Freeport-mcmoran, Inc. · NYSE:FCX
Freeport-mcmoran — Q1 2025 Earnings Presentation
33 slides from Freeport-mcmoran's earnings presentation, Apr 24, 2025
Slide 1: FCX Conference Call 1st Quarter 2025 Results
FCX Conference Call 1st Quarter 2025 Results April 24, 2025 fcx.com
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains forward-looking statements in which FCX discusses its potential future performance, operations and projects. Forward-looking statements are all statements other than statements of historical facts, such as plans, projections or expectations relating to
Slide 3: 1Q25 Highlights
1Q25 Highlights • Production in line with expectations o Copper sales volumes exceeded January 2025 guidance o Gold sales volumes impacted by timing of shipments • Annual guidance for copper and gold sales volumes remains in line with January 2025 guidance • Sales volumes and unit net cash costs exp
Slide 4: 2025 Focus Areas
2025 Focus Areas Execute Our Add Scale Deliver on Capture Value Enhance Operating in Leach New PTFI Through Optionality for Plans Initiative Smelter Innovation Future Growth Improve efficiencies, Target run rate of Achieve objective of Technology initiatives Bagdad, El Abra and reduce costs and 300
Slide 5: Copper – Metal of Electrification
Copper – Metal of Electrification Over 65% of the world’s copper is used in applications that deliver electricity* Short-term considerations Metal of the Future Infrastructure • Tariff and trade uncertainty affecting near-term macro sentiment • Backbone of construction and urbanization • Possesses b
Slide 6: U.S. Copper Pricing
U.S. Copper Pricing LME and COMEX Copper Price Averages $4.84 Section 232 Investigation on Copper $4.57 $4.60 • In February 2025, the White House issued an executive order citing copper as a critical material $4.24 $4.27 $4.15 $4.22 $4.14 • U.S. Secretary of Commerce to investigate effects of copper
Slide 7: Freeport – America's Copper Champion
Freeport ̶ America’s Copper Champion • Strong U.S. franchise Fully integrated operations in Southwest U.S. Upstream copper mines with SX/EW facilities • Long-standing history in U.S. dating back to late 1800s Downstream smelting and refining facilities • Dominant U.S. copper producer o Operations ac
Slide 8: 1Q 2025 Operation Update
1Q 2025 Operation Update United States South America Cu Sales: 307 mm lbs Cu Sales: 275 mm lbs Unit Net Cash Costs: $3.11/lb Unit Net Cash Costs: $2.40/lb • Strong mill rates helped mitigate lower grades vs. 1Q24 • Ongoing focus on operating efficiencies and costs • Unit net cash cost below 1Q24 • V
Slide 9: Large Project Pipeline to Support Future Growth
Large Project Pipeline to Support Future Growth Copper projects estimated to total Kucing Liar development estimated 2.5 billion lbs per annum to total 0.5 million ozs per annum Copper Gold 30% 23% Indonesia Chile 100% Indonesia 47% U.S. 9
Slide 10: Annual Sales Profile
Annual Sales Profile April 2025 Estimate 5 Copper Gold 2 1.8 1.6 1.6 1.5 Sales 4.1 4.3 4.3 Sales 4.0 (million ozs) (billion lbs) 4 1 3 0 2024 2025e 2026e 2027e NOTE: Consolidated gold sales include 931k ozs in 2024, 820k ozs in 2025e, 820k ozs in 2026e and 769k ozs in 2027e for noncontrolling intere
Slide 11: EBITDA and Cash Flow at Various Copper Prices
EBITDA and Cash Flow at Various Copper Prices Assuming $3,000/oz gold, $20/lb molybdenum ($ in bns except copper, gold and molybdenum prices) Sensitivities Average ’26e/’27e (US$ in mms) EBITDA EBITDA $16 Copper +/-$0.10/lb $425 $12 COMEX Premium to LME +/-$0.10/lb $135 $8 Molybdenum +/-$1.00/lb $ 8
