費利浦·麥克莫蘭銅金 (FCX) 2017 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the

女士們、先生們，感謝你們的支持。歡迎來到

Freeport-McMoRan Third Quarter Earnings Conference Call. (Operator Instructions)

自由港麥克莫蘭公司第三季財報電話會議。（操作員指令）

I would now like to turn the conference over to Ms. Kathleen Quirk, Executive Vice President and Chief Financial Officer. Please go ahead, ma'am.

現在，我想將會議交給執行副總裁兼財務長凱瑟琳·奎克女士。請繼續，女士。

Thank you, and good morning, everyone. Welcome to the Freeport-McMoRan Third Quarter 2017 Earnings Conference Call. Our results were released earlier this morning, and a copy of the press release and slides for today's call are available on our website at fcx.com. Our conference call today is being broadcast live on the Internet, and anyone may listen to the call by accessing our website home page and clicking on the webcast link for the call. In addition to analysts and investors, the financial press has been invited to listen to today's call, and a replay of the webcast will be available on our website later today.

謝謝大家，早安。歡迎參加自由港麥克莫蘭公司 2017 年第三季財報電話會議。我們的結果已於今天早上公佈，今天電話會議的新聞稿和幻燈片副本可在我們的網站 fcx.com 上找到。我們今天的電話會議正在網路上現場直播，任何人都可以透過造訪我們的網站主頁並點擊網路直播連結來收聽電話會議。除了分析師和投資者之外，我們還邀請了財經媒體來收聽今天的電話會議，網路直播的重播將於今天晚些時候在我們的網站上提供。

Before we begin our comments, we'd like to remind everyone that today's press release and certain of our comments on the call include forward-looking statements, and actual results may differ materially. We'd like to refer everyone to the cautionary language included in our press release and presentation materials and to the risk factors described in our 2016 Form 10-K and subsequent SEC filings.

在我們開始評論之前，我們想提醒大家，今天的新聞稿和我們在電話會議上的某些評論包括前瞻性陳述，實際結果可能存在重大差異。我們希望大家參閱我們新聞稿和簡報資料中的警示語言以及我們2016年10-K表和隨後的SEC文件中所述的風險因素。

On the call today are Richard Adkerson, Red Conger, Mark Johnson and Mike Kendrick. I'll start by briefly summarizing our financial results, and then I'll turn the call over to Richard, who will review our recent performance and outlook and will be using the prepared slide materials that are on our website. As usual, after our prepared remarks, we'll open up the call for questions.

今天參加電話會議的有 Richard Adkerson、Red Conger、Mark Johnson 和 Mike Kendrick。我將首先簡要總結我們的財務業績，然後將電話轉給理查德，他將使用我們網站上準備好的幻燈片材料來回顧我們最近的表現和前景。像往常一樣，在我們準備好發言之後，我們將開始提問。

Today, FCX reported net income attributable to common stock of $280 million or $0.19 per share for the third quarter of 2017. The third quarter results include net charges of $212 million or $0.15 per share for nonrecurring net charges that are detailed on VII of the press release, which include a $188 million charge or $0.13 per share associated with accruals for Peruvian government claims associated with disputed royalty matters and $64 million or $0.04 a share charge for adjustments to environmental reserves. After adjusting for these net charges, third quarter 2017 adjusted net income attributable to common stock totaled $492 million or $0.34 per share.

今天，FCX 公佈 2017 年第三季歸屬於普通股的淨利潤為 2.8 億美元，即每股 0.19 美元。第三季業績包括2.12億美元或每股0.15美元的非經常性淨費用，這些費用在新聞稿第七部分有詳細說明，其中包括與有爭議的特許權使用費事宜相關的秘魯政府索賠應計費用1.88億美元或每股0.13美元，以及環境儲備調整費用6,400萬美元或每股0.04美元。調整這些淨費用後，2017 年第三季調整後歸屬於普通股的淨收入總計 4.92 億美元，即每股 0.34 美元。

Our adjusted earnings before interest, taxes and depreciation, or EBITDA, for the quarter totaled $1.6 billion. We've got a reconciliation of our EBITDA calculation on the last page of our slide deck.

本季度，我們的調整後息稅折舊攤提前利潤（EBITDA）總計 16 億美元。我們在幻燈片的最後一頁對 EBITDA 計算進行了對帳。

For the third quarter of 2017, we sold consolidated copper sales of 932 million pounds, 355,000 ounces of gold and 22 million pounds of molybdenum. Our average realized price for the third quarter was $2.94 per pound. That was 34% above the year-ago quarter of $2.19 per pound. Our gold price averaged $1,290 per ounce. That was slightly below the year-ago period average of $1,327 per ounce. Average net unit cash costs for the quarter were $1.21 per pound. Those were slightly higher than the year-ago period of $1.14 per pound, primarily reflecting lower copper sales volumes.

2017 年第三季度，我們的綜合銅銷量為 9.32 億磅、黃金 355,000 盎司和鉬 2,200 萬磅。我們第三季的平均實現價格為每磅 2.94 美元。這比去年同期的每磅 2.19 美元高出 34%。我們的黃金價格平均為每盎司 1,290 美元。這略低於去年同期每盎司 1,327 美元的平均價格。本季平均單位淨現金成本為每磅 1.21 美元。該價格略高於去年同期的每磅 1.14 美元，主要反映銅銷量下降。

We generated strong operating cash flows during the quarter, which totaled $1.2 billion, and those exceeded our capital expenditures of $308 million during the quarter. We ended the quarter at September 30 with consolidated cash of $5 billion and consolidated debt totaling $14.8 billion. We had no borrowings under our $3.5 billion revolving credit facility at September 30 and a strong liquidity position.

我們在本季產生了強勁的營運現金流，總計 12 億美元，超過了本季 3.08 億美元的資本支出。截至 9 月 30 日，我們的季末綜合現金為 50 億美元，綜合債務總額為 148 億美元。截至 9 月 30 日，我們在 35 億美元循環信貸額度下沒有任何借款，且流動性狀況良好。

I'd now like to turn the call over to Richard, who will provide additional details on our results, operations and outlook

現在我想把電話轉給理查德，他將提供有關我們的業績、運營和前景的更多詳細信息

Thank you all for joining us on our call. Kathleen and I are speaking to you from Jakarta, where we've made a series of trips this year to work with the Indonesian government on reaching a resolution of our issues involving our contract.

感謝大家參加我們的電話會議。凱瑟琳和我正在雅加達向你們發表講話，今年我們曾多次造訪雅加達，與印尼政府合作解決我們合約中的問題。

Our quarterly results, I believe, clearly show the strength of our company. During the third quarter, we had strong cash flows generated by our operations, which were characterized by very long-lived assets. We have significant growth optionality that I'll be speaking about during our call today. And now we have the ability to consider these in light of our company's improved balance sheet and the improved copper market conditions. This will enable us to consider future actions to build incremental shareholder value. We're going to approach this in a very disciplined way, as producers are throughout the industry, but we have assets within our company that allow us to look forward to a period of future investments and future growth.

我相信，我們的季度業績清楚地顯示了我們公司的實力。在第三季度，我們的經營活動產生了強勁的現金流，其特點是資產壽命非常長。我們具有顯著的成長選擇性，我將在今天的電話會議中談論這一點。現在，我們可以根據公司改善的資產負債表和改善的銅市場狀況來考慮這些問題。這將使我們能夠考慮未來的行動，以創造增量股東價值。我們將以非常嚴謹的方式來處理這個問題，因為生產商遍布整個行業，但我們公司內部擁有的資產使我們能夠期待未來的投資和未來的成長。

During the quarter, we continued to advance our key 2017 goals. We're focused on safe and efficient operations, building long-term value through our operation of our business, the production of our reserves and focusing on our attractive portfolio of long-term copper assets. And as I mentioned, we are working hard to resolve our long-term rights in Indonesia.

本季度，我們持續推進 2017 年主要目標。我們專注於安全高效的運營，透過業務運營、儲備生產以及專注於我們具有吸引力的長期銅資產組合來創造長期價值。正如我所提到的，我們正在努力解決我們在印尼的長期權利。

During the quarter, we generated almost $900 million of cash flows from operation in excess of our capital expenditures. And for the 9 months to date in 2017, we have approximately $2 billion of cash flows in excess of our capital expenditures.

本季度，我們產生的營運現金流超過資本支出近 9 億美元。2017 年迄今的 9 個月，我們的現金流超過資本支出約 20 億美元。

We are benefiting from the positive copper market that has resulted in higher prices than many expected. The analysts who were predicting the so-called wall of copper have capitulated. We were always skeptical about these looming supplies, but there are just underlying factors in the industry that continue to constrain supplies. There's continued absence of major new projects, declining production from existing mines. Exchange stocks remain historically low. And as we look forward into the future, there are looming significant deficits that will require significant investments to meet to fulfill the global demand for copper, and the prices required to meet that demand are significantly over $3 a pound.

我們受惠於正面的銅市場，銅價高於許多人的預期。那些預測所謂「銅牆」的分析師已經屈服了。我們一直對這些迫在眉睫的供應持懷疑態度，但該行業中確實存在一些潛在因素繼續限制供應。大型新項目持續缺失，現有礦山產量下降。交易所庫存仍處於歷史低點。展望未來，我們將看到迫在眉睫的嚴重短缺，需要進行大量投資才能滿足全球對銅的需求，而滿足該需求所需的價格遠遠超過每磅 3 美元。

What's been a feature of the recent copper market has been positive copper demand globally. Around the world, manufacturing sectors are performing well. Chinese growth is exceeding expectations. And with the recent congress of the Communist Party in China, the outlook for Chinese growth continues to be positive. Growth is continuing in Europe. And U.S. demand is solid with the prospects for future higher growth as the country addresses its tax situation and other regulatory issues that could unleash continued demand within United States.

近期銅市場的一個特點是全球銅需求旺盛。放眼全球，製造業表現良好。中國經濟成長超出預期。隨著中國共產黨最近召開的代表大會，中國經濟成長的前景繼續樂觀。歐洲仍在持續成長。隨著美國解決其稅收狀況和其他監管問題，可能會釋放美國國內持續的需求，因此美國需求穩健，未來成長前景看好。

Wood Mackenzie, one of the industry's analysts, estimates 5 million tons of new copper projects required over the next decade. The top 10 mines in the world today produce less than 5 million tons a year. So that shows the extent of the amount of copper projects that will be required to be developed. As I mentioned, new mines require sustained copper prices of well over $3 a pound. The lead time for developing new projects, which we know all too well, is in the range of 7 to 10 years, and there are very few really world-class opportunities available.

產業分析師伍德麥肯茲估計，未來十年需要新建500萬噸銅計畫。當今世界十大礦山的年產量不足500萬噸。這表明了需要開發的銅項目的數量。正如我所提到的，新礦需要銅價持續保持在每磅 3 美元以上。我們非常清楚，開發新專案的準備時間通常為7至10年，而且真正世界級的機會非常少。

An emerging factor for demand in our industry is the electrification of automobiles. EVs are copper intensive. They consume 3 or more times more copper than traditional petroleum-powered automobiles. And there's very strong potential for this marketplace. The world is now looking for really expanded growth over the next decade. This will translate into significant incremental copper demand. And the prospects are there because of the economic and environment benefits of electric vehicles. This is evolving much quicker than people are currently estimating. This is clearly on an upward trend, and not only automobiles themselves, but the support infrastructure for charging and electrical generation will require copper in significant amounts.

我們產業需求的新興因素是汽車電氣化。電動車需要大量銅。它們消耗的銅比傳統石油動力汽車多3倍或更多。這個市場潛力大。當今世界正在尋求未來十年真正擴大的成長。這將導致銅需求大幅增加。由於電動車具有經濟和環境效益，其前景廣闊。這一進程比人們目前估計的要快得多。這顯然呈上升趨勢，不僅汽車本身，而且充電和發電的支援基礎設施也將需要大量的銅。

We're presenting a slide that we historically presented. I don't think we've used it quite as often recently. But on Slide 6, we show the world's largest mines in terms of reserves and in terms of 2017 estimated production. Our company has 2 of the top 10 in terms of reserves, 3 of the top 10 in terms of current production. But we always point out the -- to note the dates in which these mines were discovered. There simply has not been recent discoveries of world-class mines. And when we look at the opportunities today, they're in the nature of brownfield expansions of existing resources as opposed to looming major new world-class mines being available to the industry. All of this is very positive for market conditions and supports the industry from a supply standpoint in a way that's not typical for commodity producers.

我們正在展示我們以前展示過的幻燈片。我認為我們最近沒有經常使用它。但在第 6 張投影片上，我們展示了世界上最大的礦場（以儲量計算）和 2017 年預計產量。在以儲量排名前十的油氣田中，我公司佔有 2 個，以目前產量排名前十的油氣田中，我公司佔有 3 個。但我們總是指出——要注意發現這些礦山的日期。最近根本沒有發現世界級的礦場。當我們審視當今的機會時，它們本質上是現有資源的棕地擴張，而不是即將為產業提供的大型新的世界級礦場。所有這些對於市場狀況來說都是非常有利的，並且從供應的角度為該行業提供了支持，而這對於商品生產商來說並不常見。

When we look at our company's situation and look at the values that are available to us beyond our existing proved and probable reserves, we have optionality for future development, which will be driven by our assessment of value creation in a disciplined way. But these are substantial additional potential from assets that we already own. We're going to remain disciplined, but these are important to looking forward to what the future of our company can be. In the United States, where we benefit from low energy costs, flexible workforce and improving regulatory environment, we have a very large footprint for large undeveloped sulfide resources. These opportunities are supported by existing infrastructure, which would allow us to make expansions at a series of our mines in a low-risk, high-return environment.

當我們審視公司的狀況並考慮現有已探明和可能儲量之外的可用價值時，我們對未來發展擁有選擇權，這將由我們對價值創造的評估以規範的方式驅動。但這些都是我們已經擁有的資產所擁有的巨大額外潛力。我們將保持紀律，但這些對於展望公司的未來至關重要。在美國，我們受益於低廉的能源成本、靈活的勞動力和不斷改善的監管環境，我們擁有大量未開發的硫化物資源。這些機會得到現有基礎設施的支持，使我們能夠在低風險、高回報的環境中對一系列礦場進行擴建。

In South America, our large resource at our El Abra mine allows us to begin planning for a large-scale mill project to develop the significant sulfide resource we've identified over the last decade. Currently, we're advancing technical studies, and this would be a project that would, in scope, would be similar to our Cerro Verde expansion that we were successfully able to complete and begin production almost 2 years ago. It's -- Cerro Verde has a large footprint, which allows it to continue to produce for many years at high levels and low cost. And this will be true at El Abra. It would be an extensive project because we would need to desalinate seawater and transport it to the altitudes there, but it's a large opportunity for us. It's very attractive in light of the future copper projects. It would be some time before we'll be going to our board for formal approval of this project, but we will continue to evaluate it.

