費利浦·麥克莫蘭銅金 (FCX) 2023 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the Freeport-McMoran's Third Quarter Conference Call. (Operator Instructions) I would now like to turn the conference over to Ms. Kathleen Quirk, President. Please go ahead, ma'am.

女士們先生們，謝謝你們的支持。歡迎參加自由港麥克莫蘭第三季電話會議。 （操作員指示）我現在想將會議轉交給主席凱瑟琳·奎克女士。請繼續，女士。

Thank you, and good morning. Welcome to our conference call. Earlier this morning, FCX reported our third quarter 2023 operating and financial results, and a copy of the press release and slides are available on our website at fcx.com. Our call today is being broadcast live on the Internet, and anyone may listen to the call by accessing our website homepage and clicking on the webcast link for the conference 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.

謝謝你，早安。歡迎參加我們的電話會議。今天早上早些時候，FCX 報告了我們 2023 年第三季的營運和財務業績，新聞稿和幻燈片的副本可在我們的網站 fcx.com 上取得。我們今天的電話會議正在網路上進行直播，任何人都可以透過造訪我們的網站主頁並點擊電話會議的網路廣播連結來收聽電話會議。除了分析師和投資者之外，財經媒體也被邀請收聽今天的電話會議，今天晚些時候我們的網站上將提供網路廣播的重播。

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

在開始發表評論之前，我們想提醒大家，今天的新聞稿中，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。我想請大家注意我們的新聞稿和簡報資料中包含的警告語言以及我們向 SEC 提交的文件中所述的風險因素。

On the call today is Richard Adkerson, our Chairman and CEO; Maree Robertson, our Chief Financial Officer; Mark Johnson, Chief Operating Officer for Indonesia; Josh Olmsted, the Chief Operating Officer for the Americas; Mike Kendrick, who heads our Molybdenum business; Cory Stevens, who leads our Technical services and Engineering and Construction Group; and Steve Higgins, our Chief Administrative Officer.

今天的電話會議由我們的董事長兼執行長理查德·阿德克森 (Richard Adkerson) 主持。 Maree Robertson，我們的財務長；馬克‧約翰遜 (Mark Johnson)，印尼營運長；喬許‧奧姆斯特德 (Josh Olmsted)，美洲區營運長； Mike Kendrick，鉬業務負責人； Cory Stevens，領導我們的技術服務和工程建立團隊；以及我們的首席行政官 Steve Higgins。

We're going to start with Richard. He'll make some opening comments, and then we'll be reviewing the slide materials, and then we'll open up the call for your questions. Go ahead, Richard.

我們將從理查德開始。他將發表一些開場評論，然後我們將審查幻燈片材料，然後我們將開始徵求您的問題。繼續吧，理查德。

Good morning. Yes, Good morning, thanks, Kathleen. As Kathleen said, she's going to review our operations and financial results for the third quarter. Big picture, we had very strong operations performance. And this was really notable in the face of a number of challenges we faced at different locations around the world. Once again, team Freeport answered the bell and ran through. Stating the obvious, it's a complicated geopolitical and macroeconomic world. Freeport family around the world is sad for the poor people in Israel and Gaza and in the Ukraine and praying for a resolution to those conflicts.

早安.是的，早上好，謝謝，凱瑟琳。正如凱瑟琳所說，她將審查我們第三季的營運和財務表現。整體來看，我們的營運業績非常強勁。面對我們在世界各地面臨的許多挑戰，這一點確實值得注意。自由港隊再次響鈴並衝了過去。顯而易見，這是一個複雜的地緣政治和宏觀經濟世界。世界各地的弗里波特大家庭為以色列、加薩和烏克蘭的窮人感到悲傷，並祈禱這些衝突得到解決。

Macroeconomic factors with higher interest rates are negative for the price of copper and Freeport's equity. It goes without saying, our business by design, by strategy is correlated to the price of copper. In response to the recent lower copper prices, we are supported by having a strong balance sheet, which we're committed to maintaining and by having the ability to manage our capital cost and operations to be responsive to the price environment. We remain very confident about the long-term outlook for copper and for our company's equity. The current situation does nothing but bolster the longer-term outlook for copper prices as a commodity and for our future returns to Freeport's shareholders.

利率上升的宏觀經濟因素對銅價和自由港股權不利。不言而喻，我們的業務設計、策略都與銅價相關。為了因應近期銅價下跌，我們致力於維持強大的資產負債表，並有能力管理我們的資本成本和營運以應對價格環境。我們對銅的長期前景和我們公司的股權仍然充滿信心。目前的情況只會增強銅價作為商品的長期前景以及我們對自由港股東的未來回報。

We look forward to answering your questions, and I'll turn the call over to Kathleen to review our results.

我們期待回答您的問題，我會將電話轉給凱瑟琳以查看我們的結果。

Thank you, Richard, and I'm going to start on Slide 3, where we summarize our key operating and financial highlights for the third quarter. We delivered another quarter of strong execution. Production results across the portfolio were solid, totaling 1.1 billion pounds of copper and over 500,000 ounces of gold during the quarter. Our copper sales were 8% above our estimates going into the quarter. And despite strong gold production, our third quarter gold shipments were slightly below previous estimates that reflected timing associated with some administrative approvals in Indonesia, but this is expected to turn and set up for higher gold sales in the fourth quarter.

謝謝理查德，我將從投影片 3 開始，我們總結了第三季的主要營運和財務亮點。我們又一個季度表現強勁。整個投資組合的生產業績穩健，本季銅產量總計 11 億磅，黃金產量超過 50 萬盎司。本季的銅銷售額比我們的預期高出 8%。儘管黃金產量強勁，但我們第三季的黃金出貨量略低於先前的預期，這反映了與印尼一些行政批准相關的時間安排，但預計這種情況將會扭轉，並為第四季度的黃金銷量增加奠定基礎。

Our unit net cash costs on a consolidated basis averaged $1.73 per pound in the third quarter that was similar to the year ago quarter. The increase compared to our guidance of $1.61 per pound largely reflects the impact of export duties in Indonesia, which we continue to review and discuss with the Indonesian government.

第三季度，我們的單位綜合淨現金成本平均為每磅 1.73 美元，與去年同期相似。與我們每磅 1.61 美元的指導相比，這一增長主要反映了印尼出口關稅的影響，我們將繼續與印尼政府進行審查和討論。

With average copper prices of $3.80 per pound in the quarter, we generated EBITDA of $2.2 billion. Our operating cash flows, which were net of $500 million in working capital uses totaled $1.2 billion, and those exceeded our mining capital expenditures totaling $800 million, which excludes capital associated with our smelter project, totaling $400 million in the quarter, and that's being funded from proceeds that we raised last year in a financing transaction.

本季銅平均價格為每磅 3.80 美元，我們的 EBITDA 為 22 億美元。扣除5 億美元的營運資金使用後，我們的營運現金流總計12 億美元，超過了我們總計8 億美元的採礦資本支出，其中不包括與我們的冶煉廠項目相關的資本，本季度總計4 億美元，並且正在融資來自我們去年在融資交易中籌集的收益。

We're making steady progress on the smelter projects in Indonesia. The construction project on the new greenfield smelter is 84% complete, and we're on track to begin ramping up during 2024. Richard talked about our balance sheet, our balance sheet, liquidity, financial flexibility remain in great shape. Excluding the net debt associated with the smelter projects in Indonesia, we ended the quarter with $800 million in net debt.

我們在印尼的冶煉廠計畫正在穩步推進。新綠地冶煉廠的建設項目已完成 84%，我們預計在 2024 年開始加速建設。理查德談到了我們的資產負債表，我們的資產負債表、流動性和財務靈活性仍然保持良好狀態。不包括與印尼冶煉廠項目相關的淨債務，本季末我們的淨債務為 8 億美元。

As we approach the end of 2023, our team remains focused on continuing strong and safe execution of our operating plans and we expect to have another quarter of strong production results, and we're going to continue to advance several important initiatives to drive long-term value in our business.

隨著2023年底的臨近，我們的團隊仍然專注於繼續強有力和安全地執行我們的營運計劃，我們預計將再有一個季度的強勁生產業績，我們將繼續推進幾項重要舉措，以推動長期發展。我們業務中的術語價值。

Moving to the next slide, Slide 4. We talk about copper markets. And as Richard mentioned, the long-term fundamental outlook for copper remains compelling, characterized by rising demand associated with global investments in electrification and limited supplies. In the short term, copper prices have been impacted by macro sentiment tied to rising interest rates, U.S. dollar strength and settlement on the global economy.

轉到下一張投影片，投影片 4。我們討論銅市場。正如理查德所提到的，銅的長期基本面前景仍然引人注目，其特點是與全球電氣化投資和供應有限相關的需求不斷增長。短期內，銅價受到利率上升、美元走強以及全球經濟結算等宏觀情緒的影響。

Copper inventories on exchanges have risen in recent weeks, and that follows a multiyear period of declines. When we look at the overall inventories on the exchanges, they remain low by historical standards and in relation to the growing size of the market. The reality on the ground, when we look at the macro sentiment, we also need to look at the reality on the ground. And the new structural demand drivers for copper are mitigating traditional cyclical uses.

