Grasberg Mining And Milling Operations Restart

PHOENIX, AZ - Freeport-McMoRan Copper & Gold Inc. reported that PT Freeport Indonesia (PT-FI) has commenced restart operations at its Grasberg mining and milling operations following a temporary shutdown in February. Recent discussions between PT-FI management, union leaders, members of the workforce and the local community have focused on returning to work in a harmonious and productive fashion. Mobilization of the workforce commenced and mining and milling activities are being ramped up. Full production is expected to be reached in the second quarter of 2012.

FCX estimates the impact from the recent work stoppage and work interruptions experienced earlier in the quarter will reduce first quarter 2012 production and sales by approximately 80 million pounds of copper and 125,000 ounces of gold. FCX's January 2012 estimates on a consolidated basis for first quarter sales volumes were 875 million pounds of copper and 425,000 ounces of gold, including 210 million pounds and 400,000 ounces from PT-FI. FCX is revising its consolidated first quarter sales volumes to 795 million pounds of copper and 300,000 ounces of gold to reflect the production disruptions at Grasberg. The achievement of first quarter sales volumes is dependent on a number of factors, including ramp-up activities at Grasberg.

FCX is reviewing its annual plans and will be updating its annual sales estimates in connection with the reporting of its first quarter results.