Freeport-McMoRan (FCX) 34th Annual BMO Global Metals, Mining & Critical Minerals Conference summary

Strategic positioning and financial outlook

• Maintains a strong balance sheet and global copper assets, with a focus on organic growth opportunities and innovative leach initiatives for low-cost, incremental copper production.

• U.S. operations are fully integrated, minimizing exposure to copper import tariffs and benefiting from a premium in U.S.-priced copper, potentially boosting annual earnings by up to $400 million.

• Closely monitors macroeconomic risks such as trade wars and inflation, but current market conditions are favorable for U.S. copper sales.

Indonesia operations and smelter update

• Grasberg operations are running at lower utilization due to scheduled remedial work, with full capacity expected to return by end of Q1.

• Indonesian government recognized the smelter fire as force majeure, paving the way for export license extension and continued concentrate exports during repairs.

• Smelter repairs are progressing well, with full restart targeted by end of Q2 and full rates by year-end; insurance expected to cover $100 million in repair costs.

• Gold production at Grasberg provides significant cash flow, with gold prices offsetting copper production costs, resulting in negative net cash costs.

Technology, innovation, and cost management

• Aggressively scaling innovative leach technology, targeting 300 million lbs run rate by year-end and 400 million lbs in 2026, with a long-term goal of 800 million lbs per annum.

• Leach initiative leverages 40 billion lbs of existing copper stockpiles, using advanced analytics, targeted drilling, and new field additives to unlock value.

• Cost reduction in North America driven by asset health improvements, labor retention, and automation, including the first fully autonomous U.S. mine trucks.

• Technology and automation expected to lower costs and increase production without significant capital outlay over the next three years.