EX-99.1 2 a4q2023exhibit991.htm EX-99.1
Freeport-McMoRan
Reports Fourth-Quarter and Year Ended 2023 Results
•Strong fourth-quarter 2023 operating performance:
◦Copper sales volumes exceeded October 2023 estimate and fourth-quarter 2022
◦Unit net cash costs below October 2023 estimate and fourth-quarter 2022
•Achieved 90% completion milestone on Indonesia smelter projects
•Solid financial position
•Favorable long-term fundamentals
▪Net income attributable to common stock in fourth-quarter 2023 totaled $388 million, $0.27 per share, and adjusted net income attributable to common stock totaled $393 million, $0.27 per share, after excluding net charges totaling $5 million, less than $0.01 per share.
▪Consolidated production totaled 1.1 billion pounds of copper, 573 thousand ounces of gold and 20 million pounds of molybdenum in fourth-quarter 2023, and 4.2 billion pounds of copper, 2.0 million ounces of gold and 82 million pounds of molybdenum for the year 2023.
▪Consolidated sales totaled 1.1 billion pounds of copper, 549 thousand ounces of gold and 22 million pounds of molybdenum in fourth-quarter 2023, and 4.1 billion pounds of copper, 1.7 million ounces of gold and 81 million pounds of molybdenum for the year 2023.
▪Consolidated sales are expected to approximate 4.1 billion pounds of copper, 2.0 million ounces of gold and 85 million pounds of molybdenum for the year 2024, including 1.0 billion pounds of copper, 575 thousand ounces of gold and 20 million pounds of molybdenum in first-quarter 2024.
▪Average realized prices were $3.81 per pound for copper, $2,034 per ounce for gold and $20.66 per pound for molybdenum in fourth-quarter 2023, and $3.85 per pound for copper, $1,972 per ounce for gold and $24.64 per pound for molybdenum for the year 2023.
▪Average unit net cash costs were $1.52 per pound of copper in fourth-quarter 2023 and $1.61 per pound of copper for the year 2023. Unit net cash costs are expected to average $1.60 per pound of copper for the year 2024. See “Regulatory Matters” below for discussion of disputed export duties at PT Freeport Indonesia (PT-FI).
▪Operating cash flows totaled $1.3 billion (net of $0.2 billion of working capital and other uses) in fourth-quarter 2023 and $5.3 billion (net of $0.9 billion of working capital and other uses) for the year 2023. Operating cash flows are expected to approximate $5.8 billion (including $0.1 billion of working capital and other sources) for the year 2024, based on achievement of current sales volume and cost estimates, and assuming average prices of $3.75 per pound for copper, $2,000 per ounce for gold and $19.00 per pound for molybdenum for the year 2024.
▪Capital expenditures totaled $1.4 billion (including $0.5 billion for major mining projects and $0.5 billion for the Indonesia smelter projects) in fourth-quarter 2023 and $4.8 billion (including $1.8 billion for major mining projects and $1.7 billion for the Indonesia smelter projects) for the year 2023. Capital expenditures are expected to approximate $4.6 billion (including $2.3 billion for major mining projects and $1.0 billion for the Indonesia smelter projects) for the year 2024.
▪At December 31, 2023, consolidated debt totaled $9.4 billion and consolidated cash and cash equivalents totaled $4.8 billion ($5.8 billion including $1.1 billion of current restricted cash and cash equivalents associated with a portion of PT-FI’s export proceeds required to be temporarily deposited in Indonesia banks). Net debt totaled $3.6 billion ($0.8 billion excluding net debt for the Indonesia smelter projects). Refer to the supplemental schedule, “Net Debt,” on page IX.

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PHOENIX, AZ, January 24, 2024 – Freeport-McMoRan Inc. (NYSE: FCX) reported fourth-quarter 2023 net income attributable to common stock of $388 million, $0.27 per share, and adjusted net income attributable to common stock of $393 million, $0.27 per share, after excluding net charges totaling $5 million, less than $0.01 per share, primarily associated with reserves for litigation settlements, partly offset by net adjustments to reclamation liabilities and international taxes. For additional information, refer to the supplemental schedule, “Adjusted Net Income,” on page VII.
Richard C. Adkerson, Chairman and Chief Executive Officer, said, “We enter 2024 with a focus on strong execution of our operating and investment plans, optimism on market fundamentals and a relentless drive to enhance the value of our strong portfolio of assets. Our global team achieved success during 2023 on a number of important initiatives to enhance value, advance growth options and position us for the future. During 2024, we will continue to prioritize productivity gains, operating and capital cost discipline and the advancement of organic opportunities for future long-term growth. We are dedicated to increasing the long-term value of our attractive assets, supported by the successful track record of our experienced and committed team, strong financial position and exposure to copper and other commodities with favorable long-term market fundamentals.”
SUMMARY FINANCIAL DATA

| Three Months Ended December 31, |  | Years Ended December 31, |
| 2023 |  | 2022 |  | 2023 |  | 2022 |
| (in millions, except per share amounts) |
Revenues a,b | $ | 5,905 |  |  | $ | 5,758 |  |  | $ | 22,855 |  |  | $ | 22,780 |  |
Operating income a | $ | 1,722 |  |  | $ | 1,530 |  |  | $ | 6,225 |  |  | $ | 7,037 |  |
Net income attributable to common stock c,d,e | $ | 388 |  |  | $ | 697 |  |  | $ | 1,848 |  |  | $ | 3,468 |  |
Diluted net income per share of common stock | $ | 0.27 |  |  | $ | 0.48 |  |  | $ | 1.28 |  |  | $ | 2.39 |  |
Diluted weighted-average common shares outstanding | 1,444 |  |  | 1,440 |  |  | 1,443 |  |  | 1,451 |  |
Operating cash flows f | $ | 1,320 |  |  | $ | 1,069 |  |  | $ | 5,279 |  |  | $ | 5,139 |  |
Capital expenditures | $ | 1,362 |  |  | $ | 1,047 |  |  | $ | 4,824 |  |  | $ | 3,469 |  |
At December 31: |  |  |  |  |  |  |  |
Cash and cash equivalents | $ | 4,758 |  |  | $ | 8,146 |  |  | $ | 4,758 |  |  | $ | 8,146 |  |
Restricted cash and cash equivalents, current | $ | 1,208 |  | g | $ | 111 |  |  | $ | 1,208 |  | g | $ | 111 |  |
Total debt, including current portion | $ | 9,422 |  |  | $ | 10,620 |  |  | $ | 9,422 |  |  | $ | 10,620 |  |

a.For segment financial results, refer to the supplemental schedules, “Business Segments,” beginning on page XI.
b.Includes (unfavorable) favorable adjustments to prior period provisionally priced concentrate and cathode copper sales totaling $(13) million ($(5) million to net income attributable to common stock or less than $0.01 per share) in fourth-quarter 2023, $175 million ($76 million to net income attributable to common stock or $0.05 per share) in fourth-quarter 2022, $183 million ($62 million to net income attributable to common stock or $0.04 per share) for the year 2023 and $60 million ($25 million to net income attributable to common stock or $0.02 per share) for the year 2022. For further discussion, refer to the supplemental schedule, “Derivative Instruments,” beginning on page IX.
c.Includes net charges totaling $5 million (less than $0.01 per share) in fourth-quarter 2023, $51 million ($0.04 per share) in fourth-quarter 2022, $373 million ($0.26 per share) for the year 2023 and $74 million ($0.05 per share) for the year 2022 that are described in the supplemental schedule, “Adjusted Net Income,” on page VII.
d.FCX defers recognizing profits on intercompany sales until final sales to third parties occur. For a summary of net impacts from changes in these deferrals, refer to the supplemental schedule, “Deferred Profits,” on page X.
e.FCX’s economic interest in PT-FI is 48.76% and prior to January 1, 2023, it approximated 81%.
f.Working capital and other uses totaled $211 million in fourth-quarter 2023, $548 million in fourth-quarter 2022, $0.9 billion for the year 2023 and $1.5 billion for the year 2022.
g.Includes $1.1 billion associated with a portion of PT-FI’s export proceeds required to be temporarily deposited in Indonesia banks for 90 days in accordance with a 2023 regulation issued by the Indonesia government.

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SUMMARY OPERATING DATA

|  | Three Months Ended December 31, |  | Years Ended December 31, |
|  | 2023 |  | 2022 |  | 2023 |  | 2022 |
Copper (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production |  | 1,095 |  |  | 1,070 |  |  | 4,212 |  |  | 4,210 |  |
Sales, excluding purchases |  | 1,116 |  |  | 1,042 |  |  | 4,086 |  |  | 4,213 |  |
Average realized price per pound |  | $ | 3.81 |  |  | $ | 3.77 |  |  | $ | 3.85 |  |  | $ | 3.90 |  |
Site production and delivery costs per pound a |  | $ | 2.25 |  |  | $ | 2.28 |  |  | $ | 2.36 |  |  | $ | 2.19 |  |
Unit net cash costs per pound a |  | $ | 1.52 |  |  | $ | 1.53 |  |  | $ | 1.61 |  |  | $ | 1.50 |  |
Gold (thousands of recoverable ounces) |  |  |  |  |  |  |  |  |
Production |  | 573 |  |  | 472 |  |  | 1,993 |  |  | 1,811 |  |
Sales |  | 549 |  |  | 458 |  |  | 1,713 |  |  | 1,823 |  |
Average realized price per ounce |  | $ | 2,034 |  |  | $ | 1,789 |  |  | $ | 1,972 |  |  | $ | 1,787 |  |
Molybdenum (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production |  | 20 |  |  | 22 |  |  | 82 |  |  | 85 |  |
Sales, excluding purchases |  | 22 |  |  | 19 |  |  | 81 |  |  | 75 |  |
Average realized price per pound |  | $ | 20.66 |  |  | $ | 18.94 |  |  | $ | 24.64 |  |  | $ | 18.71 |  |

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 by operating division to production and delivery costs applicable to sales reported in FCX’s consolidated financial statements, refer to the supplemental schedules, “Product Revenues and Production Costs,” beginning on page XIV.
Consolidated Sales Volumes
•Fourth-quarter 2023 copper sales of 1.1 billion pounds were 3% higher than the October 2023 estimate of 1.09 billion pounds and 7% higher than fourth-quarter 2022 sales of 1.04 billion pounds. The favorable variances to the October 2023 estimate and fourth-quarter 2022 sales primarily reflect higher mining and milling rates at PT-FI.
•Fourth-quarter 2023 gold sales of 549 thousand ounces were 5% lower than the October 2023 estimate of 580 thousand ounces and 20% higher than fourth-quarter 2022 sales of 458 thousand ounces. The unfavorable variance to the October 2023 estimate primarily reflects the timing of shipments associated with the resumption of anode slimes exports at PT-FI. On December 11, 2023, PT-FI was granted its anode slimes export license (which is valid through May 31, 2024) and resumed exports. The favorable variance to fourth-quarter 2022 sales primarily reflects higher mining and milling rates and ore grades at PT-FI.
•Fourth-quarter 2023 molybdenum sales of 22 million pounds were 10% higher than the October 2023 estimate of 20 million pounds and 16% higher than fourth-quarter 2022 sales of 19 million pounds, primarily reflecting the timing of shipments.
Consolidated sales volumes for the year 2024 are expected to approximate 4.1 billion pounds of copper, 2.0 million ounces of gold and 85 million pounds of molybdenum, including 1.0 billion pounds of copper, 575 thousand ounces of gold and 20 million pounds of molybdenum in first-quarter 2024. Consolidated copper production volumes for the year 2024 are expected to exceed 2024 sales volumes, reflecting the deferral of approximately 90 million pounds of copper that will be processed by the Manyar smelter and sold as refined metal in future periods.
Projected sales volumes are dependent on operational performance; extension of PT-FI’s export permits for copper concentrates and anode slimes beyond May 2024; the timing of the ramp-up of the Manyar smelter and precious metals refinery (PMR) (collectively, the Indonesia smelter projects); weather-related conditions, including ongoing El Niño weather impacts; timing of shipments and other factors detailed in the “Cautionary Statement” below.

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Consolidated Unit Net Cash Costs
Fourth-quarter 2023 consolidated average unit net cash costs (net of by-product credits) for FCX’s copper mines of $1.52 per pound of copper were lower than the October 2023 estimate of $1.58 per pound, primarily reflecting higher volumes in Indonesia.
Fourth-quarter 2023 consolidated average unit net cash costs (net of by-product credits) for FCX’s copper mines of $1.52 per pound of copper were slightly lower than fourth-quarter 2022 average unit net cash costs of $1.53 per pound, primarily reflecting higher by-product credits and volumes, partly offset by higher export duties and treatment charges. Refer to “Mining Operations” below for further discussion.
Consolidated unit net cash costs (net of by-product credits) for FCX’s copper mines are expected to average $1.60 per pound of copper for the year 2024 (including $1.55 per pound of copper in first-quarter 2024), based on achievement of current sales volume and cost estimates and assuming average prices of $2,000 per ounce of gold and $19.00 per pound of molybdenum for the year 2024. Estimated consolidated unit net cash costs for the year 2024 include assessment of export duties at PT-FI of $0.11 per pound of copper (see “Regulatory Matters” below). Quarterly unit net cash costs vary with fluctuations in sales volumes and realized prices, primarily for gold and molybdenum. The impact of price changes on consolidated unit net cash costs for the year 2024 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.
MINING OPERATIONS
Leaching Innovation Initiatives. FCX is advancing a series of initiatives across its North America and South America operations to incorporate new applications, technologies and data analytics to its leaching processes. These leach innovation initiatives are providing opportunities to produce incremental copper from FCX’s large existing leach stockpiles. Initial results are providing incremental low-cost additions to FCX’s expected annual production and the potential to add to FCX’s reserve profile. FCX achieved its initial annual run rate target of approximately 200 million pounds of copper per year through these initiatives in fourth-quarter 2023 (incremental copper production from these initiatives totaled 47 million pounds in fourth-quarter 2023 and 144 million pounds for the year 2023). FCX is pursuing opportunities to apply recent operational enhancements at a larger scale and is testing new technology applications that it believes have the potential for significant increases in recoverable metal beyond the initial annual run rate target.
North America Copper Mines. FCX operates seven open-pit copper mines in North America – Morenci, Bagdad, Safford (including Lone Star), Sierrita and Miami in Arizona, and Chino and Tyrone in New Mexico. In addition to copper, certain of these mines produce molybdenum concentrate, gold and silver. All of the North America mining operations are wholly owned, except for Morenci. FCX records its 72% undivided joint venture interest in Morenci using the proportionate consolidation method.
Operating and Development Activities. FCX has substantial reserves and future opportunities in the U.S., primarily associated with existing mining operations.
FCX is planning an expansion 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. FCX completed technical studies in late 2023, which indicated the opportunity to construct new concentrating facilities to expand capacity from 77,000 metric tons of ore per day to between 165,000 to 185,000 metric tons of ore per day. Incremental project capital costs approximate $3.5 billion (excluding infrastructure that would be required in the long-range plans) and is expected to increase production by approximately 200-250 million pounds per year, which would more than double Bagdad’s current production. Expanded operations also are expected to 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 would require approximately three to four years to complete. The decision to proceed and timing of the potential expansion will take into account overall copper market conditions, availability of labor and other factors, including progress on conversion of the existing haul truck fleet to autonomous and expanding housing alternatives to support long-range plans. In parallel, FCX is advancing activities for expanded tailings infrastructure projects required under long-range plans in order to advance the potential construction timeline.
FCX continues to advance plans at Safford/Lone Star to increase volumes to achieve 300 million pounds of copper per year from oxide ores, which reflects expansion of the initial design capacity of 200 million pounds of copper per year. Positive drilling conducted in recent years indicates opportunities to expand production to include

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sulfide ores in the future. FCX is completing metallurgical testing and mine development planning and expects to commence pre-feasibility studies during 2024 for a potential significant expansion.
Operating Data. Following is summary consolidated operating data for the North America copper mines:

|  | Three Months Ended December 31, |  | Years Ended December 31, |
|  | 2023 |  | 2022 |  | 2023 |  | 2022 |
Copper (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production |  | 320 |  |  | 358 |  |  | 1,350 |  |  | 1,467 |  |
Sales, excluding purchases |  | 318 |  |  | 338 |  |  | 1,361 |  |  | 1,469 |  |
Average realized price per pound |  | $ | 3.79 |  |  | $ | 3.73 |  |  | $ | 3.93 |  |  | $ | 4.08 |  |
Molybdenum (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production a |  | 7 |  |  | 7 |  |  | 30 |  |  | 29 |  |
Unit net cash costs per pound of copper b |  |  |  |  |  |  |  |  |
Site production and delivery, excluding adjustments |  | $ | 3.13 |  |  | $ | 2.70 |  |  | $ | 3.00 |  |  | $ | 2.58 |  |
By-product credits |  | (0.40) |  |  | (0.32) |  |  | (0.49) |  |  | (0.33) |  |
Treatment charges |  | 0.13 |  |  | 0.11 |  |  | 0.12 |  |  | 0.10 |  |
Unit net cash costs |  | $ | 2.86 |  |  | $ | 2.49 |  |  | $ | 2.63 |  |  | $ | 2.35 |  |

a.Refer to summary operating data on page 3 for FCX’s consolidated molybdenum sales, which include sales of molybdenum produced at the North America copper mines.
b.For a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in FCX’s consolidated financial statements, refer to the supplemental schedules, “Product Revenues and Production Costs,” beginning on page XIV.
FCX’s consolidated copper production and sales from the North America copper mines for the fourth quarter and year 2023 were below the 2022 periods, primarily associated with the Morenci and Safford mines. The declines primarily reflect lower ore grades, partly offset by leach recovery initiatives and higher mining and milling rates. FCX is pursuing a number of initiatives to enhance productivity and improve equipment reliability to offset declines in ore grades. FCX is also reviewing cost performance and evaluating the costs and benefits of adjusting mining and milling rates at Morenci.
North America copper sales are estimated to approximate 1.3 billion pounds for the year 2024.
Average unit net cash costs (net of by-product credits) for the North America copper mines of $2.86 per pound of copper in fourth-quarter 2023 were higher than fourth-quarter 2022 unit net cash costs of $2.49 per pound, primarily reflecting lower volumes and increased costs of labor (including contract labor), partly offset by lower energy costs and higher molybdenum by-product credits.
Average unit net cash costs (net of by-product credits) for the North America copper mines are expected to approximate $2.89 per pound of copper for the year 2024, based on achievement of current sales volume and cost estimates and assuming an average price of $19.00 per pound of molybdenum. North America’s average unit net cash costs for the year 2024 would change by approximately $0.04 per pound for each $2 per pound change in the average price of molybdenum.
South America Mining. FCX operates two copper mines in South America – Cerro Verde in Peru (in which FCX owns a 53.56% interest) and El Abra in Chile (in which FCX owns a 51% interest). These operations are consolidated in FCX’s financial statements. In addition to copper, the Cerro Verde mine produces molybdenum concentrate and silver.
Operating and Development Activities. At the El Abra operations in Chile, FCX has identified a large sulfide resource that would support a potential major mill project similar to the large-scale concentrator at Cerro Verde. Technical and economic studies continue to be evaluated to determine the optimal scope and timing for the sulfide project. Capital cost requirements are being updated to reflect current market conditions. FCX is evaluating water infrastructure alternatives to provide options to extend existing operations and support a future expansion, while continuing to monitor Chile’s regulatory and fiscal matters, as well as trends in capital costs for similar projects. In parallel, as part of the permitting process for the potential expansion, FCX is engaged in planning for a potential

