FREEPORT-MCMORAN INC, 10-Q filed on 5/7/2020
Quarterly Report
v3.20.1
Cover Page - shares
 3 Months Ended
Mar. 31, 2020
Apr. 30, 2020
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Mar. 31, 2020  
Document Transition Report false  
Entity File Number 001-11307-01  
Entity Registrant Name Freeport-McMoRan Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 74-2480931  
Entity Address, Address Line One 333 North Central Avenue  
Entity Address, City or Town Phoenix  
Entity Address, State or Province AZ  
Entity Address, Postal Zip Code 85004-2189  
City Area Code (602)  
Local Phone Number 366-8100  
Title of 12(b) Security Common Stock, par value $0.10 per share  
Trading Symbol FCX  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   1,451,970,774
Entity Central Index Key 0000831259  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2020  
Document Fiscal Period Focus Q1  
Amendment Flag false  
v3.20.1
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Mar. 31, 2020
Dec. 31, 2019
Current assets:    
Cash and cash equivalents $ 1,602 $ 2,020
Trade accounts receivable 515 741
Income and other tax receivables 591 426
Inventories:    
Total materials and supplies, net 1,614 1,649
Mill and leach stockpiles 1,106 1,143
Product 1,134 1,281
Other current assets 795 655
Total current assets 7,357 7,915
Property, plant, equipment and mine development costs, net 29,899 29,584
Long-term mill and leach stockpiles 1,272 1,425
Other assets 1,691 1,885
Total assets 40,219 40,809
Current liabilities:    
Accounts payable and accrued liabilities 2,465 2,576
Current portion of environmental and asset retirement obligations 305 436
Long-term Debt, Current Maturities 245 5
Accrued income taxes 128 119
Dividends Payable, Current 0 73
Total current liabilities 3,143 3,209
Long-term debt, less current portion 9,829 9,821
Deferred Income Tax Liabilities, Net 4,087 4,210
Environmental and asset retirement obligations, less current portion 3,758 3,630
Other liabilities 2,439 2,491
Total liabilities 23,256 23,361
Stockholders’ equity:    
Common stock 158 158
Capital in excess of par value 25,875 25,830
Accumulated deficit (12,771) (12,280)
Accumulated other comprehensive loss (668) (676)
Common stock held in treasury (3,739) (3,734)
Total stockholders’ equity 8,855 9,298
Noncontrolling interests 8,108 8,150
Total equity 16,963 17,448
Total liabilities and equity $ 40,219 $ 40,809
v3.20.1
Consolidated Statements of Operations (Unaudited) - USD ($)
shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Income Statement [Abstract]    
Revenues $ 2,798 $ 3,792
Cost of sales:    
Production and delivery 2,545 2,919
Depreciation, depletion and amortization 341 347
Metals inventory adjustments 222 57
Total cost of sales 3,108 3,323
Selling, general and administrative expenses 110 112
Mining exploration and research expenses 16 27
Environmental obligations and shutdown costs 26 42
Net loss (gain) on sales of assets 11 (33)
Total costs and expenses 3,271 3,471
Operating (loss) income (473) 321
Interest expense, net (127) (146)
Net loss on early extinguishment of debt (32) (6)
Other income, net 20 14
(Loss) income from continuing operations before income taxes and equity in affiliated companies’ net earnings (losses) (612) 183
Benefit from (provision for) income taxes 60 (105)
Equity in affiliated companies’ net earnings (losses) 3 (3)
Net (loss) income from continuing operations (549) 75
Net gain from discontinued operations 0 1
Net income (549) 76
Net (income) loss attributable to noncontrolling interests:    
Continuing operations 58 (45)
Net (loss) income attributable to common stockholders $ (491) $ 31
Earnings Per Share, Basic and Diluted [Abstract]    
Income (Loss) from Continuing Operations, Per Basic and Diluted Share $ (0.34) $ 0.02
Discontinued Operation, Income (Loss) from Discontinued Operation, Net of Tax, Per Basic and Diluted Share 0 0
Earnings Per Share, Basic and Diluted $ (0.34) $ 0.02
Basic weighted-average shares of common stock outstanding 1,452 1,451
Diluted weighted-average shares of common shares outstanding 1,452 1,457
Dividends declared per share of common stock (in dollars per share) $ 0 $ 0.05
v3.20.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Statement of Comprehensive Income [Abstract]    
Net (loss) income $ (549) $ 76
Defined benefit plans:    
Amortization of unrecognized amounts included in net periodic benefit costs 12 11
Foreign exchange losses (5) 0
Other comprehensive income 7 11
Total comprehensive (loss) income (542) 87
Total comprehensive loss (income) attributable to noncontrolling interests 59 (45)
Total comprehensive income (loss) $ (483) $ 42
v3.20.1
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Cash flow from operating activities:    
Net (loss) income $ (549) $ 76
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:    
Depreciation, depletion and amortization 341 347
Metals inventory adjustments 222 57
Gain (Loss) on Disposition of Assets (11) 33
Stock-based compensation 27 29
Net charges for environmental and asset retirement obligations, including accretion 60 64
Payments for environmental and asset retirement obligations (71) (46)
Net charges for defined pension and postretirement plans 18 26
Pension plan contributions (26) (16)
Net loss on early extinguishment of debt 32 6
Deferred income taxes (118) 33
Other, net (56) 42
Changes in working capital and other:    
Accounts receivable 205 19
Inventories 154 192
Other current assets (89) 42
Accounts payable and accrued liabilities (149) (247)
Accrued income taxes and timing of other tax payments (2) (62)
Net cash provided by operating activities (38) 534
Cash flow from investing activities:    
Capital expenditures (610) (622)
Proceeds from Sale of Other Assets, Investing Activities 66 84
Other, net (2) (8)
Net cash used in investing activities (546) (546)
Cash flow from financing activities:    
Proceeds from debt 1,478 114
Repayments of debt (1,242) (1,356)
Cash dividends and distributions paid:    
Common stock (73) (73)
Noncontrolling interests 0 (9)
Contributions from noncontrolling interests 32 0
Stock-based awards net payments (4) (7)
Payments of Financing Costs (18) 0
Net cash provided by (used in) financing activities 173 (1,331)
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect (411) (1,343)
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year 2,278 4,455
Cash, cash equivalents, restricted cash and restricted cash equivalents at end of period 1,867 3,112
North America Copper Mines Segment [Member]    
Cash flow from investing activities:    
Capital expenditures (184) (210)
South America Mines Segment [Member]    
Cash flow from investing activities:    
Capital expenditures (74) (61)
Grasberg Segment [Member]    
Cash flow from investing activities:    
Capital expenditures (326) (319)
Molybdenum    
Cash flow from investing activities:    
Capital expenditures (7) (4)
Other Segments [Member]    
Cash flow from investing activities:    
Capital expenditures (19) (28)
Cerro Verde Royalty Dispute    
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:    
Charges for Cerro Verde royalty dispute 9 15
Payments for Cerro Verde royalty dispute $ (57) $ (10)
v3.20.1
Consolidated Statement of Equity (Unaudited) - USD ($)
shares in Millions, $ in Millions
Total
Common Stock
Capital in Excess of Par Value
Accumulated Deficit
AOCI Attributable to Parent [Member]
Common Stock Held in Treasury
Total Stockholder's Equity
Noncontrolling Interests
Contributions from noncontrolling interest $ 0              
Balance (in shares) at Dec. 31, 2018   1,579       130    
Balance at Dec. 31, 2018 17,892 $ 158 $ 26,013 $ (12,041) $ (605) $ (3,727) $ 9,798 $ 8,094
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercised and issued stock-based awards (in shares)   3       1    
Exercised and issued stock-based awards 1   1       1  
Stock-based compensation, including the tender of shares 16   23     $ (7) 16  
Dividends (143)   (73)       (73) (70)
Changes in noncontrolling interests (12)   (1)       (1) (11)
Net loss attributable to common stockholders 31     31     31  
Net income (loss) attributable to noncontrolling interests 45             45
Other comprehensive income 11       11   11 0
Balance (in shares) at Mar. 31, 2019   1,582       131    
Balance at Mar. 31, 2019 17,841 $ 158 25,963 (12,010) (594) $ (3,734) 9,783 8,058
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Total liabilities 23,361              
Contributions from noncontrolling interest 32   15       15 17
Balance (in shares) at Dec. 31, 2019   1,582       131    
Balance at Dec. 31, 2019 17,448 $ 158 25,830 (12,280) (676) $ (3,734) 9,298 8,150
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Exercised and issued stock-based awards (in shares)   1            
Exercised and issued stock-based awards 1   1       1  
Stock-based compensation, including the tender of shares 24   29     $ (5) 24 0
Net loss attributable to common stockholders (491)     (491)     (491)  
Net income (loss) attributable to noncontrolling interests (58)             (58)
Other comprehensive income 7       8   8 (1)
Balance (in shares) at Mar. 31, 2020   1,583       131    
Balance at Mar. 31, 2020 16,963 $ 158 $ 25,875 $ (12,771) $ (668) $ (3,739) $ 8,855 $ 8,108
Increase (Decrease) in Stockholders' Equity [Roll Forward]                
Total liabilities $ 23,256              
v3.20.1
General Information (Unaudited)
 3 Months Ended
Mar. 31, 2020
General Information [Abstract]  
General Information GENERAL INFORMATION

The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all information and disclosures required by generally accepted accounting principles (GAAP) in the United States (U.S.). Therefore, this information should be read in conjunction with Freeport-McMoRan Inc.’s (FCX) consolidated financial statements and notes contained in its annual report on Form 10-K for the year ended December 31, 2019 (2019 Form 10-K). The information furnished herein reflects all adjustments that are, in the opinion of management, necessary for a fair statement of the results for the interim periods reported. All such adjustments are, in the opinion of management, of a normal recurring nature. Operating results for the three-month period ended March 31, 2020, are not necessarily indicative of the results that may be expected for the year ending December 31, 2020.

Operations Update. Because of the significant negative impacts of the COVID-19 pandemic on the global economy, including the recent decline in copper and molybdenum prices, in April 2020 FCX revised its operating plans. FCX has assessed its near-term operating plans with a focus on maximizing cash flow and protecting liquidity in a weak and uncertain economic environment and to preserve asset values for anticipated improved copper prices as economic conditions recover. A series of actions are being implemented to significantly reduce costs and capital spending and adjust mine plans and corresponding mining and milling rates to maximize cash flow at lower prices. The plans also incorporate the impact of lower input costs, principally energy and foreign exchange rates, and higher gold prices.

In mid-March 2020, the Peruvian government issued a Supreme Decree and declaration of a National Emergency in its efforts to contain the outbreak of COVID-19, and subsequently extended this order through May 10, 2020. To comply with the government’s requirements, Cerro Verde temporarily transitioned to a care and maintenance status and has adjusted its operations to prioritize critical activities. Cerro Verde has also completed construction of temporary onsite facilities and enhanced protocols to enable critical operations to be maintained in compliance with the Peruvian government order. During April 2020, Cerro Verde operated at an average of approximately one-third of planned rates. Beginning in late April 2020, operating rates increased to over 50 percent of capacity. In early May, the Peruvian government updated its State of Emergency to allow major mining operations to gradually increase activities. Cerro Verde is in discussions with the Peruvian government to clarify the requirements for gradual resumption of normal operations. The revised operating plans reflect the continuation of limited operations at Cerro Verde during second-quarter 2020 and increased mining and milling rates in the second half of 2020. Idle facility costs associated with this temporary shutdown totaled $22 million in first-quarter 2020. Additionally, in April 2020, FCX suspended operations at its Chino copper mine in New Mexico to address COVID-19 concerns. The revised operating plans take into account the impact of the currently suspended operations at the Chino mine. FCX is currently assessing options and future timing of restart of the Chino mine. FCX’s revised operating plans and estimates reflect current assumptions, and FCX will continue to closely monitor health and market conditions and make further adjustments to its mine plans as required.

In connection with the decline in copper and molybdenum prices, FCX evaluated its long-lived assets, other than indefinite-lived intangible assets, for impairment as of March 31 2020. Indefinite-lived intangible assets are evaluated annually as of December 31, and when it is more likely than not that the intangible asset is impaired. FCX’s long-lived asset impairment evaluations required FCX to make several assumptions in determining estimates of future cash flows of its individual mining operations, including: near- and long-term metal price assumptions; estimates of commodity-based and other input costs; proven and probable mineral reserves estimates, including the timing and costs to develop and produce the reserves; and the value of mineral resources not yet included in proven and probable mineral reserves. Projected long-term average metal prices represented the most significant assumption used in the cash flow estimates.

FCX’s evaluation of long-lived assets (other than indefinite-lived intangible assets) did not result in the recognition of significant impairments as of March 31, 2020. Should copper and molybdenum prices decline further in future periods, FCX will continue to evaluate its long-lived assets for impairment. Refer to Note 3 for adjustments to reduce inventories to their net realizable values.
v3.20.1
Earnings per Share (Unaudited) Earnings per Share (Notes)
 3 Months Ended
Mar. 31, 2020
Earnings Per Share [Abstract]  
Earnings Per Share EARNINGS PER SHARE

FCX calculates its basic net (loss) income per share of common stock under the two-class method and calculates its diluted net (loss) income per share of common stock using the more dilutive of the two-class method or the treasury-stock method. Basic net (loss) income per share of common stock was computed by dividing net (loss) income attributable to common stockholders (after deducting accumulated dividends and undistributed earnings to participating securities) by the weighted-average shares of common stock outstanding during the period. Diluted net (loss) income per share of common stock was calculated by including the basic weighted-average shares of common stock outstanding adjusted for the effects of all potential dilutive shares of common stock, unless their effect would be anti-dilutive.

