PHOENIX–(BUSINESS WIRE)–
Freeport-McMoRan Inc. (NYSE: FCX):

• Net loss attributable to common stock totaled $3.8 billion,
  $3.58 per share, for third-quarter 2015. After adjusting for net
  charges totaling $3.7 billion, $3.43 per share, third-quarter 2015
  adjusted net loss attributable to common stock totaled $156 million,
  $0.15 per share.
• Consolidated sales totaled 1.0 billion pounds of copper, 294
  thousand ounces of gold, 23 million pounds of molybdenum and 13.8
  million barrels of oil equivalents (MMBOE) for third-quarter 2015,
  compared with 1.1 billion pounds of copper, 525 thousand ounces of
  gold, 22 million pounds of molybdenum and 12.5 MMBOE for third-quarter
  2014.
• Consolidated sales for the year 2015 are expected to
  approximate 4.1 billion pounds of copper, 1.2 million ounces of gold,
  90 million pounds of molybdenum and 52.7 MMBOE, including 1.1 billion
  pounds of copper, 310 thousand ounces of gold, 21 million pounds of
  molybdenum and 13.3 MMBOE for fourth-quarter 2015.
• Average realized prices were $2.38 per pound for copper, $1,117
  per ounce for gold and $55.88 per barrel for oil (including $11.03 per
  barrel for cash gains on derivative contracts) for third-quarter 2015.
• Consolidated unit net cash costs for third-quarter 2015
  averaged $1.52 per pound of copper for mining operations and $18.85
  per barrel of oil equivalents (BOE) for oil and gas operations.
• Operating cash flows totaled $822 million (including
  $507 million in working capital sources and changes in other tax
  payments) for third-quarter 2015. Based on current sales volume and
  cost estimates and assuming average prices of $2.40 per pound for
  copper, $1,150 per ounce for gold, $5.50 per pound for molybdenum and
  $50 per barrel for Brent crude oil for fourth-quarter 2015, operating
  cash flows are expected to approximate $3.3 billion for the year 2015.
  Using similar price assumptions, operating cash flows are expected to
  approximate $6.8 billion for the year 2016.
• Capital expenditures totaled $1.5 billion for third-quarter
  2015, including $0.6 billion for major projects at mining operations
  and $0.7 billion for oil and gas operations. Capital expenditures are
  expected to approximate $6.3 billion for the year 2015, including $2.5
  billion for major projects at mining operations and $2.8 billion for
  oil and gas operations. Capital expenditures are expected to
  approximate $4.0 billion for the year 2016.
• The Cerro Verde expansion project commenced operations in
  September 2015 and is expected to achieve full rates by early 2016.
• In third-quarter 2015, FCX announced revised capital and operating
  plans in response to market conditions. The revised plans include
  significant reductions in planned capital expenditures, production
  curtailments and cost reductions. FCX also announced today additional
  actions to further curtail copper and molybdenum production.
• FCX has sold 114.8 million shares of its common stock and generated
  gross proceeds of $1.2 billion under its at-the-market equity
  programs, including 97.5 million shares and gross proceeds of $1.0
  billion during third-quarter 2015.
• At September 30, 2015, consolidated debt totaled $20.7
  billion and consolidated cash totaled $338 million.
• In October 2015, FCX announced it is undertaking a review of its
  oil and gas business to evaluate strategic alternatives designed
  to enhance value to FCX shareholders and achieve self-funding of the
  oil and gas business from its cash flows and resources.
• In October 2015, the Indonesian government provided assurances to PT
  Freeport Indonesia on its long-term mining rights.

Freeport-McMoRan Inc. (NYSE: FCX) reported a net loss attributable to
common stock of $3.8 billion, $3.58 per share, for third-quarter 2015
and $8.2 billion, $7.77 per share, for the first nine months of 2015,
compared with net income attributable to common stock of $552 million,
$0.53 per share, for third-quarter 2014 and $1.5 billion, $1.47 per
share, for the first nine months of 2014. FCX’s net loss attributable to
common stock includes net charges totaling $3.7 billion, $3.43 per
share, for third-quarter 2015 and $8.1 billion, $7.71 per share, for the
first nine months of 2015, primarily for the reduction of the carrying
value of oil and gas properties and other items described below. Net
income attributable to common stock for the 2014 periods included net
charges totaling $114 million, $0.11 per share, for third-quarter 2014
and $236 million, $0.23 per share, for the first nine months of 2014,
including charges for the reduction of the carrying value of oil and gas
properties and other items described below.

James R. Moffett, Chairman of the Board, and Richard C. Adkerson,
Vice Chairman, President and Chief Executive Officer, said, “During the
third quarter, we took a series of aggressive actions to reduce costs
and capital expenditures and to strengthen our financial position. These
actions, combined with the recent achievement of several important
project milestones, position FCX for enhanced free cash flow generation
in a weak market environment while maintaining exposure to improved
future market conditions for our large resource base. We remain
focused on managing our production, costs and capital expenditures under
volatile market conditions as we seek to strengthen our balance sheet
and build value for shareholders from our high quality portfolio of
assets.”

REVISED OPERATING PLANS AND OIL AND GAS REVIEW

During third-quarter 2015, FCX took aggressive actions to enhance the
outlook for free cash flow generation at low commodity prices, including
further reductions in capital spending, production curtailments at
certain mining operations and actions to reduce operating, exploration
and administrative costs. These actions include:

• A 29 percent reduction in estimated 2016 capital expenditures (from
  $5.6 billion to $4.0 billion), including:
  • A 25 percent reduction in estimated mining capital expenditures
    (from $2.7 billion to $2.0 billion)
  • A 30 percent reduction in estimated oil and gas capital
    expenditures (from $2.9 billion to $2.0 billion)
• Production curtailments at certain North and South America copper mines
• Reductions in mining operating costs

FCX continues to review its capital projects and costs to maximize cash
flow in a weak market environment and to preserve its resources for
improved market conditions. During October 2015, FCX initiated a plan to
reduce operating rates at its Sierrita mine in Arizona in response to
low copper and molybdenum prices. Initially, the plan involves operating
the Sierrita mine at 50 percent of its current operating rate. FCX is
also evaluating the economics of a full shutdown. The impact of a 50
percent curtailment is approximately 100 million pounds of copper and 10
million pounds of molybdenum per year. Combined with the previously
announced curtailments, the consolidated impact is an aggregate
reduction of 250 million pounds of copper and 20 million pounds of
molybdenum per year.