近幾週來，交易所的銅庫存有所增加，而這是在經歷了多年的下降之後。當我們觀察交易所的整體庫存時，按照歷史標準以及與不斷增長的市場規模相比，它們仍然處於較低水平。現實情況，當我們看宏觀情緒的時候，我們也需要看到現實情況。銅的新結構性需求驅動因素正在緩解傳統的周期性用途。

In the U.S., several of our customers are reporting growth in power cable and building wire for utilities and data centers and rising demand from the automotive sector. There are pockets of weakness tied to residential housing, but this is being offset in other sectors. China's consumption continues to grow despite the country's weak property sector, supported by massive investments in wind and solar and growth in electric vehicle production. And the recent signs we're seeing that economic activity is picking up in China.

在美國，我們的一些客戶報告說，公用事業和資料中心的電力電纜和建築電線的成長以及汽車產業的需求不斷增長。住宅市場存在一些弱點，但其他領域正在抵消這一弱點。儘管中國房地產業疲軟，但在風能和太陽能大規模投資以及電動車生產成長的支持下，中國的消費仍在持續成長。最近我們看到中國經濟活動正在復甦的跡象。

We're also seeing growth in copper consumption in India, which has historically used less copper per capita than other countries. We can't predict short-term macro forces that have heavily influenced the market, but our conviction for the long-term fundamental outlook remains strong. Copper is the metal when it comes to electrification and Freeport is well positioned as a leader in the global copper industry.

我們也看到印度的銅消費量成長，該國的人均銅消耗量歷來低於其他國家。我們無法預測對市場產生重大影響的短期宏觀力量，但我們對長期基本面前景的信念仍然堅定。銅是電氣化領域的金屬，自由港在全球銅業中處於領先地位。

Our -- When we look at the long term, we're looking at the next several years where demand is expected to accelerate with third-party projections for demand to double by 2035. At the same time, the ability of the copper industry to meet this rising demand is a major challenge. The recent weakness in price, combined with higher capital costs to develop new mines, are making it more difficult to justify new project development, which is essential to the future. With this backdrop, we believe the current price is not sustainable and prices will need to rise to incentivize new supplies.

我們—當我們著眼於長期時，我們著眼於未來幾年的需求預計將加速，第三方預測到 2035 年需求將翻倍。同時，銅產業的能力滿足這種不斷增長的需求是一項重大挑戰。最近的價格疲軟，加上開發新礦場的資本成本上升，使得證明新項目開發的合理性變得更加困難，而這對未來至關重要。在這種背景下，我們認為當前的價格不可持續，價格需要上漲以刺激新的供應。

At Freeport, we benefit from a large reserve position and an even larger resource position to grow our business in the future. We're going to take a long-term view and also be mindful of the short-term pressures on the market.

在自由港，我們受益於大量的儲備地位和更大的資源地位，以便在未來發展我們的業務。我們將著眼長遠，同時也要注意市場的短期壓力。

Moving to the next slide on Slide 5. We want to highlight some of the key operational drivers for our business during the quarter. In the U.S., our leach innovation initiatives, where we're deploying new operating practices to traditional leaching, is showing tangible progress. Incremental copper from these incentives totaled 46 million pounds in the third quarter. This is 90% of our initial target run rate of 200 million pounds of copper per annum.

前往投影片 5 的下一張投影片。我們希望強調本季我們業務的一些關鍵營運驅動因素。在美國，我們的浸出創新計畫正在向傳統浸出部署新的操作實踐，並取得了實際進展。第三季這些激勵措施帶來的銅增量總計 4,600 萬英鎊。這是我們每年 2 億磅銅的初始目標運行率的 90%。

We see ongoing opportunities for additional scale as we aggressively advance this highly valuable initiative. Additionally, we're continuing to focus on enhancing productivity in our U.S. mining and milling operations. We know there's opportunity here to improve, and it's a key focus area for us.

隨著我們積極推動這項極具價值的舉措，我們看到了不斷擴大規模的機會。此外，我們將繼續致力於提高美國採礦和銑削業務的生產力。我們知道這裡有改進的機會，這是我們的重點領域。

At Cerro Verde in Peru, where we operate 1 of the largest concentrate sites in the world, the mill averaged over 430,000 tons per day during the quarter, that was a new quarterly record. You recall this is a site that was designed at 360,000 tons per day. Over time, our team has found ways to improve efficiencies there. I'm really proud of the Cerro Verde team.

在秘魯的 Cerro Verde，我們經營著世界上最大的精礦廠之一，該工廠本季平均每天產量超過 43 萬噸，這是一個新的季度記錄。您記得這是一個設計產能為每天 36 萬噸的場地。隨著時間的推移，我們的團隊找到了提高效率的方法。我為 Cerro Verde 團隊感到非常自豪。

At Grasberg, our mill rates averaged 207,000 tons per day for the quarter, processing high grades of copper and gold ore. The production for the quarter exceeded 400 million pounds of copper and over 500,000 ounces of gold. That was in a single quarter, demonstrating the size and scale of this operation. We had several days of the mill throughput in excess of 220,000 tons per day.

在格拉斯伯格，本季我們的工廠平均產量為每天 207,000 噸，加工高品位銅礦石和金礦石。本季銅產量超過 4 億磅，黃金產量超過 50 萬盎司。這是在一個季度內完成的，展示了該行動的規模和規模。我們工廠有幾天的吞吐量超過了每天 22 萬噸。

And -- highlight of the quarter was the performance of Grasberg Block Cave. We mined from that ore body over 130,000 tons per day on average. We installed a new gyratory crusher at the Grasberg Block Cave, which gives us the ability to process more material from that large ore body, and we recently reached new records of over 160,000 tons a day. We're working to complete the new SAG mill at Grasberg. We're expected to complete construction by the end of the year, and that will give us more opportunities in the future to ramp up our mill rate even further.

本季的亮點是 Grasberg Block Cave 的表現。我們平均每天從該礦體開採超過 13 萬噸。我們在 Grasberg Block Cave 安裝了一台新的旋回破碎機，這使我們能夠從大型礦體中加工更多材料，最近我們創下了每天超過 160,000 噸的新記錄。我們正在努力完成格拉斯伯格的新半自磨機。我們預計將在今年年底前完成建設，這將為我們未來提供更多機會進一步提高工廠產能。

Turning to Slide 6. We talk about our growth initiatives. And as we look at the situation where we have growing demand for copper over the next several years, and the limitations and the high capital intensity and risk for greenfield projects, our strategy is really focused on development of extensions of our existing operations and our portfolio of brownfield opportunity. We characterize our growth in near term, medium-term and longer-term development options.

轉向幻燈片 6。我們談論我們的成長計劃。當我們考慮未來幾年對銅的需求不斷增長的情況，以及綠地專案的局限性、高資本密集度和風險時，我們的策略實際上側重於現有業務和投資組合的擴展發展棕地機會。我們透過近期、中期和長期發展選擇來描述我們的成長。

On the near-term side, the initial target of 200 million pounds per year of copper from our leach initiative has essentially been met. And now we're focusing on sustaining it and scaling it further. On prior calls, we discussed our initiatives to retain more heat in the stockpiles and those activities are continuing. A big driver of the success in the last several months has been on our leach-everywhere work where we're applying solutions to areas of the stockpile, which have not previously been leached.

從近期來看，我們的浸出計畫每年生產 2 億磅銅的初步目標已基本實現。現在我們專注於維持它並進一步擴展它。在先前的電話會議中，我們討論了在庫存中保留更多熱量的舉措，這些活動仍在繼續。過去幾個月成功的一個重要推動力是我們的無處不在的浸出工作，我們將解決方案應用於以前未浸出的庫存區域。

We're also conducting targeted drilling to inject solution to areas within the stockpile where solutions may have been blocked over time. And our data and modeling can now provide information that target specific areas of opportunity, and we're gearing up to do this more at scale.

我們還進行有針對性的鑽探，將解決方案注入庫存中隨著時間的推移可能被堵塞的區域。我們的數據和模型現在可以提供針對特定機會領域的信息，並且我們正準備更大規模地做到這一點。

We now believe we can scale these activities and double the incremental copper to 400 million pounds per annum over time. This is just from applying our operating practices at a larger scale without relying on new technologies. We're also continuing our work on the new technologies front, and that's going to give us the opportunity with success to reach our ultimate goal of 800 million pounds per annum from this initiative over the next 3 to 5 years.

現在，我們相信我們可以擴大這些活動的規模，隨著時間的推移，將銅增量增加一倍，達到每年 4 億磅。這只是我們在不依賴新技術的情況下更大規模地應用我們的營運實踐。我們也將繼續在新技術方面開展工作，這將使我們有機會成功實現未來 3 到 5 年內透過該舉措每年產生 8 億英鎊的最終目標。

Remind everybody, we have 40 billion pounds of copper in our stockpiles that's already been mined. This is not in our reserves, and it's an opportunity for us to get recoveries from this copper that previously was thought to be waste material. This initiative has the best economics of anything in our portfolio given its low capital intensity and low incremental operating costs, and we're pursuing it very aggressively.

提醒大家，我們庫存中已經開採了 400 億磅銅。這不在我們的儲備中，這是我們從以前被認為是廢料的銅中回收的機會。鑑於其較低的資本密集度和較低的增量營運成本，該措施在我們的投資組合中具有最佳的經濟效益，並且我們正在非常積極地追求它。

Our productivities in the U.S., which I mentioned earlier, are focused on rebuilding the experience of our workforce. We've had a large number of new hires in recent years, and we need to rebuild our skills and experience, enhancing our practices to achieve better equipment performance and reliability and taking advantage of new technologies and automation to restore and improve on productivity metrics that weakened during the pandemic. By increasing our productivity in the U.S., we have the opportunity to add an additional 200 million pounds per year from our existing assets with limited capital investment.