在南美洲，我們 El Abra 礦場擁有豐富的資源，這使得我們可以開始規劃大型工廠項目，以開發我們在過去十年中發現的重要硫化物資源。目前，我們正在推進技術研究，這個項目在範圍上與我們近兩年前成功完成並開始生產的 Cerro Verde 擴建項目類似。塞羅韋爾德 (Cerro Verde) 佔地面積大，這使得它能夠連續多年以高產量和低成本進行生產。在 El Abra 也是如此。這將是一個廣泛的項目，因為我們需要淡化海水並將其運送到那裡的高海拔地區，但這對我們來說是一個巨大的機會。從未來的銅項目來看，它非常有吸引力。我們還需要一段時間才能向董事會正式批准該項目，但我們將繼續評估它。

We had a discovery in Serbia where we farmed out an upper zone to allow a smaller company to develop that. In connection with that development, there continues to be drilling to the lower zone, which is a large high-grade, early-stage opportunity where we have a significant interest. And that has the opportunity to develop into a world-class mine. The Grasberg district in Indonesia, beyond its very large proved and probable reserves, has significant mineralized material that we will continue to evaluate and bring into our mine plans as we go forward as economics justify.

我們在塞爾維亞發現了一個新發現，我們將一個上部區域外包給一家規模較小的公司來開發。與該開發案相關，我們繼續在下部區域進行鑽探，這是一個巨大的高品位早期機遇，我們對此有很大的興趣。而且它有機會發展成為世界級的礦場。印尼的格拉斯伯格地區除了擁有非常大的已探明和可能儲量外，還擁有大量礦化材料，我們將在經濟合理的情況下繼續評估這些材料並將其納入我們的礦山計劃。

In Africa where we sold our Tenke Fungurume mine last year, we retained an exploration project that was nearby called Kisanfu. It is, we believe, the largest undeveloped cobalt deposit in the world. It has been drilled, permitted. And we are considering it either as a standalone project or to be built in through process for nearby operations. So we have this great portfolio.

在非洲，我們去年出售了Tenke Fungurume礦，並保留了附近一個名為Kisanfu的勘探計畫。我們相信，這是世界上最大的未開發鈷礦床。已經鑽孔並獲準。我們正在考慮將其作為獨立專案或透過附近的營運流程進行建構。所以我們有這個出色的產品組合。

In the Americas where we currently operate 7 open pit copper mines in the United States, along with 2 pure molybdenum mines in Colorado, we have 2 large-scale mines in South America. This is a really high-quality portfolio of assets. They currently have strong operating performance. We sold 674 million pounds of copper in the third quarter. The Cerro Verde concentrator averaged 379,000 tonnes per day. It's really amazing volume for this concentrator. Along with Escondida's concentrator, they are the 2 largest in the world. We're continuing to focus on maintaining our cost position and managing CapEx, but as I mentioned, we're advancing studies for future growth and looking at this opportunity that we have with Cerro Verde in Peru.

在美洲地區，我們目前在美國經營7個露天銅礦，在科羅拉多州經營2個純鉬礦，在南美洲有2個大型礦場。這是一個真正高品質的資產組合。目前它們的經營業績強勁。我們在第三季銷售了 6.74 億磅銅。Cerro Verde 選礦廠平均每日產量為 379,000 噸。這款濃縮器的容量確實令人驚訝。這兩座銅礦與 Escondida 銅礦一起，構成了全球最大的兩座銅礦。我們將繼續專注於維持我們的成本地位和管理資本支出，但正如我所提到的，我們正在推進未來成長的研究，並研究我們在秘魯 Cerro Verde 擁有的這個機會。

In the third quarter, we had $719 million of cash flows above CapEx in the Americas alone. And as we look forward -- and in the 9 months, it was over $2 billion. And so as we look at our business overall for the year, we expect to have roughly 3.75 million (sic) [billion] pounds of copper sales, and roughly 2.7 million (sic) billion pounds of that will come from the operations in the Americas outside of Indonesia. So we've got a great business in Indonesia. But if you look at the operation in the Americas beyond Indonesia, you can see a business that has very substantial values in its own right.

第三季度，光是美洲地區的現金流就超過了資本支出 7.19 億美元。展望未來—過去 9 個月，這一數字已超過 20 億美元。因此，從我們全年整體業務來看，我們預計銅銷售額約為 37.5 億磅，其中約 27 億磅將來自印尼以外美洲地區的業務。所以我們在印尼的業務很好。但如果你看看印尼以外美洲的業務，你會發現這項業務本身就具有非常巨大的價值。

In the Americas with our Bagdad; our operations in New Mexico at our Chino/Cobre mine; the El Abra operation in Chile; the Lone Star/Safford resource that I'll talk about; in Arizona, Morenci, Sierrita, this is a very unique portfolio. It's got 60 million pounds of 2P copper reserves -- billion pounds of 2P will copper reserves that would be developable at $2 copper. And then if you look at the mineralized material at $2.20 copper, you have twice that amount. And looking at all the potential that we have at these mines, you get to a very large 266 billion pounds of copper.

在美洲與我們的巴格達；我們在新墨西哥州奇諾/科布雷礦的運作；智利的 El Abra 業務；我將要討論的 Lone Star/Safford 資源；在亞利桑那、莫倫西、西里塔，這是一個非常獨特的投資組合。它擁有 6000 萬磅 2P 銅儲量——數十億磅 2P 銅儲量，可以 2 美元的銅價進行開發。然後，如果您看看礦化材料的價格，銅的價格為 2.20 美元，那麼這個數量是這個數字的兩倍。看看這些礦場的所有潛力，你會發現銅的儲量高達 2,660 億磅。

So what we have here is a company with very strong current production levels, attractive cost levels, and they're built into our portfolio's future growth levels.

因此，我們所擁有的是一家目前生產水準非常強勁、成本水準具有吸引力的公司，而這些都已納入我們投資組合的未來成長水準。

Lone Star. Okay, so Lone Star is a long-identified resource that lies adjacent to our Safford mine in Eastern Arizona. It's just across the mountains, 17 miles from Morenci. We have 2 aspects to this opportunity. The first is a significant oxide project, which we are proceeding towards utilizing the development of that oxide resource to use our existing infrastructure at the Safford mine, where our oxide resources are being depleted. We have obtained the regulatory permits. This has very low execution risk since we will just be mining the oxide near-surface resource, transporting it to Safford where we'll use existing processing infrastructure. The estimated production is 200 million pounds a year. It's got a 20-year life. The capital costs are estimated at $850 million, which essentially for mine equipment and preproduction stripping. Estimated unit costs would be $1.75 a pound. When we begin, it will take about 3 years to get it in production. It has a $2.40 breakeven price with an 8% return, and then a value of $1 billion or more at current copper prices.

孤星。好的，Lone Star 是一種早已確定的資源，它位於亞利桑那州東部薩福德礦附近。它就在山對面，距離莫倫西 17 英里。我們對這個機會有兩個面向的看法。第一個是重要的氧化物項目，我們正在利用該氧化物資源的開發來使用我們在薩福德礦的現有基礎設施，我們的氧化物資源在那裡正在枯竭。我們已取得監管許可。這項服務的執行風險非常低，因為我們只需開採近地表氧化物資源，然後將其運送到薩福德，在那裡我們將使用現有的處理基礎設施。預計年產量為2億磅。它的壽命有20年。資本成本估計為 8.5 億美元，主要用於礦山設備和預生產剝離。預計單位成本為每磅1.75美元。當我們開始時，大約需要3年的時間才能投入生產。它的盈虧平衡價格為 2.40 美元，回報率為 8%，以當前銅價計算，其價值將達到 10 億美元或更多。

Now besides being a good economic project for itself as an oxide resource, if you turn to Page 14, you can see the schematic that shows that below the oxide cover, there is a very large potential sulfide. And you can see what our drilling to date has identified as a defined ore body, but note that we drilled deeper core holes that continue to find significant mineralization. To date, the resource that we've developed shows a potential for 60 billion pounds of contained copper. And what's happening is this leach project through the oxide that we will be processing will serve not only to generate profits by itself, but also serve to strip out the covered material for the sulfide operation and allow us to consider the development of a concentrator mill to take advantage of the chalcocite/chalcopyrite sulfide resource that lies underneath the oxide cover, a tremendous opportunity.

現在，除了作為氧化物資源本身是一個很好的經濟項目之外，如果你翻到第 14 頁，你可以看到示意圖，顯示在氧化物覆蓋層下面，有一個非常大的潛在硫化物。您可以看到，迄今為止我們的鑽探已確定為特定的礦體，但請注意，我們鑽探了更深的岩心孔，並繼續發現大量礦化物。到目前為止，我們開發的資源顯示含銅潛力達 600 億磅。而目前的情況是，我們將要處理的這個氧化物浸出項目不僅本身能產生利潤，而且還能剝離出硫化物操作所覆蓋的材料，並使我們能夠考慮開發一個濃縮廠，以利用位於氧化物覆蓋層下面的輝銅礦/黃銅礦硫化物資源，這是一個巨大的機遇。

I mentioned El Abra couple of times. It's a large high-quality opportunity. The resource estimate is 2 billion pounds (sic) [tons] of 0.45% copper. Like Cerro Verde, a very large, low-grade deposit that can be developed in a low-risk project. We're advancing technical studies. It would involve a 240,000 ton per day concentrator, which is similar to what we did recently at Cerro Verde. The production would be 750 million pounds a year, 6- to 8-year lead time, including 3 to 4 years of feasibility study and permitting, followed by construction. We are looking at what we did at Cerro Verde, challenging our team to come up with ways of reducing capital and doing this on a very efficient basis. And we'll be keeping you informed as we go forward with these studies. There's a schematic for this ore body that's on Page 13. You can see what, to date, the drilling has identified as a mineralized material pit shell, reserve shell. But also note, we continue to drill at depth and have positive drill results for mineralization that potentially can expand this ore body, another great opportunity.

我多次提到 El Abra。這是一個巨大的優質機會。此資源估計為20億磅（原文如此）[噸]，銅含量為0.45%。就像 Cerro Verde 一樣，這是一個非常大的低品位礦床，可以在低風險專案中進行開發。我們正在推進技術研究。它將涉及一個日產 24 萬噸的濃縮廠，這與我們最近在 Cerro Verde 所做的類似。該項目年產量將達到 7.5 億磅，建設週期為 6 至 8 年，其中包括 3 至 4 年的可行性研究和許可，然後是建設。我們正在回顧在 Cerro Verde 所做的事情，挑戰我們的團隊找到減少資本的方法，並以非常有效的方式做到這一點。我們將隨時向您通報這些研究的進展。第 13 頁上有這個礦體的示意圖。您可以看到，到目前為止，鑽探已確定為礦物質坑殼、儲備殼。但也請注意，我們繼續進行深度鑽探，並獲得了積極的礦化鑽探結果，這可能會擴大該礦體，這是另一個絕佳的機會。

So in Indonesia, at the end of August, after a series of meetings that we've been having during 2017, we, together with the government of Indonesia, announced a framework for an agreement to resolve the dispute that we've been discussing for several years with the government. We are seeking, and the government of Indonesia is seeking, and the President was recently quoted on this, is finding a win-win solution. We've been engaged in discussions on progressing this framework agreement. Both the government and our company are highly motivated to resolve this, to eliminate the uncertainty and bring long-term stability of our operations, which is in both parties' interest. In the interim, as you'll see, our operations have been going well, much improved over what we've had in recent times. And we're generating good cash flow out of existing operations.

因此在印度尼西亞，在 2017 年舉行的一系列會議之後，8 月底，我們與印度尼西亞政府共同宣布了一項協議框架，以解決我們與政府討論了多年的爭端。我們和印尼政府都在尋求一個雙贏的解決方案，總統最近也談到了這一點。我們一直在就推進這項框架協議進行討論。政府和我們公司都有很強的動力去解決這個問題，消除不確定性，為我們的營運帶來長期穩定，這符合雙方的利益。在此期間，正如您所看到的，我們的營運進展順利，比最近的情況有了很大的改善。我們正在從現有營運中產生良好的現金流。

The framework agreement would involve converting our existing Contract of Work, which was signed in 1991, to a special license in accordance with the Indonesian current mining law. This is called an IUPK. But the IUPK that we are negotiating with the government would provide our subsidiary, PT Freeport Indonesia, with long-term operating rights through 2041, and it will provide certainty of fiscal and legal terms during the term of that IUPK. We have agreed to commit to construct a new smelter in Indonesia within 5 years of reaching a definitive agreement. This has been an important objective of the government of Indonesia, and we've agreed to meet that objective.

該框架協議將涉及將我們現有的1991年簽署的工作合約轉換為符合印尼現行採礦法的特別許可。這稱為 IUPK。但我們正在與政府協商的 IUPK 將為我們的子公司 PT Freeport Indonesia 提供至 2041 年的長期經營權，並將在該 IUPK 期限內提供確定性的財政和法律條款。我們同意在達成最終協議後五年內在印尼建造一座新冶煉廠。這是印尼政府的一個重要目標，我們同意實現這一目標。

We've also agreed to divest to Indonesian participants 51% of the shares of PT-FI. Again, this was a primary objective of the government, and we agreed to meet it, conditioned on Freeport receiving fair market value for the interest that are divested, and that it'd be structured in a way that we, Freeport, continues to maintain control over operations.

我們也同意將 PT-FI 51％的股份轉讓給印尼參與者。再次強調，這是政府的主要目標，我們同意滿足這一目標，條件是自由港能獲得被剝離權益的公平市場價值，其結構必須確保我們自由港能繼續保持對營運的控制權。

This is a complex business. The development of the underground resources at Grasberg are at a scale that's never been done in the industry. It's located in a very remote place in the Highlands of New Guinea, in the province of Papua. Managing the operations, the capital project, the environmental issues, the social issues associated with this project are complex. And for us to stay involved, Freeport is insisting that we maintain control of operations.

這是一件複雜的事。格拉斯伯格地下資源的開發規模在業界前所未有。它位於巴布亞省新幾內亞高地一個非常偏遠的地方。管理與該專案相關的營運、資本項目、環境問題和社會問題都很複雜。為了讓我們繼續參與，自由港堅持要求我們保持對營運的控制。

Where we are today is that we're actively engaged in negotiating documentation for this framework. There are complex issues involved in those negotiations, and not all of those have been resolved. But I am convinced that we have a mutual objective of reaching a resolution. The government recently extended our export ability through the end of this year, and we are operating under the terms of our contract currently and operating very well, as you can see in the cash flow chart presented on Slide 14.

我們目前正積極參與該框架的文件談判。這些談判涉及一些複雜問題，並非所有問題都已解決。但我堅信我們有一個共同的目標，就是達成解決方案。政府最近將我們的出口能力延長至今年年底，目前我們正在按照合約條款開展業務，而且運營得非常好，正如您在幻燈片 14 中的現金流量圖中所看到的那樣。

During the current third quarter, we generated almost $600 million of operating cash flows compared with $176 million of CapEx. And for the 9 months this year, it's almost $1.5 billion of operating cash flows and less than $600 million of CapEx. So we -- this is a great asset for our -- the partnership between the government of Indonesia and our company, and we are working hard to preserve that.