As previously announced on October 6, 2015, the FCX Board of Directors
is undertaking a strategic review of its oil and gas business (FCX Oil &
Gas Inc., or FM O&G) to evaluate alternatives designed to enhance value
to FCX shareholders and achieve self funding of the oil and gas business
from its cash flows and resources. The previously announced potential
initial public offering (IPO) of a minority interest in FCX’s oil and
gas business remains an alternative for future consideration, the timing
of which is subject to market conditions. Other alternatives currently
under consideration include a spinoff of the oil and gas business to FCX
shareholders, joint venture arrangements and further spending
reductions. FM O&G’s high-quality asset base, substantial underutilized
Deepwater Gulf of Mexico (GOM) infrastructure, large inventory of
low-risk development opportunities and talented and experienced
personnel and management team provide opportunities to generate value.

FCX’s strategy will focus on its global leading position in the copper
industry. Near term, this strategy will involve managing its production
activities, spending on capital projects and operations, and the
administration of its business to enhance cash flows and protect
liquidity. While taking prudent near-term steps responsive to the
currently weak market conditions, FCX remains confident about the longer
term outlook for copper prices based on the global demand and supply
fundamentals. A primary objective of FCX’s strategy will be a
significant reduction over time of FCX’s current debt level. With its
established reserves and large-scale current production base, its
significant portfolio of undeveloped resources, and its global
organization of highly qualified dedicated workers and management, FCX
is well positioned to build value for its shareholders.

Consolidated Sales Volumes

Third-quarter 2015 consolidated copper sales of 1.0 billion
pounds were slightly below the August 2015 estimate and lower than
third-quarter 2014 sales of 1.1 billion pounds. The variance to
third-quarter 2014 primarily reflects lower volumes from South America
as a result of the sale of Candelaria/Ojos in fourth-quarter 2014 and
lower volumes at PT Freeport Indonesia (PT-FI) associated with lower ore
grades and the impact of El Niño weather conditions, partly offset by
higher volumes from North America.

Third-quarter 2015 consolidated gold sales of 294 thousand ounces
were slightly lower than the July 2015 estimate of 315 thousand ounces
and lower than third-quarter 2014 sales of 525 thousand ounces,
primarily reflecting lower volumes at PT-FI associated with lower ore
grades and the impacts of El Niño weather conditions.

Third-quarter 2015 consolidated molybdenum sales of 23 million
pounds approximated the July 2015 estimate and the third-quarter 2014
sales of 22 million pounds.

Third-quarter 2015 sales from oil and gas operations of 13.8 MMBOE,
including 9.3 million barrels (MMBbls) of crude oil, 22.8 billion
cubic feet (Bcf) of natural gas and 0.7 MMBbls of natural gas
liquids (NGLs), approximated the July 2015 estimate of 13.6 MMBOE
and were higher than third-quarter 2014 sales of 12.5 MMBOE, primarily
reflecting higher volumes in the GOM, partly offset by lower volumes in
California.

Consolidated sales for the year 2015 are expected to approximate 4.1
billion pounds of copper, 1.2 million ounces of gold, 90 million pounds
of molybdenum and 52.7 MMBOE, including 1.1 billion pounds of copper,
310 thousand ounces of gold, 21 million pounds of molybdenum and 13.3
MMBOE for fourth-quarter 2015. Projected 2015 sales volumes are
approximately 130 million pounds of copper and 90 thousand ounces of
gold below the July 2015 estimates reflecting revised operating plans
and ongoing El Niño weather conditions in Indonesia. With the completion
of the Cerro Verde expansion project and access to higher grade ore at
Grasberg in 2016, FCX expects sales volumes to approximate 5.2 billion
pounds of copper for the year 2016.

Consolidated Unit Costs

Mining Unit Net Cash Costs. Consolidated average unit net cash
costs (net of by-product credits) for FCX’s copper mines of $1.52 per
pound of copper in third-quarter 2015 were higher than unit net cash
costs of $1.34 per pound in third-quarter 2014, primarily reflecting
lower by-product credits, partly offset by lower site production and
delivery costs mostly associated with higher volumes in North America.

Assuming average prices of $1,150 per ounce of gold and $5.50 per pound
of molybdenum for fourth-quarter 2015 and achievement of current sales
volume and cost estimates, consolidated unit net cash costs (net of
by-product credits) for copper mines are expected to average $1.52 per
pound of copper for the year 2015. Quarterly unit net cash costs vary
with fluctuations in sales volumes and average realized prices
(primarily gold and molybdenum prices). The impact of price changes for
fourth-quarter 2015 on consolidated unit net cash costs would
approximate $0.006 per pound for each $50 per ounce change in the
average price of gold and $0.003 per pound for each $2 per pound change
in the average price of molybdenum.

Unit net cash costs are expected to decline significantly in 2016,
principally reflecting higher anticipated copper and gold volumes. Using
the same metals price assumptions and assuming achievement of current
sales volume and cost estimates, consolidated unit net cash costs (net
of by-product credits) for copper mines are expected to average $1.15
per pound of copper for the year 2016.

Oil and Gas Cash Production Costs per BOE. Cash production costs
for oil and gas operations of $18.85 per BOE in third-quarter 2015 were
lower than cash production costs of $20.93 per BOE in third-quarter
2014, primarily reflecting lower production costs in California related
to reductions in well workover expense and steam costs.

Based on current sales volume and cost estimates for fourth-quarter
2015, cash production costs are expected to approximate $19 per BOE for
the year 2015.

MINING OPERATIONS

North America Copper Mines. FCX operates seven open-pit copper
mines in North America – Morenci, Bagdad, Safford, Sierrita and Miami in
Arizona, and Chino and Tyrone in New Mexico. All of the North America
mining operations are wholly owned, except for Morenci. FCX records its
85 percent joint venture interest in Morenci using the proportionate
consolidation method. In addition to copper, molybdenum concentrates and
silver are also produced by certain of FCX’s North America copper mines.

Operating and Development Activities. FCX has significant
undeveloped reserves and resources in North America and a portfolio of
potential long-term development projects. In the near term, FCX is
deferring developing new projects as a result of current market
conditions. Future investments will be undertaken based on the results
of economic and technical feasibility studies, and market conditions.

The Morenci mill expansion project commenced operations in May 2014 and
successfully achieved full rates in second-quarter 2015. The project
expanded mill capacity from 50,000 metric tons of ore per day to
approximately 115,000 metric tons of ore per day, which results in
incremental annual production of approximately 225 million pounds of
copper and an improvement in Morenci’s cost structure. Morenci’s copper
production is expected to average 900 million pounds per year over the
next five years.

