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DEBT | 12 Months Ended
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Dec. 31, 2022
Debt Disclosure [Abstract] |
Debt | DEBT FCX’s debt at December 31, 2022, is net of reductions of $78 million ($86 million at December 31, 2021) for unamortized net discounts and unamortized debt issuance costs. The components of debt follow:
| December 31,
| 2022 |  | 2021
Revolving credit facilities: |  |  |
FCX | $ | — |  |  | $ | — |
PT-FI | — |  |  | — |
Cerro Verde | — |  |  | — |
Senior notes and debentures: |  |  |
Issued by FCX: |  |  |
3.875% Senior Notes due 2023 a | 995 |  |  | 995 |
4.55% Senior Notes due 2024 | 729 |  |  | 728 |
5.00% Senior Notes due 2027 | 465 |  |  | 594 |
4.125% Senior Notes due 2028 | 543 |  |  | 693 |
4.375% Senior Notes due 2028 | 475 |  |  | 643 |
5.25% Senior Notes due 2029 | 499 |  |  | 593 |
4.25% Senior Notes due 2030 | 494 |  |  | 593 |
4.625% Senior Notes due 2030 | 615 |  |  | 841 |
5.40% Senior Notes due 2034 | 723 |  |  | 742 |
5.450% Senior Notes due 2043 | 1,687 |  |  | 1,846 |
Issued by PT-FI: |  |  |
4.763% Senior Notes due 2027 | 745 |  |  | — |
5.315% Senior Notes due 2032 | 1,489 |  |  | — |
6.200% Senior Notes due 2052 | 744 |  |  | — |
Issued by FMC: |  |  |
7 1/8% Debentures due 2027 | 115 |  |  | 115 |
9 1/2% Senior Notes due 2031 | 122 |  |  | 123 |
6 1/8% Senior Notes due 2034 | 118 |  |  | 117 |
PT-FI Term Loan | — |  |  | 432 |
Cerro Verde Term Loan | — |  |  | 325 |
Other | 62 |  |  | 70 |
Total debt | 10,620 |  |  | 9,450 |
Less current portion of debt | (1,037) |  |  | (372) |
Long-term debt | $ | 9,583 |  |  | $ | 9,078 |
a.Maturing in March 2023. Revolving Credit Facilities FCX. At December 31, 2022, FCX had no borrowings outstanding and $8 million in letters of credit issued under its revolving credit facility and was in compliance with its revolving credit facility covenants. In October 2022, FCX and PT-FI entered into a $3.0 billion, five-year, unsecured revolving credit facility, which replaced FCX’s prior revolving credit facility that was scheduled to mature in April 2024. The revolving credit facility matures in October 2027. Under the terms of the revolving credit facility, FCX may obtain loans and issue letters of credit in an aggregate amount of up to $3.0 billion, with PT-FI’s capacity limited to $500 million, and letters of credit issuance limited to $1.5 billion. Interest on loans made under the revolving credit facility may, at the option of FCX or PT-FI, be determined based on the Secured Overnight Financing Rate plus a spread to be determined by reference to a grid based on FCX’s credit rating. The revolving credit facility contains customary affirmative covenants and representations, and also contains various negative covenants that, among other things and subject to certain exceptions, restrict the ability of FCX’s subsidiaries that are not borrowers or guarantors to incur additional indebtedness (including guarantee obligations) and the ability of FCX or FCX’s subsidiaries to: create liens on assets; enter into sale and leaseback transactions; engage in mergers, liquidations and dissolutions; and sell assets. In addition, the revolving credit facility contains a total leverage ratio financial covenant. PT-FI. In July 2021, PT-FI entered into a $1.0 billion, five-year, unsecured credit facility to fund project costs in connection with the PT Smelting expansion and construction of a precious metals refinery (PMR), and for PT-FI’s general corporate purposes. In April 2022, PT-FI amended and restated its five-year, unsecured revolving credit facility to, among other things, increase the availability to $1.3 billion. The amended and restated credit facility matures in July 2026. At December 31, 2022, PT-FI had no borrowings under its revolving credit facility and was in compliance with its covenants. PT-FI’s revolving credit facility contains customary affirmative covenants and representations and also contains standard negative covenants that, among other things, restrict, subject to certain exceptions, the ability of PT-FI to incur additional indebtedness; create liens on assets; enter into sale and leaseback transactions; sell assets; and modify or amend the shareholders agreement or related governance structure. The credit facility also contains financial covenants governing maximum total leverage and minimum interest expense coverage and other covenants addressing certain environmental and social compliance requirements. Cerro Verde. In May 2022, Cerro Verde entered into a $350 million, five-year, unsecured revolving credit facility that matures in May 2027. At December 31, 2022, Cerro Verde had no borrowings outstanding under its revolving credit facility and was in compliance with its covenants. Senior Notes FCX. In May 2022, FCX began purchasing certain of its senior notes in open-market transactions. Listed below are the FCX senior notes, purchased or redeemed in full during the three-year period ended December 31, 2022.