Slide 12: Consolidated Capital Expenditures
Consolidated Capital Expenditures Excluding Indonesia Downstream Projects CAPEX (1) ($ in bns) Projected Discretionary Spending by Project $4.4 $4.4 2025e 2026e $3.6 Discretionary Discretionary Discretionary $1.7 $1.6 Other 6% Atlantic 12% 4% Major $1.0 Copper Kucing Liar Projects (2) Planned CirCul
Slide 13: Financial Policy: Performance-Based Payout Framework
Financial Policy: Performance-Based Payout Framework ~50% free cash flow(1) for shareholder returns Maintaining Strong Providing Cash Returns Advancing Organic Balance Sheet to Shareholders Growth Opportunities • Strong credit metrics $5.0 bn Distributed Since 6/30/21 • Positioned for future growth
Slide 14: Freeport – Store of Value
Freeport – Store of Value Large Organic Leadership Significant Strong Global Scale Growth Position in Gold Leader with Producer Pipeline Critical Metal Producer Valuable U.S. Franchise 14
Slide 15: Reference Slides
PROGRESS Reference Slides FREEPORT FOREMOST IN COPPER 15
Slide 16: 2024 Annual Report – Powering Progress
2024 Annual Report – “Powering Progress” 2024 Annual Report “Powering Progress,” highlights copper’s increasingly important role in the global economy. As a leading global copper company, Freeport is strongly positioned to provide copper to a growing market. 2024 Sustainability Report Sustainability
Slide 17: Financial Highlights
Financial Highlights | Sales Data 1Q25 1Q24 Copper Consolidated Volumes, excluding purchases (mm lbs) 872 1,108 Average Realization (per lb) $ 4.44 $ 3.94 Site Production & Delivery Costs (per lb) $ 2.59 $ 2.32 Unit Net Cash Costs (per lb) $ 2.07 $ 1.51 Gold Consolidated Volumes (000’s ozs) 128 568
Slide 18: 1Q 2025 Mining Operating Summary
1Q 2025 Mining Operating Summary Sales From Mines for 1Q25 by Region United States South America (2) Indonesia (3) 493 564 307 331 275 284 290 (1) (1) 20 20 125 Cu Mo Au mm lbs mm lbs 000’s ozs 1Q25 1Q24 1Q25 1Q24 1Q25 1Q24 1Q25 1Q24 1Q25 1Q24 United South 1Q25 Unit Net Cash Costs (per lb of Cu) Sta
Slide 19: Strong Balance Sheet and Liquidity
Strong Balance Sheet and Liquidity Attractive Debt Maturity Profile (US$ bns) $8 Total Debt & Cash at 3/31/25 Significant liquidity PTFI Revolver $ 0.3 ▪ $4.6 bn in consolidated cash and cash equiv.(1) FCX/FMC Senior Notes/Other 6.1 PTFI Senior Notes 3.0 ▪ $3.0 bn in availability under FCX credit fa
Slide 20: 2025e Outlook
2025e Outlook | Sales Outlook | Unit Net Cash Cost of Copper | Operating Cash Flows (1,3) | Capital Expenditures • Copper: 4.0 billion lbs • Site prod. & delivery • ~$7 billion @ $4.15/lb • $4.4 billion (excluding o 2025e: $2.61/lb copper for 2Q25e – 4Q25e downstream projects) • Gold: 1.6 million oz
Slide 21: 2025e Operational Data
2025e Operational Data 2025e Sales by Region United States South America Indonesia(2) 1,580 1,327 1,090 (3) 1.6 88 (1) Cu Mo Cu Cu Au mm lbs mm lbs mm lbs mm lbs mm ozs 2025e Unit Net Cash Costs / (Credits) (4) United South States America Indonesia Consolidated Site Production & Delivery (5) (per lb
Slide 22: 2025e Quarterly Sales
2025e Quarterly Sales Copper 1200 1,095 Gold 600 500 475 500 Sales 1,005 1,025 Sales 450 (billion lbs) 1000 (million ozs) 300 872 128 150 800 0 1Q25 2Q25e 3Q25e 4Q25e 600 NOTE: Consolidated gold sales include 64k ozs in 1Q25, 256k ozs in 2Q25e, 244k ozs in 3Q25e and 256k ozs in 4Q25e for noncontroll