FCX’s revised plans for its North America copper mines incorporate
reductions in mining rates to reduce operating and capital costs,
including the suspension of mining operations at the Miami mine (which
produced 33 million pounds of copper for the first nine months of 2015),
a 50 percent reduction in mining rates at the Tyrone mine (which
produced 65 million pounds of copper for the first nine months of 2015),
a 50 percent reduction in operating rates at the Sierrita mine (which
produced 140 million pounds of copper and 17 million pounds of
molybdenum for the first nine months of 2015) as well as adjustments to
mining rates at other North America mines. The revised plans at each of
the operations incorporate the impacts of lower energy, acid and other
consumables, reduced labor costs and a significant reduction in capital
spending plans. These plans will continue to be reviewed and additional
adjustments may be made as market conditions warrant.

Operating Data. Following is a summary of consolidated operating
data for the North America copper mines for the third quarters and first
nine months of 2015 and 2014:

North America’s consolidated copper sales volumes of 483 million pounds
in third-quarter 2015 were higher than third-quarter 2014 sales of 436
million pounds, primarily reflecting higher milling rates and ore grades
at Morenci and Chino, and higher ore grades at Safford. North America
copper sales are estimated to approximate 1.95 billion pounds for the
year 2015, compared with 1.66 billion pounds in 2014.

Average unit net cash costs (net of by-product credits) for the North
America copper mines were $1.68 per pound of copper in both the third
quarters of 2015 and 2014, with favorable impacts from higher volumes
offset by lower by-product credits. Average unit net cash costs (net of
by-product credits) for the North America copper mines are expected to
approximate $1.70 per pound of copper for the year 2015, based on
current sales volume and cost estimates and assuming an average
molybdenum price of $5.50 per pound for fourth-quarter 2015. North
America’s average unit net cash costs for fourth-quarter 2015 would
change by approximately $0.004 per pound for each $2 per pound change in
the average price of molybdenum.

South America Mining. FCX operates two copper mines in South
America – Cerro Verde in Peru (in which FCX owns a 53.56 percent
interest) and El Abra in Chile (in which FCX owns a 51 percent
interest). These operations are consolidated in FCX’s financial
statements. In addition to copper, the Cerro Verde mine produces
molybdenum concentrates and silver.

Operating and Development Activities. The Cerro Verde expansion
project commenced operations in September 2015 and is expected to reach
full rates by early 2016. This expansion will enable Cerro Verde to
contribute significant cash flows in coming years from its large-scale,
long-lived and cost-efficient operation. The project expands the
concentrator facilities from 120,000 metric tons of ore per day to
360,000 metric tons of ore per day and provides incremental annual
production of approximately 600 million pounds of copper and 15 million
pounds of molybdenum beginning in 2016.

During third-quarter 2015, FCX revised plans for its South America
copper mines, principally to reflect adjustments to the mine plan at El
Abra (which produced 251 million pounds of copper for the first nine
months of 2015) to reduce mining and stacking rates by approximately 50
percent to achieve lower operating and labor costs, defer capital
expenditures and extend the life of the existing operations.

Operating Data. Following is a summary of consolidated operating
data for the South America mining operations for the third quarters and
first nine months of 2015 and 2014:

South America’s consolidated copper sales volumes of 207 million pounds
in third-quarter 2015 were lower than third-quarter 2014 sales of 271
million pounds, primarily reflecting the sale of Candelaria/Ojos. Sales
from South America mining are expected to approximate 885 million pounds
of copper for the year 2015, compared with 1.14 billion pounds of copper
in 2014 (which included 268 million pounds from Candelaria/Ojos).

Average unit net cash costs (net of by-product credits) for South
America mining of $1.68 per pound of copper in third-quarter 2015 were
higher than unit net cash costs of $1.60 per pound in third-quarter
2014, primarily reflecting lower by-product credits as a result of the
sale of Candelaria/Ojos in fourth-quarter 2014. Average unit net cash
costs (net of by-product credits) for South America mining are expected
to approximate $1.73 per pound of copper for the year 2015, based on
current sales volume and cost estimates and assuming average prices of
$5.50 per pound of molybdenum for fourth-quarter 2015.

Indonesia Mining. Through its 90.64 percent owned and
consolidated subsidiary PT-FI, FCX’s assets include one of the world’s
largest copper and gold deposits at the Grasberg minerals district in
Papua, Indonesia. PT-FI operates a proportionately consolidated joint
venture, which produces copper concentrates that contain significant
quantities of gold and silver.

Regulatory Matters. PT-FI has advanced discussions with the
Indonesian government regarding its Contract of Work (COW) and long-term
operating rights. The Indonesian government is currently developing
economic stimulus measures, which include revisions to mining
regulations, to promote economic and employment growth. In consideration
of PT-FI’s major investments, and prior and ongoing commitments to
increase benefits to Indonesia, including previously agreed higher
royalties, domestic processing, divestment and local content, the
Indonesian government provided a letter of assurance to PT-FI in October
2015 indicating that it will approve the extension of operations beyond
2021, and provide the same rights and the same level of legal and fiscal
certainty provided under its current COW.

PT-FI is advancing plans for the construction of new smelter capacity in
parallel with completing negotiations on its COW and long-term operating
rights. PT-FI has identified potential sites and is developing plans for
the construction of additional smelter capacity. FCX is engaged in
discussions with potential partners for the project.

As previously reported and upon completion of its amended COW, FCX and
PT-FI have agreed to a divestment to the Indonesian government and/or
Indonesian nationals of up to a 30 percent interest (an additional 20.64
percent) in PT-FI at fair market value.

Operating and Development Activities. PT-FI’s revised plans
incorporate improved operational efficiencies, reductions in input
costs, supplies and contractor costs, foreign exchange impacts and a
deferral of 15 percent of capital expenditures in 2016.

PT-FI has several projects in progress in the Grasberg minerals district
related to the development of its large-scale, long-lived, high-grade
underground ore bodies. In aggregate, these underground ore bodies are
expected to produce large-scale quantities of copper and gold following
the transition from the Grasberg open pit, currently anticipated to
occur in late 2017. Development of the Grasberg Block Cave and Deep Mill
Level Zone (DMLZ) underground mines is advancing. Production from the
DMLZ commenced during September 2015, and the Grasberg Block Cave mine
is anticipated to commence production in 2018.