Reconciliations of net (loss) income and weighted-average shares of common stock outstanding for purposes of calculating basic and diluted net (loss) income per share follow (in millions, except per share amounts):
 
Three Months Ended
 
 
March 31,
 
 
2020
 
2019
 
Net (loss) income from continuing operations
$
(549
)
 
$
75

 
Net loss (income) from continuing operations attributable to noncontrolling interests
58

 
(45
)
 
Undistributed earnings allocated to participating securities
(3
)
 
(3
)
 
Net (loss) income from continuing operations attributable to common stockholders
(494
)
 
27

 
 
 
 
 
 
Net income from discontinued operations attributable to common stockholders
—

 
1

 
 
 
 
 
 
 
 
 
 
 
Net (loss) income attributable to common stockholders
$
(494
)
 
$
28

 
 
 
 
 
 
Basic weighted-average shares of common stock outstanding
1,452

 
1,451

 
Add shares issuable upon exercise or vesting of dilutive stock options and restricted stock units (RSUs)a
—

 
6

 
Diluted weighted-average shares of common stock outstanding
1,452

 
1,457

 
 
 
 
 
 
Basic and diluted net (loss) income per share attributable to common stockholders:
 
 
 
 
Continuing operations
$
(0.34
)
 
$
0.02

 
Discontinued operations
—

 
—

 
 
$
(0.34
)
 
$
0.02

 

a.
Excludes approximately 10 million shares of common stock in first-quarter 2020 and 3 million in first-quarter 2019 associated with outstanding stock options with exercise prices less than the average market price of FCX’s common stock and RSUs that were anti-dilutive.

Outstanding stock options with exercise prices greater than the average market price of FCX’s common stock during the period are excluded from the computation of diluted net (loss) income per share of common stock. Stock options for 40 million shares of common stock were excluded in first-quarter 2020 and 39 million shares in first-quarter 2019.
v3.20.1
Inventories, Including Long-Term Mill and Leach Stockpiles (Unaudited)
 3 Months Ended
Mar. 31, 2020
Inventory Disclosure [Abstract]  
Inventories, Including Long-Term Mill and Leach Stockpiles INVENTORIES, INCLUDING LONG-TERM MILL AND LEACH STOCKPILES

The components of inventories follow (in millions):
 
March 31,
2020
 
December 31, 2019
 
Current inventories:
 
 
 
 
Total materials and supplies, neta
$
1,614

 
$
1,649

 
 
 
 
 
 
Mill stockpiles
$
158

 
$
220

 
Leach stockpiles
948

 
923

 
Total current mill and leach stockpiles
$
1,106

 
$
1,143

 
 
 
 
 
 
Raw materials (primarily concentrate)
$
209

 
$
318

 
Work-in-process
106

 
124

 
Finished goods
819

 
839

 
Total product
$
1,134

 
$
1,281

 
 
 
 
 
 
Long-term inventories:
 
 
 
 
Mill stockpiles
$
193

 
$
181

 
Leach stockpiles
1,079

 
1,244

 
Total long-term mill and leach stockpilesb
$
1,272

 
$
1,425

 

a.
Materials and supplies inventory was net of obsolescence reserves totaling $25 million at March 31, 2020, and $24 million at December 31, 2019.
b.
Estimated metals in stockpiles not expected to be recovered within the next 12 months.

FCX recorded charges to adjust metals inventory carrying values to net realizable values because of lower market prices totaling $222 million in first-quarter 2020, associated with copper inventories ($205 million) and molybdenum inventories ($17 million); and $57 million in first-quarter 2019, associated with cobalt inventories (refer to Note 9 for metals inventory adjustments by business segment).
v3.20.1
Income Taxes (Unaudited)
 3 Months Ended
Mar. 31, 2020
Income Tax Disclosure [Abstract]  
Income Taxes INCOME TAXES

Geographic sources of FCX’s benefit from (provision for) income taxes follow (in millions):
 
Three Months Ended
 
 
March 31,
 
 
2020
 
2019
 
U.S. operations
$
5

 
$
2

 
International operations
55

 
(107
)
 
Total
$
60

 
$
(105
)
 

FCX’s consolidated effective income tax rate was 10 percent for first-quarter 2020 and 57 percent for first-quarter 2019. Because FCX's U.S. jurisdiction generated net losses in first-quarter 2020 and 2019 that will not result in a realized tax benefit, applicable accounting rules require FCX to adjust its estimated annual effective tax rate to exclude the impact of U.S. net losses. Variations in the relative proportions of jurisdictional income result in fluctuations to FCX’s consolidated effective income tax rate.

In connection with the negative impacts of the COVID-19 pandemic on the global economy, governments throughout the world are announcing measures that are intended to provide tax and other financial relief. Such measures include the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), signed into law by President Trump on March 27, 2020. None of these measures, including the CARES Act, resulted in material impacts to FCX’s March 31, 2020, provision for income taxes.  Some of these measures will provide FCX with the opportunity to accelerate the timing of cash collections, primarily those associated with the U.S. alternative minimum tax credit refunds. FCX continues to evaluate income tax accounting considerations of additional measures as they develop, including any impact on the Company’s measurement of existing deferred tax assets and deferred tax liabilities. FCX will recognize any impact from COVID-19 related changes to tax laws in the period in which the new legislation is enacted.
v3.20.1
Debt and Equity
 3 Months Ended
Mar. 31, 2020
Debt Disclosure [Abstract]  
Debt and Equity DEBT AND EQUITY

The components of debt follow (in millions):
 
 
March 31,
2020
 
December 31, 2019
Senior notes and debentures:
 
 
 
 
Issued by FCX
 
$
8,773

 
$
8,602

Issued by Freeport Minerals Corporation (FMC)
 
357

 
357

Cerro Verde credit facility
 
826

 
826

Other
 
118

 
41

Total debt
 
10,074

 
9,826

Less current portion of debt
 
(245
)
 
(5
)
Long-term debt
 
$
9,829

 
$
9,821



Revolving Credit Facility. At March 31, 2020, FCX had no borrowings outstanding and $13 million in letters of credit issued under its revolving credit facility, resulting in availability of approximately $3.5 billion, of which approximately $1.5 billion could be used for additional letters of credit. Availability under FCX’s revolving credit facility consists of $3.28 billion maturing April 2024 and $220 million maturing April 2023. At March 31, 2020, FCX was in compliance with its revolving credit facility covenants.

Senior Notes.  On March 4, 2020, FCX completed the sale of $700 million of 4.125% Senior Notes due 2028 and $600 million of 4.25% Senior Notes due 2030 for total net proceeds of $1.29 billion. Interest on these senior notes is payable semiannually on March 1 and September 1 of each year. These senior notes rank equally with FCX’s other existing and future unsecured and unsubordinated indebtedness. FCX used a portion of the net proceeds from this offering to purchase a portion of its 4.00% Senior Notes due 2021 and its 3.55% Senior Notes due 2022 and the payment of accrued and unpaid interest, premiums, fees and expenses in connection with these transactions. As a result of these transactions, FCX recorded a loss on early extinguishment of debt totaling $32 million in first-quarter 2020 as follows (in millions):
 
 
 
 
 
 
 
 
 
 
 
Principal Amount
 
Net Adjustments
 
Book Value
 
Tender Value
 
Loss
FCX 4.00% Senior Notes due 2021
$
40

 
$
—

 
$
40

 
$
42

 
$
2

FCX 3.55% Senior Notes due 2022
1,075

 
5

 
1,070

 
1,100

 
30

 
$
1,115

 
$
5

 
$
1,110

 
$
1,142

 
$
32



On April 3, 2020, FCX used the remaining net proceeds from the offering to fund the make-whole redemption of all of its remaining 4.00% Senior Notes due 2021 (book value of $154 million as of March 31, 2020) and the payment of accrued and unpaid interest, premiums, fees and expenses in connection with the transaction. As a result of the redemption, FCX expects to record a loss on early extinguishment of debt of $9 million in second-quarter 2020.

Interest Expense, Net. Consolidated interest costs (before capitalization) totaled $171 million in first-quarter 2020 and $178 million in first-quarter 2019. Capitalized interest added to property, plant, equipment and mine development costs, net, totaled $44 million in first-quarter 2020 and $32 million in first-quarter 2019.

Common Stock.  In March 2020, in response to the COVID-19 pandemic and resulting global economic uncertainties, the FCX Board of Directors (the Board) suspended FCX’s quarterly cash dividend of $0.05 per share previously planned for May 1, 2020. Under current market and economic conditions, the Board does not expect to declare common stock dividends during 2020. The declaration and payment of future dividends is at the discretion of the Board and will be assessed on an ongoing basis, taking into account FCX’s financial results, cash requirements, future prospects, global economic conditions and other factors deemed relevant by the Board.
v3.20.1
Financial Instruments (Unaudited)
 3 Months Ended
Mar. 31, 2020
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Financial Instruments FINANCIAL INSTRUMENTS

FCX does not purchase, hold or sell derivative financial instruments unless there is an existing asset or obligation, or it anticipates a future activity that is likely to occur and will result in exposure to market risks, which FCX intends to offset or mitigate. FCX does not enter into any derivative financial instruments for speculative purposes, but has entered into derivative financial instruments in limited instances to achieve specific objectives. These objectives principally relate to managing risks associated with commodity price changes, foreign currency exchange rates and interest rates.

Commodity Contracts.  From time to time, FCX has entered into derivative contracts to hedge the market risk associated with fluctuations in the prices of commodities it purchases and sells. Derivative financial instruments used by FCX to manage its risks do not contain credit risk-related contingent provisions.

In April 2020, FCX entered into forward sales contracts for 150 million pounds of copper for settlement in May and June of 2020. The forward sales provide for fixed pricing of $2.34 per pound of copper on approximately 60 percent of North America's projected sales volumes for May and June 2020.

A discussion of FCX’s other derivative contracts and programs follow.

Derivatives Designated as Hedging Instruments – Fair Value Hedges
Copper Futures and Swap Contracts. Some of FCX’s U.S. copper rod customers request a fixed market price instead of the Commodity Exchange Inc. (COMEX) average copper price in the month of shipment. FCX hedges this price exposure in a manner that allows it to receive the COMEX average price in the month of shipment while the customers pay the fixed price they requested. FCX accomplishes this by entering into copper futures or swap contracts. Hedging gains or losses from these copper futures and swap contracts are recorded in revenues. FCX did not have any significant gains or losses resulting from hedge ineffectiveness during the three-month periods ended March 31, 2020 and 2019. At March 31, 2020, FCX held copper futures and swap contracts that qualified for hedge accounting for 84 million pounds at an average contract price of $2.56 per pound, with maturities through September 2021.

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 the unrealized gains (losses) on the related hedged item follows (in millions):
 
Three Months Ended
 
March 31,
 
2020
 
2019
Copper futures and swap contracts:
 
 
 
Unrealized (losses) gains:
 
 
 
Derivative financial instruments
$
(33
)
 
$
18

Hedged item – firm sales commitments
33

 
(18
)
 
 
 
 
Realized (losses) gains:
 
 
 
Matured derivative financial instruments
(9
)
 
2



Derivatives Not Designated as Hedging Instruments
Embedded Derivatives. Certain FCX concentrate, copper cathode and gold sales contracts provide for provisional pricing primarily based on the London Metal Exchange (LME) copper price or the COMEX copper price and the London Bullion Market Association (LBMA) gold price at the time of shipment as specified in the contract. FCX receives market prices based on prices in the specified future month, which results in price fluctuations recorded in revenues until the date of settlement. FCX records revenues and invoices customers at the time of shipment based on then-current LME or COMEX copper prices and the LBMA gold prices as specified in the contracts, which results in an embedded derivative (i.e., a pricing mechanism that is finalized after the time of delivery) that is required to be bifurcated from the host contract. The host contract is the sale of the metals contained in the concentrate or cathode at the then-current LME or COMEX copper price, and the LBMA gold price. FCX applies the normal purchases and normal sales scope exception in accordance with derivatives and hedge accounting guidance to the host contract in its concentrate or cathode sales agreements since these contracts do not allow for net settlement and always result in physical delivery. The embedded derivative does not qualify for hedge accounting and is adjusted to fair value through earnings each period, using the period-end LME or COMEX copper forward prices
and the adjusted LBMA gold prices, until the date of final pricing. Similarly, FCX purchases copper under contracts that provide for provisional pricing. Mark-to-market price fluctuations from these embedded derivatives are recorded through the settlement date and are reflected in revenues for sales contracts and in inventory for purchase contracts.

A summary of FCX’s embedded derivatives at March 31, 2020, follows:
 
Open Positions
 
Average Price
Per Unit
 
Maturities Through
 
 
Contract
 
Market
 
Embedded derivatives in provisional sales contracts:
 
 
 
 
 
 
 
Copper (millions of pounds)
333

 
$
2.59

 
$
2.24

 
July 2020
Gold (thousands of ounces)
92

 
1,601

 
1,614

 
May 2020
Embedded derivatives in provisional purchase contracts:
 
 
 
 
 
 
 
Copper (millions of pounds)
87

 
2.58

 
2.24

 
July 2020


Copper Forward Contracts. Atlantic Copper, FCX’s wholly owned smelting and refining unit in Spain, enters into copper forward contracts designed to hedge its copper price risk whenever its physical purchases and sales pricing periods do not match. These economic hedge transactions are intended to hedge against changes in copper prices, with the mark-to-market hedging gains or losses recorded in cost of sales. At March 31, 2020, Atlantic Copper held net copper forward purchase contracts for 34 million pounds at an average contract price of $2.35 per pound, with maturities through May 2020.

