FREEPORT-MCMORAN INC - Quarter Report: 2025 March (Form 10-Q)

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Part I.FINANCIAL INFORMATION

Item 1.Financial Statements.

Freeport-McMoRan Inc.

CONSOLIDATED BALANCE SHEETS (Unaudited)


	March 31, 2025	December 31, 2024
	(In Millions)
ASSETS
Current assets:
Cash and cash equivalents	$	$
Restricted cash and cash equivalents
Trade accounts receivable
Value added and other tax receivables

Inventories:
Product
Materials and supplies, net
Mill and leach stockpiles

Other current assets

Total current assets
Property, plant, equipment and mine development costs, net


Long-term mill and leach stockpiles

Other assets

Total assets	$	$

LIABILITIES AND EQUITY
Current liabilities:
Accounts payable and accrued liabilities	$	$
Accrued income taxes
Current portion of debt
Current portion of environmental and asset retirement obligations
Dividends payable


Total current liabilities
Long-term debt, less current portion
Environmental and asset retirement obligations, less current portion
Deferred income taxes
Other liabilities

Total liabilities



Equity:
Stockholders’ equity:
Common stock
Capital in excess of par value
Retained earnings (accumulated deficit)		()
Accumulated other comprehensive loss	()	()
Common stock held in treasury	()	()
Total stockholders’ equity
Noncontrolling interests
Total equity
Total liabilities and equity	$	$

The accompanying notes are an integral part of these consolidated financial statements.

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Freeport-McMoRan Inc.

CONSOLIDATED STATEMENTS OF INCOME (Unaudited)


	2025	2024
	(In Millions, Except Per Share Amounts)
Revenues	$	$
Cost of sales:
Production and delivery
Depreciation, depletion and amortization


Total cost of sales
Selling, general and administrative expenses
Exploration and research expenses
Environmental obligations and shutdown costs

Total costs and expenses
Operating income
Interest expense, net	()	()


Other income, net
Income before income taxes and equity in affiliated companies’ net earnings
Provision for income taxes	()	()
Equity in affiliated companies’ net earnings


Net income

Net income attributable to noncontrolling interests	()	()


Net income attributable to common stockholders	$	$


Net income per share attributable to common stockholders:
Basic	$	$
Diluted	$	$




Weighted-average shares of common stock outstanding:
Basic
Diluted

Dividends declared per share of common stock	$	$

() )() $

The accompanying notes are an integral part of these consolidated financial statements.

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Freeport-McMoRan Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)


	Three Months Ended
	March 31,
	2025	2024
	(In Millions)
Cash flow from operating activities:
Net income	$	$
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, depletion and amortization




Net charges for environmental and asset retirement obligations, including accretion
Payments for environmental and asset retirement obligations	()	()
Stock-based compensation
Net charges for defined pension and postretirement plans
Pension plan contributions	()	()

Deferred income taxes









Charges for social investment programs at PT Freeport Indonesia
Payments for social investment programs at PT Freeport Indonesia	()	()

Other, net		()
Changes in working capital and other:
Accounts receivable	()	()
Inventories	()
Other current assets
Accounts payable and accrued liabilities		()
Accrued income taxes and timing of other tax payments
Net cash provided by operating activities

Cash flow from investing activities:
Capital expenditures:
United States copper mines	()	()
South America operations	()	()
Indonesia operations	()	()
Molybdenum mines	()	()

Other	()	()




Loans to PT Smelting for expansion		()

Other, net	()
Net cash used in investing activities	()	()

Cash flow from financing activities:
Proceeds from debt
Repayments of debt	()	()
Finance lease payments	()


Cash dividends and distributions paid:
Common stock	()	()
Noncontrolling interests		()
Treasury stock purchases	()

Proceeds from exercised stock options
Payments for withholding of employee taxes related to stock-based awards	()	()

Net cash provided by (used in) financing activities		()

Net increase in cash and cash equivalents and restricted cash and cash equivalents

Cash and cash equivalents and restricted cash and cash equivalents at beginning of year
Cash and cash equivalents and restricted cash and cash equivalents at end of period	$	$

The accompanying notes are an integral part of these consolidated financial statements.

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Freeport-McMoRan Inc.

CONSOLIDATED STATEMENTS OF EQUITY (Unaudited)

THREE MONTHS ENDED MARCH 31

Stockholders’ Equity

Common Stock

(Accum-ulated Deficit) Retained Earnings

Accum-
ulated
Other Compre-
hensive
Loss

Common Stock
Held in Treasury

Total
Stock-holders’ Equity

Number
of
Shares

At Par
Value

Capital in
Excess of
Par Value

Number
of
Shares

At
Cost

Non-
controlling
Interests

Total
Equity

(In Millions)

Balance at December 31, 2024

()

Exercised and issued stock-based awards

—

Stock-based compensation, including the tender of shares

—

()

—

Treasury stock purchases

—

()

—

()

Dividends

—

()

—

()

Net income attributable to common stockholders

—

Net income attributable to noncontrolling interests

—

Other comprehensive income

—

Balance at March 31, 2025

()

Stockholders’ Equity

Common Stock

Accum-ulated Deficit

Accum-
ulated
Other Compre-
hensive
Loss

Common Stock
Held in Treasury

Total
Stock-holders’ Equity

Number
of
Shares

At Par
Value

Capital in
Excess of
Par Value

Number
of
Shares

At
Cost

Non-
controlling
Interests

Total
Equity

(In Millions)

Balance at December 31, 2023

()

Exercised and issued stock-based awards

—

()

—

Stock-based compensation, including the tender of shares

—

()

Dividends

—

()

—

()

Net income attributable to common stockholders

—

Net income attributable to noncontrolling interests

—

Balance at March 31, 2024

()

The accompanying notes are an integral part of these consolidated financial statements.

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Freeport-McMoRan Inc.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

NOTE 1.

NOTE 2.

$ Net income attributable to noncontrolling interests()()Undistributed dividends and earnings allocated to participating securities()()Net income attributable to common stockholders$ $

Basic weighted-average shares of common stock outstanding

Add shares issuable upon exercise or vesting of dilutive stock options and restricted stock units

Diluted weighted-average shares of common stock outstanding

Net income per share attributable to common stockholders:Basic$ $ Diluted$ $

shares of common stock associated with outstanding stock options excluded in either of the periods shown above.

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NOTE 3.

$()International()()Total$()$()

FCX’s consolidated effective income tax rate is a function of the various rates in the jurisdictions where it operates and was % for first-quarter 2025 and % for first-quarter 2024. The first-quarter 2024 effective income tax rate reflects net benefits of $ million related to closure of PT Freeport Indonesia’s (PTFI) 2021 corporate income tax audit and resolution of the framework for Indonesia disputed tax matters.

NOTE 4.

$ Senior notes and debentures:Issued by FCX Issued by PTFI Issued by Freeport Minerals Corporation ) )()

a.Amounts recorded in revenues.

b.Amounts recorded in cost of sales as production and delivery costs.

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Derivatives not designated as hedging instruments:

Embedded derivatives in provisional sales/purchase contracts Copper forward contracts Total derivative assets$ $ Commodity Derivative Liabilities:

Derivatives designated as hedging instruments:

Copper futures and swap contracts$ $

Derivatives not designated as hedging instruments:

Embedded derivatives in provisional sales/purchase contracts Copper forward contracts Total derivative liabilities$ $

FCX’s commodity contracts have netting arrangements with counterparties with which the right of offset exists, and it is FCX’s policy to generally offset balances by contract on its balance sheet. FCX’s embedded derivatives on provisional sales/purchase contracts are netted with the corresponding outstanding receivable/payable balances.

$ $ $ Copper derivatives Less gross amounts of offset:Commodity contracts:Embedded derivatives in provisionalsales/purchase contracts Net amounts presented in balance sheet:Commodity contracts:Embedded derivatives in provisionalsales/purchase contracts Copper derivatives $ $ $ $ Balance sheet classification:Trade accounts receivable$ $ $ $ Other current assets Other assets Accounts payable and accrued liabilities Other liabilities $ $ $ $

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million.

Other Financial Instruments. Other financial instruments include cash and cash equivalents, restricted cash and cash equivalents, accounts receivable, investment securities, legally restricted trust assets, accounts payable and accrued liabilities, accrued income taxes, dividends payable and debt. The carrying value for these financial instruments classified as current assets or liabilities approximates fair value because of their short-term nature and generally negligible credit losses (refer to Note 6 for the fair values of investment securities, legally restricted funds and debt).

Cash and Cash Equivalents and Restricted Cash and Cash Equivalents.

Restricted cash and cash equivalents, currenta

Restricted cash and cash equivalents, long-term - included in other assets Total cash and cash equivalents and restricted cash and cash equivalents presented in the consolidated statements of cash flows$ $

a.Primarily includes (i) $ billion at March 31, 2025, and $ billion at December 31, 2024, of time deposits associated with % of PTFI’s export proceeds that was required to be temporarily deposited in Indonesia banks for 90 days in accordance with an Indonesia regulation, and (ii) $ billion at March 31, 2025, designated for future talc-related litigation in accordance with a legal settlement. Refer to Note 7 for further discussion of these matters.

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NOTE 6.

$ $ $ $ $ Equity securities Total

Legally restricted funds:a

U.S. core fixed income fund Government mortgage-backed securities Corporate bonds Government bonds and notes Money market funds Asset-backed securities Collateralized mortgage-backed securities Total

Derivatives:c

Embedded derivatives in provisional sales/purchase contracts in a gross asset position Copper futures and swap contracts Copper forward contracts Total Contingent consideration for the sale of oil and gas properties Liabilities

Derivatives:c

Embedded derivatives in provisional sales/purchase contracts in a gross liability position Copper futures and swap contracts Total

Debtd

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$ $ $ $ $ Equity securities Total

Legally restricted funds:a

U.S. core fixed income fund Government mortgage-backed securities Government bonds and notes Corporate bonds Money market funds Asset-backed securities Collateralized mortgage-backed securities Total

Derivatives:c

Embedded derivatives in provisional sales/purchase contracts in a gross asset position Copper forward contracts Total Contingent consideration for the sale of oil and gas properties Liabilities

Derivatives:c

Embedded derivatives in provisional sales/purchase contracts in a gross liability position Copper forward contracts Copper forward contracts Total

Debtd

a.Current portion included in other current assets and long-term portion included in other assets.

b.Excludes amounts included in restricted cash and cash equivalents and other assets (which approximated fair value), primarily amounts associated with (i) PTFI’s export proceeds ($ billion at March 31, 2025, and $ billion at December 31, 2024), and (ii) future talc-related litigation in accordance with a legal settlement ($ billion at March 31, 2025).

c.Refer to Note 5 for further discussion and balance sheet classifications.

d.Recorded at cost except for debt assumed in acquisitions, which are recorded at fair value at the respective acquisition dates.

Valuation Techniques. The U.S. core fixed income fund is valued at NAV. The fund strategy seeks total return consisting of income and capital appreciation primarily by investing in a broad range of investment-grade debt securities, including U.S. government obligations, corporate bonds, mortgage-backed securities, asset-backed securities and money market instruments. There are no restrictions on redemptions (which are usually within one business day of notice).

Equity securities are valued at the closing price reported on the active market on which the individual securities are traded and, as such, are classified within Level 1 of the fair value hierarchy.

Fixed income securities (government securities, corporate bonds, asset-backed securities and collateralized mortgage-backed securities) are valued using a bid-evaluation price or a mid-evaluation price. These evaluations are based on quoted prices, if available, or models that use observable inputs and, as such, are classified within Level 2 of the fair value hierarchy.

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NOTE 7.

million over to a proposed claimant trust.

In addition, in 2024, Cyprus Mines and Imerys entered into a settlement agreement with Johnson & Johnson (J&J), which became effective in February 2025. In accordance with the settlement agreement, (i) all indemnity claims against J&J were released, and Imerys and Cyprus Mines waived claims against insurers that could lead to the insurers asserting claims against J&J; and (ii) J&J agreed to pay $ million to Imerys and Cyprus Mines (shared 50/50 between the two parties). In accordance with the settlement, Cyprus Mines received cash of $ million in first-quarter 2025, with the remaining $ million to be received by December 31, 2025.

At March 31, 2025, FCX had a total litigation reserve of $ million associated with the global settlement, including $ million associated with the J&J settlement.

Indonesia Regulatory Matters

Refer to Notes 10, 11 and 12 of FCX’s 2024 Form 10-K for further discussion of Indonesia regulatory matters.

Concentrate Exports. On March 17, 2025, the Indonesia government granted PTFI a copper concentrate export license through September 16, 2025, for million metric tons of copper concentrate, and PTFI re-commenced exports of copper concentrate. Pursuant to current regulations, PTFI is required to pay a % export duty on copper concentrate exports during 2025.

Export Proceeds. In accordance with a regulation issued by the Indonesia government in 2023, % of PTFI’s gross export proceeds were required to be temporarily deposited into Indonesia banks for a period of 90 days before withdrawal. At March 31, 2025, FCX had $ billion in time deposits held in Indonesia banks associated with the regulation that are classified as current restricted cash and cash equivalents until the respective maturity dates.

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% of export proceeds to be deposited in Indonesia banks for 12 months. The regulation allows the use of funds for ongoing business requirements, including dividends to shareholders, payment of taxes and other obligations to the Indonesia government, payment for materials or capital expenditures that are not available domestically and repayment of loans. Because PTFI has the ability to utilize its exports proceeds to fund business requirements, amounts deposited after March 1, 2025, are not considered restricted and are classified as cash and cash equivalents.

