on inflated oil price estimates of $95/barrel or better for years to come.

Contact:

Sandy Buchanan, [email protected], 216-688-3433

Tom Sanzillo, [email protected]

Kathy Hipple, [email protected]

IEEFA reports on the Teck Frontier mine:

Teck Resources’ Frontier Oil Sands Project Shows Reckless Disregard for Financials, January 2020

Significant Financial Risks Confront Teck’s Frontier Oil Sands Mine Project, August 2018

Teck Resources: Rough Road on Oil Sands Investments, April 2015