Over the period from 2016 to 2019, estimated aggregate capital spending
on these projects is currently expected to average $1.0 billion per year
($0.8 billion per year net to PT-FI). Considering the long-term nature
and size of these projects, actual costs could vary from these
estimates. In response to recent market conditions and the uncertain
global economic environment, the timing of these expenditures is being
evaluated.

Operating Data. Following is a summary of consolidated operating
data for the Indonesia mining operations for the third quarters and
first nine months of 2015 and 2014:

Indonesia’s third-quarter 2015 sales of 198 million pounds of copper and
285 thousand ounces of gold were lower than third-quarter 2014 sales of
258 million pounds of copper and 505 thousand ounces of gold, primarily
reflecting lower ore grades and El Niño weather conditions, as well as
timing of shipments in third-quarter 2014 related to the lifting of
export restrictions in late July 2014. As a result of mill process water
limitations because of continuing El Niño weather conditions and mill
maintenance activities, PT-FI has adjusted its forecast to anticipate an
approximate 15 percent reduction in fourth-quarter 2015 mill rates from
the previous plan. The resulting impact of these factors is a deferral
of 70 million pounds of copper and 70 thousand ounces of gold from
fourth-quarter 2015 to future periods. In addition, lower than
forecasted mining rates in the second half of 2015 are expected to
result in a deferral of high-grade ore to future periods.

PT-FI expects ore grades to improve significantly in 2016 and 2017 with
access to higher grade sections of the Grasberg open pit, resulting in
higher production and lower unit net cash costs.

At the Grasberg mine, the sequencing of mining areas with varying ore
grades causes fluctuations in quarterly and annual production of copper
and gold. Sales from Indonesia mining are expected to approximate 760
million pounds of copper and 1.2 million ounces of gold for the year
2015, compared with 664 million pounds of copper and 1.2 million ounces
of gold for the year 2014.

A significant portion of PT-FI’s costs are fixed and unit costs vary
depending on production volumes. Indonesia’s unit net cash costs
(including gold and silver credits) of $1.18 per pound of copper in
third-quarter 2015 were higher than unit net cash costs of $0.60 per
pound in third-quarter 2014, primarily reflecting lower volumes and
lower gold and silver credits.

Unit net cash costs (net of gold and silver credits) for Indonesia
mining are expected to approximate $1.06 per pound of copper for the
year 2015, based on current sales volume and cost estimates, and
assuming an average gold price of $1,150 per ounce for fourth-quarter
2015. Indonesia mining’s projected unit net cash costs would change by
approximately $0.03 per pound for each $50 per ounce change in the
average price of gold for fourth-quarter 2015. Because of the fixed
nature of a large portion of Indonesia’s costs, unit costs vary from
quarter to quarter depending on copper and gold volumes.

PT-FI is progressing negotiations with union officials to complete its
biennial labor agreement for the two-year period beginning September 30,
2015.

Africa Mining. Through its 56 percent owned and consolidated
subsidiary Tenke Fungurume Mining S.A. (TFM), FCX operates in the Tenke
minerals district in the Katanga province of the Democratic Republic of
Congo (DRC). In addition to copper, the Tenke mine produces cobalt
hydroxide.

Operating and Development Activities. TFM completed its second
phase expansion project in early 2013, which included increasing mine,
mill and processing capacity. Construction of a second sulphuric acid
plant is under way, with completion expected in the first half of 2016.
FCX continues to engage in exploration activities and metallurgical
testing to evaluate the potential of the highly prospective minerals
district at Tenke. Future development and expansion opportunities are
being deferred pending improved market conditions.

During third-quarter 2015, FCX revised plans at Tenke to incorporate a
50 percent reduction in capital spending for 2016 and various
initiatives to reduce operating, administrative and exploration costs.

Operating Data. Following is a summary of consolidated operating
data for the Africa mining operations for the third quarters and first
nine months of 2015 and 2014:

TFM’s copper sales of 113 million pounds in third-quarter 2015
approximated third-quarter 2014 copper sales of 112 million pounds.
TFM’s sales are expected to approximate 465 million pounds of copper and
35 million pounds of cobalt for the year 2015, compared with 425 million
pounds of copper and 30 million pounds of cobalt for the year 2014.

Africa mining’s unit net cash costs (net of cobalt credits) of $1.15 per
pound of copper in third-quarter 2015 were higher than unit net cash
costs of $1.10 per pound of copper in third-quarter 2014, primarily
reflecting lower cobalt credits associated with lower cobalt prices.
Unit net cash costs (net of cobalt credits) for Africa mining are
expected to approximate $1.16 per pound of copper for the year 2015,
based on current sales volume and cost estimates and assuming an average
cobalt price of $13 per pound for fourth-quarter 2015. Africa mining’s
projected unit net cash costs would change by approximately $0.025 per
pound for each $2 per pound change in the average price of cobalt for
fourth-quarter 2015.

Molybdenum Mines. FCX has two wholly owned molybdenum mines in
North America – the Henderson underground mine and the Climax open-pit
mine, both in Colorado. The Henderson and Climax mines produce
high-purity, chemical-grade molybdenum concentrates, which are typically
further processed into value-added molybdenum chemical products. The
majority of molybdenum concentrates produced at the Henderson and Climax
mines, as well as from FCX’s North and South America copper mines, are
processed at FCX’s conversion facilities.

Operating and Development Activities. FCX’s revised plans for its
Henderson molybdenum mine incorporate lower operating rates, resulting
in a 35 percent reduction in Henderson’s annual production volumes. FCX
is also continuing to review its molybdenum production plans at its
by-product mines and has announced plans to reduce production at its
Sierrita mine. FCX is engaged in discussions with its customers to
incorporate potential changes in the pricing structure for its chemicals
products to ensure continuation of chemical-grade production.

Production from the Molybdenum mines totaled 13 million pounds of
molybdenum for both third-quarter 2015 and 2014, 39 million pounds in
the first nine months of 2015 and 40 million pounds in the first
nine months of 2014. Refer to summary operating data on page 5 for FCX’s
consolidated molybdenum sales, which includes sales of molybdenum
produced at the Molybdenum mines, and from FCX’s North and South America
copper mines.

Average unit net cash costs for the Molybdenum mines of $6.93 per pound
of molybdenum in third-quarter 2015 were lower than average unit net
cash costs of $7.12 per pound in third-quarter 2014, primarily
reflecting lower supply costs. Based on current sales volume and cost
estimates, unit net cash costs for the Molybdenum mines are expected to
average approximately $7.50 per pound of molybdenum for the year 2015.