Smelter Assurance. In March 2025, assurance bonds and funds required to be held in escrow to support commitment for smelter development, were released following approval from the Indonesia government that PTFI’s smelter development obligation had been met.

Administrative Fine. In March 2025, PTFI paid $ million for an administrative fine that was previously assessed by the Indonesia government for delays in smelter development. The fine was fully accrued at year-end 2024.

% and agreement with a state-owned enterprise for an additional % ownership; and commitments for additional exploration and increases in refining capacity, each as approved by the Ministry of Energy and Mineral Resources. Application for extension may be submitted at any time up to one year prior to the expiration of PTFI’s special mining business license (IUPK). PTFI expects to apply for an extension during 2025, pending agreement with PT Mineral Industri Indonesia (MIND ID) on a purchase and sale agreement for the transfer in 2041 of an additional % interest in PTFI.

NOTE 8.

primary divisions – U.S. copper mines, South America operations, Indonesia operations and Molybdenum mines, and operating segments that meet certain thresholds are reportable segments. Separately disclosed in the following tables are FCX’s reportable segments, which include the Morenci and Cerro Verde copper mines, the Indonesia operations (including the Grasberg minerals district and PTFI’s new downstream processing facilities), the Rod & Refining operations and Atlantic Copper Smelting & Refining.

FCX's Chief Executive Officer is identified as its chief operating decision maker (CODM) under business segment reporting guidance. Operating income (loss) is the financial measure of profit or loss used by the CODM to review segment results, and the significant segment expenses reviewed by the CODM are consistent with the operating expense line items presented in FCX’s consolidated statements of income. The CODM uses operating income (loss) to assess segment performance against forecasted results and to allocate resources, including capital investment in mining operations and potential expansions.

Intersegment sales between FCX’s business segments are based on terms similar to arms-length transactions with third parties at the time of the sale. Intersegment sales may not be reflective of the actual prices ultimately realized because of a variety of factors, including additional processing, the timing of sales to unaffiliated customers and transportation premiums.

FCX defers recognizing profits on intercompany sales to Atlantic Copper until final sales to third parties occur. Quarterly variations in ore grades, the timing of intercompany shipments and changes in product prices result in variability in FCX’s net deferred profits and quarterly earnings.

FCX allocates certain operating costs, expenses and capital expenditures to its operating divisions and individual operating segments. However, not all costs and expenses applicable to an operation are allocated. U.S. federal and state income taxes are recorded and managed at the corporate level (included in Corporate, Other & Eliminations), whereas foreign income taxes are recorded and managed at the applicable country level. In addition, some selling, general and administrative costs are not allocated to the operating divisions or individual operating segments. Accordingly, the following segment information reflects management determinations that may not be indicative of what the actual financial performance of each operating division or individual operating segment would be if it was an independent entity.

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$ Concentrate Rod and other refined copper products

Purchased coppera

Gold Molybdenum Silver and other Adjustments to revenues:

Royalty expenseb

()()

PTFI export dutiesc

()()Treatment charges()()Revenues from contracts with customers

Embedded derivativesd

Total consolidated revenues$ $ ) ) ) ) ) ) ) )

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Financial Information by Business Segment (continued)

million associated with maintenance turnaround costs at the Miami smelter.

c.Includes charges totaling $ million for assumed oil and gas abandonment obligations resulting from bankruptcies of other companies.

million associated with the closure of PTFI’s 2021 corporate income tax audit and resolution of the framework for Indonesia disputed tax matters. FCX's economic and ownership interest in PTFI is % except for net income associated with the settlement of these historical tax matters, which was attributed based on the economics prior to January 1, 2023 (i.e.% to FCX and % to MIND ID). Refer to Note 2 of FCX’s 2024 Form 10-K for further discussion.

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Stockholders of

Freeport-McMoRan Inc.

Results of Review of Interim Financial Statements

We have reviewed the accompanying consolidated balance sheet of Freeport-McMoRan Inc. (the Company) as of March 31, 2025, the related consolidated statements of income, comprehensive income, equity and cash flows for the three-month periods ended March 31, 2025 and 2024, and the related notes (collectively referred to as the “consolidated interim financial statements”). Based on our reviews, we are not aware of any material modifications that should be made to the consolidated interim financial statements for them to be in conformity with U.S. generally accepted accounting principles.

We have previously audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the consolidated balance sheet of the Company as of December 31, 2024, the related consolidated statements of income, comprehensive income, equity and cash flows for the year then ended, and the related notes (not presented herein); and in our report dated February 14, 2025, we expressed an unqualified audit opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated balance sheet as of December 31, 2024, is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived.

Basis for Review Results

These financial statements are the responsibility of the Company's management. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our review in accordance with the standards of the PCAOB. A review of interim financial statements consists principally of applying analytical procedures and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with the standards of the PCAOB, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion.

/s/ Ernst & Young LLP

Phoenix, Arizona

May 8, 2025

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Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations.

In Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A), “we,” “us” and “our” refer to Freeport-McMoRan Inc. (FCX) and its consolidated subsidiaries. You should read this discussion in conjunction with our consolidated financial statements, the related MD&A and the discussion of our Business and Properties in our annual report on Form 10-K for the year ended December 31, 2024 (2024 Form 10-K), filed with the United States (U.S.) Securities and Exchange Commission (SEC). The results of operations reported and summarized below include forward-looking statements that are not guarantees of future performance and are not necessarily indicative of future operating results (refer to “Cautionary Statement” for further discussion). References to “Notes” are Notes included in our Notes to Consolidated Financial Statements (Unaudited). Throughout MD&A, all references to income or losses per share are on a diluted basis. Any references to our website are for information only and the contents of our website or information connected thereto are not incorporated in, or otherwise to be regarded as part of, this Form 10-Q.

OVERVIEW

We are a leading international metals company with the objective of being foremost in copper. Headquartered in Phoenix, Arizona, we operate large, long-lived, geographically diverse assets with significant proven and probable mineral reserves of copper, gold and molybdenum. We are one of the world’s largest publicly traded copper producers. Our portfolio of assets includes the Grasberg minerals district in Indonesia, one of the world’s largest copper and gold deposits; and significant operations in the U.S. and South America, including the large-scale Morenci minerals district in Arizona and the Cerro Verde operation in Peru.

We remain focused on providing metals essential for the economy and everyday life, while being vigilant in our efforts to reduce costs, improve efficiencies and carefully manage operating, administrative and capital spending in this uncertain macroeconomic environment. We believe we are well positioned for the future with large-scale production of copper, gold and molybdenum, with a highly qualified and experienced team with a proven track record, a portfolio of attractive organic growth opportunities and a strong balance sheet and financial position.

We are monitoring developments on U.S. trade policy for potential impacts on our business, cost structure and supply chains, and efforts are under way to evaluate alternative sourcing options to mitigate potential impacts. We are also monitoring potential indirect impacts of U.S. trade policy on economic growth and the potential for impacts on demand for copper. While the near-term impacts are uncertain, we believe the fundamental drivers for increased future demand for copper continue to be favorable, supported by substantial requirements for energy infrastructure, electrification and new technologies.

We are accelerating initiatives across our U.S. and South America operations by incorporating new applications, technologies and data analytics to our leaching processes. We continue to apply operational enhancements on a larger scale and test new innovative technology applications. We are targeting an annual run rate of 300 million pounds of copper by the end of 2025 from these initiatives and believe we have the potential for further significant increases in recoverable metal beyond the current target run rate. In addition to technology-driven leaching initiatives, we are pursuing opportunities to leverage new technologies and analytics tools in automation and operating practices with a goal of improving operating efficiencies, and reducing costs and capital intensity of our current operations and future development projects.

Repairs to PT Freeport Indonesia’s (PTFI) new smelter in Eastern Java, Indonesia, following the October 2024 fire incident, are nearing completion. Startup activities are expected to re-commence in second-quarter 2025 with full ramp-up expected to be achieved by year-end 2025. In addition, PTFI continues to ramp-up production at its newly commissioned precious metals refinery (PMR) and the facility is expected to reach full capacity rates during 2025. Following the full ramp-up of the new smelter and PMR (collectively, PTFI’s new downstream processing facilities), PTFI’s mining and smelting operations will be fully integrated.

Net income attributable to common stockholders totaled $352 million in first-quarter 2025, compared with $473 million in first-quarter 2024. The decrease in first-quarter 2025 results, compared to first-quarter 2024, primarily reflects lower gold and copper sales volumes in Indonesia, partly offset by higher average realized prices for copper and gold. Refer to “Consolidated Results” for further discussion. For the remainder of 2025, we expect our quarterly consolidated sales volumes of copper and gold to increase from first-quarter 2025 levels, reflecting increased copper and gold volumes from Indonesia.

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At March 31, 2025, we had consolidated debt of $9.4 billion and consolidated cash and cash equivalents of $4.4 billion, $4.6 billion including $0.3 billion of current restricted cash associated with a portion of PTFI’s export proceeds that was required to be temporarily deposited in Indonesia banks for 90 days in accordance with a previous Indonesia regulation. Net debt totaled $1.5 billion, excluding $3.2 billion of debt for PTFI’s new downstream processing facilities. Refer to “Net Debt” for a reconciliation of consolidated debt, consolidated cash and cash equivalents and current restricted cash associated with PTFI's export proceeds to net debt.

At March 31, 2025, we had $3.0 billion of availability under our revolving credit facility, and PTFI and Cerro Verde had $1.5 billion and $350 million, respectively, of availability under their revolving credit facilities.

In first-quarter 2025, we acquired 1.4 million shares of our common stock for a total cost of $55 million ($39.10 average cost per share). As of April 30, 2025, we acquired a total of 51 million shares ($38.50 average cost per share) and have $3.0 billion available under our share repurchase program.

Refer to Note 4 and “Capital Resources and Liquidity” for further discussion of our debt and share repurchases.

OUTLOOK

Our financial results vary as a result of fluctuations in market prices primarily for copper, gold and, to a lesser extent, molybdenum, as well as other factors. World market prices for these commodities have fluctuated historically and are affected by numerous factors beyond our control. Refer to “Markets” below and “Risk Factors” in Part I, Item 1A. of our 2024 Form 10-K for further discussion. Because we cannot control the prices of our products, the key measures that management focuses on in operating our business are sales volumes, unit net cash costs, operating cash flows and capital expenditures. The forward-looking statements in the below section and elsewhere in this quarterly report on Form 10-Q are based on current market conditions, are as of the filing date of this quarterly report on Form 10-Q, are based on several assumptions and are subject to significant risks and uncertainties. Refer to “Cautionary Statement” below.

Consolidated Sales Volumes

Following are our projected consolidated sales volumes for the year 2025:


Copper (billions of recoverable pounds):
U.S. copper mines	1.3
South America operations	1.1
Indonesia operations	1.6
Total	4.0

Gold (millions of recoverable ounces)	1.6

Molybdenum (millions of recoverable pounds)	88	a

a.Includes 53 million pounds produced by our U.S. copper mines and South America operations and 35 million pounds produced by our Molybdenum mines.

For the remainder of 2025, we expect our quarterly consolidated sales volumes of copper and gold to increase from first-quarter 2025 levels reflecting increased copper and gold volumes from Indonesia. Consolidated sales volumes in second-quarter 2025 are expected to approximate 1.0 billion pounds of copper, 500 thousand ounces of gold and 22 million pounds of molybdenum.

Projected sales volumes are dependent on operational performance; the ramp-up of PTFI’s new downstream processing facilities; weather-related conditions; timing of shipments and other factors detailed in the “Cautionary Statement” below. For other important factors that could cause results to differ materially from projections, refer to “Risk Factors” contained in Part I, Item 1A. of our 2024 Form 10-K.

Consolidated Unit Net Cash Costs

For the remainder of 2025, we expect our consolidated average unit net cash costs to decline from first-quarter 2025 levels reflecting increased copper and gold volumes from Indonesia. Excluding potential tariff impacts, which continue to be assessed (refer to “Operations”), consolidated unit net cash costs (net of by-product credits) for our copper mines are expected to average $1.50 per pound of copper for both the year 2025 and second-quarter 2025, based on achievement of current sales volume and cost estimates, and assuming average prices of $3,000 per

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ounce of gold and $20.00 per pound of molybdenum for the remainder of 2025. Quarterly unit net cash costs vary with fluctuations in sales volumes, including the ratio of copper and gold sales within a period, and realized prices, primarily for gold and molybdenum. The impact of price changes on consolidated unit net cash costs for the remainder of 2025 would approximate $0.04 per pound of copper for each $100 per ounce change in the average price of gold and $0.02 per pound of copper for each $2 per pound change in the average price of molybdenum.

