Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Unrealized gains (losses) for derivative financial instruments that are designated and qualify as fair value hedge transactions and for the related hedged item

A summary of (losses) gains recognized in revenues for derivative financial instruments related to commodity contracts that are designated and qualify as fair value hedge transactions, including on the related hedged item follows (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Copper futures and swap contracts:
Unrealized (losses) gains:
Derivative financial instruments	$	(89)	$	(11)	$	(78)	$	(8)
Hedged item – firm sales commitments	89		11		78		8
Realized (losses) gains:
Matured derivative financial instruments	(12)		28		2		52

Schedule of Derivative Instruments

A summary of FCX’s embedded derivatives at June 30, 2022, follows:

	Open Positions	Average Price Per Unit				Maturities Through
		Contract		Market
Embedded derivatives in provisional sales contracts:
Copper (millions of pounds)	703	$	4.41	$	3.75	December 2022
Gold (thousands of ounces)	236	1,848		1,821		October 2022
Embedded derivatives in provisional purchase contracts:
Copper (millions of pounds)	59	4.39		3.75		October 2022

Realized and unrealized gains (losses) for derivative financial instruments that do not qualify as hedge transactions

A summary of the realized and unrealized (losses) gains recognized in operating income for commodity contracts that do not qualify as hedge transactions, including embedded derivatives, follows (in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Embedded derivatives in provisional sales contracts:a
Copper	$	(720)	$	118	$	(502)	$	325
Gold and other metals	(33)		15		(11)		(13)
Copper forward contractsb	22		(5)		26		(13)

a.Amounts recorded in revenues. 

b.Amounts recorded in cost of sales as production and delivery costs.

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]

A summary of the fair values of unsettled commodity derivative financial instruments follows (in millions):

	June 30, 2022		December 31, 2021
Commodity Derivative Assets:
Derivatives designated as hedging instruments:
Copper futures and swap contracts	$	—	$	12
Derivatives not designated as hedging instruments:
Embedded derivatives in provisional sales/purchase contracts	38		64
Copper forward contracts	15		1
Total derivative assets	$	53	$	77
Commodity Derivative Liabilities:
Derivatives designated as hedging instruments:
Copper futures and swap contracts	$	66	$	—
Derivatives not designated as hedging instruments:
Embedded derivatives in provisional sales/purchase contracts	$	476	$	27
Copper forward contracts	4		1
Total derivative liabilities	$	546	$	28

Offsetting Assets

A summary of these unsettled commodity contracts that are offset in the balance sheets follows (in millions):

	Assets				Liabilities
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Gross amounts recognized:
Embedded derivatives in provisional
sales/purchase contracts	$	38	$	64	$	476	$	27
Copper derivatives	15		13		70		1
	53		77		546		28
Less gross amounts of offset:
Embedded derivatives in provisional
sales/purchase contracts	—		3		—		3
Copper derivatives	4		1		4		1
	4		4		4		4
Net amounts presented in balance sheet:
Embedded derivatives in provisional
sales/purchase contracts	38		61		476		24
Copper derivatives	11		12		66		—
	$	49	$	73	$	542	$	24
Balance sheet classification:
Trade accounts receivable	$	6	$	51	$	231	$	14
Other current assets	11		12		—		—
Accounts payable and accrued liabilities	32		10		308		10
Other liabilities	—		—		3		—
	$	49	$	73	$	542	$	24

Offsetting Liabilities

A summary of these unsettled commodity contracts that are offset in the balance sheets follows (in millions):

	Assets				Liabilities
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Gross amounts recognized:
Embedded derivatives in provisional
sales/purchase contracts	$	38	$	64	$	476	$	27
Copper derivatives	15		13		70		1
	53		77		546		28
Less gross amounts of offset:
Embedded derivatives in provisional
sales/purchase contracts	—		3		—		3
Copper derivatives	4		1		4		1
	4		4		4		4
Net amounts presented in balance sheet:
Embedded derivatives in provisional
sales/purchase contracts	38		61		476		24
Copper derivatives	11		12		66		—
	$	49	$	73	$	542	$	24
Balance sheet classification:
Trade accounts receivable	$	6	$	51	$	231	$	14
Other current assets	11		12		—		—
Accounts payable and accrued liabilities	32		10		308		10
Other liabilities	—		—		3		—
	$	49	$	73	$	542	$	24

Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]

The following table provides a reconciliation of total cash, cash equivalents, restricted cash and restricted cash equivalents presented in the consolidated statements of cash flows (in millions):

	June 30, 2022		December 31, 2021
Balance sheet components:
Cash and cash equivalentsa	$	9,492	$	8,068
Restricted cash and restricted cash equivalents included in:
Other current assets	119		114
Other assets	134		132
Total cash, cash equivalents, restricted cash and restricted cash equivalents presented in the consolidated statements of cash flows	$	9,745	$	8,314

a.Includes time deposits of $0.2 billion at each of June 30, 2022, and December 31, 2021