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submission of an environmental impact statement during 2025, subject to ongoing stakeholder engagement and economic evaluations.
Operating Data. Following is summary consolidated operating data for South America mining:

|  | Three Months Ended December 31, |  | Years Ended December 31, |
|  | 2023 |  | 2022 |  | 2023 |  | 2022 |
Copper (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production |  | 286 |  |  | 314 |  |  | 1,202 |  |  | 1,176 |  |
Sales |  | 287 |  |  | 317 |  |  | 1,200 |  |  | 1,162 |  |
Average realized price per pound |  | $ | 3.83 |  |  | $ | 3.78 |  |  | $ | 3.82 |  |  | $ | 3.80 |  |
Molybdenum (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production a |  | 5 |  |  | 5 |  |  | 22 |  |  | 23 |  |
Unit net cash costs per pound of copper b |  |  |  |  |  |  |  |  |
Site production and delivery, excluding adjustments |  | $ | 2.74 |  |  | $ | 2.57 |  |  | $ | 2.57 |  |  | $ | 2.52 |  |
By-product credits |  | (0.22) |  |  | (0.42) |  |  | (0.39) |  |  | (0.34) |  |
Treatment charges |  | 0.19 |  |  | 0.14 |  |  | 0.19 |  |  | 0.15 |  |
Royalty on metals |  | 0.01 |  |  | 0.01 |  |  | 0.01 |  |  | 0.01 |  |
Unit net cash costs |  | $ | 2.72 |  |  | $ | 2.30 |  |  | $ | 2.38 |  |  | $ | 2.34 |  |

a.Refer to summary operating data on page 3 for FCX’s consolidated molybdenum sales, which include sales of molybdenum produced at Cerro Verde.
b.For a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in FCX’s consolidated financial statements, refer to the supplemental schedules, “Product Revenues and Production Costs,” beginning on page XIV.
FCX’s consolidated production from South America mining for the year 2023 was higher than the year 2022, primarily reflecting an increase in mining rates and ore grades.
FCX’s consolidated copper sales volumes from South America of 287 million pounds in fourth-quarter 2023 were lower than fourth-quarter 2022 copper sales volumes of 317 million pounds, primarily reflecting impacts at Cerro Verde associated with lower recovery rates as a result of ore types processed and slightly lower milling rates and ore grades. Projected copper sales volumes of 1.1 billion in 2024 from South America mining reflect lower ore grades at Cerro Verde, but assume no significant impacts to water availability, which is being monitored closely in light of ongoing El Niño weather patterns.
Average unit net cash costs (net of by-product credits) for South America mining of $2.72 per pound of copper in fourth-quarter 2023 were higher than fourth-quarter 2022 unit net cash costs of $2.30 per pound, primarily reflecting lower volumes and molybdenum by-product credits, and higher treatment charges, partly offset by lower input costs.
Average unit net cash costs (net of by-product credits) for South America mining are expected to approximate $2.37 per pound of copper for the year 2024, based on achievement of current sales volume and cost estimates and assuming an average price of $19.00 per pound of molybdenum.
Indonesia Mining. PT-FI operates one of the world’s largest copper and gold mines at the Grasberg minerals district in Central Papua, Indonesia. PT-FI produces copper concentrate that contains significant quantities of gold and silver. FCX has a 48.76% ownership interest in PT-FI and manages its mining operations. PT-FI’s results are consolidated in FCX’s financial statements.
Regulatory Matters. Over the past several years, the Indonesia government has enacted various laws and regulations to promote downstream processing of various products, including copper concentrates. In 2018, PT-FI agreed to expand its domestic smelting and refining capacity and has made substantial progress towards completion. At year-end 2023, progress on these projects was measured at over 90% (refer to “Indonesia Smelting and Refining” below).
In July 2023, PT-FI was granted an export license for copper concentrate, and in December 2023, PT-FI was granted an export license for anode slimes, each for the export of specified quantities of concentrates and

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slimes and valid through May 2024. PT-FI is working with the Indonesia government to obtain approvals to continue exports of copper concentrates and anode slimes subsequent to May 2024 until the Indonesia smelter projects are fully commissioned and reach designed operating conditions.
In July 2023, the Ministry of Finance issued a revised regulation on duties for various exported products, including copper concentrates. Under the revised regulation PT-FI was assessed export duties for copper concentrates at 7.5% in the second half of 2023. For 2024, the revised regulation assesses export duties for copper concentrates at 10% for companies with smelter progress of 70% to 90%, and at 7.5% for companies with smelter progress above 90%. PT-FI has requested that its achievement of construction progress exceeding 90% for the Indonesia smelter projects be reflected in any future assessments. PT-FI also continues to discuss the applicability of the revised regulation with the Indonesia government because of inconsistencies with its special mining license (IUPK), which provides that no export duties would be assessed after smelter development progress exceeded 50%. PT-FI has incurred export duties totaling $307 million in the second half of 2023 ($160 million in fourth-quarter 2023) under the revised regulation.
Mining Rights. Given the long-term nature of planning for mining investments, the Indonesia government is updating regulations that would enable PT-FI to apply sooner for an extension of its IUPK beyond 2041. 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 and Development Activities. Over a multi-year investment period, PT-FI has successfully commissioned three large-scale underground mines in the Grasberg minerals district (Grasberg Block Cave, Deep Mill Level Zone and Big Gossan), which provided production volumes of 1.7 billion pounds of copper and 2.0 million ounces of gold for the year 2023. Milling rates for ore from these underground mines averaged 214,300 metric tons of ore per day in fourth-quarter 2023, an approximate 8% increase from 198,100 metric tons of ore per day in fourth-quarter 2022. PT-FI set a number of annual operating records during 2023, including total underground ore mined (and milled) and volume of concentrate produced.
In December 2023, PT-FI completed the installation of new milling facilities, which will enable PT-FI to further leverage the success of the underground mines and provide sustained large-scale production volumes. PT-FI is also advancing a mill recovery project with the installation of a new copper cleaner circuit that is expected to be completed in the second half of 2024 to provide incremental production of approximately 60 million pounds of copper and 40 thousand ounces of gold per year.
PT-FI continues advancing plans to transition its existing energy source from coal to liquefied natural gas, which is expected to meaningfully reduce PT-FI’s Scope 1 greenhouse gas emissions at the Grasberg minerals district. PT-FI is planning investments in a new gas-fired combined cycle facility. Capital expenditures for the new facilities, to be incurred over the next four years, approximate $1 billion representing an incremental cost of $0.4 billion compared to previously planned investments to refurbish the existing coal units.
Kucing Liar. Long-term mine development activities are ongoing for PT-FI’s Kucing Liar deposit in the Grasberg minerals district, which is expected to produce over 7 billion pounds of copper and 6 million ounces of gold between 2029 and the end of 2041. An extension of PT-FI’s operating rights beyond 2041 would extend the life of the project. Pre-production development activities commenced in 2022 and are expected to continue over an approximate 10-year timeframe. Capital investments are estimated to average approximately $400 million per year over this period. At full operating rates of approximately 90,000 metric tons of ore per day, annual production from Kucing Liar is expected to approximate 560 million pounds of copper and 520 thousand ounces of gold, providing PT-FI with sustained long-term, large-scale and low-cost production. Kucing Liar will benefit from substantial shared infrastructure and PT-FI’s experience and long-term success in block-cave mining.
Indonesia Smelting and Refining. In connection with PT-FI’s 2018 agreement with the Indonesia government to secure the extension of its long-term mining rights, PT-FI agreed to expand its domestic smelting and refining capacity. At the end of 2023, progress of the Indonesia smelter projects exceeded 90%. PT-FI is actively engaged in the following projects for additional domestic smelting and refining capacity:
•In December 2023, PT Smelting commissioned the expansion of its capacity by 30% to 1.3 million metric tons of copper concentrate per year. The project was successfully completed on time and within budget. The project was funded by PT-FI with borrowings totaling approximately $250 million that will convert to equity in mid-2024, increasing PT-FI’s ownership in PT Smelting to approximately 65% from 39.5%.
•Construction progress of the Manyar smelter in Gresik, Indonesia (with a capacity to process approximately 1.7 million metric tons of copper concentrate per year) is advancing on schedule with a target of May 2024

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for mechanical completion, followed by a ramp-up period through December 2024. Construction of the smelter has an estimated cost of $3.0 billion, including $2.8 billion for a construction contract (excluding capitalized interest, owner’s costs and commissioning) and $0.2 billion for investment in a desalination plant.
•The PMR is being constructed to process gold and silver from the Manyar smelter and PT Smelting. Construction is in progress with commissioning expected during 2024. Current cost estimates total $665 million, which is approximately $90 million higher than the October 2023 estimate, reflecting updated costs for construction materials, labor and engineering.
Capital expenditures for the Indonesia smelter projects totaled $1.7 billion for the year 2023 and are expected to approximate $1.0 billion for the year 2024. Capital expenditures for the Indonesia smelter projects are being funded with PT-FI’s senior notes and availability under its revolving credit facility.
Operating Data. Following is summary consolidated operating data for Indonesia mining:

|  | Three Months Ended December 31, |  | Years Ended December 31, |
|  | 2023 |  | 2022 |  | 2023 |  | 2022 |
Copper (millions of recoverable pounds) |  |  |  |  |  |  |  |  |
Production |  | 489 |  |  | 398 |  |  | 1,660 |  |  | 1,567 |  |
Sales |  | 511 |  |  | 387 |  |  | 1,525 |  |  | 1,582 |  |
Average realized price per pound |  | $ | 3.81 |  |  | $ | 3.80 |  |  | $ | 3.81 |  |  | $ | 3.80 |  |
Gold (thousands of recoverable ounces) |  |  |  |  |  |  |  |  |
Production |  | 569 |  |  | 468 |  |  | 1,978 |  |  | 1,798 |  |
Sales |  | 544 |  |  | 455 |  |  | 1,697 |  |  | 1,811 |  |
Average realized price per ounce |  | $ | 2,034 |  |  | $ | 1,789 |  |  | $ | 1,972 |  |  | $ | 1,787 |  |
Unit net cash costs per pound of copper a |  |  |  |  |  |  |  |  |
Site production and delivery, excluding adjustments |  | $ | 1.42 |  |  | $ | 1.69 |  |  | $ | 1.62 |  |  | $ | 1.58 |  |
Gold, silver and other by-product credits |  | (2.29) |  |  | (2.20) |  |  | (2.30) |  |  | (2.13) |  |
Treatment charges |  | 0.34 |  |  | 0.22 |  |  | 0.35 |  |  | 0.22 |  |
Export duties b |  | 0.31 |  |  | 0.16 |  |  | 0.21 |  |  | 0.19 |  |
Royalty on metals |  | 0.22 |  |  | 0.19 |  |  | 0.22 |  |  | 0.23 |  |
Unit net cash costs |  | $ | — |  |  | $ | 0.06 |  |  | $ | 0.10 |  |  | $ | 0.09 |  |

a.For a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in FCX’s consolidated financial statements, refer to the supplemental schedules, “Product Revenues and Production Costs,” beginning on page XIV.
b.Export duties were eliminated effective March 29, 2023, upon verification that construction progress of the Manyar smelter exceeded 50%. However, as noted in “Regulatory Matters” above, beginning in July 2023, PT-FI is being assessed export duties under a revised regulation, which it is continuing to discuss with the Indonesia government.
PT-FI’s consolidated sales of 511 million pounds of copper and 544 thousand ounces of gold in fourth-quarter 2023 were significantly higher than fourth-quarter 2022 sales of 387 million pounds of copper and 455 thousand ounces of gold, primarily reflecting higher mining rates and ore grades.
Consolidated sales volumes from PT-FI are expected to approximate 1.7 billion pounds of copper and 2.0 million ounces of gold for the year 2024. Consolidated copper production volumes from PT-FI for the year 2024 are expected to exceed 2024 sales volumes, reflecting the deferral of approximately 90 million pounds of copper that will be processed by the Manyar smelter and sold as refined metal in future periods. Projected sales volumes are dependent on operational performance; extension of PT-FI’s export permits for copper concentrates and anode slimes beyond May 2024; weather-related conditions; and other factors detailed in the “Cautionary Statement” below.
PT-FI’s unit net cash costs (net of gold, silver and other by-product credits) of less than $0.01 per pound of copper in fourth-quarter 2023 were lower than unit net cash costs of $0.06 per pound of copper in fourth-quarter 2022, primarily reflecting higher volumes and gold, silver and other by-product credits, partly offset by higher export duties and treatment charges.

|  |  | 8

Average unit net cash costs (including gold, silver and other by-product credits) for PT-FI are expected to approximate $0.09 per pound of copper for the year 2024, based on achievement of current sales volumes and cost estimates and assuming an average price of $2,000 per ounce of gold. PT-FI’s estimated unit net cash costs for the year 2024 include assessment of export duties of $0.27 per pound of copper (see “Regulatory Matters” above). PT-FI’s average unit net cash costs for the year 2024 would change by approximately $0.10 per pound of copper for each $100 per ounce change in the average price of gold.
Molybdenum Mines. FCX operates two wholly owned molybdenum mines in Colorado - the Climax open-pit mine and the Henderson underground mine. The Climax and Henderson mines produce high-purity, chemical-grade molybdenum concentrate, which is typically further processed into value-added molybdenum chemical products. The majority of the molybdenum concentrate produced at the Climax and Henderson mines and at FCX’s North America and South America copper mines is processed at FCX’s conversion facilities.
Operating and Development Activities. Production from the Molybdenum mines totaled 8 million pounds of molybdenum in fourth-quarter 2023 and was lower than fourth-quarter 2022 production of 10 million pounds of molybdenum, primarily reflecting lower milling rates associated with unplanned mill maintenance. FCX’s consolidated molybdenum sales and average realized prices include sales of molybdenum produced at the Molybdenum mines and at FCX’s North America and South America copper mines, which are presented on page 3.
Average unit net cash costs for the Molybdenum mines of $14.83 per pound of molybdenum in fourth-quarter 2023 were higher than average unit net cash costs of $11.94 per pound in fourth-quarter 2022, primarily reflecting lower production volumes and higher contract labor costs. Average unit net cash costs for the Molybdenum mines are expected to approximate $14.29 per pound of molybdenum for the year 2024, based on achievement of current sales volumes and cost estimates.
For a reconciliation of unit net cash costs per pound to production and delivery costs applicable to sales reported in FCX’s consolidated financial statements, refer to the supplemental schedules, “Product Revenues and Production Costs,” beginning on page XIV.
PRELIMINARY ESTIMATED RECOVERABLE PROVEN AND PROBABLE MINERAL RESERVES AND MINERAL RESOURCES
FCX has significant mineral reserves, mineral resources and future development opportunities within its portfolio of mining assets. FCX’s preliminary estimated consolidated recoverable proven and probable mineral reserves from its mines at December 31, 2023, include 104.1 billion pounds of copper, 24.5 million ounces of gold and 3.34 billion pounds of molybdenum, which were determined using metal price assumptions of $3.00 per pound for copper, $1,500 per ounce for gold and $12.00 per pound for molybdenum. The preliminary estimated recoverable proven and probable mineral reserves presented in the table below represent the estimated metal quantities from which FCX expects to be paid after application of estimated metallurgical recovery rates and smelter recovery rates, where applicable. Recoverable mineral reserve volumes are those which FCX estimates can be economically extracted or produced at the time of the mineral reserve determination.

| Preliminary Estimated Recoverable Proven and Probable Mineral Reserves |
| at December 31, 2023 |
| Copper |  | Gold |  | Molybdenum |
| (billion pounds) |  | (million ounces) |  | (billion pounds) |
North America | 44.7 |  |  | 0.6 |  |  | 2.66 |  |
South America | 30.5 |  |  | — |  |  | 0.68 |  |
Indonesia | 29.0 |  |  | 23.9 |  |  | — |  |
Consolidated basis a,b | 104.1 |  |  | 24.5 |  |  | 3.34 |  |
Net equity interest c | 75.1 |  |  | 12.2 |  |  | 3.02 |  |

a.Consolidated mineral reserves represent estimated metal quantities after reduction for FCX’s joint venture partners’ interest at the Morenci mine in North America. Excluded from the table above are FCX’s estimated recoverable proven and probable silver reserves of 329 million ounces, which were determined using $20 per ounce.
b.May not foot because of rounding.

|  |  | 9

c.Net equity interest mineral reserves represent estimated consolidated metal quantities further reduced for noncontrolling interest ownership. Excluded from the table above are FCX’s estimated net recoverable proven and probable silver reserves of 218 million ounces.
Following is a summary of changes in FCX’s preliminary estimated consolidated recoverable proven and probable mineral reserves during 2023:

| Copper |  | Gold |  | Molybdenum |
| (billion pounds) |  | (million ounces) |  | (billion pounds) |
Reserves at December 31, 2022 | 111.0 |  |  | 26.9 |  |  | 3.53 |  |
Net revisions | (2.7) |  |  | (0.4) |  |  | (0.11) |  |
Production | (4.2) |  |  | (2.0) |  |  | (0.08) |  |
Reserves at December 31, 2023 | 104.1 |  |  | 24.5 |  |  | 3.34 |  |

In addition to the preliminary estimated consolidated recoverable proven and probable mineral reserves, FCX’s preliminary estimated mineral resources (including measured, indicated and inferred resources) at December 31, 2023, which were assessed using $3.50 per pound for copper, totaled 211 billion pounds of incremental contained copper. FCX continues to pursue opportunities to convert this material into mineral reserves, future production volumes and cash flow. See “Cautionary Statement” below.
LIQUIDITY, CASH FLOWS, CASH AND DEBT
Liquidity. At December 31, 2023, FCX had $4.8 billion in consolidated cash and cash equivalents ($5.8 billion including current restricted cash and cash equivalents associated with PT-FI’s export proceeds required to be temporarily deposited in Indonesia banks) and $3.0 billion of availability under its revolving credit facility. In addition, PT-FI and Cerro Verde have $1.75 billion and $350 million, respectively, of availability under their respective revolving credit facilities.
At December 31, 2023, FCX had $1.2 billion in current restricted cash and cash equivalents, which includes (i) $1.1 billion in PT-FI’s export proceeds temporarily deposited in Indonesia banks in accordance with a 2023 regulation issued by the Indonesia government that requires 30% of export proceeds to be temporarily deposited into Indonesia banks for a period of 90 days before withdrawal, and (ii) $145 million in assurance bonds to support PT-FI’s commitment for smelter development in Indonesia.
Operating Cash Flows. FCX generated operating cash flows of $1.3 billion (net of $0.2 billion of working capital and other uses) in fourth-quarter 2023 and $5.3 billion (net of $0.9 billion of working capital and other uses) for the year 2023.
FCX’s consolidated operating cash flows are estimated to approximate $5.8 billion (including $0.1 billion of working capital and other sources) for the year 2024, based on current sales volume and cost estimates, and assuming average prices of $3.75 per pound of copper, $2,000 per ounce of gold and $19.00 per pound of molybdenum. The impact of price changes on operating cash flows for the year 2024 would approximate $400 million for each $0.10 per pound change in the average price of copper, $180 million for each $100 per ounce change in the average price of gold and $120 million for each $2 per pound change in the average price of molybdenum.
Capital Expenditures. Capital expenditures totaled $1.4 billion in fourth-quarter 2023 (including $0.5 billion for major mining projects and $0.5 billion for the Indonesia smelter projects) and $4.8 billion for the year 2023 (including $1.8 billion for major mining projects and $1.7 billion for the Indonesia smelter projects).
Capital expenditures are expected to approximate $4.6 billion for the year 2024 (including $2.3 billion for major mining projects and $1.0 billion for the Indonesia smelter projects). Projected capital expenditures for major mining projects include $1.1 billion for planned projects primarily associated with underground mine development in the Grasberg minerals district and potential expansion projects in North America, and $1.2 billion for discretionary growth projects. Capital expenditures for the Indonesia smelter projects are being funded with PT-FI’s senior notes and availability under its revolving credit facility.

|  |  | 10

Cash. Following is a summary of the U.S. and international components of consolidated cash and cash equivalents available to the parent company, excluding cash committed for the Indonesia smelter projects and net of noncontrolling interests’ share, taxes and other costs at December 31, 2023 (in billions):

Cash at domestic companies | $ | 2.7 |  |
Cash at international operations | 2.1 |  | a
Total consolidated cash and cash equivalents | 4.8 |  |
Cash for Indonesia smelter projects | (0.2) |  | b
Noncontrolling interests’ share | (0.9) |  |
Cash, net of noncontrolling interests’ share | 3.7 |  |
Withholding taxes | (0.1) |  |
Net cash available | $ | 3.6 |  |

a.Excludes $1.1 billion of cash associated with a portion of PT-FI’s export proceeds required to be temporarily deposited in Indonesia banks for 90 days in accordance with a 2023 regulation issued by the Indonesia government, which is presented as current restricted cash and cash equivalents in FCX’s consolidated balance sheet.
b.Estimated remaining net proceeds from PT-FI’s senior notes.
Debt. Following is a summary of total debt and the weighted-average interest rates at December 31, 2023 (in billions, except percentages):

|  |  | Weighted- Average Interest Rate
Senior notes: |  |  |
Issued by FCX | $ | 6.0 |  |  | 4.9%
Issued by PT-FI | 3.0 |  |  | 5.4%
Issued by Freeport Minerals Corporation | 0.3 |  |  | 7.5%
Other | 0.1 |  |  | 4.0%
Total debt | $ | 9.4 |  |  | 5.2%