在目前第三季度，我們產生了近 6 億美元的營運現金流，而資本支出為 1.76 億美元。今年前 9 個月，其營運現金流接近 15 億美元，而資本支出則不到 6 億美元。所以，這對我們來說是一筆巨大的財富——印尼政府和我們公司之間的夥伴關係，我們正在努力維護這種夥伴關係。

The future of this company (PT-FI) is going to be in the underground, where we have had significant operations and have operated since early 1980s. The big underground projects that we are currently working on is the block cave resource that lies directly beneath the Grasberg open pit. Our plans call for us to complete the pit next year. And from that point forward, all the production would be from the underground. This will -- our current project will allow us to begin block caving this resource in late 2018. We can't begin block caving until the open pit is finished. This will then lead to a ramp-up over 5 or 6 years to annual production levels of 1 billion pounds of copper and 1 million ounces of gold, truly a world-class operation. The reserves from the Grasberg Block Cave approach 1 billion pounds of copper -- 1 billion tonnes of copper at a grade exceeding 1% and with significant gold grades of 0.78. So this is a tremendous fiscal project and world-class in every respect including the long life, low cost and economic returns.

該公司（PT-FI）的未來將進入地下，我們在此開展了大量業務，自 1980 年代初就開始營運。我們目前正在進行的大型地下工程是位於格拉斯伯格露天礦場正下方的塊狀洞穴資源。我們的計劃是明年完成這個坑。從那時起，所有的生產都將在地下進行。這將—我們目前的專案將使我們能夠在 2018 年底開始開採這種資源。露天礦開採尚未完成，我們不能開始塊體崩落開採。這將使礦山產量在5到6年內提升至年產10億磅銅和100萬盎司黃金的水平，真正達到世界一流的水平。格拉斯伯格塊狀洞穴的儲量接近10億磅銅－10億噸銅的品位超過1%，金的品位達到0.78。因此，這是一個巨大的財政項目，在長壽命、低成本和經濟回報等各方面都是世界一流的。

A schematic of the operation is presented on Page 16. You can see the Grasberg open pit. The block cave is an extension of the resource that we've been mining from the pit to levels that can most economically be mined underground. We're approaching this resource vertically to allow us to have access to it and process it. We have additional resources that are potentially in our future, the Kucing Liar resource that's adjacent to the Grasberg Block Cave; the Big Gossan mine, which is a stoping mine that we've been producing.

第 16 頁展示了此操作的示意圖。您可以看到格拉斯伯格露天礦場。塊狀洞穴開採是我們將資源從礦坑開採延伸到最經濟的地下開採層面。我們正在垂直處理這種資源，以便我們能夠存取和處理它。我們還有潛在的未來額外資源，例如毗鄰 Grasberg Block Cave 的 Kucing Liar 資源；大鐵帽礦（Big Gossan）是我們一直在生產的採礦礦。

And then set apart from the Grasberg complex is an underground resource that we began mining in the early 1980s. We've been continuing to extend this resource at depth going from the original GBT Block Cave to the IOZ Block Cave that we began producing the 1990s, to the DOZ mine in the 2000s. We started up the Deep MLZ mine 2 years ago, and it's ramping up. And this will be an important supplemental production to the Grasberg Block Cave, which will provide feed for our mill at rates well over 200,000 tonnes of feed per day, approaching 240,000 tonnes per day.

與格拉斯伯格綜合體分開的是我們在 20 世紀 80 年代初開始開採的地下資源。我們一直在深度拓展這項資源，從最初的 GBT Block Cave 到 1990 年代開始生產的 IOZ Block Cave，再到 21 世紀的 DOZ 礦。我們兩年前啟動了 Deep MLZ 礦，目前礦井開採正在加速。這將是格拉斯伯格礦洞的重要補充生產，將為我們的工廠提供飼料，日產量遠超過 20 萬噸，接近 24 萬噸。

So what does this mean for Indonesia? Despite the current controversy and so forth and some of the issues operationally and with government regulations in recent years, this has been a very positive historical partnership. Freeport began operating there over 50 years ago. Since the new contract in 1991, we've contributed $60 billion to Indonesia's GDP. We're by far the largest private employer in Papua, and we're significant economically to the region. We're well over 90% of the GDP of the Mimika Province where we operate, Mimika Regency. We're one of the largest taxpayers in all of Indonesia.

那麼這對印尼意味著什麼？儘管目前存在一些爭議，近年來在營運和政府監管方面也存在一些問題，但這仍然是一次非常積極的歷史性夥伴關係。自由港五十多年前就開始在那裡運作。自1991年簽訂新合約以來，我們為印尼的GDP貢獻了600億美元。我們是巴布亞迄今最大的私人雇主，對該地區的經濟具有重要意義。我們的業務所在地米米卡省（米米卡攝政區）的 GDP 佔超過 90%。我們是印尼最大的納稅人之一。

Since we began operating, we've generated significant taxes, royalties and dividends to the government of Indonesia. And with the existing contract has gotten in excess of 60% of those revenues versus the dividends that have been paid to Freeport. This, by the way, is the most favorable deal with a government of any place we operate in the world and arguably, the most favorable of any country in the world. In addition to that, beginning in 1996, to support the local community, we've been contributing 1% of our revenues through a special partnership fund for the local community. And that has accumulated almost $700 million for community health, education and welfare projects.

自開始營運以來，我們為印尼政府創造了大量稅收、特許權使用費和股息。現有合約已獲得超過 60% 的收入（相對於支付給自由港的股息）。順便說一句，這是我們與世界上任何政府達成的最有利的協議，甚至可以說，也是與世界上任何國家政府達成的最有利的協議。除此之外，從 1996 年開始，為了支持當地社區，我們一直透過專門的合作基金將我們收入的 1% 捐給當地社區。目前，已為社區衛生、教育和福利項目籌集了近 7 億美元。

When we look at the current contract going forward to its end in 2041, future taxes, royalties and dividends at $3 copper, $1,200 gold would exceed $40 billion. This is a major asset for Freeport and a major asset for the country of Indonesia. And we all recognize that. And we all recognize the best thing for both parties is to reach an amicable resolution, to avoid the necessity of our -- having to try to enforce our rights through arbitration, which our fallback alternative that neither of us wants to do. And so we have great incentives to solve it. We just need to continue to work cooperatively to do that, and that is our goal.

當我們展望目前合約到2041年到期時，以銅價3美元、金價1,200美元計算，未來的稅收、特許權使用費和股息將超過400億美元。這對自由港和印尼來說都是一筆寶貴的資產。我們都認識到這一點。我們都意識到，對雙方來說，最好的方法是達成友好解決方案，避免不得不透過仲裁來執行我們的權利，這是我們都不想做的後備選擇。因此我們有很大動力去解決這個問題。我們只需要繼續合作來實現這一點，這就是我們的目標。

Turning to our outlook, and I mentioned we expect to produce 3.7 billion pounds of copper, 1.6 million ounces (of gold), 94 million pounds of molybdenum. This is consistent with our prior outlook.

談到我們的展望，我提到我們預計將生產 37 億磅銅、160 萬盎司（黃金）和 9,400 萬磅鉬。這與我們先前的展望一致。

Our site production & delivery cost before by-product credit at $1,300 gold, $8 molybdenum would be $1.59. After by-product credits, which are the gold in Grasberg and molybdenum in our Americas business, it would be at $1.19, again consistent with previous outlook. And this would include at $1,300 gold for the fourth quarter, net unit costs of less than $1 a pound. At $3 copper, this would generate $4.3 billion of operating cash flows. Each $0.10 change in copper means $80 million to us. Our current capital expectations for the year are $1.5 billion, including $900 million for major projects, $700 million for the underground development at Grasberg and $600 million for other mining. Again, all this is roughly consistent with prior guidance.

我們現場的生產和運輸成本（不包括副產品信用額）為黃金 1,300 美元、鉬 8 美元，即 1.59 美元。扣除副產品收益（即格拉斯伯格的黃金和我們美洲業務中的鉬）後，價格將達到 1.19 美元，這與先前的預期一致。這意味著第四季金價以每磅 1,300 美元計算，淨單位成本不到每磅 1 美元。以銅價 3 美元計算，這將產生 43 億美元的營運現金流。銅價每變動0.10美元對我們來說意味著8000萬美元。我們目前對今年的資本預期為 15 億美元，其中包括 9 億美元用於重大項目、7 億美元用於格拉斯伯格地下開發以及 6 億美元用於其他採礦。再次，所有這些都與先前的指導大致一致。

So looking at our sales outlook on Slide 19. Last year, we had 4.65 million -- billion pounds of copper. That included assets that we sold, the Tenke Fungurume mine in Africa and an additional interest in our Morenci mine to our partner, Sumitomo, in Arizona. Net of those volumes that were included in this number from last year, it would have been at 4.17 billion. You see our outlook for '17 is 3.7 billion, 3.9 billion for '18. The average for the next 3 years is 3.7 billion. 2019 is a year of transition. It's expected to be below that average, and it would be about 3.5 billion pounds. As we complete mining the open pit, our gold sales will increase 1.6 million this year, 2.4 million next year. And then the 3-year average beyond 2018 would be 1.2 billion -- million ounces of gold.

因此，請查看第 19 張投影片上的銷售前景。去年，我們的銅產量為 465 兆磅。其中包括我們出售的資產、非洲的 Tenke Fungurume 礦，以及出售給亞利桑那州合作夥伴住友的 Morenci 礦的額外權益。扣除去年已包含的數量，該數字將達到 41.7 億。我們對2017年的預期是37億，2018年是39億。未來3年的平均值為37億。2019年是轉型之年。預計該數字將低於平均水平，約為 35 億英鎊。隨著我們完成露天開採，今年我們的黃金銷售額將增加 160 萬，明年將增加 240 萬。那麼 2018 年以後的 3 年平均值將達到 12 億盎司黃金。

Now that would generate, at copper prices varying between $3 and $3.50, as you can see on Slide 20, $1,300 gold and $8 moly, EBITDA of $6.4 billion. This is an average of 2018, 2019 of $6.4 billion to $8.2 billion over that price range, and cash flows at $4.4 billion to $5.7 billion, strong cash flows. And I'd point out, 2018 will be higher than this 2-year average.

現在，正如您在幻燈片 20 上看到的那樣，當銅價在 3 美元到 3.50 美元之間時，黃金價格為 1,300 美元，鉬價格為 8 美元，EBITDA 為 64 億美元。這是 2018 年和 2019 年的平均值，在該價格範圍內為 64 億美元至 82 億美元，現金流為 44 億美元至 57 億美元，現金流強勁。我想指出的是，2018 年將高於這兩年的平均值。

You can see our capital expenditure management depicted on Slide 21. Last year, it was $2.8 billion, including $1.2 billion for our discontinued oil and gas business. This year, it's $1.5 billion; $2.0 billion, $1.8 billion for '18 and 19. This includes roughly $800 million a year for our Grasberg underground development. You will see that other mining increases -- has increased as we were dealing with the financial issues associated with our high debt levels following the oil and gas deal. We really squeezed -- stay in business-type capital expenditures, and we got some catch-up to deal with going forward. And you can see that has increased from $600 million to 5 -- $500 million to $1.1 billion in 2018.

您可以在第 21 張投影片上看到我們的資本支出管理。去年，這一數字為 28 億美元，其中包括我們已停止的石油和天然氣業務的 12 億美元。今年是 15 億美元； 20億美元，18年和19年分別為18億美元。其中包括每年約 8 億美元用於格拉斯伯格地下開發案。你會看到，其他採礦業務也在增加——因為我們正在處理石油和天然氣交易後與高額債務相關的財務問題。我們確實壓縮了開支——保持商業類型的資本支出，我們需要做一些追趕工作來應對未來的挑戰。您可以看到，到 2018 年，這一數字已從 6 億美元增加到 5-5 億美元，再到 11 億美元。

Now a slide that I particularly like to see is how we've been successful in delevering our business. We went into 2016 with over $20 billion of debt. In our fourth quarter earnings call in January of 2016, when the price of copper was roughly $2 a pound and many experts were projecting it to be -- to fall below $2 and stay low for a number of years, we made a -- we set a goal to reduce our debt level by $5 billion to $10 billion over the 2 years ending at the end of 2017. By the end of 2016, by -- through our asset sales and through raising some capital, we have reduced debt to $12 billion. At 9/30, it's less than $10 billion. And you can see, by the end of '17 at $3 copper, it would be approximately $9 billion, and we will continue until we make decisions to do otherwise through capital investments or shareholder return, to apply excess cash to reduce debt. And if we meet our plan, which we have confidence in doing, and if copper prices average $3 or $3.25, you can see that by the end of 2018, our debt levels would be returned to very low levels. And this, as I said, allow our -- allows our board to consider disciplined reinvestment opportunities. And we look forward to returning this company to a position of paying dividend, returning cash to shareholders.

現在我特別喜歡看的一張投影片是我們如何成功降低業務槓桿。2016年，我們的債務已經超過200億美元。在我們 2016 年 1 月的第四季度財報電話會議上，當時銅價約為每磅 2 美元，許多專家預測它會跌破 2 美元並在低位維持數年，我們設定了一個目標，在截至 2017 年底的兩年內將我們的債務水平減少 50 億美元至 100 億美元。到 2016 年底，透過出售資產和籌集部分資金，我們已將債務減少至 120 億美元。截至 9 月 30 日，該數字還不到 100 億美元。你可以看到，到 2017 年底，以銅價 3 美元計算，這一數字將達到約 90 億美元，而且我們將繼續使用多餘的現金來減少債務，直到我們做出透過資本投資或股東回報採取其他措施的決定。如果我們實現計劃，我們有信心做到這一點，並且銅價平均為 3 美元或 3.25 美元，那麼到 2018 年底，我們的債務水平將回到非常低的水平。正如我所說，這使得我們的董事會能夠考慮有紀律的再投資機會。我們期待公司能夠重新支付股息，向股東回饋現金。

We have a very positive long-term outlook for our business. The thing that has sustained us through the concerning period of time when our debt was so high and markets were weak has been a consistent positive long-term outlook for our business, our assets, our people and the copper markets. And that's what we keep talking with each other about. We have a great morale within our company, great capabilities, great assets. And we are an industry leader in our industry with experienced people, operators and developers. We've got a great, long-lived, geographically diverse portfolio of assets. And now we're once again financially strong. So this optimism about our future is nothing but reinforced.

我們對我們的業務的長期前景非常樂觀。在我們的債務高企、市場疲軟的那段令人擔憂的時期，支撐我們度過的是對我們的業務、資產、員工和銅市場的長期持續樂觀的展望。這正是我們一直在討論的話題。我們公司士氣高漲，能力強大，資產豐富。我們是業界的領導者，擁有經驗豐富的人員、營運商和開發人員。我們擁有龐大、長久且地域分散的資產組合。現在我們的財務狀況再次強勁。因此，我們對未來的樂觀情緒只會更加增強。

So thank you for your attention. I know you have questions, and we look forward to hearing them.

