The Worker at the Mines - Photo by Freeport Indonesia
JAKARTA (TheInsiderStories) — Global miner Freeport-McMoran Gold & Copper Inc., (NYSE: FCX) recorded ripping financial growth in the third quarter (3Q) of 2018, amid its unsettled divestment over PT Freeport Indonesia (PTFI). Its revenues increased by 31.5 percent to US$14.94 billion compared to a year ago.
One of the biggest contribution is from on of the world’s largest copper and gold deposits at the Grasberg minerals district in Papua. Until 3Q, PTFI recorded 1 billion pounds of copper and 2.1 million ounces of gold sales. Copper sales surged above 50 percent while gold sales rocketed more than 100 percent.
On Sept. 27th, 2018, Freeport-McMoran, PTFI, PT Indocopper Investama entered into a divestment agreement with state-owned miner PT Indonesia Asahan Aluminium (Inalum). The agreement closing is expected to occur in late 2018 or early 2019, subject to satisfaction of conditions.
“The pending completion of our new long-term partnership with the Indonesian government will enable us to de-risk a world class asset,” said President and Chief Executive Officer of Freeport-McMoran Richard C. Adkerson, in official statement released on .
Awaiting the settled transaction, Ministry of Energy and Mineral Resources (MEMR) gave another extension to Freeport’s special mining permit. This is the seventh extension since its first released. The latest special mining permit extension valid until Nov. 30. By having the permit, Freeport can still exporting concentrate.
According to the ministry spokesperson, Agung Pribadi, the temporary permit extension is in accordance with the ongoing divestment process. He expected the divestment will be finished by the end of November.
Meanwhile, President Director of Inalum Budi Gunadi Sadikin said, the transaction payment met small obstacles, due to lender’s request on Freeport’s environmental issue clearance. He encouraged PTFI to windup the issue, as environment is one of the conditions in special mining permit release.
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