At December 31, 2023, there were no borrowings and $7 million in letters of credit issued under FCX’s $3.0 billion revolving credit facility. FCX has $0.7 billion in scheduled senior note maturities in November 2024 with no further senior note maturities until 2027. FCX’s total debt has an average remaining duration of approximately 10 years.
In November 2023, PT-FI amended and restated its senior unsecured revolving credit facility to, among other things, increase the availability from $1.3 billion to $1.75 billion, extend the maturity date under the facility from July 2026 to November 2028 and reduce the applicable margin rates. As of December 31, 2023, PT-FI had no borrowings outstanding under its revolving credit facility.
FINANCIAL POLICY
FCX’s financial policy is aligned with its strategic objectives of maintaining a strong balance sheet, providing cash returns to shareholders and advancing opportunities for future growth. The policy includes a base dividend and a performance-based payout framework, whereby up to 50% of available cash flows generated after planned capital spending and distributions to noncontrolling interests would be allocated to shareholder returns and the balance to debt reduction and investments in value enhancing growth projects, subject to FCX maintaining its net debt at a level not to exceed the net debt target of $3.0 billion to $4.0 billion (excluding net project debt for the Indonesia smelter projects). The Board of Directors (Board) reviews the structure of the performance-based payout framework at least annually.
At December 31, 2023, FCX’s net debt, excluding net debt for the Indonesia smelter projects, totaled $0.8 billion (which was net of $1.1 billion of current restricted cash associated with PT-FI’s export proceeds). Refer to the supplemental schedule, “Net Debt,” on page IX.
On December 20, 2023, FCX’s Board declared cash dividends totaling $0.15 per share on its common stock (including a $0.075 per share quarterly base cash dividend and a $0.075 per share quarterly variable, performance-based cash dividend), which will be paid on February 1, 2024, to shareholders of record as of January 12, 2024. The declaration and payment of dividends (base or variable) is at the discretion of the Board and will

|  |  | 11

depend on FCX’s financial results, cash requirements, global economic conditions and other factors deemed relevant by the Board.
As of January 23, 2023, FCX has 1.43 billion shares of common stock outstanding and $3.2 billion is available under its share repurchase program. The timing and amount of share repurchases is at the discretion of management and will depend on a variety of factors. The share repurchase program may be modified, increased, suspended or terminated at any time at the Board’s discretion.
WEBCAST INFORMATION
A conference call with securities analysts to discuss FCX’s fourth-quarter and year ended 2023 results is scheduled for today at 10:00 a.m. Eastern Time. The conference call will be broadcast on the internet along with slides. Interested parties may listen to the conference call live and view the slides by accessing fcx.com. A replay of the webcast will be available through Friday, February 16, 2024.
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FREEPORT: Foremost in Copper
FCX is a leading international mining company with headquarters in Phoenix, Arizona. FCX operates large, long-lived, geographically diverse assets with significant proven and probable reserves of copper, gold and molybdenum. FCX is one of the world’s largest publicly traded copper producers.
FCX’s portfolio of assets includes the Grasberg minerals district in Indonesia, one of the world’s largest copper and gold deposits; and significant mining operations in North America and South America, including the large-scale Morenci minerals district in Arizona and the Cerro Verde operation in Peru.
By supplying responsibly produced copper, FCX is proud to be a positive contributor to the world well beyond its operational boundaries. Additional information about FCX is available on FCX’s website at fcx.com.
Cautionary Statement: This press release contains forward-looking statements in which FCX discusses its 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; global market conditions; ore grades and milling rates; production and sales volumes; unit net cash costs and operating costs; capital expenditures; operating plans; cash flows; liquidity; PT-FI’s construction and completion of additional domestic smelting and refining capacity in Indonesia in accordance with the terms of its IUPK; extension of PT-FI’s IUPK beyond 2041; export licenses; export duties; export volumes; FCX’s commitment to deliver responsibly produced copper and molybdenum, including plans to implement, validate and maintain validation of its operating sites under specific frameworks; execution of FCX’s energy and climate strategies and the underlying assumptions and estimated impacts on FCX’s business and stakeholders related thereto; achievement of 2030 climate targets and 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 FCX’s 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 the Board and management, respectively, and are subject to a number of factors, including not exceeding FCX’s net debt target, capital availability, FCX’s financial results, cash requirements, global economic conditions, changes in laws, contractual restrictions and other factors deemed relevant by the Board or management, as applicable. The share repurchase program may be modified, increased, suspended or terminated at any time at the Board’s discretion.
FCX cautions 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 FCX’s 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 FCX produces, primarily copper; PT-FI’s ability to continue to export and sell copper concentrates and anode slimes; changes in export duties, including results of proceedings to dispute export duties; completion of additional domestic smelting and refining capacity in Indonesia; production rates; timing of shipments; price and availability of consumables and components FCX purchases as well as constraints on supply and logistics, and transportation services; changes in FCX’s cash requirements, financial position, financing or investment plans; changes in general market, economic, geopolitical, regulatory or industry conditions; 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; results of technical, economic or feasibility studies; potential inventory adjustments; potential impairment of long-lived mining assets; satisfaction of requirements in accordance with PT-FI’s IUPK to extend mining rights from 2031 through 2041; discussions relating to the extension of PT-FI’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; litigation results; tailings management; FCX’s ability to comply with its responsible production commitments under specific frameworks and any changes to such frameworks and other factors described in more detail under the heading “Risk Factors” in FCX’s Annual Report on Form 10-K for the year ended December 31, 2022, filed with the U.S. Securities and Exchange Commission (SEC), as updated by FCX’s subsequent filings with the SEC.

|  |  | 12

Investors are cautioned that many of the assumptions upon which FCX’s forward-looking statements are based are likely to change after the date the forward-looking statements are made, including for example commodity prices, which FCX cannot control, and production volumes and costs or technological solutions and innovations, some aspects of which FCX may not be able to control. Further, FCX may make changes to its business plans that could affect its results. FCX cautions investors that it undertakes no obligation to update any forward-looking statements, which speak only as of the date made, notwithstanding any changes in its assumptions, changes in business plans, actual experience or other changes.
Estimates of mineral reserves and mineral resources are subject to considerable uncertainty. Such estimates are, to a large extent, based on metal prices for the commodities we produce and interpretations of geologic data, which may not necessarily be indicative of future results or quantities ultimately recovered. This press release also includes forward-looking statements regarding mineral resources not included in proven and probable mineral reserves. A mineral resource, which includes measured, indicated and inferred mineral resources, is a concentration or occurrence of material of economic interest in or on the Earth’s crust in such form, grade or quality, and quantity that there are reasonable prospects for economic extraction. Such a deposit cannot qualify as recoverable proven and probable mineral reserves until legal and economic feasibility are confirmed based upon a comprehensive evaluation of development and operating costs, grades, recoveries and other material modifying factors. Accordingly, no assurance can be given that the estimated mineral resources will become proven and probable mineral reserves.
This press release also contains measures such as net debt, adjusted net income and unit net cash costs per pound of copper and molybdenum, which are not recognized under U.S. generally accepted accounting principles. Reconciliations of these measures to amounts reported in FCX’s consolidated financial statements are in the supplemental schedules of this press release.

|  |  | 13

Freeport-McMoRan Inc.
SELECTED OPERATING DATA
| Three Months Ended December 31, |
| 2023 |  | 2022 |  | 2023 |  | 2022 |
| Production |  | Sales |
COPPER (millions of recoverable pounds) |  |  |  |
(FCX’s net interest in %) |  |  |  |
North America |  |  |  |  |  |  |  |
Morenci (72%)a | 140 |  |  | 151 |  |  | 137 |  |  | 144 |  |
Safford (100%) | 56 |  |  | 70 |  |  | 57 |  |  | 66 |  |
Sierrita (100%) | 43 |  |  | 41 |  |  | 44 |  |  | 40 |  |
Bagdad (100%) | 35 |  |  | 41 |  |  | 35 |  |  | 39 |  |
Chino (100%) | 32 |  |  | 39 |  |  | 32 |  |  | 34 |  |
Tyrone (100%) | 11 |  |  | 16 |  |  | 11 |  |  | 15 |  |
Miami (100%) | 3 |  |  | 3 |  |  | 3 |  |  | 3 |  |
Other (100%) | — |  |  | (3) |  |  | (1) |  |  | (3) |  |
Total North America | 320 |  |  | 358 |  |  | 318 |  |  | 338 |  |
South America |  |  |  |  |  |  |  |
Cerro Verde (53.56%) | 229 |  |  | 254 |  |  | 234 |  |  | 260 |  |
El Abra (51%) | 57 |  |  | 60 |  |  | 53 |  |  | 57 |  |
Total South America | 286 |  |  | 314 |  |  | 287 |  |  | 317 |  |
Indonesia |  |  |  |  |  |  |  |
Grasberg (48.76%)b | 489 |  |  | 398 |  |  | 511 |  |  | 387 |  |
Total | 1,095 |  |  | 1,070 |  |  | 1,116 |  | c | 1,042 |  | c
Less noncontrolling interests | 384 |  |  | 222 |  |  | 397 |  |  | 221 |  |
Net | 711 |  |  | 848 |  |  | 719 |  |  | 821 |  |
Average realized price per pound |  |  |  |  | $ | 3.81 |  |  | $ | 3.77 |  |
GOLD (thousands of recoverable ounces) |  |  |  |  |  |  |  |
(FCX’s net interest in %) |  |  |  |  |  |  |  |
North America (100%) | 4 |  |  | 4 |  |  | 5 |  |  | 3 |  |
Indonesia (48.76%)b | 569 |  |  | 468 |  |  | 544 |  |  | 455 |  |
Consolidated | 573 |  |  | 472 |  |  | 549 |  |  | 458 |  |
Less noncontrolling interests | 292 |  |  | 88 |  |  | 279 |  |  | 85 |  |
Net | 281 |  |  | 384 |  |  | 270 |  |  | 373 |  |
Average realized price per ounce |  |  |  |  | $ | 2,034 |  |  | $ | 1,789 |  |
MOLYBDENUM (millions of recoverable pounds) |  |  |  |  |  |  |  |
(FCX’s net interest in %) |  |  |  |  |  |  |  |
Climax (100%) | 5 |  |  | 7 |  |  | N/A |  | N/A |
Henderson (100%) | 3 |  |  | 3 |  |  | N/A |  | N/A |
North America copper mines (100%)a | 7 |  |  | 7 |  |  | N/A |  | N/A |
Cerro Verde (53.56%) | 5 |  |  | 5 |  |  | N/A |  | N/A |
Consolidated | 20 |  |  | 22 |  |  | 22 |  |  | 19 |  |
Less noncontrolling interests | 2 |  |  | 3 |  |  | 3 |  |  | 3 |  |
Net | 18 |  |  | 19 |  |  | 19 |  |  | 16 |  |
Average realized price per pound |  |  |  |  | $ | 20.66 |  |  | $ | 18.94 |  |
a. Amounts are net of Morenci’s joint venture partners’ undivided interests.
b. FCX’s economic interest in PT Freeport Indonesia (PT-FI) is 48.76% and prior to January 1, 2023, it approximated 81%.
c. Consolidated sales volumes exclude purchased copper of 18 million pounds in fourth-quarter 2023 and 38 million pounds in fourth-quarter 2022.

I

Freeport-McMoRan Inc.
SELECTED OPERATING DATA (continued)
| Years Ended December 31, |
| 2023 |  | 2022 |  | 2023 |  | 2022 |
| Production |  | Sales |
COPPER (millions of recoverable pounds) |  |  |  |
(FCX’s net interest in %) |  |  |  |
North America |  |  |  |  |  |  |  |
Morenci (72%)a | 575 |  |  | 636 |  |  | 578 |  |  | 639 |  |
Safford (100%) | 245 |  |  | 285 |  |  | 250 |  |  | 281 |  |
Sierrita (100%) | 185 |  |  | 184 |  |  | 183 |  |  | 186 |  |
Bagdad (100%) | 146 |  |  | 165 |  |  | 148 |  |  | 169 |  |
Chino (100%) | 141 |  |  | 130 |  |  | 143 |  |  | 127 |  |
Tyrone (100%) | 51 |  |  | 59 |  |  | 53 |  |  | 59 |  |
Miami (100%) | 12 |  |  | 11 |  |  | 12 |  |  | 11 |  |
Other (100%) | (5) |  |  | (3) |  |  | (6) |  |  | (3) |  |
Total North America | 1,350 |  |  | 1,467 |  |  | 1,361 |  |  | 1,469 |  |
South America |  |  |  |  |  |  |  |
Cerro Verde (53.56%) | 985 |  |  | 974 |  |  | 988 |  |  | 964 |  |
El Abra (51%) | 217 |  |  | 202 |  |  | 212 |  |  | 198 |  |
Total South America | 1,202 |  |  | 1,176 |  |  | 1,200 |  |  | 1,162 |  |
Indonesia |  |  |  |  |  |  |  |
Grasberg (48.76%)b | 1,660 |  |  | 1,567 |  |  | 1,525 |  |  | 1,582 |  |
Total | 4,212 |  |  | 4,210 |  |  | 4,086 |  | c | 4,213 |  | c
Less noncontrolling interests | 1,414 |  |  | 845 |  |  | 1,344 |  |  | 840 |  |
Net | 2,798 |  |  | 3,365 |  |  | 2,742 |  |  | 3,373 |  |
Average realized price per pound |  |  |  |  | $ | 3.85 |  |  | $ | 3.90 |  |
GOLD (thousands of recoverable ounces) |  |  |  |  |  |  |  |
(FCX’s net interest in %) |  |  |  |  |  |  |  |
North America (100%) | 15 |  |  | 13 |  |  | 16 |  |  | 12 |  |
Indonesia (48.76%)b | 1,978 |  | d | 1,798 |  |  | 1,697 |  | d | 1,811 |  |
Consolidated | 1,993 |  |  | 1,811 |  |  | 1,713 |  |  | 1,823 |  |
Less noncontrolling interests | 952 |  |  | 337 |  |  | 808 |  |  | 339 |  |
Net | 1,041 |  |  | 1,474 |  |  | 905 |  |  | 1,484 |  |
Average realized price per ounce |  |  |  |  | $ | 1,972 |  |  | $ | 1,787 |  |
MOLYBDENUM (millions of recoverable pounds) |  |  |  |  |  |  |  |
(FCX’s net interest in %) |  |  |  |  |  |  |  |
Climax (100%) | 17 |  |  | 21 |  |  | N/A |  | N/A |
Henderson (100%) | 13 |  |  | 12 |  |  | N/A |  | N/A |
North America copper mines (100%)a | 30 |  |  | 29 |  |  | N/A |  | N/A |
Cerro Verde (53.56%) | 22 |  |  | 23 |  |  | N/A |  | N/A |
Consolidated | 82 |  |  | 85 |  |  | 81 |  |  | 75 |  |
Less noncontrolling interests | 10 |  |  | 11 |  |  | 10 |  |  | 10 |  |
Net | 72 |  |  | 74 |  |  | 71 |  |  | 65 |  |
Average realized price per pound |  |  |  |  | $ | 24.64 |  |  | $ | 18.71 |  |
a. Amounts are net of Morenci’s joint venture partners’ undivided interests.
b. FCX’s economic interest in PT-FI is 48.76% and prior to January 1, 2023, it approximated 81%.
c. Consolidated sales volumes exclude purchased copper of 103 million pounds for the year 2023 and 124 million pounds for the year 2022.
d. Includes approximately 190 thousand ounces of gold production and sales volumes attributed to PT Mineral Industri Indonesia’s (MIND ID) approximate 19% economic interest in accordance with the PT-FI shareholders agreement.

II

Freeport-McMoRan Inc. |
SELECTED OPERATING DATA (continued) |
| Three Months Ended December 31, |  | Years Ended December 31, |
| 2023 |  | 2022 |  | 2023 |  | 2022 |
100% North America Copper Mines |  |  |  |  |  |  |  |
Leach Operations |  |  |  |  |  |  |  |
Leach ore placed in stockpiles (metric tons per day) | 740,500 |  |  | 653,300 |  |  | 692,000 |  |  | 676,400 |  |
Average copper ore grade (%) | 0.19 |  |  | 0.29 |  |  | 0.23 |  |  | 0.29 |  |
Copper production (millions of recoverable pounds) | 223 |  |  | 260 |  |  | 941 |  |  | 1,019 |  |
Mill Operations |  |  |  |  |  |  |  |
Ore milled (metric tons per day) | 305,100 |  |  | 283,900 |  |  | 308,500 |  |  | 294,200 |  |
Average ore grades (%): |  |  |  |  |  |  |  |
Copper | 0.31 |  |  | 0.35 |  |  | 0.32 |  |  | 0.37 |  |
Molybdenum | 0.02 |  |  | 0.02 |  |  | 0.02 |  |  | 0.02 |  |
Copper recovery rate (%) | 81.0 |  |  | 80.7 |  |  | 81.8 |  |  | 81.8 |  |
Production (millions of recoverable pounds): |  |  |  |  |  |  |  |
Copper | 152 |  |  | 157 |  |  | 633 |  |  | 695 |  |
Molybdenum | 7 |  |  | 7 |  |  | 31 |  |  | 30 |  |
100% South America Mining |  |  |  |  |  |  |  |
Leach Operations |  |  |  |  |  |  |  |
Leach ore placed in stockpiles (metric tons per day) | 193,500 |  |  | 178,900 |  |  | 191,200 |  |  | 163,000 |  |
Average copper ore grade (%) | 0.38 |  |  | 0.35 |  |  | 0.35 |  |  | 0.35 |  |
Copper production (millions of recoverable pounds) | 80 |  |  | 85 |  |  | 317 |  |  | 302 |  |
Mill Operations |  |  |  |  |  |  |  |
Ore milled (metric tons per day) | 407,600 |  |  | 411,400 |  |  | 417,400 |  |  | 409,200 |  |
Average ore grades (%): |  |  |  |  |  |  |  |
Copper | 0.33 |  |  | 0.34 |  |  | 0.34 |  |  | 0.32 |  |
Molybdenum | 0.02 |  |  | 0.01 |  |  | 0.01 |  |  | 0.01 |  |
Copper recovery rate (%) | 78.9 |  |  | 85.0 |  |  | 81.3 |  |  | 85.3 |  |
Production (millions of recoverable pounds): |  |  |  |  |  |  |  |
Copper | 206 |  |  | 229 |  |  | 885 |  |  | 874 |  |
Molybdenum | 5 |  |  | 5 |  |  | 22 |  |  | 23 |  |
100% Indonesia Mining |  |  |  |  |  |  |  |
Ore extracted and milled (metric tons per day): |  |  |  |  |  |  |  |
Grasberg Block Cave underground mine | 133,200 |  |  | 110,200 |  |  | 117,300 |  |  | 103,300 |  |
Deep Mill Level Zone underground mine | 76,500 |  |  | 68,300 |  |  | 75,900 |  |  | 76,300 |  |
Big Gossan underground mine | 8,300 |  |  | 7,600 |  |  | 7,900 |  |  | 7,600 |  |
Other adjustments | (3,700) |  |  | 12,000 |  |  | (2,800) |  |  | 5,400 |  |
Total | 214,300 |  |  | 198,100 |  |  | 198,300 |  |  | 192,600 |  |
Average ore grades: |  |  |  |  |  |  |  |
Copper (%) | 1.32 |  |  | 1.15 |  |  | 1.22 |  |  | 1.19 |  |
Gold (grams per metric ton) | 1.18 |  |  | 1.04 |  |  | 1.12 |  |  | 1.05 |  |
Recovery rates (%): |  |  |  |  |  |  |  |
Copper | 90.2 |  |  | 90.6 |  |  | 89.7 |  |  | 90.0 |  |
Gold | 78.8 |  |  | 77.2 |  |  | 77.9 |  |  | 77.7 |  |
Production (recoverable): |  |  |  |  |  |  |  |
Copper (millions of pounds) | 489 |  |  | 398 |  |  | 1,660 |  |  | 1,567 |  |
Gold (thousands of ounces) | 569 |  |  | 468 |  |  | 1,978 |  |  | 1,798 |  |
100% Molybdenum Mines |  |  |  |  |  |  |  |
Ore milled (metric tons per day) | 28,200 |  |  | 30,600 |  |  | 27,900 |  |  | 26,100 |  |
Average molybdenum ore grade (%) | 0.17 |  |  | 0.17 |  |  | 0.15 |  |  | 0.18 |  |
Molybdenum production (millions of recoverable pounds) | 8 |  |  | 10 |  |  | 30 |  |  | 33 |  |