感謝您的關注。我知道您有問題，我們期待聽到您的疑問。

(Operator Instructions) Our first question will come from the line of Michael Gambardella with JPMorgan

（操作員指示）我們的第一個問題來自摩根大通的 Michael Gambardella

A question on Grasberg and the negotiations with Indonesian government, when you guys announced the framework, a lot of the reports coming out from the Indonesian government was that Freeport has agreed to sell down to below 50%, and when you put out a notice that said, "We're willing to sell down below 50% obviously at a fair market value." And there's been reports from -- quoting people in the government, talking about how value shouldn't include reserves. And I'm just thinking about valuation parameters to get real value for Freeport. First of all, it's hard enough to come to a conclusion on what copper price to put in when valuing Grasberg. But how do you deal with the situation where, supposedly, the government is thinking about not including reserves?

關於格拉斯伯格和與印尼政府的談判的問題，當你們宣布框架協議時，印尼政府發布的許多報告都稱自由港已同意將股份降至 50% 以下，而你們發布的通知中說，「我們願意以公平的市場價格將股份降至 50% 以下」。並且有報道稱——政府人士稱，價值不應該包括儲備金。我只是在考慮估值參數以獲得自由港的真正價值。首先，在評估格拉斯伯格的價值時，很難下結論：應該以什麼銅價來衡量。但是，如果政府正在考慮不包括儲備金，你該如何處理這種情況？

Well, we -- so the background for that, Mike, is in Indonesia, the government owns the resources. Now that's true with governments around the world. Around the world, governments own the resources. And even in the United States, of course, significant resources are on federal and state lands. And all the ore resources and the offshore Gulf of Mexico or offshore anywhere are actually owned by the federal government. And governments give operators, like Freeport in Indonesia, the rights to operate and develop and produce those reserves. And so any valuation that we are talking to the government about would involve the value of our business today, including our rights to develop, operate and produce resources that we have identified through our past exploration and development operations. For example, we have already spent -- besides the infrastructure that we put in place to enable our operations to continue, in recent years, we've invested $6 billion of capital to develop these underground reserves that will essentially be produced beyond 2021. So any view of valuation of our business would have to take into account the rights that we have beyond 2021 to 2041. And in our discussions, the government recognizes that. You mentioned copper prices, we had the same issue dealing with the use of copper prices last year in our negotiations with China molybdenum on Tenke Fungurume and with Sumitomo on Morenci. That was during the first half of 2016 when the world's view of copper prices were decidedly more pessimistic than they are today. But I think many people were surprised that we were able to, in that environment, negotiate deals that were positive for our company in terms of the valuations that we recognize. And we're approaching these negotiations in the same way. Indonesia is a country that has -- is a democracy now. It has free press. There's opportunities for many people who may be in government or are of influence to speak to the press. Often, the comments you see are made by people who are not involved in the negotiations, just like you read comments in the United States on matters and you have to take into account the source of the comments. But I can tell you that we are working positively and amicably with the representatives of the government. At the same time, we are going to be relentless in representing the interest of our shareholders. And so we are not in a position of where we have to concede to unreasonable positions, and we're not going to do that.

嗯，麥克，事情的背景是在印度尼西亞，政府擁有資源。世界各國政府都是如此。在世界各地，資源都歸政府所有。當然，即使在美國，大量資源也分佈在聯邦和州土地上。而所有的礦產資源以及墨西哥灣近海或任何近海區域實際上都歸聯邦政府所有。政府授予像印尼自由港這樣的營運商運作、開發和生產這些儲備的權利。因此，我們與政府討論的任何估值都將涉及我們當前的業務價值，包括我們在過去的勘探和開發營運中發現的資源的開發、營運和生產權利。例如，除了為使我們的營運能夠繼續進行而建立的基礎設施之外，近年來，我們已經投資了 60 億美元來開發這些地下儲備，這些儲備基本上將在 2021 年後投入生產。因此，對我們業務的任何估值都必須考慮到我們在 2021 年至 2041 年後的權利。在我們的討論中，政府也承認了這一點。您提到了銅價，去年我們在與中國鉬業就Tenke Fungurume進行談判以及與住友就Morenci進行談判時，也遇到了同樣的使用銅價的問題。那是在2016年上半年，當時世界對銅價的看法明顯比現在更悲觀。但我想許多人都會感到驚訝，在那樣的環境下，我們竟然能夠談判達成對我們公司有利的交易（就我們認​​可的估值而言）。我們也以同樣的方式對待這些談判。印尼現在是一個民主國家。它有自由新聞。許多政府官員或有影響力的人士都有機會向媒體發表演說。通常，您看到的評論都是由未參與談判的人發表的，就像您在美國閱讀有關事務的評論時必須考慮評論的來源一樣。但我可以告訴你，我們正在與政府代表進行積極友好的合作。同時，我們將不懈地維護股東的利益。因此，我們沒有必要向不合理的立場讓步，我們也不會這麼做。

And assuming you could come to an agreement on value, it would seem that the raw size of that value to sell to private sector would be enormous. Would the government buy that position from you directly, and then sell it to the private sector over time? Because it seems like that would be a big chunk to sell to someone in the private sector today.

假設你們能夠就價值達成一致，那麼出售給私部門的原始價值似乎會非常巨大。政府會直接向您購買該職位，然後隨著時間的推移將其出售給私營部門嗎？因為今天看起來，這筆錢如果賣給私部門的話，似乎是一大筆錢。

Well, they're -- we're talking with the government now about not only valuation, but the structure of the process for selling these interests. And that includes the alternative of the government of Indonesia through potentially a state-owned enterprise of acquiring and holding this interest. There's also under consideration, the provision of a portion of this interest for the province of Papua. The Indonesian economy has grown, Mike, as you know. And there are substantial private business interests here who have the financial capability of doing large-scale transactions. It's unclear whether all of this would be done to a single buyer. We have suggested to the government that the first step that should be considered, in our view, would be an IPO of the interest on the Indonesian Stock Exchange, which has developed into a large liquid marketplace. To date, there's been reluctance on the government to accept our suggestion. My point is there are a number of alternatives to deal with this issue of the structure and timing of divestment. And that's one of the issues that we're having these current meetings about.

嗯，我們現在正在與政府談論的不僅是估值，還有出售這些權益的流程結構。其中包括印尼政府可能透過國有企業收購和持有該權益的替代方案。目前也正在考慮將部分權益提供給巴布亞省。麥克，您知道，印尼的經濟已經成長。這裡有大量私人商業利益，他們有財力進行大規模交易。目前還不清楚所有這些是否會針對單一買家進行。我們已向政府建議，我們認為應考慮的第一步是在印尼證券交易所進行首次公開發行 (IPO)，該交易所已發展成為一個大型流動性市場。到目前為止，政府還不願意接受我們的建議。我的觀點是，有很多方法可以解決撤資的結構和時機問題。這是我們本次會議討論的問題之一。

Your next question comes from the line of David Gagliano with BMO.

您的下一個問題來自 BMO 的 David Gagliano。

First of all, congrats on hitting the targets this quarter as well. Somewhat related to the previous questions, I do want to ask, just a clarification on the wording on the press release and commentary in Indonesia. It says the parties continue to negotiate documentation on a comprehensive agreement. And obviously, that goal is to complete the required documentation by 2017. So I just want to clarify, will that documentation, by the end of this year, include definitive agreements and definitive plans on things like the structure and the timing of the divestment and the construction of the smelter? Or is that documentation going to be something else?

首先，恭喜您本季也達成了目標。與前面的問題有些相關，我確實想問一下，只是對印尼的新聞稿和評論的措辭進行澄清。據稱，雙方正在繼續就全面協議的文件進行談判。顯然，我們的目標是在 2017 年之前完成所需的文件。所以我只想澄清一下，到今年年底，這些文件是否會包括關於剝離結構和時間安排以及冶煉廠建設等方面的最終協議和最終計劃？或該文檔是其他內容嗎？

No, the final documentation would address those issues, all of those. It would be a comprehensive conclusion to the issues of -- that we talked about with the framework, the August framework agreement. And we are working with the government to have a complete resolution of those issues. And the current goal that we're both working on there is by the end of the year. And so it was an agreement to take future steps, like building a smelter, undertaking the divestment. But it would be a comprehensive and final agreement.

不，最終的文件會解決這些問題，所有這些問題。這將是對我們在框架即八月框架協議中討論的問題的一個全面結論。我們正在與政府合作，徹底解決這些問題。我們目前共同努力的目標是在今年年底前實現。因此，這是一項採取未來措施的協議，例如建造冶煉廠、進行資產剝離等。但這將是一份全面的最終協議。

Okay, great. Thank you for clarifying that. And then just somewhat related, the -- can you remind us again, when do the capital spending deferral/reduction decisions for the underground development, when do those really need to be made? How much of an impact would those have on the 2018 to 2022 mine plan that's been laid out? And when would that start to really cut into that mine plan?

好的，太好了。感謝您澄清這一點。然後只是有點相關， - 您能否再次提醒我們，何時真正需要做出地下開發的資本支出延期/減少決定？這些對已經制定的2018年至2022年礦山計畫會產生多大影響？那麼什麼時候這才會真正影響礦山計畫呢？

We have -- David, earlier this year, we have [deferred] some of the spending. We cut the spending in the underground by about 25%, and you saw the impacts of that earlier this year. We are continuing to spend at a reduced level to prepare the Grasberg Block Cave for startup when the open pit is completed late next year. And economically, that's what makes the most sense. As you can see from the numbers, the investments that we're making are less than actually the cash flows being generated from the business. So the business is generating more cash flow than what we're reinvesting currently. But we could make a decision if we reach an impasse to suspend those investments. And those would have an impact on our production because the Grasberg Block Cave starts to ramp up during 2019. And as Richard said earlier, it eventually gets to over 1 billion pounds of copper a year and over 1 million ounces of gold. And so that would get pushed out. So economically, we're incented to continue to make those investments, but we're not going to make them if we reach an impasse and have to go another direction. But at this point, our belief is that we'll get this resolved and be able to continue to proceed with our long-term investment plan.

戴維，今年早些時候，我們已經推遲了部分支出。我們將地下交通方面的開支削減了約 25%，今年早些時候你就已經看到了其影響。我們將繼續以較低的水平投入，為格拉斯伯格礦坑明年年底露天礦場完工後投入使用做好準備。從經濟角度來看，這也是最合理的。從數字中可以看出，我們所做的投資實際上少於業務產生的現金流量。因此，業務產生的現金流比我們目前再投資的現金流要多。但如果我們陷入僵局，我們可以做出暫停這些投資的決定。這些都會對我們的生產產生影響，因為格拉斯伯格礦洞開採將在 2019 年開始加速。正如理查德之前所說，它最終每年可產出超過 10 億磅銅和超過 100 萬盎司黃金。所以這會被推遲。因此從經濟角度來看，我們有動力繼續進行這些投資，但如果我們陷入僵局並必須轉向其他方向，我們就不會進行這些投資。但目前，我們相信我們將解決這個問題，並能夠繼續推進我們的長期投資計劃。

So would that effectively tie into that 2017 year-end time line?

那麼這是否與 2017 年底的時間表有效銜接？

Well, it's a continual thing. They -- in other words, if we run into an impasse, which we don't expect, before the end of the year, then we would take those actions. We -- our goal is, and the government is supportive of this goal, getting this resolved by the end of the year. If we are continuing to make progress, and for whatever reason, it's not done then, then we'll assess that circumstance when it comes about. But we've been talking about this so long, and I recognize that all of you have heard so much about this. But we really see the most positive objective that we've seen by the government in reaching a resolution. And now, not only do we have a sense of urgency to do that, we're seeing that on the government side as well.

嗯，這是一個持續不斷的事情。換句話說，如果我們在年底前陷入意想不到的僵局，那麼我們就會採取這些行動。我們的目標是，而且政府也支持這個目標，在年底前解決這個問題。如果我們繼續取得進展，但出於某種原因，還沒有完成，那麼我們會在情況出現時對情況進行評估。但我們已經討論這個問題很久了，我知道大家都聽過很多關於這個問題的事情。但我們確實看到政府在達成解決方案方面取得了最積極的目標。現在，不僅我們有了這樣做的緊迫感，政府方面也同樣如此。

Your next question comes from the line of Orest Wowkodaw with Scotiabank

您的下一個問題來自豐業銀行的 Orest Wowkodaw

My questions are on Grasberg as well. In the framework where you discussed divesting your ownership down, the PT-FI ownership down, I guess the 49%, how does that work with be Rio Tinto JV? I.e., with their 40% kicking in, I think around 2023, does that mean you would drop down to an effective 29% stake starting around 2023?

我的問題也是關於格拉斯伯格的。在您討論剝離所有權的框架中，PT-FI 所有權，我猜是 49%，這與力拓合資企業如何運作？也就是說，隨著他們的 40% 股份開始生效，我認為大約在 2023 年，這是否意味著從 2023 年左右開始，你們的有效股份將降至 29%？

Well, just for everybody's information, the project out there and the contract itself is actually a joint venture between us and Rio Tinto. It's a complicated joint venture agreement that was negotiated in the mid-1990s. And under that agreement, Rio Tinto has the right to come in now at roughly, say 2022, for a 40% joint venture interest. Rio Tinto faces a similar divestiture obligation that PT-FI faces. And PT-FI's interest currently, the government has a 9.36% interest. So PT-FI has roughly over -- FCX has roughly over a 90% interest in PT-FI, which would, after Rio Tinto comes in, represent a 90% interest in 60%. And so after that, if we divest 51%, our interest would be, in PT-FI's operation, 49% of 60%.

嗯，只是為了大家了解一下，這個專案和合約本身其實是我們和力拓之間的合資企業。這是一項複雜的合資協議，是在 1990 年代中期談判達成的。根據該協議，力拓有權在大約 2022 年加入，獲得 40% 的合資權益。力拓集團面臨與 PT-FI 類似的資產剝離義務。而目前 PT-FI 的權益中，政府佔有 9.36% 的權益。因此，PT-FI 大約擁有——FCX 大約擁有 PT-FI 90% 以上的權益，而力拓加入後，FCX 將擁有 60% 的股份。所以在此之後，如果我們剝離 51%，那麼我們在 PT-FI 營運中的權益將為 60% 中的 49%。

49% of 60%.

60% 中的 49%。

That's (inaudible) but one thing you should appreciate is the cash flows between now and that time frame, where it drops to 60%, essentially close to 100% going to Freeport. So there's differences between the 2 interests, and we're generating a substantial amount of free cash flow within that time frame between now and 2022.

那是（聽不清楚）但您應該注意的一件事是從現在到那個時間範圍的現金流，它下降到 60%，基本上接近 100% 流向自由港。因此，這兩種利益之間存在差異，從現在到 2022 年，我們將在這段時間內產生大量的自由現金流。

I see. And with respect to potential funding for the smelter, I don't believe that's in your CapEx guidance moving forward. How much would that add if that smelter was approved, say for 2018, '19?