我之前提到過，我們在美國的生產力重點是重建員工的經驗。近年來，我們招募了大量新員工，我們需要重建我們的技能和經驗，加強我們的實踐以實現更好的設備性能和可靠性，並利用新技術和自動化來恢復和提高生產力指標疫情期間有所減弱。透過提高我們在美國的生產力，我們每年有機會利用有限的資本投資從現有資產中額外增加 2 億英鎊。

We're also continuing our work on potential expansion of the Bagdad mine in Northwest Arizona. We're completing a feasibility study, and we're taking some steps now to enhance optionality for the future, including making some investments in autonomous haulage in our mining operations at Bagdad and we're advancing investments in our tailings infrastructure for the future. We are setting up Bagdad expansion project as an option for the future. The timing of it will depend on market conditions. We're looking at the increased capital cost requirements for projects and we'll consider that. We're also looking at the availability of labor and we'll make all those reviews before finalizing our decision on the timing of this project. But it's a very large resource for us. We've got significant reserves spanning over 80 years there and a good opportunity for expansion in the future at the right time.

我們也持續進行亞利桑那州西北部巴格達礦的潛在擴建工作。我們正在完成一項可行性研究，我們現在正在採取一些措施來增強未來的選擇性，包括對巴格達採礦作業的自主運輸進行一些投資，並且我們正在推進對未來尾礦基礎設施的投資。我們正在建立巴格達擴建項目，作為未來的選擇。其時間安排將取決於市場狀況。我們正在研究專案增加的資本成本要求，我們會考慮這一點。我們還在考慮勞動力的可用性，我們將在最終決定該專案的時間表之前進行所有這些審查。但這對我們來說是一個非常大的資源。我們在那裡擁有可使用 80 多年的大量儲備，並在未來適時擴張的良好機會。

We also have a major opportunity for expansion at our El Abra mine in Chile. This is a very large resource that could support a concentrator on the size of the concentrator we added at Cerro Verde several years ago. We're retesting the economics to update project capital costs in light of the recent capital cost experience and other large projects. And in parallel, we are planning investments in water infrastructure to support the current operation and provide optionality for the future. Again, this is about options for expansion at the right time, and we've got the portfolio with a lot of option value within the Freeport portfolio.

我們在智利的 El Abra 礦場也有一個重大的擴張機會。這是一個非常大的資源，可以支援我們幾年前在 Cerro Verde 新增的集中器的大小。我們正在重新測試經濟學，以根據最近的資本成本經驗和其他大型專案來更新專案資本成本。同時，我們正在計劃對水利基礎設施進行投資，以支援當前的營運並為未來提供選擇。同樣，這是關於在正確的時間進行擴張的選擇，我們在自由港投資組合中擁有具有大量期權價值的投資組合。

Our Kucing Liar development in Grasberg is proceeding on schedule. We expect to commence production by 2030. A huge, huge ore body ramping up to 550 million pounds of copper and 560,000 ounces of gold in next decade. We're also conducting some additional exploration in the Grasberg district, where we have identified some potential below our Deep MLZ ore body. We're continuing to advance discussions in Indonesia for extension beyond 2041. That would open the door for continuation of large-scale mining and potential additional development options in 1 of the world's largest and highest grade copper and gold mining districts.

我們在 Grasberg 的 Kucing Liar 開發工作正在按計劃進行。我們預計到 2030 年開始生產。一個巨大的礦體在未來十年內銅產量將達到 5.5 億磅，黃金產量將達到 560,000 盎司。我們也在 Grasberg 地區進行了一些額外的勘探，在那裡我們發現了 Deep MLZ 礦體下方的一些潛力。我們將繼續在印尼推進延長至 2041 年之後的討論。這將為在世界上最大、品位最高的銅金礦區之一繼續進行大規模採礦和潛在的額外開發選擇打開大門。

Longer term, we're focused on a major opportunity that we have in the U.S. at the Safford/Lone Star district. We've identified a significant resource there, and we continue to see the Safford district with the potential to add another cornerstone asset of scale in the U.S. We're in an outstanding position as we look at our large resource and reserve position and the experience of our team to continue our leadership role in supplying copper to a world with growing requirements. We're going to continue to be disciplined in our approach, and we're going to be focused on executing projects where we can create value for shareholders.

從長遠來看，我們專注於我們在美國薩福德/孤星區擁有的重大機會。我們在那裡發現了重要的資源，我們繼續認為薩福德地區有潛力在美國增加另一個規模化的基石資產。從我們龐大的資源和儲備地位以及經驗來看，我們處於突出的地位。我們團隊將繼續發揮領導作用，向需求不斷增長的世界供應銅。我們將繼續遵守我們的方法，我們將專注於執行可以為股東創造價值的項目。

Slide 7 provides our 3-year outlook for sales volumes. You'll see this is largely unchanged from our prior forecast. We've increased our 2023 copper sales volumes by about 40 million pounds, and that reflects the updated shipping schedules expected in Indonesia. There is no material changes in guidance for '24 or '25. We do believe we have some upside to these numbers with continued success in our leach efforts and our work on productivity enhancements in the U.S.

幻燈片 7 提供了我們對 3 年銷售的展望。您會發現這與我們先前的預測基本上沒有改變。我們已將 2023 年銅銷量增加了約 4,000 萬磅，這反映了印尼預計更新的運輸時間表。 '24 或 '25 的指南沒有重大變化。我們確實相信，隨著我們的浸出工作和提高美國生產力的工作不斷取得成功，這些數字還有一些上升空間。

We're -- turning to our regional data on Slide 8. We show our projected 2023 volumes and unit net cash cost by region. The Americas, including North America and South America, comprise about 63% of our 2023 copper sales and all of our molybdenum sales. Indonesia represents 37% of our copper sales and all of our gold sales. The Americas volumes are similar to prior forecasts, and our sales estimates from Indonesia have been increased to reflect the shipping schedules as I mentioned earlier.

我們正在轉向幻燈片 8 上的區域數據。我們按區域顯示了 2023 年的預計銷售和單位淨現金成本。美洲（包括北美和南美）約占我們 2023 年銅銷售額和全部鉬銷售額的 63%。印尼占我們銅銷售額和全部黃金銷售額的 37%。美洲的銷售量與先前的預測類似，並且我們提高了印尼的銷售預測，以反映我之前提到的發貨時間表。

On a consolidated basis, our unit net cash costs for the year are forecast at $1.63 per pound. It's slightly above the forecast -- prior forecast of $1.55, $0.07 of that relates to export duties, which remain under discussion with the Indonesian government. We've also incorporated some higher costs for energy compared with the prior forecast. And after moderating in the first half of the year, we're seeing energy costs, particularly for diesel fuel, rising. We're continuing to work to enhance productivity to mitigate the cost increases we've experienced since 2022, really across the board for labor. Our contract maintenance services, equipment component costs and a series of input costs that have risen and we're working hard to try to mitigate those through effective cost management and productivity enhancements.

綜合來看，我們今年的單位淨現金成本預計為每磅 1.63 美元。它略高於預測——之前預測為 1.55 美元，其中 0.07 美元與出口關稅有關，目前仍在與印尼政府討論。與先前的預測相比，我們也考慮了一些更高的能源成本。經過上半年的放緩後，我們看到能源成本，特別是柴油成本正在上升。我們將繼續努力提高生產力，以緩解自 2022 年以來的成本上漲，尤其是勞動成本的全面上漲。我們的合約維護服務、設備組件成本和一系列投入成本都在上升，我們正在努力透過有效的成本管理和生產力提高來緩解這些成本。

Turning to cash flows on Slide 9. We model our results for EBITDA and cash flow for 2024 and 2025, showing a price range of $4 to $5 copper. We've got sensitivities on the page, so you can use for -- looking at the changes -- based on changes in input costs or copper prices. The annual EBITDA would range under these scenarios from nearly $10 billion per annum at $4 copper to $14 billion at $5 copper and operating cash flows would range from $7 billion to $10 billion under these assumptions.

轉向幻燈片 9 上的現金流。我們對 2024 年和 2025 年 EBITDA 和現金流的結果進行了建模，顯示銅的價格範圍為 4 至 5 美元。我們在頁面上設定了敏感性，因此您可以根據投入成本或銅價的變化來查看變化。在這些情境下，年度EBITDA 範圍從每年近100 億美元（銅價4 美元）到每年140 億美元（銅價5 美元）不等，在這些假設下，營運現金流將在70 億美元到100 億美元之間。

With long life reserves and large-scale production, we're well positioned to benefit from future metals intensive growth, and that will provide opportunities for organic investments and cash returns under our performance-based payout framework.

憑藉長壽命儲量和大規模生產，我們處於有利地位，可以從未來金屬密集型成長中受益，這將為我們基於績效的支付框架下的有機投資和現金回報提供機會。

On Slide 10, we show our current forecast for capital expenditures for '23 and '24, $3.2 billion total for 2023 is similar to our prior estimate. And our capital for 2024 is $3.9 billion compared with the prior estimate of $3.8 billion. For 2024, we've added some discretionary capital to commence a new project in Indonesia to transition our energy source from coal to cleaner LNG over the next 3 to 4 years, and we expect to start that project next year.