Consolidated Operating Cash Flows

Our consolidated operating cash flows vary with sales volumes; prices realized from copper, gold and molybdenum sales; production costs; income taxes; other working capital changes; and other factors. Excluding potential tariff impacts, which continue to be assessed (refer to “Operations”), consolidated operating cash flows are estimated to approximate $7.0 billion for the year 2025, including $0.2 billion of working capital and other sources, based on current sales volume and cost estimates, and assuming prices of $4.15 per pound of copper, $3,000 per ounce of gold and $20.00 per pound of molybdenum for the remainder of 2025. Estimated consolidated operating cash flows for the year 2025 also reflect a projected income tax provision of $2.8 billion (refer to “Consolidated Results – Income Taxes” for further discussion of our projected income tax rate for the year 2025). The impact of price changes on consolidated operating cash flows for the remainder of 2025 would approximate $300 million for each $0.10 per pound change in the average price of copper, $140 million for each $100 per ounce change in the average price of gold and $100 million for each $2 per pound change in the average price of molybdenum.

As further discussed in "Markets," copper sales from our U.S. copper mines are generally based on prevailing Commodity Exchange Inc (COMEX) settlement price, which as of April 30, 2025, was 9% higher than the London Metal Exchange (LME) copper settlement price. We estimate the impact on operating cash flows of each $0.10 per pound premium in the COMEX settlement price, compared to the LME settlement price, for the remainder of 2025 would approximate $95 million ($135 million on an annualized basis).

Consolidated Capital Expenditures

Following is a summary of expected capital expenditures for the year 2025 (in billions):


Major mining projects	$	2.8	a
PTFI’s new downstream processing facilities	0.6		b
Sustaining capital and other	1.6
Total	$	5.0

a.Includes $1.1 billion for planned projects, primarily associated with underground mine development, supporting mill and power capital costs and a portion of spending on a new gas-fired combined cycle facility in the Grasberg minerals district, and expansion projects in the U.S., and $1.7 billion for discretionary growth projects, primarily in the Grasberg minerals district for the continued development of Kucing Liar and at the Bagdad mine for tailings infrastructure.

b.Excludes capitalized interest, owner’s costs and commissioning. Capital expenditures for PTFI’s new downstream processing facilities are expected to be funded with PTFI’s cash flows from operations and availability under PTFI’s revolving credit facility.

We closely monitor market conditions and will adjust our operating plans, including capital expenditures, as necessary.

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MARKETS

Prices for copper, gold and molybdenum are affected by numerous factors beyond our control and can fluctuate significantly (for further discussion refer to “Risk Factors” contained in Part I, Item 1A. of our 2024 Form 10-K). The following graphs present the LME and COMEX copper settlement prices, the London Bullion Market Association (London) PM gold prices, and the Platts Metals Daily Molybdenum Dealer Oxide weekly average prices since January 2015.

This graph presents LME and COMEX copper settlement prices and the combined reported stocks of copper at the LME, COMEX, and the Shanghai Futures Exchange from January 2015 through March 2025.

Copper sales from our South America and Indonesia operations are generally based on quoted LME monthly average copper settlement prices. During first-quarter 2025, LME copper settlement prices averaged $4.24 per pound (ranging from a low of $3.94 per pound to a high of $4.53 per pound) and was $4.39 per pound on March 31, 2025. The LME copper settlement price was $4.17 per pound on April 30, 2025.

Copper sales from our U.S. copper mines are generally based on prevailing COMEX monthly average copper settlement prices. During first-quarter 2025 COMEX copper settlement prices averaged $4.57 per pound (ranging from a low of $3.99 per pound to a record high of $5.22 per pound) and was $5.02 per pound on March 31, 2025. The COMEX copper settlement price was $4.56 per pound on April 30, 2025.

The recent spread between LME and COMEX copper prices, which widened during first-quarter 2025, is primarily driven by market expectations of a potential tariff on U.S. copper imports.

We believe fundamentals for copper are favorable with growing demand supported by copper’s critical role in the global transition to renewable power, electric vehicles and other carbon-reduction initiatives, continued urbanization in developing countries, data centers and artificial intelligence developments and growing connectivity globally.

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This graph presents London PM gold prices from January 2015 through March 2025. During first-quarter 2025, London PM gold prices averaged $2,860 per ounce (ranging from a low of $2,633 per ounce to a high of $3,115 per ounce) and was $3,115 per ounce on March 31, 2025. Economic uncertainty, geopolitical tensions and strong demand from central banks around the world continue to drive gold prices to record highs. The London PM gold price was $3,302 per ounce on April 30, 2025.

This graph presents the Platts Metals Daily Molybdenum Dealer Oxide weekly average prices from January 2015 through March 2025. During first-quarter 2025, the weekly average prices of molybdenum averaged $20.56 per pound (ranging from a low of $19.82 per pound to a high of $21.10 per pound) and was $20.01 per pound on

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March 31, 2025. Overall global demand for molybdenum is driven by energy, power generation, aerospace, defense and construction sectors. We believe fundamentals for molybdenum are positive with favorable demand drivers and limited supply. The Platts Metals Daily Molybdenum Dealer Oxide weekly average price was $19.71 per pound on April 30, 2025.

CONSOLIDATED RESULTS


	Three Months Ended March 31,
	2025		2024
Revenuesa,b	$	5,728	$	6,321
Operating incomea,c	$	1,303	$	1,634

Net income attributable to common stockb,c	$	352	$	473	d
Diluted net income per share of common stockb,c	$	0.24	$	0.32	d




Diluted weighted-average shares of common stock outstanding	1,444		1,444

Operating cash flowse	$	1,058	$	1,896
Capital expenditures	$	1,172	$	1,254
At March 31:
Cash and cash equivalents	$	4,385	$	5,208
Restricted cash and cash equivalents, currentf	$	460	$	1,034
Total debt, including current portion	$	9,404	$	9,425

a.Refer to Note 8 for a summary of revenues and operating income by operating division.

b.Includes favorable (unfavorable) adjustments to prior period provisionally priced concentrate and cathode copper sales totaling $70 million ($24 million to net income attributable to common stock or $0.02 per share) in first-quarter 2025 and $(7) million ($(2) million to net income attributable to common stock or less than $0.01 per share) in first-quarter 2024. Refer to Note 5 for further discussion.

c.We defer recognizing profits on intercompany sales until final sales to third parties occur. Changes in these deferrals attributable to variability in intercompany volumes resulted in net additions (reductions) to operating income totaling $114 million ($34 million to net income attributable to common stock or $0.02 per share) in first-quarter 2025 and $(17) million ($(5) million to net income attributable to common stock or less than $0.01 per share) in first-quarter 2024. Refer to “Operations – Smelting and Refining.”

d.Includes net credits of $181 million associated with the settlement of historical PTFI tax matters, which were offset by charges of $109 million associated with assumed oil and gas abandonment obligations resulting from bankruptcies of other companies, $56 million of revisions to environmental obligation estimates and $31 million of inventory adjustments.

e.Working capital and other uses totaled $297 million in first-quarter 2025 and $97 million in first-quarter 2024.

f.Includes $0.3 billion at March 31, 2025 (expected to be released by mid-2025), and $0.9 billion at March 31, 2024, associated with a portion of PTFI’s export proceeds required to be temporarily deposited in Indonesia banks for 90 days in accordance with a previous Indonesia regulation.

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	Three Months Ended March 31,
	2025		2024
SUMMARY OPERATING DATA
Copper (millions of recoverable pounds)
Production	868		1,085
Sales, excluding purchases	872		1,108
Average realized price per pound	$	4.44	$	3.94
Site production and delivery costs per pounda	$	2.59	$	2.32
Unit net cash costs per pounda	$	2.07	$	1.51
Gold (thousands of recoverable ounces)
Production	287		549
Sales, excluding purchases	128		568
Average realized price per ounce	$	3,072	$	2,145
Molybdenum (millions of recoverable pounds)
Production	23		18
Sales, excluding purchases	20		20
Average realized price per pound	$	21.67	$	20.38

a.Reflects per pound weighted-average production and delivery costs and unit net cash costs (net of by-product credits) for all copper mines, before net noncash and other costs. For reconciliations of per pound unit net cash costs (credits) by operating division to production and delivery costs applicable to sales reported in our consolidated financial statements, refer to “Product Revenues and Production Costs.”

Revenues

Consolidated revenues totaled $5.7 billion in first-quarter 2025 and $6.3 billion in first-quarter 2024. Revenues from our mining operations and processing facilities primarily include the sale of copper cathode, copper in concentrate, copper rod, gold in concentrate and anode slimes, and molybdenum. Refer to Note 8 for a summary of product revenues.

Following is a summary of changes in our consolidated revenues between periods (in millions):


	Three Months Ended March 31

Consolidated revenues - 2024 period	$	6,321
Lower sales volumes:
Copper	(929)
Gold	(944)
Molybdenum	(11)

Higher average realized prices:
Copper	436
Gold	119
Molybdenum	26
Adjustments for prior period provisionally priced copper sales	77
Higher Atlantic Copper revenues	82
Higher revenues from purchased copper	152

Lower treatment charges	101
Lower royalties and export duties	153
Other, including intercompany eliminations	145
Consolidated revenues - 2025 period	$	5,728

Sales Volumes. Consolidated copper and gold sales volumes decreased in first-quarter 2025, compared to first-quarter 2024, primarily reflecting a planned major maintenance project in Indonesia. Lower gold sales volumes in first-quarter 2025, compared to first-quarter 2024, were also impacted by lower ore grades and the timing of shipments.

Realized Prices. Our consolidated revenues can vary significantly as a result of fluctuations in the market prices of copper, gold and molybdenum. Our average realized prices in first-quarter 2025, compared with first-quarter 2024, were 13% higher for copper, 43% higher for gold and 6% higher for molybdenum.

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During first-quarter 2025, our average U.S. copper price realization, which is generally based on the COMEX settlement price, was approximately 6% higher than the average copper price realizations for our South America and Indonesia operations, which are based on the LME settlement price.

Average realized copper prices include net favorable adjustments to current period provisionally priced copper sales totaling $46 million in first-quarter 2025 and $73 million in first-quarter 2024. As discussed in Note 5, certain sales contracts for copper and gold provide final pricing in a specified future month (generally one to four months from the shipment date). We record revenues and invoice customers at the time of shipment based on then-current LME prices for copper or London PM prices for gold, which results in an embedded derivative on provisionally priced sales that are adjusted to fair value through earnings each period, using the period-end forward prices, until final pricing on the date of settlement. To the extent final prices are higher or lower than what was recorded on a provisional basis, an increase or decrease to revenues is recorded each reporting period until the date of final pricing. Accordingly, in times of rising copper and gold prices, our revenues benefit from adjustments to the final pricing of provisionally priced sales pursuant to contracts entered into in prior periods; in times of falling copper and gold prices, the opposite occurs.

Prior Period Provisionally Priced Copper Sales. Net favorable (unfavorable) adjustments to prior periods’ provisionally priced copper sales (i.e., provisionally priced sales at December 31, 2024 and 2023) recorded in consolidated revenues totaled $70 million in first-quarter 2025 and $(7) million in first-quarter 2024. Refer to Notes 5 and 8 for a summary of total adjustments to prior period and current period provisionally priced sales.

At March 31, 2025, we had provisionally priced copper sales totaling 204 million pounds (net of intercompany sales and noncontrolling interests) recorded at an average price of $4.40 per pound, subject to final pricing over the next several months. We estimate that each $0.05 change in the price realized from the March 31, 2025, recorded provisional price would have an approximate $18 million effect on 2025 revenues ($7 million to 2025 net income attributable to common stock). The LME copper price settled at $4.17 per pound on April 30, 2025.

Atlantic Copper Revenues. Atlantic Copper revenues totaled $755 million in first-quarter 2025 and $673 million in first-quarter 2024. Higher revenues in the first-quarter 2025, compared with first-quarter 2024, primarily reflect higher copper prices.

Purchased Copper. We purchase copper cathode primarily for processing by our Rod & Refining operations. The volumes of copper purchases vary depending on cathode production from our operations and totaled 66 million pounds in first-quarter 2025 and 42 million pounds in first-quarter 2024.

Treatment Charges. Revenues from our copper concentrate sales are recorded net of treatment charges (i.e., fees paid to smelters that are generally negotiated annually), which will vary with the sales volumes and the price of copper. The decrease in treatment charges in first-quarter 2025, compared to first-quarter 2024, primarily reflects lower treatment charge rates and copper concentrate sales volumes in Indonesia and South America.

Export Duties and Royalties. Export duties, which totaled $55 million in first-quarter 2025 and $156 million in first-quarter 2024, are assessed on PTFI’s copper concentrate sales at a rate of 7.5%. Royalties are assessed on all PTFI copper and gold sales and vary with the sales volumes and metal prices.

Production and Delivery Costs

Consolidated production and delivery costs totaled $3.8 billion in first-quarter 2025 and first-quarter 2024. First-quarter 2025 included charges totaling $73 million associated with maintenance turnaround costs at the Miami smelter, and first-quarter 2024 included charges totaling $109 million associated with assumed oil and gas abandonment obligations resulting from bankruptcies of other companies.

Site Production and Delivery Costs Per Pound. Site production and delivery costs for our copper mining operations primarily include labor, energy and other commodity-based inputs, such as sulfuric acid, steel, reagents, liners, tires and explosives. Consolidated site production and delivery costs (before net noncash and other costs) for our copper mines averaged $2.59 per pound of copper in first-quarter 2025 and $2.32 per pound of copper in first-quarter 2024. Refer to “Operations – Unit Net Cash Costs” and “Operations – Unit Net Cash Costs (Credits)” for further discussion of unit net cash costs (credits) associated with our operating divisions and to “Product Revenues and Production Costs” for reconciliations of per pound costs by operating division to production and delivery costs applicable to sales reported in our consolidated financial statements.