我懂了。關於冶煉廠的潛在資金，我不認為這在你未來的資本支出指導範圍內。如果該冶煉廠獲得批准，例如在2018年或2019年，產量將增加多少？

The smelter itself is estimated to be, if we do it on our own, a $2.5 billion to $3 billion project. Our intention would be -- and this only gets built after we reach a long-term agreement with the government. That's one of the issues that we would be dealing with, with the government. And it's not something that we can start developing until the long-term agreement is reached. And so our framework calls for a 5-year period after signing the final agreement. Now we would structure the ownership interest in the smelter and the way of equity partners contributing equity and then obtaining financing, debt financing, for a substantial portion of the cost of the capital. So the amount of capital that would be required to be contributed by PT-FI would be reduced by the debt financing that would be negotiated with it and the equity participation of partners. We are in discussions with an Indonesian company called Amman, which acquired Newmont's Batu Hijau mine in Indonesia. And they have plans to develop a smelter. And we are in discussions with them about potentially doing a joint venture project for a larger smelter with them. And in that case, they would be a partner in the project as would we. And we would have a copper concentrate supply agreement with them that would have to be appropriately structured. So there's a number of moving parts here with how we proceed with the smelter project, including the size, location, the potential partnership with Amman, that all would be triggered by the completion of our negotiation on the global contract resolution.

如果我們自己建造冶煉廠，預計其投資將達到 25 億至 30 億美元。我們的目的是——而且這只有在我們與政府達成長期協議後才能實現。這是我們要與政府處理的問題之一。在達成長期協議之前，我們無法開始開發它。因此，我們的框架要求在簽署最終協議後有 5 年的期限。現在，我們將建構冶煉廠的所有權權益，以及股權合夥人注入股權的方式，然後獲得融資、債務融資，以獲得相當一部分資本成本。因此，PT-FI 需要投入的資本額將透過與其協商的債務融資和合作夥伴的股權參與而減少。我們正在與一家名為 Amman 的印尼公司進行商談，該公司收購了 Newmont 位於印尼的 Batu Hijau 礦場。他們還計劃開發一座冶煉廠。我們正在與他們討論合作建立更大規模冶煉廠的合資計畫的可能性。在這種情況下，他們會成為該專案的合作夥伴，就像我們一樣。我們將與他們簽訂銅精礦供應協議，該協議必須經過適當的建造。因此，在我們如何推進冶煉廠專案方面存在許多變動因素，包括規模、位置、與安曼的潛在合作關係，所有這些都將由我們完成全球合約解決方案談判後決定。

Okay. But on a kind of high-level basis, if you're divesting your ownership stake, and then Rio Tinto's got a 40% JV, is it conceptually correct that Freeport might only have to fund 29% of the total CapEx like excluding any -- where the funding's coming from?

好的。但從高層次來看，如果你剝離了自己的所有權股份，而力拓獲得了 40% 的合資權，那麼從概念上來說，自由港可能只需要承擔總資本支出的 29% 嗎？ （不包括任何資金來自哪裡）

Well, it would be -- PT-FI would be funding it and if you look through PT-FI to Freeport's net interest in that, it -- you're correct. Now one of the conditions that we are -- as part of the global agreement that this is another current point of discussion is while we've agreed to divest 51%, our position is, is that we maintain control over operations and the company. And so even though we would only own 49%, with that control, we expect that we would continue to consolidate PT-FI in our financial statements.

嗯，PT-FI 將為其提供資金，如果您透過 PT-FI 查看 Freeport 對此的淨利息，您就會知道 — — 您說對了。現在，作為全球協議的一部分，我們的條件之一是，這是當前討論的另一個要點，雖然我們同意剝離 51% 的股份，但我們的立場是，我們保持對營運和公司的控制權。因此，儘管我們只擁有 49% 的股份，但憑藉這一控制權，我們預計將繼續在我們的財務報表中合併 PT-FI。

Your next question comes from the line of Chris Mancini with Gabelli and Company.

您的下一個問題來自 Gabelli and Company 的 Chris Mancini。

Just on the -- on getting back to that Rio situation relative to Grasberg. I mean, like the way that I thought about it was that there's a certain net present value that would -- that can be attributed to -- for Grasberg that can be attributed to Freeport, and a certain net present value of the mine that can be attributed to Rio, based on the cash flows that each entity would be receiving during the years in which Freeport owns 90.6% and Rio -- and then during the years in which Freeport has what the 50-whatever percent based on the current structure. And so then like therefore, if there were a divestiture under the current scenario that it could end up such that Freeport would end up having, at the end of the day, still more than that 30%. Because -- the way that I calculate it is that the net present value of Grasberg is something like 65% to Freeport currently and 35% to Rio, so that if there were a divesture now of a certain portion of the value to Indonesian entities, that it wouldn't be like if that, that Rio wouldn't get 40% of your 50% kind of thing. You know what I mean?

回到裡約與格拉斯伯格有關的情況。我的意思是，我的想法是，對於格拉斯伯格來說，有一定的淨現值可以歸因於自由港，而該礦的有一定的淨現值可以歸因於力拓，這種劃分基於自由港持有 90.6% 股份、力拓持有 50% 股份（根據當前結構）的年份中每個實體將獲得的現金流。因此，如果在目前的情況下進行資產剝離，最終自由港所持有的股份可能仍會超過 30%。因為 — — 我的計算方式是，Grasberg 的淨現值目前對自由港來說是 65%，對力拓來說是 35%，因此，如果現在將一定比例的價值剝離給印尼實體，那麼就不會出現力拓拿不到 50% 中的 40% 的情況。你知道我的意思？

First of all, we would not agree with your PV analysis, okay? And -- but we're not in a position to disclose that, but I'm just going to comment on that. So all I'll tell you to do is think again. And then you have 1 contract where you have currently 2 assignees of interest in that contract. Rio Tinto has an assignment and PT-FI has an interest. We are negotiating on behalf of PT-FI, and the Indonesians, as part of our deal, we're agreeing to a divestment. Indonesians will also be looking at Rio Tinto's interest and expecting a divestment of that interest. And so while they're 60-40 beyond 2022, as Kathleen said, and it will depend on copper prices and so forth, but there are substantial values between now and 2022 that will be going to PT-FI that will not be going to Rio Tinto. Rio Tinto has some obligations to contribute capital, they'll get some dividends going forward, but the bulk of the dividends will be coming to PT-FI. So the relative values are affected, particularly when you look at present value calculations, by the fact that near-term cash flows are going to PT-FI, longer term, Rio Tinto comes in for a 40% interest, but that's subject to divestiture as well. I will tell you this, Rio Tinto has the right, under our joint venture agreement to -- of approval for any changes we make to the contract. We've had an extraordinarily positive relationship with Rio Tinto. They've been great partners. We feel an obligation to be good partners to them. And this has been going on now for 20 years. And we will work together to achieve the mutual goal of building values in this asset that would benefit both parties. It's not a question of competing interests with us versus Rio Tinto.

首先，我們不同意你的PV分析，好嗎？而且——但我們無法透露這一點，但我只是想對此發表評論。因此我要告訴你的是再想一想。然後，您有 1 份合同，其中目前有 2 名該合約的權益受讓人。力拓 (Rio Tinto) 有一項任務，而 PT-FI 對此有興趣。我們代表 PT-FI 和印尼人進行談判，作為協議的一部分，我們同意撤資。印尼人也將關注力拓的權益並期望其撤資。因此，儘管正如凱瑟琳所說，到 2022 年以後，它們的比例將為 60-40，這將取決於銅價等，但從現在到 2022 年，有大量價值將流向 PT-FI，而不會流向力拓。力拓有一些出資義務，他們將來會獲得一些股息，但大部分股息將流向 PT-FI。因此，相對價值會受到影響，特別是當您查看現值計算時，因為短期現金流將流向 PT-FI，而長期來看，力拓將獲得 40% 的權益，但這也可能被剝離。我可以告訴你，根據我們的合資協議，力拓有權批准合約所做的任何修改。我們與力拓集團保持著非常良好的合作關係。他們一直是很好的合作夥伴。我們感到有義務成為他們的好夥伴。這種情況已經持續了20年。我們將共同努力，實現在該資產中創造價值、使雙方受益的共同目標。這不是我們與力拓之間利益競爭的問題。

Okay. So -- right. So it's not -- so the way that -- so again I mean -- so I guess I was thinking a bit wrong in that after 2023 -- or sorry, after 2022, the way that you understand it now is that Freeport will own that 29%. But before -- through 2022, Freeport will have, under the current scenario, 90.6% of the cash flows from Grasberg. But after this agreement, we'll have -- like after this agreement is struck, we'll have only 49% after it's...

好的。所以——對的。所以不是——所以——所以我再說一遍——所以我想我的想法有點錯誤，在 2023 年之後——或者抱歉，2022 年之後，你現在理解的方式是 Freeport 將擁有這 29% 的股份。但在此之前——按照目前的情況，到 2022 年，自由港將擁有來自格拉斯伯格 90.6% 的現金流。但是達成這項協議之後，我們將只有 49%......

Well, as I mentioned, one of the matters under discussion is the process and timing for divestitures. We're not talking about a divestiture at 1 point in time, but a series of steps towards that. And we have not yet agreed on that. But it's not likely that you would expect Freeport to retain 90% through 2022. But it's also likely that there would be steps taken along the way to work towards that goal.

嗯，正如我所提到的，正在討論的問題之一是資產剝離的流程和時間。我們談論的並不是某一時刻的資產剝離，而是朝著這個目標邁出的一系列步驟。我們尚未就此達成一致。但你不太可能期望自由港到 2022 年還能保留 90%。但也可能採取一些措施來實現這一目標。

Okay. All right. And then a quick question is in terms of the ability to IPO a portion of Grasberg on the Indonesian Stock Exchange, how much do you think you could -- I mean, how much liquidity could the market bear at this point, do you think, of Grasberg stock? So could there be $1 billion issuance, do you think? Or a...

好的。好的。然後一個簡單的問題是關於在印尼證券交易所首次公開募股格拉斯伯格公司部分股份的能力，您認為您可以——我的意思是，您認為目前市場可以承受格拉斯伯格公司股票的多少流動性？那麼您認為可能會發行 10 億美元的債券嗎？或者...

Yes. The exchange has had offerings of that size and slightly more. We're confident. We were suggesting perhaps a 10% float of an IPO, and that would be an amount that would be in excess of $1 billion. There's 1 more point that I think is important to build into your analysis is that as we divest, we are going to be receiving fair market value for the divested interest. And so while our interest in the participation in Grasberg would be reduced, we would be receiving cash from that interest, which would reduce our exposure to Indonesia. There's positive and negatives to that, and -- but it will provide cash for us to supplement achievement of our financial goals for the rest of our business.

是的。該交易所已經提供過同等規模甚至更多規模的產品。我們有信心。我們建議 IPO 流通股數可能為 10%，這意味著資金量將超過 10 億美元。我認為在您的分析中還有一點很重要，那就是當我們剝離資產時，我們將獲得剝離權益的公平市場價值。因此，雖然我們對格拉斯伯格的參與權益會減少，但我們將從該權益中獲得現金，從而減少我們對印尼的風險敞口。這有積極的一面也有消極的一面，但它將為我們提供現金，以補充我們其他業務的財務目標的實現。

Yes, that's the idea, is right, that getting the full value or the fair value, the full value is what you've been talking about. Okay, great.

是的，就是這個意思，沒錯，獲得全部價值或公平價值，全部價值就是你一直在談論的。好的，太好了。

Your next question comes from the line of Chris LaFemina with Jefferies

你的下一個問題來自 Jefferies 的 Chris LaFemina

It seems like the biggest issue regarding Indonesia is just the bid-ask spread around the majority stake. And back in early 2016, you had said that you valued all of PT-FI at something slightly above $16 billion. There were some reports at the time that Indonesia had said that it was worth about $6.5 billion. I think you had said that, that was never a formal response from Indonesia. And in fact as far as I know, you've not gotten a formal offer from them yet. Recently though, the mining minister in Indonesia said that based on Grasberg being 40% of your profits and based on your $20 billion market cap, that would imply that your ownership stake in Grasberg is worth about $8 billion. And there were some reports as well but he said, we understand that to buy a majority stake, we have to pay some premium to that. Is that not accurate? I mean, is that just some reports from Indonesia telling about the accuracy?

看起來，印尼最大的問題只是圍繞著多數股權的買賣價差。早在 2016 年初，您就曾表示對 PT-FI 的估值略高於 160 億美元。當時有報導稱，印尼稱其價值約為 65 億美元。我想你說過，這從來都不是印尼的正式回應。事實上據我所知，你還沒有收到他們的正式報價。不過最近，印尼礦業部長表示，根據格拉斯伯格佔貴公司利潤的 40% 以及貴公司 200 億美元的市值，這意味著貴公司在格拉斯伯格的所有權股份價值約為 80 億美元。而且也有一些報道，但是他說，我們明白，要購買多數股權，我們必須支付一些溢價。這不準確嗎？我的意思是，這只是一些來自印尼的報道所說的準確性嗎？

Your press report was accurate, but think about this, if -- and I'm not agreeing or disagreeing with Grasberg being 40% of Freeport's assets. Let's just -- that's what he said. But you wouldn't apply the 40% to the equity value. It would be to the enterprise value. So besides the $20-plus billion of equity value now, we have $10 billion of debt. And so 40% would be applied to $30-plus billion and that represents 90% of PT-FI because the government owns 9.36%. So you would have to gross it up for that 10% to get a number that would be comparable to our $16 billion number.

您的新聞報導是準確的，但請考慮一下，如果—我既不同意也不反對格拉斯伯格擁有自由港 40% 的資產。我們就這麼說吧——這就是他所說的。但你不會將 40% 應用於股權價值。這對企業來說具有價值。因此，除了現在200多億美元的股權價值外，我們還有100億美元的債務。因此，40% 將用於 300 多億美元，佔 PT-FI 的 90%，因為政府擁有 9.36%。因此你必須將這 10% 加起來才能得到與我們的 160 億美元相當的數字。

Right. So your $16 billion is for 100% of PT-FI. Their $8 billion for the 90-plus percent stake implies $8.8 billion for 100%. And regardless of how they got to that number, I guess...

正確的。所以你的 160 億美元是 PT-FI 的 100％。他們以 80 億美元收購了 90% 以上的股份，這意味著要花 88 億美元收購 100% 的股份。不管他們是如何得出這個數字的，我猜…

Well, but before you say that, just remember that if you're talking about the percent of an asset to an enterprise, it's not logical to look at the equity market value. You need to look at the enterprise market value, so with the equity plus debt. So it'd be $30-plus billion. And following that analysis, you'd say 40% of $30-plus billion is over $12 billion. That's 90%. So you need to gross that up to 100%, so you get to something over $13 billion. Now I'm not agreeing or disagreeing with that analysis, but I'm just saying to be a logical analysis, that's the process you'd have to go through.

好吧，但在你這麼說之前，請記住，如果你談論的是資產佔企業的百分比，那麼查看股權市場價值是不合邏輯的。你需要看企業的市值，所以要看股權加上債務。因此這個數字將會是300多億美元。根據這項分析，您會說 300 多億美元中的 40% 超過 120 億美元。那是 90%。因此你需要將總收入提高到 100%，這樣就能獲得超過 130 億美元的收入。現在我既不同意也不反對這種分析，我只是說，要進行邏輯分析，這就是你必須經歷的過程。

But I guess my point is that ...