在投影片 10 中，我們顯示了 23 年和 24 年資本支出的當前預測，2023 年資本支出總額為 32 億美元，與我們先前的估計類似。我們 2024 年的資本為 39 億美元，而先前的估計為 38 億美元。到 2024 年，我們增加了一些可自由支配的資本，在印尼啟動一個新項目，在未來 3 到 4 年內將我們的能源從煤炭過渡到更清潔的液化天然氣，我們預計明年啟動該項目。

The discretionary projects total less than $2 billion over '23 and '24. This category reflects the capital investments we're making in new projects that under our financial policy are funded with a 50% of available cash that's not distributed. We've got some details on those projects in the reference materials.

2023 年和 24 年期間可自由支配的項目總額不到 20 億美元。此類別反映了我們在新項目中進行的資本投資，根據我們的財務政策，這些項目的資金來自未分配的可用現金的 50%。我們在參考材料中獲得了有關這些項目的一些詳細資訊。

Slide 7 -- I mean, excuse me, Slide 11, we've included some updated pictures of the smelter project in Indonesia. This is a major undertaking. It's being executed very efficiently. We're making steady progress toward completion. For the greenfield smelter, we're now 84% complete on construction and we expect to begin commissioning the project by the middle of next year and ramping up to full production by the end of the year. We're also nearing completion of an expansion project that we're doing with our partner to expand the existing smelter in Indonesia. We expect construction to be completed by the end of this year in 2023.

幻燈片 7——我的意思是，對不起，幻燈片 11，我們添加了印尼冶煉廠專案的一些更新圖片。這是一項重大事業。它正在非常有效地執行。我們正在朝著完成的方向穩步前進。對於新建冶煉廠，我們目前已完成 84% 的建設，預計明年年中開始調試該項目，並在年底前全面投入生產。我們也即將完成與合作夥伴一起擴建印尼現有冶煉廠的擴建工程。我們預計施工將於今年底於 2023 年完工。

We're really pleased with the strong execution of our internal project team and our outside contractor to contain costs and meet schedules in a very complex environment for major project development.

我們對內部專案團隊和外部承包商的強大執行力感到非常滿意，他們在重大專案開發的非常複雜的環境中控制了成本並滿足了時間表。

On Slide 12, just wanted to update you on some climate initiatives. We published an updated climate report during the third quarter, which is available on our website. But I mentioned in Indonesia, we're advancing plans to develop the transition or coal to LNG. We have plans to develop a 265-megawatt gas-fired combined cycle facility and that would replace the coal units that were developed there over 25 years ago. The project has a cost of roughly $1 billion and the economics, as we looked at it, would eliminate the cost to refurbish and expand the existing coal units over time. So the incremental economic cost of this project is roughly $400 million.

在投影片 12 上，我只是想向您介紹一些氣候舉措的最新情況。我們在第三季發布了更新的氣候報告，可在我們的網站上取得。但我在印尼提到，我們正在推進煤炭向液化天然氣過渡的計畫。我們計劃開發一座 265 兆瓦的燃氣聯合循環設施，以取代 25 年前開發的燃煤機組。該項目的成本約為 10 億美元，從經濟角度來看，隨著時間的推移，將消除翻新和擴大現有燃煤機組的成本。因此，該項目的增量經濟成本約為 4 億美元。

Importantly, the transition would reduce significantly PT-FI's greenhouse gas emissions. And together with other initiatives, PT-FI's undertaken the total reduction would be on the order of 60% compared to the 2018 baseline. So it's a very exciting project for us looking forward.

重要的是，這一轉變將顯著減少 PT-FI 的溫室氣體排放。與其他措施一起，PT-FI 承諾與 2018 年基準相比，總減量將達到 60% 左右。因此，這對我們來說是一個非常令人興奮的項目，充滿期待。

We're also very pleased to report that we have a new power purchase agreement in Peru at Cerro Verde that will allow Cerro Verde the benefit of 100% of its power from renewable sources in 2026.

我們也非常高興地報告，我們在秘魯 Cerro Verde 簽訂了一項新的電力購買協議，該協議將使 Cerro Verde 能夠在 2026 年 100% 的電力來自可再生能源。

And finally, on Slide 13, we wanted to reiterate the financial policy priorities centered on a strong balance sheet, cash returns to shareholders and investments in value-enhancing growth projects. The balance sheet is strong. We've got strong credit metrics, significant flexibility within our debt targets to execute on our projects. Same time, we've distributed over $3.5 billion to shareholders through dividends and share purchases. And we have an attractive future long-term portfolio that will enable us to continue to build long-term value for shareholders.

最後，在投影片 13 上，我們希望重申以強勁的資產負債表、股東現金回報以及增值成長項目投資為中心的金融政策優先事項。資產負債表強勁。我們擁有強大的信用指標，在我們的專案執行債務目標方面具有很大的靈活性。同時，我們透過股息和股票購買向股東分配了超過 35 億美元。我們擁有有吸引力的未來長期投資組合，這將使我們能夠繼續為股東創造長期價值。

We've got to continue to focus on the current situation, though, and we're going to continue to monitor current market conditions. We'll carefully manage the timing of our projects to ensure our financial flexibility remains strong. And our team has really experienced in navigating challenging conditions while maintaining a focus on pursuing long-term value in the business and executing our plans responsibly, safely and efficiently.

不過，我們必須繼續關注當前局勢，我們將繼續監控當前的市場狀況。我們將仔細管理專案的時間安排，以確保我們的財務靈活性保持強勁。我們的團隊在應對充滿挑戰的環境方面擁有豐富的經驗，同時專注於追求業務的長期價值，並負責任、安全和高效地執行我們的計劃。

That concludes our prepared remarks, and appreciate all your attention and interest, and we'll now take your questions.

我們準備好的演講到此結束，感謝您的關注和興趣，我們現在將回答您的問題。

(Operator Instructions) The first question will come from the line of Alex Hacking with Citi.

（操作員說明）第一個問題將來自花旗銀行的 Alex Hacking 線路。

I wanted to ask a couple of questions on U.S. operations. Could you maybe discuss the cost performance there? That seems like it's a little bit higher than guidance. And how you see that going forward? And then secondly, just on production, just so I understand. Production this quarter is about 340 million pounds. Does that include the incremental 46 million pounds from the new leaching? Is that all in the U.S.? And I guess, if so, that sort of implies that production without those pounds would be below 300 million versus like 370 million last year. So maybe just some comments around that and how you see the leaching impacting the production profile there going forward.

我想問幾個有關美國業務的問題。您能討論一下那裡的性價比嗎？這似乎比指導要高一點。您如何看待未來的發展？其次，只是關於生產，據我所知。本季產量約3.4億磅。這是否包括新浸出帶來的 4,600 萬磅增量？這都是在美國嗎？我想，如果是這樣，這意味著沒有這些磅的產量將低於 3 億磅，而去年的產量約為 3.7 億磅。因此，也許只是對此進行一些評論，以及您如何看待浸出對未來生產狀況的影響。

Thanks, Alex. I mean your question is right in terms of the performance in the U.S. of the base business. We're continuing to experience challenges on productivity. We've got -- we've been hiring people. We've got a lot of new people in our workforce. And so we're very focused on improving the productivity in the U.S. We're focused on maintenance. We've had some challenges with premature failures and some maintenance challenges that we're getting caught up on. We've also had a lot of increased costs related to component parts. We've had some increases in the cost of labor, particularly contract labor. You've probably seen all the activity in Arizona with -- outside of copper with a lot of investment in various industries. It's a very competitive market.

謝謝，亞歷克斯。我的意思是，就基礎業務在美國的表現而言，你的問題是正確的。我們持續面臨生產力方面的挑戰。我們已經—我們一直在招募人員。我們的員工團隊中有很多新員工。因此，我們非常專注於提高美國的生產力。我們專注於維護。我們遇到了一些過早失效的挑戰以及一些我們正在解決的維護挑戰。我們也增加了許多與零件相關的成本。我們的勞動成本增加，尤其是合約工成本。您可能已經看到了亞利桑那州的所有活動——除了銅之外，各個行業都有大量投資。這是一個競爭非常激烈的市場。

So the cost rises in North America have been higher than what we've experienced elsewhere. Of course, we've also had the benefit in international locations of a stronger dollar, which offset some of the labor cost impact. So you see that more in the U.S. But you're right that without the leach pounds, the incremental leach pounds, that we accomplished year-to-date, we would have had lower production. And what we need to do is really get both of those flywheels going at the same time, because the more we place and we've been missing some of our placements in terms of the mining rates and the placements on the leach piles, the more opportunity we have to get more out of it through these leach initiatives.

因此，北美的成本上漲高於我們在其他地方經歷的情況。當然，我們在國際地區也受惠於美元走強，抵銷了部分勞動成本的影響。所以你在美國看到的更多。但是你是對的，如果沒有我們今年迄今為止所完成的浸出磅數、增量浸出磅數，我們的產量將會降低。我們需要做的是真正讓這兩個飛輪同時運轉，因為我們放置的越多，並且我們在採礦率和浸出堆上的放置方面遺漏了一些放置，就越​​來越我們必須通過這些浸出舉措獲得更多的機會。

So it's a big focus of Josh and our whole team to really work on getting productivity up. If you look at grades, we're in a period right now at Morenci, where we've got low grades and a hallmark of Freeport has been to manage costs very well given the low grades we have. But we've got to work our way through that and get our flywheel moving again to get productivity up.