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Depreciation, Depletion and Amortization

Depreciation will vary under the unit-of-production (UOP) method as a result of changes in sales volumes and the related UOP rates at our mining operations. Consolidated depreciation, depletion and amortization (DD&A) totaling $466 million in first-quarter 2025 was lower than DD&A totaling $595 million in first-quarter 2024, primarily as a result of lower copper sales volumes. We currently expect that DD&A will approximate $2.6 billion for the year 2025, which will include amounts associated with capitalized costs for PTFI's new downstream processing facilities.

Environmental Obligations and Shutdown Costs

Environmental obligation costs reflect net revisions to our long-term environmental obligations, which vary from period to period because of changes to environmental laws and regulations, the settlement of environmental matters and/or circumstances affecting our operations that could result in significant changes in our estimates. Shutdown costs include care-and-maintenance costs and any litigation, remediation or related expenditures associated with closed facilities or operations. Net adjustments resulting from revisions to long-term historical environmental obligations totaled $(7) million in first-quarter 2025 and $56 million in first-quarter 2024.

Interest Expense, Net

Consolidated interest costs (before capitalization) totaled $174 million in first-quarter 2025 and $175 million in first-quarter 2024.

Capitalized interest totaled $104 million in first-quarter 2025 and $86 million in first-quarter 2024. The increase in capitalized interest costs in first-quarter 2025, compared to first-quarter 2024, primarily related to mine development projects in the U.S. and PTFI’s new downstream processing facilities. Refer to “Capital Resources and Liquidity – Investing Activities” for discussion of capital expenditures associated with our major development projects.

Other Income, Net

Other income, net, which totaled $58 million in first-quarter 2025 and $129 million in first-quarter 2024, primarily includes amounts associated with interest income, currency exchange gains and losses, and mark-to-market impacts of trust assets used to satisfy financial assurance obligations for our New Mexico mining operations. Lower other income, net, in first-quarter 2025, compared to first-quarter 2024, primarily reflects lower interest income. First-quarter 2024 also included a credit of $26 million associated with the reduction in the accrual to indemnify PT Mineral Industri Indonesia (MIND ID) from potential losses arising from PTFI’s historical tax disputes.

Income Taxes

Following is a summary of the approximate amounts used in the calculation of our consolidated income tax provision (in millions, except percentages):


	Three Months Ended March 31,
	2025					2024
	Income (Loss)a		Effective Tax Rate	Income Tax (Provision) Benefit		Income (Loss)a			Effective Tax Rate	Income Tax (Provision) Benefit
U.S.b	$	(75)	—%	$	2	$	(270)		—%	$	(1)
South America	495		39%	(193)		267			39%	(103)
Indonesia	795		36%	(288)		1,627			36%	(591)

PTFI historical tax matters	—		N/A	—		16		c	N/A	182		c


Eliminations and other	76		N/A	(42)		34			N/A	—
Rate adjustmentd	—		N/A	21		—			N/A	1


Consolidated FCX	$	1,291	39%	$	(500)	$	1,674		31%	$	(512)

a.Represents income before income taxes, equity in affiliated companies' net earnings and noncontrolling interests.

b.In addition to our U.S. copper and molybdenum mines, which had operating income of $317 million in first-quarter 2025 and $163 million in first-quarter 2024 (refer to Note 8), the U.S. jurisdiction reflects non-operating sites and corporate-level expenses, which include interest expense associated with our senior notes and general and administrative expenses. The U.S. jurisdiction also includes net revisions to environmental obligation estimates and charges associated with oil and gas abandonment obligations and impairments.

c.Includes net credits associated with the closure of PTFI’s 2021 corporate income tax audit and resolution of the framework for Indonesia disputed tax matters.

d.In accordance with applicable accounting rules, we adjust our interim provision for income taxes equal to our consolidated tax rate.

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Assuming achievement of current sales volume and cost estimates and prices of $4.15 per pound of copper, $3,000 per ounce of gold and $20.00 per pound of molybdenum for the remainder of 2025, we estimate our consolidated effective tax rate for the year 2025 would approximate 39%. Changes in projected sales volumes and average prices during 2025 would incur tax impacts at estimated effective rates of 39% for Peru, 36% for Indonesia and 0% for the U.S.

Noncontrolling Interests

Net income attributable to noncontrolling interests, which is primarily associated with our noncontrolling shareholders at PTFI, Cerro Verde and El Abra, totaled $0.4 billion in first-quarter 2025 and $0.7 billion in first-quarter 2024 (refer to Note 8 for net income attributable to noncontrolling interests for each of our business segments).

Our economic and ownership interest in PTFI is 48.76%, except for net income associated with the settlement of historical tax matters in first-quarter 2024, which was attributed based on the economics prior to January 1, 2023 (i.e., approximately 81% to FCX and 19% to MIND ID). Refer to Note 2 of our 2024 Form 10-K for further discussion.

In September 2024, we increased our ownership interest in Cerro Verde to 55.08% from 53.56%.

Based on achievement of current sales volume and cost estimates, and assuming prices of $4.15 per pound of copper, $3,000 per ounce of gold and $20.00 per pound of molybdenum for the remainder of 2025, we estimate that net income attributable to noncontrolling interests will approximate $2.5 billion for the year 2025. The impact of price changes on net income attributable to noncontrolling interests for the year 2025 would approximate $0.2 billion for each $0.25 per pound change in the average price of copper for the remainder of 2025. The actual amount will depend on many factors, including relative performance of each business segment, commodity prices, costs and other factors.

OPERATIONS

Responsible Production

2024 Annual Report on Sustainability. In April 2025, we published our 2024 Annual Report on Sustainability, marking our 24th year of reporting on our progress. We are committed to building upon our achievements in sustainability and our position as a leading responsible copper producer.

The Copper Mark. We demonstrate our responsible production performance through the Copper Mark, a comprehensive assurance framework developed specifically for the copper industry and extended to other metals, including molybdenum. To achieve the Copper Mark, each site is required to complete an independent external assurance process to assess conformance with various environmental, social and governance criteria. Awarded sites must be revalidated every three years. We achieved, and are committed to maintaining, the Copper Mark and Molybdenum Mark, as applicable, at all of our operating sites globally.

Technology and Leaching Innovation Initiatives

We are accelerating initiatives across our U.S. and South America operations by incorporating new applications, technologies and data analytics to our leaching processes. Incremental copper production from these initiatives totaled 214 million pounds for the year 2024 and 46 million pounds in first-quarter 2025.

We continue to apply operational enhancements on a larger scale and test new innovative technology applications. We are targeting an annual run rate of 300 million pounds of copper by the end of 2025 from these initiatives and believe we have the potential for further significant increases in recoverable metal beyond the current target run rate. Continued success with these initiatives would contribute to favorable adjustments in recoverable copper in leach stockpiles and positively impact average unit net cash costs.

In addition to technology-driven leaching initiatives, we are pursuing opportunities to leverage new technologies and analytic tools in automation and operating practices with a goal of improving operating efficiencies, and reducing costs and capital intensity of our current operations and future development projects. We believe these technology and leaching initiatives are particularly important to our U.S. operations, which have lower ore grades.

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Feasibility and Optimization Studies

We are engaged in various studies associated with potential future expansion projects primarily at our mining operations. The costs for these studies are charged to production and delivery costs as incurred and totaled $36 million in first-quarter 2025, compared with $34 million in first-quarter 2024. We estimate the costs of these studies will approximate $250 million for the year 2025 (including approximately $55 million in second-quarter 2025), subject to market conditions and other factors.

Proposed U.S. Tariffs and Section 232 Investigation on Copper

Proposed U.S. Tariffs. We are monitoring developments on U.S. trade policy for potential impacts on our business, cost structure and supply chains. Based on our current supply chains and discussions with our suppliers, we estimate that the proposed tariffs announced to date, which continue to be assessed, could have the potential to increase the costs of goods we purchase in the U.S. by approximately 5%, primarily reflecting the potential pass-through of tariffs incurred by suppliers. Efforts are under way to evaluate alternative sourcing options to mitigate potential impacts.

We are also monitoring potential indirect impacts of U.S. trade policy on economic growth and the potential for impacts on demand for copper. While any near-term impact is uncertain, we believe the fundamental drivers for increased future demand for copper continue to be favorable, supported by substantial requirements for energy infrastructure, electrification and new technologies.

We continue to drive initiatives to improve our U.S. cost structure through efficiency programs, cost reduction initiatives and our leach innovation projects.

Section 232 Investigation on Copper. On February 25, 2025, the President issued an executive order, noting copper as a critical material essential to national security, economic strength and industrial resilience of the U.S. The executive order instructed the U.S. Secretary of Commerce to conduct an investigation under Section 232 of the Trade Expansion Act to determine the effects of copper imports on U.S. national security.

The U.S. Secretary of Commerce is expected to submit a report to the President before the end of November 2025, including recommendations on potential tariffs, export controls or incentives to increase domestic production and policy recommendations to strengthen the U.S. copper supply chain, including permitting reforms.

We are the leading copper supplier in the U.S., providing approximately 70% of total U.S. refined copper production through our integrated domestic mining and processing facilities. We have several initiatives in progress to significantly expand our domestic production and support initiatives that would allow us to strengthen our U.S. copper production through potential permitting reforms and other incentives to domestic copper producers.

Copper imports are currently exempted from U.S. tariffs pending completion of the U.S. government’s Section 232 investigation. During first-quarter 2025, our U.S. average copper price realization from our U.S. mines, which is generally based on COMEX, was approximately 6% higher than our average copper price realizations for our South America and Indonesia operations, which are based on the LME.

United States

We manage seven copper operations in the U.S. – Morenci, Bagdad, Safford (including Lone Star), Sierrita and Miami in Arizona, and Chino and Tyrone in New Mexico. We also operate a copper smelter in Miami, Arizona. All of our U.S. operations are wholly owned, except for Morenci. We record our 72% undivided joint venture interest in Morenci using the proportionate consolidation method.

Our U.S. copper operations include open-pit mining, sulfide-ore concentrating, leaching and solution extraction/electrowinning (SX/EW) facilities. A majority of the copper produced at our U.S. copper operations is cast into copper rod by our Rod & Refining segment. The remainder of our U.S. copper production is sold as copper cathode or copper concentrate, a portion of which is shipped to Atlantic Copper (our wholly owned smelter and refinery in Spain). Molybdenum concentrate, gold and silver are also produced by certain of our U.S. copper operations.

Development Activities. We have substantial reserves, resources and future opportunities for organic growth in the U.S. associated with existing operations. Several initiatives are under way to target anticipated future growth in U.S. copper supply.

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We have a potential expansion project to more than double the concentrator capacity of the Bagdad operation in northwest Arizona. Bagdad’s reserve life currently exceeds 80 years and supports an expanded operation. In late 2023, we completed technical and economic studies, which indicate the opportunity to construct new concentrating facilities to increase copper production by 200 to 250 million pounds per year at estimated incremental project capital costs of approximately $3.5 billion. Expanded operations would provide improved efficiency and reduce unit net cash costs through economies of scale. Project economics indicate that the expansion would require an incentive copper price in the range of $3.50 to $4.00 per pound and approximately three to four years to complete.

To support these future expansion plans, we are completing a project to convert Bagdad’s haul truck fleet to fully autonomous, enhancing local infrastructure and expanding tailings facilities. The decision on and timing of the potential expansion will take into account overall copper market conditions and other factors.

We are advancing pre-feasibility studies in the Safford/Lone Star district to define a potential significant expansion opportunity. Positive drilling conducted in recent years indicates a large, mineralized district with opportunities to pursue a further expansion project. We expect to complete these studies in 2026. The decision on and timing of the potential expansion will take into account results of technical and economic studies, overall copper market conditions and other factors.

Operating Data. Following is summary consolidated operating data for our U.S. copper mines:


	Three Months Ended March 31,

	2025	2024
Operating Data, Net of Joint Venture Interests
Copper (millions of recoverable pounds)
Production	301	314
Sales, excluding purchases	307	331

Molybdenum (millions of recoverable pounds)
Productionb	8	7

100% Operating Data
Leach operations
Leach ore placed in stockpiles (metric tons per day)	583,700	617,400
Average copper ore grade (%)	0.20	0.21
Copper production (millions of recoverable pounds)	191	211

Mill operations
Ore milled (metric tons per day)	321,900	307,600
Average ore grade (%):
Copper	0.29	0.32
Molybdenum	0.02	0.02
Copper recovery rate (%)	84.1	81.0
Copper production (millions of recoverable pounds)	154	153

a.As discussed above, our average U.S. copper price realization, which is generally based on COMEX settlement prices, was approximately 6% higher in first-quarter 2025 than the average copper price realizations for our South America and Indonesia operations, which are based on LME settlement prices.

b.Refer to “Consolidated Results” for our consolidated molybdenum sales volumes, which include sales of molybdenum produced at our U.S. copper mines.

Our consolidated copper sales volumes from U.S. mines of 307 million pounds in first-quarter 2025 were lower than first-quarter 2024 copper sales volumes of 331 million pounds, primarily reflecting lower leach production and the timing of shipments in first-quarter 2024. Consolidated copper sales from our U.S. mines are estimated to approximate 1.3 billion pounds for the year 2025. Refer to “Outlook” for projected molybdenum sales volumes.

