Freeport-McMoRan Beats Q2 Earnings Expectations on Rising Copper Prices

Freeport-McMoRan's second-quarter profit topped Wall Street expectations as higher copper prices offset lower production at Indonesia's Grasberg mine. The world's largest publicly traded copper producer reported a net income of $984 million, or 68 cents per share, compared to $772 million, or 53 cents per share, in the same period last year.

The company has been working to repair the Grasberg site since a massive mud flow in September killed seven workers and shut down operations for nearly a month. Costs tied to the repair were approximately $363 million during the quarter. Freeport CEO Kathleen Quirk said that the ramp-up plans for the mine are on track, with a goal of reopening by the end of the year.

Copper production fell 18.2% to 786 million pounds, while gold production decreased 39.4% to 192,000 ounces. The average copper price during the quarter rose 41.5% from the same period last year, driven by supply concerns and resilient Chinese demand.