Slide 1: FCX Sustainability Overview
FCX Sustainability Overview September 2024 fcx.com All Operating Sites
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains forward-looking statements. Forward-looking statements are all statements other than statements of historical facts, such as plans, projections, expectations, targets, objectives, strategies or goals relating to environmental, social, safety and govern
Slide 3: Table of Contents
Table of Contents FCX Sustainability Overview 4 Empowered People & Resilient Communities 10 Thriving Environments 16 Robust Governance 26 Appendix 33 THE VALUE OF COPPER | 3
Slide 4: Freeport: Foremost in Copper
Freeport: Foremost in Copper ▸ High Quality Assets ▸ Control & Operate All Major Assets ▸ Experienced Leadership ▸ Demonstrated Operational & ESG Track Record ▸ ~25 Year Implied Reserve Life for North America South America Indonesia Copper1 (AZ, NM, CO) (Peru, Chile) (Central Papua) Employees: 12,90
Slide 5: Copper – Metal of Electrification
Copper – Metal of Electrification Over 65% of the world’s copper is used in applications that deliver electricity* INFRASTRUCTURE TECHNOLOGY DECARBONIZATION TRANSPORTATION • Backbone of construction • Demand expected to • Critical to energy efficiency • Essential material and urbanization benefit fr
Slide 6: FCX is a Leading Responsible Copper Producer
FCX is a Leading Responsible Copper Producer We are Accelerating the Future, Responsibly FCX’s Sustainability Strategy FCX is a leading responsible copper producer — supplying ~9% of the world’s mined copper. As global decarbonization accelerates, demand for copper is expected to increase. FCX is co
Slide 7: Sustainability Strategy Aligned with International Best Practices
Sustainability Strategy Aligned with International Best Practices Voluntary Memberships & Commitments: Sustainability Reporting Frameworks: Note: All FCX sites have been awarded the Copper Mark and/or Molybdenum Mark. See slide 9 for more information. THE VALUE OF COPPER | 7
Slide 8: 2023 Sustainability Highlights
2023 Sustainability Highlights Climate 12 sites $187 Strategy Global Tailings Standard 89% maintained the Copper Mark and/or million progressing transition to progressed implementation water use efficiency achieved invested in our natural gas at Grasberg; Molybdenum Mark at applicable tailings stora
Slide 9: The Copper Mark
The Copper Mark Recognition for Responsible Production • FCX has achieved, and is committed to maintaining, the Copper Mark and/or Molybdenum Mark at all of its sites globally AWARDED SITES Atlantic Copper smelter Henderson mine (CO) • The Copper Mark is an assurance framework developed & refinery (
Slide 10: Empowered People & Resilient Communities
Empowered People & Resilient Communities
Slide 11: Health & Safety
Health & Safety Safety is a core company value and is foundational to our work • Our “Safe Production Matters” strategy is focused on fatality prevention and eliminating high-risk incidents STRATEGIC PILLARS • Our robust root cause analysis program aims to identify, implement and verify corrective a
Slide 12: Workforce
Workforce Global Workforce (as of December 31, 2023) • FCX believes our people are the foundation of our success and a competitive advantage • Focusing on attracting and retaining employees EMPLOYEES with the expertise required to achieve our strategic Approximately objectives despite continued tigh
Slide 13: Inclusion & Diversity
Inclusion & Diversity Committed to a culture that is inclusive and representative of the communities where we operate Global Employees (as of December 31, 2023; excludes contractors) 50% Racially or 97% Indonesian 15% 23% 99% Local-Country Nationals 14.8% Women Ethnically Diverse Nationals Under 30
Slide 14: Communities & Indigenous Peoples
Communities & Indigenous Peoples Community resilience focus areas seek to support our overarching effort to support long-term resilience across our three pillars: COMMUNITY-LEVEL EDUCATION & ECONOMIC LEADERSHIP & SKILL-BUILDING OPPORTUNITY CAPACITY BUILDING Women’s empowerment is a theme across all