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Unit Net Cash Costs. We believe unit net cash costs per pound of copper is a measure that provides investors with information about the cash-generating capacity of our mining operations expressed on a basis relating to the primary metal product for our respective operations. We use this measure for the same purpose and for monitoring operating performance by our mining operations. This information differs from measures of performance determined in accordance with generally accepted accounting principles (GAAP) in the U.S. and should not be considered in isolation or as a substitute for measures of performance determined in accordance with U.S. GAAP. This measure is presented by other metals mining companies, although our measure may not be comparable to similarly titled measures reported by other companies.

Gross Profit per Pound of Copper and Molybdenum

The following table summarizes unit net cash costs and gross profit per pound at our U.S. copper mines for the three months ended March 31, 2025 and 2024. Refer to “Product Revenues and Production Costs” for an explanation of the “by-product” and “co-product” methods and a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in our consolidated financial statements.


	Three Months Ended March 31,
	2025							2024
	By- Product Method			Co-Product Method				By- Product Method			Co-Product Method
				Copper		Molyb- denuma					Copper		Molyb- denuma
Revenues, excluding adjustments	$	4.60		$	4.60	$	20.16	$	3.96		$	3.96	$	18.49

Site production and delivery, before net noncash and other costs shown below	3.48			3.10		17.05		3.23			2.92		15.89
By-product credits	(0.49)			—		—		(0.38)			—		—
Treatment charges	0.12			0.11		—		0.13			0.13		—
Unit net cash costs	3.11			3.21		17.05		2.98			3.05		15.89
DD&A	0.40			0.36		1.28		0.34			0.31		1.23

Noncash and other costs, net	0.13		b	0.12		0.29		0.13		b	0.12		0.44
Total unit costs	3.64			3.69		18.62		3.45			3.48		17.56
Revenue adjustments, primarily for pricing on prior period open sales	0.01			0.01		—		—			—		—
Gross profit per pound	$	0.97		$	0.92	$	1.54	$	0.51		$	0.48	$	0.93

Copper sales (millions of recoverable pounds)	307			307				333			333
Molybdenum sales (millions of recoverable pounds)a						8							7

a.Reflects sales of molybdenum produced by certain of our U.S. copper mines to our molybdenum sales company at market-based pricing.

b.Includes charges totaling $0.05 per pound of copper in both first-quarter 2025 and 2024 for feasibility and optimization studies.

Our U.S. copper mines have varying cost structures because of differences in ore grades and characteristics, processing costs, by-product credits and other factors. Average unit net cash costs (net of by-product credits) for our U.S. copper mines of $3.11 per pound of copper in first-quarter 2025 were higher than average unit net cash costs of $2.98 per pound in first-quarter 2024, primarily reflecting higher labor costs and lower copper volumes.

Because certain assets are depreciated on a straight-line basis, the average unit depreciation rate for our U.S. copper mines may vary with asset additions and the level of copper production and sales.

Revenue adjustments primarily result from changes in prices on provisionally priced copper sales recognized in prior periods. Refer to “Consolidated Results – Revenues” for further discussion of adjustments to prior period provisionally priced copper sales.

Excluding potential tariff impacts, which continue to be assessed, we expect our average unit net cash costs (net of by-product credits) for our U.S. copper mines to trend lower during the remainder of 2025, compared to 2024 levels, reflecting the projected impact of efficiencies, improved volumes and cost reduction plans currently in progress.

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Excluding potential tariff impacts, which continue to be assessed, average unit net cash costs (net of by-product credits) for our U.S. copper mines are expected to approximate $3.02 per pound of copper for the year 2025, based on achievement of current sales volume and cost estimates, and assuming an average price of $20.00 per pound of molybdenum for the remainder of 2025. Our U.S. copper mines’ average unit net cash costs for the year 2025 would change by approximately $0.04 per pound for each $2 per pound change in the average price of molybdenum for the remainder of 2025.

South America

We manage two copper operations in South America – Cerro Verde in Peru (in which we own a 55.08% interest) and El Abra in Chile (in which we own a 51% interest), which are consolidated in our financial statements.

South America operations include open-pit mining, sulfide-ore concentrating, leaching and SX/EW facilities. Production from our South America operations is sold as copper concentrate or cathode under long-term contracts.

Our South America operations also sell a portion of their copper concentrate production to Atlantic Copper. In addition to copper, the Cerro Verde mine produces molybdenum concentrate and silver.

Development Activities. At the El Abra operations in Chile, we have completed substantial drilling and evaluations to define a large sulfide resource that could support a potential major mill project similar to the large-scale concentrator at Cerro Verde. The estimated resource approximates 20 billion recoverable pounds of copper, which could result in the addition of 750 million pounds of copper production per year. We plan to submit an environmental impact statement by year-end 2025, subject to ongoing stakeholder engagement and economic evaluations. Preliminary estimates, which remain under review, indicate that the project economics would be supported using an incentive copper price of less than $4.00 per pound. The decision on and timing of the potential project will take into account overall copper market conditions, required permitting and other factors.

Operating Data. Following is summary consolidated operating data for South America operations:


	Three Months Ended March 31,

	2025		2024
Copper (millions of recoverable pounds)
Production	271		280
Sales	275		284
Average realized price per pound	$	4.36	$	3.94






Molybdenum (millions of recoverable pounds)
Productiona	6		3

Leach operations
Leach ore placed in stockpiles (metric tons per day)	168,400		170,400
Average copper ore grade (%)	0.39		0.41
Copper production (millions of recoverable pounds)	77		71

Mill operations
Ore milled (metric tons per day)	411,300		397,200
Average ore grade (%):
Copper	0.30		0.33
Molybdenum	0.01		0.01

Copper recovery rate (%)	83.7		83.3
Copper production (millions of recoverable pounds)	194		209

a.Refer to “Consolidated Results” for our consolidated molybdenum sales volumes, which include sales of molybdenum produced at Cerro Verde.

Our consolidated copper sales volumes from South America operations of 275 million pounds in first-quarter 2025 were lower than 284 million pounds in first-quarter 2024, primarily reflecting lower ore grades. Copper sales from South America operations are expected to approximate 1.1 billion pounds for the year 2025. Refer to “Outlook” for projected molybdenum sales volumes.

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Unit Net Cash Costs. We believe unit net cash costs per pound of copper is a measure that provides investors with information about the cash-generating capacity of our mining operations expressed on a basis relating to the primary metal product for our respective operations. We use this measure for the same purpose and for monitoring operating performance by our mining operations. This information differs from measures of performance determined in accordance with U.S. GAAP and should not be considered in isolation or as a substitute for measures of performance determined in accordance with U.S. GAAP. This measure is presented by other metals mining companies, although our measure may not be comparable to similarly titled measures reported by other companies.

Gross Profit per Pound of Copper

The following table summarizes unit net cash costs and gross profit per pound of copper at our South America operations for the three months ended March 31, 2025 and 2024. Unit net cash costs per pound of copper are reflected under the by-product and co-product methods as the South America operations also had sales of molybdenum and silver. Refer to “Product Revenues and Production Costs” for an explanation of the “by-product” and “co-product” methods and a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in our consolidated financial statements.


	Three Months Ended March 31,
	2025					2024
	By-Product Method			Co-Product Method		By-Product Method			Co-Product Method
Revenues, excluding adjustments	$	4.36		$	4.36	$	3.94		$	3.94

Site production and delivery, before net noncash and other costs shown below	2.76			2.50		2.61			2.47
By-product credits	(0.44)			—		(0.20)			—
Treatment charges	0.07			0.07		0.18			0.18
Royalty on metals	0.01			0.01		0.01			0.01
Unit net cash costs	2.40			2.58		2.60			2.66
DD&A	0.40			0.36		0.39			0.36

Noncash and other costs, net	0.05		a	0.05		0.06		a	0.06
Total unit costs	2.85			2.99		3.05			3.08
Revenue adjustments, primarily for pricing on prior period open sales	0.22			0.22		—			—
Gross profit per pound	$	1.73		$	1.59	$	0.89		$	0.86

Copper sales (millions of recoverable pounds)	275			275		284			284

a.Includes charges totaling $0.05 per pound of copper in first-quarter 2025 and $0.04 per pound of copper in first-quarter 2024 for feasibility and optimization studies.

Our South America operations have varying cost structures because of differences in ore grades and characteristics, processing costs, by-product credits and other factors. Average unit net cash costs (net of by-product credits) for South America operations of $2.40 per pound of copper in first-quarter 2025 were lower than first-quarter 2024 average unit net cash costs of $2.60 per pound, primarily reflecting higher by-product credits and lower treatment charges, partly offset by lower copper volumes.

Revenues from Cerro Verde’s copper concentrate sales are recorded net of treatment charges, which will vary with Cerro Verde’s sales volumes and the price of copper.

Because certain assets are depreciated on a straight-line basis, South America’s unit depreciation rate may vary with asset additions and the level of copper production and sales.

Average unit net cash costs (net of by-product credits) for our South America operations are expected to approximate $2.52 per pound of copper for the year 2025, based on achievement of current sales volume and cost estimates, and assuming an average price of $20.00 per pound of molybdenum for the remainder of 2025.

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Indonesia

PTFI operates one of the world’s largest copper and gold mines at the Grasberg minerals district in Central Papua, Indonesia. PTFI produces copper concentrate that contains significant quantities of gold and silver. We have a 48.76% ownership interest in PTFI and manage its operations. PTFI's results are consolidated in our financial statements. Once the full ramp-up of PTFI’s new downstream processing facilities is achieved, PTFI will be a fully integrated producer of refined copper and gold.

Concentrate Exports. On March 17, 2025, the Indonesia government granted PTFI a copper concentrate export license through September 16, 2025, for 1.4 million metric tons of copper concentrate, and PTFI re-commenced exports of copper concentrate. Pursuant to current regulations, PTFI is required to pay a 7.5% export duty on copper concentrate exports during 2025.

Export Proceeds. Effective March 1, 2025, the Indonesia government implemented a new regulation that requires 100% of export proceeds to be deposited in Indonesia banks for 12 months. The regulation allows the use of funds for ongoing business requirements, including dividends to shareholders, payment of taxes and other obligations to the Indonesia government, payment for materials or capital expenditures that are not available domestically and repayment of loans. Because PTFI has the ability to utilize its exports proceeds to fund business requirements, amounts deposited after March 1, 2025, are not considered restricted and are classified as cash and cash equivalents.

Long-Term Mining Rights. Pursuant to regulations issued during 2024, PTFI is eligible to apply for an extension of its mining rights beyond 2041, provided certain conditions are met, including ownership of integrated downstream facilities that have entered the operational stage; domestic ownership of at least 51% and agreement with a state-owned enterprise for an additional 10% ownership; and commitments for additional exploration and increases in refining capacity, each as approved by the Ministry of Energy and Mineral Resources. Application for extension may be submitted at any time up to one year prior to the expiration of PTFI’s special mining business license (IUPK). PTFI expects to apply for an extension during 2025, pending agreement with MIND ID on a purchase and sale agreement for the transfer in 2041 of an additional 10% interest in PTFI.

An extension would enable continuity of large-scale operations for the benefit of all stakeholders and provide growth options through additional resource development opportunities in the highly attractive Grasberg minerals district.

Operating, Development and Exploration Activities. Over a multi-year investment period, PTFI has successfully commissioned three large-scale underground mines in the Grasberg minerals district (Grasberg Block Cave, Deep Mill Level Zone (DMLZ) and Big Gossan) and related expansion of the milling facilities. In December 2024, PTFI completed construction of a new copper cleaner circuit, a mill recovery project to enhance recoveries and optimize concentrate production, with commissioning under way. PTFI’s underground operations produce approximately 1.7 billion pounds of copper and 1.4 million ounces of gold per year and are among the lowest cost operations in the world.

PTFI is also conducting exploration in the Grasberg mineral district targeting the potential extension of significant mineralization below the DMLZ mine.

Kucing Liar. Long-term mine development activities are ongoing for PTFI’s Kucing Liar deposit in the Grasberg minerals district. Kucing Liar is expected to produce over 7 billion pounds of copper and 6 million ounces of gold between 2029 and the end of 2041, and an extension of PTFI’s operating rights beyond 2041 would extend the life of the project. Development activities commenced in 2022 and are expected to continue over an approximate 10-year timeframe. Capital investments for Kucing Liar are estimated to total $4 billion over the next seven to eight years (averaging approximately $0.5 billion per annum). Approximately $0.7 billion has been incurred through March 31, 2025. At full operating rates, annual production from Kucing Liar is expected to approximate 560 million pounds of copper and 520 thousand ounces of gold, providing PTFI with sustained long-term, large-scale and low-cost production. Kucing Liar will benefit from substantial shared infrastructure and PTFI’s experience and long-term success in block-cave mining.

Natural Gas Facilities. PTFI plans to transition its existing energy source from coal to natural gas, which would meaningfully reduce PTFI’s greenhouse gas emissions at the Grasberg minerals district. The majority of PTFI’s planned investments in a new gas-fired combined cycle facility are expected to be incurred over the next three years at a cost of approximately $1 billion. Once complete, PTFI’s dual-fuel power plant and the new gas-fired

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combined cycle facility will be fueled by natural gas supplied by a floating liquefied natural gas storage and regassification unit.