Summary of (Losses) Gains. 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
 
 
March 31,
 
 
2020
 
2019
Embedded derivatives in provisional sales contracts:a
 
 
 
 
Copper
 
$
(238
)
 
$
122

Gold and other metals
 
7

 
(2
)
Copper forward contractsb
 
24

 
1

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

Unsettled Derivative Financial Instruments
A summary of the fair values of unsettled commodity derivative financial instruments follows (in millions):
 
 
March 31,
2020
 
December 31, 2019
Commodity Derivative Assets:
 
 
 
 
Derivatives designated as hedging instruments:
 
 
 
 
Copper futures and swap contracts
 
$
4

 
$
6

Derivatives not designated as hedging instruments:
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
sales/purchase contracts
 
34

 
68

Total derivative assets
 
$
38

 
$
74

 
 
 
 
 
Commodity Derivative Liabilities:
 
 
 
 
Derivatives designated as hedging instruments:
 
 
 
 
Copper futures and swap contracts
 
$
28

 
$
—

Derivatives not designated as hedging instruments:
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
sales/purchase contracts
 
119

 
20

Copper forward contracts
 
—

 
1

Total derivative liabilities
 
$
147

 
$
21



FCX’s commodity contracts have netting arrangements with counterparties with which the right of offset exists, and it is FCX’s policy to generally offset balances by contract on its balance sheet. FCX’s embedded derivatives on provisional sales/purchase contracts are netted with the corresponding outstanding receivable/payable balances.
A summary of these unsettled commodity contracts that are offset in the balance sheets follows (in millions):
 
 
Assets
 
Liabilities
 
 
March 31,
2020
 
December 31, 2019
 
March 31,
2020
 
December 31, 2019
 
 
 
 
 
 
 
 
 
Gross amounts recognized:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
$
34

 
$
68

 
$
119

 
$
20

Copper derivatives
 
4

 
6

 
28

 
1

 
 
38

 
74

 
147

 
21

 
 
 
 
 
 
 
 
 
Less gross amounts of offset:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
1

 
—

 
1

 
—

Copper derivatives
 
1

 
—

 
1

 
—

 
 
2

 
—

 
2

 
—

 
 
 
 
 
 
 
 
 
Net amounts presented in balance sheet:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
33

 
68

 
118

 
20

Copper derivatives
 
3

 
6

 
27

 
1

 
 
$
36

 
$
74

 
$
145

 
$
21

 
 
 
 
 
 
 
 
 
Balance sheet classification:
 
 
 
 
 
 
 
 
Trade accounts receivable
 
$
13

 
$
66

 
$
54

 
$
—

Other current assets
 
3

 
6

 
—

 
—

Accounts payable and accrued liabilities
 
20

 
2

 
91

 
21

 
 
$
36

 
$
74

 
$
145

 
$
21



Credit Risk.  FCX is exposed to credit loss when financial institutions with which it has entered into derivative transactions (commodity, foreign exchange and interest rate swaps) are unable to pay. To minimize the risk of such losses, FCX uses counterparties that meet certain credit requirements and periodically reviews the creditworthiness of these counterparties. FCX does not anticipate that any of the counterparties it deals with will default on their obligations. As of March 31, 2020, the maximum amount of credit exposure associated with derivative transactions was $34 million.

Other Financial Instruments.  Other financial instruments include cash and cash equivalents, restricted cash, restricted cash equivalents, accounts receivable, investment securities, legally restricted funds, accounts payable and accrued liabilities, dividends payable and long-term debt. The carrying value for cash and cash equivalents (which included time deposits of $0.4 billion at March 31, 2020, and $1.3 billion at December 31, 2019), restricted cash, restricted cash equivalents, accounts receivable, accounts payable and accrued liabilities, and dividends payable approximates fair value because of their short-term nature and generally negligible credit losses (refer to Note 7 for the fair values of investment securities, legally restricted funds and long-term debt).

In addition, as of March 31, 2020, FCX has contingent consideration assets related to the sales of certain oil and gas properties (refer to Note 7 for the related fair values).

Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents. 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):
 
 
March 31,
2020
 
December 31, 2019
Balance sheet components:
 
 
 
 
Cash and cash equivalents
 
$
1,602

 
$
2,020

Restricted cash and restricted cash equivalents included in:
 
 
 
 
Other current assets
 
113

 
100

Other assets
 
152

 
158

Total cash, cash equivalents, restricted cash and restricted cash equivalents presented in the consolidated statements of cash flows
 
$
1,867

 
$
2,278
v3.20.1
Fair Value Measurement
 3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurements FAIR VALUE MEASUREMENT

Fair value accounting guidance includes a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). FCX did not have any significant transfers in or out of Level 3 during first-quarter 2020.

FCX’s financial instruments are recorded on the consolidated balance sheets at fair value except for contingent consideration associated with the sale of the Deepwater Gulf of Mexico (GOM) oil and gas properties (which was recorded under the loss recovery approach) and debt. A summary of the carrying amount and fair value of FCX’s financial instruments (including those measured at net asset value (NAV) as a practical expedient), other than cash and cash equivalents, restricted cash, restricted cash equivalents, accounts receivable, accounts payable and accrued liabilities, and dividends payable (refer to Note 6) follows (in millions):
 
At March 31, 2020
 
Carrying
 
Fair Value
 
Amount
 
Total
 
NAV
 
Level 1
 
Level 2
 
Level 3
Assets
 
 
 
 
 
 
 
 
 
 
 
Investment securities:a,b
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
$
28

 
$
28

 
$
28

 
$
—

 
$
—

 
$
—

Equity securities
3

 
3

 
—

 
3

 
—

 
—

Total
31

 
31

 
28

 
3

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Legally restricted funds:a
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
60

 
60

 
60

 
—

 
—

 
—

Government mortgage-backed securities
55

 
55

 
—

 
—

 
55

 
—

Corporate bonds
39

 
39

 
—

 
—

 
39

 
—

Government bonds and notes
22

 
22

 
—

 
—

 
22

 
—

Asset-backed securities
11

 
11

 
—

 
—

 
11

 
—

Money market funds
8

 
8

 
—

 
8

 
—

 
—

Collateralized mortgage-backed securities
4

 
4

 
—

 
—

 
4

 
—

Municipal bonds
1

 
1

 
—

 
—

 
1

 
—

Total
200

 
200

 
60

 
8

 
132

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Derivatives:
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc
34

 
34

 
—

 
—

 
34

 
—

Copper forward contractsc
4

 
4

 
—

 
1

 
3

 
—

       Total
38

 
38

 
—

 
1

 
37

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Contingent consideration for the sale of the
 
 
 
 
 
 
 
 
 
 
 
Deepwater GOM oil and gas propertiesa
119

 
78

 
—

 
—

 
—

 
78

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
Derivatives:c
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross liability position
(119
)
 
(119
)
 
—

 
—

 
(119
)
 
—

Copper futures and swap contractsc
(28
)
 
(28
)
 
—

 
(25
)
 
(3
)
 
—

Total
(147
)
 
(147
)
 
—

 
(25
)
 
(122
)
 
—

 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, including current portiond
10,074

 
9,530

 
—

 
—

 
9,530

 
—

 
 
 
 
 
 
 
 
 
 
 
 


 
At December 31, 2019
 
Carrying
 
Fair Value
 
Amount
 
Total
 
NAV
 
Level 1
 
Level 2
 
Level 3
Assets
 
 
 
 
 
 
 
 
 
 
 
Investment securities:a,b
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
$
27

 
$
27

 
$
27

 
$
—

 
$
—

 
$
—

Equity securities
4

 
4

 
—

 
4

 
—

 
—

Total
31

 
31

 
27

 
4

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Legally restricted funds:a
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
59

 
59

 
59

 
—

 
—

 
—

Government mortgage-backed securities
43

 
43

 
—

 
—

 
43

 
—

Government bonds and notes
36

 
36

 
—

 
—

 
36

 
—

Corporate bonds
33

 
33

 
—

 
—

 
33

 
—

Asset-backed securities
14

 
14

 
—

 
—

 
14

 
—

Collateralized mortgage-backed securities
7

 
7

 
—

 
—

 
7

 
—

Money market funds
3

 
3

 
—

 
3

 
—

 
—

Municipal bonds
1

 
1

 
—

 
—

 
1

 
—

Total
196

 
196

 
59

 
3

 
134

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Derivatives:
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc
68

 
68

 
—

 
—

 
68

 
—

Copper futures and swap contractsc
6

 
6

 
—

 
5

 
1

 
—

Contingent consideration for the sale of onshore
 
 
 
 
 
 
 
 
 
 
 
   California oil and gas propertiesa
11

 
11

 
—

 
—

 
11

 
—

Total
85

 
85

 
—

 
5

 
80

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Contingent consideration for the sale of the
 
 
 
 
 
 
 
 
 
 
 
   Deepwater GOM oil and gas propertiesa
122

 
108

 
—

 
—

 
—

 
108

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
Derivatives:c
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross liability position
20

 
20

 
—

 
—

 
20

 
—

Copper forward contracts
1

 
1

 
—

 
—

 
1

 
—

Total
21

 
21

 
—

 
—

 
21

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, including current portiond
9,826

 
10,239

 
—

 
—

 
10,239

 
—

 
 
 
 
 
 
 
 
 
 
 
 

a.
Current portion included in other current assets and long-term portion included in other assets.
b.
Excludes time deposits (which approximated fair value) included in (i) other current assets of $113 million at March 31, 2020, and $100 million at December 31, 2019, and (ii) other assets of $151 million at March 31, 2020, and $157 million at December 31, 2019, primarily associated with an assurance bond to support PT-FI’s commitment for the development of a new smelter in Indonesia and PT-FI’s closure and reclamation guarantees.
c.
Refer to Note 6 for further discussion and balance sheet classifications.
d.
Recorded at cost except for debt assumed in acquisitions, which are recorded at fair value at the respective acquisition dates.

Valuation Techniques. The U.S. core fixed income fund is valued at NAV. The fund strategy seeks total return consisting of income and capital appreciation primarily by investing in a broad range of investment-grade debt securities, including U.S. government obligations, corporate bonds, mortgage-backed securities, asset-backed securities and money market instruments. There are no restrictions on redemptions (which are usually within one business day of notice).

Equity securities are valued at the closing price reported on the active market on which the individual securities are traded and, as such, are classified within Level 1 of the fair value hierarchy.
Fixed income securities (government securities, corporate bonds, asset-backed securities, collateralized mortgage-backed securities and municipal bonds) are valued using a bid-evaluation price or a mid-evaluation price. These evaluations are based on quoted prices, if available, or models that use observable inputs and, as such, are classified within Level 2 of the fair value hierarchy.

Money market funds are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices in active markets.

FCX’s embedded derivatives on provisional copper concentrate, copper cathode and gold purchases and sales are valued using quoted monthly LME or COMEX copper forward prices and the adjusted LBMA gold prices at each reporting date based on the month of maturity (refer to Note 6 for further discussion); however, FCX’s contracts themselves are not traded on an exchange. As a result, these derivatives are classified within Level 2 of the fair value hierarchy.

FCX’s derivative financial instruments for copper futures and swap contracts and copper forward contracts that are traded on the respective exchanges are classified within Level 1 of the fair value hierarchy because they are valued using quoted monthly COMEX or LME prices at each reporting date based on the month of maturity (refer to Note 6 for further discussion). Certain of these contracts are traded on the over-the-counter market and are classified within Level 2 of the fair value hierarchy based on COMEX and LME forward prices.

In 2016, FCX completed the sale of its onshore California oil and gas properties, which included contingent consideration of up to $150 million, consisting of $50 million per year for 2018, 2019 and 2020 if the price of Brent crude oil averages over $70 per barrel in each of these calendar years. Based on current and forecasted oil prices for the remainder of 2020, FCX has concluded the fair value of the last tranche of this contingent consideration derivative approximates zero at March 31, 2020. The fair value of the contingent consideration derivative was $11 million (included in other assets in the consolidated balance sheets) at December 31, 2019. Future changes in the fair value of this contingent consideration derivative will continue to be recorded in operating income. Also, contingent consideration of $50 million was realized in 2018 and collected in first-quarter 2019 (included in proceeds from sales of oil and gas properties in the consolidated statements of cash flows) because the average Brent crude oil price exceeded $70 per barrel for 2018. Contingent consideration of $50 million was not realized in 2019 because the average Brent crude oil price did not exceed $70 per barrel for 2019. The fair value at December 31, 2019, was calculated based on average commodity price forecasts through the applicable maturity date using a Monte-Carlo simulation model. The model used various observable inputs, including Brent crude oil forward prices, volatilities and discount rates. As a result, this contingent consideration asset was classified within Level 2 of the fair value hierarchy.

In December 2016, FCX’s sale of its Deepwater GOM oil and gas properties included up to $150 million in contingent consideration that was recorded at the total amount under the loss recovery approach. The contingent consideration will be received over time as future cash flows are realized from a third-party production handling agreement for an offshore platform, with the related payments commencing in third-quarter 2018. The contingent consideration included in (i) other current assets totaled $18 million at each of March 31, 2020, and December 31, 2019, and (ii) other assets totaled $101 million at March 31, 2020, and $104 million at December 31, 2019. The fair value of this contingent consideration was calculated based on a discounted cash flow model using inputs that include third-party estimates for reserves, production rates and production timing, and discount rates. Because significant inputs are not observable in the market, the contingent consideration is classified within Level 3 of the fair value hierarchy.

Long-term debt, including current portion, is primarily valued using available market quotes and, as such, is classified within Level 2 of the fair value hierarchy.

The techniques described above may produce a fair value that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while FCX believes its valuation techniques are appropriate and consistent with other market participants, the use of different techniques or assumptions to determine fair value of certain financial instruments could result in a different fair value measurement at the reporting date. There have been no changes in the techniques used at March 31, 2020, as compared with those techniques used at December 31, 2019.

A summary of the changes in the fair value of FCX’s Level 3 instrument, contingent consideration for the sale of the Deepwater GOM oil and gas properties, during the first three months of 2020 follows (in millions):
Fair value at January 1, 2020
$
108

 
Net unrealized loss related to assets still held at the end of the period
(27
)
 
Settlements
(3
)
 
Fair value at March 31, 2020
$
78

 
v3.20.1
Contingencies and Commitments (Unaudited)
 3 Months Ended
Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies CONTINGENCIES AND COMMITMENTS

Litigation
There were no significant updates to previously reported legal proceedings included in Note 12 of FCX’s 2019 Form 10-K, other than the matters below.

Louisiana Parishes Coastal Erosion Cases. As previously disclosed, in September 2019, affiliates of FCX reached an agreement in principle to settle all 13 cases filed in Louisiana state courts by six south Louisiana parishes (Cameron, Jefferson, Plaquemines, St. Bernard, St. John the Baptist and Vermilion) and the parties that intervened in the litigation in support of the parishes’ claims, including the state of Louisiana, alleging that certain oil and gas exploration and production operations and sulphur mining and production operations of the FCX affiliates damaged coastal wetlands and caused significant land loss along the Louisiana coast.