III

Freeport-McMoRan Inc.
CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
| Three Months Ended |  | Years Ended |
| December 31, |  | December 31, |
| 2023 |  | 2022 |  | 2023 |  | 2022 |
| (In Millions, Except Per Share Amounts) |
Revenues a | $ | 5,905 |  |  | $ | 5,758 |  |  | $ | 22,855 |  |  | $ | 22,780 |  |
Cost of sales: |  |  |  |  |  |  |  |
Production and delivery b | 3,360 |  |  | 3,508 |  |  | 13,627 |  |  | 13,070 |  |
Depreciation, depletion and amortization | 589 |  |  | 515 |  |  | 2,068 |  |  | 2,019 |  |
Total cost of sales | 3,949 |  |  | 4,023 |  |  | 15,695 |  |  | 15,089 |  |
Selling, general and administrative expenses | 120 |  |  | 107 |  |  | 479 |  |  | 420 |  |
Mining exploration and research expenses | 34 |  |  | 28 |  |  | 137 |  |  | 115 |  |
Environmental obligations and shutdown costs | 80 |  |  | 70 |  |  | 319 |  |  | 121 |  |
Net gain on sales of assets | — |  |  | — |  |  | — |  |  | (2) |  |
Total costs and expenses | 4,183 |  |  | 4,228 |  |  | 16,630 |  |  | 15,743 |  |
Operating income | 1,722 |  |  | 1,530 |  |  | 6,225 |  |  | 7,037 |  |
Interest expense, net c | (97) |  |  | (137) |  |  | (515) |  |  | (560) |  |
Net gain on early extinguishment of debt | — |  |  | 3 |  |  | 10 |  |  | 31 |  |
Other income, net | 103 |  |  | 140 |  |  | 286 |  |  | 207 |  |
Income before income taxes and equity in affiliated companies’ net earnings (losses) | 1,728 |  |  | 1,536 |  |  | 6,006 |  |  | 6,715 |  |
Provision for income taxes d | (724) |  |  | (557) |  |  | (2,270) |  |  | (2,267) |  |
Equity in affiliated companies’ net earnings (losses) | 3 |  |  | (2) |  |  | 15 |  |  | 31 |  |
Net income | 1,007 |  |  | 977 |  |  | 3,751 |  |  | 4,479 |  |
Net income attributable to noncontrolling interests e | (619) |  |  | (280) |  |  | (1,903) |  |  | (1,011) |  |
Net income attributable to common stockholders f,g | $ | 388 |  |  | $ | 697 |  |  | $ | 1,848 |  |  | $ | 3,468 |  |
Diluted net income per share attributable to common stock | $ | 0.27 |  |  | $ | 0.48 |  |  | $ | 1.28 |  |  | $ | 2.39 |  |
Diluted weighted-average common shares outstanding | 1,444 |  |  | 1,440 |  |  | 1,443 |  |  | 1,451 |  |
Dividends declared per share of common stock | $ | 0.15 |  |  | $ | 0.15 |  |  | $ | 0.60 |  |  | $ | 0.60 |  |

a.Includes adjustments to provisionally priced concentrate and cathode sales. For a summary of adjustments to provisionally priced copper sales, refer to the supplemental schedule, “Derivative Instruments,” beginning on page IX.
b.FCX is engaged in various studies associated with potential future expansion projects primarily at its mining operations. Production and delivery costs include charges for these feasibility and optimization studies totaling $46 million in fourth-quarter 2023, $56 million in fourth-quarter 2022, $185 million for the year 2023 and $139 million for the year 2022.
c.Consolidated interest costs (before capitalization) totaled $177 million in fourth-quarter 2023 and $186 million in fourth-quarter 2022, $782 million for the year 2023 and $710 million for the year 2022. The decrease in consolidated interest costs (before capitalization) in the fourth quarter of 2023, compared to the fourth quarter of 2022, is primarily a result of lower average outstanding debt in fourth-quarter 2023. The increase in consolidated interest costs (before capitalization) for the year 2023, compared to the year 2022, is primarily related to interest associated with Peruvian Supreme Court rulings that are being contested by Cerro Verde (refer to the supplemental schedule, “Adjusted Net Income,” on page VII).
d.For a summary of FCX’s income taxes, refer to the supplemental schedule, “Income Taxes,” on page VIII.
e.Net income attributable to noncontrolling interests is primarily associated with PT-FI, Cerro Verde and El Abra. For further discussion, refer to the supplemental schedule, “Noncontrolling Interests,” on page X.
f.FCX defers recognizing profits on intercompany sales until final sales to third parties occur. For a summary of net impacts from changes in these deferrals, refer to the supplemental schedule, “Deferred Profits,” on page X.
g.Refer to the supplemental schedule, “Adjusted Net Income,” on page VII, for a summary of net charges impacting FCX’s consolidated statements of income.
IV

Freeport-McMoRan Inc.
CONSOLIDATED BALANCE SHEETS (Unaudited)
| December 31, |
| 2023 |  | 2022 |
| (In Millions) |
ASSETS |  |  |  |
Current assets: |  |  |  |
Cash and cash equivalents | $ | 4,758 |  |  | $ | 8,146 |  |
Restricted cash and cash equivalents | 1,208 |  | a | 111 |  |
Trade accounts receivable | 1,209 |  |  | 1,336 |  |
Income and other tax receivables | 455 |  |  | 459 |  |
Inventories: |  |  |  |
Product | 2,472 |  |  | 1,833 |  |
Materials and supplies, net | 2,169 |  |  | 1,964 |  |
Mill and leach stockpiles | 1,419 |  |  | 1,383 |  |
Other current assets | 375 |  |  | 381 |  |
Total current assets | 14,065 |  |  | 15,613 |  |
Property, plant, equipment and mine development costs, net | 35,295 |  |  | 32,627 |  |
Long-term mill and leach stockpiles | 1,336 |  |  | 1,252 |  |
Other assets | 1,810 |  |  | 1,601 |  |
Total assets | $ | 52,506 |  |  | $ | 51,093 |  |
LIABILITIES AND EQUITY |  |  |  |
Current liabilities: |  |  |  |
Accounts payable and accrued liabilities | $ | 3,729 |  |  | $ | 4,027 |  |
Accrued income taxes | 786 |  |  | 744 |  |
Current portion of debt | 766 |  |  | 1,037 |  |
Current portion of environmental and asset retirement obligations (AROs) | 316 |  |  | 320 |  |
Dividends payable | 218 |  |  | 217 |  |
Total current liabilities | 5,815 |  |  | 6,345 |  |
Long-term debt, less current portion | 8,656 |  |  | 9,583 |  |
Environmental and AROs, less current portion | 4,624 |  |  | 4,463 |  |
Deferred income taxes | 4,453 |  |  | 4,269 |  |
Other liabilities | 1,648 |  |  | 1,562 |  |
Total liabilities | 25,196 |  |  | 26,222 |  |
Equity: |  |  |  |
Stockholders’ equity: |  |  |  |
Common stock | 162 |  |  | 161 |  |
Capital in excess of par value | 24,637 |  |  | 25,322 |  |
Accumulated deficit | (2,059) |  |  | (3,907) |  |
Accumulated other comprehensive loss | (274) |  |  | (320) |  |
Common stock held in treasury | (5,773) |  |  | (5,701) |  |
Total stockholders’ equity | 16,693 |  |  | 15,555 |  |
Noncontrolling interests | 10,617 |  |  | 9,316 |  |
Total equity | 27,310 |  |  | 24,871 |  |
Total liabilities and equity | $ | 52,506 |  |  | $ | 51,093 |  |

a.Includes $1.1 billion of cash associated with a portion of PT-FI’s export proceeds required to be temporarily deposited in Indonesia banks for 90 days in accordance with a 2023 regulation issued by the Indonesia government.
V

Freeport-McMoRan Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
|  |  |  | Years Ended |
|  |  |  | December 31, |
|  |  |  |  |  | 2023 |  | 2022 |
|  |  |  |  |  | (In Millions) |
Cash flow from operating activities: |  |  |  |  |  |  |  |  |
Net income |  |  |  |  |  | $ | 3,751 |  |  | $ | 4,479 |  |
Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |  |  |  |  |  |
Depreciation, depletion and amortization |  |  |  |  |  | 2,068 |  |  | 2,019 |  |
Stock-based compensation |  |  |  |  |  | 109 |  |  | 95 |  |
Net charges for environmental and AROs, including accretion |  |  |  |  |  | 295 |  |  | 369 |  |
Payments for environmental and AROs |  |  |  |  |  | (250) |  |  | (274) |  |
Charge for talc-related litigation |  |  |  |  |  | 65 |  |  | — |  |
Net charges for defined pension and postretirement plans |  |  |  |  |  | 62 |  |  | 45 |  |
Pension plan contributions |  |  |  |  |  | (75) |  |  | (54) |  |
Net gain on early extinguishment of debt |  |  |  |  |  | (10) |  |  | (31) |  |
Net gain on sales of assets |  |  |  |  |  | — |  |  | (2) |  |
Deferred income taxes |  |  |  |  |  | 182 |  |  | 36 |  |
Deferred profit recognized on PT-FI sales to PT Smelting |  |  |  |  |  | (112) |  |  | (14) |  |
Impairment of oil and gas properties |  |  |  |  |  | 67 |  |  | — |  |
Other, net |  |  |  |  |  | 51 |  |  | (1) |  |
Changes in working capital and other: |  |  |  |  |  |  |  |  |
Accounts receivable |  |  |  |  |  | 166 |  |  | 56 |  |
Inventories |  |  |  |  |  | (873) |  |  | (573) |  |
Other current assets |  |  |  |  |  | (29) |  |  | (12) |  |
Accounts payable and accrued liabilities |  |  |  |  |  | (205) |  |  | — |  |
Accrued income taxes and timing of other tax payments |  |  |  |  |  | 17 |  |  | (999) |  |
Net cash provided by operating activities |  |  |  |  |  | 5,279 |  |  | 5,139 |  |
Cash flow from investing activities: |  |  |  |  |  |  |  |  |
Capital expenditures: |  |  |  |  |  |  |  |  |
North America copper mines |  |  |  |  |  | (761) |  |  | (597) |  |
South America |  |  |  |  |  | (368) |  |  | (304) |  |
Indonesia mining |  |  |  |  |  | (1,696) |  |  | (1,575) |  |
Indonesia smelter projects |  |  |  |  |  | (1,715) |  |  | (806) |  |
Molybdenum mines |  |  |  |  |  | (84) |  |  | (33) |  |
Other |  |  |  |  |  | (200) |  |  | (154) |  |
Proceeds from sales of assets |  |  |  |  |  | 27 |  |  | 108 |  |
Loans to PT Smelting for expansion |  |  |  |  |  | (129) |  |  | (65) |  |
Other, net |  |  |  |  |  | (30) |  |  | (14) |  |
Net cash used in investing activities |  |  |  |  |  | (4,956) |  |  | (3,440) |  |
Cash flow from financing activities: |  |  |  |  |  |  |  |  |
Proceeds from debt |  |  |  |  |  | 1,781 |  |  | 5,735 |  |
Repayments of debt |  |  |  |  |  | (2,980) |  |  | (4,515) |  |
Cash dividends and distributions paid: |  |  |  |  |  |  |  |  |
Common stock |  |  |  |  |  | (863) |  |  | (866) |  |
Noncontrolling interests |  |  |  |  |  | (625) |  |  | (840) |  |
Treasury stock purchases |  |  |  |  |  | — |  |  | (1,347) |  |
Contributions from noncontrolling interests |  |  |  |  |  | 50 |  |  | 189 |  |
Proceeds from exercised stock options |  |  |  |  |  | 47 |  |  | 125 |  |
Payments for withholding of employee taxes related to stock-based awards |  |  |  |  |  | (50) |  |  | (55) |  |
Debt financing costs and other, net |  |  |  |  |  | (10) |  |  | (49) |  |
Net cash used in financing activities |  |  |  |  |  | (2,650) |  |  | (1,623) |  |
Net (decrease) increase in cash, cash equivalents and restricted cash and cash equivalents |  |  |  |  |  | (2,327) |  |  | 76 |  |
Cash, cash equivalents and restricted cash and cash equivalents at beginning of year |  |  |  |  |  | 8,390 |  |  | 8,314 |  |
Cash, cash equivalents and restricted cash and cash equivalents at end of period a |  |  |  |  |  | $ | 6,063 |  |  | $ | 8,390 |  |

a.Includes restricted cash and cash equivalents of $1.3 billion at December 31, 2023, and $244 million at December 31, 2022.
VI

Freeport-McMoRan Inc.
ADJUSTED NET INCOME
Management uses adjusted net income to evaluate FCX’s operating performance and believes that investors’ understanding of FCX’s performance is enhanced by disclosing this measure, which excludes certain items that management believes are not directly related to ongoing operations and are not indicative of future business trends and operations. This information differs from net income attributable to common stock determined in accordance with U.S. generally accepted accounting principles (GAAP) and should not be considered in isolation or as a substitute for measures of performance determined in accordance with U.S. GAAP. FCX’s adjusted net income, which may not be comparable to similarly titled measures reported by other companies, follows (in millions, except per share amounts).

| Three Months Ended December 31, |
| 2023 |  | 2022 |
| Pre-tax |  | After-tax a |  | Per Share |  | Pre-tax |  | After-tax a |  | Per Share |
Net income attributable to common stock | N/A |  | $ | 388 |  |  | $ | 0.27 |  |  | N/A |  | $ | 697 |  |  | $ | 0.48 |  |
ARO adjustments, net | $ | 125 |  | b | $ | 46 |  |  | $ | 0.03 |  |  | $ | (114) |  |  | $ | (55) |  |  | $ | (0.04) |  |
Net adjustments to environmental obligations and related litigation reserves | (61) |  | c | (61) |  |  | (0.04) |  |  | (58) |  |  | (58) |  |  | (0.04) |  |
Asset impairments | (8) |  | d | (8) |  |  | (0.01) |  |  | — |  |  | — |  |  | — |  |
PT-FI net credits | 8 |  | e | 5 |  |  | — |  |  | 68 |  | f | 40 |  |  | 0.03 |  |
Net gain on early extinguishment of debt | — |  |  | — |  |  | — |  |  | 3 |  |  | 3 |  |  | — |  |
Other net (charges) credits | (1) |  | g | (1) |  |  | — |  |  | 30 |  | h | 18 |  |  | 0.01 |  |
Net tax credits | N/A |  | 14 |  |  | 0.01 |  |  | N/A |  | — |  |  | — |  |
Total net credits (charges)j | $ | 63 |  |  | $ | (5) |  |  | $ | — |  |  | $ | (71) |  |  | $ | (51) |  |  | $ | (0.04) |  |
Adjusted net income attributable to common stock | N/A |  | $ | 393 |  |  | $ | 0.27 |  |  | N/A |  | $ | 748 |  |  | $ | 0.52 |  |

| Years Ended December 31, |
| 2023 |  | 2022 |
| Pre-tax |  | After-tax a |  | Per Share |  | Pre-tax |  | After-tax a |  | Per Share |
Net income attributable to common stock | N/A |  | $ | 1,848 |  |  | $ | 1.28 |  |  | N/A |  | $ | 3,468 |  |  | $ | 2.39 |  |
ARO adjustments, net | $ | 123 |  | b | $ | 45 |  |  | $ | 0.03 |  |  | $ | (122) |  |  | $ | (63) |  |  | $ | (0.04) |  |
Net adjustments to environmental obligations and related litigation reserves | (260) |  | c | (260) |  |  | (0.18) |  |  | (66) |  |  | (66) |  |  | (0.05) |  |
Asset impairments | (88) |  | d | (85) |  |  | (0.06) |  |  | — |  |  | — |  |  | — |  |
PT-FI net (charges) credits | (36) |  | e | (16) |  |  | (0.01) |  |  | 34 |  | f | 17 |  |  | 0.01 |  |
Cerro Verde contested tax rulings | (142) |  | i | (73) |  |  | (0.05) |  |  | — |  |  | — |  |  | — |  |
Net gain on early extinguishment of debt | 10 |  |  | 10 |  |  | 0.01 |  |  | 31 |  |  | 36 |  |  | 0.03 |  |
Net gain on sales of assets | — |  |  | — |  |  | — |  |  | 2 |  |  | 2 |  |  | — |  |
Other net charges | (3) |  | g | (8) |  |  | (0.01) |  |  | (41) |  | h | (17) |  |  | (0.01) |  |
Net tax credits | N/A |  | 14 |  |  | 0.01 |  |  | N/A |  | 16 |  |  | 0.01 |  |
Total net charges j | $ | (396) |  |  | $ | (373) |  |  | $ | (0.26) |  |  | $ | (162) |  |  | $ | (74) |  |  | $ | (0.05) |  |
Adjusted net income attributable to common stock | N/A |  | $ | 2,221 |  |  | $ | 1.54 |  |  | N/A |  | $ | 3,542 |  |  | $ | 2.44 |  |

a.Reflects impact to FCX’s net income attributable to common stock (i.e., net of any taxes and noncontrolling interests).
b.Primarily reflects credits to correct certain inputs in the historical PT-FI ARO model.
c.Includes a charge of $65 million associated with an adjustment to the proposed settlement of talc-related litigation.
d.Includes charges for impairment of oil and gas properties ($8 million in the fourth quarter and $67 million for the year 2023) and impairment of mining assets ($21 million for the year 2023), which were recorded to production and delivery.
e.Includes credits (charges) associated with the release of export duty exposure for prior years, a potential administrative fine and net favorable tax rulings, which were recorded to revenues ($17 million for the year 2023), production and delivery ($(55) million for the year 2023), interest expense, net ($3 million in the fourth quarter and $1 million for the year 2023) and other income, net ($5 million in the fourth quarter and $1 million for the year 2023).
f.Includes net (charges) credits associated with disputed matters at PT-FI (including historical tax audits and an administrative fine levied by the Indonesia government), asset impairments and exposure for additional export duties for prior periods, which were recorded to revenues ($(18) million for the year 2022), production and delivery ($(8) million in the fourth quarter and $(20) million for the year 2022), interest expense, net ($(4) million for the year 2022) and other income, net ($76 million in the fourth quarter and for the year 2022).
g.Includes (charges) associated metals inventory adjustments, contract-cancellation costs and a litigation settlement, partly offset by credits associated with the settlement of interest on Cerro Verde’s historical profit sharing liability and international tax refunds, which were recorded to production and delivery ($(11) million in the fourth quarter and $(22) million for the year 2023), selling, general and administrative expenses ($(4) million for the year 2023), interest expense, net ($13 million for the year 2023) and other income, net ($10 million for the fourth quarter and year 2023).
h.Reflects net credits (charges) primarily associated with metals inventory adjustments, a historical tax audit, contract-cancellation costs and litigation settlements, which were recorded to production and delivery ($25 million in the fourth quarter and $(44) million for the year 2022), interest expense, net ($9 million for the year 2022) and other income, net ($5 million in fourth quarter and $(6) million for the year 2022).
i.Includes (charges) credits associated with contested tax rulings issued by the Peruvian Supreme Court recorded to interest expense, net ($(74) million), other income, net ($(69) million) and production and delivery ($1 million).
j.May not foot because of rounding.
VII

Freeport-McMoRan Inc.
INCOME TAXES
Following is a summary of the approximate amounts used in the calculation of FCX’s consolidated income tax provision (in millions, except percentages):

| Three Months Ended December 31, |
| 2023 |  | 2022 |
|  |  |  |  | Income Tax |  |  |  |  |  | Income Tax |
| Income |  | Effective |  | (Provision) |  | Income |  | Effective |  | (Provision) |
| (Loss)a |  | Tax Rate |  | Benefit |  | (Loss)a |  | Tax Rate |  | Benefit |
U.S.b | $ | (125) |  |  | —% | c | $ | (2) |  |  | $ | (43) |  |  | 21% | c | $ | 9 |  |
South America | 200 |  |  | 37% |  | (74) |  |  | 434 |  |  | 38% |  | (166) |  |
Indonesia | 1,695 |  |  | 36% |  | (615) |  |  | 1,145 |  |  | 38% |  | (438) |  |
PT-FI historical contested tax disputes | — |  |  | N/A |  | — |  |  | 76 |  |  | N/A |  | (19) |  |
Eliminations and other | (42) |  |  | N/A |  | 15 |  |  | (76) |  |  | N/A |  | 27 |  |
Rate adjustment d | — |  |  | N/A |  | (48) |  |  | — |  |  | N/A |  | 30 |  |
Continuing operations | $ | 1,728 |  |  | 42% |  | $ | (724) |  |  | $ | 1,536 |  |  | 36% |  | $ | (557) |  |

| Years Ended December 31, |
| 2023 |  | 2022 |
|  |  |  |  | Income Tax |  |  |  |  |  | Income Tax |
| Income |  | Effective |  | (Provision) |  | Income |  | Effective |  | (Provision) |
| (Loss)a |  | Tax Rate |  | Benefit |  | (Loss)a |  | Tax Rate |  | Benefit |
U.S.b | $ | 55 |  |  | —% | c | $ | 1 |  |  | $ | 811 |  |  | —% | c | $ | 4 |  |
South America | 1,161 |  | e | 44% |  | (512) |  |  | 1,236 |  |  | 37% |  | (453) |  |
Indonesia | 4,825 |  |  | 37% |  | (1,774) |  |  | 4,629 |  |  | 39% |  | (1,797) |  |
PT-FI historical contested tax disputes | — |  |  | N/A |  | — |  |  | 72 |  |  | N/A |  | (23) |  |
Eliminations and other | (35) |  |  | N/A |  | 15 |  |  | (33) |  |  | N/A |  | 2 |  |
Continuing operations | $ | 6,006 |  |  | 38% |  | $ | (2,270) |  |  | $ | 6,715 |  |  | 34% |  | $ | (2,267) |  |

a.Represents income before income taxes, equity in affiliated companies’ net earnings (losses), and noncontrolling interests.
b.In addition to FCX’s North America mining operations, the U.S. jurisdiction reflects corporate-level expenses, which include interest expense associated with senior notes, general and administrative expenses, and environmental obligations and shutdown costs.
c.Includes valuation allowance release on prior year unbenefited net operating losses. See below for discussion of the provisions of the U.S. Inflation Reduction Act of 2022.
d.In accordance with applicable accounting rules, FCX adjusts its interim provision for income taxes equal to its consolidated tax rate.
e.Includes net charges associated with contested tax rulings issued by the Peruvian Supreme Court totaling $142 million ($73 million net of noncontrolling interests). Refer to the supplemental schedule, “Adjusted Net Income,” on page VII.
The provisions of the U.S. Inflation Reduction Act of 2022 (the Act) became applicable to FCX on January 1, 2023. The Act includes, among other provisions, a new Corporate Alternative Minimum Tax (CAMT) of 15% on the adjusted financial statement income (AFSI) of corporations with average AFSI exceeding $1.0 billion over a three-year period. FCX has made interpretations of certain provisions of the Act, and based on these interpretations, determined that the provisions of the Act did not materially impact FCX’s financial results in 2023. Although the U.S. Department of the Treasury (Treasury) published guidance in 2023 that provided some additional clarity on these rules, uncertainty remains regarding the application of the CAMT. Future guidance released by the Treasury may differ from FCX’s interpretations of the Act, which could be material and may further limit FCX’s ability to realize future benefits from its U.S. net operating losses.
Assuming achievement of current sales volume and cost estimates and average prices of $3.75 per pound for copper, $2,000 per ounce for gold and $19.00 per pound for molybdenum, FCX estimates its consolidated effective tax rate for the year 2024 would approximate 40%. Changes in projected sales volumes and average prices during 2024 would incur tax impacts at estimated effective rates of 39% for Peru, 36% for Indonesia and 0% for the U.S., which excludes any impact from the Act. FCX’s projected estimated effective tax rate of 0% for the U.S. for the year 2024 may be adjusted as additional guidance is released by the Treasury on key provisions of the Act.
VIII

