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Business Segments (Tables)
 3 Months Ended
Mar. 31, 2018
Segment Reporting [Abstract]  
Revenue from External Customers by Products and Services
FCX’s revenues attributable to the products it produced for the first quarters of 2018 and 2017 follow (in millions):
 
Three Months Ended
 
March 31,
 
2018
 
2017
Copper:
 
 
 
Concentrate
$
1,647

 
$
981

Cathode
1,423

 
1,041

Rod and other refined copper products
670

 
624

Gold
808

 
268

Molybdenum
286

 
209

Othera
398

 
231

Adjustments to revenue:
 
 
 
Treatment charges
(132
)
 
(103
)
Royalty expenseb
(69
)
 
(22
)
Export dutiesc
(46
)
 
(14
)
Revenue from contracts with customers
4,985

 
3,215

Embedded derivativesd
(117
)
 
126

Total consolidated revenues
$
4,868

 
$
3,341

a.
Primarily includes revenues associated with cobalt, silver, oil, gas and natural gas liquids.
b.
Reflects royalties for sales from PT-FI and Cerro Verde that will vary with the volume of metal sold and the prices of copper and gold.
c.
Reflects export duties paid by PT-FI.
d.
Refer to Note 6 for discussion of embedded derivatives related to FCX’s provisionally priced concentrate and cathode sales contracts.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Schedule of financial information by business segment
Financial Information by Business Segment
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Atlantic
 
Corporate,
 
 
 
 
North America Copper Mines
 
South America Mining
 
 
 
 
 
 
 
Copper
 
Other
 
 
 
 
 
 
 
 
 
 
Cerro
 
 
 
 
 
Indonesia
 
Molybdenum
 
Rod &
 
Smelting
 
& Elimi-
 
FCX
 
 
Morenci
 
Other
 
Total
 
Verde
 
Other
 
Total
 
Mining
 
Mines
 
Refining
 
& Refining
 
nationsa
 
Total
 
Three Months Ended March 31, 2018
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
3

 
$
15

 
$
18

 
$
625

 
$
150

 
$
775

 
$
1,521

b 
$
—

 
$
1,385

 
$
577

 
$
592

c 
$
4,868

 
Intersegment
601

 
689

 
1,290

 
102

 
—

 
102

 
52

 
95

 
8

 
2

 
(1,549
)
 
—

 
Production and delivery
290

 
501

 
791

 
427

 
116

 
543

 
457

 
67

 
1,388

 
556

 
(994
)
 
2,808

 
Depreciation, depletion and amortization
46

 
48

 
94

 
105

 
22

 
127

 
181

 
19

 
2

 
7

 
21

 
451

 
Selling, general and administrative expenses
1

 
2

 
3

 
2

 
—

 
2

 
39

 
—

 
—

 
6

 
81

 
131

 
Mining exploration and research expenses
—

 
1

 
1

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
20

 
21

 
Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
9

 
9

 
Net gain on sales of assets
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(11
)
 
(11
)
 
Operating income (loss)
267

 
152

 
419

 
193

 
12

 
205

 
896

 
9

 
3

 
10

 
(83
)
 
1,459

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
1

 
17

 
—

 
17

 
—

 
—

 
—

 
5

 
128

 
151

 
Provision for income taxes
—

 
—

 
—

 
68

 
4

 
72

 
401

 
—

 
—

 
1

 
32

 
506

 
Total assets at March 31, 2018
2,817

 
4,340

 
7,157

 
8,740

 
1,715

 
10,455

 
10,992

 
1,836

 
290

 
809

 
5,098

d 
36,637

 
Capital expenditures
47

 
45

 
92

 
63

 
4

 
67

 
203

 
1

 
1

 
4

 
34

 
402

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2017
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
66

 
$
50

 
$
116

 
$
640

 
$
112

 
$
752

 
$
534

b 
$
—

 
$
1,107

 
$
458


$
374

c 
$
3,341

 
Intersegment
416

 
563

 
979

 
116

 
—

 
116

 
—

 
63

 
8

 
—

 
(1,166
)
 
—

 
Production and delivery
257

 
409

 
666

 
391

 
82

 
473

 
270

 
52

 
1,109

 
436

 
(818
)
 
2,188

e 
Depreciation, depletion and amortization
47

 
69

 
116

 
112

 
21

 
133

 
83

 
19

 
2

 
7

 
29

 
389

 
Selling, general and administrative expenses
—

 
1

 
1

 
2

 
—

 
2

 
30

 
—

 
—

 
5

 
113

 
151

 
Mining exploration and research expenses
—

 
1

 
1

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
13

 
14

 
Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
25

 
25

 
Net gain on sales of assets

—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(23
)
 
(23
)
 
Operating income (loss)
178

 
133

 
311

 
251

 
9

 
260

 
151

 
(8
)
 
4

 
10

 
(131
)
 
597

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
1

 
16

 
—

 
16

 
—

 
—

 
—

 
4

 
146

 
167

 
Provision for income taxes
—

 
—

 
—

 
98

 
3

 
101

 
67

 
—

 
—

 
1

 
5

 
174

 
Total assets at March 31, 2017
2,814

 
4,361

 
7,175

 
9,081

 
1,525

 
10,606

 
10,418

 
1,917

 
261

 
652

 
5,547

d 
36,576

 
Capital expenditures
23

 
5

 
28

 
14

 
1

 
15

 
244

 
1

 
1

 
8

 
47

 
344

 

a.
Includes U.S. oil and gas operations.
b.
Includes PT-FI’s sales to PT Smelting totaling $628 million in first-quarter 2018 and $258 million in first-quarter 2017.
c.
Includes revenues from FCX’s molybdenum sales company, which includes sales of molybdenum produced by the Molybdenum mines and by certain of the North America and South America copper mines.
d.
Includes assets held for sale totaling $708 million at March 31, 2018, and $408 million at March 31, 2017, primarily associated with Freeport Cobalt and the Kisanfu exploration project.
e.
Includes a decrease of $12 million for the new guidance for the presentation of net periodic benefit cost for pension and other postretirement benefit plans (refer to Note 11 for further discussion).