The agreement in principle does not include any admission of liability by FCX or its affiliates. FCX recorded a charge in third-quarter 2019 for the initial payment of $15 million, which will be paid upon execution of the settlement agreement. The settlement agreement has been executed by the FCX affiliates and several of the Louisiana parishes. FCX expects the agreement to be executed by all parties; however, execution has been delayed by the ongoing COVID-19 pandemic. Upon execution of the settlement agreement by all parties, the FCX affiliates will be fully released and dismissed from all 13 pending cases.

Asbestos and Talc Claims. As previously disclosed, there has been a significant increase in the number of cases alleging the presence of asbestos contamination in talc-based personal care products and in cases alleging exposure to talc products that are not alleged to be contaminated with asbestos. The primary targets have been the producers of those products, but defendants in many of these cases also include talc miners. Cyprus Amax Minerals Company (CAMC), an indirect wholly owned subsidiary of FCX, and Cyprus Mines Corporation (Cyprus Mines), a wholly owned subsidiary of CAMC, are among those targets. Cyprus Mines was engaged in talc mining from 1964 until 1992 when it exited its talc business by conveying it to a third party in two related transactions. Those transactions involved (i) a transfer by Cyprus Mines of the assets of its talc business to a newly formed subsidiary that assumed all pre-sale and post-sale talc liabilities, subject to limited reservations, and (ii) a sale of the stock of that subsidiary to the third party. In 2011, the third party sold that subsidiary to Imerys Talc America (Imerys), an affiliate of Imerys S.A.

Cyprus Mines has contractual indemnification rights, subject to limited reservations, against Imerys, which has historically acknowledged those indemnification obligations, and had taken responsibility for all cases tendered to it. However, on February 13, 2019, Imerys filed for Chapter 11 bankruptcy protection, which triggered an immediate automatic stay under the federal bankruptcy code prohibiting any party from continuing or initiating litigation or asserting new claims against Imerys. As a result, Imerys is no longer defending the talc lawsuits against Cyprus Mines and CAMC. In addition, Imerys has taken the position that it alone owns, and has the sole right to access, the proceeds of the legacy insurance coverage of Cyprus Mines and CAMC for talc liabilities. In late March 2019, Cyprus Mines and CAMC challenged this position and obtained emergency relief from the bankruptcy court to gain access to the insurance until the question of ownership and contractual access can be decided in an adversary proceeding before the bankruptcy court, which was previously scheduled for March 2020, but has been put on hold.

During first-quarter 2019, in a case pending at the time Imerys filed bankruptcy, a California jury entered a $29 million verdict against Johnson & Johnson and Cyprus Mines, of which approximately $2 million was attributed to Cyprus Mines. Taking advantage of the temporary access to the insurance authorized by the bankruptcy court, Cyprus Mines used the insurance to fully resolve the case. Cyprus Mines and the insurers also settled several other cases and secured delays or dismissals in other cases. Multiple trials previously scheduled over the first half of 2020 have been postponed because of the ongoing COVID-19 pandemic. Other cases remain scheduled for trial in
the second half of 2020, and postponed cases may be reset prior to the adversary proceeding regarding the legacy insurance, which is currently on hold.

FCX believes that Cyprus Mines and CAMC each has strong defenses to legal liability and that both should have access to the legacy insurance to cover defense costs, settlements and judgments, at least until the bankruptcy court decides otherwise or the insurance is exhausted. At this time, FCX cannot estimate the range of possible loss associated with these proceedings, but it does not currently believe the amount of any such losses are material to its consolidated financial statements. However, there can be no assurance that future developments will not alter this conclusion.

Other Matters

PT-FI and PT Smelting Export Licenses. In March 2020, PT-FI received a one-year extension of its export license through March 15, 2021, and PT Smelting (PT-FI’s 25 percent-owned smelter and refinery in Indonesia) received an extension of its anode slimes export license through March 10, 2021.

Cerro Verde Royalty Dispute. In November 2019, Cerro Verde filed a notice of intent to initiate international arbitration against the Peruvian government, which triggered a period for mandatory good faith settlement discussions. The parties were unable to find an amicable resolution and, on February 28, 2020, Cerro Verde filed international arbitration proceedings against the Peruvian government.
v3.20.1
BUSINESS SEGMENTS
 3 Months Ended
Mar. 31, 2020
Segment Reporting [Abstract]  
Business Segment BUSINESS SEGMENTS
FCX has organized its mining operations into four primary divisions – North America copper mines, South America mining, Indonesia mining and Molybdenum mines, and operating segments that meet certain thresholds are reportable segments. Separately disclosed in the following tables are FCX’s reportable segments, which include the Morenci, Bagdad, Cerro Verde and Grasberg (Indonesia Mining) copper mines, the Rod & Refining operations and Atlantic Copper Smelting & Refining.
 
Beginning in fourth-quarter 2019, Bagdad became a reportable segment. As a result, FCX revised its segment disclosure for the three months ended March 31, 2019, to conform with the current year presentation.
 
Intersegment sales between FCX’s business segments are based on terms similar to arms-length transactions with third parties at the time of the sale. Intersegment sales may not be reflective of the actual prices ultimately realized because of a variety of factors, including additional processing, timing of sales to unaffiliated customers and transportation premiums.

FCX defers recognizing profits on sales from its mines to other segments, including Atlantic Copper Smelting & Refining, and on 25 percent of PT-FI’s sales to PT Smelting, until final sales to third parties occur. Quarterly variations in ore grades, the timing of intercompany shipments and changes in product prices result in variability in FCX’s net deferred profits and quarterly earnings.
FCX allocates certain operating costs, expenses and capital expenditures to its operating divisions and individual segments. However, not all costs and expenses applicable to an operation are allocated. U.S. federal and state income taxes are recorded and managed at the corporate level (included in Corporate, Other & Eliminations), whereas foreign income taxes are recorded and managed at the applicable country level. In addition, most mining exploration and research activities are managed on a consolidated basis, and those costs, along with some selling, general and administrative costs, are not allocated to the operating divisions or individual segments. Accordingly, the following Financial Information by Business Segment reflects management determinations that may not be indicative of what the actual financial performance of each operating division or segment would be if it was an independent entity.

Product Revenues. FCX’s revenues attributable to the products it sold for the first quarters of 2020 and 2019 follow (in millions):
 
Three Months Ended
 
March 31,
 
2020
 
2019
Copper:
 
 
 
Concentrate
$
849

 
$
1,165

Cathode
837

 
859

Rod and other refined copper products
542

 
507

Purchased coppera
235

 
337

Gold
270

 
391

Molybdenum
243

 
288

Otherb
157

 
277

Adjustments to revenues:
 
 
 
Treatment charges
(80
)
 
(105
)
Royalty expensec
(20
)
 
(30
)
Export dutiesd
(4
)
 
(17
)
Revenues from contracts with customers
3,029

 
3,672

Embedded derivativese
(231
)
 
120

Total consolidated revenues
$
2,798

 
$
3,792

a.
FCX purchases copper cathode primarily for processing by its Rod & Refining operations.
b.
Primarily includes revenues associated with cobalt and silver.
c.
Reflects royalties on sales from PT-FI and Cerro Verde that will vary with the volume of metal sold and prices.
d.
Reflects PT-FI export duties.
e.
Refer to Note 6 for discussion of embedded derivatives related to FCX’s provisionally priced concentrate and cathode sales contracts.
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
 
Bagdad
 
Other
 
Total
 
Verde
 
Other
 
Total
 
Mining
 
Mines
 
Refining
 
& Refining
 
nations
 
Total
Three Months Ended March 31, 2020
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
2

 
$
—

 
$
7

 
$
9

 
$
376

 
$
98

 
$
474

 
$
445

a 
$
—

 
$
1,115

 
$
429

 
$
326

b 
$
2,798

Intersegment
442

 
159

 
375

 
976

 
38

 
—

 
38

 
—

 
71

 
8

 
11

 
(1,104
)
 
—

Production and delivery
349

 
126

 
385

 
860

 
424

 
110

 
534

 
343

 
66

 
1,119

 
411

 
(788
)
 
2,545

Depreciation, depletion and amortization
44

 
14

 
34

 
92

 
93

 
15

 
108

 
101

 
16

 
2

 
7

 
15

 
341

Metals inventory adjustments
4

 
—

 
141

 
145

 
—

 
60

 
60

 
—

 
4

 
—

 
—

 
13

 
222

Selling, general and administrative expenses
1

 
—

 
—

 
1

 
2

 
—

 
2

 
28

 
—

 
—

 
5

 
74

 
110

Mining exploration and research expenses
—

 
—

 
1

 
1

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
15

 
16

Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
1

 
—

 
25

 
26

Net loss on sales of assets
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
11

 
11

Operating income (loss)
46

 
19

 
(179
)
 
(114
)
 
(105
)
 
(87
)
 
(192
)
 
(27
)
 
(15
)
 
1

 
17

 
(143
)
 
(473
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
—

 
1

 
28

 
—

 
28

 
1

 
—

 
—

 
3

 
94

 
127

(Benefit from) provision for income taxes
—

 
—

 
—

 
—

 
(52
)
 
(26
)
 
(78
)
 
12

 
—

 
—

 
—

 
6

 
(60
)
Total assets at March 31, 2020
2,814

 
800

 
4,293

 
7,907

 
8,471

 
1,655

 
10,126

 
16,711

 
1,788

 
231

 
635

 
2,821

 
40,219

Capital expenditures
44

 
25

 
115

 
184

 
59

 
15

 
74

 
326

 
7

 
2

 
6

 
11

 
610

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2019
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
12

 
$
—

 
$
95

 
$
107

 
$
727

 
$
98

 
$
825

 
$
705

a 
$
—

 
$
1,128

 
$
571

 
$
456

b 
$
3,792

Intersegment
458

 
178

 
291

 
927

 
126

 
—

 
126

 
58

 
91

 
6

 
5

 
(1,213
)
 
—

Production and delivery
295

 
120

 
328

 
743

 
439

 
100

 
539

 
556

 
71

 
1,133

 
552

 
(675
)
 
2,919

Depreciation, depletion and amortization
40

 
10

 
33

 
83

 
100

 
14

 
114

 
105

 
16

 
2

 
7

 
20

 
347

Metals inventory adjustments
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
57

 
57

Selling, general and administrative expenses
1

 
—

 
1

 
2

 
2

 
—

 
2

 
30

 
—

 
—

 
5

 
73

 
112

Mining exploration and research expenses
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
27

 
27

Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
42

 
42

Net gain on sales of assets
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(33
)
 
(33
)
Operating income (loss)
134

 
48

 
24

 
206

 
312

 
(16
)
 
296

 
72

 
4

 
(1
)
 
12

 
(268
)
 
321

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
—

 
1

 
29

 
—

 
29

 
—

 
—

 
—

 
6

 
110

 
146

Provision for (benefit from) income taxes
—

 
—

 
—

 
—

 
110

 
(5
)
 
105

 
26

 
—

 
—

 
1

 
(27
)
 
105

Total assets at March 31, 2019
2,904

 
709

 
4,051

 
7,664

 
8,674

 
1,720

 
10,394

 
15,792

 
1,785

 
232

 
771

 
4,421

 
41,059

Capital expenditures
62

 
25

 
123

 
210

 
56

 
5

 
61

 
319

 
4

 
1

 
4

 
23

 
622

a.
Includes PT-FI's sales to PT Smelting totaling $380 million in first-quarter 2020 and $409 million in first-quarter 2019.
b.
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.
v3.20.1
New Accounting Standard
 3 Months Ended
Mar. 31, 2020
New Accounting Pronouncements and Changes in Accounting Principles [Abstract]  
New Accounting Standards NEW ACCOUNTING STANDARDS

Financial Instruments. In June 2016, FASB issued an ASU that requires entities to estimate all expected credit losses for most financial assets held at the reporting date based on an expected loss model, which requires consideration of historical experience, current conditions, and reasonable and supportable forecasts. FCX adopted this ASU effective January 1, 2020, and the adoption of this ASU did not have a material impact on its consolidated financial statements.
v3.20.1
Subsequent Events (Unaudited)
 3 Months Ended
Mar. 31, 2020
Subsequent Events [Abstract]  
Subsequent Events SUBSEQUENT EVENTS

FCX evaluated events after March 31, 2020, and through the date the consolidated financial statements were issued, and determined any events or transactions occurring during this period that would require recognition or disclosure are appropriately addressed in these consolidated financial statements.
v3.20.1
Earnings per Share (Unaudited) Earnings per Share (Tables)
 3 Months Ended
Mar. 31, 2020
Earnings Per Share [Abstract]  
Reconciliation of net income (loss) and weighted-average shares of common stock outstanding
Reconciliations of net (loss) income and weighted-average shares of common stock outstanding for purposes of calculating basic and diluted net (loss) income per share follow (in millions, except per share amounts):
 
Three Months Ended
 
 
March 31,
 
 
2020
 
2019
 
Net (loss) income from continuing operations
$
(549
)
 
$
75

 
Net loss (income) from continuing operations attributable to noncontrolling interests
58

 
(45
)
 
Undistributed earnings allocated to participating securities
(3
)
 
(3
)
 
Net (loss) income from continuing operations attributable to common stockholders
(494
)
 
27

 
 
 
 
 
 
Net income from discontinued operations attributable to common stockholders
—

 
1

 
 
 
 
 
 
 
 
 
 
 
Net (loss) income attributable to common stockholders
$
(494
)
 
$
28

 
 
 
 
 
 
Basic weighted-average shares of common stock outstanding
1,452

 
1,451

 
Add shares issuable upon exercise or vesting of dilutive stock options and restricted stock units (RSUs)a
—

 
6

 
Diluted weighted-average shares of common stock outstanding
1,452

 
1,457

 
 
 
 
 
 
Basic and diluted net (loss) income per share attributable to common stockholders:
 
 
 
 
Continuing operations
$
(0.34
)
 
$
0.02

 
Discontinued operations
—

 
—

 
 
$
(0.34
)
 
