Freeport-McMoRan (FCX) investor relations material

Executive summary

• Q2 2026 results reflect strong operational execution, with copper and gold sales volumes and unit net cash costs exceeding expectations; Grasberg Block Cave ramp-up is on schedule, and organic copper growth projects are advancing.

• U.S. mining operations delivered 2.4x more operating income in H1 2026 vs. H1 2025, driving a 65% increase in consolidated net income year-over-year.

• Grasberg Block Cave ramp-up met expectations, with phased restoration and remediation following the 2025 mud rush incident progressing on schedule.

• Strategic investments and technology initiatives, including leach technology and brownfield expansions, are advancing, positioning for future volume and margin growth.

• Returned $600 million to shareholders in H1 2026, including $200 million in share repurchases.

Financial highlights

• Consolidated net income rose 65% in H1 2026 compared to H1 2025; Q2 2026 net income attributable to common stock was $1.0 billion ($0.68/share), with adjusted net income at $1.1 billion ($0.74/share).

• Q2 2026 revenues were $7.03 billion; operating income was $2.0 billion; adjusted EBITDA for Q2 2026 was $3.5 billion; operating cash flow was $2.1 billion.

• Copper sales in Q2 2026 were 710 million lbs, gold sales 123k oz, and molybdenum sales 25 million lbs; average realized prices: copper $6.17/lb, gold $4,520/oz, molybdenum $28.75/lb.

• Net debt at June 30, 2026 was $2.1 billion (excluding Indonesia downstream projects); cash and cash equivalents totaled $4.1 billion.

• Returned $600 million to shareholders in H1 2026, including $200 million in share repurchases; $6.3 billion distributed since 2021.

Outlook and guidance

• 2026 copper sales expected at 3.1 billion lbs, gold at 650k oz, and molybdenum at 93 million lbs; Q3 2026 guidance: 750 million lbs copper, 160k oz gold, 22 million lbs molybdenum.

• Full-year 2026 average unit net cash costs for copper expected at $1.90/lb; operating cash flows projected at $8.3 billion for 2026 at $6.00/lb copper.

• Grasberg expected to reach 65% of full capacity in H2 2026, 80% by mid-2027, and near full capacity by end of 2027.

• Bagdad expansion investment decision anticipated in H2 2026; capital cost estimate now ~$4.5B, up 30% from 2023.

• Sensitivity: Each $0.10/lb change in copper price impacts operating cash flow by ~$300 million.