但我想我的觀點是...

So the difference between those 2 is not as great as the press accounts would have shown.

因此，這兩者之間的差異並不像媒體報導的那麼大。

Right. But I guess my question is regardless of how he got to that number, the point is he did say $8 billion for the 90-plus percent stake. And then I think he also said that some premium for a majority ownership might be required. The question really comes down to whether or not that offer is on the table to Freeport. Is that something that they presented to you? And then...

正確的。但我想我的問題是，不管他是如何得出這個數字的，重點是他確實說過 90% 以上的股份價值 80 億美元。然後我認為他也說過，可能需要支付一定的溢價才能獲得多數股權。問題其實在於自由港是否願意接受這項報價。這是他們向您展示的東西嗎？進而...

No, no. And in fact, well, let's see now, I've got -- that's not what the government would say today even in talking about it. I mean, they recognize what I just said about the difference in equity value and enterprise value. But we are working with the government. They have indicated fair market value is the right standard. And now, we've got to negotiate what that fair market value is, just as we had to negotiate with China Moly and with Sumitomo and with others who were trying to look at buying our assets. So we've had a lot of experience with this. They're going to get expert financial advice. And we will sit down and find out -- and determine what's the fair value. Again, we believe the best way to do it is to allow us to do a -- to do an IPO on the exchange and that way, the market determines it. They, so far, have been reluctant to do that. So we will engage in these discussions, but it will be on a rational basis for coming up with a fair market value.

不，不。事實上，嗯，現在讓我們看看，我已經明白了——這不是政府今天在談論它時會說的話。我的意思是，他們認識到我剛才所說的股權價值和企業價值之間的差異。但我們正在與政府合作。他們表示公平市場價值是正確的標準。現在，我們必須就公平市場價值進行談判，就像我們與中國鉬業、住友集團以及其他試圖購買我們資產的公司進行談判一樣。我們在這方面有豐富的經驗。他們將獲得專家的財務建議。我們會坐下來仔細研究並確定公平價值。我們再次強調，我們認為最好的方法是允許我們在交易所進行首次公開募股，然後由市場來決定。到目前為止，他們還不願意這麼做。因此，我們將參與這些討論，但將在理性的基礎上得出公平的市場價值。

Do you think that the $16 billion estimate that you provided in January or February 2016 is a stale number, now that copper markets have improved and you've invested more in the asset? In other words, in your mind, is $16 billion too low now?

您是否認為，現在銅市場已經好轉，而且您在該資產上投入了更多資金，那麼您在 2016 年 1 月或 2 月給出的 160 億美元的估計數字已經過時了？換句話說，在您看來，現在 160 億美元是否太低了？

Well, the $16 billion number, just like in our 2016 transaction, was not a number that was based on the then existing copper price. It was based on what people like Wood Mackenzie, sell-side guys like yourself, what's your outlook for copper prices were. So since that time, we have updated that valuation. It's part of private discussions with the government. You would have to take into account, we've produced 1.5 years of those values in our current operations and received cash for it. We've had some adjustments to our mine plans and the copper prices are what they are. So we're at a number. But in terms of what you are perceiving to be significantly higher, there are some things going in the other direction that affect that number as well.

嗯，160 億美元這個數字，就像我們 2016 年的交易一樣，並不是基於當時的銅價而得出的數字。這是基於伍德麥肯茲（Wood Mackenzie）等人以及像您這樣的賣方人士對銅價的展望。所以從那時起我們就更新了估值。這是與政府私下討論的一部分。你必須考慮到，我們在目前的營運中已經創造了 1.5 年的這些價值，並因此獲得了現金。我們對採礦計畫做了一些調整，銅價也沒有改變。因此我們得到一個數字。但是就您所認為的明顯更高的數字而言，還有一些其他因素也會影響該數字。

And I'm sorry, just 1 last quick one for me. So let's assume that an IPO is ultimately not an option. Therefore, it's about a negotiation and the bid-ask spread, it never closes. In other words, you can never come to an agreement. Would Freeport -- and this might be too hypothetical to answer, but would Freeport be willing to accept an offer that is below what you deem to be fair market value in order to avoid the potential lose-lose scenario of arbitration? In other words, is there an opportunity cost to not getting it done, even if you were to accept a price lower than you'd like?

非常抱歉，我只想說最後一點。因此，我們假設 IPO 最終不是一個選擇。因此，這是一場談判，買賣價差永遠不會結束。換句話說，你們永遠無法達成協議。自由港會嗎——這個問題可能太過假設而無法回答，但自由港會願意接受低於您認為的公平市場價值的報價，以避免仲裁可能帶來的雙輸局面嗎？換句話說，即使你接受比你想要的更低的價格，不完成這件事是否也有機會成本？

Now, Chris, if you were in my shoes, would you answer that question?

現在，克里斯，如果你處於我的位置，你會回答這個問題嗎？

No. Hypothetical, sorry.

不。假設而已，抱歉。

So I'm not going to answer the question. And I'll also point out that the $16 billion number that we disclosed then was 100%. We own 90% of that value, because the government already owns 9.36%. Okay? That's just a fact.

所以我不會回答這個問題。我還要指出的是，我們當時披露的 160 億美元這個數字是 100%。我們擁有該價值的 90%，因為政府已經擁有 9.36%。好的？這只是一個事實。

Your next question will come from the line of Andreas Bokkenheuser with UBS.

您的下一個問題來自瑞銀的 Andreas Bokkenheuser。

Actually all my questions were answered. So thank you very much. I appreciate the clarity.

事實上我所有的問題都得到了答案。非常感謝。我很欣賞這種清晰度。

Okay, Andrew. Thank you.

好的，安德魯。謝謝。

Your next question will come from the line of Lucas Pipes with FBR Capital Markets.

您的下一個問題來自 FBR Capital Markets 的 Lucas Pipes。

So Richard, you drew a couple of parallels to negotiations that took place in 2016, which were all market-driven in my opinion. So would you say you have agreed with the government of Indonesia on the set of assumptions that go into fair market value?

所以理查德，你將其與 2016 年的談判進行了比較，在我看來，這些談判都是由市場驅動的。那麼您是否同意印尼政府關於公平市場價值的一系列假設？

Not yet. I mean, we've agreed on a concept of fair market value, but that's been part of the process of getting to where we are now. And so the next stage is to deal with those parameters.

還沒有。我的意思是，我們已經就公平市場價值的概念達成了一致，但這只是我們實現當前目標過程的一部分。因此下一階段就是處理這些參數。

Got it. That's helpful. And then, here we are kind of at the midpoint between the framework agreement in late August and at the end of the year. And what progress would you say has been made since the announcement of the framework agreement?

知道了。這很有幫助。然後，我們現在處於 8 月底框架協議和年底的中間點。您認為自框架協議宣布以來取得了哪些進展？

Let's see. Kathleen's going to kick me, but not as much as I'd hoped for. But I think the clarity of the government's desire and sense of urgency for reaching a deal has -- that was my hope when we announced the framework, and I think that is coming into play. We've made a good bit of progress on -- and all of these things are incredibly complex, but we made a good bit of progress on fixing the financial and fiscal and legal terms for the extension. We're still having discussions on the form of that. We are working to get that documented in a contractual agreement between us and the government, that gives us the ability to defend that and not be subject to future changes in laws and regulations. So that's the place where we've made the most specific progress. We still have to firm up the form of that. But the big issues on divestment -- the valuation issue we've made progress in dealing with this issue that was raised earlier about not considering reserves. And I think you might remember Gambardella's first question, the issue about whether it's to 2021 to 2041. All of those things we've made progress with the teams we're talking to with Indonesia.

讓我們來看看。凱瑟琳要踢我了，但不會像我希望的那麼狠。但我認為，政府對達成協議的願望和緊迫感的明確性——這正是我們宣布框架時的希望，我認為這正在發揮作用。我們已經取得了很大進展——所有這些事情都非常複雜，但我們在解決延期的財務、財務和法律條款方面取得了很大進展。我們仍在討論其形式。我們正在努力將這一點記錄在我們與政府之間的合約協議中，這使我們能夠捍衛這一點，而不受未來法律法規變化的影響。這就是我們取得最具體進展的地方。我們還必須確定其形式。但在撤資方面的大問題——估值問題上，我們在處理之前提出的不考慮儲備的問題上已經取得了進展。我想你可能還記得 Gambardella 的第一個問題，關於是否要到 2021 年到 2041 年。我們與印尼的談判團隊在所有這些事情上都取得了進展。

That's very helpful. And then maybe a follow-up on the Rio point. So if the government of Indonesia were to buy Rio's stake hypothetically, would that satisfy your portion of the local ownership rules?

這非常有幫助。然後也許會繼續關注裡約問題。那麼，假設印尼政府購買力拓的股份，是否能滿足當地所有權規則的要求？

Well, there's -- there's kind of 2 aspects to that. I mean, there is a possibility that Rio could stay involved. In other words, they could continue to own 49% of their interest. They publicly commented on questioning whether they would do that or not. And if they do decide to exit, we would work with them to achieve their objectives, and then work with the government to see how that would fit into our overall divestment situation. I can't say more than that, but that's part of the discussions.

嗯，有兩個方面。我的意思是，裡約有可能繼續參與。換句話說，他們可以繼續擁有49%的權益。他們公開評論質疑他們是否會這樣做。如果他們決定退出，我們將與他們合作，實現他們的目標，然後與政府合作，看看這如何適應我們的整體撤資情況。我不能說更多，但這是討論的一部分。

Got it. Right. And then I have a quick operational question as well. Last quarter, you mentioned some seismic activity in the DMLZ zone. And I don't think it was mentioned at all this time. Could you give us a quick update on where that stands?

知道了。正確的。然後我還有一個快速的操作問題。上個季度，您提到了 DMLZ 區域的一些地震活動。而且我認為這次根本沒有提到這一點。您能否向我們簡單介紹一下最新情況？

Sure. We did alter our plans last quarter, as we mentioned. And this is one of the things going back to Chris's question about how this affects value. But we altered our plans and it effectively was to slow down some of the near-term production at the DMLZ and we have followed those plans. Feel good about the progress we're making in terms of the plans and the ultimate resolution of that, but it's -- the reason it's not highlighted in our report is that we've operated according to the plan that we set out going into the third quarter. And Mark Johnson, you're on the call. I think that summarized it, but if you have anything to add, feel free to. Hey, Mark, are you there?

當然。正如我們所提到的，我們上個季度確實改變了計劃。這是回顧克里斯提出的問題之一，關於這如何影響價值。但我們改變了計劃，這實際上減緩了 DMLZ 的一些近期生產，我們一直遵循這些計劃。就計劃和最終解決方案而言，我們對所取得的進展感到滿意，但是，我們報告中沒有強調這一點的原因是，我們已經按照進入第三季度時制定的計劃開展運營。馬克約翰遜，您現在正在通話中。我想這已經總結完了，但是如果您還有什麼要補充的，請隨意添加。嘿，馬克，你在嗎？

Mark's line is on mute. Mark, could you unmute your phone? Okay, I opened your line.

馬克的電話處於靜音狀態。馬克，你能把手機靜音嗎？好的，我開通了你的線路。

Yes, Richard, you're right. We, after the June event in DMLZ, we came up with a revised plan that had 2 months of undercutting of focus on the undercutting. We're nearing the end of that undercutting activity. The mine's performed well. We haven't had any unexpected seismic activity. We expect in mid-November after we continue to assess the situation, that we would initiate a period of production. So we're feeling confident that the changes that we made to the plan, that the mine's reacting well, and we're on schedule.

是的，理查德，你是對的。在 6 月 DMLZ 事件之後，我們制定了一項修改計劃，其中將重點放在為期 2 個月的削價活動上。我們的削價活動即將結束。該礦表現良好。我們沒有遇到任何意外的地震活動。我們預計，在 11 月中旬繼續評估情勢之後，我們將啟動一段生產期。因此，我們對計劃所做的更改充滿信心，礦山的反應良好，而且我們正在按計劃進行。

Your next question will come from the line of Alex Hacking with Citi.

您的下一個問題將來自花旗銀行的 Alex Hacking。

Just a quick follow-up on Grasberg. I think at some point, we had seen a local media article that had suggested that Freeport might give up the right to international arbitration as part of the new framework. That seems very unlikely, given your previous very clear comments on that issue. But could you just quickly comment on that?

只是對格拉斯伯格的一個快速跟進。我想在某個時候，我們看到一篇當地媒體的文章，其中暗示自由港可能會放棄作為新框架的一部分的國際仲裁權。考慮到您之前對該問題非常明確的評論，這似乎不太可能。但您能對此快速評論一下嗎？

No, that's part of our position and -- when we use the term legal certainty in talking about the extension with fiscal and legal certainty, that means defining taxes, royalty in fiscal terms and legal enforceability, which would include international arbitration.

不，這是我們的立場的一部分——當我們使用法律確定性一詞來談論財政和法律確定性的延伸時，這意味著定義稅收、財政條款中的特許權使用費和法律可執行性，其中包括國際仲裁。

Okay. And just turning elsewhere, with copper back about $3 a pound, is there any -- been given any consideration to resuming full mining rates at El Abra? And what would be the cost of doing that?

好的。再來看看其他地方，現在銅價回升至每磅 3 美元左右，有沒有考慮過恢復 El Abra 的全面採礦率？那麼這樣做的代價是什麼呢？

Well, in El Abra, it's really not really a significant cost in doing it. I mean, we have reduced mining rates so there would be some incremental cost, but it's not significant. What's really factoring into that is the planning we're doing about the major project and when that might be commenced. We haven't -- as I keep emphasizing, we haven't made that decision. We have a lot of work to do before we do that. But part of the mine rate decision is more coordinating that with the potential commencement of the major expansion project.

嗯，在 El Abra，這樣做的成本實際上並不高。我的意思是，我們已經降低了採礦率，因此會有一些增量成本，但並不顯著。真正影響因素是我們對重大專案所做的規劃以及專案何時可能開始。我們沒有——正如我一直強調的那樣，我們還沒有做出那個決定。在此之前我們還有許多工作要做。但部分礦山開採率決策更多的是與大型擴建項目的潛在開工相協調。

And Alex, if you remember, we had cut back production at El Abra and also at Sierrita. We've been gradually bringing some of that back on and again doing it in a manner that would allow us to continue to preserve our operating cost position and also part of the reason why we cut back was to defer capital spending. So we're -- we are bringing some of it back on-line but we're doing it in a very careful manner so that we don't alter in any significant way our cost structure or capital spending plans.

亞歷克斯，如果你還記得的話，我們已經削減了 El Abra 和 Sierrita 的產量。我們已經逐步恢復部分支出，並再次以允許我們繼續保持營運成本狀況的方式進行，而我們削減支出的部分原因是為了推遲資本支出。因此，我們正在將部分業務恢復上線，但我們以非常謹慎的方式進行，以免對我們的成本結構或資本支出計劃造成任何重大改變。

Okay. And then just very quick on Cerro Verde. I don't -- if I remember right, Cerro Verde hasn't been paying a dividend to its shareholders for a while, given the expansion and the spending there. Is there any timing on when Cerro Verde is expected to resume paying dividends, cash dividends to shareholders?