For a reconciliation of unit net cash costs per pound to production and
delivery costs applicable to sales reported in FCX’s consolidated
financial statements, refer to the supplemental schedules, “Product
Revenues and Production Costs,” beginning on page XIV, which are
available on FCX’s website, “fcx.com.”

Mining Exploration Activities. FCX’s mining exploration
activities are generally near its existing mines with a focus on
opportunities to expand reserves and resources to support development of
additional future production capacity in the large minerals districts
where it currently operates. Exploration results continue to indicate
opportunities for significant future potential reserve additions in
North and South America, and in the Tenke minerals district. The
drilling data in North America also indicates the potential for
significantly expanded sulfide production. Drilling results and
exploration modeling provide a long-term pipeline for future growth in
reserves and production capacity in established minerals districts.
Exploration spending has been reduced in recent years from historical
levels as a result of market conditions and is expected to approximate
$105 million for the year 2015, compared to $96 million in 2014. FCX’s
revised plans also include a further reduction in its 2016 minerals
exploration costs to approximately $50 million.

OIL AND GAS OPERATIONS

Through its wholly owned oil and gas subsidiary, FM O&G, FCX’s portfolio
of oil and gas assets includes significant oil production facilities and
growth potential in the Deepwater GOM, established oil production
facilities onshore and offshore California, large onshore natural gas
resources in the Haynesville shale play in Louisiana, natural gas
production from the Madden area in Central Wyoming, and a position in
the Inboard Lower Tertiary/Cretaceous natural gas trend onshore in South
Louisiana. For the first nine months of 2015, 87 percent of FCX’s oil
and gas revenues, excluding the impact of derivative contracts, were
from oil and NGLs.

During third-quarter 2015, FCX also announced the deferral of
investments in several long-term projects in its oil and gas business,
which will result in a reduction of $0.9 billion in projected capital
expenditures for each of the years 2016 and 2017. Additionally, FM O&G
revised its estimate of the start-up of initial tieback production in
the Horn Mountain area to 2016, which will allow FM O&G to continue to
grow production and enhance cash flow in a weak oil and gas price
environment. The revised plans, together with initiatives to obtain
third-party financing, the potential IPO or other alternatives, will be
pursued as required to fund oil and gas capital spending for 2016 and
subsequent years.

Impairment of Oil and Gas Properties. FM O&G follows the full
cost method of accounting whereby all costs associated with oil and gas
property acquisition, exploration and development activities are
capitalized and amortized to expense under the unit-of-production method
on a country-by-country basis using estimates of proved oil and natural
gas reserves relating to each country where such activities are
conducted. The costs of unproved oil and gas properties are excluded
from amortization until the properties are evaluated.

Under the full cost accounting rules, a “ceiling test” is conducted each
quarter to review the carrying value of the oil and gas properties for
impairment. The SEC requires the twelve-month average of the
first-day-of-the-month historical reference oil price be used in
determining the ceiling test limitation. Using West Texas Intermediate
(WTI) as the reference oil price, the average price was $59.21 per
barrel at September 30, 2015, compared with $71.68 per barrel at June
30, 2015. At September 30, 2015, net capitalized costs with respect to
FM O&G’s proved U.S. oil and gas properties exceeded the ceiling test
limitation specified by the SEC’s full cost accounting rules, which
resulted in the recognition of a third-quarter 2015 impairment charge
totaling $3.5 billion. If the twelve-month historical average price
remains below the September 30, 2015, twelve-month average of $59.21 per
barrel, the ceiling test limitation will decrease, resulting in
potentially significant additional ceiling test impairments of FCX’s oil
and gas properties. The WTI spot oil price was $45.20 per barrel at
October 21, 2015.

FM O&G periodically (and at least annually) assesses the carrying value
of its unevaluated properties to determine whether impairment has
occurred. Following a review of the carrying values of unevaluated
properties during third-quarter 2015, FM O&G determined that the
carrying value of its unevaluated properties in the onshore California
area were impaired primarily resulting from declines in oil prices. As a
result, FM O&G transferred $837 million of costs to the full cost pool,
which were included in the September 30, 2015, ceiling test discussed
above.

In addition to a decline in the trailing twelve-month average oil and
gas prices, other factors that could result in future impairment of
FCX’s oil and gas properties include costs transferred from unevaluated
properties to the full cost pool without corresponding proved oil and
natural gas reserve additions, negative reserve revisions and increased
future development or production costs. At September 30, 2015, there was
$7.6 billion in carrying costs for unevaluated properties. As activities
on these properties are completed, costs are transferred to the full
cost pool. If these activities do not result in additions to discounted
future net cash flows from proved oil and natural gas reserves at least
equal to the related costs transferred (net of related tax effects),
additional ceiling test impairments may occur.

FM O&G has a farm-in arrangement to earn interests in exploration blocks
located in the Mazagan permit area offshore Morocco. The exploration
area covers 2.2 million gross acres in water depths of 4,500 to 9,900
feet. In August 2015, drilling of the MZ-1 well associated with the
Ouanoukrim prospect was completed to its targeted depth below 20,000
feet to evaluate the primary objectives, which did not contain
hydrocarbons. During third-quarter 2015, costs associated with the well
were transferred to the Moroccan full cost pool. As FM O&G does not have
proved reserves or production in Morocco, an impairment charge of $0.2
billion was recorded in third-quarter 2015.

Financial and Operating Data. Following is a summary of financial
and operating data for the U.S. oil and gas operations for the third
quarters and first nine months of 2015 and 2014:

In third-quarter 2015, FM O&G’s average realized price for crude oil was
$55.88 per barrel, including $11.03 per barrel of realized cash gains on
derivative contracts. Excluding the impact of derivative contracts, the
third-quarter 2015 average realized price for crude oil was $44.85 per
barrel (87 percent of the average Brent crude oil price of $51.31 per
barrel).

FM O&G has derivative contracts that provide price protection averaging
between approximately $70 and $90 per barrel of Brent crude oil for
approximately 85 percent of estimated 2015 oil production. Assuming an
average price of $50 per barrel for Brent crude oil, FCX would receive a
benefit of $20 per barrel on remaining fourth-quarter 2015 derivative
contract volumes of 7.7 million barrels, before taking into account
weighted-average premiums of $6.89 per barrel.

In third-quarter 2015, FM O&G’s average realized price for natural gas
was $2.72 per MMBtu, compared to the New York Mercantile Exchange
natural gas price average of $2.77 per MMBtu for the July through
September 2015 contracts.

