Freeport-McMoRan Copper & Gold Inc. was formed in the late 1980’s as a spin-off from the parent company Freeport-McMoRan Inc.  The “Freeport” organization has roots in the minerals industry going back to the early 1900’s.  These highlights are followed by a summary of the Phelps Dodge Corporation, which became part of the FCX organization in 2007.

1988: Grasberg copper-gold deposit discovered in Indonesia. Twenty percent of Freeport-McMoRan Copper (FCX) spun off from parent company and taken public on NYSE.

1989: A series of expansions initiated following the Grasberg discovery.

1991: New Contract of Work with a 30-year term and provisions for two 10-year extensions signed with Government of Indonesia.  FCX changed its name to Freeport-McMoRan Copper & Gold Inc.

1993:  FCX completed the acquisition of Atlantic Copper (formerly Rio Tinto Minera) in Spain, whose primary asset is a copper smelter.

1995: Remaining eighty percent of FCX taken public on the NYSE. PT Freeport Indonesia announced $1.35 billion strategic alliance with Rio Tinto.  Completed third concentrator mill expansion.

1997:  FCX received approval from Indonesia’s Minister of Environment for a Regional AMDAL study (an environmental impact assessment), which permitted further expansion of the milling rate up to a maximum of 300,000 metric tons of ore per day.

1998: Fourth concentrator mill expansion completed, making FCX one of the world’s leaders in high volume/low cost production of copper and gold.  PT Smelting construction completed and operations commenced.

1999: Montgomery-Watson Environmental Audit submitted to FCX in December. The auditors found "the Environmental Management Systems developed and implemented by FCX to be exemplary and a showcase for the mining industry."

2001: FCX signed a special voluntary Trust Fund agreement with the Amungme and Kamoro villagers living closest to the mining operations providing for an initial $2.5 million and $500,000 each year thereafter, subsequently increased to $1 million each year beginning in 2004.

2002: Deep Ore Zone (DOZ) underground mine completed at 25,000 metric tons of ore per day with further expansion initiated.

2004:  FCX purchased 23.9 million common shares from Rio Tinto for $882 million.  FCX-Rio Tinto Grasberg joint venture continues.  DOZ expansion to 50,000 metric tons of ore per day initiated.

2005: FCX achieves record copper and gold production.

2007:  Continued strong performance at the Grasberg mining complex, combined with positive markets, creates record revenue, earnings and cash flow.  With the acquisition of Phelps Dodge, FCX becomes the largest publicly traded copper company in the world.

When Phelps Dodge merged with Freeport-McMoRan Copper & Gold Inc. in March 2007, it carried with it a proud history dating from 1834. Phelps Dodge began business as a New York City-based mercantile company, taking its name from the founding partners: Anson Phelps, a one-time saddle maker, and his son-in-law, William Dodge, a merchant in dry goods. At first it traded American products to England in exchange for copper, iron, tin and other metals. After growing into an accomplished mercantile and metals company, the company entered mining in 1881 by investing in the Detroit Copper Mining Co. in Morenci, Arizona. Eventually, Phelps Dodge quit the import-export business altogether in 1906.

Over time, Phelps Dodge developed copper deposits in Arizona, New Mexico and Mexico, ultimately obtaining mines in Chile and Peru as well. Known for innovations in productivity, the company was among the first in the industry in the early twentieth century to convert to open-pit mining from the conventional underground method. Phelps Dodge also occupied a leading role in the industry in developing the methods used to process ore. In the mid-1980s, it was the first to use solution extraction and electrowinning on a commercial scale. In addition, Phelps Dodge was among the first in the industry to incorporate global positioning satellite systems into its operating practices.

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