Freeport-McMoRan Inc.
NET DEBT
FCX believes that net debt provides investors with information related to the performance-based payout framework in FCX’s financial policy, which requires FCX to maintain its net debt at a level not to exceed the net debt target of $3 billion to $4 billion (excluding net project debt for the Indonesia smelter projects). FCX defines net debt as consolidated debt less (i) consolidated cash and cash equivalents and (ii) current restricted cash associated with PT-FI’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. FCX’s net debt, which may not be comparable to similarly titled measures reported by other companies, follows (in billions):

| As of December 31, |  |
| 2023 |  | 2022 |  |
Current portion of debt | $ | 0.8 |  |  | $ | 1.0 |  |  |
Long-term debt, less current portion | 8.7 |  |  | 9.6 |  |  |
Consolidated debt | 9.4 |  | a | 10.6 |  |  |
Less: consolidated cash and cash equivalents | 4.8 |  |  | 8.1 |  |  |
Less: current restricted cash associated with PT-FI’s export proceeds b | 1.1 |  |  | — |  |  |
FCX net debt | 3.6 |  | a | 2.5 |  |  |
Less: net debt for Indonesia smelter projects c | 2.8 |  |  | 1.2 |  |  |
FCX net debt, excluding Indonesia smelter projects | $ | 0.8 |  |  | $ | 1.3 |  |  |

a.Does not foot because of rounding.
b.Effective August 2023, and in accordance with a regulation issued by the Indonesia government, 30% of PT-FI’s export proceeds are being temporarily deposited into Indonesia banks for a period of 90 days before withdrawal and are presented as current restricted cash and cash equivalents in FCX’s consolidated balance sheet. As the 90-day holding period is the only restriction on the cash, FCX has included such amount in the calculation of net debt.
c.Includes consolidated debt of $3.0 billion and consolidated cash and cash equivalents of $0.2 billion as of December 31, 2023, and $1.8 billion as of December 31, 2022.
DERIVATIVE INSTRUMENTS
For the year 2023, FCX’s mined copper was sold 51% in concentrate, 27% as cathode and 22% as rod from North America operations. All of FCX’s copper concentrate and some cathode sales contracts provide final copper pricing in a specified future month (generally one to four months from the shipment date) based primarily on quoted London Metal Exchange (LME) monthly average copper prices. FCX records revenues and invoices customers at the time of shipment based on then-current LME prices, which results in an embedded derivative on provisionally priced concentrate and cathode sales that is adjusted to fair value through earnings each period, using the period-end forward prices, until final pricing on the date of settlement. In fourth-quarter 2023, LME copper settlement prices averaged $3.70 per pound and FCX’s average realized copper price was $3.81 per pound. At December 31, 2023, FCX’s provisionally priced copper sales were recorded at an average price of $3.87 per pound.
Beginning on January 1, 2023, PT-FI’s commercial arrangement with PT Smelting changed from a concentrate sales agreement to a tolling arrangement. Under this arrangement, PT-FI pays PT Smelting a tolling fee to smelt and refine its concentrate and PT-FI retains title to all products for sale to third parties (i.e., there are no further sales to PT Smelting). PT-FI’s sale of copper cathodes under the tolling arrangement are priced in the month of shipment and are not subject to provisional pricing.
IX

Freeport-McMoRan Inc.
DERIVATIVE INSTRUMENTS (continued)
Following is a summary of the adjustments to prior period and current period provisionally priced copper sales (in millions, except per share amounts):

| Three Months Ended December 31,
| 2023 |  | 2022
| Prior Period a |  | Current Period b |  | Total |  | Prior Period a |  | Current Period b |  | Total
Revenues | $ | (13) |  |  | $ | 79 |  |  | $ | 66 |  |  | $ | 175 |  |  | $ | 120 |  |  | $ | 295 |
Net income attributable to common stock | $ | (5) |  |  | $ | 24 |  |  | $ | 19 |  |  | $ | 76 |  |  | $ | 49 |  |  | $ | 125 |
Net income per share of common stock c | $ | — |  |  | $ | 0.02 |  |  | $ | 0.01 |  |  | $ | 0.05 |  |  | $ | 0.04 |  |  | $ | 0.09 |

a.Reflects adjustments to provisionally priced copper sales at September 30, 2023 and 2022.
b.Reflects adjustments to provisionally priced copper sales during the fourth quarters of 2023 and 2022.
c.May not foot across because of rounding.

| Years Ended December 31,
| 2023 |  | 2022
| Prior Period a |  | Current Period b |  | Total |  | Prior Period a |  | Current Period b |  | Total
Revenues | $ | 183 |  |  | $ | (86) |  |  | $ | 97 |  |  | $ | 60 |  |  | $ | (539) |  |  | $ | (479) |
Net income attributable to common stock | $ | 62 |  |  | $ | (35) |  |  | $ | 27 |  |  | $ | 25 |  |  | $ | (219) |  |  | $ | (194) |
Net income per share of common stock | $ | 0.04 |  |  | $ | (0.02) |  |  | $ | 0.02 |  |  | $ | 0.02 |  |  | $ | (0.15) |  |  | $ | (0.13) |

a.Reflects adjustments to provisionally priced copper sales at December 31, 2022 and 2021.
b.Reflects adjustments to provisionally priced copper sales for the years 2023 and 2022.
At December 31, 2023, FCX had provisionally priced copper sales at its copper mining operations totaling 223 million pounds of copper (net of intercompany sales and noncontrolling interests) recorded at an average price of $3.87 per pound, subject to final pricing over the next several months. FCX estimates that each $0.05 change in the price realized from the quarter-end provisional price would have an approximate $22 million effect on 2024 revenues ($7 million to net income attributable to common stock). The LME copper price settled at $3.76 per pound on January 23, 2024.
DEFERRED PROFITS
FCX defers recognizing profits on sales from its mining operations to Atlantic Copper (and on 39.5% of PT-FI’s sales to PT Smelting (PT-FI’s 39.5% owned copper smelter and refinery in Gresik, Indonesia) for the 2022 periods) until final sales to third parties occur. Changes in these deferrals attributable to variability in intercompany volumes resulted in net (reductions) additions to operating income totaling $(89) million ($(26) million to net income attributable to common stock) in fourth-quarter 2023, $(21) million ($(4) million to net income attributable to common stock) in fourth-quarter 2022, $64 million ($37 million to net income attributable to common stock) for the year 2023 and $52 million ($33 million to net income attributable to common stock) for the year 2022. FCX’s net deferred profits on its inventories at Atlantic Copper to be recognized in future periods’ operating income totaled $57 million at December 31, 2023. Quarterly variations in ore grades, the timing of intercompany shipments and changes in product prices will result in variability in FCX’s net deferred profits and quarterly earnings.
NONCONTROLLING INTERESTS
Net income attributable to noncontrolling interests is primarily associated with PT-FI, Cerro Verde and El Abra and totaled $619 million in fourth-quarter 2023 and $1.9 billion for the year 2023 (which represented 36% and 32%, respectively, of FCX’s consolidated income before income taxes). Refer to “Business Segments” below for net income attributable to noncontrolling interests for each of FCX’s business segments. As noted above, FCX’s economic interest in PT-FI is 48.76% and prior to January 1, 2023, it approximated 81%. First-quarter 2023 net income included a $35 million net benefit associated with PT-FI sales volumes that were attributed to FCX at its previous approximate 81% economic ownership interest.
Based on achievement of current sales volume and cost estimates and assuming average prices of $3.75 per pound of copper, $2,000 per ounce of gold and $19.00 per pound of molybdenum, FCX estimates that net income attributable to noncontrolling interests is estimated to approximate $2.1 billion (which would represent 36% of FCX’s consolidated income before income taxes) for the year 2024. The actual amount will depend on many factors, including relative performance of each business segment, commodity prices, costs and other factors.
X

Freeport-McMoRan Inc.
BUSINESS SEGMENTS
FCX has organized its mining operations into four primary divisions – North America copper mines, South America mining, Indonesia mining 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 Grasberg minerals district (Indonesia Mining), the Rod & Refining operations and Atlantic Copper Smelting & Refining.
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 allocates certain operating costs, expenses and capital expenditures to its operating divisions and individual 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, most mining exploration and research activities are managed on a consolidated basis, and those costs along with some selling, general and administrative costs, are not allocated to the operating divisions or individual 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 segment would be if it was an independent entity.
XI

Freeport-McMoRan Inc.
BUSINESS SEGMENTS (continued)

(in millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Atlantic |  | Corporate, |  |  |  |  |  |
| North America Copper Mines |  | South America Mining |  |  |  |  |  |  |  |  |  | Copper |  | Other |  |  |  |  |  |
|  |  |  |  |  |  |  |  | Cerro |  |  |  |  |  |  |  | Indonesia |  |  |  | Molybdenum |  | Rod & |  | Smelting |  | & Elimi- |  | FCX |  |  |  |
| Morenci |  |  |  | Other |  | Total |  | Verde |  |  |  | Other |  | Total |  | Mining |  |  |  | Mines |  | Refining |  | & Refining |  | nations |  | Total |  |  |  |
Three Months Ended December 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unaffiliated customers | $ | 16 |  |  |  |  | $ | 19 |  |  | $ | 35 |  |  | $ | 767 |  |  |  |  | $ | 197 |  |  | $ | 964 |  |  | $ | 2,548 |  |  |  |  | $ | — |  |  | $ | 1,334 |  |  | $ | 606 |  |  | $ | 418 |  | a | $ | 5,905 |  |  |  |  |
Intersegment | 541 |  |  |  |  | 823 |  |  | 1,364 |  |  | 149 |  |  |  |  | — |  |  | 149 |  |  | 189 |  |  |  |  | 157 |  |  | 12 |  |  | — |  |  | (1,871) |  |  | — |  |  |  |  |
Production and delivery | 446 |  |  |  |  | 724 |  |  | 1,170 |  |  | 651 |  |  |  |  | 171 |  |  | 822 |  |  | 692 |  | b |  |  | 118 |  |  | 1,343 |  |  | 579 |  |  | (1,364) |  |  | 3,360 |  |  |  |  |
Depreciation, depletion and amortization | 43 |  |  |  |  | 63 |  |  | 106 |  |  | 93 |  |  |  |  | 16 |  |  | 109 |  |  | 334 |  |  |  |  | 18 |  |  | 1 |  |  | 7 |  |  | 14 |  |  | 589 |  |  |  |  |
Selling, general and administrative expenses | 1 |  |  |  |  | — |  |  | 1 |  |  | 2 |  |  |  |  | — |  |  | 2 |  |  | 39 |  |  |  |  | — |  |  | — |  |  | 7 |  |  | 71 |  |  | 120 |  |  |  |  |
Mining exploration and research expenses | — |  |  |  |  | 1 |  |  | 1 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 33 |  |  | 34 |  |  |  |  |
Environmental obligations and shutdown costs | (1) |  |  |  |  | 2 |  |  | 1 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 79 |  |  | 80 |  |  |  |  |
Operating income (loss) | 68 |  |  |  |  | 52 |  |  | 120 |  |  | 170 |  |  |  |  | 10 |  |  | 180 |  |  | 1,672 |  |  |  |  | 21 |  |  | 2 |  |  | 13 |  |  | (286) |  |  | 1,722 |  |  |  |  |
Interest expense, net | — |  |  |  |  | — |  |  | — |  |  | 3 |  |  |  |  | — |  |  | 3 |  |  | 10 |  |  |  |  | — |  |  | — |  |  | 9 |  |  | 75 |  |  | 97 |  |  |  |  |
Other (expense) income, net | (1) |  |  |  |  | 11 |  |  | 10 |  |  | 23 |  |  |  |  | — |  |  | 23 |  |  | 35 |  |  |  |  | — |  |  | (1) |  |  | (8) |  |  | 44 |  |  | 103 |  |  |  |  |
Provision for (benefit from) income taxes | — |  |  |  |  | — |  |  | — |  |  | 76 |  |  |  |  | (2) |  |  | 74 |  |  | 615 |  |  |  |  | — |  |  | — |  |  | — |  |  | 35 |  |  | 724 |  |  |  |  |
Equity in affiliated companies’ net earnings | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | 1 |  |  |  |  | — |  |  | — |  |  | — |  |  | 2 |  |  | 3 |  |  |  |  |
Net income (loss) attributable to noncontrolling interests | — |  |  |  |  | — |  |  | — |  |  | 58 |  |  |  |  | 2 |  |  | 60 |  |  | 583 |  | c |  |  | — |  |  | — |  |  | — |  |  | (24) |  |  | 619 |  |  |  |  |
Total assets at December 31, 2023 | 3,195 |  |  |  |  | 5,996 |  |  | 9,191 |  |  | 8,120 |  |  |  |  | 1,930 |  |  | 10,050 |  |  | 21,655 |  |  |  |  | 1,782 |  |  | 172 |  |  | 1,326 |  |  | 8,330 |  |  | 52,506 |  |  |  |  |
Capital expenditures | 56 |  |  |  |  | 160 |  |  | 216 |  |  | 92 |  |  |  |  | 17 |  |  | 109 |  |  | 487 |  |  |  |  | 41 |  |  | 4 |  |  | 21 |  |  | 484 |  | d | 1,362 |  |  |  |  |
Three Months Ended December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unaffiliated customers | $ | 50 |  |  |  |  | $ | 94 |  |  | $ | 144 |  |  | $ | 970 |  |  |  |  | $ | 213 |  |  | $ | 1,183 |  |  | $ | 2,056 |  | e |  |  | $ | — |  |  | $ | 1,349 |  |  | $ | 684 |  |  | $ | 342 |  | a | $ | 5,758 |  |  |  |  |
Intersegment | 522 |  |  |  |  | 790 |  |  | 1,312 |  |  | 181 |  |  |  |  | — |  |  | 181 |  |  | 190 |  |  |  |  | 166 |  |  | 7 |  |  | (1) |  |  | (1,855) |  |  | — |  |  |  |  |
Production and delivery | 380 |  |  |  |  | 708 |  |  | 1,088 |  |  | 656 |  |  |  |  | 173 |  |  | 829 |  |  | 831 |  | b |  |  | 110 |  |  | 1,361 |  |  | 663 |  |  | (1,374) |  |  | 3,508 |  |  |  |  |
Depreciation, depletion and amortization | 45 |  |  |  |  | 58 |  |  | 103 |  |  | 95 |  |  |  |  | 16 |  |  | 111 |  |  | 250 |  |  |  |  | 22 |  |  | 2 |  |  | 7 |  |  | 20 |  |  | 515 |  |  |  |  |
Selling, general and administrative expenses | 1 |  |  |  |  | 1 |  |  | 2 |  |  | 2 |  |  |  |  | — |  |  | 2 |  |  | 34 |  |  |  |  | — |  |  | — |  |  | 6 |  |  | 63 |  |  | 107 |  |  |  |  |
Mining exploration and research expenses | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 28 |  |  | 28 |  |  |  |  |
Environmental obligations and shutdown costs | 8 |  |  |  |  | — |  |  | 8 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 62 |  |  | 70 |  |  |  |  |
Operating income (loss) | 138 |  |  |  |  | 117 |  |  | 255 |  |  | 398 |  |  |  |  | 24 |  |  | 422 |  |  | 1,131 |  |  |  |  | 34 |  |  | (7) |  |  | 7 |  |  | (312) |  |  | 1,530 |  |  |  |  |
Interest expense, net | 1 |  |  |  |  | — |  |  | 1 |  |  | 3 |  |  |  |  | — |  |  | 3 |  |  | 10 |  |  |  |  | — |  |  | — |  |  | 7 |  |  | 116 |  |  | 137 |  |  |  |  |
Net gain on early extinguishment of debt | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | (1) |  |  |  |  | — |  |  | — |  |  | — |  |  | 4 |  |  | 3 |  |  |  |  |
Other (expense) income, net | (1) |  |  |  |  | 2 |  |  | 1 |  |  | 24 |  |  |  |  | (8) |  |  | 16 |  |  | 97 |  |  |  |  | 1 |  |  | — |  |  | (16) |  |  | 41 |  |  | 140 |  |  |  |  |
Provision for (benefit from) income taxes | — |  |  |  |  | — |  |  | — |  |  | 163 |  |  |  |  | 3 |  |  | 166 |  |  | 457 |  |  |  |  | — |  |  | — |  |  | (1) |  |  | (65) |  |  | 557 |  |  |  |  |
Equity in affiliated companies’ net (losses) earnings | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | (3) |  |  |  |  | — |  |  | — |  |  | — |  |  | 1 |  |  | (2) |  |  |  |  |
Net income (loss) attributable to noncontrolling interests | — |  |  |  |  | — |  |  | — |  |  | 125 |  |  |  |  | 10 |  |  | 135 |  |  | 156 |  | c |  |  | — |  |  | — |  |  | — |  |  | (11) |  |  | 280 |  |  |  |  |
Total assets at December 31, 2022 | 3,052 |  |  |  |  | 5,552 |  |  | 8,604 |  |  | 8,398 |  |  |  |  | 1,873 |  |  | 10,271 |  |  | 20,639 |  |  |  |  | 1,697 |  |  | 183 |  |  | 1,262 |  |  | 8,437 |  |  | 51,093 |  |  |  |  |
Capital expenditures | 56 |  |  |  |  | 111 |  |  | 167 |  |  | 55 |  |  |  |  | 46 |  |  | 101 |  |  | 427 |  |  |  |  | 17 |  |  | 3 |  |  | 16 |  |  | 316 |  | d | 1,047 |  |  |  |  |

XII

Freeport-McMoRan Inc.
BUSINESS SEGMENTS (continued)