Realized revenues for oil and gas operations of $43.00 per BOE in
third-quarter 2015 were lower than realized revenues of $69.08 per BOE
in third-quarter 2014, primarily reflecting lower oil prices, partially
offset by the impact of higher cash gains on derivative contracts (cash
gains were $103 million or $7.44 per BOE in third-quarter 2015, compared
with losses of $58 million or $4.62 per BOE in third-quarter 2014).

Cash production costs for oil and gas operations of $18.85 per BOE in
third-quarter 2015 were lower than cash production costs of $20.93 per
BOE in third-quarter 2014, primarily reflecting lower production costs
in California related to reductions in well workover expense and steam
costs.

Following is a summary of average oil and gas sales volumes per day by
region for the third quarters and first nine months of 2015 and
2014:

Daily sales volumes averaged 150 MBOE for third-quarter 2015, including
101 thousand barrels (MBbls) of crude oil, 248 million cubic feet (MMcf)
of natural gas and 8 MBbls of NGLs. Oil and gas sales volumes are
expected to average 144 MBOE per day for the year 2015, comprised of 67
percent oil, 28 percent natural gas and 5 percent NGLs.

Based on current sales volume and cost estimates, cash production costs
are expected to approximate $19 per BOE for the year 2015.

Oil and Gas Exploration, Operating and Development Activities.
FCX’s oil and gas business has significant proved, probable and possible
reserves, a broad range of development opportunities and high-potential
exploration prospects. The business is managed to reinvest its cash
flows in projects with attractive rates of return and risk profiles.
Following the sharp decline in oil prices in late 2014, FCX has taken
steps to significantly reduce capital spending plans and is evaluating
opportunities for funding capital expenditures for its oil and gas
business, including the potential IPO for a minority interest in
Freeport-McMoRan Oil & Gas Inc. and other funding alternatives.

During third-quarter 2015, FM O&G continued its successful strategy to
focus on its high-return, low-risk tieback projects using its existing
Deepwater GOM infrastructure (total processing capacity of approximately
250 MBbls of oil per day) and large Deepwater GOM project inventory
(over 150 undeveloped locations). FM O&G achieved several important
accomplishments, principally in its Deepwater GOM focus areas, that are
expected to contribute to future growth. Positive drilling results were
achieved at two wells in the King area and at the Horn
Mountain Deep well. Since commencing development activities in 2014
at its three 100-percent-owned production platforms in the Deepwater
GOM, FM O&G has drilled 13 wells in producing fields with positive
results. Three of these wells have been brought on production, and FM
O&G plans to complete and place the remaining wells on production in
late 2015, 2016 and 2017. FCX will continue to assess opportunities to
partner with strategic investors potentially interested in investing
capital with FCX in the development of its oil and gas properties. FM
O&G has a broad set of assets with valuable infrastructure and
associated resources with attractive long-term production and
development potential.

U.S. Oil and Gas Capital Expenditures. Capital expenditures for
U.S. oil and gas operations totaled $0.6 billion for third-quarter 2015,
primarily associated with Deepwater GOM and $2.4 billion (including $1.8
billion incurred for Deepwater GOM and $0.2 billion for the Inboard
Lower Tertiary/Cretaceous natural gas trend) for the first nine months
of 2015.

Capital expenditures for oil and gas operations are estimated to total
$2.8 billion for the year 2015, with approximately 80 percent of the
2015 capital budget expected to be directed to the highest potential
return focus areas in the GOM.

Deepwater GOM. The drilling and evaluation of multiple
development and exploration opportunities in the Deepwater GOM is in
progress. These prospects benefit from tieback opportunities to
significant available production capacity at the FM O&G operated
large-scale Holstein, Marlin and Horn Mountain deepwater production
platforms. In addition, FM O&G has interests in the Lucius and
Heidelberg oil fields and in the Atwater Valley focus area, as well as
interests in the Ram Powell and Hoover deepwater production platforms.

During third-quarter 2015, field development continued at Heidelberg
in the Green Canyon focus area. Installation of topside equipment
and development well completion activities are currently underway. First
production is anticipated in mid-2016. FM O&G has a 12.5 percent working
interest in Heidelberg, which is a large, high-quality oil development
project located in 5,300 feet of water.

At Holstein Deep, completion activities for the initial
three-well subsea tieback development program are progressing on
schedule, with first production expected by mid-2016. In aggregate, the
three wells are estimated to commence production at approximately 24
MBOE per day. Successful results from the initial three-well drilling
program established opportunities for additional wells, and a fourth
well is being planned as part of the second phase of the Holstein Deep
program. The Holstein Deep development is located in Green Canyon Block
643, west of the 100-percent owned Holstein platform in 3,890 feet of
water, with production facilities capable of processing 113 MBbls of oil
per day.

FM O&G’s 100-percent-owned Marlin Hub is located in the Mississippi
Canyon focus area and has production facilities capable of
processing 60 MBbls of oil per day. Several tieback opportunities have
been identified, including the 100-percent-owned Dorado and King
development projects. Future wells can be brought on-line using existing
infrastructure with the potential to utilize subsea enhancement
technologies that could increase total recovery efficiencies.

The initial FM O&G-drilled Dorado well was placed in
production in March 2015 after a successful production test with gross
volumes in excess of 8 MBOE per day and continues to produce at strong
rates. Drilling operations for the second and third wells, which are
targeting similar undrained fault blocks and updip resource potential
south of the Marlin facility, are expected to begin in late 2015/early
2016. The Dorado development is located on Viosca Knoll Block 915 in
3,860 feet of water.

During third-quarter 2015, FM O&G drilled its second successful
development well, D-13, at the King field, which is located in
Mississippi Canyon south of the Marlin facility in 5,200 feet of water.
During October 2015, the third King well, D-9, was drilled to a total
depth of 13,110 feet. Logging tools indicated that the well encountered
a total true vertical depth pay count of approximately 288 net feet of
Miocene oil pay with excellent reservoir characteristics, including 148
net feet in the primary objective and 140 feet in the secondary
objective. FM O&G plans to develop the primary objective in the D-9 well
and a fourth well, D-11, is being planned to develop a take point in the
secondary objective.

FM O&G’s 100-percent-owned Horn Mountain field is also
located in the Mississippi Canyon focus area and has production
facilities capable of processing 75 MBbls of oil per day. To enhance
recovery of remaining oil in place, future development plans will target
subsea tieback from multiple stacked sands in the area. As previously
reported, the Horn Mountain Deep well was drilled to a total
depth of 16,925 feet in September 2015 and successfully logged 142 net
feet of Middle Miocene oil pay with excellent reservoir characteristics.
In addition, these results indicate the presence of sand sections deeper
than known pay sections in the field. Initial production from this
discovery, which will be tied back to existing facilities, is expected
in the first half of 2017.

