Freeport McMoRan Copper & Gold Inc. (NYSE:FCX) has reported a 10% rise in its second quarter earnings.
Chief Executive Officer Richard Adkerson said copper markets were healthier and he outlined how Freeport was bringing mines online that it had idled or put on hold during the global financial crisis.
The world's largest producers of copper, gold and molybdenum stated that the second quarter earnings rose as the prices of copper and gold were higher despite making fewer sales. In the April - June quarter the company earned $649 million this year as compared to $588 million in the same period last year.
The strong demand for copper and sales in northern Europe, China and the U.S. were driving the company revenue up by 5% as per Richard Adkerson the president and CEO. He told analysts that they were seeing their order books filling more strongly than they have in some time.
The Grasberg mining complex in Indonesia, where Freeport-McMoRan Copper & Gold is engaged in exploration and development, mining and milling of ore containing copper, gold and silver. Image Credit: Freeport McMoRan Copper & Gold Inc.
He also slashed down the gold sales volume estimate for the coming year by more than 20% due to the mining of low grade ore in the Grasberg mine in Indonesia. He termed it a geotechnical problem. On the whole since the average prices have risen for both gold and copper the company is on an upswing.
The company's portfolio of assets includes the Grasberg mining complex in Indonesia, the world's largest copper and gold mine in terms of recoverable reserves, significant mining operations in the Americas, including the large scale Morenci and Safford minerals districts in North America and the Cerro Verde and El Abra operations in South America, and the Tenke Fungurume minerals district in the Democratic Republic of Congo.