Slide 15: Indigenous Peoples & Cultural Heritage
Indigenous Peoples & Cultural Heritage • Dedicated to the continued strengthening of our relationships with Indigenous Peoples across all of our sites • We have formal interactions with Indigenous Peoples in Central Papua, Indonesia; Native Americans in the United States; and the traditional communi
Slide 16: Thriving Environments
Thriving Environments
Slide 17: Environmental Stewardship
Environmental Stewardship FCX spent approximately $500 million on our environmental programs in 2023 • Committed to sound environmental practices at our operations and seek continuous improvement • All operations’ Environmental Management Systems certified to ISO 14001 • Environmental focus areas in
Slide 18: Climate Strategy – Recent Progress
Climate Strategy – Recent Progress Climate Strategy Pillars: Recent Climate Progress 1 REDUCTION Reduce GHG emissions • Advancing plans to replace PT-FI Grasberg’s including achieving our existing coal fired power plant with a new 265MW natural gas-fired combined cycle plant 2030 GHG reduction targe
Slide 19: Climate Performance Update
Climate Performance Update Our 2023 absolute GHG emissions (Scope 1 & 2) were ~5% lower than 2018 baseline year levels 5-Year Global Absolute GHG Emissions 2023 Global GHG Emissions (Scope 1 & 21) Scope 1 Scope 2 2023 2023 GHG 2023 GHG PURCHASED EMISSIONS BY EMISSIONS BY POWER BY BUSINESS TYPE2 (%)
Slide 20: Long-Term Decarbonization Plan
Long-Term Decarbonization Plan FCX aspires to participate in – and positively contribute to – a 2050 net zero economy ILLUSTRATIVE NET ZERO PATHWAY1 2023 2030 2050 Decarbonization Levers 1 Decarbonizing Electricity Supply 2 Equipment Electrification 3 Energy & Asset Efficiency 4 Process Innovation 2
Slide 21: Water Stewardship
Water Stewardship FCX GLOBAL WATER MANAGEMENT GOALS: Optimize: water use We utilized 1 efficiency in our processes 5X MORE 89% Minimize: use of new freshwater at our recycled water water use 2 operations by transitioning to renewable, than new water efficiency recycled and/or lower-quality water sou
Slide 22: Nature
Nature As a global metals company, we depend upon nature and its naturally occurring resources ICMM Nature Position Statement Focus Areas • FCX is currently developing a global DIRECT nature strategy 1 OPERATIONS • Contributed to the development of and adopted the new ICMM Nature Position Statement,
Slide 23: Biodiversity
Biodiversity • FCX aims to avoid or minimize the adverse impacts of our operations on biodiversity • Explicit commitment not to explore or mine at any UNESCO World Heritage sites • FCX maintains extensive biodiversity conservation programs globally • Committed to applying the mitigation hierarchy to
Slide 24: Tailings Management
Tailings Management Safety is at the foundation of our tailings management approach • Twenty-year evolution of FCX’s tailings management system In 2023, FCX established a dedicated Tailings is underpinned by expert, third-party reviews and multi-tiered Innovation Group with a focus on evaluating ove
Slide 25: PT-FI Controlled Riverine Tailings
PT-FI Controlled Riverine Tailings Best site-specific management alternative with lowest risk to people and the environment • PT-FI’s controlled system was selected after extensive evaluations by international experts given the extreme terrain and site-specific conditions of the operating area • A l
Slide 26: Robust Governance
Robust Governance
Slide 27: Human Rights
Human Rights We are committed to respecting the rights of all people • Committed to the International Bill of Human Rights and to implementing We are an enabling partner for the United Nations Guiding Principles on Business and Human Rights and participating in the Voluntary Principles on Security a
Slide 28: Responsible Value Chains
Responsible Value Chains Dedicated to delivering responsibly produced copper to markets around the world • Responsible value chain program focuses across three key areas: STRATEGY 1. Responsible Sourcing for Goods (including & BUSINESS PARTNER CODE Minerals & Metals) and Services OF CONDUCT 2. Produ
