Freeport-McMoRan Inc.

What they do

FCX mines copper, gold and molybdenum from geographically diverse assets. Its portfolio includes the Grasberg minerals district in Indonesia, the Morenci minerals district in Arizona, and the Cerro Verde operation in Peru. The company operates in North America, South America and Indonesia, with downstream processing facilities in Indonesia.

Revenue drivers

• North America copper mines — Includes the large-scale Morenci operation in Arizona; operating income from U.S. copper mines more than doubled in the first six months of 2026 versus the first six months of 2025, primarily on higher realized copper and molybdenum prices.
• South America mines — Includes the Cerro Verde operation in Peru; FCX increased its ownership interest in Cerro Verde from 55.08% to 55.66% in May 2026 by purchasing 2.0 million shares for $107 million.
• Grasberg (Indonesia) — One of the world's largest copper and gold deposits, operated by PT Freeport Indonesia; the Grasberg Block Cave underground mine is in a phased ramp-up following the September 2025 external mud rush incident, and lower operating income from Indonesia was offset by U.S. strength.
• Molybdenum — Produced alongside copper and gold; higher molybdenum prices contributed to the increase in U.S. copper mine operating income in the first six months of 2026.

Recent performance

Second-quarter 2026 net income attributable to common stock was $984 million, or $0.68 per share; adjusted net income was $1.1 billion, or $0.74 per share. Consolidated production was 786 million pounds of copper, 192 thousand ounces of gold and 23 million pounds of molybdenum. Consolidated sales were 710 million pounds of copper, 123 thousand ounces of gold and 25 million pounds of molybdenum. Average realized prices were $6.17 per pound for copper, $4,520 per ounce for gold and $28.75 per pound for molybdenum. Operating cash flow was $2.0 billion in the quarter, net of $0.6 billion of working capital and other uses; capital expenditures were $1.1 billion, including $0.7 billion for major mining projects.

Strategy

FCX aims to be foremost in copper, advancing organic growth projects including innovative leach and technology initiatives in the U.S. and South America, targeting an annual run rate of 300 million pounds of copper from leaching by the end of 2026. The company is finalizing cost estimates for an opportunity to more than double concentrator capacity at Bagdad in Arizona and has advanced studies for a potential investment decision in the second half of 2026. It is also evaluating a potential major expansion at El Abra in Chile. In Indonesia, PTFI is focused on a safe and sustainable ramp-up of the Grasberg Block Cave mine. The company repurchased 3.4 million shares for $203 million in the first six months of 2026 and had $2.8 billion available under its $5.0 billion share repurchase program as of July 31, 2026.

Risks

• Commodity price volatility — Financial results vary primarily with copper, gold and molybdenum market prices, which have historically fluctuated.
• Grasberg ramp-up risk — PTFI is conducting a phased ramp-up of the Grasberg Block Cave underground mine following the September 2025 external mud rush incident, and lower operating income from Indonesia partially offset U.S. strength in the first half of 2026.
• Geographic concentration in Indonesia — The Grasberg minerals district is in Indonesia, exposing operations to local regulatory, political and operational conditions.
• Capital project execution — FCX is advancing large potential expansions at Bagdad and El Abra, where cost estimates are being finalized and investment decisions are pending.

Outlook

Management expects consolidated sales to approximate 3.1 billion pounds of copper, 650 thousand ounces of gold and 93 million pounds of molybdenum for 2026, including 750 million pounds of copper, 160 thousand ounces of gold and 22 million pounds of molybdenum in third-quarter 2026. Average unit net cash costs are expected to average $1.90 per pound of copper for 2026. Assuming prices of $6.00 per pound for copper, $4,000 per ounce for gold and $30.00 per pound for molybdenum in the second half of 2026, operating cash flows are expected to approximate $8.3 billion for the year. Capital expenditures are expected to approximate $4.3 billion, including $3.0 billion for major mining projects, for 2026.