| Principal Amount |  | Net Adjustments |  | Book Value |  | Redemption Value |  | (Gain)/Loss
Year Ended December 31, 2022 |  |  |  |  |  |  |  |  |
5.00% Senior Notes due 2027 | $ | 131 |  |  | $ | (1) |  |  | $ | 130 |  |  | $ | 130 |  |  | $ | — |
4.125% Senior Notes due 2028 | 153 |  |  | (1) |  |  | 152 |  |  | 143 |  |  | (9) |
4.375% Senior Notes due 2028 | 171 |  |  | (2) |  |  | 169 |  |  | 163 |  |  | (6) |
5.25% Senior Notes due 2029 | 97 |  |  | (1) |  |  | 96 |  |  | 93 |  |  | (3) |
4.25% Senior Notes due 2030 | 101 |  |  | (1) |  |  | 100 |  |  | 93 |  |  | (7) |
4.625% Senior Notes due 2030 | 228 |  |  | (2) |  |  | 226 |  |  | 215 |  |  | (11) |
5.40% Senior Notes due 2034 | 20 |  |  | — |  |  | 20 |  |  | 20 |  |  | — |
5.450% Senior Notes due 2043 | 160 |  |  | (2) |  |  | 158 |  |  | 150 |  |  | (8) |
Total | $ | 1,061 |  |  | $ | (10) |  |  | $ | 1,051 |  |  | $ | 1,007 |  |  | $ | (44) |
Year Ended December 31, 2021 |  |  |  |  |  |  |  |  |
FCX 3.55% Senior Notes due 2022 | $ | 524 |  |  | $ | — |  |  | $ | 524 |  |  | $ | 524 |  |  | $ | — |
Year Ended December 31, 2020 |  |  |  |  |  |  |  |  |
FCX 4.00% Senior Notes due 2021 | $ | 195 |  |  | $ | (1) |  |  | $ | 194 |  |  | $ | 205 |  |  | $ | 11 |
FCX 3.55% Senior Notes due 2022 | 1,356 |  |  | (6) |  |  | 1,350 |  |  | 1,391 |  |  | 41 |
FCX 3.875% Senior Notes due 2023 | 927 |  |  | (4) |  |  | 923 |  |  | 964 |  |  | 41 |
FCX 4.55% Senior Notes due 2024 | 120 |  |  | (1) |  |  | 119 |  |  | 126 |  |  | 7 |
Total | $ | 2,598 |  |  | $ | (12) |  |  | $ | 2,586 |  |  | $ | 2,686 |  |  | $ | 100 |
The senior notes listed below are redeemable in whole or in part, at the option of FCX, at a make-whole redemption price prior to the dates stated below, at specified redemption prices beginning on the dates stated below, and at 100% of principal two years before maturity.
Debt Instrument |  | Date
5.00% Senior Notes due 2027 |  | September 1, 2022
4.125% Senior Notes due 2028 |  | March 1, 2023
4.375% Senior Notes due 2028 |  | August 1, 2023
5.25% Senior Notes due 2029 |  | September 1, 2024
4.25% Senior Notes due 2030 |  | March 1, 2025
4.625% Senior Notes due 2030 |  | August 1, 2025
The senior notes listed below are redeemable in whole or in part, at the option of FCX, at a make-whole redemption price prior to the dates stated below and beginning on the dates stated below at 100% of principal.
Debt Instrument |  | Date
3.875% Senior Notes due 2023 |  | December 15, 2022
4.55% Senior Notes due 2024 |  | August 14, 2024
5.40% Senior Notes due 2034 |  | May 14, 2034
5.450% Senior Notes due 2043 |  | September 15, 2042
FCX’s senior notes contain limitations on liens and rank equally with FCX’s other existing and future unsecured and unsubordinated indebtedness. PT-FI. In April 2022, PT-FI completed the sale of $3.0 billion aggregate principal amount of unsecured senior notes, consisting of $750 million of 4.763% Senior Notes due 2027, $1.5 billion of 5.315% Senior Notes due 2032 and $750 million of 6.200% Senior Notes due 2052. PT-FI used $0.6 billion of the net proceeds to repay the borrowings under its term loan and expects to use the remaining net proceeds to finance its smelter projects. The senior notes listed below are redeemable in whole or in part, at the option of PT-FI, at a make-whole redemption price prior to the dates stated below and beginning on the dates stated below at 100% of principal.
Debt Instrument |  | Date
4.763% Senior Notes due 2027 |  | March 14, 2027
5.315% Senior Notes due 2032 |  | January 14, 2032
6.2% Senior Notes due 2052 |  | October 14, 2051
Term Loans PT-FI. In April 2022, PT-FI repaid the principal balance of the term loan portion of its unsecured credit facility, which cannot be redrawn, and recorded a loss on early extinguishment of debt of $10 million. Cerro Verde. In May 2022, Cerro Verde repaid the principal balance of its term loan. Cerro Verde Shareholder Loans. In December 2014, Cerro Verde entered into loan agreements with three of its shareholders, which will mature in May 2024. No amounts were outstanding at December 31, 2022 and 2021, and availability under these agreements totals $200 million. Maturities. Maturities of debt instruments based on the principal amounts outstanding at December 31, 2022, total $1.0 billion in 2023, $731 million in 2024, $4 million in 2025, $4 million in 2026, $1.3 billion in 2027 and $7.6 billion thereafter.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (h) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(c)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (g) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1C -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1E -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495348-112611 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1I -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495371-112611 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -SubTopic 20 -Section 50 -Paragraph 1B -Subparagraph (i) -URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611 + Details
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