Slide 29: Sustainability Governance
Sustainability Governance Strong governance is foundational to our sustainability strategy • Active oversight from FCX’s Board of Directors and dedicated Board-level Corporate Responsibility Committee • Sustainability embedded in values and business strategy and cascades to leadership at the sites •
Slide 30: Board of Directors
Board of Directors Exceptional and highly engaged Board focused on FCX’s continued success FCX is proud to be named to Fortune’s Modern Board 25 for 2023, a list that recognizes the 25 most innovative corporate boards among RICHARD ADKERSON DUSTAN MCCOY Chairman of the Board Lead Independent Directo
Slide 31: Board of Directors
Board of Directors Strong balance of tenure, diversity, skills and experience to support effective oversight and long-term value creation Diverse Experience, Board Composition Qualifications & Skills Out of 12 Board Members 17% 67% Out of 12 Board Members Over 11 0-5 Years Years 17% 6-11 Independent
Slide 32: Effective Independent Board Oversight
Effective Independent Board Oversight Current Board leadership structure is in the best interest of FCX and its shareholders at this time Balance between strong company leadership and appropriate safeguards and oversight by independent directors RICHARD C. ADKERSON DUSTAN E. MCCOY Chairman of the Bo
Slide 33: Appendix
Appendix
Slide 34: Executive & Senior Leadership
Executive & Senior Leadership Broad and experienced management expertise Executive Officers RICHARD ADKERSON KATHLEEN QUIRK DOUGLAS CURRAULT STEPHEN HIGGINS MAREE ROBERTSON Chairman of the Board President and Executive Vice President Executive Vice President and Executive Vice President and Chief Ex
Slide 35: International Council on Mining & Metals (ICMM)
International Council on Mining & Metals (ICMM) FCX is a founding member of ICMM • International organization dedicated to a safe, fair and sustainable mining and metals industry • Membership includes 24 companies ICMM aims to continuously set the standard and strengthen ESG performance • Maintains
Slide 36: FCX's Values
FCX’s Values Our culture is the bedrock of our sustainability strategy, aligning our core company values to our work • Safety We put safety first — for ourselves, our co-workers and our communities — by Our core values direct the actively promoting safe practices and health and wellness. No job is s
Slide 37: Corporate Governance Highlights
Corporate Governance Highlights Strong Board oversight and governance practices Board Structure and Governance Stockholder Rights and Engagement • Active Board committee oversight of risk • Stockholder proxy access • Lead Independent Director of the Board with defined • Majority voting for directors
Slide 38: Executive Compensation
Executive Compensation Shareholder-informed program drives pay-for-performance alignment Element 2023 Components • Fixed cash compensation Base Salary • Set at competitive levels and used to attract and retain talent 10% Sustainability • Annual variable cash compensation based on pre-established per
Slide 39: Executive Compensation
Executive Compensation Performance-based program links executive pay, company performance and results for stockholders 2023 CEO Target Compensation Mix Executive Compensation Philosophy: 18% RSUs Pay for performance by linking a significant • Vest ratably over a three- year period following date of
Slide 40: Downstream Business
Downstream Business Fort Madison, Iowa Stowmarket, United Kingdom Molybdenum Processing Molybdenum Processing Rotterdam, The Netherlands Molybdenum Processing Miami, Arizona Copper Rod Plant and Smelter Huelva, Spain Atlantic Copper Smelter El Paso, Texas Copper Refinery Gresik, Indonesia PT Smeltin
Slide 41: Additional Sustainability Resources
Additional Sustainability Resources Visit FCX.com/sustainability for additional resources. 2023 Annual Report 2022 Climate Report 2024 Proxy Statement on Sustainability THE VALUE OF COPPER | 41
Slide 42: FCX.COM
“ FCX.COM