好的。然後很快就到達了 Cerro Verde。我不知道——如果我沒記錯的話，考慮到擴張和支出，Cerro Verde 已經有一段時間沒有向股東支付股息了。Cerro Verde 預計何時恢復向股東派發股利（現金股利）？

That is under consideration. As you've seen, we did complete the expansion. And we refinanced the loan at the Cerro Verde level, which allowed us to repay shareholder loans that were made from the shareholders to advance into Cerro Verde to fund some of that project. And so we do believe we will be in a position to resume dividends at Cerro Verde and that's under consideration as we review the outlook. You've probably seen in the press release the royalty matter, which has created some uncertainty in terms of the timing of when any payments would have to be made in connection with that. But even after the royalty matter, we do believe we'll have flexibility to resume dividend payments at Cerro Verde. And so we're currently assessing the time frame and the extent of those dividends.

此事正在考慮中。正如您所看到的，我們確實完成了擴展。我們在 Cerro Verde 層級對貸款進行了再融資，這使我們能夠償還股東向 Cerro Verde 提供的股東貸款，以資助部分專案。因此，我們確實相信我們將能夠恢復 Cerro Verde 的股息，而且我們正在審查前景時考慮這一點。您可能已經在新聞稿中看到了有關特許權使用費的問題，這給與此相關的付款時間帶來了一些不確定性。但即使在特許權使用費問題之後，我們仍然相信我們將有靈活性來恢復 Cerro Verde 的股息支付。因此，我們目前正在評估這些紅利的時間框架和程度。

Okay. And just on the royalty, I think in the slide you said, you paid $135 million so far. Is that against the total amount, or against the -- your net amount?

好的。就版稅而言，我記得您在幻燈片中說過，迄今為止您已支付了 1.35 億美元。這是相對於總金額，還是相對於淨金額？

That's the -- that's of the 3 -- the gross amount. So that's the amount at Cerro Verde that's in place.

這就是 — — 這就是 3 — — 總額。這就是 Cerro Verde 現有的數量。

And that's an accrual.

這是一種應計。

But we have been paying. We've paid $135 million under the installment method towards that.

但我們一直在付款。我們已透過分期付款方式支付了 1.35 億美元。

Okay.

好的。

Your next question comes from the line of John Tumazos with John Tumazos Very Independent Research

您的下一個問題來自 John Tumazos 的非常獨立研究

I'm thinking about dividends, as I ask the question. In terms of the Kisanfu exploration project, the Serbian deep stuff, smelter in Indonesia, the heap leach at Lone Star, the sulfide mill at Lone Star or the sulfide mill at El Abra, are all of those things likely to be 2020 or later outlays that really don't influence the decision as to how much of a dividend to pay in 2018? And could you just talk to the question of dividends? Happy days are here again.

當我問這個問題時，我正在考慮股息。就 Kisanfu 勘探項目、塞爾維亞深層材料、印尼的冶煉廠、Lone Star 的堆浸項目、Lone Star 的硫化物廠或 El Abra 的硫化物廠而言，所有這些項目都可能是 2020 年或以後的支出，而這些項目實際上不會影響 2018 年支付多少股息的決定嗎？能談談股息的問題嗎？快樂的日子又到了。

Well, the answer is yes to your first question. Those are 2020 projects and beyond. The big issue on dividends rest with our success in reaching a resolution on this Indonesian question. And so as we go forward with success on that and with copper markets, which we believe will be positive, we'll be looking at debt levels, the potential for capital spending. And we will be, what can I say, I'm confident, our Board will be very positive about paying dividends when the stars align.

嗯，你的第一個問題的答案是肯定的。這些是2020年及以後的項目。關於股利的重大問題取決於我們能否成功解決這個印尼問題。因此，隨著我們在這方面取得成功以及銅市場的發展（我們相信這將是積極的），我們將關注債務水平和資本支出的潛力。我能說什麼呢，我相信，當一切順利時，我們的董事會將非常積極地支付股息。

So the bond rating agencies might be, in a way, pleased if a quarter or 2 is going to go where you just put all the cash to reducing debt while you're settling those affairs.

因此，如果你能在一兩個季度內將所有現金用於減少債務並解決這些事務，那麼債券評級機構可能會在某種程度上感到高興。

Well, I can tell you that the bond rating agencies are extraordinarily pleased with what we've done over the past almost 2 years now and in seeing where we are and the cash we're generating. And like you say, if we continue to reduce cash, we get Indonesia settled, we will be in good shape with the rating agencies, even with beginning to pay a dividend.

好吧，我可以告訴你們，債券評級機構對我們過去近兩年來的表現以及我們所處的境況和所產生的現金感到非常滿意。正如您所說，如果我們繼續減少現金，讓印尼安頓下來，即使開始支付股息，我們與評級機構的關係也會很好。

Your next question comes from the line of Chris Terry with Deutsche Bank.

您的下一個問題來自德意志銀行的克里斯·特里。

Richard and Kathleen, a couple of questions for me. Just in terms of the export license that you've renewed until the end of '17. I'm just curious on that. Normally, it's a 6-month renewal, I think, going back with the last couple of years. Was that your call or the government's call to try to just lock that in? And I assume that's to try to push the agenda along on settling this dispute. Is that how we read it? Or how did that come about?

理查和凱瑟琳，我想問幾個問題。就您續簽至2017年底的出口許可證而言。我只是對此很好奇。通常，我認為續約時間為 6 個月，可以追溯到過去幾年。這是你的要求還是政府的要求，試圖將其鎖定？我認為這是為了推動解決爭端的議程。我們的解讀是這樣的嗎？或者說這是怎麼發生的？

That's exactly, right and it was a mutual decision.

確實如此，這是雙方共同的決定。

Okay. And then, you've touched on the Grasberg CapEx, what you're spending now and then going forward on a couple of questions earlier. And it doesn't look like you've changed the guidance at all for that. But based on 2Q -- the 2Q presentation and the 3Q, there's a small adjustment down in 2019. It's only minor, from 0.8 billion pounds down to 0.7 billion. Is that just around the edges? Or has there been any change, I guess, in the last 3 months to what you're actually spending on the underground? Or is it still like Kathleen said, about 25% down on the start of the year, what you're expecting?

好的。然後，您談到了 Grasberg 的資本支出，以及您目前的支出狀況，然後繼續回答之前的幾個問題。而且看起來你根本沒有改變指導方針。但根據第二季和第三季的報告，2019 年略有下調。只是小幅下降，從8億英鎊降至7億英鎊。那隻是在邊緣嗎？或者我猜，在過去 3 個月中，您在地鐵上的實際支出有任何變化嗎？或者還是像凱瑟琳所說的那樣，比年初下降約 25％，這是您的預期嗎？

Well, we go through a process every quarter. Here at Freeport, we don't have an annual planning process. We have a detailed review of capital allocation, capital spending every quarter. We meet with all of our mine managers and review results and outlooks. And we challenge people on capital spending and we defer where we can. So particularly in Indonesia, we want to -- we're making efforts to reduce capital spending to the maximum level we can, while achieving our objectives of moving forward this project so that we could begin caving at the end of next year.

嗯，我們每季都會經歷一個過程。在自由港，我們沒有年度規劃流程。我們每季都會對資本分配、資本支出進行詳細的審查。我們與所有礦山經理會面並審查結果和前景。我們在資本支出方面向人們提出挑戰，並且盡可能地推遲。因此，特別是在印度尼西亞，我們希望——我們正在努力將資本支出減少到最大程度，同時實現推進該項目的目標，以便我們能夠在明年年底開始洞穴開採。

But the production change you're talking about is just that. It's around the edges, rounding numbers change in 2019. And over the 5-year period, it really wasn't a significant change in the overall copper or gold production or a significant change in spending.

但您所說的生產變化就是這樣。這只是邊緣問題，2019 年的四捨五入數字會改變。在這五年期間，銅或黃金的整體產量並沒有顯著變化，支出也沒有顯著變化。

Yes, understood. I recognize that moves around a little bit quarter to quarter, and I think it's done that in the past. So I'm just trying to check whether the last say, 3 months, anything's moved on the underground. And the last question I had is just on Lone Star, the $850 million CapEx. Do we think about that as being mainly spent in 2019, 2020, or into 2021? Or what's the profile on that?

是的，明白了。我意識到這個數字每季都會有一點變化，我認為過去也是這樣的。所以我只是想檢查一下過去 3 個月內地下是否有任何東西移動。我的最後一個問題是關於 Lone Star，8.5 億美元的資本支出。我們是否認為這些錢主要花在 2019 年、2020 年，還是 2021 年？還是它的簡介是什麼樣的？

Well, it depends on when we start it, but it's roughly 3-plus years. And the bulk of it is for mining equipment and the start, the preproduction and stripping. But you could spend roughly $800 million of the total in '18, '19, '20 ratably if we were to move forward in the next several months, but it's still under consideration at this point.

嗯，這取決於我們什麼時候開始，但大約需要 3 年多。其中大部分用於採礦設備的啟動、預生產和剝離。但如果我們在接下來的幾個月內繼續前進的話，你可以在'18、'19、'20年按比例花費總額中的約 8 億美元，但目前仍在考慮之中。

Your next question comes from the line of Oscar Cabrera with CIBC World Markets.

您的下一個問題來自加拿大帝國商業銀行全球市場的奧斯卡卡布雷拉 (Oscar Cabrera)。

Just in terms of the capital spend that you are deciding whether Grasberg gets the sulfur or not, and it's good to see that there's other projects that could [serve as] value within the company. Kathleen just mentioned 2018, '19 and '20 for CapEx in Lone Star. Is that based on a go-ahead or no-go-ahead decision in Grasberg?

僅就資本支出而言，您正在決定格拉斯伯格是否獲得硫磺，並且很高興看到其他項目可以為公司帶來價值。凱瑟琳剛剛提到了孤星公司 2018 年、2019 年和 2020 年的資本支出。這是基於格拉斯伯格是否批准的決定嗎？

No, no. That's -- we're at the point now with our improvement in our debt levels in our balance sheet, that that's an independent decision. So going forward on Lone Star is not dependent on having success with Grasberg.

不，不。這就是－我們現在處於資產負債表中債務水準改善的階段，這是一個獨立的決定。因此，《孤星》的進展並不依賴《格拉斯伯格》的成功。

Okay. And then -- I'm sorry, go ahead.

好的。然後——抱歉，請繼續。

No, I was just going to say, it fits in with the timing of the declines in Safford and how to best maximize the NPV of the project in connection with the expected production at Safford. Because what we're doing really is leveraging the existing infrastructure. And so as long as that infrastructure is being used for already developed reserves, we're better off deferring the spending at Lone Star. But we're getting to the point now, and we've gotten the permit, et cetera, we're getting to the point now where we can see line of sight in terms of when those 2 intersections will cross. And so we are going to be considering with our Board the timing of that project.

不，我只是想說，它符合薩福德產量下滑的時間安排，以及如何根據薩福德的預期產量最大程度地提高項目的淨現值。因為我們所做的其實是利用現有的基礎設施。所以，只要該基礎設施用於已開發的儲備，我們最好推遲在孤星金礦的支出。但是現在我們已經到了這一步，我們已經獲得了許可證等等，現在我們可以看到這兩個交叉點何時交叉的視線。因此我們將與董事會一起考慮該項目的時間表。

According to your 10-K, the life in Safford ends in 2024. So you're saying that the new or the grades at Lone Star are better than what you're currently mining?

根據您的 10-K，您在薩福德的生活將於 2024 年結束。所以您的意思是 Lone Star 的新礦或等級比您目前開採的礦場更好？

Yes. And it ends in 2024, but it has a -- it will start falling off before then.

是的。它將於 2024 年結束，但在此之前它會開始下降。

Yes. It's -- the oxides at Safford are nearing the end of their lives. This would be a whole different project if you had to build all this processing facilities and infrastructure to produce those reserves but when you have those available to you with excess capacity to deal with it, that's what makes it so attractive. And for 200 million pounds of copper a year with that kind of cost structure, the payback for this investment is pretty quick.

是的。薩福德的氧化物已接近其使用壽命的盡頭。如果必須建造所有這些加工設施和基礎設施來生產這些儲備，這將是一個完全不同的項目，但是當您擁有足夠的產能來處理這些儲備時，這就是它如此有吸引力的原因。對於每年 2 億磅銅而言，在這種成本結構下，這項投資的回報非常快。

Yes. And I think I'm going to manage to ask another question without asking about Indonesia. So on El Abra, you are quoting a 6- to 8-year of expected lead time. If a new government gets elected in Chile, do you say you can accelerate that process? And if so, CODELCO has quoted $40 billion in expenditures over the next 8 years. Is -- I'm assuming El Abra is not part of that.

是的。我想我將設法提出另一個問題，但不問有關印尼的問題。所以在 El Abra 上，您引用的預計交貨時間為 6 到 8 年。如果智利選出新政府，您是否說您可以加速這項進程？如果是這樣，CODELCO 預計未來 8 年的支出將達到 400 億美元。是——我認為 El Abra 不屬於其中。

No, El Abra is not part of CODELCO's capital spending. They're -- I think most of you know, they're our 49% partner, but that would be funded within the company itself. The government issue, I don't believe, will have an impact on the process. While there may be a potentially more favorable outlook for the industry, like around the world, in Chile environmental concerns are significant and widely held. And so I believe we'd go through the same permitting process regardless of the government. And this is a project being a brownfield expansion in this mining region near Antofagasta. It's a -- it's the kind of project that Chile would welcome regardless of the government. And regardless of government, they -- we'd want to make sure that the planning and environmental management's handled in the right way.

不，El Abra 不是 CODELCO 資本支出的一部分。我想大多數人都知道，他們是我們 49% 的合作夥伴，但這些資金將由公司內部提供。我不相信政府問題會對這項進程產生影響。儘管像世界各地一樣，該行業的前景可能更為有利，但智利的環境問題仍然十分嚴重，而且人們對此普遍感到擔憂。因此我相信無論政府如何變化我們都會經歷相同的許可程序。這是安託法加斯塔附近礦區的棕地擴建計畫。無論政府如何變化，智利都會歡迎這樣的計畫。無論哪個政府，我們都希望確保規劃和環境管理以正確的方式進行。

Your next question will come from the line of Brian MacArthur with Raymond James.

您的下一個問題來自雷蒙德詹姆斯 (Raymond James) 的布萊恩麥克阿瑟 (Brian MacArthur)。

I hate to go back to Indonesia, again, but just -- 1 of the points you make all the time is how much benefits the government gets out of this. And on the slide, you talk about $40 billion through to 2041. And I'm just -- there's been talk about changing taxes in Indonesia as part of this or whatever. I'm just curious, to the extent you can, what you actually assume to get the $40 billion? Did you assume the current structure going forward? Is that your share? Does that include Rio? Or what actually went in that?