(in millions) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | Atlantic |  | Corporate, |  |  |  |  |  |  |  |
| North America Copper Mines |  | South America Mining |  |  |  |  |  |  |  |  |  | Copper |  | Other |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  | Cerro |  |  |  |  |  |  |  | Indonesia |  |  |  | Molybdenum |  | Rod & |  | Smelting |  | & Elimi- |  | FCX |  |  |  |  |  |
| Morenci |  |  |  | Other |  | Total |  | Verde |  |  |  | Other |  | Total |  | Mining |  |  |  | Mines |  | Refining |  | & Refining |  | nations |  | Total |  |  |  |  |  |
Year Ended December 31, 2023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unaffiliated customers | $ | 91 |  |  |  |  | $ | 152 |  |  | $ | 243 |  |  | $ | 3,330 |  |  |  |  | $ | 824 |  |  | $ | 4,154 |  |  | $ | 7,816 |  | e |  |  | $ | — |  |  | $ | 5,886 |  |  | $ | 2,791 |  |  | $ | 1,965 |  | a | $ | 22,855 |  |  |  |  |  |  |
Intersegment | 2,328 |  |  |  |  | 3,745 |  |  | 6,073 |  |  | 787 |  |  |  |  | — |  |  | 787 |  |  | 621 |  |  |  |  | 677 |  |  | 40 |  |  | 19 |  |  | (8,217) |  |  | — |  |  |  |  |  |  |
Production and delivery | 1,730 |  |  |  |  | 3,048 |  |  | 4,778 |  |  | 2,529 |  |  |  |  | 710 |  |  | 3,239 |  |  | 2,552 |  | b, f |  |  | 439 |  |  | 5,901 |  |  | 2,718 |  |  | (6,000) |  |  | 13,627 |  |  |  |  |  |  |
Depreciation, depletion and amortization | 175 |  |  |  |  | 243 |  |  | 418 |  |  | 395 |  |  |  |  | 64 |  |  | 459 |  |  | 1,028 |  |  |  |  | 66 |  |  | 5 |  |  | 28 |  |  | 64 |  |  | 2,068 |  |  |  |  |  |  |
Selling, general and administrative expenses | 2 |  |  |  |  | 2 |  |  | 4 |  |  | 9 |  |  |  |  | — |  |  | 9 |  |  | 129 |  |  |  |  | — |  |  | — |  |  | 28 |  |  | 309 |  |  | 479 |  |  |  |  |  |  |
Mining exploration and research expenses | — |  |  |  |  | 3 |  |  | 3 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 134 |  |  | 137 |  |  |  |  |  |  |
Environmental obligations and shutdown costs | (1) |  |  |  |  | 28 |  |  | 27 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 292 |  |  | 319 |  |  |  |  |  |  |
Operating income (loss) | 513 |  |  |  |  | 573 |  |  | 1,086 |  |  | 1,184 |  |  |  |  | 50 |  |  | 1,234 |  |  | 4,728 |  |  |  |  | 172 |  |  | 20 |  |  | 36 |  |  | (1,051) |  |  | 6,225 |  |  |  |  |  |  |
Interest expense, net | — |  |  |  |  | 1 |  |  | 1 |  |  | 77 |  | g |  |  | — |  |  | 77 |  |  | 42 |  |  |  |  | — |  |  | — |  |  | 31 |  |  | 364 |  |  | 515 |  |  |  |  |  |  |
Net gain on early extinguishment of debt | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 10 |  |  | 10 |  |  |  |  |  |  |
Other (expense) income, net | (5) |  |  |  |  | 3 |  |  | (2) |  |  | (13) |  |  |  |  | 11 |  |  | (2) |  |  | 127 |  |  |  |  | (1) |  |  | (2) |  |  | (8) |  |  | 174 |  |  | 286 |  |  |  |  |  |  |
Provision for (benefit from) income taxes | — |  |  |  |  | — |  |  | — |  |  | 495 |  |  |  |  | 17 |  |  | 512 |  |  | 1,774 |  |  |  |  | — |  |  | — |  |  | — |  |  | (16) |  |  | 2,270 |  |  |  |  |  |  |
Equity in affiliated companies’ net earnings | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | 10 |  |  |  |  | — |  |  | — |  |  | — |  |  | 5 |  |  | 15 |  |  |  |  |  |  |
Net income (loss) attributable to noncontrolling interests | — |  |  |  |  | — |  |  | — |  |  | 300 |  |  |  |  | 36 |  |  | 336 |  |  | 1,614 |  | c |  |  | — |  |  | — |  |  | — |  |  | (47) |  |  | 1,903 |  |  |  |  |  |  |
Capital expenditures | 232 |  |  |  |  | 529 |  |  | 761 |  |  | 271 |  |  |  |  | 97 |  |  | 368 |  |  | 1,696 |  |  |  |  | 84 |  |  | 13 |  |  | 64 |  |  | 1,838 |  | d | 4,824 |  |  |  |  |  |  |
Year Ended December 31, 2022 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Revenues: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unaffiliated customers | $ | 175 |  |  |  |  | $ | 253 |  |  | $ | 428 |  |  | $ | 3,444 |  |  |  |  | $ | 768 |  |  | $ | 4,212 |  |  | $ | 8,028 |  | e |  |  | $ | — |  |  | $ | 6,281 |  |  | $ | 2,439 |  |  | $ | 1,392 |  | a | $ | 22,780 |  |  |  |  |  |  |
Intersegment | 2,514 |  |  |  |  | 3,768 |  |  | 6,282 |  |  | 506 |  |  |  |  | — |  |  | 506 |  |  | 398 |  |  |  |  | 565 |  |  | 31 |  |  | 4 |  |  | (7,786) |  |  | — |  |  |  |  |  |  |
Production and delivery | 1,550 |  |  |  |  | 2,827 |  |  | 4,377 |  |  | 2,369 |  |  |  |  | 705 |  |  | 3,074 |  |  | 2,684 |  | b, f |  |  | 359 |  |  | 6,330 |  |  | 2,452 |  | h | (6,206) |  |  | 13,070 |  |  |  |  |  |  |
Depreciation, depletion and amortization | 177 |  |  |  |  | 233 |  |  | 410 |  |  | 357 |  |  |  |  | 51 |  |  | 408 |  |  | 1,025 |  |  |  |  | 74 |  |  | 5 |  |  | 27 |  |  | 70 |  |  | 2,019 |  |  |  |  |  |  |
Selling, general and administrative expenses | 2 |  |  |  |  | 3 |  |  | 5 |  |  | 8 |  |  |  |  | — |  |  | 8 |  |  | 117 |  |  |  |  | — |  |  | — |  |  | 25 |  |  | 265 |  |  | 420 |  |  |  |  |  |  |
Mining exploration and research expenses | — |  |  |  |  | 1 |  |  | 1 |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 114 |  |  | 115 |  |  |  |  |  |  |
Environmental obligations and shutdown costs | (5) |  |  |  |  | 1 |  |  | (4) |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | 125 |  |  | 121 |  |  |  |  |  |  |
Net gain on sales of assets | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | — |  |  | (2) |  |  | (2) |  |  |  |  |  |  |
Operating income (loss) | 965 |  |  |  |  | 956 |  |  | 1,921 |  |  | 1,216 |  |  |  |  | 12 |  |  | 1,228 |  |  | 4,600 |  |  |  |  | 132 |  |  | (23) |  |  | (61) |  |  | (760) |  |  | 7,037 |  |  |  |  |  |  |
Interest expense, net | 1 |  |  |  |  | 1 |  |  | 2 |  |  | 15 |  |  |  |  | — |  |  | 15 |  |  | 40 |  |  |  |  | — |  |  | — |  |  | 15 |  |  | 488 |  |  | 560 |  |  |  |  |  |  |
Net (loss) gain on early extinguishment of debt | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | (11) |  |  |  |  | — |  |  | — |  |  | — |  |  | 42 |  |  | 31 |  |  |  |  |  |  |
Other (expense) income, net | (2) |  |  |  |  | (30) |  |  | (32) |  |  | 13 |  |  |  |  | 4 |  |  | 17 |  |  | 124 |  |  |  |  | — |  |  | (1) |  |  | 13 |  |  | 86 |  |  | 207 |  |  |  |  |  |  |
Provision for (benefit from) income taxes | — |  |  |  |  | — |  |  | — |  |  | 461 |  |  |  |  | (8) |  |  | 453 |  |  | 1,820 |  |  |  |  | — |  |  | — |  |  | (1) |  |  | (5) |  |  | 2,267 |  |  |  |  |  |  |
Equity in affiliated companies’ net earnings | — |  |  |  |  | — |  |  | — |  |  | — |  |  |  |  | — |  |  | — |  |  | 24 |  |  |  |  | — |  |  | — |  |  | — |  |  | 7 |  |  | 31 |  |  |  |  |  |  |
Net income attributable to noncontrolling interests | — |  |  |  |  | — |  |  | — |  |  | 372 |  |  |  |  | 35 |  |  | 407 |  |  | 592 |  | c |  |  | — |  |  | — |  |  | — |  |  | 12 |  |  | 1,011 |  |  |  |  |  |  |
Capital expenditures | 263 |  |  |  |  | 334 |  |  | 597 |  |  | 164 |  |  |  |  | 140 |  |  | 304 |  |  | 1,575 |  |  |  |  | 33 |  |  | 9 |  |  | 76 |  |  | 875 |  | d | 3,469 |  |  |  |  |  |  |

XIII

Freeport-McMoRan Inc.
BUSINESS SEGMENTS (continued)
a.Includes revenues from FCX’s molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the North America and South America copper mines.
b.Includes credits totaling $112 million in fourth-quarter 2023 and for the year 2023 to correct certain inputs in the historical PT-FI ARO model and charges totaling $116 million in fourth-quarter 2022 and for the year 2022 associated with an ARO adjustment.
c.FCX’s economic interest in PT-FI is 48.76% and prior to January 1, 2023, it approximated 81%. First-quarter 2023 net income includes a $35 million net benefit associated with PT-FI sales volumes that were attributed to FCX at its previous approximate 81% economic ownership interest.
d.Primarily includes capital expenditures for the Indonesia smelter projects.
e.Includes PT-FI sales to PT Smelting totaling $710 million in fourth-quarter 2022, $27 million for the year 2023 (reflecting adjustments to prior period provisionally priced concentrate sales) and $3.0 billion for the year 2022. Beginning January 1, 2023, there are no sales from PT-FI to PT Smelting (refer to above discussion of the tolling arrangement between PT-FI and PT Smelting).
f.Includes a $55 million charge for a potential administrative fine for the year 2023 and $41 million for an administrative fine for the year 2022.
g.Includes $74 million of interest charges associated with contested tax rulings by the Peruvian Supreme Court, partly offset by a $13 million credit for the settlement of interest on Cerro Verde’s historical profit sharing liability. Also refer to the supplemental schedule, “Adjusted Net Income,” on page VII.
h.Includes maintenance charges and idle facility costs associated with major maintenance turnarounds totaling $41 million at Atlantic Copper.
PRODUCT REVENUES AND PRODUCTION COSTS
Unit net cash costs per pound of copper and molybdenum are measures intended to provide investors with information about the cash-generating capacity of FCX’s mining operations expressed on a basis relating to the primary metal product for the respective operations. FCX uses this measure for the same purpose and for monitoring operating performance by its 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. These measures are presented by other metals mining companies, although FCX’s measures may not be comparable to similarly titled measures reported by other companies.
FCX presents gross profit per pound of copper in the following tables using both a “by-product” method and a “co-product” method. FCX uses the by-product method in its presentation of gross profit per pound of copper because (i) the majority of its revenues are copper revenues, (ii) it mines ore, which contains copper, gold, molybdenum and other metals, (iii) it is not possible to specifically assign all of FCX’s costs to revenues from the copper, gold, molybdenum and other metals it produces and (iv) it is the method used by FCX’s management and Board of Directors to monitor FCX’s mining operations and to compare mining operations in certain industry publications. In the co-product method presentations, shared costs are allocated to the different products based on their relative revenue values, which will vary to the extent FCX’s metals sales volumes and realized prices change.
FCX shows revenue adjustments for prior period open sales as a separate line item. Because these adjustments do not result from current period sales, these amounts have been reflected separately from revenues on current period sales. Noncash and other costs, net which are removed from site production and delivery costs in the calculation of unit net cash costs, consist of items such as stock-based compensation costs, long-lived asset impairments, idle facility costs, feasibility and optimization study costs, restructuring and/or unusual charges. As discussed above, gold, molybdenum and other metal revenues at copper mines are reflected as credits against site production and delivery costs in the by-product method. The following schedules are presentations under both the by-product and co-product methods together with reconciliations to amounts reported in FCX’s consolidated financial statements.
XIV

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
North America Copper Mines Product Revenues, Production Costs and Unit Net Cash Costs
Three Months Ended December 31, 2023 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Molybdenum a |  | Other b |  | Total |
Revenues, excluding adjustments |  | $ | 1,209 |  |  | $ | 1,209 |  |  | $ | 134 |  |  | $ | 42 |  |  | $ | 1,385 |  |
Site production and delivery, before net noncash and other costs shown below |  | 996 |  |  | 892 |  |  | 119 |  |  | 35 |  |  | 1,046 |  |
By-product credits |  | (126) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 43 |  |  | 41 |  |  | — |  |  | 2 |  |  | 43 |  |
Net cash costs |  | 913 |  |  | 933 |  |  | 119 |  |  | 37 |  |  | 1,089 |  |
Depreciation, depletion and amortization (DD&A) |  | 106 |  |  | 95 |  |  | 9 |  |  | 2 |  |  | 106 |  |
Noncash and other costs, net |  | 62 |  | c | 58 |  |  | 3 |  |  | 1 |  |  | 62 |  |
Total costs |  | 1,081 |  |  | 1,086 |  |  | 131 |  |  | 40 |  |  | 1,257 |  |
Gross profit |  | $ | 128 |  |  | $ | 123 |  |  | $ | 3 |  |  | $ | 2 |  |  | $ | 128 |  |
Copper sales (millions of recoverable pounds) |  | 319 |  |  | 319 |  |  |  |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  |  |  |  |  | 7 |  |  |  |  |  |
Gross profit per pound of copper/molybdenum: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.79 |  |  | $ | 3.79 |  |  | $ | 19.80 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 3.13 |  |  | 2.80 |  |  | 17.50 |  |  |  |  |  |
By-product credits |  | (0.40) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.13 |  |  | 0.13 |  |  | — |  |  |  |  |  |
Unit net cash costs |  | 2.86 |  |  | 2.93 |  |  | 17.50 |  |  |  |  |  |
DD&A |  | 0.33 |  |  | 0.30 |  |  | 1.40 |  |  |  |  |  |
Noncash and other costs, net |  | 0.20 |  | c | 0.18 |  |  | 0.44 |  |  |  |  |  |
Total unit costs |  | 3.39 |  |  | 3.41 |  |  | 19.34 |  |  |  |  |  |
Gross profit per pound |  | $ | 0.40 |  |  | $ | 0.38 |  |  | $ | 0.46 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 1,385 |  |  | $ | 1,046 |  |  | $ | 106 |  |  |  |  |  |
Treatment charges |  | — |  |  | 43 |  |  | — |  |  |  |  |  |
Noncash and other costs, net |  | — |  |  | 62 |  |  | — |  |  |  |  |  |
Eliminations and other |  | 14 |  |  | 19 |  |  | — |  |  |  |  |  |
North America copper mines |  | 1,399 |  |  | 1,170 |  |  | 106 |  |  |  |  |  |
Other mining d |  | 5,959 |  |  | 3,554 |  |  | 469 |  |  |  |  |  |
Corporate, other & eliminations |  | (1,453) |  |  | (1,364) |  |  | 14 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,905 |  |  | $ | 3,360 |  |  | $ | 589 |  |  |  |  |  |

a.Reflects sales of molybdenum produced by certain of the North America copper mines to FCX’s molybdenum sales company at market-based pricing.
b.Includes gold and silver product revenues and production costs.
c.Includes charges totaling $26 million ($0.08 per pound of copper) for feasibility and optimization studies.
d.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XV

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
North America Copper Mines Product Revenues, Production Costs and Unit Net Cash Costs
Three Months Ended December 31, 2022 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Molybdenum a |  | Other b |  | Total |
Revenues, excluding adjustments |  | $ | 1,265 |  |  | $ | 1,265 |  |  | $ | 119 |  |  | $ | 32 |  |  | $ | 1,416 |  |
Site production and delivery, before net noncash and other costs shown below |  | 917 |  |  | 835 |  |  | 100 |  |  | 26 |  |  | 961 |  |
By-product credits |  | (107) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 37 |  |  | 36 |  |  | — |  |  | 1 |  |  | 37 |  |
Net cash costs |  | 847 |  |  | 871 |  |  | 100 |  |  | 27 |  |  | 998 |  |
DD&A |  | 103 |  |  | 95 |  |  | 6 |  |  | 2 |  |  | 103 |  |
Noncash and other costs, net |  | 69 |  | c | 62 |  |  | 6 |  |  | 1 |  |  | 69 |  |
Total costs |  | 1,019 |  |  | 1,028 |  |  | 112 |  |  | 30 |  |  | 1,170 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 22 |  |  | 22 |  |  | — |  |  | — |  |  | 22 |  |
Gross profit |  | $ | 268 |  |  | $ | 259 |  |  | $ | 7 |  |  | $ | 2 |  |  | $ | 268 |  |
Copper sales (millions of recoverable pounds) |  | 341 |  |  | 341 |  |  |  |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  |  |  |  | 7 |  |  |  |  |  |
Gross profit per pound of copper/molybdenum: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.73 |  |  | $ | 3.73 |  |  | $ | 17.84 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.70 |  |  | 2.46 |  |  | 14.92 |  |  |  |  |  |
By-product credits |  | (0.32) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.11 |  |  | 0.10 |  |  | — |  |  |  |  |  |
Unit net cash costs |  | 2.49 |  |  | 2.56 |  |  | 14.92 |  |  |  |  |  |
DD&A |  | 0.30 |  |  | 0.28 |  |  | 0.99 |  |  |  |  |  |
Noncash and other costs, net |  | 0.21 |  | c | 0.19 |  |  | 0.89 |  |  |  |  |  |
Total unit costs |  | 3.00 |  |  | 3.03 |  |  | 16.80 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.06 |  |  | 0.06 |  |  | — |  |  |  |  |  |
Gross profit per pound |  | $ | 0.79 |  |  | $ | 0.76 |  |  | $ | 1.04 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 1,416 |  |  | $ | 961 |  |  | $ | 103 |  |  |  |  |  |
Treatment charges |  | (7) |  |  | 30 |  |  | — |  |  |  |  |  |
Noncash and other costs, net |  | — |  |  | 69 |  |  | — |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 22 |  |  | — |  |  | — |  |  |  |  |  |
Eliminations and other |  | 25 |  |  | 28 |  |  | — |  |  |  |  |  |
North America copper mines |  | 1,456 |  |  | 1,088 |  |  | 103 |  |  |  |  |  |
Other mining d |  | 5,815 |  |  | 3,794 |  |  | 392 |  |  |  |  |  |
Corporate, other & eliminations |  | (1,513) |  |  | (1,374) |  |  | 20 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,758 |  |  | $ | 3,508 |  |  | $ | 515 |  |  |  |  |  |

a.Reflects sales of molybdenum produced by certain of the North America copper mines to FCX’s molybdenum sales company at market-based pricing.
b.Includes gold and silver product revenues and production costs.
c.Includes charges totaling $37 million ($0.11 per pound of copper) for feasibility and optimization studies.
d.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XVI

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
North America Copper Mines Product Revenues, Production Costs and Unit Net Cash Costs
Year Ended December 31, 2023 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Molybdenum a |  | Other b |  | Total |
Revenues, excluding adjustments |  | $ | 5,368 |  |  | $ | 5,368 |  |  | $ | 710 |  |  | $ | 171 |  |  | $ | 6,249 |  |
Site production and delivery, before net noncash and other costs shown below |  | 4,093 |  |  | 3,621 |  |  | 535 |  |  | 149 |  |  | 4,305 |  |
By-product credits |  | (669) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 169 |  |  | 161 |  |  | — |  |  | 8 |  |  | 169 |  |
Net cash costs |  | 3,593 |  |  | 3,782 |  |  | 535 |  |  | 157 |  |  | 4,474 |  |
DD&A |  | 418 |  |  | 371 |  |  | 39 |  |  | 8 |  |  | 418 |  |
Noncash and other costs, net |  | 242 |  | c | 215 |  |  | 24 |  |  | 3 |  |  | 242 |  |
Total costs |  | 4,253 |  |  | 4,368 |  |  | 598 |  |  | 168 |  |  | 5,134 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 13 |  |  | 13 |  |  | — |  |  | — |  |  | 13 |  |
Gross profit |  | $ | 1,128 |  |  | $ | 1,013 |  |  | $ | 112 |  |  | $ | 3 |  |  | $ | 1,128 |  |
Copper sales (millions of recoverable pounds) |  | 1,367 |  |  | 1,367 |  |  |  |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  |  |  |  |  | 30 |  |  |  |  |  |
Gross profit per pound of copper/molybdenum: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.93 |  |  | $ | 3.93 |  |  | $ | 23.38 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 3.00 |  |  | 2.65 |  |  | 17.63 |  |  |  |  |  |
By-product credits |  | (0.49) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.12 |  |  | 0.12 |  |  | — |  |  |  |  |  |
Unit net cash costs |  | 2.63 |  |  | 2.77 |  |  | 17.63 |  |  |  |  |  |
DD&A |  | 0.30 |  |  | 0.27 |  |  | 1.30 |  |  |  |  |  |
Noncash and other costs, net |  | 0.18 |  | c | 0.16 |  |  | 0.77 |  |  |  |  |  |
Total unit costs |  | 3.11 |  |  | 3.20 |  |  | 19.70 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.01 |  |  | 0.01 |  |  | — |  |  |  |  |  |
Gross profit per pound |  | $ | 0.83 |  |  | $ | 0.74 |  |  | $ | 3.68 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 6,249 |  |  | $ | 4,305 |  |  | $ | 418 |  |  |  |  |  |
Treatment charges |  | (9) |  |  | 160 |  |  | — |  |  |  |  |  |
Noncash and other costs, net |  | — |  |  | 242 |  |  | — |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 13 |  |  | — |  |  | — |  |  |  |  |  |
Eliminations and other |  | 63 |  |  | 71 |  |  | — |  |  |  |  |  |
North America copper mines |  | 6,316 |  |  | 4,778 |  |  | 418 |  |  |  |  |  |
Other mining d |  | 22,791 |  |  | 14,849 |  |  | 1,586 |  |  |  |  |  |
Corporate, other & eliminations |  | (6,252) |  |  | (6,000) |  |  | 64 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,855 |  |  | $ | 13,627 |  |  | $ | 2,068 |  |  |  |  |  |

a.Reflects sales of molybdenum produced by certain of the North America copper mines to FCX’s molybdenum sales company at market-based pricing.
b.Includes gold and silver product revenues and production costs.
c.Includes charges totaling $107 million ($0.08 per pound of copper) for feasibility and optimization studies.
d.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XVII