PTFI’s New Downstream Processing Facilities. Repairs to PTFI’s new smelter in Eastern Java, Indonesia, following the October 2024 fire incident, are nearing completion. Startup activities are expected to re-commence in second-quarter 2025 with full ramp-up expected to be achieved by year-end 2025.

PTFI continues to ramp-up production at its newly commissioned PMR and the facility is expected to reach full capacity rates during 2025. The facility has capacity to refine all precious metals from PTFI’s new smelter as well as from PT Smelting, PTFI’s 66%-owned smelter and refinery in Gresik, Indonesia.

Operating Data. Following is summary consolidated operating data for Indonesia operations:


	Three Months Ended March 31,

	2025		2024
Copper (millions of recoverable pounds)
Production	296		491
Sales	290		493
Average realized price per pound	$	4.34	$	3.92

Gold (thousands of recoverable ounces)
Production	284		545
Sales	125		564
Average realized price per ounce	$	3,072	$	2,145

Ore extracted and milled (metric tons per day):
Grasberg Block Cave	93,600		139,300
DMLZ	60,400		67,300
Big Gossan	6,600		9,000
Other adjustments	1,000		3,900


Total	161,600		219,500
Average ore grades:
Copper (%)	1.11		1.31
Gold (grams per metric ton)	0.83		1.13
Recovery rates (%):
Copper	87.8		89.4
Gold	76.3		77.5

As expected, PTFI’s consolidated copper sales volumes of 290 million pounds and consolidated gold sales volumes of 125 thousand ounces in first-quarter 2025 were below first-quarter 2024 copper sales volumes of 493 million pounds and gold sales volumes of 564 thousand ounces, primarily reflecting a planned major maintenance project. Lower gold sales volumes in first-quarter 2025, compared to first-quarter 2024 gold sales volumes, were also impacted by lower ore grades and the timing of shipments.

Consolidated sales volumes from PTFI are expected to approximate 1.6 billion pounds of copper and 1.6 million ounces of gold for the year 2025. PTFI’s projected sales volumes in 2025 reflect reduced operating rates associated with planned major maintenance projects in its concentrating facilities. Projected sales volumes are dependent on operational performance; the ramp-up of PTFI’s new downstream processing facilities; weather-related conditions; and other factors detailed in the “Cautionary Statement” below.

Unit Net Cash Costs (Credits). We believe unit net cash costs (credits) per pound of copper is a measure that provides investors with information about the cash-generating capacity of our mining operations expressed on a basis relating to the primary metal product for our respective operations. We use this measure for the same purpose and for monitoring operating performance by our mining operations. This information differs from measures of performance determined in accordance with U.S. GAAP and should not be considered in isolation or as a substitute for measures of performance determined in accordance with U.S. GAAP. This measure is presented by other metals mining companies, although our measure may not be comparable to similarly titled measures reported by other companies.

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Gross Profit per Pound of Copper and per Ounce of Gold

The following table summarizes the unit net cash costs (credits) and gross profit per pound of copper and per ounce of gold at our Indonesia mining operations for the three months ended March 31, 2025 and 2024. Refer to “Product Revenues and Production Costs” for an explanation of “by-product” and “co-product” methods and a reconciliation of unit net cash costs (credits) per pound to production and delivery costs applicable to sales reported in our consolidated financial statements.


	Three Months Ended March 31,
	2025							2024
	By-Product Method			Co-Product Method				By-Product Method			Co-Product Method
				Copper		Gold					Copper		Gold
Revenues, excluding adjustments	$	4.34		$	4.34	$	3,072	$	3.92		$	3.92	$	2,145

Site production and delivery, before net noncash and other costs shown below	1.49			1.12		797		1.53			0.92		504
Gold, silver and other by-product credits	(1.46)			—		—		(2.55)			—		—
Treatment charges	0.19			0.15		102		0.35			0.21		116
Export duties	0.19			0.14		102		0.32			0.19		104
Royalty on metals	0.23			0.17		144		0.23			0.15		81
Unit net cash costs (credits)	0.64			1.58		1,145		(0.12)			1.47		805
DD&A	0.64			0.49		343		0.68			0.41		224
Noncash and other costs, net	0.34		a	0.25		179		0.05		b	0.03		16
Total unit costs	1.62			2.32		1,667		0.61			1.91		1,045
Revenue adjustments, primarily for pricing on prior period open sales	0.06			0.07		116		(0.01)			(0.01)		(14)

Gross profit per pound/ounce	$	2.78		$	2.09	$	1,521	$	3.30		$	2.00	$	1,086

Copper sales (millions of recoverable pounds)	290			290				493			493
Gold sales (thousands of recoverable ounces)						125							564

Cash held at our international operations is generally used to support our foreign operations’ capital expenditures, operating expenses, debt repayments, working capital or other cash needs. Management believes that sufficient liquidity is available in the U.S. from cash balances and availability from our revolving credit facility. We elected to not permanently reinvest earnings from our foreign subsidiaries, and we recorded deferred tax liabilities for foreign earnings that are available to be repatriated to the U.S. From time to time, our foreign subsidiaries distribute earnings to the U.S. through dividends that are subject to applicable withholding taxes and noncontrolling interests’ share.

Debt

At March 31, 2025, consolidated debt totaled $9.4 billion, with a weighted-average interest rate of 5.2%. Substantially all of our outstanding debt is fixed rate. Our next senior note maturities are in 2027. Our total debt has an average remaining duration of approximately nine years. Refer to Note 4 for further discussion of debt.

Operating Activities

We generated operating cash flows of $1.1 billion (net of $0.3 billion of working capital and other uses) in first-quarter 2025 and $1.9 billion (net of $0.1 billion of working capital and other uses) in first-quarter 2024. Lower operating cash flows in first-quarter 2025, compared with first-quarter 2024, primarily reflect lower copper and gold sales volumes impacted by a planned major maintenance project in Indonesia. Lower gold sales volumes also reflect lower ore grades and the timing of shipments. These lower volumes were partly offset by the impact of higher average realized copper and gold prices. Refer to "Consolidated Results" and "Operations" for further discussion.

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Investing Activities

Capital Expenditures. Capital expenditures, including capitalized interest, totaled $1.2 billion in first-quarter 2025 and $1.3 billion in first-quarter 2024. Capital expenditures include amounts for major mining projects ($0.6 billion in first-quarter 2025 and $0.4 billion in first quarter 2024), primarily associated with underground development activities in the Grasberg minerals district, and for PTFI’s new downstream processing facilities ($0.2 billion in first-quarter 2025 and $0.5 billion in first-quarter 2024.)

Financing Activities

Debt Transactions. Net proceeds from debt totaled $452 million in first-quarter 2025, primarily related to short-term lines of credit at Atlantic Copper.

Cash Dividends on Common Stock. We paid cash dividends on our common stock totaling $0.2 billion in each of first-quarter 2025 and first-quarter 2024. Refer to Note 4, Item 1A. “Risk Factors” contained in Part I of our 2024 Form 10-K, “Cautionary Statement” below and the discussion of our financial policy above.

Cash Dividends and Distributions Paid to Noncontrolling Interests. There were no cash dividends and distributions paid to noncontrolling interests at our international operations in first-quarter 2025. Cash dividends and distributions paid to noncontrolling interests at PTFI totaled $0.1 billion in first-quarter 2024. Cash dividends and distributions to noncontrolling interests vary based on the operating results and cash requirements of our consolidated subsidiaries.

Treasury Stock Purchases. In first-quarter 2025, we acquired 1.4 million shares of our common stock for a total cost of $55 million. Refer to Note 4 for further discussion.

CONTRACTUAL OBLIGATIONS

There have been no material changes in our contractual obligations since December 31, 2024. Refer to Note 11 and Part II, Items 7. and 7A. in our 2024 Form 10-K for information regarding our contractual obligations.

CONTINGENCIES

Environmental Obligations and Asset Retirement Obligations (ARO)

Our current and historical operating activities are subject to various environmental laws and regulations. We perform a comprehensive annual review of our environmental obligations and AROs and also review changes in facts and circumstances associated with these obligations at least quarterly.

There have been no significant changes to our environmental liabilities and AROs since December 31, 2024. Refer to Note 10 of our 2024 Form 10-K for further information about contingencies associated with environmental matters and AROs.

Litigation and Other Contingencies

There have been no significant updates to our contingencies associated with legal proceedings, environmental and other matters since December 31, 2024, other than as disclosed in Note 7. Refer to Note 10 and “Legal Proceedings” contained in Part I, Item 3. of our 2024 Form 10-K, as updated by Note 7, for further information regarding litigation and other contingencies.

NEW ACCOUNTING STANDARDS

There were no significant updates to previously reported accounting standards included in Note 1 of our 2024 Form 10-K.

CRITICAL ACCOUNTING ESTIMATES

MD&A is based on our consolidated financial statements, which have been prepared in conformity with U.S. GAAP. The preparation of these statements requires that we make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. We base these estimates on historical experience and on assumptions that we consider reasonable under the circumstances; however, reported results could differ from those based on the current estimates under different assumptions or conditions. For a description of our critical accounting estimates that require us to make the most difficult, subjective or complex judgments, refer to our 2024 Form 10-K. We have not changed any of these policies from those previously disclosed in that report.

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NET DEBT

We believe that net debt provides investors with information related to the performance-based payout framework in our financial policy, which requires us to maintain our net debt at a level not to exceed the net debt target of $3 billion to $4 billion (excluding project debt for PTFI’s new downstream processing facilities). We define net debt as consolidated debt less (i) consolidated cash and cash equivalents and (ii) current restricted cash associated with a portion of PTFI's export proceeds. This information differs from consolidated debt determined in accordance with U.S. GAAP and should not be considered in isolation or as a substitute for consolidated debt determined in accordance with U.S. GAAP. Our net debt, which may not be comparable to similarly titled measures reported by other companies, follows (in millions):


	As of March 31, 2025
Current portion of debt	$	495
Long-term debt, less current portion	8,909
Consolidated debt	9,404
Less: consolidated cash and cash equivalents	4,385
Less: current restricted cash associated with PTFI’s export proceeds	252		a
FCX net debt	4,767
Less: debt for PTFI’s new downstream processing facilities	3,233		b
FCX net debt, excluding debt for PTFI’s new downstream processing facilities	$	1,534

Three Months Ended March 31, 2025 (In millions)By-ProductCo-Product MethodMethodCopper

Molybdenuma

Otherb

TotalRevenues, excluding adjustments$1,414 $1,414 $155 $41 $1,610 Site production and delivery, before net noncash
and other costs shown below1,070 952 131 34 1,117 By-product credits(150)— — — — Treatment charges 37 35 — 2 37 Net cash costs 957 987 131 36 1,154 DD&A124 112 10 2 124 Noncash and other costs, net39

37 2 — 39 Total costs 1,120 1,136 143 38 1,317 Other revenue adjustments, primarily for pricing
on prior period open sales4 4 — 1 5 Gross profit$298 $282 $12 $4 $298 Copper sales (millions of recoverable pounds)307 307

Molybdenum sales (millions of recoverable pounds)a

8 Gross profit per pound of copper/molybdenum:Revenues, excluding adjustments$4.60 $4.60 $20.16 Site production and delivery, before net noncash
and other costs shown below3.48 3.10 17.05 By-product credits(0.49)— — Treatment charges0.12 0.11 — Unit net cash costs3.11 3.21 17.05 DD&A0.40 0.36 1.28 Noncash and other costs, net0.13

0.12 0.29 Total unit costs3.64 3.69 18.62 Other revenue adjustments, primarily for pricing
on prior period open sales0.01 0.01 — Gross profit per pound$0.97 $0.92 $1.54 Reconciliation to Amounts Reported RevenuesProduction and DeliveryDD&ATotals presented above$1,610 $1,117 $124 Treatment charges(4)33 — Noncash and other costs, net— 39 — Other revenue adjustments, primarily for pricing
on prior period open sales5 — — Eliminations and other19 23 — U.S. copper mines1,630 1,212 124

Other miningd

5,510 3,844 331 Corporate, other & eliminations(1,412)(1,300)11 As reported in our consolidated financial statements$5,728 $3,756 $466

a.Reflects sales of molybdenum produced by certain of the U.S. copper mines to our molybdenum sales company at market-based pricing.

b.Includes gold and silver product revenues and production costs.

c.Includes charges totaling $14 million ($0.05 per pound of copper) for feasibility and optimization studies.

d.Represents the combined total for our other mining operations as presented in Note 8.

