FCX Has Strong Operating Performance

PHOENIX, AZ - Freeport-McMoRan Inc. (FCX) reported net income attributable to common stock of $482 million for second-quarter 2014, compared with $482 million for second-quarter 2013 and $992 million for the first six months of 2014, compared with $1.1 billion for the first six months of 2013. FCX's net income attributable to common stock for second-quarter 2014 included charges of $130 million comprised of $68 million for environmental obligations and related litigation charges, $58 million for deferred taxes recorded in connection with the allocation of goodwill to the sale of Eagle Ford and $4 million for net noncash mark-to-market losses on oil and gas derivative contracts. Second-quarter 2013 net income attributable to common stock included net gains of $242 million related to the oil and gas acquisitions, partly offset by net noncash mark-to-market losses on oil and gas derivative contracts.

James R. Moffett, Chairman of the Board; Richard C. Adkerson, Vice Chairman, and FCX President and Chief Executive Officer; and James C. Flores, Vice Chairman, and FM O&G President and Chief Executive Officer, said, "Our second-quarter results reflect continued strong operating performance in our North America, South America and Africa mining operations and from our oil and gas operations, partly offset by the effects of reduced output from Indonesia. We are encouraged by our discussions with the Indonesian government toward reaching a near-term agreement to enable resumption of PT Freeport Indonesia's copper concentrate exports. During the quarter, we completed a $3.1 billion sale of our Eagle Ford shale assets and acquired additional interests in our Deepwater Gulf of Mexico focus area. We also commenced copper production from our expanded Morenci operation and achieved important progress in our mining and oil and gas development projects to provide future growth in production, cash flows and attractive investment returns.