FCX · 10-Q · 2026Q2 · Full report

Grasberg Ramp-Up Impact

FREEPORT-MCMORAN INC · 2026-08-06 · Importance 58 · Surprise 42 · In source text

PT Freeport Indonesia continued the phased ramp-up of the Grasberg Block Cave underground mine after the September 2025 external mud rush incident. Lower operating rates at Grasberg reduced consolidated copper and gold sales volumes in the second quarter and first six months of 2026 compared with the prior-year periods. Management expects second-half copper sales volumes to increase as the Grasberg ramp-up progresses, but production and delivery costs continue to include significant idle-facility and restoration costs until normal capacity is restored. Approximately 100 million pounds of copper and 50 thousand ounces of gold were expected to remain in inventory at PTFI’s smelting operations as production exceeded sales volumes.

Key facts

• PTFI’s consolidated sales volumes totaled 153 million pounds of copper and 118 thousand ounces of gold in second-quarter 2026, and 443 million pounds of copper and 518 thousand ounces of gold in second-quarter 2025. source
• PTFI consolidated sales volumes were 235 million pounds of copper and 234 thousand ounces of gold for the first six months of 2026 and 733 million pounds of copper and 643 thousand ounces of gold for the first six months of 2025. source
• PTFI’s overall production rates are expected to approximate 65% of capacity in the second half of 2026, 80% by mid-2027 and approach full capacity by the end of 2027. source
• At normal operating rates, PTFI’s underground operations produce approximately 1.7 billion pounds of copper and 1.3 million ounces of gold per year. source
• Copper and gold production volumes for 2026 are expected to exceed sales volumes by approximately 100 million pounds of copper and 50 thousand ounces of gold associated with inventory held at PTFI’s smelting operations. source
• PTFI has made steady progress with the phased ramp-up of the Grasberg Block Cave underground mine following the September 2025 external mud rush incident. source

Impact estimates