Slide 23: Grasberg Minerals District Mine Plan
Grasberg Minerals District Mine Plan Metal Production, 2024 – 2029e | Copper 2025e – 2029e Total: 8.4 billion lbs copper Annual Average: ~1.7 billion lbs | Gold 2025e – 2029e Total: 7.2 million ozs gold Annual Average: ~1.4 million ozs 1.9 1.8 1.8 1.8 1.7 1.6 1.6 1.6 1.5 1.5 1.4 1.1 Cu Au bn lbs mm
Slide 24: PTFI's IUPK Extension Update
PTFI’s IUPK Extension Update Plan View • Government issued regulation in 2Q24 to Potential beyond 2041 allow life-of-mine extension Mineral Resources • Conditions for IUPK holders include Potential/Exploration Targets o Ownership of integrated downstream facilities that have entered the operational
Slide 25: Project Pipeline Progress Report
Project Pipeline Progress Report New Leach Bagdad Lone Star El Abra Grasberg Technologies Expansion Expansions Expansion District Americas Arizona Arizona Chile Indonesia • Sustaining initial target • Targeting investment • Advancing pre-feasibility • Preparing EIS, targeting • Kucing Liar project i
Slide 26: Americas Leach Innovation Initiatives
Americas Leach Innovation Initiatives Low Cost, High Value | Targeting Copper in Stockpiles Unrecoverable by Traditional Leach Methods with Precision Operating Techniques Scaling the Opportunity Significant Potential Long-term Production Target (mm lbs) 39 bn lbs Contained * ~800 mm lbs/annum 800 So
Slide 27: Bagdad 2X Expansion Update
Bagdad 2X Expansion Update • Operation located in northwest Arizona • Reserve life exceeds 80 years • Converting existing manned haul truck fleet to 100% autonomous • Completed technical studies in late 2023 to double concentrator capacity – Expected to expand concentrator capacity by ~90 - 105k t/d
Slide 28: Autonomous Haulage at Bagdad
Autonomous Haulage at Bagdad • Bagdad expected to become first U.S. mine with a fully autonomous haulage system • Converting existing manned fleet to 100% autonomous – 12 of 33 trucks completed to date – CAPEX ~$80 mm – Target completion YE 2025 • Potential for efficiency gains / productivity improv
Slide 29: Combined Cycle Gas Turbine Power Plant at Grasberg
Combined Cycle Gas Turbine Power Plant at Grasberg Offshore • Completed feasibility study to replace existing coal plant at Grasberg with 265 MW LNG Carrier gas-fired combined cycle facility LNG transfer • ~$1 bn project (incremental ~$0.4 bn compared to previous plans to refurbish coal units); cost
Slide 30: Discretionary Capital Projects
Discretionary Capital Projects* Kucing Liar Bagdad 2X Expansion • Commenced 10-year mine development in 2022 • Sustain large-scale, low-cost Cu & Au production • Potential expansion to double concentrator capacity • Capital investment: ~$500 mm/yr average • Completed feasibility study in late 2023 (
Slide 31: The Copper Mark
The Copper Mark Recognition for Responsible Production • The Copper Mark is an assurance framework developed to demonstrate the copper industry’s responsible production AWARDED SITES practices Atlantic Copper smelter Henderson mine (CO) & refinery (Spain) • FCX has achieved, and is committed to main
Slide 32: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 12 mos ended ($ in mm) 1Q25 1Q24 3/31/25 Net income attributable to common stock $352 $473 $1,768 Interest expense, net 70 89 300 Income tax provision 500 512 2,511 Depreciation, depletion and amortization 466 595 2,112 Accretion and stock-based compensation 91 79 250
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