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
North America Copper Mines Product Revenues, Production Costs and Unit Net Cash Costs
Year Ended December 31, 2022 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Molybdenum a |  | Other b |  | Total |
Revenues, excluding adjustments |  | $ | 6,007 |  |  | $ | 6,007 |  |  | $ | 512 |  |  | $ | 127 |  |  | $ | 6,646 |  |
Site production and delivery, before net noncash and other costs shown below |  | 3,799 |  |  | 3,478 |  |  | 383 |  |  | 96 |  |  | 3,957 |  |
By-product credits |  | (481) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 149 |  |  | 144 |  |  | — |  |  | 5 |  |  | 149 |  |
Net cash costs |  | 3,467 |  |  | 3,622 |  |  | 383 |  |  | 101 |  |  | 4,106 |  |
DD&A |  | 409 |  |  | 377 |  |  | 26 |  |  | 6 |  |  | 409 |  |
Noncash and other costs, net |  | 183 |  | c | 166 |  |  | 14 |  |  | 3 |  |  | 183 |  |
Total costs |  | 4,059 |  |  | 4,165 |  |  | 423 |  |  | 110 |  |  | 4,698 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (13) |  |  | (13) |  |  | — |  |  | — |  |  | (13) |  |
Gross profit |  | $ | 1,935 |  |  | $ | 1,829 |  |  | $ | 89 |  |  | $ | 17 |  |  | $ | 1,935 |  |
Copper sales (millions of recoverable pounds) |  | 1,472 |  |  | 1,472 |  |  |  |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  |  |  |  |  | 29 |  |  |  |  |  |
Gross profit per pound of copper/molybdenum: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 4.08 |  |  | $ | 4.08 |  |  | $ | 17.87 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.58 |  |  | 2.36 |  |  | 13.35 |  |  |  |  |  |
By-product credits |  | (0.33) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.10 |  |  | 0.10 |  |  | — |  |  |  |  |  |
Unit net cash costs |  | 2.35 |  |  | 2.46 |  |  | 13.35 |  |  |  |  |  |
DD&A |  | 0.28 |  |  | 0.26 |  |  | 0.90 |  |  |  |  |  |
Noncash and other costs, net |  | 0.13 |  | c | 0.11 |  |  | 0.52 |  |  |  |  |  |
Total unit costs |  | 2.76 |  |  | 2.83 |  |  | 14.77 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (0.01) |  |  | (0.01) |  |  | — |  |  |  |  |  |
Gross profit per pound |  | $ | 1.31 |  |  | $ | 1.24 |  |  | $ | 3.10 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 6,646 |  |  | $ | 3,957 |  |  | $ | 409 |  |  |  |  |  |
Treatment charges |  | (22) |  |  | 127 |  |  | — |  |  |  |  |  |
Noncash and other costs, net |  | — |  |  | 183 |  |  | — |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (13) |  |  | — |  |  | — |  |  |  |  |  |
Eliminations and other |  | 99 |  |  | 110 |  |  | 1 |  |  |  |  |  |
North America copper mines |  | 6,710 |  |  | 4,377 |  |  | 410 |  |  |  |  |  |
Other mining d |  | 22,464 |  |  | 14,899 |  |  | 1,539 |  |  |  |  |  |
Corporate, other & eliminations |  | (6,394) |  |  | (6,206) |  |  | 70 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,780 |  |  | $ | 13,070 |  |  | $ | 2,019 |  |  |  |  |  |

a.Reflects sales of molybdenum produced by certain of the North America copper mines to FCX’s molybdenum sales company at market-based pricing.
b.Includes gold and silver product revenues and production costs.
c.Includes charges totaling $86 million ($0.06 per pound of copper) for feasibility and optimization studies.
d.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XVIII

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
South America Mining Product Revenues, Production Costs and Unit Net Cash Costs
Three Months Ended December 31, 2023 |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method
|  | Method |  | Copper |  | Other a |  | Total
Revenues, excluding adjustments |  | $ | 1,096 |  |  | $ | 1,096 |  |  | $ | 79 |  |  | $ | 1,175 |
Site production and delivery, before net noncash and other costs shown below |  | 786 |  |  | 736 |  |  | 66 |  |  | 802 |
By-product credits |  | (63) |  |  | — |  |  | — |  |  | — |
Treatment charges |  | 55 |  |  | 55 |  |  | — |  |  | 55 |
Royalty on metals |  | 2 |  |  | 2 |  |  | — |  |  | 2 |
Net cash costs |  | 780 |  |  | 793 |  |  | 66 |  |  | 859 |
DD&A |  | 109 |  |  | 101 |  |  | 8 |  |  | 109 |
Noncash and other costs, net |  | 20 |  | c | 20 |  |  | — |  |  | 20 |
Total costs |  | 909 |  |  | 914 |  |  | 74 |  |  | 988 |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (6) |  |  | (6) |  |  | — |  |  | (6) |
Gross profit |  | $ | 181 |  |  | $ | 176 |  |  | $ | 5 |  |  | $ | 181 |
Copper sales (millions of recoverable pounds) |  | 287 |  |  | 287 |  |  |  |  |
Gross profit per pound of copper: |  |  |  |
Revenues, excluding adjustments |  | $ | 3.83 |  |  | $ | 3.83 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.74 |  |  | 2.57 |  |  |  |  |
By-product credits |  | (0.22) |  |  | — |  |  |  |  |
Treatment charges |  | 0.19 |  |  | 0.19 |  |  |  |  |
Royalty on metals |  | 0.01 |  |  | 0.01 |  |  |  |  |
Unit net cash costs |  | 2.72 |  |  | 2.77 |  |  |  |  |
DD&A |  | 0.39 |  |  | 0.35 |  |  |  |  |
Noncash and other costs, net |  | 0.07 |  | c | 0.07 |  |  |  |  |
Total unit costs |  | 3.18 |  |  | 3.19 |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (0.02) |  |  | (0.02) |  |  |  |  |
Gross profit per pound |  | $ | 0.63 |  |  | $ | 0.62 |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |
Totals presented above |  | $ | 1,175 |  |  | $ | 802 |  |  | $ | 109 |  |  |
Treatment charges |  | (55) |  |  | — |  |  | — |  |  |
Royalty on metals |  | (2) |  |  | — |  |  | — |  |  |
Noncash and other costs, net |  | — |  |  | 20 |  |  | — |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (6) |  |  | — |  |  | — |  |  |
Eliminations and other |  | 1 |  |  | — |  |  | — |  |  |
South America mining |  | 1,113 |  |  | 822 |  |  | 109 |  |  |
Other mining c |  | 6,245 |  |  | 3,902 |  |  | 466 |  |  |
Corporate, other & eliminations |  | (1,453) |  |  | (1,364) |  |  | 14 |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,905 |  |  | $ | 3,360 |  |  | $ | 589 |  |  |

a.Includes silver sales of 0.9 million ounces ($23.96 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to FCX’s molybdenum sales company at market-based pricing.
b.Includes charges totaling $14 million ($0.05 per pound of copper) for feasibility studies.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XIX

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
South America Mining Product Revenues, Production Costs and Unit Net Cash Costs
Three Months Ended December 31, 2022 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Other a |  | Total |
Revenues, excluding adjustments |  | $ | 1,200 |  |  | $ | 1,200 |  |  | $ | 148 |  |  | $ | 1,348 |  |
Site production and delivery, before net noncash and other costs shown below |  | 815 |  |  | 737 |  |  | 93 |  |  | 830 |  |
By-product credits |  | (133) |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 47 |  |  | 47 |  |  | — |  |  | 47 |  |
Royalty on metals |  | 2 |  |  | 2 |  |  | — |  |  | 2 |  |
Net cash costs |  | 731 |  |  | 786 |  |  | 93 |  |  | 879 |  |
DD&A |  | 110 |  |  | 98 |  |  | 12 |  |  | 110 |  |
Noncash and other costs, net |  | 1 |  | b | (1) |  |  | 2 |  |  | 1 |  |
Total costs |  | 842 |  |  | 883 |  |  | 107 |  |  | 990 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 64 |  |  | 64 |  |  | — |  |  | 64 |  |
Gross profit |  | $ | 422 |  |  | $ | 381 |  |  | $ | 41 |  |  | $ | 422 |  |
Copper sales (millions of recoverable pounds) |  | 317 |  |  | 317 |  |  |  |  |  |
Gross profit per pound of copper: |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.78 |  |  | $ | 3.78 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.57 |  |  | 2.33 |  |  |  |  |  |
By-product credits |  | (0.42) |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.14 |  |  | 0.14 |  |  |  |  |  |
Royalty on metals |  | 0.01 |  |  | 0.01 |  |  |  |  |  |
Unit net cash costs |  | 2.30 |  |  | 2.48 |  |  |  |  |  |
DD&A |  | 0.35 |  |  | 0.31 |  |  |  |  |  |
Noncash and other costs, net |  | 0.01 |  | b | — |  |  |  |  |  |
Total unit costs |  | 2.66 |  |  | 2.79 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.21 |  |  | 0.21 |  |  |  |  |  |
Gross profit per pound |  | $ | 1.33 |  |  | $ | 1.20 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |
Totals presented above |  | $ | 1,348 |  |  | $ | 830 |  |  | $ | 110 |  |  |  |
Treatment charges |  | (47) |  |  | — |  |  | — |  |  |  |
Royalty on metals |  | (2) |  |  | — |  |  | — |  |  |  |
Noncash and other costs, net |  | — |  |  | 1 |  |  | — |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 64 |  |  | — |  |  | — |  |  |  |
Eliminations and other |  | 1 |  |  | (2) |  |  | 1 |  |  |  |
South America mining |  | 1,364 |  |  | 829 |  |  | 111 |  |  |  |
Other mining c |  | 5,907 |  |  | 4,053 |  |  | 384 |  |  |  |
Corporate, other & eliminations |  | (1,513) |  |  | (1,374) |  |  | 20 |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,758 |  |  | $ | 3,508 |  |  | $ | 515 |  |  |  |

a.Includes silver sales of 1.2 million ounces ($19.68 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to FCX’s molybdenum sales company at market-based pricing.
b.Includes credits totaling $20 million ($0.06 per pound of copper) for metals inventory adjustments.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XX

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
South America Mining Product Revenues, Production Costs and Unit Net Cash Costs
Year Ended December 31, 2023 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Other a |  | Total |
Revenues, excluding adjustments |  | $ | 4,583 |  |  | $ | 4,583 |  |  | $ | 526 |  |  | $ | 5,109 |  |
Site production and delivery, before net noncash and other costs shown below |  | 3,083 |  |  | 2,810 |  |  | 339 |  |  | 3,149 |  |
By-product credits |  | (463) |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 234 |  |  | 234 |  |  | — |  |  | 234 |  |
Royalty on metals |  | 8 |  |  | 7 |  |  | 1 |  |  | 8 |  |
Net cash costs |  | 2,862 |  |  | 3,051 |  |  | 340 |  |  | 3,391 |  |
DD&A |  | 459 |  |  | 412 |  |  | 47 |  |  | 459 |  |
Noncash and other costs, net |  | 92 |  | b | 87 |  |  | 5 |  |  | 92 |  |
Total costs |  | 3,413 |  |  | 3,550 |  |  | 392 |  |  | 3,942 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 71 |  |  | 71 |  |  | 3 |  |  | 74 |  |
Gross profit |  | $ | 1,241 |  |  | $ | 1,104 |  |  | $ | 137 |  |  | $ | 1,241 |  |
Copper sales (millions of recoverable pounds) |  | 1,200 |  |  | 1,200 |  |  |  |  |  |
Gross profit per pound of copper: |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.82 |  |  | $ | 3.82 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.57 |  |  | 2.34 |  |  |  |  |  |
By-product credits |  | (0.39) |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.19 |  |  | 0.19 |  |  |  |  |  |
Royalty on metals |  | 0.01 |  |  | 0.01 |  |  |  |  |  |
Unit net cash costs |  | 2.38 |  |  | 2.54 |  |  |  |  |  |
DD&A |  | 0.38 |  |  | 0.35 |  |  |  |  |  |
Noncash and other costs, net |  | 0.08 |  | b | 0.07 |  |  |  |  |  |
Total unit costs |  | 2.84 |  |  | 2.96 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.06 |  |  | 0.06 |  |  |  |  |  |
Gross profit per pound |  | $ | 1.04 |  |  | $ | 0.92 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |
Totals presented above |  | $ | 5,109 |  |  | $ | 3,149 |  |  | $ | 459 |  |  |  |
Treatment charges |  | (234) |  |  | — |  |  | — |  |  |  |
Royalty on metals |  | (8) |  |  | — |  |  | — |  |  |  |
Noncash and other costs, net |  | — |  |  | 92 |  |  | — |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 74 |  |  | — |  |  | — |  |  |  |
Eliminations and other |  | — |  |  | (2) |  |  | — |  |  |  |
South America mining |  | 4,941 |  |  | 3,239 |  |  | 459 |  |  |  |
Other mining c |  | 24,166 |  |  | 16,388 |  |  | 1,545 |  |  |  |
Corporate, other & eliminations |  | (6,252) |  |  | (6,000) |  |  | 64 |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,855 |  |  | $ | 13,627 |  |  | $ | 2,068 |  |  |  |

a.Includes silver sales of 4.1 million ounces ($23.57 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to FCX’s molybdenum sales company at market-based pricing.
b.Includes charges totaling $44 million ($0.04 per pound of copper) for feasibility studies.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXI

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
South America Mining Product Revenues, Production Costs and Unit Net Cash Costs
Year Ended December 31, 2022 |  |  |  |  |
(In millions) |  | By-Product |  | Co-Product Method |
|  | Method |  | Copper |  | Other a |  | Total |
Revenues, excluding adjustments |  | $ | 4,413 |  |  | $ | 4,413 |  |  | $ | 451 |  |  | $ | 4,864 |  |
Site production and delivery, before net noncash and other costs shown below |  | 2,929 |  |  | 2,705 |  |  | 281 |  |  | 2,986 |  |
By-product credits |  | (394) |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 170 |  |  | 170 |  |  | — |  |  | 170 |  |
Royalty on metals |  | 10 |  |  | 9 |  |  | 1 |  |  | 10 |  |
Net cash costs |  | 2,715 |  |  | 2,884 |  |  | 282 |  |  | 3,166 |  |
DD&A |  | 408 |  |  | 370 |  |  | 38 |  |  | 408 |  |
Noncash and other costs, net |  | 93 |  |  | 88 |  |  | 5 |  |  | 93 |  |
Total costs |  | 3,216 |  |  | 3,342 |  |  | 325 |  |  | 3,667 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 35 |  |  | 35 |  |  | — |  |  | 35 |  |
Gross profit |  | $ | 1,232 |  |  | $ | 1,106 |  |  | $ | 126 |  |  | $ | 1,232 |  |
Copper sales (millions of recoverable pounds) |  | 1,162 |  |  | 1,162 |  |  |  |  |  |
Gross profit per pound of copper: |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.80 |  |  | $ | 3.80 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 2.52 |  |  | 2.33 |  |  |  |  |  |
By-product credits |  | (0.34) |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.15 |  |  | 0.14 |  |  |  |  |  |
Royalty on metals |  | 0.01 |  |  | 0.01 |  |  |  |  |  |
Unit net cash costs |  | 2.34 |  |  | 2.48 |  |  |  |  |  |
DD&A |  | 0.35 |  |  | 0.32 |  |  |  |  |  |
Noncash and other costs, net |  | 0.08 |  |  | 0.08 |  |  |  |  |  |
Total unit costs |  | 2.77 |  |  | 2.88 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.03 |  |  | 0.03 |  |  |  |  |  |
Gross profit per pound |  | $ | 1.06 |  |  | $ | 0.95 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |
Totals presented above |  | $ | 4,864 |  |  | $ | 2,986 |  |  | $ | 408 |  |  |  |
Treatment charges |  | (170) |  |  | — |  |  | — |  |  |  |
Royalty on metals |  | (10) |  |  | — |  |  | — |  |  |  |
Noncash and other costs, net |  | — |  |  | 93 |  |  | — |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 35 |  |  | — |  |  | — |  |  |  |
Eliminations and other |  | (1) |  |  | (5) |  |  | — |  |  |  |
South America mining |  | 4,718 |  |  | 3,074 |  |  | 408 |  |  |  |
Other mining b |  | 24,456 |  |  | 16,202 |  |  | 1,541 |  |  |  |
Corporate, other & eliminations |  | (6,394) |  |  | (6,206) |  |  | 70 |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,780 |  |  | $ | 13,070 |  |  | $ | 2,019 |  |  |  |

a.Includes silver sales of 4.4 million ounces ($20.82 per ounce average realized price). Also reflects sales of molybdenum produced by Cerro Verde to FCX’s molybdenum sales company at market-based pricing.
b.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXII

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Indonesia Mining Product Revenues, Production Costs and Unit Net Cash Costs
Three Months Ended December 31, 2023 |  |  |  |
(In millions) |  |  |  | Co-Product Method
|  | By-Product Method |  | Copper |  | Gold |  | Silver & Other a |  | Total
Revenues, excluding adjustments |  | $ | 1,947 |  |  | $ | 1,947 |  |  | $ | 1,108 |  |  | $ | 51 |  |  | $ | 3,106 |
Site production and delivery, before net noncash and other credits shown below |  | 725 |  |  | 454 |  |  | 259 |  |  | 12 |  |  | 725 |
Gold, silver and other by-product credits |  | (1,170) |  |  | — |  |  | — |  |  | — |  |  | — |
Treatment charges |  | 174 |  |  | 110 |  |  | 62 |  |  | 2 |  |  | 174 |
Export duties |  | 160 |  |  | 100 |  |  | 57 |  |  | 3 |  |  | 160 |
Royalty on metals |  | 110 |  |  | 68 |  |  | 40 |  |  | 2 |  |  | 110 |
Net cash (credits) costs |  | (1) |  |  | 732 |  |  | 418 |  |  | 19 |  |  | 1,169 |
DD&A |  | 334 |  |  | 209 |  |  | 119 |  |  | 6 |  |  | 334 |
Noncash credits and other costs, net |  | (87) |  | b | (54) |  |  | (31) |  |  | (2) |  |  | (87) |
Total costs |  | 246 |  |  | 887 |  |  | 506 |  |  | 23 |  |  | 1,416 |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (6) |  |  | (6) |  |  | 12 |  |  | (1) |  |  | 5 |
Gross profit |  | $ | 1,695 |  |  | $ | 1,054 |  |  | $ | 614 |  |  | $ | 27 |  |  | $ | 1,695 |
Copper sales (millions of recoverable pounds) |  | 511 |  |  | 511 |  |  |  |  |  |  |
Gold sales (thousands of recoverable ounces) |  |  |  |  |  | 544 |  |  |  |  |
Gross profit per pound of copper/per ounce of gold: |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.81 |  |  | $ | 3.81 |  |  | $ | 2,034 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 1.42 |  |  | 0.89 |  |  | 474 |  |  |  |  |
Gold, silver and other by-product credits |  | (2.29) |  |  | — |  |  | — |  |  |  |  |
Treatment charges |  | 0.34 |  |  | 0.21 |  |  | 114 |  |  |  |  |
Export duties |  | 0.31 |  |  | 0.20 |  |  | 105 |  |  |  |  |
Royalty on metals |  | 0.22 |  |  | 0.13 |  |  | 75 |  |  |  |  |
Unit net cash costs |  | — |  |  | 1.43 |  |  | 768 |  |  |  |  |
DD&A |  | 0.65 |  |  | 0.41 |  |  | 219 |  |  |  |  |
Noncash credits and other costs, net |  | (0.17) |  | b | (0.10) |  |  | (57) |  |  |  |  |
Total unit costs |  | 0.48 |  |  | 1.74 |  |  | 930 |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | (0.01) |  |  | (0.01) |  |  | 22 |  |  |  |  |
Gross profit per pound/ounce |  | $ | 3.32 |  |  | $ | 2.06 |  |  | $ | 1,126 |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |
Totals presented above |  | $ | 3,106 |  |  | $ | 725 |  |  | $ | 334 |  |  |  |  |
Treatment charges |  | (104) |  |  | 70 |  |  | — |  |  |  |  |
Export duties |  | (160) |  |  | — |  |  | — |  |  |  |  |
Royalty on metals |  | (110) |  |  | — |  |  | — |  |  |  |  |
Noncash credits and other costs, net |  | — |  |  | (87) |  |  | — |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 5 |  |  | — |  |  | — |  |  |  |  |
Eliminations and other |  | — |  |  | (16) |  |  | — |  |  |  |  |
Indonesia mining |  | 2,737 |  |  | 692 |  |  | 334 |  |  |  |  |
Other mining c |  | 4,621 |  |  | 4,032 |  |  | 241 |  |  |  |  |
Corporate, other & eliminations |  | (1,453) |  |  | (1,364) |  |  | 14 |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,905 |  |  | $ | 3,360 |  |  | $ | 589 |  |  |  |  |

a.Includes silver sales of 2.0 million ounces ($23.58 per ounce average realized price).
b.Includes credits totaling $112 million ($0.22 per pound of copper) associated with an ARO adjustment.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXIII

