Inventories, Including Long-Term Mill and Leach Stockpiles (Unaudited)

6 Months Ended

Jun. 30, 2014

Inventories, Including Long Term Mill and Leach Stockpiles [Abstract]

Inventories, Including Long-Term Mill and Leach Stockpiles

INVENTORIES, INCLUDING LONG-TERM MILL AND LEACH STOCKPILES

The components of inventories follow (in millions):



	June 30, 2014		December 31, 2013
Current inventories:
Raw materials (primarily concentrates)	$	297	$	238
Work-in-process^a	154		199
Finished goods^b	1,214		1,146
Total product inventories	$	1,665	$	1,583

Mill stockpiles	$	104	$	91
Leach stockpiles	1,776		1,614
Total current mill and leach stockpiles	$	1,880	$	1,705

Total materials and supplies, net^c	$	1,825	$	1,730

Long-term inventories:
Mill stockpiles	$	753	$	698
Leach stockpiles	1,765		1,688
Total long-term mill and leach stockpiles^d	$	2,518	$	2,386


a.	FCX's mining operations also have work-in-process inventories that are reflected as mill and leach stockpiles.


b.	Primarily included molybdenum concentrates; copper concentrates, anodes, cathodes and rod; and various cobalt products.


c.	Materials and supplies inventory was net of obsolescence reserves totaling $21 million at June 30, 2014, and $24 million at December 31, 2013.


d.	Estimated metals in stockpiles not expected to be recovered within the next 12 months.

- Definition

The entire disclosure for inventory. This may include, but is not limited to, the basis of stating inventory, the method of determining inventory cost, the major classes of inventory, and the nature of the cost elements included in inventory. If inventory is stated above cost, accrued net losses on firm purchase commitments for inventory and losses resulting from valuing inventory at the lower-of-cost-or-market may also be included. For LIFO inventory, may disclose the amount and basis for determining the excess of replacement or current cost over stated LIFO value and the effects of a LIFO quantities liquidation that impacts net income.

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