因此，喬許和我們整個團隊的重點是真正致力於提高生產力。如果你看一下成績，我們現在在 Morenci 正處於一個時期，我們的成績很低，而自由港的一個特點是在我們成績較低的情況下很好地管理成本。但我們必須努力解決這個問題，讓飛輪再次運轉，以提高生產力。

In terms of the leach pounds and the impact on cost, what really needs to happen with the leach project to really start seeing the impact on unit cost is enough confidence to be able to increase our reserves. And that will allow us to essentially, in the financial results, see lower unit costs as we add reserves, and we're spreading cost over a larger number of pounds, that economy of scale will start to come through. So the more confidence we get in this, the more we're able to actually put these opportunities into reserves and have enough confidence to do that, that's when you'll start to see the impact on the net unit cash cost. But I don't know if that was a long answer, but did that answer your question?

就浸出量和對成本的影響而言，浸出專案真正需要發生的事情是要真正開始看到對單位成本的影響，即有足夠的信心能夠增加我們的儲量。這將使我們在財務表現中看到，隨著我們增加儲備，單位成本會降低，並且我們將成本分攤到更多的英鎊上，規模經濟將開始顯現。因此，我們對此的信心越大，我們就越能夠實際將這些機會投入儲備，並有足夠的信心做到這一點，那時您就會開始看到對淨單位現金成本的影響。但我不知道這是否是一個很長的答案，但這是否回答了您的問題？

Yes. That was a great answer, Kathleen. I really appreciate all the color. Thanks so much and good luck with everything.

是的。這是一個很好的答案，凱瑟琳。我真的很欣賞所有的顏色。非常感謝，祝一切順利。

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

您的下一個問題來自 Chris LaFemina 與 Jefferies 的對話。

I just wanted to ask about El Abra, which has tremendous potential, you've talked about it for a long time to build a big mill project there. With the clarity now around Chilean mining taxes, I would assume that's helpful. And also, I'm not sure if you've looked into the recent double taxation treaty, which I think for U.S. companies makes Chile potentially more attractive investment. So wondering, first, kind of how you're thinking about that now? And what we can sort of expect if you do progress in this project in terms of timing, capital cost, scale.

我只是想問El Abra，它有巨大的潛力，你已經談論了很長時間在那裡建造一個大型工廠項目。鑑於智利採礦稅現在已經明確，我認為這會有所幫助。而且，我不確定您是否研究過最近的雙重徵稅條約，我認為對於美國公司而言，智利可能更具吸引力的投資。所以想知道，首先，你現在是怎麼想的？如果這個專案在時間、資本成本、規模上取得進展，我們可以期待什麼。

And then maybe as importantly, your partner's ability to help fund whatever you develop there, so I assume it's going to be capital-intensive project. I'm not sure CODELCO has the capital to contribute alongside you with this. So how should we think about that? And again, does that double taxation treaty between Chile and the U.S. affect the economics of this project to potentially drive an investment decision?

然後也許同樣重要的是，你的合作夥伴有能力幫助資助你在那裡開發的任何項目，所以我認為這將是資本密集型項目。我不確定 CODELCO 是否有資金與您一起為此做出貢獻。那我們該如何思考呢？再說一次，智利和美國之間的雙重課稅條約是否會影響該計畫的經濟性，這可能會推動投資決策？

Thanks, Chris. Both of those items that you mentioned, the recent clarity around taxation in Chile and the issue between the treaty between the U.S. and Chile are both helpful. Quite frankly, if that hadn't been resolved, the latter had not been resolved, that would have posed a big challenge for us in developing the project, but that's been resolved. And so now we're really turning to the economic side of the equation. And we've been watching what's been going on in Chile with other major projects. We did a lot of work on this project in -- on the El Abra project, and it has good economics, but we want to retest those economics with current capital costs.

謝謝，克里斯。您提到的這兩個項目，最近智利稅收的明確性以及美國和智利之間的條約問題都有幫助。坦白說，如果這個問題沒有解決，那麼後者也沒有解決，這會為我們專案的開發帶來很大的挑戰，但這個問題已經解決了。所以現在我們真正轉向經濟方面。我們一直在關注智利其他重大計畫的進展。我們在 El Abra 專案上做了很多工作，它具有良好的經濟效益，但我們希望用當前的資本成本重新測試這些經濟效益。

And that will be something that we're going to be -- we've already started working on, but that's something we really want to get our heads around is, does it make sense, what's the timing given rising capital costs. I mean, you've seen really the significant cost blowouts in Chile in recent time. And we want to make sure that we can deploy capital effectively, efficiently in this market. And as Richard was talking about, the copper price today doesn't really support new investment and so -- of significance. And so our focus really has been in this kind of environment on what we can do to be less capital intensive while continuing to advance our options and create optionality in the portfolio.

這將是我們要做的事情——我們已經開始努力，但我們真正想要解決的問題是，這是否有意義，考慮到資本成本上升，時機是什麼。我的意思是，您最近確實看到了智利的成本大幅上漲。我們希望確保我們能夠在這個市場上有效、有效率地部署資本。正如理查德所說，今天的銅價並不能真正支持新的投資，因此具有重要意義。因此，在這種環境下，我們的重點實際上是我們可以採取哪些措施來減少資本密集度，同時繼續推進我們的選擇並在投資組合中創造可選擇性。

We're -- our plans in Chile currently are to invest in some water infrastructure, desalinization, a project that would allow us to extend the life of the current operation, and then that would give us optionality for the bigger expansion. And so what we're really doing now is trying to advance these things, so we have optionality, but we're not wanting to commit to major, major multibillion-dollar projects in the current environment. We all see this looming deficit coming, but current prices just don't support big new investments like this at the current time.

我們目前在智利的計劃是投資一些水利基礎設施、海水淡化，這個項目將使我們能夠延長目前營運的壽命，然後這將為我們提供更大擴張的選擇。因此，我們現在真正要做的就是努力推進這些事情，因此我們有選擇權，但我們不想在當前環境下致力於重大的數十億美元的項目。我們都看到這種迫在眉睫的赤字即將到來，但目前的價格並不支持目前這樣的大型新投資。

We know that will change over time, and we want to be prepared at the right time to bring this project on. Permitting takes quite a while and Chile is on trying to streamline permitting. We're encouraged by that.

我們知道這種情況會隨著時間的推移而改變，我們希望在適當的時間做好準備來啟動這個專案。許可證需要相當長的時間，智利正在努力簡化許可流程。我們對此感到鼓舞。

In terms of the CODELCO question on financing, they're very positive about the project, and they've indicated to us -- support for it at the right time. And we'll figure out financing this at the right time when we go forward. But right now, we don't have to make that decision.

關於 CODELCO 的融資問題，他們對該專案非常積極，並且在適當的時候向我們表示了支持。當我們前進時，我們將在適當的時間找到融資方案。但現在，我們不必做出這樣的決定。

Your next question will come from the line of Michael Dudas with Vertical Research.

您的下一個問題將來自垂直研究公司的 Michael Dudas。

Maybe following up on the -- following up on some of the other questions. I get the sense that access to labor contracting, rising interest rates, raising the hurdle rates for capital investment. Do you think that this has pushed out whatever expectations of maybe Freeport's longer-term or medium-term investments or the industry's investments given these dynamics, especially the copper price, which as you indicated, I think everybody agrees, wouldn't support this type of investment?

也許會跟進其他一些問題。我的感覺是，獲得勞動合約、利率上升、資本投資門檻提高。鑑於這些動態，您是否認為這已經超出了對自由港的長期或中期投資或行業投資的任何預期，特別是銅價，正如您所指出的，我認為每個人都同意，不會支持這種類型投資？

Richard, do you want to take that one?

理查德，你想拿那個嗎？

Sure. I think there's no question about it, Mike. This -- as I said, our revenues and those of other copper producers are correlated to prices. As I talk with a lot of people, and I was just at LME last week, I was with a group of senators and congressmen in Washington night before last. With the new cost structure, people's historical views of copper prices need to be adjusted. I mean at 1 point $3.50 or $4 copper price was considered to be a very strong price, but with the effects of inflation it's not the same. And so you have to look at both of those together. And then the thing that's really striking to us, and you can see this in a number of other projects by companies around the world is that capital cost inflation is significant and persistent.

當然。我認為這是毫無疑問的，麥克。正如我所說，我們的收入和其他銅生產商的收入與價格相關。當我與很多人交談時，上週我剛在倫敦金屬交易所，前天晚上我在華盛頓與一群參議員和國會議員在一起。隨著新的成本結構的出現，人們對銅價的歷史看法需要調整。我的意思是，在 1 點時，3.50 美元或 4 美元的銅價被認為是一個非常強勁的價格，但考慮到通貨膨脹的影響，情況就不一樣了。所以你必須把這兩個問題放在一起考慮。然後，真正讓我們震驚的事情是，資本成本通膨是顯著且持續的，你可以在世界各地公司的許多其他項目中看到這一點。

You can see from our own numbers, particularly when diesel costs dropped earlier, they've ticked up again some, but I thought we had good performance with our operating cost measures. But then when you get into this issue of major projects, the capital costs are really significant. We really are motivated to invest because we have such strong conviction about the future of copper prices. But at the same time, history has taught us that it's best to be prudent in the way we commit capital.