我不想再回到印度尼西亞，但是——你一直強調的觀點之一就是政府從中獲得了多少好處。在幻燈片上，您談到到 2041 年將達到 400 億美元。我只是——有傳言稱印尼將改變稅收制度，作為此事的一部分。我只是很好奇，就您所能想像的範圍內，您實際上打算怎樣才能獲得這 400 億美元？您是否設想了當前的結構將會如何發展？那是你的份嗎？這包括裡約嗎？或者其中究竟發生了什麼事？

Yes, that's the total for the project, and it includes the current contract tax and royalty provision. We -- as part of our agreement, we've agreed to increase royalties to the royalty levels that are currently applicable under the new mining law. And then we're working on new fiscal terms, so that the fiscal burden on our business would be equivalent to what it has been under the COW. So the government would be receiving more benefits, which has been one of their objectives. Those incremental benefits would come from higher royalties, but we're working together to reshuffle the cards somewhat on the taxes and other fees. But the objective would be that the burden for our business would be equivalent to what it has been.

是的，這是該項目的總額，其中包括當前的合約稅和特許權使用費。作為協議的一部分，我們同意將特許權使用費提高到新採礦法目前適用的特許權使用費水準。然後，我們正在製定新的財政條款，以便我們業務的財務負擔與 COW 下的財務負擔相當。這樣政府就會獲得更多的利益，這也是他們的目標之一。這些增量收益將來自更高的版稅，但我們正在共同努力對稅收和其他費用進行一定程度的重新調整。但目標是，讓我們的業務負擔與以前持平。

And Brian, we've been paying the higher royalties since 2014. You'll remember that, that our royalty rate, we're paying more than what's under our COW today. So we're not anticipating a material change in the aggregate of our fiscal terms.

布萊恩，我們自 2014 年以來就一直支付更高的版稅。您會記得，我們​​支付的版稅率比我們今天的 COW 下的版稅率要高。因此，我們預期財政條款的整體不會發生重大變化。

Right. And I assume and I guess -- but you assume through the 2022, you've sort of worked under the strip and everything the same and then switch to 60-40 there. And spending, I mean, roughly are you just going to kind of make it work it out so it's neutral?

正確的。我假設並且猜測——但你假設到 2022 年，你會在地帶下工作並且一切都一樣，然後切換到 60-40。至於支出，我的意思是，大致來說您是否會讓它發揮作用以保持中性？

Yes. Well, the way it works now is PT-FI pays its taxes. Rio Tinto pays its taxes for this joint venture. So I mean -- but you know this. Let's remind everybody else. We have a 35% income tax rate, whereas the general tax rate in Indonesia is 25%, and they're talking about potentially reducing it. We also pay a 10% withholding tax for dividends that are paid from Indonesia to FCX. So there is a very substantial tax burden already in place on us for which, as I said, is the highest of any country that we operate in.

是的。嗯，現在的運作方式是 PT-FI 繳稅。力拓為該合資企業繳稅。所以我的意思是——但是你知道這一點。讓我們提醒大家。我們的所得稅率為 35%，而印尼的一般稅率為 25%，而且他們正在討論可能降低稅率。我們也為從印尼支付給 FCX 的股利繳納 10% 的預扣稅。因此，我們的稅收負擔已經非常沉重，正如我所說，這是我們經營所在的所有國家中最高的。

Your next question will come from the line of Michael Dudas with Virtual (sic) [Vertical] Research.

您的下一個問題來自 Virtual (sic) [Vertical] Research 的 Michael Dudas。

That'd be Vertical. And I'm sorry, I have to -- no Indonesia question here. Just interested, Richard, your thoughts on early part of the cycle. Are you getting some in-ditching pressures from your vendors, equipment, labor, contractors? Is that something you've been able to push back? Or is that something we're going to see as we move forward as the cycle strengthens?

那就是垂直的。很抱歉，我必須說——這裡沒有關於印尼的問題。只是有興趣，理查德，你對週期早期的看法。您是否面臨來自供應商、設備、勞動力和承包商的壓力？你能推遲這件事嗎？或者這是我們隨著週期加強而看到的事情？

Well, it's just natural that you go from a period of very low levels of activity with vendors to an increased level. There's going to be a price impact with that. We are such a large customer with our vendors that we have a partnership with them. And so we work together to get the fair deals with them. But I see some of the analysts already commenting on some cost increases in the industry. And obviously as prices rise, you can expect cost to rise. There is a correlation. One of the reasons we've never been attracted to hedging is there is a correlation between copper prices and many of our input costs. And so that's just -- that correlation is going to continue. And I will just complement Red, Mike and their teams for the jobs they do to find efficiencies in everything from truck usage to tires to engines. And we've done studies. We've had to do that because we got these low-grade mines. And our guys have done a great job. We've benchmarked our operations against other mining operations around the world. And when they show that to me, I get very proud of our team. They're just doing a great job.

嗯，你與供應商的活動從非常低的水平轉變為更高的水平，這是很自然的。這會對價格產生影響。我們是供應商的大客戶，因此我們與他們建立了合作關係。因此，我們共同努力與他們達成公平的協議。但我看到一些分析師已經對該行業的一些成本增加發表了評論。顯然，隨著價格上漲，成本也會上漲。它們之間存在關聯。我們從未對沖感興趣的原因之一是銅價與我們的許多投入成本之間存在相關性。所以這只是——這種相關性將會持續下去。我只想讚揚 Red、Mike 和他們的團隊所做的工作，他們在從卡車使用到輪胎到引擎等各個方面尋求效率。我們已經做過研究。我們必須這樣做，因為我們擁有這些低品位的礦場。我們的隊員們表現出色。我們已經將我們的營運與世界各地的其他採礦業務進行了對比。當他們向我展示這一點時，我為我們的團隊感到非常自豪。他們只是做得很好。

Your next question will come from the line of Novid Rassouli with Cowen and Company.

您的下一個問題來自 Cowen and Company 的 Novid Rassouli。

I was wondering if you could give your thoughts on the potential Chinese scrap import ban, and if that is affecting, or if you guys are seeing that affecting Chinese domestic buying behavior at all? Or any thoughts surrounding that would be greatly helpful.

我想知道您是否可以對中國潛在的廢料進口禁令發表看法，以及這是否會產生影響，或者您認為這會影響中國國內的購買行為？或任何與此相關的想法都會非常有幫助。

Well, there's so many moving parts in China today with the issues related to scrap, with their focus on environmental management, with -- they're taking steps to deal with inefficiencies in their industry. And that carries over to the copper processing industry. And then their efforts to continue to stimulate their economy and build infrastructures and now with the One Belt, One Road initiative to devote spending to infrastructure development in other countries, you add all of that up and what you see in China is growth at a much lower -- absolute level of growth than in the past. But with the size of their economy which, by many measures, is the largest economy in the world now, and even lower growth with absolute levels, you end up with very significant amounts of copper demand. But what's happening too in our industry is whereas China, for many years, was a source of all the growth, today growth from year to year is now coming from outside China. With the recovery of economies in Europe and in the United States, perhaps 1/2 of the growth now is coming from countries outside China. And so that's what is fundamentally good about our business. We're so correlated to general economic levels in the developed countries. And then when you have countries like China and other developing countries that are spending money, it creates good demand. I was counting today the building cranes outside my window here at the hotel in Jakarta and I counted 18 high-rise building cranes going up and that's just 1 instance of growth in a southeastern Asia economy and the demand for copper that, that creates.

現在中國在廢棄物相關問題上發生了許多變化，他們注重環境管理，並採取措施解決產業效率低下的問題。這也影響了銅加工產業。然後他們繼續努力刺激經濟，建設基礎設施，現在又透過「一帶一路」計劃，投入資金用於其他國家的基礎設施建設，如果你把所有這些加起來，你就會發現中國的增長率絕對水平比過去低得多。但考慮到其經濟規模（從多種指標來看，目前是世界上最大的經濟體），以及絕對水準的較低成長率，對銅的需求將非常巨大。但在我們行業中也發生的情況是，儘管中國多年來一直是所有成長的源頭，但如今逐年的成長卻來自中國以外。隨著歐洲和美國經濟的復甦，目前大概有一半的成長來自中國以外的國家。這正是我們業務的根本優點。我們與已開發國家的總體經濟水準密切相關。當中國和其他發展中國家投入資金時，就會產生良好的需求。今天，我在雅加達酒店窗外數了數建築起重機，發現有 18 台高層建築起重機正在建造中，這只是東南亞經濟成長的一個例子，也正是經濟成長催生了對銅的需求。

Great. And then just 1 follow-up. Going back to Slide 22 with respect to leverage, I just wanted to see longer term what's your goal or what do you have in mind for maybe a long-term average kind of debt-to-EBITDA level that you'd be comfortable with, just so we can get a sense of kind of how things could trend and what type of bandwidth you might have for future investments?

偉大的。然後只需 1 個後續行動。回到投影片 22 關於槓桿率的問題，我只是想了解一下您的長期目標是什麼，或者您對長期平均債務與 EBITDA 比率有什麼想法，這樣我們就可以了解事情的趨勢，以及您對未來投資的承受能力如何？

So we've never managed our business to have any kind of targeted debt to EBITDA. We do a series of long-term forward cash flow analyses using different scenarios of copper prices. And then we match capital spending to go with that, and we manage our debt levels to be comfortable with that. I mean, we're at a debt level now that we will be comfortable with living with for the long term. But because we're not prepared to commit to long-term capital right now, and we have this overhang of the Indonesian situation, we're going to be using cash flows to continue to reduce debt. You may recall that in 2011, at the time they announced an oil and gas deal, our company had 0 debt and we were paying substantial dividends. So we don't have a targeted debt level. It's all based on cash flow analysis. And we'll continue to run it on that basis and make disciplined decisions about investing capital when that's warranted.

因此，我們從未管理過任何形式的針對性債務/EBITDA 業務。我們根據不同的銅價情境進行了一系列長期遠期現金流分析。然後，我們匹配相應的資本支出，並管理我們的債務水平，使其達到舒適的水平。我的意思是，我們現在的債務水準是我們能夠長期承受的。但由於我們目前還沒有準備好投入長期資本，而且印尼的局勢也對我們造成了很大影響，因此我們將利用現金流繼續減少債務。您可能還記得，2011 年，當他們宣布一項石油和天然氣交易時，我們公司沒有任何債務，而且還支付了大量股息。所以我們沒有目標債務水準。這一切都基於現金流分析。我們將繼續以此為基礎運作，並在必要時做出有關投資資本的嚴謹決策。

Your next question comes from the line of Piyush Sood with Morgan Stanley.

您的下一個問題來自摩根士丹利的 Piyush Sood。

First one, I just want to understand the optionality you have at Grasberg, where you could advance mining of some higher grades in 2018 and 2019. So can you give us some idea on what's the upside here and if that could keep the open pit running longer than expected?

首先，我只是想了解你們在格拉斯伯格 (Grasberg) 的選擇權，你們可以在 2018 年和 2019 年推進一些更高品位的採礦。那麼，您能否告訴我們這樣做的好處是什麼，以及是否可以讓露天礦場的運作時間比預期更長？

Well, we are going after the highest grades available. And all of that is a function of the pit design. We're at the very bottom of this pit right now. And so Mark and his team are constantly looking for opportunities to get the highest grade available, consistent with maintaining the integrity of the pit and the safety of the slopes. So there's not a question of having opportunities to high grade. We're going after the very highest grade that we have. Now we are -- as we get to the bottom of this pit, we're looking for opportunities to maximize PV and that's an ongoing mine planning exercise. And so that may well be that we can find some opportunities for temporarily extending the pit. But that's just going to be something at the margin. We are -- and that would be a trade-off for what we can get through the pit and how much we could get from committing the block caving underground cost. To the extent that we defer that, then you're deferring the ramp-up. And so -- but it's strictly a safety-first exercise and then maximizing NPV for deciding where to access the ore.

好吧，我們追求的是最高的分數。所有這些都是坑設計的功能。我們現在正處於這個坑的最底端。因此，馬克和他的團隊一直在尋找機會以獲得最高等級，同時保持礦坑的完整性和斜坡的安全。因此，不存在獲得高分的機會的問題。我們正在追求我們所能得到的最高等級。現在我們 - 當我們深入這個礦坑時，我們正在尋找最大化 PV 的機會，這是一項正在進行的礦場規劃工作。因此，我們很可能可以找到一些機會來暫時延長這個坑。但這只是邊緣現象。是的 — — 這將是對我們透過礦坑可以獲得什麼以及我們能從地下崩落開採成本中獲得多少收益的權衡。如果我們推遲這一點，那麼您也將推遲提升速度。所以 — — 但這嚴格來說是一項安全第一的練習，然後最大化 NPV 來決定從哪裡獲取礦石。

That's helpful. And switching gears to El Abra, I now realize the project is in its early days. The technical study is a few years out. But I just want to check if that's an operation for a world where copper's at $3? Or is it maybe a project for $3.50 or $4 copper world?

這很有幫助。轉到 El Abra，我現在意識到該專案尚處於早期階段。這項技術研究已經過去幾年了。但我只是想檢查一下這是否適用於銅價為 3 美元的世界？或者這可能是一個價值 3.50 美元或 4 美元的銅幣世界的項目？

It's more in the range of $3. It's not a $4 project. No, it's a -- we have reserves at $2, but we're not -- we wouldn't run the mine plan on that. But it would require confidence that you've got a $3 copper price to proceed with. And by the way, that's the industry we live in. I mean, we look at -- always look over all these analyst reports before our earnings call. I mean, Wood Mackenzie's long-term incentive price for copper is $3.30. That's just what it is. I'm not commenting on it one way or another other than saying that's what their analysis shows for the industry as a whole.

其價格約為 3 美元左右。這不是一個4美元的項目。不，我們的儲備金為 2 美元，但我們不會以此為基礎實施礦山計劃。但這需要你有信心維持 3 美元的銅價。順便說一句，這就是我們賴以生存的行業。我的意思是，我們總是在收益電話會議之前查看所有這些分析師報告。我的意思是，伍德麥肯茲對銅的長期激勵價格是 3.30 美元。事實就是這樣。我對此不做任何評論，只是說他們的分析顯示了整個行業的情況。

Now we'll turn the call over to management for any closing remarks.

現在我們將把電話轉給管理階層，請他們做最後發言。

Well, those were good questions, not unexpected questions, I'd say. But we appreciate your participation, your good questions. We look forward to reporting our progress as we go forward. If you have any follow-up issues you'd like to get clarification on, please contact David Joint, and he will arrange for us to respond to any questions or comments that you might have.

嗯，我想說，這些都是好問題，而不是意料之外的問題。但我們感謝您的參與和您提出的好問題。我們期待報告我們今後的進展。如果您有任何後續問題需要澄清，請聯絡 David Joint，他會安排我們回覆您可能遇到的任何問題或意見。

So thanks, everyone. Have a good day.

謝謝大家。祝你有美好的一天。

Ladies and gentlemen, that concludes our call for today. Thank you for your participation. You may now disconnect.

女士們、先生們，今天的通話到此結束。感謝您的參與。您現在可以斷開連線。