Operator: Teck Resources Ltd.

Location: Region IV, Chile

Stream: 100% of Payable Gold until 900,000 ounces delivered, 50% thereafter

Term of Stream: Life of Mine

Andacollo is an open-pit copper mine and milling operation operated by Compañía Minera Teck Carmen de Andacollo, a 90% owned subsidiary of Teck Resources Ltd.; Empresa Nacional de Minería holds the remaining 10%. Gold is produced as a by-product of copper production. The mine is located in central Chile, Region IV in the Coquimbo Province, in the foothills of the Andes Mountains approximately 2 kilometers southwest of the town of Andacollo.

The Andacollo orebody is a porphyry copper deposit consisting of disseminated and fracture-controlled copper mineralization contained within a gently dipping sequence of andesitic to trachytic volcanic rocks and sub-volcanic intrusions. The mineralization is spatially related to a feldspar porphyry intrusion and a series of deeply rooted fault structures. A primary copper-gold sulfide hypogene deposit containing principally disseminated and quartz vein-hosted chalcopyrite mineralization lies beneath the supergene deposit.

Copper concentrate is produced by processing hypogene ore through semi-autogenous grinding and a flotation plant with the capacity to process up to 55,000 tonnes of ore per day depending on ore hardness. Some supergene ore is also mined, which is transported to heap leach pads. Copper-bearing solutions are processed in a solvent extraction and electrowinning (SX-EW) plant to produce grade A copper cathode. The Andacollo mine has been in operation since 1996.