$
0.02

 

a.
Excludes approximately 10 million shares of common stock in first-quarter 2020 and 3 million in first-quarter 2019 associated with outstanding stock options with exercise prices less than the average market price of FCX’s common stock and RSUs that were anti-dilutive.
v3.20.1
Inventories, Including Long-Term Mill and Leach Stockpiles (Unaudited) (Tables)
 3 Months Ended
Mar. 31, 2020
Inventory Disclosure [Abstract]  
Schedule of Inventory

The components of inventories follow (in millions):
 
March 31,
2020
 
December 31, 2019
 
Current inventories:
 
 
 
 
Total materials and supplies, neta
$
1,614

 
$
1,649

 
 
 
 
 
 
Mill stockpiles
$
158

 
$
220

 
Leach stockpiles
948

 
923

 
Total current mill and leach stockpiles
$
1,106

 
$
1,143

 
 
 
 
 
 
Raw materials (primarily concentrate)
$
209

 
$
318

 
Work-in-process
106

 
124

 
Finished goods
819

 
839

 
Total product
$
1,134

 
$
1,281

 
 
 
 
 
 
Long-term inventories:
 
 
 
 
Mill stockpiles
$
193

 
$
181

 
Leach stockpiles
1,079

 
1,244

 
Total long-term mill and leach stockpilesb
$
1,272

 
$
1,425

 

a.
Materials and supplies inventory was net of obsolescence reserves totaling $25 million at March 31, 2020, and $24 million at December 31, 2019.
b.
Estimated metals in stockpiles not expected to be recovered within the next 12 months.
v3.20.1
Income Taxes (Unaudited) (Tables)
 3 Months Ended
Mar. 31, 2020
Income Tax Disclosure [Abstract]  
Income before income taxes and equity in an affiliated companies' net earnings eographic sources of FCX’s benefit from (provision for) income taxes follow (in millions):
 
Three Months Ended
 
 
March 31,
 
 
2020
 
2019
 
U.S. operations
$
5

 
$
2

 
International operations
55

 
(107
)
 
Total
$
60

 
$
(105
)
 
v3.20.1
Debt and Equity (Tables)
 3 Months Ended
Mar. 31, 2020
Debt Instrument [Line Items]  
Schedule of Debt

The components of debt follow (in millions):
 
 
March 31,
2020
 
December 31, 2019
Senior notes and debentures:
 
 
 
 
Issued by FCX
 
$
8,773

 
$
8,602

Issued by Freeport Minerals Corporation (FMC)
 
357

 
357

Cerro Verde credit facility
 
826

 
826

Other
 
118

 
41

Total debt
 
10,074

 
9,826

Less current portion of debt
 
(245
)
 
(5
)
Long-term debt
 
$
9,829

 
$
9,821
Schedule of Long-term Debt Instruments [Table Text Block] FCX recorded a loss on early extinguishment of debt totaling $32 million in first-quarter 2020 as follows (in millions):
 
 
 
 
 
 
 
 
 
 
 
Principal Amount
 
Net Adjustments
 
Book Value
 
Tender Value
 
Loss
FCX 4.00% Senior Notes due 2021
$
40

 
$
—

 
$
40

 
$
42

 
$
2

FCX 3.55% Senior Notes due 2022
1,075

 
5

 
1,070

 
1,100

 
30

 
$
1,115

 
$
5

 
$
1,110

 
$
1,142

 
$
32
v3.20.1
Financial Instruments (Tables)
 3 Months Ended
Mar. 31, 2020
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 the unrealized gains (losses) on the related hedged item follows (in millions):
 
Three Months Ended
 
March 31,
 
2020
 
2019
Copper futures and swap contracts:
 
 
 
Unrealized (losses) gains:
 
 
 
Derivative financial instruments
$
(33
)
 
$
18

Hedged item – firm sales commitments
33

 
(18
)
 
 
 
 
Realized (losses) gains:
 
 
 
Matured derivative financial instruments
(9
)
 
2
Schedule of Derivative Instruments
A summary of FCX’s embedded derivatives at March 31, 2020, follows:
 
Open Positions
 
Average Price
Per Unit
 
Maturities Through
 
 
Contract
 
Market
 
Embedded derivatives in provisional sales contracts:
 
 
 
 
 
 
 
Copper (millions of pounds)
333

 
$
2.59

 
$
2.24

 
July 2020
Gold (thousands of ounces)
92

 
1,601

 
1,614

 
May 2020
Embedded derivatives in provisional purchase contracts:
 
 
 
 
 
 
 
Copper (millions of pounds)
87

 
2.58

 
2.24

 
July 2020
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
 
 
March 31,
 
 
2020
 
2019
Embedded derivatives in provisional sales contracts:a
 
 
 
 
Copper
 
$
(238
)
 
$
122

Gold and other metals
 
7

 
(2
)
Copper forward contractsb
 
24

 
1

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):
 
 
March 31,
2020
 
December 31, 2019
Commodity Derivative Assets:
 
 
 
 
Derivatives designated as hedging instruments:
 
 
 
 
Copper futures and swap contracts
 
$
4

 
$
6

Derivatives not designated as hedging instruments:
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
sales/purchase contracts
 
34

 
68

Total derivative assets
 
$
38

 
$
74

 
 
 
 
 
Commodity Derivative Liabilities:
 
 
 
 
Derivatives designated as hedging instruments:
 
 
 
 
Copper futures and swap contracts
 
$
28

 
$
—

Derivatives not designated as hedging instruments:
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
sales/purchase contracts
 
119

 
20

Copper forward contracts
 
—

 
1

Total derivative liabilities
 
$
147

 
$
21
Offsetting Assets
A summary of these unsettled commodity contracts that are offset in the balance sheets follows (in millions):
 
 
Assets
 
Liabilities
 
 
March 31,
2020
 
December 31, 2019
 
March 31,
2020
 
December 31, 2019
 
 
 
 
 
 
 
 
 
Gross amounts recognized:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
$
34

 
$
68

 
$
119

 
$
20

Copper derivatives
 
4

 
6

 
28

 
1

 
 
38

 
74

 
147

 
21

 
 
 
 
 
 
 
 
 
Less gross amounts of offset:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
1

 
—

 
1

 
—

Copper derivatives
 
1

 
—

 
1

 
—

 
 
2

 
—

 
2

 
—

 
 
 
 
 
 
 
 
 
Net amounts presented in balance sheet:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
33

 
68

 
118

 
20

Copper derivatives
 
3

 
6

 
27

 
1

 
 
$
36

 
$
74

 
$
145

 
$
21

 
 
 
 
 
 
 
 
 
Balance sheet classification:
 
 
 
 
 
 
 
 
Trade accounts receivable
 
$
13

 
$
66

 
$
54

 
$
—

Other current assets
 
3

 
6

 
—

 
—

Accounts payable and accrued liabilities
 
20

 
2

 
91

 
21

 
 
$
36

 
$
74

 
$
145

 
$
21
Offsetting Liabilities
A summary of these unsettled commodity contracts that are offset in the balance sheets follows (in millions):
 
 
Assets
 
Liabilities
 
 
March 31,
2020
 
December 31, 2019
 
March 31,
2020
 
December 31, 2019
 
 
 
 
 
 
 
 
 
Gross amounts recognized:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
$
34

 
$
68

 
$
119

 
$
20

Copper derivatives
 
4

 
6

 
28

 
1

 
 
38

 
74

 
147

 
21

 
 
 
 
 
 
 
 
 
Less gross amounts of offset:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
1

 
—

 
1

 
—

Copper derivatives
 
1

 
—

 
1

 
—

 
 
2

 
—

 
2

 
—

 
 
 
 
 
 
 
 
 
Net amounts presented in balance sheet:
 
 
 
 
 
 
 
 
Embedded derivatives in provisional
 
 
 
 
 
 
 
 
sales/purchase contracts
 
33

 
68

 
118

 
20

Copper derivatives
 
3

 
6

 
27

 
1

 
 
$
36

 
$
74

 
$
145

 
$
21

 
 
 
 
 
 
 
 
 
Balance sheet classification:
 
 
 
 
 
 
 
 
Trade accounts receivable
 
$
13

 
$
66

 
$
54

 
$
—

Other current assets
 
3

 
6

 
—

 
—

Accounts payable and accrued liabilities
 
20

 
2

 
91

 
21

 
 
$
36

 
$
74

 
$
145

 
$
21
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):
 
 
March 31,
2020
 
December 31, 2019
Balance sheet components:
 
 
 
 
Cash and cash equivalents
 
$
1,602

 
$
2,020

Restricted cash and restricted cash equivalents included in:
 
 
 
 
Other current assets
 
113

 
100

Other assets
 
152

 
158

Total cash, cash equivalents, restricted cash and restricted cash equivalents presented in the consolidated statements of cash flows
 
$
1,867

 
$
2,278
v3.20.1
FAIR VALUE MEASUREMENT (Tables)
 3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurement Inputs Disclosure A summary of the carrying amount and fair value of FCX’s financial instruments (including those measured at net asset value (NAV) as a practical expedient), other than cash and cash equivalents, restricted cash, restricted cash equivalents, accounts receivable, accounts payable and accrued liabilities, and dividends payable (refer to Note 6) follows (in millions):
 
At March 31, 2020
 
Carrying
 
Fair Value
 
Amount
 
Total
 
NAV
 
Level 1
 
Level 2
 
Level 3
Assets
 
 
 
 
 
 
 
 
 
 
 
Investment securities:a,b
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
$
28

 
$
28

 
$
28

 
$
—

 
$
—

 
$
—

Equity securities
3

 
3

 
—

 
3

 
—

 
—

Total
31

 
31

 
28

 
3

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Legally restricted funds:a
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
60

 
60

 
60

 
—

 
—

 
—

Government mortgage-backed securities
55

 
55

 
—

 
—

 
55

 
—

Corporate bonds
39

 
39

 
—

 
—

 
39

 
—

Government bonds and notes
22

 
22

 
—

 
—

 
22

 
—

Asset-backed securities
11

 
11

 
—

 
—

 
11

 
—

Money market funds
8

 
8

 
—

 
8

 
—

 
—

Collateralized mortgage-backed securities
4

 
4

 
—

 
—

 
4

 
—

Municipal bonds
1

 
1

 
—

 
—

 
1

 
—

Total
200

 
200

 
60

 
8

 
132

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Derivatives:
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc
34

 
34

 
—

 
—

 
34

 
—

Copper forward contractsc
4

 
4

 
—

 
1

 
3

 
—

       Total
38

 
38

 
—

 
1

 
37

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Contingent consideration for the sale of the
 
 
 
 
 
 
 
 
 
 
 
Deepwater GOM oil and gas propertiesa
119

 
78

 
—

 
—

 
—

 
78

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
Derivatives:c
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross liability position
(119
)
 
(119
)
 
—

 
—

 
(119
)
 
—

Copper futures and swap contractsc
(28
)
 
(28
)
 
—

 
(25
)
 
(3
)
 
—

Total
(147
)
 
(147
)
 
—

 
(25
)
 
(122
)
 
—

 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, including current portiond
10,074

 
9,530

 
—

 
—

 
9,530

 
—

 
 
 
 
 
 
 
 
 
 
 
 


 
At December 31, 2019
 
Carrying
 
Fair Value
 
Amount
 
Total
 
NAV
 
Level 1
 
Level 2
 
Level 3
Assets
 
 
 
 
 
 
 
 
 
 
 
Investment securities:a,b
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
$
27

 
$
27

 
$
27

 
$
—

 
$
—

 
$
—

Equity securities
4

 
4

 
—

 
4

 
—

 
—

Total
31

 
31

 
27

 
4

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Legally restricted funds:a
 
 
 
 
 
 
 
 
 
 
 
U.S. core fixed income fund
59

 
59

 
59

 
—

 
—

 
—

Government mortgage-backed securities
43

 
43

 
—

 
—

 
43

 
—

Government bonds and notes
36

 
36

 
—

 
—

 
36

 
—

Corporate bonds
33

 
33

 
—

 
—

 
33

 
—

Asset-backed securities
14

 
14

 
—

 
—

 
14

 
—

Collateralized mortgage-backed securities
7

 
7

 
—

 
—

 
7

 
—

Money market funds
3

 
3

 
—

 
3

 
—

 
—

Municipal bonds
1

 
1

 
—

 
—

 
1

 
—

Total
196

 
196

 
59

 
3

 
134

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Derivatives:
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc
68

 
68

 
—

 
—

 
68

 
—

Copper futures and swap contractsc
6

 
6

 
—

 
5

 
1

 
—

Contingent consideration for the sale of onshore
 
 
 
 
 
 
 
 
 
 
 
   California oil and gas propertiesa
11

 
11

 
—

 
—

 
11

 
—

Total
85

 
85

 
—

 
5

 
80

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Contingent consideration for the sale of the
 
 
 
 
 
 
 
 
 
 
 
   Deepwater GOM oil and gas propertiesa
122

 
108

 
—

 
—

 
—

 
108

 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
Derivatives:c
 
 
 
 
 
 
 
 
 
 
 
Embedded derivatives in provisional sales/purchase contracts in a gross liability position
20

 
20

 
—

 
—

 
20

 
—

Copper forward contracts
1

 
1

 
—

 
—

 
1

 
—

Total
21

 
21

 
—

 
—

 
21

 
—

 
 
 
 
 
 
 
 
 
 
 
 
Long-term debt, including current portiond
9,826

 
10,239

 
—

 
—

 
10,239

 
—

 
 
 
 
 
 
 
 
 
 
 
 

a.
Current portion included in other current assets and long-term portion included in other assets.
b.
Excludes time deposits (which approximated fair value) included in (i) other current assets of $113 million at March 31, 2020, and $100 million at December 31, 2019, and (ii) other assets of $151 million at March 31, 2020, and $157 million at December 31, 2019, primarily associated with an assurance bond to support PT-FI’s commitment for the development of a new smelter in Indonesia and PT-FI’s closure and reclamation guarantees.
c.
Refer to Note 6 for further discussion and balance sheet classifications.
d.
Recorded at cost except for debt assumed in acquisitions, which are recorded at fair value at the respective acquisition dates.
Summary of Unobservable Input Reconciliation
A summary of the changes in the fair value of FCX’s Level 3 instrument, contingent consideration for the sale of the Deepwater GOM oil and gas properties, during the first three months of 2020 follows (in millions):
Fair value at January 1, 2020
$
108