The positive results at Horn Mountain Deep and FM O&G’s geophysical data
support the existence of prolific Middle Miocene reservoir potential for
several additional opportunities in the area, including the
100-percent-owned Sugar, Rose, Fiesta, Platinum and Peach
prospects. FM O&G controls rights to over 55,000 acres associated with
these prospects.

The success at Horn Mountain Deep follows the positive drilling results
previously announced from the three wells drilled in the Horn Mountain
area, including the Quebec/Victory, Kilo/Oscar and Horn
Mountain Updip tieback prospects.

FM O&G has an 18.67 percent working interest in the Vito oil
discovery and a significant lease position in the Atwater Valley focus
area. Vito is a large, deep subsalt Miocene oil discovery made in 2009,
located in approximately 4,000 feet of water. Exploration and
delineation drilling in recent years confirmed a significant resource in
high-quality, subsalt Miocene sands. The operator is evaluating
development options.

Success at the Power Nap exploration well and appraisal
sidetracks, which are located in close proximity to Vito, produced
positive results in the first half of 2015, and the operator is
assessing development options. FM O&G owns a 50 percent working interest
in the Power Nap prospect.

In September 2015, the operator completed its assessment of the Deep
Sleep exploration well. No proved reserves were identified, and the
well was plugged and abandoned.

Inboard Lower Tertiary/Cretaceous. FM O&G has a position in the
Inboard Lower Tertiary/Cretaceous natural gas trend, located onshore in
South Louisiana.

In September 2015, workover operations were completed on the Highlander
well, and production was re-established. Recent gross rates from the
well, which are restricted because of limited production facilities,
approximated 25 MMcf per day (approximately 12 MMcf per day net to FM
O&G). Production testing in February 2015 indicated a flow rate of 75
MMcf per day (approximately 37 MMcf per day net to FM O&G).

FM O&G expects to complete the installation of additional processing
facilities to accommodate higher flow rates from the Highlander well by
year-end 2015. A second well location has been identified, and future
plans are being considered. FM O&G is the operator and has a 72 percent
working interest and an approximate 49 percent net revenue interest in
Highlander. FM O&G has identified multiple additional locations on the
Highlander structure, which is located onshore in South Louisiana where
FM O&G controls rights to more than 50,000 gross acres.

California. Sales volumes from California averaged 35 MBOE per
day for third-quarter 2015, compared with 39 MBOE per day for
third-quarter 2014. FM O&G’s position in California is located onshore
in the San Joaquin Valley and Los Angeles Basin, and offshore in the
Point Arguello and Point Pedernales fields. Since second-quarter 2015,
production from Point Arguello platforms has been shut in following the
shutdown of a third-party operated pipeline system that transports oil
to various California refineries.

Haynesville. FM O&G has rights to a substantial natural gas
resource, located in the Haynesville shale play in North Louisiana.
Drilling activities remain constrained in response to low natural gas
prices in order to maximize near-term cash flows and to preserve the
resource for potentially higher future natural gas prices.

CASH FLOWS, CASH, DEBT and EQUITY TRANSACTIONS

Operating Cash Flows. FCX generated operating cash flows of $822
million (including $507 million in working capital sources and changes
in other tax payments) for third-quarter 2015 and $2.6 billion
(including $342 million in working capital sources and changes in other
tax payments) for the first nine months of 2015.

Based on current sales volume and cost estimates and assuming average
prices of $2.40 per pound of copper, $1,150 per ounce of gold, $5.50 per
pound of molybdenum and $50 per barrel of Brent crude oil for
fourth-quarter 2015, FCX’s consolidated operating cash flows are
estimated to approximate $3.3 billion for the year 2015. The impact of
price changes for fourth-quarter 2015 on operating cash flows would
approximate $110 million for each $0.10 per pound change in the average
price of copper, $15 million for each $50 per ounce change in the
average price of gold, $20 million for each $2 per pound change in the
average price of molybdenum and $30 million for each $5 per barrel
change in the average Brent crude oil price.

Based on projected 2016 sales volumes of 5.2 billion pounds of copper,
1.9 million ounces of gold, 75 million pounds of molybdenum and 58.9
MMBOE and using similar price assumptions and the recent 2016 future
price of $54 per barrel of Brent crude oil, FCX’s consolidated operating
cash flows are estimated to approximate $6.8 billion for the year 2016,
providing cash flow for required capital investments, dividends and
repayment of debt. The impact of price changes on operating cash flows
for the year 2016 would approximate $350 million for each $0.10 per
pound change in the average price of copper, $50 million for each $50
per ounce change in the average price of gold, $60 million for each $2
per pound change in the average price of molybdenum and $130 million for
each $5 per barrel change in the average Brent crude oil price.

Capital Expenditures. Capital expenditures totaled $1.5 billion
for third-quarter 2015 (including $0.6 billion for major projects at
mining operations and $0.7 billion for oil and gas operations) and $5.1
billion for the first nine months of 2015 (including $1.8 billion
for major projects at mining operations and $2.5 billion for oil and gas
operations).

Capital expenditures are currently expected to approximate $6.3 billion
for the year 2015, including $2.5 billion for major projects at mining
operations (primarily for the Cerro Verde expansion and underground
development activities at Grasberg) and $2.8 billion for oil and gas
operations. FCX plans to fund its capital expenditures with operating
cash flows, borrowings under the FCX and Cerro Verde credit facilities
and proceeds from FCX’s at-the-market (ATM) equity programs. FCX is also
evaluating opportunities for funding capital expenditures for its oil
and gas business.

FCX has made substantial progress toward the completion of its major
mining development projects, which are expected to result in increased
near-term production, lower unit costs, declining capital expenditures
and growth in free cash flow over the next several quarters. In
addition, positive oil and gas drilling and development activities are
expected to result in a growing oil production profile. Capital
expenditures for 2016 are expected to approximate $4.0 billion,
including $1.4 billion for major projects at mining operations
(primarily for underground development activities at Grasberg and
completion of the Cerro Verde expansion) and $2.0 billion for oil and
gas operations.