你可以從我們自己的數據中看到，特別是當柴油成本早些時候下降時，它們又有所回升，但我認為我們的營運成本指標表現良好。但當你進入這個重大計畫時，資金成本確實很大。我們確實有投資的動力，因為我們對銅價的未來充滿信心。但同時，歷史告訴我們，投入資本的方式最好保持謹慎。

You might -- could incrementally improve returns if you were more aggressive near term, but we retain all these projects. We don't lose the opportunity. But we and I believe others are going to be prudent until they see how this current situation around the world with China and inflation and Central Bank's activities and now we've got the increasingly complication of geopolitical events going on.

如果您近期更加積極進取，您可能會逐步提高回報，但我們保留所有這些項目。我們不會失去機會。但我們和我相信其他人會保持謹慎，直到他們看到中國、通貨膨脹和央行活動等全球當前情況如何，而現在地緣政治事件正在日益複雜化。

And that's why I made my comment at the outset that this does nothing but bolster the future supply deficit that the industry is facing. So it's a 2-edged sword. We'd like to go forward, but we've concluded it's best to be prudent. And with the industry, I believe others will as well. And that just means that supplies are going to be limited for the future at the time when copper demand will be growing.

這就是為什麼我一開始就發表評論說，這只會加劇該行業未來面臨的供應短缺。所以它是一把雙面刃。我們希望繼續前進，但我們得出的結論是最好保持謹慎。對於這個行業，我相信其他人也會。這僅僅意味著未來當銅需求成長時，供應將受到限制。

It sounds like discretion is the better part of the hour.

聽起來謹慎是現在最好的部分。

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。

Wondering if you could share any expected time line for reaching any kind of conclusion in Indonesia with respect to the new export royalty rates and potentially the life extension there beyond '41?

想知道您是否可以分享在印尼就新的出口特許權使用費率以及 41 年後可能延長壽命方面達成任何結論的預期時間表？

Well, the issue on the -- you talked about the duty situation there is that, as you are aware, our IUPK says that we're not subject to duties once the smelter gets over 50%. And the government issued some new regulations earlier this year, and this not just applies to Freeport, but all exporters for copper that are required to have smelters that were required to pay a 7.5% duty. And it's a sliding scale depending on how much progress you've made. We have raised the issue with the government. And they are reviewing the issue, they're also reviewing our progress of the smelter, and we're going to continue to work cooperatively with them.

嗯，關於您談到的關稅情況的問題是，正如您所知，我們的 IUPK 表示，一旦冶煉廠的產能超過 50%，我們就不再需要支付關稅。今年早些時候，政府頒布了一些新規定，不僅適用於自由港，也適用於所有銅出口商，如果其冶煉廠需要支付 7.5% 的關稅。而且它是一個滑動比例，取決於您所取得的進步程度。我們已向政府提出了這個問題。他們正在審查這個問題，他們也在審查我們冶煉廠的進展，我們將繼續與他們合作。

I want to just remind everyone that there's alignment of interest to a large degree there because Indonesian government state-owned company owns 51% of PT-FI and also PT-FI pays taxes. So the impact to the government of these export duties is also a significant item. So we've got support from our partner there to help us work through this issue with the government and we're going to continue to -- I don't have a definitive time line, but we're continuing to engage in discussions to address this.

我想提醒大家的是，這在很大程度上是利益一致的，因為印尼政府國有公司擁有 PT-FI 51% 的股份，而且 PT-FI 也納稅。因此，這些出口關稅對政府的影響也是一個重大計畫。因此，我們得到了合作夥伴的支持，幫助我們與政府一起解決這個問題，我們將繼續進行——我沒有明確的時間表，但我們將繼續進行討論解決這個問題。

The extension discussions are also continuing. Our partner, MIND ID is also very supportive of extending the operation. One of the really significant benefits that we've had in the new structure since 2018, where the government owns 51%, is -- there is a better understanding of the time it takes to develop new resources or extend the resources. And so I think all the parties are aligned in that it makes sense to continue this operation beyond 2041. We made a lot of progress in developing a framework with the government on what the terms of that extension would be.

延期討論也在繼續。我們的合作夥伴MIND ID也非常支援擴展營運。自 2018 年以來，我們在新結構中獲得的真正顯著的好處之一是，政府擁有 51% 的股份，可以更好地了解開發新資源或擴展資源所需的時間。因此，我認為各方一致認為，在 2041 年之後繼續這項行動是有意義的。我們在與政府就延期條款制定框架方面取得了很大進展。

A big catalyst for us is getting the smelter -- getting the smelter advanced and completed. And that would -- I think, would be a good catalyst for us to be able to continue to extend those operations out for the life of this resource. But conversations are ongoing. Indonesia is in an election cycle now. And so there are other things going on in the government. The government has a lot of priorities that they're balancing. But in terms of the want to and will of getting this extended to be able to continue the benefits that are very significant to the government of Indonesia and the people of Papua. There is good support for doing this, and we're working very hard to try to get it done as soon as possible, but the time line is not under our control.

對我們來說，一個重要的催化劑是獲得冶煉廠——使冶煉廠先進並完成。我認為，這將是一個很好的催化劑，使我們能夠在該資源的使用壽命內繼續延長這些業務。但對話仍在繼續。印尼現在正處於選舉週期。政府裡還發生了其他事情。政府有很多優先事項需要平衡。但就延長這一期限的願望和意願而言，以便能夠繼續獲得對印尼政府和巴布亞人民來說非常重要的好處。這樣做有很好的支持，我們正在非常努力地嘗試盡快完成它，但時間線不在我們的控制之下。

Your next question comes from the line of Carlos De Alba with Morgan Stanley.

你的下一個問題來自摩根士丹利的卡洛斯·德阿爾巴。

So the question I have is really on -- the discussion is on the Indonesian funding -- the Indonesia project funding. Just to revisit the smelter is now being paid by proceeds from the PT-FI senior notes and the revolving credit line. I just wanted to check if that is something that will continue as it is right now. And what about the funding for the other CapEx projects, KL, another expansion of the -- like the crusher and the new SAG mill there. Is that going to also be paid by these senior notes and the internal cash flow generation

所以我的問題其實是——討論的是印尼的資金——印尼計畫的資金。僅重訪該冶煉廠，現在就透過 PT-FI 優先票據和循環信貸額度的收益來支付。我只是想看看這種情況是否會像現在一樣繼續下去。其他資本支出項目（KL）的資金又如何呢？還有另一個擴建項目——例如那裡的破碎機和新的 SAG 磨機。這是否也將由這些優先票據和內部現金流產生來支付

(technical difficulty)

（技術難度）

Or do you expect your noncontrolling partners to contribute cash for those projects? And then maybe associated with this is, how should we think about the dividends paid to noncontrolling interest going forward?

或者您期望您的非控股合作夥伴為這些項目貢獻現金？也許與此相關的是，我們應該如何考慮未來向非控制權益支付的股利？

With respect to your question on the first topic, the smelter project is being debt financed. And so we raised $3 billion in financing last year and long-term bond financing at the PT-FI level. So the economics of that, even though it's consolidated on FCX's financial statements, the economics essentially are borne by PT-FI shareholders. And we have a revolving credit facility as well to supplement that. So the smelter, and that's why we look at it separately, it doesn't impact the cash flow we have at the FCX level that's available for distribution, because it's being funded through these proceeds.

關於你關於第一個問題的問題，冶煉廠計畫是透過債務融資的。因此，我們去年籌集了 30 億美元的融資以及 PT-FI 級別的長期債券融資。因此，即使它合併在 FCX 的財務報表中，其經濟效益基本上還是由 PT-FI 股東承擔。我們還有循環信貸額度來補充這一點。因此，冶煉廠，這就是我們單獨看待它的原因，它不會影響我們在 FCX 水平上可用於分配的現金流，因為它是透過這些收益來資助的。

With respect to other capital projects at PT-FI, those are funded internally at the PT-FI level. So when we look at the projects we're doing to complete the new SAG mill, when we look at the copper cleaner project, all of the capital projects at PT-FI, those are funded with that subsidiaries internally generated cash flows, which is very significant. And so yes, as you increase capital there, it does -- it does reduce the dividends that come out of PT-FI, but these are really good projects that PT-FI has the ability to fund with its cash flows and distribute substantial amounts to its shareholders.

至於 PT-FI 的其他資本項目，這些項目由 PT-FI 內部資助。因此，當我們審視正在完成的新 SAG 軋機專案時，當我們審視銅淨化器專案時，PT-FI 的所有資本項目都是由子公司內部產生的現金流資助的，即非常重要。所以，是的，當你在那裡增加資本時，確實會減少 PT-FI 產生的股息，但這些都是非常好的項目，PT-FI 有能力用其現金流提供資金並分配大量資金對其股東。

In terms of the dividends there, that's really a function of what the performance of the business is. We have a policy, a dividend policy at the PT-FI level, where all of the available cash flow is distributed to shareholders and FCX gets 49% of that and MIND ID gets 51%. But that's the policy that we're following and expect to continue to follow.