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Indonesia Mining Product Revenues, Production Costs and Unit Net Cash Costs |
Three Months Ended December 31, 2022 |  |  |  |  |
(In millions) |  |  |  | Co-Product Method |
|  | By-Product Method |  | Copper |  | Gold |  | Silver & Other a |  | Total |
Revenues, excluding adjustments |  | $ | 1,470 |  |  | $ | 1,470 |  |  | $ | 813 |  |  | $ | 35 |  |  | $ | 2,318 |  |
Site production and delivery, before net noncash and other costs shown below |  | 653 |  |  | 414 |  |  | 229 |  |  | 10 |  |  | 653 |  |
Gold, silver and other by-product credits |  | (853) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 87 |  |  | 55 |  |  | 31 |  |  | 1 |  |  | 87 |  |
Export duties |  | 61 |  |  | 39 |  |  | 21 |  |  | 1 |  |  | 61 |  |
Royalty on metals |  | 75 |  |  | 47 |  |  | 29 |  |  | (1) |  |  | 75 |  |
Net cash costs |  | 23 |  |  | 555 |  |  | 310 |  |  | 11 |  |  | 876 |  |
DD&A |  | 250 |  |  | 159 |  |  | 87 |  |  | 4 |  |  | 250 |  |
Noncash and other costs, net |  | 130 |  | b | 82 |  |  | 46 |  |  | 2 |  |  | 130 |  |
Total costs |  | 403 |  |  | 796 |  |  | 443 |  |  | 17 |  |  | 1,256 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 116 |  |  | 116 |  |  | 3 |  |  | 2 |  |  | 121 |  |
PT Smelting intercompany loss |  | (20) |  |  | (12) |  |  | (7) |  |  | (1) |  |  | (20) |  |
Gross profit |  | $ | 1,163 |  |  | $ | 778 |  |  | $ | 366 |  |  | $ | 19 |  |  | $ | 1,163 |  |
Copper sales (millions of recoverable pounds) |  | 387 |  |  | 387 |  |  |  |  |  |  |  |
Gold sales (thousands of recoverable ounces) |  |  |  |  |  | 455 |  |  |  |  |  |
Gross profit per pound of copper/per ounce of gold: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.80 |  |  | $ | 3.80 |  |  | $ | 1,789 |  |  |  |  |  |
Site production and delivery, before net noncash and other credits shown below |  | 1.69 |  |  | 1.07 |  |  | 504 |  |  |  |  |  |
Gold, silver and other by-product credits |  | (2.20) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.22 |  |  | 0.14 |  |  | 67 |  |  |  |  |  |
Export duties |  | 0.16 |  |  | 0.10 |  |  | 47 |  |  |  |  |  |
Royalty on metals |  | 0.19 |  |  | 0.12 |  |  | 63 |  |  |  |  |  |
Unit net cash costs |  | 0.06 |  |  | 1.43 |  |  | 681 |  |  |  |  |  |
DD&A |  | 0.65 |  |  | 0.41 |  |  | 193 |  |  |  |  |  |
Noncash and other costs, net |  | 0.33 |  | b | 0.22 |  |  | 101 |  |  |  |  |  |
Total unit costs |  | 1.04 |  |  | 2.06 |  |  | 975 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.30 |  |  | 0.30 |  |  | 7 |  |  |  |  |  |
PT Smelting intercompany loss |  | (0.05) |  |  | (0.03) |  |  | (15) |  |  |  |  |  |
Gross profit per pound/ounce |  | $ | 3.01 |  |  | $ | 2.01 |  |  | $ | 806 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 2,318 |  |  | $ | 653 |  |  | $ | 250 |  |  |  |  |  |
Treatment charges |  | (87) |  |  | — |  |  | — |  |  |  |  |  |
Export duties |  | (61) |  |  | — |  |  | — |  |  |  |  |  |
Royalty on metals |  | (75) |  |  | — |  |  | — |  |  |  |  |  |
Noncash and other credits, net |  | 30 |  |  | 160 |  |  | — |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 121 |  |  | — |  |  | — |  |  |  |  |  |
PT Smelting intercompany loss |  | — |  |  | 20 |  |  | — |  |  |  |  |  |
Eliminations and other |  | — |  |  | (2) |  |  | — |  |  |  |  |  |
Indonesia mining |  | 2,246 |  |  | 831 |  |  | 250 |  |  |  |  |  |
Other mining c |  | 5,025 |  |  | 4,051 |  |  | 245 |  |  |  |  |  |
Corporate, other & eliminations |  | (1,513) |  |  | (1,374) |  |  | 20 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,758 |  |  | $ | 3,508 |  |  | $ | 515 |  |  |  |  |  |

a.Includes silver sales of 1.5 million ounces ($22.85 per ounce average realized price).
b.Includes charges totaling $116 million ($0.30 per pound of copper) associated with an ARO adjustment. Also includes credits totaling $30 million ($0.08 per pound of copper) associated with adjustments to treatment and refining charges recorded during the first nine months of 2022.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXIV

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Indonesia Mining Product Revenues, Production Costs and Unit Net Cash Costs
Year Ended December 31, 2023 |  |  |  |
(In millions) |  |  |  | Co-Product Method
|  | By-Product Method |  | Copper |  | Gold |  | Silver & Other a |  | Total
Revenues, excluding adjustments |  | $ | 5,801 |  |  | $ | 5,801 |  |  | $ | 3,346 |  |  | $ | 157 |  |  | $ | 9,304 |
Site production and delivery, before net noncash and other costs shown below |  | 2,467 |  |  | 1,538 |  |  | 887 |  |  | 42 |  |  | 2,467 |
Gold, silver and other by-product credits |  | (3,520) |  |  | — |  |  | — |  |  | — |  |  | — |
Treatment charges |  | 537 |  |  | 335 |  |  | 193 |  |  | 9 |  |  | 537 |
Export duties |  | 324 |  |  | 202 |  |  | 117 |  |  | 5 |  |  | 324 |
Royalty on metals |  | 338 |  |  | 212 |  |  | 121 |  |  | 5 |  |  | 338 |
Net cash costs |  | 146 |  |  | 2,287 |  |  | 1,318 |  |  | 61 |  |  | 3,666 |
DD&A |  | 1,028 |  |  | 641 |  |  | 370 |  |  | 17 |  |  | 1,028 |
Noncash and other costs, net |  | 22 |  | b | 14 |  |  | 8 |  |  | — |  |  | 22 |
Total costs |  | 1,196 |  |  | 2,942 |  |  | 1,696 |  |  | 78 |  |  | 4,716 |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 114 |  |  | 114 |  |  | 18 |  |  | (1) |  |  | 131 |
PT Smelting intercompany profit |  | 112 |  |  | 70 |  |  | 40 |  |  | 2 |  |  | 112 |
Gross profit |  | $ | 4,831 |  |  | $ | 3,043 |  |  | $ | 1,708 |  |  | $ | 80 |  |  | $ | 4,831 |
Copper sales (millions of recoverable pounds) |  | 1,525 |  |  | 1,525 |  |  |  |  |  |  |
Gold sales (thousands of recoverable ounces) |  |  |  |  |  | 1,697 |  |  |  |  |
Gross profit per pound of copper/per ounce of gold: |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.81 |  |  | $ | 3.81 |  |  | $ | 1,972 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 1.62 |  |  | 1.01 |  |  | 522 |  |  |  |  |
Gold, silver and other by-product credits |  | (2.30) |  |  | — |  |  | — |  |  |  |  |
Treatment charges |  | 0.35 |  |  | 0.22 |  |  | 114 |  |  |  |  |
Export duties |  | 0.21 |  |  | 0.13 |  |  | 69 |  |  |  |  |
Royalty on metals |  | 0.22 |  |  | 0.14 |  |  | 71 |  |  |  |  |
Unit net cash costs |  | 0.10 |  |  | 1.50 |  |  | 776 |  |  |  |  |
DD&A |  | 0.68 |  |  | 0.42 |  |  | 218 |  |  |  |  |
Noncash and other costs, net |  | 0.01 |  | b | 0.01 |  |  | 5 |  |  |  |  |
Total unit costs |  | 0.79 |  |  | 1.93 |  |  | 999 |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.08 |  |  | 0.07 |  |  | 9 |  |  |  |  |
PT Smelting intercompany profit |  | 0.07 |  |  | 0.05 |  |  | 24 |  |  |  |  |
Gross profit per pound/ounce |  | $ | 3.17 |  |  | $ | 2.00 |  |  | $ | 1,006 |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |
Totals presented above |  | $ | 9,304 |  |  | $ | 2,467 |  |  | $ | 1,028 |  |  |  |  |
Treatment charges |  | (336) |  |  | 201 |  |  | — |  |  |  |  |
Export duties |  | (324) |  |  | — |  |  | — |  |  |  |  |
Royalty on metals |  | (338) |  |  | — |  |  | — |  |  |  |  |
Noncash and other costs, net |  | — |  |  | 22 |  |  | — |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 131 |  |  | — |  |  | — |  |  |  |  |
PT Smelting intercompany profit |  | — |  |  | (112) |  |  | — |  |  |  |  |
Eliminations and other |  | — |  |  | (26) |  |  | — |  |  |  |  |
Indonesia mining |  | 8,437 |  |  | 2,552 |  |  | 1,028 |  |  |  |  |
Other mining c |  | 20,670 |  |  | 17,075 |  |  | 976 |  |  |  |  |
Corporate, other & eliminations |  | (6,252) |  |  | (6,000) |  |  | 64 |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,855 |  |  | $ | 13,627 |  |  | $ | 2,068 |  |  |  |  |

a.Includes silver sales of 6.0 million ounces ($23.37 per ounce average realized price).
b.Includes credits of $112 million ($0.07 per pound of copper) associated with an ARO adjustment. Also, includes a charge of $55 million ($0.04 per pound of copper) associated with a potential administrative fine and charges totaling $27 million ($0.02 per pound of copper) for feasibility and optimization studies.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXV

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Indonesia Mining Product Revenues, Production Costs and Unit Net Cash Costs |
Year Ended December 31, 2022 |  |  |  |  |
(In millions) |  |  |  | Co-Product Method |
|  | By-Product Method |  | Copper |  | Gold |  | Silver & Other a |  | Total |
Revenues, excluding adjustments |  | $ | 6,018 |  |  | $ | 6,018 |  |  | $ | 3,237 |  |  | $ | 134 |  |  | $ | 9,389 |  |
Site production and delivery, before net noncash and other costs shown below |  | 2,507 |  |  | 1,607 |  |  | 864 |  |  | 36 |  |  | 2,507 |  |
Gold, silver and other by-product credits |  | (3,375) |  |  | — |  |  | — |  |  | — |  |  | — |  |
Treatment charges |  | 341 |  |  | 218 |  |  | 118 |  |  | 5 |  |  | 341 |  |
Export duties |  | 307 |  |  | 197 |  |  | 106 |  |  | 4 |  |  | 307 |  |
Royalty on metals |  | 357 |  |  | 230 |  |  | 124 |  |  | 3 |  |  | 357 |  |
Net cash costs |  | 137 |  |  | 2,252 |  |  | 1,212 |  |  | 48 |  |  | 3,512 |  |
DD&A |  | 1,025 |  |  | 657 |  |  | 353 |  |  | 15 |  |  | 1,025 |  |
Noncash and other costs, net |  | 182 |  | b | 117 |  |  | 63 |  |  | 2 |  |  | 182 |  |
Total costs |  | 1,344 |  |  | 3,026 |  |  | 1,628 |  |  | 65 |  |  | 4,719 |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 27 |  |  | 27 |  |  | 3 |  |  | 1 |  |  | 31 |  |
PT Smelting intercompany profit |  | 14 |  |  | 9 |  |  | 5 |  |  | — |  |  | 14 |  |
Gross profit |  | $ | 4,715 |  |  | $ | 3,028 |  |  | $ | 1,617 |  |  | $ | 70 |  |  | $ | 4,715 |  |
Copper sales (millions of recoverable pounds) |  | 1,582 |  |  | 1,582 |  |  |  |  |  |  |  |
Gold sales (thousands of recoverable ounces) |  |  |  |  |  | 1,811 |  |  |  |  |  |
Gross profit per pound of copper/per ounce of gold: |  |  |  |  |  |  |
Revenues, excluding adjustments |  | $ | 3.80 |  |  | $ | 3.80 |  |  | $ | 1,787 |  |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 1.58 |  |  | 1.01 |  |  | 477 |  |  |  |  |  |
Gold, silver and other by-product credits |  | (2.13) |  |  | — |  |  | — |  |  |  |  |  |
Treatment charges |  | 0.22 |  |  | 0.14 |  |  | 65 |  |  |  |  |  |
Export duties |  | 0.19 |  |  | 0.12 |  |  | 58 |  |  |  |  |  |
Royalty on metals |  | 0.23 |  |  | 0.15 |  |  | 69 |  |  |  |  |  |
Unit net cash costs |  | 0.09 |  |  | 1.42 |  |  | 669 |  |  |  |  |  |
DD&A |  | 0.65 |  |  | 0.42 |  |  | 195 |  |  |  |  |  |
Noncash and other costs, net |  | 0.11 |  | b | 0.07 |  |  | 35 |  |  |  |  |  |
Total unit costs |  | 0.85 |  |  | 1.91 |  |  | 899 |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 0.02 |  |  | 0.01 |  |  | 2 |  |  |  |  |  |
PT Smelting intercompany profit |  | 0.01 |  |  | 0.01 |  |  | 3 |  |  |  |  |  |
Gross profit per pound/ounce |  | $ | 2.98 |  |  | $ | 1.91 |  |  | $ | 893 |  |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |  |  |  |
|  | Revenues |  | and Delivery |  | DD&A |  |  |  |  |
Totals presented above |  | $ | 9,389 |  |  | $ | 2,507 |  |  | $ | 1,025 |  |  |  |  |  |
Treatment charges |  | (341) |  |  | — |  |  | — |  |  |  |  |  |
Export duties |  | (307) |  |  | — |  |  | — |  |  |  |  |  |
Royalty on metals |  | (357) |  |  | — |  |  | — |  |  |  |  |  |
Noncash and other costs, net |  | 11 |  |  | 193 |  |  | — |  |  |  |  |  |
Other revenue adjustments, primarily for pricing on prior period open sales |  | 31 |  |  | — |  |  | — |  |  |  |  |  |
PT Smelting intercompany profit |  | — |  |  | (14) |  |  | — |  |  |  |  |  |
Eliminations and other |  | — |  |  | (2) |  |  | — |  |  |  |  |  |
Indonesia mining |  | 8,426 |  |  | 2,684 |  |  | 1,025 |  |  |  |  |  |
Other mining c |  | 20,748 |  |  | 16,592 |  |  | 924 |  |  |  |  |  |
Corporate, other & eliminations |  | (6,394) |  |  | (6,206) |  |  | 70 |  |  |  |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,780 |  |  | $ | 13,070 |  |  | $ | 2,019 |  |  |  |  |  |

a.Includes silver sales of 6.3 million ounces ($21.41 per ounce average realized price).
b.Includes charges totaling $116 million ($0.07 per pound of copper) associated with an ARO adjustment. Also, includes a net charge of $30 million ($0.02 per pound of copper) associated with a settlement of an administrative fine levied by the Indonesia government and a reserve for exposure associated with export duties in prior periods, partially offset by credits for adjustments to prior year treatment and refining charges and historical tax audits.
c.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI.
XXVI

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Molybdenum Mines Product Revenues, Production Costs and Unit Net Cash Costs
|  | Three Months Ended December 31, |  |
(In millions) |  | 2023 |  | 2022 |  |  |  |
Revenues, excluding adjustments a |  | $ | 164 |  |  | $ | 174 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 115 |  |  | 106 |  |  |  |  |
Treatment charges and other |  | 7 |  |  | 8 |  |  |  |  |
Net cash costs |  | 122 |  |  | 114 |  |  |  |  |
DD&A |  | 18 |  |  | 22 |  |  |  |  |
Noncash and other costs, net |  | 3 |  |  | 4 |  |  |  |  |
Total costs |  | 143 |  |  | 140 |  |  |  |  |
Gross profit |  | $ | 21 |  |  | $ | 34 |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  | 8 |  |  | 10 |  |  |  |  |
Gross profit per pound of molybdenum: |  |
Revenues, excluding adjustments a |  | $ | 19.90 |  |  | $ | 18.25 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 13.97 |  |  | 11.10 |  |  |  |  |
Treatment charges and other |  | 0.86 |  |  | 0.84 |  |  |  |  |
Unit net cash costs |  | 14.83 |  |  | 11.94 |  |  |  |  |
DD&A |  | 2.19 |  |  | 2.38 |  |  |  |  |
Noncash and other costs, net |  | 0.40 |  |  | 0.37 |  |  |  |  |
Total unit costs |  | 17.42 |  |  | 14.69 |  |  |  |  |
Gross profit per pound |  | $ | 2.48 |  |  | $ | 3.56 |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |
Three Months Ended December 31, 2023 |  | Revenues |  | and Delivery |  | DD&A |  |
Totals presented above |  | $ | 164 |  |  | $ | 115 |  |  | $ | 18 |  |  |
Treatment charges and other |  | (7) |  |  | — |  |  | — |  |  |
Noncash and other costs, net |  | — |  |  | 3 |  |  | — |  |  |
Molybdenum mines |  | 157 |  |  | 118 |  |  | 18 |  |  |
Other mining b |  | 7,201 |  |  | 4,606 |  |  | 557 |  |  |
Corporate, other & eliminations |  | (1,453) |  |  | (1,364) |  |  | 14 |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,905 |  |  | $ | 3,360 |  |  | $ | 589 |  |  |
Three Months Ended December 31, 2022 |  |  |  |  |  |  |  |
Totals presented above |  | $ | 174 |  |  | $ | 106 |  |  | $ | 22 |  |  |
Treatment charges and other |  | (8) |  |  | — |  |  | — |  |  |
Noncash and other costs, net |  | — |  |  | 4 |  |  | — |  |  |
Molybdenum mines |  | 166 |  |  | 110 |  |  | 22 |  |  |
Other mining b |  | 7,105 |  |  | 4,772 |  |  | 473 |  |  |
Corporate, other & eliminations |  | (1,513) |  |  | (1,374) |  |  | 20 |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 5,758 |  |  | $ | 3,508 |  |  | $ | 515 |  |  |

a.Reflects sales of the Molybdenum mines’ production to FCX’s 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, FCX’s consolidated average realized price per pound of molybdenum will differ from the amounts reported in this table.
b.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI. Also includes amounts associated with FCX’s molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the North America and South America copper mines.
XXVII

Freeport-McMoRan Inc.
PRODUCT REVENUES AND PRODUCTION COSTS (continued)
Molybdenum Mines Product Revenues, Production Costs and Unit Net Cash Costs
|  | Years Ended December 31, |  |
(In millions) |  | 2023 |  | 2022 |  |  |  |
Revenues, excluding adjustments a |  | $ | 702 |  |  | $ | 593 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 423 |  |  | 347 |  |  |  |  |
Treatment charges and other |  | 25 |  |  | 28 |  |  |  |  |
Net cash costs |  | 448 |  |  | 375 |  |  |  |  |
DD&A |  | 66 |  |  | 74 |  |  |  |  |
Noncash and other costs, net |  | 16 |  |  | 12 |  |  |  |  |
Total costs |  | 530 |  |  | 461 |  |  |  |  |
Gross profit |  | $ | 172 |  |  | $ | 132 |  |  |  |  |
Molybdenum sales (millions of recoverable pounds)a |  | 30 |  |  | 33 |  |  |  |  |
Gross profit per pound of molybdenum: |  |
Revenues, excluding adjustments a |  | $ | 23.71 |  |  | $ | 18.08 |  |  |  |  |
Site production and delivery, before net noncash and other costs shown below |  | 14.28 |  |  | 10.59 |  |  |  |  |
Treatment charges and other |  | 0.85 |  |  | 0.84 |  |  |  |  |
Unit net cash costs |  | 15.13 |  |  | 11.43 |  |  |  |  |
DD&A |  | 2.24 |  |  | 2.27 |  |  |  |  |
Noncash and other costs, net |  | 0.55 |  |  | 0.37 |  |  |  |  |
Total unit costs |  | 17.92 |  |  | 14.07 |  |  |  |  |
Gross profit per pound |  | $ | 5.79 |  |  | $ | 4.01 |  |  |  |  |
Reconciliation to Amounts Reported |  |  |  |  |  |  |  |
|  |  |  | Production |  |  |  |
Year Ended December 31, 2023 |  | Revenues |  | and Delivery |  | DD&A |  |
Totals presented above |  | $ | 702 |  |  | $ | 423 |  |  | $ | 66 |  |  |
Treatment charges and other |  | (25) |  |  | — |  |  | — |  |  |
Noncash and other costs, net |  | — |  |  | 16 |  |  | — |  |  |
Molybdenum mines |  | 677 |  |  | 439 |  |  | 66 |  |  |
Other mining b |  | 28,430 |  |  | 19,188 |  |  | 1,938 |  |  |
Corporate, other & eliminations |  | (6,252) |  |  | (6,000) |  |  | 64 |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,855 |  |  | $ | 13,627 |  |  | $ | 2,068 |  |  |
Year Ended December 31, 2022 |  |  |  |  |  |  |  |
Totals presented above |  | $ | 593 |  |  | $ | 347 |  |  | $ | 74 |  |  |
Treatment charges and other |  | (28) |  |  | — |  |  | — |  |  |
Noncash and other costs, net |  | — |  |  | 12 |  |  | — |  |  |
Molybdenum mines |  | 565 |  |  | 359 |  |  | 74 |  |  |
Other mining b |  | 28,609 |  |  | 18,917 |  |  | 1,875 |  |  |
Corporate, other & eliminations |  | (6,394) |  |  | (6,206) |  |  | 70 |  |  |
As reported in FCX’s consolidated financial statements |  | $ | 22,780 |  |  | $ | 13,070 |  |  | $ | 2,019 |  |  |

a.Reflects sales of the Molybdenum mines’ production to FCX’s 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, FCX’s consolidated average realized price per pound of molybdenum will differ from the amounts reported in this table.
b.Represents the combined total for FCX’s other mining operations as presented in the supplemental schedule, “Business Segments,” beginning on page XI. Also includes amounts associated with FCX’s molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the North America and South America copper mines.
XXVIII