Cash. Following is a summary of the U.S. and international
components of consolidated cash and cash equivalents available to the
parent company, net of noncontrolling interests’ share, taxes and other
costs at September 30, 2015 (in millions):

Debt. FCX remains focused on maintaining a strong balance sheet
and on continuing to manage costs, capital spending plans and other
actions as required to maintain financial strength. FCX has a broad set
of natural resource assets that provide many alternatives for future
actions to enhance its financial flexibility. Following is a summary of
total debt and the related weighted-average interest rates at
September 30, 2015 (in billions, except percentages):

Equity Transactions. During third-quarter 2015, FCX sold 97.5
million shares of common stock under its ATM equity programs, which
generated gross proceeds of $1.0 billion. From October 1, 2015, to
October 21, 2015, FCX sold an additional 17.3 million shares of its
common stock, generating gross proceeds of $0.2 billion. In total $1.2
billion of gross proceeds have been raised under FCX’s $2 billion of ATM
equity programs. FCX intends to use future net proceeds for general
corporate purposes, which may include, among other things, the repayment
of amounts outstanding under its revolving credit facility and other
borrowings, and the financing of working capital and capital
expenditures. As of September 30, 2015, FCX had 1.1 billion common
shares outstanding.

FINANCIAL POLICY

FCX has a long-standing tradition of seeking to build shareholder value
through investing in projects with attractive rates of return and
returning cash to shareholders through common stock dividends and share
purchases. FCX paid common stock dividends of $547 million in the first
nine months of 2015, which included $115 million of special dividends
paid in accordance with the settlement terms of the shareholder
derivative litigation.

On September 30, 2015, the Board of Directors (the Board) declared a
regular quarterly dividend of $0.05 per share, which will be paid on
November 2, 2015. The declaration of dividends is at the discretion of
the Board and will depend upon FCX’s financial results, cash
requirements, future prospects and other factors deemed relevant by the
Board.

FCX intends to continue to maintain a strong financial position, with a
focus on reducing debt while continuing to invest in attractive growth
projects and providing cash returns to shareholders. The Board will
continue to review FCX’s financial policy on an ongoing basis and
anticipates increasing cash returns to shareholders as market and
business conditions warrant.

WEBCAST INFORMATION

A conference call with securities analysts to discuss FCX’s
third-quarter 2015 results is scheduled for today at 10:00 a.m. Eastern
Time. The conference call will be broadcast on the Internet along with
slides. Interested parties may listen to the conference call live and
view the slides by accessing “fcx.com.” A replay of the webcast will be
available through Friday, November 20, 2015.

———————————————————————————–

FCX is a premier U.S.-based natural resources company with an
industry-leading global portfolio of mineral assets, significant oil and
gas resources and a growing production profile. FCX is the world’s
largest publicly traded copper producer.

FCX’s portfolio of assets includes the Grasberg minerals district in
Indonesia, one of the world’s largest copper and gold deposits;
significant mining operations in the Americas, including the large-scale
Morenci minerals district in North America and the Cerro Verde operation
in South America; the Tenke Fungurume minerals district in the DRC; and
significant U.S. oil and natural gas assets in the Deepwater GOM,
onshore and offshore California and in the Haynesville natural gas
shale, and a position in the Inboard Lower Tertiary/Cretaceous natural
gas trend onshore in South Louisiana. Additional information about FCX
is available on FCX’s website at “fcx.com.”

Cautionary Statement and Regulation G Disclosure: This
press release contains forward-looking statements in which FCX discusses
its potential future performance. Forward-looking statements are all
statements other than statements of historical facts, such as
projections or expectations relating to ore grades and milling rates,
production and sales volumes, unit net cash costs, cash production costs
per BOE, operating cash flows, capital expenditures, exploration efforts
and results, development and production activities and costs, liquidity,
tax rates, the impact of copper, gold, molybdenum, cobalt, crude oil and
natural gas price changes, the impact of derivative positions, the
impact of deferred intercompany profits on earnings, reserve estimates,
future dividend payments, debt reduction and share purchases and sales.
The words “anticipates,” “may,” “can,” “plans,” “believes,” “estimates,”
“expects,” “projects,” “targets,” “intends,” “likely,” “will,” “should,”
“to be,” ”potential” and any similar expressions are intended to
identify those assertions as forward-looking statements. The declaration
of dividends is at the discretion of the Board and will depend on FCX’s
financial results, cash requirements, future prospects, and other
factors deemed relevant by the Board.

FCX cautions readers that forward-looking statements are not
guarantees of future performance and actual results may differ
materially from those anticipated, projected or assumed in the
forward-looking statements. Important factors that can cause FCX’s
actual results to differ materially from those anticipated in the
forward-looking statements include supply of and demand for, and prices
of, copper, gold, molybdenum, cobalt, crude oil and natural gas, mine
sequencing, production rates, drilling results, potential effects of
cost and capital expenditure reductions and production curtailments on
financial results and cash flow, the outcome of FCX’s strategic review
of its oil and gas business, potential additional oil and gas property
impairment charges, potential inventory adjustments, potential
impairment of long-lived mining assets, the outcome of ongoing
discussions with the Indonesian government regarding PT-FI’s COW,
PT-FI’s ability to obtain renewal of its export license after January
28, 2016, PF-FI’s ability to renew its biennial labor agreement which
expired in September 2015, the potential effects of violence in
Indonesia, the resolution of administrative disputes in the DRC,
industry risks, regulatory changes, political risks, labor relations,
weather- and climate-related risks, environmental risks, litigation
results and other factors described in more detail under the heading
“Risk Factors” in FCX’s Annual Report on Form 10-K for the year ended
December 31, 2014, filed with the U.S. Securities and Exchange
Commission (SEC) as updated by FCX’s subsequent filings with the SEC.

Investors are cautioned that many of the assumptions upon which FCX’s
forward-looking statements are based are likely to change after the
forward-looking statements are made, including for example commodity
prices, which FCX cannot control, and production volumes and costs, some
aspects of which FCX may not be able to control. Further, FCX may make
changes to its business plans that could affect its results. FCX
cautions investors that it does not intend to update forward-looking
statements more frequently than quarterly notwithstanding any changes in
its assumptions, changes in business plans, actual experience or other
changes, and FCX undertakes no obligation to update any forward-looking
statements.

This press release also contains certain financial measures such as
unit net cash costs per pound of copper and molybdenum, oil and gas
realized revenues, cash production costs and cash operating margin,
which are not recognized under U.S. generally accepted accounting
principles. As required by SEC Regulation G, reconciliations of these
measures to amounts reported in FCX’s consolidated financial statements
are in the supplemental schedules of this press release, which are also
available on FCX’s website, “fcx.com.”