就股利而言，這實際上是業務績效的函數。我們有一項政策，即 PT-FI 層級的股利政策，所有可用現金流量都分配給股東，FCX 獲得其中的 49%，MIND ID 獲得 51%。但這是我們正在遵循並期望繼續遵循的政策。

Your next question will come from the line of Bill Peterson with JPMorgan.

您的下一個問題將來自摩根大通的比爾彼得森。

Nice job in execution given all the challenges out there. My first question is actually a bigger picture question tied to an earlier question. So if you take into account this broader inflationary environment, increased project financing cost, I guess where does pricing need to be and how sustained does that need to be for Freeport and maybe even the industry if you want to comment on that? But specifically for Freeport, to support projects such as Bagdad expansion or El Abra as examples?

考慮到所有的挑戰，執行工作做得很好。我的第一個問題實際上是一個與之前的問題相關的更大的問題。因此，如果你考慮到更廣泛的通貨膨脹環境、增加的專案融資成本，我想定價需要在哪裡，對於自由港甚至整個行業來說，定價需要持續多久？如果你想對此發表評論的話？但具體針對自由港，以支持巴格達擴建或阿布拉等計畫為例？

Well, we're updating our capital cost now for El Abra. Previously when we ran the economics several years ago, it's been a few years ago before the pandemic when we outlined the potential for the project, today's price would have worked fine. It would have been a good return. But there were other factors that led us to put the project on hold. In today's world, we need to retest those economics. I mean, you just look at the recent project in Chile of how much that cost increased, and it's a huge multibillion dollar impact, and that impacts our thinking and that impacts economics.

嗯，我們現在正在更新 El Abra 的資本成本。幾年前，當我們進行經濟學研究時，幾年前，當我們概述該項目的潛力時，就已經是大流行之前的幾年了，今天的價格本來可以很好地發揮作用。這將是一個很好的回報。但還有其他因素導致我們擱置了這個項目。在當今世界，我們需要重新檢驗這些經濟學。我的意思是，你只要看看智利最近的計畫就知道成本增加了多少，這是一個巨大的數十億美元的影響，這影響了我們的思維，也影響了經濟。

So we don't think -- we know the economics we ran previously don't apply currently. And so we've been doing some work. We've been doing some additional work on the resource, and we've got some positive things that have developed since then that will help the economics, but this capital cost inflation is a real issue, and it's something that we need to keep in mind.

所以我們不認為——我們知道我們之前運行的經濟學目前並不適用。所以我們一直在做一些工作。我們一直在對資源進行一些額外的工作，從那時起我們已經取得了一些積極的成果，這將有助於經濟發展，但這種資本成本通膨是一個真正的問題，這是我們需要保留的東西頭腦。

On the Bagdad project, this is a project that with El Abra, these are new reserves. So with El Abra, it would allow us to produce the reserves currently in the ground where we don't currently have infrastructure that can produce those reserves. At El Abra -- I mean at Bagdad, it's a different analysis. At Bagdad, we can produce those reserves over 80 years or we can double our processing capacity and produce those reserves over a shorter period of time. And so you have to look at the capital cost and how that interplays with it being an acceleration of production rather than new production.

在巴格達項目上，這是一個與El Abra 一起的項目，這些都是新的儲量。因此，有了 El Abra，我們就可以生產目前在地下的儲量，而我們目前沒有可以生產這些儲量的基礎設施。在阿布拉——我的意思是在巴格達，這是一種不同的分析。在巴格達，我們可以在 80 年內生產這些儲備，或者我們可以將處理能力加倍並在更短的時間內生產這些儲備。因此，你必須考慮資本成本以及它與生產加速而不是新生產之間的相互作用。

So we're looking -- we're completing the feasibility study. The costs, we believe we're going to come in higher than what we expected them to. And so that will have an impact on us. The other thing that will have an impact on our decision will be the availability of labor and whether we can execute that project efficiently. We're doing some things now to create options. We've got the autonomous plans to put in autonomous haulage at Bagdad. It's our first mine in the U.S. that will do that, and that's exciting for us, and that creates options for us in the future. And we're doing some work, some early works to give us options there, but the numbers don't work.

所以我們正在尋找——我們正在完成可行性研究。我們相信成本將高於我們的預期。這將對我們產生影響。影響我們決策的另一件事是勞動力的可用性以及我們是否能夠有效地執行該專案。我們現在正在做一些事情來創造選擇。我們已經制定了在巴格達進行自主運輸的自主計畫。這是我們在美國的第一個礦場能夠做到這一點，這讓我們感到興奮，並為我們的未來創造了選擇。我們正在做一些工作，一些早期的工作，為我們提供選擇，但數字不起作用。

I think if you ask people in the industry, what it takes, people are going to tell you it's over $4 to develop new projects, but every project is different. And that's why when we look at this leach opportunity, the potential to add 800 million pounds of copper with very low capital cost is very compelling. And so we're going to be looking for opportunities in the near term during this uncertainty to expand our production, but it's going to be through innovation, automation, rather than high capital intensity. And we'll continue to test that and that will continue to evolve. But that's the current thinking is that right now, the copper price is not enough to support a major investment and a big expansion or a greenfield project.

我想如果你問業內人士，需要什麼，人們會告訴你開發新專案需要 4 美元以上，但每個專案都是不同的。這就是為什麼當我們看到這個浸出機會時，以非常低的資本成本增加 8 億磅銅的潛力是非常引人注目的。因此，在這種不確定性的情況下，我們將在短期內尋找機會擴大生產，但這將透過創新、自動化，而不是高資本密集度來實現。我們將繼續測試這一點，並將繼續發展。但目前的想法是，目前銅價不足以支持重大投資、大規模擴張或綠地計畫。

Well understood. I guess just on the second question on working capital. So how should we think about the cadence of working capital through the balance of the year, given exports are now resumed in Indonesia. Are you still expecting a slight use for the year?

完全了解。我想只是關於營運資金的第二個問題。鑑於印尼現已恢復出口，我們應該如何考慮今年剩餘時間的營運資金節奏。您還期待今年有輕微的使用嗎？

Yes, it's a use, but we expect some of that will turn in the fourth quarter, some of what we had in terms of the inventories and receivables will turn, but we are expecting a use for the year.

是的，這是一種使用，但我們預計其中一些將在第四季度轉變，我們在庫存和應收帳款方面的一些將轉變，但我們預計今年會使用。

Let me just add 1 quick -- hang on, Regina, let me just add 1 quick comment to support what Kathleen is saying. People -- and I understand it if you're doing overall industry analysis, you're looking for what is the incentive price that triggers new production. But Kathleen made the point that each project is different. And then each company's situation is different. One of the strong things about our business is that because of our production levels, our resource base, our ability to add to production with the things like leaching, but beyond that more -- with being more efficient with technology, working our assets harder and so forth, we don't face the same pressures from reinvestment risk that some other companies face, but also other commodity face because of shorter reserve lives.

讓我快速添加 1 條評論——等一下，Regina，讓我快速添加 1 條評論來支持凱瑟琳所說的內容。人們——我理解，如果您正在進行整體行業分析，您正在尋找觸發新生產的激勵價格。但凱瑟琳指出，每個項目都是不同的。然後每個公司的情況都不一樣。我們業務的優勢之一是，由於我們的生產水準、我們的資源基礎、我們透過浸出等方式增加產量的能力，但除此之外，還包括透過提高技術效率、更加努力地利用我們的資產以及如此等等，我們不會像其他一些公司一樣面臨再投資風險的壓力，也不會像其他大宗商品那樣面臨因儲備壽命較短而面臨的壓力。

And that's 1 thing I like so much about our business is that it gives us that flexibility to not have to take risk, not have to press things during uncertain economic times, but as I mentioned earlier, to be just more prudent about how we run our business. It's a great strength of our industry to a certain degree, but at Freeport as a company because of our strong production base and long-life properties and the ability to maximize production out of our existing properties by doing things smarter and using technology and working assets harder.

我非常喜歡我們業務的一件事是，它給了我們靈活性，讓我們不必承擔風險，不必在經濟不確定的時期施壓，但正如我之前提到的，我們的運作方式更加謹慎我們的業務。在某種程度上，這是我們行業的強大優勢，但在自由港作為一家公司，我們擁有強大的生產基礎和長壽命的資產，並且能夠通過更明智地行事並利用技術和工作資產來最大限度地利用我們現有的資產進行生產更難。

Our next question will come from the line of Alex Terentiew with Stifel.

我們的下一個問題將來自 Alex Terentiew 和 Stifel 的線路。

Just 2 quick questions for me. First, I just wanted to follow up some of the comments here on Indonesia with the smelter export duty. Any changes -- latest changes in the regulations that would change your view on whether you expect the export duty to go to 0 once the smelter is built?

只是問我兩個簡單的問題。首先，我只想跟進有關印尼冶煉廠出口稅的一些評論。是否有任何變化——法規的最新變化會改變您對冶煉廠建成後出口關稅是否降至 0 的看法？

And then the second question, just circling back on the leach expansion, 800 million pounds over -- if you can get there in 3 to 5 years, I mean, that's pretty impressive number. I just wanted to get some more details from you, if I could, just on the cost for that. I mean the U.S. operations have been running around, call it, $3.70 a pound or so. Is that a fair cost for us

然後是第二個問題，回到浸出擴張，超過 8 億英鎊——如果你能在 3 到 5 年內實現這一目標，我的意思是，這是一個相當令人印象深刻的數字。如果可以的話，我只是想從你那裡得到更多的細節，只是關於費用。我的意思是，美國業務一直在徘徊，稱之為每磅 3.70 美元左右。這對我們來說公平嗎

(technical difficulty)

（技術難度）

for this as well? Or I mean, would the operating cost be higher but lower -- much lower capital cost? I'm just trying to get a sense of what the upside is for that sort of potential.