 
Net unrealized loss related to assets still held at the end of the period
(27
)
 
Settlements
(3
)
 
Fair value at March 31, 2020
$
78

 
v3.20.1
Business Segments (Tables)
 3 Months Ended
Mar. 31, 2020
Segment Reporting [Abstract]  
Revenue from External Customers by Products and Services FCX’s revenues attributable to the products it sold for the first quarters of 2020 and 2019 follow (in millions):
 
Three Months Ended
 
March 31,
 
2020
 
2019
Copper:
 
 
 
Concentrate
$
849

 
$
1,165

Cathode
837

 
859

Rod and other refined copper products
542

 
507

Purchased coppera
235

 
337

Gold
270

 
391

Molybdenum
243

 
288

Otherb
157

 
277

Adjustments to revenues:
 
 
 
Treatment charges
(80
)
 
(105
)
Royalty expensec
(20
)
 
(30
)
Export dutiesd
(4
)
 
(17
)
Revenues from contracts with customers
3,029

 
3,672

Embedded derivativese
(231
)
 
120

Total consolidated revenues
$
2,798

 
$
3,792

a.
FCX purchases copper cathode primarily for processing by its Rod & Refining operations.
b.
Primarily includes revenues associated with cobalt and silver.
c.
Reflects royalties on sales from PT-FI and Cerro Verde that will vary with the volume of metal sold and prices.
d.
Reflects PT-FI export duties.
e.
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
 
Bagdad
 
Other
 
Total
 
Verde
 
Other
 
Total
 
Mining
 
Mines
 
Refining
 
& Refining
 
nations
 
Total
Three Months Ended March 31, 2020
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
2

 
$
—

 
$
7

 
$
9

 
$
376

 
$
98

 
$
474

 
$
445

a 
$
—

 
$
1,115

 
$
429

 
$
326

b 
$
2,798

Intersegment
442

 
159

 
375

 
976

 
38

 
—

 
38

 
—

 
71

 
8

 
11

 
(1,104
)
 
—

Production and delivery
349

 
126

 
385

 
860

 
424

 
110

 
534

 
343

 
66

 
1,119

 
411

 
(788
)
 
2,545

Depreciation, depletion and amortization
44

 
14

 
34

 
92

 
93

 
15

 
108

 
101

 
16

 
2

 
7

 
15

 
341

Metals inventory adjustments
4

 
—

 
141

 
145

 
—

 
60

 
60

 
—

 
4

 
—

 
—

 
13

 
222

Selling, general and administrative expenses
1

 
—

 
—

 
1

 
2

 
—

 
2

 
28

 
—

 
—

 
5

 
74

 
110

Mining exploration and research expenses
—

 
—

 
1

 
1

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
15

 
16

Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
1

 
—

 
25

 
26

Net loss on sales of assets
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
11

 
11

Operating income (loss)
46

 
19

 
(179
)
 
(114
)
 
(105
)
 
(87
)
 
(192
)
 
(27
)
 
(15
)
 
1

 
17

 
(143
)
 
(473
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
—

 
1

 
28

 
—

 
28

 
1

 
—

 
—

 
3

 
94

 
127

(Benefit from) provision for income taxes
—

 
—

 
—

 
—

 
(52
)
 
(26
)
 
(78
)
 
12

 
—

 
—

 
—

 
6

 
(60
)
Total assets at March 31, 2020
2,814

 
800

 
4,293

 
7,907

 
8,471

 
1,655

 
10,126

 
16,711

 
1,788

 
231

 
635

 
2,821

 
40,219

Capital expenditures
44

 
25

 
115

 
184

 
59

 
15

 
74

 
326

 
7

 
2

 
6

 
11

 
610

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2019
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unaffiliated customers
$
12

 
$
—

 
$
95

 
$
107

 
$
727

 
$
98

 
$
825

 
$
705

a 
$
—

 
$
1,128

 
$
571

 
$
456

b 
$
3,792

Intersegment
458

 
178

 
291

 
927

 
126

 
—

 
126

 
58

 
91

 
6

 
5

 
(1,213
)
 
—

Production and delivery
295

 
120

 
328

 
743

 
439

 
100

 
539

 
556

 
71

 
1,133

 
552

 
(675
)
 
2,919

Depreciation, depletion and amortization
40

 
10

 
33

 
83

 
100

 
14

 
114

 
105

 
16

 
2

 
7

 
20

 
347

Metals inventory adjustments
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
57

 
57

Selling, general and administrative expenses
1

 
—

 
1

 
2

 
2

 
—

 
2

 
30

 
—

 
—

 
5

 
73

 
112

Mining exploration and research expenses
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
27

 
27

Environmental obligations and shutdown costs
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
42

 
42

Net gain on sales of assets
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(33
)
 
(33
)
Operating income (loss)
134

 
48

 
24

 
206

 
312

 
(16
)
 
296

 
72

 
4

 
(1
)
 
12

 
(268
)
 
321

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
1

 
—

 
—

 
1

 
29

 
—

 
29

 
—

 
—

 
—

 
6

 
110

 
146

Provision for (benefit from) income taxes
—

 
—

 
—

 
—

 
110

 
(5
)
 
105

 
26

 
—

 
—

 
1

 
(27
)
 