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United States Copper Mines Product Revenues, Production Costs and Unit Net Cash Costs



Three Months Ended March 31, 2024
(In millions)	By-Product			Co-Product Method
	Method			Copper		Molybdenuma		Otherb		Total
Revenues	$	1,316		$	1,316	$	136	$	39	$	1,491
Site production and delivery, before net noncash and other costs shown below	1,074			973		116		32		1,121
By-product credits	(128)			—		—		—		—
Treatment charges	44			42		—		2		44
Net cash costs	990			1,015		116		34		1,165
DD&A	111			101		9		1		111

Noncash and other costs, net	45		c	41		4		—		45
Total costs	1,146			1,157		129		35		1,321

Gross profit	$	170		$	159	$	7	$	4	$	170

Copper sales (millions of recoverable pounds)	333			333
Molybdenum sales (millions of recoverable pounds)a						7

Gross profit per pound of copper/molybdenum:

Revenues	$	3.96		$	3.96	$	18.49
Site production and delivery, before net noncash and other costs shown below	3.23			2.92		15.89
By-product credits	(0.38)			—		—
Treatment charges	0.13			0.13		—
Unit net cash costs	2.98			3.05		15.89
DD&A	0.34			0.31		1.23

Noncash and other costs, net	0.13		c	0.12		0.44
Total unit costs	3.45			3.48		17.56

Gross profit per pound	$	0.51		$	0.48	$	0.93

Reconciliation to Amounts Reported
	Revenues			Production and Delivery		DD&A
Totals presented above	$	1,491		$	1,121	$	111
Treatment charges	(3)			41		—
Noncash and other costs, net	—			45		—

Eliminations and other	14			17		1
U.S. copper mines	1,502			1,224		112
Other miningd	6,278			3,890		467


Corporate, other & eliminations	(1,459)			(1,270)		16
As reported in our consolidated financial statements	$	6,321		$	3,844	$	595

a.Reflects sales of molybdenum produced by certain of the U.S. copper mines to our molybdenum sales company at market-based pricing.

b.Includes gold and silver product revenues and production costs.

c.Includes charges totaling $15 million ($0.05 per pound of copper) for feasibility studies.

d.Represents the combined total for our other mining operations as presented in Note 8.

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South America Operations Product Revenues, Production Costs and Unit Net Cash Costs



Three Months Ended March 31, 2025
(In millions)	By-Product			Co-Product Method
	Method			Copper		Othera		Total
Revenues, excluding adjustments	$	1,199		$	1,199	$	135	$	1,334
Site production and delivery, before net noncash and other costs shown below	759			688		87		775
By-product credits	(121)			—		—		—
Treatment charges	19			19		—		19
Royalty on metals	2			2		—		2
Net cash costs	659			709		87		796
DD&A	111			99		12		111

Noncash and other costs, net	14		b	14		—		14
Total costs	784			822		99		921
Other revenue adjustments, primarily for pricing on prior period open sales	60			60		2		62
Gross profit	$	475		$	437	$	38	$	475

Copper sales (millions of recoverable pounds)	275			275

Gross profit per pound of copper:

Revenues, excluding adjustments	$	4.36		$	4.36
Site production and delivery, before net noncash and other costs shown below	2.76			2.50
By-product credits	(0.44)			—
Treatment charges	0.07			0.07
Royalty on metals	0.01			0.01
Unit net cash costs	2.40			2.58
DD&A	0.40			0.36

Noncash and other costs, net	0.05		b	0.05
Total unit costs	2.85			2.99
Other revenue adjustments, primarily for pricing on prior period open sales	0.22			0.22
Gross profit per pound	$	1.73		$	1.59

Reconciliation to Amounts Reported
				Production
	Revenues			and Delivery		DD&A
Totals presented above	$	1,334		$	775	$	111
Treatment charges	(19)			—		—
Royalty on metals	(2)			—		—
Noncash and other costs, net	—			14		—
Other revenue adjustments, primarily for pricing on prior period open sales	62			—		—
Eliminations and other	1			(1)		—
South America operations	1,376			788		111
Other miningc	5,764			4,268		344


Corporate, other & eliminations	(1,412)			(1,300)		11
As reported in our consolidated financial statements	$	5,728		$	3,756	$	466

a.Includes silver sales of 0.8 million ounces ($33.79 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to our molybdenum sales company at market-based pricing.

b.Includes charges totaling $15 million ($0.05 per pound of copper) for feasibility and optimization studies.

c.Represents the combined total for our other mining operations as presented in Note 8.

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South America Operations Product Revenues, Production Costs and Unit Net Cash Costs




Three Months Ended March 31, 2024
(In millions)	By-Product			Co-Product Method
	Method			Copper		Othera		Total
Revenues, excluding adjustments	$	1,119		$	1,119	$	70	$	1,189
Site production and delivery, before net noncash and other costs shown below	743			703		53		756
By-product credits	(57)			—		—		—
Treatment charges	50			50		—		50
Royalty on metals	2			2		—		2
Net cash costs	738			755		53		808
DD&A	108			101		7		108

Noncash and other costs, net	18		b	18		—		18
Total costs	864			874		60		934
Other revenue adjustments, primarily for pricing on prior period open sales	(1)			—		(1)		(1)
Gross profit	$	254		$	245	$	9	$	254

Copper sales (millions of recoverable pounds)	284			284

Gross profit per pound of copper:

Revenues, excluding adjustments	$	3.94		$	3.94
Site production and delivery, before net noncash and other costs shown below	2.61			2.47
By-product credits	(0.20)			—
Treatment charges	0.18			0.18
Royalty on metals	0.01			0.01
Unit net cash costs	2.60			2.66
DD&A	0.39			0.36

Noncash and other costs, net	0.06		b	0.06
Total unit costs	3.05			3.08
Other revenue adjustments, primarily for pricing on prior period open sales	—			—
Gross profit per pound	$	0.89		$	0.86

Reconciliation to Amounts Reported
				Production
	Revenues			and Delivery		DD&A
Totals presented above	$	1,189		$	756	$	108
Treatment charges	(50)			—		—
Royalty on metals	(2)			—		—
Noncash and other costs, net	—			18		—
Other revenue adjustments, primarily for pricing on prior period open sales	(1)			—		—
Eliminations and other	—			(1)		—
South America operations	1,136			773		108
Other miningc	6,644			4,341		471


Corporate, other & eliminations	(1,459)			(1,270)		16
As reported in our consolidated financial statements	$	6,321		$	3,844	$	595

a.Includes silver sales of 0.8 million ounces ($24.45 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to our molybdenum sales company at market-based pricing.

b.Includes charges totaling $11 million ($0.04 per pound of copper) for feasibility studies.

c.Represents the combined total for our other mining operations as presented in Note 8.

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Indonesia Operations Product Revenues, Production Costs and Unit Net Cash Costs



Three Months Ended March 31, 2025
(In millions)				Co-Product Method
	By-Product Method			Copper			Gold		Silver & Othera		Total
Revenues, excluding adjustments	$	1,258		$	1,258		$	385	$	21	$	1,664
Site production and delivery, before net noncash and other costs shown below	432			326			100		6		432
Gold, silver and other by-product credits	(422)			—			—		—		—
Treatment charges	56			42			13		1		56
Export duties	55			42			12		1		55
Royalty on metals	66			48			18		—		66
Net cash costs	187			458			143		8		609
DD&A	186			141			43		2		186

Noncash and other costs, net	97		b	73			23		1		97
Total costs	470			672			209		11		892
Other revenue adjustments, primarily for pricing on prior period open sales	19			19			15		1		35

Gross profit	$	807		$	605		$	191	$	11	$	807

Copper sales (millions of recoverable pounds)	290			290
Gold sales (thousands of recoverable ounces)							125

Gross profit per pound of copper/per ounce of gold:

Revenues, excluding adjustments	$	4.34		$	4.34		$	3,072
Site production and delivery, before net noncash and other costs shown below	1.49			1.12			797
Gold, silver and other by-product credits	(1.46)			—			—
Treatment charges	0.19			0.15			102
Export duties	0.19			0.14			102
Royalty on metals	0.23			0.17			144
Unit net cash costs	0.64			1.58			1,145
DD&A	0.64			0.49			343

Noncash and other costs, net	0.34		b	0.25			179
Total unit costs	1.62			2.32			1,667
Other revenue adjustments, primarily for pricing on prior period open sales	0.06			0.07			116

Gross profit per pound/ounce	$	2.78		$	2.09		$	1,521

Reconciliation to Amounts Reported
				Production
	Revenues			and Delivery			DD&A
Totals presented above	$	1,664		$	432		$	186
Treatment charges	(8)			48		c	—
Export duties	(55)			—			—
Royalty on metals	(66)			—			—
Noncash and other costs, net	—			97			—
Other revenue adjustments, primarily for pricing on prior period open sales	35			—			—

Eliminations and other	—			1			—
Indonesia operations	1,570			578			186
Other miningd	5,570			4,478			269


Corporate, other & eliminations	(1,412)			(1,300)			11
As reported in our consolidated financial statements	$	5,728		$	3,756		$	466

a.Includes silver sales of 0.4 million ounces ($34.05 per ounce average realized price).

b.Includes charges totaling $44 million ($0.15 per pound of copper) for operational readiness and startup costs associated with PTFI’s new downstream processing facilities, $24 million ($0.08 per pound of copper) related to the reversal of previously capitalized land lease costs at PTFI’s new downstream processing facilities, $23 million ($0.08 per pound of copper) of remediation costs for PTFI’s new smelter that were not offset by recovery under construction insurance programs and $6 million ($0.02 per pound of copper) for feasibility and optimization studies. These charges were partly offset by a credit of $11 million ($0.04 per pound of copper) related to ARO adjustments.

c.Represents tolling costs paid to PT Smelting.

d.Represents the combined total for our other mining operations as presented in Note 8.

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Indonesia Operations Product Revenues, Production Costs and Unit Net Cash (Credits) Costs



Three Months Ended March 31, 2024
(In millions)				Co-Product Method
	By-Product Method			Copper			Gold		Silver & Othera		Total
Revenues, excluding adjustments	$	1,938		$	1,938		$	1,209	$	56	$	3,203
Site production and delivery, before net noncash and other costs shown below	753			456			284		13		753
Gold, silver and other by-product credits	(1,257)			—			—		—		—
Treatment charges	173			105			65		3		173
Export duties	156			94			59		3		156
Royalty on metals	118			70			46		2		118
Net cash (credits) costs	(57)			725			454		21		1,200
DD&A	335			203			126		6		335
Noncash and other costs, net	23		b	14			9		—		23
Total costs	301			942			589		27		1,558
Other revenue adjustments, primarily for pricing on prior period open sales	(7)			(7)			(7)		(1)		(15)

Gross profit	$	1,630		$	989		$	613	$	28	$	1,630

Copper sales (millions of recoverable pounds)	493			493
Gold sales (thousands of recoverable ounces)							564

Gross profit per pound of copper/per ounce of gold:

Revenues, excluding adjustments	$	3.92		$	3.92		$	2,145
Site production and delivery, before net noncash and other costs shown below	1.53			0.92			504
Gold, silver and other by-product credits	(2.55)			—			—
Treatment charges	0.35			0.21			116
Export duties	0.32			0.19			104
Royalty on metals	0.23			0.15			81
Unit net cash (credits) costs	(0.12)			1.47			805
DD&A	0.68			0.41			224
Noncash and other costs, net	0.05		b	0.03			16
Total unit costs	0.61			1.91			1,045
Other revenue adjustments, primarily for pricing on prior period open sales	(0.01)			(0.01)			(14)

Gross profit per pound/ounce	$	3.30		$	2.00		$	1,086

Reconciliation to Amounts Reported
				Production
	Revenues			and Delivery			DD&A
Totals presented above	$	3,203		$	753		$	335
Treatment charges	(89)			84		c	—
Export duties	(156)			—			—
Royalty on metals	(118)			—			—
Noncash and other costs, net	—			23			—
Other revenue adjustments, primarily for pricing on prior period open sales	(15)			—			—

Eliminations and other	—			1			—
Indonesia operations	2,825			861			335
Other miningd	4,955			4,253			244


Corporate, other & eliminations	(1,459)			(1,270)			16
As reported in our consolidated financial statements	$	6,321		$	3,844		$	595

a.Includes silver sales of 2.1 million ounces ($23.90 per ounce average realized price).

b.Includes charges totaling $15 million ($0.03 per pound of copper) for operational readiness and startup costs associated with PTFI’s new downstream processing facilities and $7 million ($0.01 per pound of copper) for feasibility and optimization studies. These charges were partly offset by credits of $8 million ($0.02 per pound of copper) associated with adjustments to PTFI’s non-income tax provision.

c.Represents tolling costs paid to PT Smelting.

d.Represents the combined total for our other mining operations as presented in Note 8.

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Molybdenum Mines Product Revenues, Production Costs and Unit Net Cash Costs




	Three Months Ended March 31,
(In millions)	2025		2024

Revenues, excluding adjustmentsa	$	186	$	152
Site production and delivery, before net noncash and other costs shown below	116		116
Treatment charges and other	9		7
Net cash costs	125		123
DD&A	26		16

Noncash and other costs, net	6		3
Total costs	157		142
Gross profit	$	29	$	10

Molybdenum sales (millions of recoverable pounds)a	9		8

Gross profit per pound of molybdenum:

Revenues, excluding adjustmentsa	$	20.32	$	19.47
Site production and delivery, before net noncash and other costs shown below	12.70		14.94
Treatment charges and other	1.02		0.86
Unit net cash costs	13.72		15.80
DD&A	2.83		2.08

Noncash and other costs, net	0.62		0.33
Total unit costs	17.17		18.21
Gross profit per pound	$	3.15	$	1.26

Reconciliation to Amounts Reported
			Production
Three Months Ended March 31, 2025	Revenues		and Delivery		DD&A
Totals presented above	$	186	$	116	$	26
Treatment charges and other	(9)		—		—
Noncash and other costs, net	—		6		—
Molybdenum mines	177		122		26
Other miningb	6,963		4,934		429


Corporate, other & eliminations	(1,412)		(1,300)		11
As reported in our consolidated financial statements	$	5,728	$	3,756	$	466

Three Months Ended March 31, 2024
Totals presented above	$	152	$	116	$	16
Treatment charges and other	(7)		—		—
Noncash and other costs, net	—		3		—


Molybdenum mines	145		119		16
Other miningb	7,635		4,995		563


Corporate, other & eliminations	(1,459)		(1,270)		16
As reported in our consolidated financial statements	$	6,321	$	3,844	$	595

a.Reflects sales of the Molybdenum mines’ production to our molybdenum sales company at market-based pricing. On a consolidated basis, realizations are based on the actual contract terms for sales to third parties; as a result, our consolidated average realized price per pound of molybdenum will differ from the amounts reported in this table.

b.Represents the combined total for our other mining operations as presented in Note 8. Also includes amounts associated with the molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the U.S. copper mines and South America operations.