也為了這個？或者我的意思是，營運成本會更高但更低——資本成本低得多嗎？我只是想了解這種潛力的好處是什麼。

Yes. On the duty issue, the duties are paid on concentrate exports. So once we get the smelter done and ramped up, we will have no more exports of concentrates. We'll be producing copper cathode and gold, the actual metals. So the export duty only applies to this intermediate step of concentrates. So there hasn't been anything in terms of -- we're still working with the government right now, the export license is through May and so we've still got to work with the government to work through this issue beyond May of having a ramp-up period.

是的。在關稅問題上，精礦出口需繳納關稅。因此，一旦我們完成冶煉廠並擴大產能，我們將不再出口精礦。我們將生產陰極銅和金，它們是真正的金屬。因此，出口稅僅適用於精礦的這一中間步驟。因此，我們目前仍在與政府合作，出口許可證的有效期為 5 月份，因此我們仍需與政府合作，在 5 月份之後解決這個問題。上升期。

We'll still be shipping some concentrates, exporting some concentrates during the ramp-up. But we're going to work cooperatively with the government to make sure that those -- that continuity continues. With respect to the leach pounds, not every application is the same. But on average, we expect these leach pounds to come in at roughly $1 per pound. And so that is -- that's why we're so excited. Most of this is in our U.S. business. And so it will bring down, if we're successful, and we're able to put this into our reserves, it will bring down our average cost in the U.S. over time. And I'll just ask -- Cory Stevens is on the line, and he and his team are leading this initiative. And just wanted to ask Cory, if there's anything that we didn't cover on leaching that you want to make points of that hasn't been discussed so far.

我們仍將運輸一些精礦，並在產能增加期間出口一些精礦。但我們將與政府合作，以確保這些連續性持續下去。就浸出磅而言，並非每種應用都是相同的。但平均而言，我們預計這些浸出磅的價格約為每磅 1 美元。這就是——這就是我們如此興奮的原因。其中大部分是我們在美國的業務。因此，如果我們成功，並且我們能夠將其放入我們的儲備中，隨著時間的推移，它將降低我們在美國的平均成本。我只想問一下——科里·史蒂文斯（Cory Stevens）在線上，他和他的團隊正在領導這項倡議。我只是想問 Cory，關於浸出，是否有任何我們沒有涉及的內容，而您想指出到目前為止尚未討論過的內容。

Yes. Kathleen, I guess the 1 thing I would just add or maybe just emphasize some of the momentum that's been able -- have been built around this effort, really around these executable known technologies has been significant. And so we've been building quarter-over-quarter, and now we've got line of sight to the $200 million, but really the portfolio gives us sustainability going forward into the future and build this foundation that I can see it significantly building from there. And then you've got a whole other portfolio of innovation work, whether it's additives or alternate flow sheets or really leveraging temperature at that next level that the team is really excited about. So super focused on disciplined execution that the team is super energized and looking forward to the future.

是的。凱瑟琳，我想我要添加的第一件事，或者可能只是強調一些已經能夠實現的勢頭——圍繞這項工作建立起來，實際上圍繞這些可執行的已知技術是非常重要的。因此，我們一直在逐季度進行建設，現在我們已經看到了2 億美元的目標，但實際上，該投資組合為我們提供了未來的可持續性，並建立了這個基礎，我可以看到它正在顯著建設從那裡。然後你就會得到一整套其他的創新工作組合，無論是添加劑、替代流程圖，還是真正利用團隊真正興奮的下一個水平的溫度。非常注重嚴格的執行力，團隊充滿活力，對未來充滿期待。

Yes. And so there's a lot of value in this opportunity. And we see it, we can feel it and we're pressing forward. But as we talked about earlier, we've got to get that going. At the same time, we get our productivity, our key performance indicators improved in the U.S. And that's a big focus as well. So those 2 things we believe will generate a lot of that value in our U.S. business, and it's not capital intensive. So that's really our primary focus right now is on getting those 2 things going at the same time. And we've made great progress on the leach front. We're making progress on the productivity initiative front, but we've got more work to do there.

是的。所以這個機會有很大的價值。我們看到它，我們能感覺到它，我們正在努力前進。但正如我們之前談到的，我們必須繼續下去。同時，我們在美國的生產力和關鍵績效指標也得到了改善，這也是一個重點。因此，我們相信這兩件事將為我們的美國業務帶來大量價值，而且它不是資本密集的。因此，我們現在的主要重點實際上是讓這兩件事同時進行。我們在浸出方面取得了巨大進展。我們在生產力計劃方面正在取得進展，但我們還有更多工作要做。

Those are impressive numbers on the production and the cost front. So best of luck to you and your team.

這些在生產和成本方面的數字令人印象深刻。祝您和您的團隊好運。

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

你的最後一個問題將來自布萊恩·麥克阿瑟和雷蒙·詹姆斯的對話。

My question just goes back to the export duty. The $147 million you incurred this quarter, 2 things. I assume that going retroactive back to March 29 when it technically was scaled down, so you're sort of paying 2 quarters? And the second thing is talked about incurring it. Have you actually paid it on a cash basis? Or is it just a payable as you kind of work through all this?

我的問題又回到了出口關稅。本季您產生的 1.47 億美元有兩件事。我假設追溯至 3 月 29 日，當時技術上規模有所縮小，所以你相當於支付了 2 個季度的費用？第二件事是談論招致它。你實際上是用現金支付的嗎？或者這只是您完成所有這些工作時的應付款項？

It was a go-forward duty. So it wasn't based on retroactive, so go-forward duty and 7.5% of the exports values were assessed. Some of it's been paid, some of it's not been paid. And there's a process in Indonesia where just like any other process where you have disputed amounts or amounts that you're objecting to, you can go through a process and pay it but you pay it with that advisory that it's -- that it remains disputed. But for financial accounting purposes, given just the uncertainty of how it would all play out. We have accrued those costs. And so we've expensed those as we go. If it gets resolved, that will get -- favorably and it will get reversed. But at this point, we're accruing for these costs pending the ultimate outcome.

這是一項勇往直前的責任。因此，它不是基於追溯，因此評估了遠期關稅和出口價值的 7.5%。有的已經付了，有的還沒付。印尼有一個流程，就像您對金額有爭議或反對的金額的任何其他流程一樣，您可以通過流程並付款，但您在付款時會收到仍然有爭議的建議。但出於財務會計的目的，考慮到這一切將如何展開的不確定性。我們已經累計了這些費用。所以我們邊走邊把這些費用化了。如果問題得到解決，情況將會改善，而且情況將會逆轉。但目前，我們正在累積這些成本，等待最終結果。

Great. And just to be clear, last quarter -- yes, I'll follow up with David, because just last quarter, the export duties were 0 on the cost per pound. So that's what I'm just trying to figure out exactly how this is working.

偉大的。需要明確的是，上個季度 - 是的，我會跟進 David，因為就在上個季度，每磅成本的出口關稅為 0。所以這就是我只是想弄清楚它到底是如何運作的。

Yes.

是的。

Just remember, Brian, we weren't exporting for a fairly substantial period of time there. While that we had this administrative delay for even having any exports, and that's when our inventory built up so much. We're able to sell it down. But we went for -- what was it, Kathleen, about 6 weeks without any exports and so the duties -- the duty is paid when it's export.

請記住，布萊恩，我們在相當長的時間內沒有在那裡出口。雖然我們甚至在出口方面也遇到了行政延遲，但那時我們的庫存卻增加了很多。我們可以把它賣掉。但我們的目標是——凱瑟琳，大約六週沒有任何出口，所以關稅——關稅是在出口時支付的。

Yes. The new regulation didn't come out to June, July time frame. And so in the second quarter, we didn't have duties. It was this June 10 date that triggered some new regulations. So we didn't -- you're right that we didn't have duties in the second quarter. So the duties that you're seeing in the third quarter relate to the third quarter shipments.

是的。新規定到六月、七月的時間範圍才出台。所以在第二季度，我們沒有職責。 6 月 10 日這一天引發了一些新規定。所以我們沒有——你是對的，我們在第二季度沒有職責。因此，您在第三季看到的關稅與第三季的出貨量有關。

Great. That's very clear. And thank you Richard, that's very helpful as well.

偉大的。這非常清楚。謝謝理查德，這也很有幫助。

With that, we'll turn the call over to management for any closing remarks.

這樣，我們將把電話轉交給管理階層，讓他們發表結束語。

Well, thanks, everyone, for your participation, and we're available if anybody has any questions or comments, and just talk to David, and we'll look forward to continuing to report to you on our progress.

好的，謝謝大家的參與，如果有人有任何問題或意見，我們可以隨時與 David 聯繫，我們將期待繼續向您報告我們的進展。

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

女士們、先生們，我們今天的呼籲到此結束。感謝您的參與。您現在可以斷開連線。