Business
Freeport-McMoRan Commences Commissioning of New Indonesian Smelter and Provides Update on Second-Quarter 2024 Copper and Gold Sales
PHOENIX / Jul 02, 2024 / Business Wire / Freeport (NYSE: FCX) announced today that its Indonesian subsidiary, PT Freeport Indonesia (PT-FI), substantially
About this update from Freeport-mcmoran, Inc.
[{"type":"text","content":"PHOENIX / Jul 02, 2024 / Business Wire / Freeport (NYSE: FCX) announced today that its Indonesian subsidiary, PT Freeport Indonesia (PT-FI), substantially completed construction of its new Manyar smelter in Gresik, Indonesia in June 2024 and has commenced commissioning operations. FCX expects the smelter will begin producing copper cathodes in the coming months and continues to target full ramp up by the end of 2024 in line with previous expectations. Richard C. Adkerson, Chairman of the Board, and Kathleen L. Quirk, President and Chief Executive Officer, said: “We are pleased to announce this important milestone for our new smelter in Indonesia. Our team executed this large and complex project extremely well and is prepared to deliver the ramp-up to full production safely and efficiently. The completion of the project positions PT-FI as a fully integrated producer in Indonesia, providing a foundation to extend its long-term operating rights.” FCX also announced that on July 2, 2024, PT-FI received approval from the Indonesian government to export copper concentrates and anode slimes through December 2024 when the full ramp-up of the new processing facilities is expected. PT-FI will continue to pay export duties on copper concentrates during the smelter ramp-up period pursuant to Indonesian regulations. PT-FI’s prior concentrate and anode slime export licenses expired on May 31, 2024, and PT-FI did not export copper concentrates or anode slimes during June 2024. As a result of the delay in obtaining PT-FI’s export license, FCX expects a portion of its second-quarter 2024 production will be shipped in future periods. FCX currently expects its consolidated sales for second-quarter 2024 to be approximately 5% below April 2024 guidance of 975 million pounds of copper and approximately 30% below April 2024 guidance of 500 thousand ounces of gold. Consolidated unit net cash costs for second-quarter 2024, which were previously estimated at $1.57 per pound of copper, are currently estimated to approximate $1.77 per pound for the quarter, principally reflecting lower by-product credits as a result of the delay in shipments. FCX’s consolidated average copper realization for the second quarter is expected to approximate $4.45 per pound. FCX is reviewing its sales guidance in connection with its routine quarterly forecast updates and does n...