Freeport-McMoRan quarterly profit beats estimates on higher production

According to foreign news on October 19, copper miner Freeport-McMoRan reported a third-quarter profit that exceeded expectations and slightly raised its full-year copper sales outlook as the company began shipping from Indonesia.

Copper prices rose about 8.6% in the second quarter from a year earlier as China's economic stimulus package fueled hopes of increased industrial activity.

Freeport has obtained a license to transport copper concentrate from its Indonesian operations, valid until May 2024.

The company said it paid $147 million in export duties in Indonesia and was in discussions with the Indonesian government over tax issues.

The company said average cash costs per pound of copper were $1.73 in the second quarter, about 18% higher than the previous quarter, and it expects average cash costs per pound of copper to reach $1.63 in 2023 due to higher export tariffs.

Freeport raised its forecast for copper sales in 2023 to 4.06 billion pounds from the previous forecast of 4 billion pounds. The mining giant said its quarterly copper production rose to 1.09 billion pounds from 1.06 billion pounds a year earlier.