Grasberg Copper-Gold Complex Nears Full Capacity After Devastating Mudslide

Freeport-McMoRan's Grasberg copper-gold complex in Central Papua has made significant progress in recovering from last year's devastating mudslide. The mine is now operating at about 67% of its normal milling capacity, with roughly 140,000 tonnes of ore being processed per day.

The Grasberg Block Cave supplied around 70,000 tonnes per day of mill feed in Q3, and upgrades to underground material-handling systems are expected to be completed by early 2027. Production Block 1S is targeted to restart by mid-2027, which should help lift output towards 80% of capacity.

The East Java smelter and PT Smelting facility are ramping up production alongside the Grasberg mine, with a combined annual copper cathode output of up to 800,000 tonnes. Freeport-McMoRan has guided Q3 copper production at around 830 million pounds and expects realized prices above $6.50 per pound.

An investigation into the mudslide found that accelerated ore removal from a narrow, clay-rich production block created a high-velocity flow channel linking surface mud to underground voids. The incident highlights the need for explicit design checks on potential surface-to-underground flow paths in other block and panel caves.