New York, February 14, 2014 -- Moody's views Indonesia's ban on the export of mineral ores as credit negative for Freeport-McMoRan Copper & Gold Inc. (FCX). Although FCX in recent years has reduced its dependence on revenues and cash flow from its 90.64% owned PT-Freeport Indonesia (PT-FI) subsidiary, with expansions in its North and South American operations, the development of its Tenke Fungurume mine in the Democratic Republic of Congo, and its 2013 acquisitions of Plains Exploration & Production Company and McMoRan Exploration, its Indonesian subsidiary remains an important contributor to profitability and cash flow generation. In 2013 PT-FI (principally the Grasberg mine complex) contributed approximately 20% of revenues, 20% of EBITDA, 22% of copper production and 91% of gold production. In addition, the Grasberg mine is FCX's lowest cost copper mine given the high gold content of the ore body.
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