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CAUTIONARY STATEMENT

Our discussion and analysis contains forward-looking statements in which we discuss our potential future performance, operations and projects. Forward-looking statements are all statements other than statements of historical facts, such as plans, projections or expectations relating to business outlook, strategy, goals or targets, and the underlying assumptions and estimated impacts on our business and stakeholders related thereto; global market conditions, including trade policies; ore grades and milling rates; production and sales volumes; unit net cash costs (credits) and operating costs; capital expenditures; operating plans, including mine sequencing; cash flows; liquidity; PTFI’s remediation, commissioning and full ramp-up of its new smelter and full production and ramp-up at the PMR; potential extension of PTFI’s IUPK beyond 2041; export licenses, export duties and export volumes, including PTFI’s ability to continue exports of copper concentrate until full ramp-up is achieved at its new smelter in Indonesia; timing of shipments of inventoried production; our sustainability-related commitments and targets; our overarching commitment to deliver responsibly produced copper and molybdenum, including plans to implement, validate and maintain validation of our operating sites under specific frameworks; achievement of our 2030 climate targets and our 2050 net zero aspiration; improvements in operating procedures and technology innovations and applications; exploration efforts and results; development and production activities, rates and costs; future organic growth opportunities; tax rates; the impact of copper, gold and molybdenum price changes; the impact of deferred intercompany profits on earnings; mineral reserve and mineral resource estimates; final resolution of settlements associated with ongoing legal and environmental proceedings; debt repurchases; and the ongoing implementation of our financial policy and future returns to shareholders, including dividend payments (base or variable) and share repurchases. The words “anticipates,” “may,” “can,” “plans,” “believes,” “estimates,” “expects,” “projects,” “targets,” “intends,” “likely,” “will,” “should,” “could,” “to be,” “potential,” “assumptions,” “guidance,” “aspirations,” “future,” “commitments,” “pursues,” “initiatives,” “objectives,” “opportunities,” “strategy” and any similar expressions are intended to identify those assertions as forward-looking statements. The declaration and payment of dividends (base or variable), and timing and amount of any share repurchases are at the discretion of our Board and management, respectively, and are subject to a number of factors, including not exceeding our net debt target, capital availability, our financial results, cash requirements, global economic conditions, changes in laws, contractual restrictions and other factors deemed relevant by our Board or management, as applicable. Our share repurchase program may be modified, increased, suspended or terminated at any time at the Board’s discretion.

We caution readers that forward-looking statements are not guarantees of future performance and actual results may differ materially from those anticipated, expected, projected or assumed in the forward-looking statements. Important factors that can cause our actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, supply of and demand for, and prices of the commodities we produce, primarily copper and gold; PTFI’s ability to export and sell or inventory copper concentrates through remediation and full ramp-up of its new smelter in Indonesia; changes in export duties and tariff rates; completion of remediation activities and achieving full ramp-up of the new smelter in Indonesia; full production and ramp-up at the PMR; production rates; timing of shipments; price and availability of consumables and components we purchase as well as constraints on supply and logistics, and transportation services; changes in cash requirements, financial position, financing or investment plans; changes in general market, economic, geopolitical, regulatory or industry conditions, including market volatility regarding trade policies and tariff uncertainty; reductions in liquidity and access to capital; changes in tax laws and regulations; political and social risks, including the potential effects of violence in Indonesia, civil unrest in Peru, and relations with local communities and Indigenous Peoples; operational risks inherent in mining, with higher inherent risks in underground mining; mine sequencing; changes in mine plans or operational modifications, delays, deferrals or cancellations, including the ability to smelt and refine or inventory; results of technical, economic or feasibility studies; potential inventory adjustments; potential impairment of long-lived mining assets; satisfaction of requirements in accordance with PTFI’s IUPK to extend mining rights from 2031 through 2041; process relating to the extension of PTFI’s IUPK beyond 2041; cybersecurity risks; any major public health crisis; labor relations, including labor-related work stoppages and increased costs; compliance with applicable environmental, health and safety laws and regulations; weather- and climate-related risks; environmental risks, including availability of secure water supplies; impacts, expenses or results from litigation or investigations; tailings management; our ability to comply with our responsible production commitments under specific frameworks and any changes to such frameworks and other factors described in more detail under the heading “Risk Factors” contained in Part I, Item 1A. of our 2024 Form 10-K.

Investors are cautioned that many of the assumptions upon which our forward-looking statements are based are likely to change after the date the forward-looking statements are made, including for example commodity prices, which we cannot control, and production volumes and costs or technological solutions and innovations, some aspects of which we may not be able to control. Further, we may make changes to our business plans that could

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affect our results. We undertake no obligation to update any forward-looking statements, which are as of the date made, notwithstanding any changes in our assumptions, changes in business plans, actual experience or other changes.

This report on Form 10-Q also contains measures such as net debt and unit net cash costs (credits) per pound of copper and molybdenum, which are not recognized under U.S. GAAP. Refer to “Operations – Unit Net Cash Costs” and “Operations – Unit Net Cash Costs (Credits)” for further discussion of unit net cash costs (credits) associated with our operating divisions, and to “Product Revenues and Production Costs” for reconciliations of per pound costs (credits) by operating division to production and delivery costs applicable to sales reported in our consolidated financial statements. Refer to “Net Debt” for reconciliations of consolidated debt, consolidated cash and cash equivalents, and current restricted cash associated with PTFI’s export proceeds to net debt. For forward-looking unit net cash costs (credits) per pound of copper and molybdenum measures, we are unable to provide a reconciliation to the most comparable GAAP measure without unreasonable effort because estimating such GAAP measures and providing a meaningful reconciliation is extremely difficult and requires a level of precision that is unavailable for these future periods, and the information needed to reconcile these measures is dependent upon future events, many of which are outside of our control as described above. Forward-looking non-GAAP measures are estimated consistent with the relevant definitions and assumptions.

Item 3.Quantitative and Qualitative Disclosures About Market Risk.

There have been no material changes in our market risks during the three-month period ended March 31, 2025. For additional information on market risks, refer to “Disclosures About Market Risks” included in Part II, Items 7. and 7A. of our 2024 Form 10-K. For projected sensitivities of our operating cash flow to changes in commodity prices, refer to “Outlook” in Part I, Item 2. of this quarterly report on Form 10-Q; for projected sensitivities of our provisionally priced copper sales to changes in commodity prices refer to “Consolidated Results – Revenues” in Part I, Item 2. of this quarterly report on Form 10-Q.

Item 4.Controls and Procedures.

(a)Evaluation of disclosure controls and procedures. Our chief executive officer and chief financial officer, with the participation of management, have evaluated the effectiveness of our “disclosure controls and procedures” (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934) as of the end of the period covered by this quarterly report on Form 10-Q. Based on their evaluation, they have concluded that our disclosure controls and procedures were effective as of March 31, 2025.

(b)Changes in internal control over financial reporting. There has been no change in our internal control over financial reporting that occurred during the quarter ended March 31, 2025, that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

Part II.OTHER INFORMATION

Item 1.Legal Proceedings.

We are involved in numerous legal proceedings that arise in the ordinary course of our business or are associated with environmental issues. We are also involved periodically in reviews, inquiries, investigations and other proceedings initiated by or involving government agencies, some of which may result in adverse judgments, settlements, fines, penalties, injunctions or other relief.

Management does not believe, based on currently available information, that the outcome of any legal proceeding reported in Part I, Item 3. “Legal Proceedings” and Note 10 of our 2024 Form 10-K, as updated by Note 7 herein, will have a material adverse effect on our financial condition; although individual or cumulative outcomes could be material to our operating results for a particular period, depending on the nature and magnitude of the outcome and the operating results for the period.

There have been no material changes to legal proceedings previously disclosed in Part I, Item 3. “Legal Proceedings” and Note 10 of our 2024 Form 10-K.

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Item 1A. Risk Factors.

There have been no material changes to our risk factors previously disclosed in Part I, Item 1A. “Risk Factors” of our 2024 Form 10-K.

Item 2.Unregistered Sales of Equity Securities and Use of Proceeds.

There were no unregistered sales of equity securities during the quarter ended March 31, 2025.

The following table sets forth information with respect to shares of FCX common stock purchased by us during the quarter ended March 31, 2025, and the approximate dollar value of shares that may yet be purchased pursuant to our share repurchase program:


Period	(a) Total Number of Shares Purchased	(b) Average Price Paid Per Share		(c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programsa	(d) Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programsa
January 1-31, 2025	—	$	—	—	$	3,105,744,136
February 1-28, 2025	—	$	—	—	$	3,105,744,136
March 1-31, 2025	1,406,754	$	39.10	1,406,754	$	3,050,744,299
Total	1,406,754	$	39.10	1,406,754

a.On November 1, 2021, our Board approved a share repurchase program authorizing repurchases of up to $3.0 billion of our common stock. On July 19, 2022, our Board authorized an increase in the share repurchase program up to $5.0 billion. The share repurchase program does not obligate us to acquire any specific amount of shares and does not have an expiration date.

Item 4.Mine Safety Disclosures.

Our highest priority is the health, safety and well-being of our workforce. We believe health and safety considerations are integral to, and fundamental for, all other functions in our organization, and we understand that the health and safety of our workforce is critical to our operational efficiency and long-term success. Our global health and safety strategy, “Safe Production Matters,” is focused on fatality prevention, eliminating systemic root causes of incidents and continuous improvement through robust management systems, which are supported by leaders empowering our teams to work safely. Foundational to our Safe Production Matters strategy is our Fatal Risk Management (FRM) program. The goal of our FRM program is to achieve zero workplace fatalities by raising awareness to fatal risks and the measures necessary to mitigate them. The information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item 104 of Regulation S-K is included in Exhibit 95.1 to this quarterly report on Form 10-Q.

Item 5. Other Information.

During the quarter ended March 31, 2025, no director or officer of FCX or any “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as such terms are defined in Item 408(a) of Regulation S-K.

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Item 6.Exhibits.

Filed

Exhibit

with this

Incorporated by Reference

Number

Exhibit Title

Form 10-Q

Form

File No.

Date Filed

2.1

PTFI Divestment Agreement dated as of September 27, 2018 among FCX, International Support LLC, PT Freeport Indonesia, PT Indocopper Investama and PT Indonesia Asahan Aluminium (Persero).

10-Q

001-11307-01

11/9/2018

2.2

Supplemental and Amendment Agreement to the PTFI Divestment Agreement, dated December 21, 2018, among FCX, PT Freeport Indonesia, PT Indonesia Papua Metal Dan Mineral (f/k/a PT Indocopper Investama), PT Indonesia Asahan Aluminium (Persero) and International Support LLC.

10-K

001-11307-01

2/15/2019

3.1

Composite Certificate of Incorporation of FCX.

10-Q

001-11307-01

8/7/2024

3.2

Amended and Restated By-Laws of FCX, effective as of June 11, 2024.

8-K

001-11307-01

6/12/2024

10.1*

Amended and Restated Executive Employment Agreement dated effective as of February 11, 2025 between FCX and Kathleen L. Quirk.

10-K

001-11307-01

2/14/2025

10.2*

Form of Performance Share Unit Agreement (effective February 2025).

10-K

001-11307-01

2/14/2025

10.3*

Form of Restricted Stock Unit Agreement (effective February 2025).

10-K

001-11307-01

2/14/2025

15.1

Letter from Ernst & Young LLP regarding unaudited interim financial statements.

31.1

Certification of Principal Executive Officer pursuant to Rule 13a-14(a)/15d-14(a).

31.2

Certification of Principal Financial Officer pursuant to Rule 13a-14(a)/15d-14(a).

32.1

Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350.

32.2

Certification of Principal Financial Officer pursuant to 18 U.S.C Section 1350.

95.1

Mine Safety and Health Administration Safety Data.

101.INS

XBRL Instance Document - the XBRL Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

101.SCH

Inline XBRL Taxonomy Extension Schema.

101.CAL

Inline XBRL Taxonomy Extension Calculation Linkbase.

101.DEF

Inline XBRL Taxonomy Extension Definition Linkbase.

101.LAB

Inline XBRL Taxonomy Extension Label Linkbase.

101.PRE

Inline XBRL Taxonomy Extension Presentation Linkbase.

104

The cover page from this Quarterly Report on Form 10-Q, formatted in Inline XBRL and contained in Exhibit 101.

* Indicates management contract or compensatory plan or arrangement.

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


			Freeport-McMoRan Inc.

			By:			/s/ Ellie L. Mikes
						Ellie L. Mikes
						Vice President and Chief Accounting Officer
						(authorized signatory
						and Principal Accounting Officer)

Date: May 8, 2025

S-1

FREEPORT-MCMORAN INC - Quarter Report: 2025 March (Form 10-Q)

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