105

Total assets at March 31, 2019
2,904

 
709

 
4,051

 
7,664

 
8,674

 
1,720

 
10,394

 
15,792

 
1,785

 
232

 
771

 
4,421

 
41,059

Capital expenditures
62

 
25

 
123

 
210

 
56

 
5

 
61

 
319

 
4

 
1

 
4

 
23

 
622

a.
Includes PT-FI's sales to PT Smelting totaling $380 million in first-quarter 2020 and $409 million in first-quarter 2019.
b.
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.
v3.20.1
General Information (Unaudited) (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2020
USD ($)
General Information [Abstract]  
COVID Response, Idle Facility Costs $ 22
v3.20.1
Earnings per Share (Unaudited) Earnings per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Earnings Per Share [Abstract]    
Net (loss) income from continuing operations $ (549) $ 75
Net loss (income) from continuing operations attributable to noncontrolling interests 58 (45)
Undistributed earnings allocated to participating securities (3) (3)
Net (loss) income from continuing operations attributable to common stockholders (494) 27
Net income from discontinued operations attributable to common stockholders 0 1
Net (loss) income attributable to common stockholders $ (494) $ 28
Basic weighted-average shares of common stock outstanding 1,452 1,451
Add shares issuable upon exercise or vesting of dilutive stock options and restricted stock units (RSUs)a 0 6
Diluted weighted-average shares of common stock outstanding 1,452 1,457
Basic and diluted net (loss) income per share attributable to common stockholders:    
Continuing operations (in dollars per share) $ (0.34) $ 0.02
Discontinued operations (in dollars per share) 0 0
Earnings per share, basic (in dollars per share) $ (0.34) $ 0.02
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount 10 3
Dilutive Securities Excluded from Computation of EPS Amount 40 39
v3.20.1
Inventories, Including Long-Term Mill and Leach Stockpiles (Unaudited) (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Dec. 31, 2019
Components of Inventories [Line Items]      
Total materials and supplies, net $ 1,614   $ 1,649
Mill stockpiles, current 158   220
Leach stockpiles, current 948   923
Total current mill and leach stockpiles 1,106   1,143
Raw materials (primarily concentrate) 209   318
Work-in-process 106   124
Finished goods 819   839
Total product 1,134   1,281
Mill stockpiles, noncurrent 193   181
Leach stockpiles, noncurrent 1,079   1,244
Total long-term mill and leach stockpiles 1,272   1,425
Inventory obsolescence reserves 25   $ 24
Inventory Write-down 222 $ 57  
Copper      
Components of Inventories [Line Items]      
Inventory Write-down 205    
Molybdenum      
Components of Inventories [Line Items]      
Inventory Write-down $ 17    
v3.20.1
Income Taxes (Unaudited) (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Income Tax Disclosure [Abstract]    
Consolidated effective income tax rate (percent) 10.00% 57.00%
Schedule Of Income Taxes [Line Items]    
U.S. operations $ 5 $ 2
International operations 55 (107)
Total $ 60 $ (105)
v3.20.1
Debt and Equity (Details) - USD ($)
$ / shares in Units, $ in Millions
 1 Months Ended 3 Months Ended
Mar. 04, 2020
Apr. 30, 2020
Jun. 30, 2020
Mar. 31, 2020
Mar. 31, 2019
Apr. 03, 2020
Dec. 31, 2019
Total Debt [Abstract]              
Current portion of debt       $ (245)      
Long-term Debt, Current Maturities       245     $ 5
Long-term debt, less current portion       9,829      
Debt             9,826
Long-term Debt and Lease Obligation, Including Current Maturities       10,074      
Proceeds from repayment of debt $ 1,290            
Net gain (loss) on exchanges and early extinguishment of debt       (32) $ (6)    
Interest costs       $ 171 $ 178    
Dividends declared per share of common stock (in dollars per share)       $ 0 $ 0.05    
COVID Response, Dividend Suspended, Price Per Share       $ 0.05      
Long-term debt, less current portion       $ 9,829     9,821
Senior Notes due 2028, 4.125% [Member] [Domain]              
Total Debt [Abstract]              
Debt $ 700            
Stated interest rate 4.125%            
Senior Notes due 2030, 4.25% [Member] [Domain]              
Total Debt [Abstract]              
Debt $ 600            
Stated interest rate 4.25%            
Senior Notes due 2021, 4.00%              
Total Debt [Abstract]              
Stated interest rate 4.00%            
3.55% Senior Notes Due 2022 [Member]              
Total Debt [Abstract]              
Stated interest rate 3.55%            
Property, Plant and Equipment [Member]              
Total Debt [Abstract]              
Interest costs capitalized       44 $ 32    
Line of Credit [Member] | Cerro Verde [Member]              
Total Debt [Abstract]              
Debt             826
Long-term Debt and Lease Obligation, Including Current Maturities       826      
Line of Credit [Member] | Letter of Credit [Member]              
Total Debt [Abstract]              
Letter of credit       13      
Revolving credit facility, availability       1,500      
Line of Credit [Member] | Revolving Credit Facility [Member]              
Total Debt [Abstract]              
Debt       0      
Revolving credit facility, availability       3,500      
Line of Credit [Member] | Revolving Credit Facility [Member] | Maturing 2024 [Member]              
Total Debt [Abstract]              
Revolving credit facility, availability       3,280      
Line of Credit [Member] | Revolving Credit Facility [Member] | Maturing 2023 [Member]              
Total Debt [Abstract]              
Revolving credit facility, availability       220      
Senior Notes [Member]              
Total Debt [Abstract]              
Debt, principal       1,115      
Net gain (loss) on exchanges and early extinguishment of debt       32      
Net Adjustments       5      
Extinguishment of Debt, Amount       1,110      
Tender Value       1,142      
Senior Notes [Member] | Senior Notes due 2021, 4.00%              
Total Debt [Abstract]              
Debt, principal       40      
Net gain (loss) on exchanges and early extinguishment of debt       2      
Net Adjustments       0      
Extinguishment of Debt, Amount       40      
Tender Value       42      
Senior Notes [Member] | 3.55% Senior Notes Due 2022 [Member]              
Total Debt [Abstract]              
Debt, principal       1,075      
Net gain (loss) on exchanges and early extinguishment of debt       30      
Net Adjustments       5      
Extinguishment of Debt, Amount       1,070      
Tender Value       1,100      
Senior Notes [Member] | FCX [Member]              
Total Debt [Abstract]              
Long-term Debt and Lease Obligation, Including Current Maturities       8,773     8,602
Debentures [Member] | Freeport McMoRan Corporation [Member]              
Total Debt [Abstract]              
Long-term Debt and Lease Obligation, Including Current Maturities       357     357
Other Debt, Including Capital Leases and Short Term Borrowings [Member]              
Total Debt [Abstract]              
Debt             $ 41
Long-term Debt and Lease Obligation, Including Current Maturities       $ 118      
Subsequent event | Senior Notes due 2021, 4.00%              
Total Debt [Abstract]              
Stated interest rate           4.00%  
Subsequent event | Senior Notes [Member] | Senior Notes due 2021, 4.00%              
Total Debt [Abstract]              
Extinguishment of Debt, Amount   $ 154          
Forecast              
Total Debt [Abstract]              
Net gain (loss) on exchanges and early extinguishment of debt     $ (9)        
v3.20.1
Financial Instruments (Unrealized gains losses) (Details)
oz in Thousands, lb in Millions, $ in Millions
 1 Months Ended 3 Months Ended
Apr. 30, 2020
lb
$ / lb
Mar. 31, 2020
USD ($)
lb
oz
$ / lb
$ / lb
$ / oz
Mar. 31, 2019
USD ($)
Not Designated as Hedging Instrument [Member] | Amounts recorded in Sales [Member]      
Realized gains (losses):      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net | $   $ (231) $ 120
Commodity Contract [Member]      
Unrealized gains (losses):      
Derivative financial instruments | $   (33) 18
Hedged item – firm sales commitments | $   33 (18)
Realized gains (losses):      
Matured derivative financial instruments | $   $ (9) 2
Commodity Contract [Member] | Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb   84  
Derivative, Average Forward Price | $ / lb   2.56  
Copper Forward Contracts [Member] | Not Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb   34  
Derivative, Average Forward Price | $ / lb   2.35  
Copper Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | Amounts recorded in Cost of Sales      
Realized gains (losses):      
Matured derivative financial instruments | $   $ 24 1
Copper | Not Designated as Hedging Instrument [Member] | Amounts recorded in Sales [Member]      
Realized gains (losses):      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net | $   $ (238) 122
Copper | Short [Member] | Embedded Derivative Financial Instruments [Member] | Not Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb   333  
Derivative, Average Forward Price | $ / lb   2.59  
Realized gains (losses):      
Derivative Average Market Price | $ / lb   2.24  
Copper | Long [Member] | Embedded Derivative Financial Instruments [Member] | Not Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb   87  
Derivative, Average Forward Price | $ / lb   2.58  
Realized gains (losses):      
Derivative Average Market Price | $ / lb   2.24  
Gold | Short [Member] | Embedded Derivative Financial Instruments [Member] | Not Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | oz   92  
Derivative, Average Forward Price | $ / oz   1,601  
Realized gains (losses):      
Derivative Average Market Price | $ / oz   1,614  
gold and other | Not Designated as Hedging Instrument [Member] | Amounts recorded in Sales [Member]      
Realized gains (losses):      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net | $   $ 7 $ (2)
Subsequent event | Copper Forward Contracts [Member] | Designated as Hedging Instrument [Member]      
Derivative Instruments, Gain (Loss) [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb 150    
Derivative, Average Forward Price | $ / lb 2.34    
v3.20.1
Financial Instruments (Unsettled Derivatives) (Details)
oz in Thousands, lb in Millions, $ in Millions
 3 Months Ended
Mar. 31, 2020
USD ($)
lb
oz
$ / lb
$ / lb
$ / oz
Mar. 31, 2019
USD ($)
Dec. 31, 2019
USD ($)
Derivatives, Fair Value [Line Items]      
Derivative Asset, Fair Value, Gross Asset $ 38   $ 74
Derivative Liability, Fair Value, Gross Liability 147   21
Derivative Asset, Fair Value, Gross Liability 2   0
Derivative Liability, Fair Value, Gross Asset 2   0
Derivative Asset 36   74
Derivative Liability 145   21
Trade accounts receivable [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Asset 13   66
Derivative Liability 54   0
Accounts Payable and Accrued Liabilities      
Derivatives, Fair Value [Line Items]      
Derivative Asset 20   2
Derivative Liability 91   21
Other Current Assets [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Asset 3   6
Derivative Liability 0   0
Commodity Contract [Member]      
Derivatives, Fair Value [Line Items]      
Derivative, Gain (Loss) on Derivative, Net (9) $ 2  
Derivative Asset, Fair Value, Gross Asset 4   6
Derivative Liability, Fair Value, Gross Liability 28   1
Derivative Asset, Fair Value, Gross Liability 1   0
Derivative Liability, Fair Value, Gross Asset 1   0
Derivative Asset 3   6
Derivative Liability 27   1
Embedded Derivative Financial Instruments [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Asset, Fair Value, Gross Asset 34   68
Derivative Liability, Fair Value, Gross Liability 119   20
Derivative Asset, Fair Value, Gross Liability 1   0
Derivative Liability, Fair Value, Gross Asset 1   0
Derivative Asset 33   68
Derivative Liability 118   20
Designated as Hedging Instrument [Member] | Commodity Contract [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Asset, Fair Value, Gross Asset $ 4   6
Derivative, Nonmonetary Notional Amount, Mass | lb 84    
Derivative, Average Forward Price | $ / lb 2.56    
Not Designated as Hedging Instrument [Member] | Embedded Derivative Financial Instruments [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Asset, Fair Value, Gross Asset $ 34   68
Derivative Liability, Fair Value, Gross Liability $ 119   20
Not Designated as Hedging Instrument [Member] | Forward Contracts [Member]      
Derivatives, Fair Value [Line Items]      
Derivative, Nonmonetary Notional Amount, Mass | lb 34    
Derivative, Average Forward Price | $ / lb 2.35    
Future [Member] | Not Designated as Hedging Instrument [Member] | FMC's Copper Futures and Swap Contracts [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Liability, Fair Value, Gross Liability $ 28   0
Commodity Contract [Member] | Not Designated as Hedging Instrument [Member] | Forward Contracts [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Liability, Fair Value, Gross Liability $ 0   $ 1
Copper | Short [Member] | Not Designated as Hedging Instrument [Member] | Embedded Derivative Financial Instruments [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Average Market Price | $ / lb 2.24    
Derivative, Nonmonetary Notional Amount, Mass | lb 333    
Derivative, Average Forward Price | $ / lb 2.59    
Copper | Long [Member] | Not Designated as Hedging Instrument [Member] | Embedded Derivative Financial Instruments [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Average Market Price | $ / lb 2.24    
Derivative, Nonmonetary Notional Amount, Mass | lb 87    
Derivative, Average Forward Price | $ / lb 2.58    
Gold | Short [Member] | Not Designated as Hedging Instrument [Member] | Embedded Derivative Financial Instruments [Member]      
Derivatives, Fair Value [Line Items]      
Derivative Average Market Price | $ / oz 1,614    
Derivative, Nonmonetary Notional Amount, Mass | oz 92    
Derivative, Average Forward Price | $ / oz 1,601    
Sales [Member] | Not Designated as Hedging Instrument [Member]      
Derivatives, Fair Value [Line Items]      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net $ (231) 120  
Sales [Member] | Copper | Not Designated as Hedging Instrument [Member]      
Derivatives, Fair Value [Line Items]      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net (238) 122  
Sales [Member] | gold and other | Not Designated as Hedging Instrument [Member]      
Derivatives, Fair Value [Line Items]      
Embedded Derivative, Gain (Loss) on Embedded Derivative, Net 7 (2)  
Cost of Sales [Member] | Not Designated as Hedging Instrument [Member] | Forward Contracts [Member]      
Derivatives, Fair Value [Line Items]      
Derivative, Gain (Loss) on Derivative, Net $ 24 $ 1  
v3.20.1
Financial Instruments (Derivative) (Details) - USD ($)
$ in Millions
Mar. 31, 2020
Dec. 31, 2019
Mar. 31, 2019
Dec. 31, 2018
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents $ 1,602 $ 2,020    
Restricted Cash and Cash Equivalents, Current 113 100    
Restricted Cash and Cash Equivalents, Noncurrent 152 158    
Total cash, cash equivalents, restricted cash and restricted cash equivalents presented in the consolidated statements of cash flows 1,867 2,278 $ 3,112 $ 4,455
Credit Derivative, Maximum Exposure, Undiscounted 34      
Bank Time Deposits [Member]        
Cash and Cash Equivalents [Line Items]        
Cash and cash equivalents $ 400 $ 1,300    
v3.20.1
Fair Value Measurement (Fair Value Measurement Inputs) (Details)
$ in Millions
 3 Months Ended 12 Months Ended
Mar. 31, 2020
USD ($)
Mar. 31, 2019
USD ($)
Dec. 31, 2020
USD ($)
Dec. 31, 2019
USD ($)
Dec. 31, 2018
$ / bbl
Dec. 31, 2016
USD ($)
$ / bbl
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Other Assets, Current $ 795     $ 655    
Other assets 1,691     1,885    
Proceeds from Sale of Other Assets, contingent consideration 66 $ 84        
Derivative Liability, Fair Value, Gross Liability 147     21    
Investment securities (current and long-term):            
Marketable Securities 0          
Derivatives:            
Derivative Asset 36     74    
Derivatives: [Abstract]            
Derivative Liability 145     21    
Fair Value Measured at Net Asset Value Per Share [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 0     0    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 28     27    
Trust Assets Fair Value Disclosure 60     59    
Derivatives:            
Derivative Asset 0     0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Long-term debt, including current portion 0     0    
Level 1            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 0     0    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 3     4    
Trust Assets Fair Value Disclosure 8     3    
Derivatives:            
Derivative Asset 1     5    
Derivatives: [Abstract]            
Derivative Liability (25)     0    
Long-term debt, including current portion 0     0    
Level 2            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 0     0    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 0     0    
Trust Assets Fair Value Disclosure 132     134    
Derivatives:            
Derivative Asset 37     80    
Derivatives: [Abstract]            
Derivative Liability (122)     21    
Long-term debt, including current portion 9,530     10,239    
Level 3            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 78     108    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 0     0    
Trust Assets Fair Value Disclosure 0     0    
Derivatives:            
Derivative Asset 0     0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Long-term debt, including current portion 0     0    
Estimate of Fair Value Measurement [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 78     108    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 31     31    
Trust Assets Fair Value Disclosure 200     196    
Derivatives:            
Derivative Asset 38     85    
Derivatives: [Abstract]            
Derivative Liability (147)     21    
Long-term debt, including current portion 9,530     10,239    
Carrying Amount, Fair Value Disclosure [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Discontinued Operation, Contingent Receivable 119     122    
Investment securities (current and long-term):            
Investments, Fair Value Disclosure 31     31    
Trust Assets Fair Value Disclosure 200     196    
Derivatives:            
Derivative Asset 38     85    
Derivatives: [Abstract]            
Derivative Liability (147)     21    
Long-term debt, including current portion 10,074     9,826    
Embedded Derivative Financial Instruments [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Derivative Liability, Fair Value, Gross Liability 119     20    
Derivatives:            
Derivative Asset 33     68    
Derivatives: [Abstract]            
Derivative Liability 118     20    
Embedded Derivative Financial Instruments [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Derivatives:            
Derivative Asset 0     0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Embedded Derivative Financial Instruments [Member] | Level 1            
Derivatives:            
Derivative Asset 0     0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Embedded Derivative Financial Instruments [Member] | Level 2            
Derivatives:            
Derivative Asset 34     68    
Derivatives: [Abstract]            
Derivative Liability (119)     20    
Embedded Derivative Financial Instruments [Member] | Level 3            
Derivatives:            
Derivative Asset 0     0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Embedded Derivative Financial Instruments [Member] | Estimate of Fair Value Measurement [Member]            
Derivatives:            
Derivative Asset 34     68    
Derivatives: [Abstract]            
Derivative Liability (119)     20    
Embedded Derivative Financial Instruments [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Derivatives:            
Derivative Asset 34     68    
Derivatives: [Abstract]            
Derivative Liability (119)     20    
Forward Contracts [Member] | Level 1            
Derivatives:            
Derivative Asset 1          
Forward Contracts [Member] | Level 2            
Derivatives:            
Derivative Asset 3          
Forward Contracts [Member] | Level 3            
Derivatives:            
Derivative Asset 0          
Forward Contracts [Member] | Estimate of Fair Value Measurement [Member]            
Derivatives:            
Derivative Asset 4          
Forward Contracts [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Derivatives:            
Derivative Asset 4          
Commodity Contract [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Derivative Liability, Fair Value, Gross Liability 28     1    
Derivatives:            
Derivative Asset 3     6    
Derivatives: [Abstract]            
Derivative Liability 27     1    
Commodity Contract [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Derivatives: [Abstract]            
Derivative Liability 0     0    
Commodity Contract [Member] | Level 1            
Derivatives:            
Derivative Asset       5    
Derivatives: [Abstract]            
Derivative Liability (25)     0    
Commodity Contract [Member] | Level 2            
Derivatives:            
Derivative Asset       1    
Derivatives: [Abstract]            
Derivative Liability (3)     1    
Commodity Contract [Member] | Level 3            
Derivatives:            
Derivative Asset       0    
Derivatives: [Abstract]            
Derivative Liability 0     0    
