The Indonesian unit is now in the process of obtaining a full export permit.
Freeport McMoran Copper & Gold Inc. Mining News
The news follows the end of a historically long 43-day strike at BHP Billiton’s Escondida, the world's biggest copper mine in neighbouring Chile.
Around 1,300 unionized miners plan to start an indefinite stoppage at Peru's largest copper mine beginning March 24.
China releases scorching industry output growth, fixed investment numbers for January-February. Third attempt to restart talks at giant Chile mine fails.
Disputes at BHP Billiton’s Escondida mine in Chile, the world's biggest copper mine, and Freeport’s Grasberg and Cerro Verde mines, are also having a significant effect on global supplies of concentrate.
The mine produced just under 500,000 tonnes of the red metal last year, making it Peru's largest copper operation.
The firm has not been able to ship copper from the mine in over a month due to a ban on concentrate exports that kicked in on January 12.
Miner says that each month of delay in obtaining approval to export means production would be reduced by 70 million pounds of copper and 70,000 ounces of gold.
Government is considering to extend the miner a temporary permit, valid for up to six months, which would pave the way for Freeport to resume exports from Grasberg.
Far-reaching new mining rules ease a controversial ban on exports of nickel ore and bauxite.
There are some positives.
The company, which is the US biggest miner by market value, is cutting 25% of its workforce to reduce debt.
Freeport McMoRan Inc. is considering selling a minority stake in its portfolio of copper mines, sources familiar with the matter said, one of the options on the table as the company scrambles to slash its $20-billion (U.S.) debt load.
The measure is part of a wider revision of the 2009 mining law that led to Indonesia's export edicts and other regulations.
Morenci is an open-pit, copper mine located in Arizona. In 2015, FCX’s 85 percent share of Morenci revenues totaled $2.2 billion and production and delivery costs totaled $1.5 billion.
Maroef Sjamsuddin's decision comes less than a month after the chairman of the U.S. mining giant stepped down.
The company's co-founder James Moffett will step down as chairman and quit the board.
The U.S. miner became the latest mining company to announced drastic measures aimed at preserving cash amid a deepening commodity prices rout.
The investigation aims to determine whether senior officials tried extorting Freeport’s Indonesian unit in return for letting the company continue to operate in the country.
The U.S’s largest mining company unveils plans to further slash copper and molybdenum output.
The approval will include “the same rights and the same level of legal and fiscal certainty provided under its contract of work,” the company said without elaborating.
So far, copper prices have failed to react significantly to news of supply disruptions, remaining more responsive to news from China, the world’s largest consumer.
The Arizona-based mining company also said it is partially suspending operations at the complex until mid-September, as it cuts mining rates in half.
The miner has responded to deteriorating market conditions by slashing spending and cutting jobs, mostly at its North American operations.
The company, which runs the massive Grasberg mine in Papua, has stopped exporting since last month.