- Freeport McMoRan (NYSE:FCX) +2.1% premarket after reporting a solid beats in Q3 earnings and revenues, assisted by a big jump in copper prices.
- FCX says Q3 operating cash flows totaled $1.2B and $3Bi for the first nine months of 2017; based on current sales volume and cost estimates, and assuming Q4 average prices of $3/lb. for copper, $1,300/oz. for gold and $8/lb. for molybdenum, it expects full-year operating cash flows of ~$4.3B, exceeding prior guidance of $3.8B.
- Q3 consolidated sales totaled 932M lbs. of copper, 355K oz. of gold and 22M lbs. of molybdenum; for FY 2017, FCX expects 3.7B lbs. of copper, 1.6M oz. of gold and 94M lbs. of molybdenum.
- FCX says the average realized price of copper rose to $2.94/lb. during the quarter from $2.19 in the year-ago period, while the price of gold fell to $1,290/oz. from $1,327.
- Q3 capex totaled $308M and $1B for the first nine months, and full-year capex is expected at ~$1.5B, including $700M for underground development activities in the Grasberg mine in Indonesia; prior full-year capex guidance was $1.6B.
- FCX says it is "encouraged by continued progress" in negotiations with Indonesia's government regarding long-term operating rights in the country.
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