Commodity Contract [Member] | Estimate of Fair Value Measurement [Member]            
Derivatives:            
Derivative Asset       6    
Derivatives: [Abstract]            
Derivative Liability (28)     1    
Commodity Contract [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Derivatives:            
Derivative Asset       6    
Derivatives: [Abstract]            
Derivative Liability (28)     1    
Africa and onshore California [Member] | Commodity Contract [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Derivatives:            
Derivative Asset       0    
Africa and onshore California [Member] | Commodity Contract [Member] | Level 1            
Derivatives:            
Derivative Asset       0    
Africa and onshore California [Member] | Commodity Contract [Member] | Level 2            
Derivatives:            
Derivative Asset       11    
Africa and onshore California [Member] | Commodity Contract [Member] | Level 3            
Derivatives:            
Derivative Asset       0    
Africa and onshore California [Member] | Commodity Contract [Member] | Estimate of Fair Value Measurement [Member]            
Derivatives:            
Derivative Asset       11    
Africa and onshore California [Member] | Commodity Contract [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Derivatives:            
Derivative Asset       11    
U.S. core fixed income fund [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Marketable Securities 28     27    
Trust Assets Fair Value Disclosure 60     59    
U.S. core fixed income fund [Member] | Level 1            
Investment securities (current and long-term):            
Marketable Securities 0     0    
Trust Assets Fair Value Disclosure 0     0    
U.S. core fixed income fund [Member] | Level 2            
Investment securities (current and long-term):            
Marketable Securities 0     0    
Trust Assets Fair Value Disclosure 0     0    
U.S. core fixed income fund [Member] | Level 3            
Investment securities (current and long-term):            
Marketable Securities 0     0    
Trust Assets Fair Value Disclosure 0     0    
U.S. core fixed income fund [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Marketable Securities 28     27    
Trust Assets Fair Value Disclosure 60     59    
U.S. core fixed income fund [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Marketable Securities 28     27    
Trust Assets Fair Value Disclosure 60     59    
Equity securities | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Marketable Securities       0    
Equity securities | Level 1            
Investment securities (current and long-term):            
Marketable Securities 3     4    
Equity securities | Level 2            
Investment securities (current and long-term):            
Marketable Securities 0     0    
Equity securities | Level 3            
Investment securities (current and long-term):            
Marketable Securities 0     0    
Equity securities | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Marketable Securities 3     4    
Equity securities | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Marketable Securities 3     4    
Government bonds | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government bonds | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government bonds | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 22     36    
Government bonds | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government bonds | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 22     36    
Government bonds | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 22     36    
Corporate bonds [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Corporate bonds [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Corporate bonds [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 39     33    
Corporate bonds [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Corporate bonds [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 39     33    
Corporate bonds [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 39     33    
Government mortgage-backed securities [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government mortgage-backed securities [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government mortgage-backed securities [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 55     43    
Government mortgage-backed securities [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Government mortgage-backed securities [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 55     43    
Government mortgage-backed securities [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 55     43    
Asset-backed securities [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Asset-backed securities [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Asset-backed securities [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 11     14    
Asset-backed securities [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Asset-backed securities [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 11     14    
Asset-backed securities [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 11     14    
Money market funds [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Money market funds [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 8     3    
Money market funds [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Money market funds [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Money market funds [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 8     3    
Money market funds [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 8     3    
Collateralized Mortgage Backed Securities [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Collateralized Mortgage Backed Securities [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Collateralized Mortgage Backed Securities [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 4     7    
Collateralized Mortgage Backed Securities [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Collateralized Mortgage Backed Securities [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 4     7    
Collateralized Mortgage Backed Securities [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 4     7    
Municipal bonds [Member] | Fair Value Measured at Net Asset Value Per Share [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Municipal bonds [Member] | Level 1            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Municipal bonds [Member] | Level 2            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 1     1    
Municipal bonds [Member] | Level 3            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 0     0    
Municipal bonds [Member] | Estimate of Fair Value Measurement [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 1     1    
Municipal bonds [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Investment securities (current and long-term):            
Trust Assets Fair Value Disclosure 1     1    
Bank Time Deposits [Member] | Carrying Amount, Fair Value Disclosure [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Other Assets, Current 113     100    
Other assets 151     157    
Not Designated as Hedging Instrument [Member] | Embedded Derivative Financial Instruments [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Derivative Liability, Fair Value, Gross Liability 119     20    
Freeport-McMoRan Oil & Gas | Onshore California [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Other assets 0     11    
Discontinued Operation, Contingent Receivable           $ 150
Proceeds from Sale of Other Assets, contingent consideration   $ 50        
Derivatives:            
Discontinued Operation, Contingent Receivable, Per Year 50          
Freeport-McMoRan Oil & Gas | Deepwater Gulf of Mexico Interests [Member]            
Fair Value, Assets and Liabilities Measured on Recurring Basis, Financial Statement Captions [Line Items]            
Other Assets, Current 18          
Other assets 101     $ 104    
Discontinued Operation, Contingent Receivable           $ 150
Forecast | Freeport-McMoRan Oil & Gas | Onshore California [Member]            
Derivatives:            
Discontinued Operation, Contingent Receivable, Per Year     $ 50      
Crude Oil [Member] | Freeport-McMoRan Oil & Gas | Onshore California [Member]            
Derivatives:            
Contingent consideration, reference threshold (in us dollars per pound) | $ / bbl         70 70
Fair Value, Recurring [Member] | Forward Contracts [Member] | Estimate of Fair Value Measurement [Member]            
Derivatives:            
Derivative Asset $ 0          
v3.20.1
Fair Value Measurement (Unobservable inputs) (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Dec. 31, 2019
Dec. 31, 2016
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Other Assets, Current $ 795 $ 655  
Other Assets, Noncurrent 1,691 1,885  
Gulf of Mexico Contingent Consideration [Member]      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Settlements (3)    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]      
Fair value at January 1, 2020 108    
Net unrealized loss related to assets still held at the end of the period (27)    
Fair value at March 31, 2020 78    
Onshore California [Member] | Freeport-McMoRan Oil & Gas      
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]      
Contingent Receivable     $ 150
Other Assets, Noncurrent $ 0 $ 11  
v3.20.1
Contingencies and Commitments (Unaudited) - Litigation (Details)
$ in Millions
 1 Months Ended
Oct. 31, 2019
USD ($)
Sep. 30, 2019
case
Mar. 13, 2019
USD ($)
Settled litigation | Louisiana Parishes Coastal Erosion Cases | FCX affiliates      
Loss Contingencies [Line Items]      
Loss Contingency, Pending Claims, Number | case   13  
Litigation settlement, agreed to pay, initial payment $ 15    
Pending litigation | Asbestos contamination in talc-based personal care products | Asbestos contamination | Johnson & Johnson and Cyprus Mines      
Loss Contingencies [Line Items]      
Loss contingency, estimate of possible loss     $ 29
Pending litigation | Asbestos contamination in talc-based personal care products | Asbestos contamination | Cyprus Mines      
Loss Contingencies [Line Items]      
Loss contingency, estimate of possible loss     $ 2
v3.20.1
Contingencies and Commitments (Unaudited) - Tax and Other Matters (Details)
Mar. 31, 2020
PT Freeport Indonesia | PT Smelting  
Loss Contingencies [Line Items]  
Investment owned, percent 25.00%
v3.20.1
Business Segments (Product Revenue) (Details) - USD ($)
$ in Millions
 3 Months Ended
Mar. 31, 2020
Mar. 31, 2019
Revenue from External Customer [Line Items]    
Treatment And Refining Charges Included In Copper Concentrates Revenues $ (80) $ (105)
Royalty Expense (20) (30)
Export duties expense (4) (17)
Revenue from Contract with Customer, Excluding Assessed Tax 3,029 3,672
Revenues 2,798 3,792
Sales [Member] | Not Designated as Hedging Instrument [Member]    
Revenue from External Customer [Line Items]    
Matured derivative financial instruments (231) 120
Copper In Concentrates [Member]    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 849 1,165
Copper Cathode [Member]    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 837 859
Refined Copper Products [Member]    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 542 507
Purchased Copper [Member]    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 235 337
Gold    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 270 391
Molybdenum    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax 243 288
Other Products Or Services [Member]    
Revenue from External Customer [Line Items]    
Revenue from Contract with Customer, Including Assessed Tax $ 157 $ 277
v3.20.1
Business Segments (Segment Reporting) (Details)
$ in Millions
 3 Months Ended
Mar. 31, 2020
USD ($)
segment
Mar. 31, 2019
USD ($)
Dec. 31, 2019
USD ($)
Segment Reporting Information [Line Items]      
Number of Operating Segments | segment 4    
Deferred Intercompany Profit, Percentage 25.00%    
Revenues $ 2,798 $ 3,792  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (2,545) (2,919)  
Cost, Depreciation, Amortization and Depletion 341 347  
Metals inventory adjustments 222 57  
Selling, general and administrative expenses (110) (112)  
Mining exploration and research expenses 16 27  
Environmental obligations and shutdown costs 26 42  
Net gain on sales of assets 11 (33)  
Operating (loss) income (473) 321  
Interest expense, net 127 146  
Provision for (benefit from) income taxes (60) 105  
Total assets 40,219 41,059 $ 40,809
Capital expenditures 610 622  
Operating Segments | North America      
Segment Reporting Information [Line Items]      
Revenues 9 107  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (860) (743)  
Cost, Depreciation, Amortization and Depletion 92 83  
Metals inventory adjustments 145 0  
Selling, general and administrative expenses (1) (2)  
Mining exploration and research expenses 1 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (114) 206  
Interest expense, net 1 1  
Provision for (benefit from) income taxes 0 0  
Total assets 7,907 7,664  
Capital expenditures 184 210  
Operating Segments | South America      
Segment Reporting Information [Line Items]      
Revenues 474 825  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (534) (539)  
Cost, Depreciation, Amortization and Depletion 108 114  
Metals inventory adjustments 60 0  
Selling, general and administrative expenses (2) (2)  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (192) 296  
Interest expense, net 28 29  
Provision for (benefit from) income taxes (78) 105  
Total assets 10,126 10,394  
Capital expenditures 74 61  
Corporate And Eliminations      
Segment Reporting Information [Line Items]      
Revenues 326 456  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) 788 675  
Cost, Depreciation, Amortization and Depletion 15 20  
Metals inventory adjustments 13 57  
Selling, general and administrative expenses (74) (73)  
Mining exploration and research expenses 15 27  
Environmental obligations and shutdown costs 25 42  
Net gain on sales of assets 11 (33)  
Operating (loss) income (143) (268)  
Interest expense, net 94 110  
Provision for (benefit from) income taxes 6 (27)  
Total assets 2,821 4,421  
Capital expenditures 11 23  
Intersegment      
Segment Reporting Information [Line Items]      
Revenues 0 0  
Intersegment | North America      
Segment Reporting Information [Line Items]      
Revenues 976 927  
Intersegment | South America      
Segment Reporting Information [Line Items]      
Revenues 38 126  
PT Smelting | Affiliated Entity [Member]      
Segment Reporting Information [Line Items]      
Revenues 380 409  
Morenci [Member] | Operating Segments | North America      
Segment Reporting Information [Line Items]      
Revenues 2 12  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (349) (295)  
Cost, Depreciation, Amortization and Depletion 44 40  
Metals inventory adjustments 4 0  
Selling, general and administrative expenses (1) (1)  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income 46 134  
Interest expense, net 1 1  
Provision for (benefit from) income taxes 0 0  
Total assets 2,814 2,904  
Capital expenditures 44 62  
Morenci [Member] | Intersegment | North America      
Segment Reporting Information [Line Items]      
Revenues 442 458  
Bagdad [Member] | Operating Segments | North America      
Segment Reporting Information [Line Items]      
Revenues 0 0  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (126) (120)  
Cost, Depreciation, Amortization and Depletion 14 10  
Metals inventory adjustments 0 0  
Selling, general and administrative expenses 0 0  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income 19 48  
Interest expense, net 0 0  
Provision for (benefit from) income taxes 0 0  
Total assets 800 709  
Capital expenditures 25 25  
Bagdad [Member] | Intersegment | North America      
Segment Reporting Information [Line Items]      
Revenues 159 178  
Other Mines North America Copper Mines Segment [Member] | Operating Segments | North America      
Segment Reporting Information [Line Items]      
Metals inventory adjustments   0  
Other Individually Immaterial Operating Segments [Member] | Operating Segments | North America      
Segment Reporting Information [Line Items]      
Revenues 7 95  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (385) (328)  
Cost, Depreciation, Amortization and Depletion 34 33  
Metals inventory adjustments 141    
Selling, general and administrative expenses 0 (1)  
Mining exploration and research expenses 1 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (179) 24  
Interest expense, net 0 0  
Provision for (benefit from) income taxes 0 0  
Total assets 4,293 4,051  
Capital expenditures 115 123  
Other Individually Immaterial Operating Segments [Member] | Operating Segments | South America      
Segment Reporting Information [Line Items]      
Revenues 98 98  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (110) (100)  
Cost, Depreciation, Amortization and Depletion 15 14  
Metals inventory adjustments 60 0  
Selling, general and administrative expenses 0 0  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (87) (16)  
Interest expense, net 0 0  
Provision for (benefit from) income taxes (26) (5)  
Total assets 1,655 1,720  
Capital expenditures 15 5  
Other Individually Immaterial Operating Segments [Member] | Intersegment | North America      
Segment Reporting Information [Line Items]      
Revenues 375 291  
Other Individually Immaterial Operating Segments [Member] | Intersegment | South America      
Segment Reporting Information [Line Items]      
Revenues 0 0  
Cerro Verde [Member] | Operating Segments | South America      
Segment Reporting Information [Line Items]      
Revenues 376 727  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (424) (439)  
Cost, Depreciation, Amortization and Depletion 93 100  
Metals inventory adjustments 0 0  
Selling, general and administrative expenses (2) (2)  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (105) 312  
Interest expense, net 28 29  
Provision for (benefit from) income taxes (52) 110  
Total assets 8,471 8,674  
Capital expenditures 59 56  
Cerro Verde [Member] | Intersegment | South America      
Segment Reporting Information [Line Items]      
Revenues 38 126  
Grasberg Segment [Member]      
Segment Reporting Information [Line Items]      
Capital expenditures 326 319  
Grasberg Segment [Member] | Operating Segments | Indonesia      
Segment Reporting Information [Line Items]      
Revenues 445 705  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (343) (556)  
Cost, Depreciation, Amortization and Depletion 101 105  
Metals inventory adjustments 0 0  
Selling, general and administrative expenses (28) (30)  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (27) 72  
Interest expense, net 1 0  
Provision for (benefit from) income taxes 12 26  
Total assets 16,711 15,792  
Capital expenditures 326 319  
Grasberg Segment [Member] | Intersegment | Indonesia      
Segment Reporting Information [Line Items]      
Revenues 0 58  
Molybdenum      
Segment Reporting Information [Line Items]      
Capital expenditures 7 4  
Molybdenum | Operating Segments      
Segment Reporting Information [Line Items]      
Revenues 0 0  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (66) (71)  
Cost, Depreciation, Amortization and Depletion 16 16  
Metals inventory adjustments 4 0  
Selling, general and administrative expenses 0 0  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income (15) 4  
Interest expense, net 0 0  
Provision for (benefit from) income taxes 0 0  
Total assets 1,788 1,785  
Capital expenditures 7 4  
Molybdenum | Intersegment      
Segment Reporting Information [Line Items]      
Revenues 71 91  
Rod and Refining Segment [Member] | Operating Segments      
Segment Reporting Information [Line Items]      
Revenues 1,115 1,128  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (1,119) (1,133)  
Cost, Depreciation, Amortization and Depletion 2 2  
Metals inventory adjustments 0 0  
Selling, general and administrative expenses 0 0  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 1 0  
Net gain on sales of assets 0 0  
Operating (loss) income 1 (1)  
Interest expense, net 0 0  
Provision for (benefit from) income taxes 0 0  
Total assets 231 232  
Capital expenditures 2 1  
Rod and Refining Segment [Member] | Intersegment      
Segment Reporting Information [Line Items]      
Revenues 8 6  
Atlantic Copper Smelting and Refining Segment [Member] | Operating Segments      
Segment Reporting Information [Line Items]      
Revenues 429 571  
Cost of Goods Sold, Excluding Depreciation, Depletion, and Amortization (Deprecated 2019-01-31) (411) (552)  
Cost, Depreciation, Amortization and Depletion 7 7  
Metals inventory adjustments 0 0  
Selling, general and administrative expenses (5) (5)  
Mining exploration and research expenses 0 0  
Environmental obligations and shutdown costs 0 0  
Net gain on sales of assets 0 0  
Operating (loss) income 17 12  
Interest expense, net 3 6  
Provision for (benefit from) income taxes 0 1  
Total assets 635 771  
Capital expenditures 6 4  
Atlantic Copper Smelting and Refining Segment [Member] | Intersegment      
Segment Reporting Information [Line Items]      
Revenues 11 5  
Corporate And Eliminations | Intersegment      
Segment Reporting Information [Line Items]      
Revenues $ (1,104) $ (1,213)