(Changes headline, adds comment from Teck spokesman, shares)TORONTO, May 18 (Reuters) - Canada's Teck Resources sees little risk of higher taxes in copper powerhouseChile due to a stability agreement that shields the company'smassive Quebrada Blanca Phase 2 copper project from higherlevies for 15 years, Chief Executive Don Lindsay said onTuesday.
Chile's lower house this month approved a bill that wouldsharply hike taxes on copper mining to pay for social programs. "We trust the Chilean institutions," Lindsay said at theBank of America Securities Global Metals, Mining & Steelconference on Tuesday,"The stability agreements were offered on a transparent anduniform basis under Chilean law and therefore they'retheoretically not negotiable," he added.Teck spokesman Chris Stannell said on Wednesday that Lindsaywas referring only to tax agreements related to Teck'soperations in Chile, rather than the wider sector.
Separately, Vancouver-based Teck has yet to decide whetherto restart a sales process for its 80% stake in the Zafranalcopper mine in Peru and could look for a partner to build it,Lindsay said.
A similar approach could work at its San Nicolas project inMexico, he said.
Teck and other miners have benefited from a surge in copperprices on the back of rising demand in China, which hasmade such assets more valuable, Lindsay said. "These projects are now more valuable today than they werebefore COVID," he said.Teck's Toronto-listed shares fell as much as 8% in Wednesdaytrading, as prices for the red metal edged lower on inflationworries and prospects for higher supply. (Reporting by Jeff LewisEditing by Chris Reese, Bill Berkrot and Cynthia Osterman)
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