PHOENIX--(BUSINESS WIRE)--
Freeport-McMoRan Inc. (NYSE: FCX) announced today that it has declared a
cash dividend of $0.05 per share payable on May 1, 2015 to holders of
record as of April 15, 2015 for its common stock.
FCX’s Board of Directors reduced the quarterly dividend from the
previous rate of $0.3125 per share in response to the impact of lower
commodity prices. FCX’s Board reviews its financial policy on an ongoing
basis and has a long-standing practice of distributing cash to
shareholders. The Board anticipates increasing cash returns to
shareholders as market and business conditions warrant.
James R. Moffett, Chairman of the Board; Richard C. Adkerson, Vice
Chairman, and FCX President and Chief Executive Officer; and James C.
Flores, Vice Chairman, and FM O&G President and Chief Executive Officer,
said, “The reduction in the dividend is a prudent measure to strengthen
our balance sheet during a period of volatile market conditions. As
previously announced, our plans include significant reductions in
capital spending and other costs and we are evaluating funding
opportunities for capital expenditures in our oil and gas business. We
will continue to take steps to enhance our financial position and to
preserve our high quality resources for improved market conditions in
the future. We are optimistic about our business, long-term commodity
markets and the significant values embedded in our large-scale,
long-lived assets. We are committed to achieving our plans to
increase production volumes and to prudently manage capital spending
which will enable us to reduce debt over time and increase future
returns to shareholders.”
FCX has a broad set of natural resource assets that provides many
alternatives for future actions to enhance its financial flexibility.
Additional capital cost reductions, potential additional divestitures or
monetizations and other actions will be pursued as required to maintain
a strong balance sheet while preserving a strong resource position and
portfolio of assets with attractive long-term growth prospects.
The declaration and payment of dividends is at the discretion of the
Board and will depend on the company's financial results, cash
requirements, future prospects, and other factors deemed relevant by the
Board.
FCX is a premier U.S.-based natural resources company with an
industry-leading global portfolio of mineral assets, significant oil and
gas resources and a growing production profile. FCX is the world's
largest publicly traded copper producer.
FCX's portfolio of assets includes the Grasberg minerals district in
Indonesia, one of the world's largest copper and gold deposits;
significant mining operations in the Americas, including the large-scale
Morenci minerals district in North America and the Cerro Verde operation
in South America; the Tenke Fungurume minerals district in the
Democratic Republic of Congo; and significant oil and natural gas assets
in North America, including reserves in the Deepwater Gulf of Mexico
(GOM), onshore and offshore California and in the Haynesville natural
gas shale, and an industry-leading position in the emerging shallow
water Inboard Lower Tertiary/Cretaceous natural gas trend on the Shelf
of the GOM and onshore in South Louisiana. Additional information about
FCX is available on FCX's website at "www.fcx.com."
Cautionary Statement Regarding Forward-Looking Statements: This
press release contains forward-looking statements, which are all
statements other than historical facts, such as statements regarding
timing and payment of dividends. The declaration and payment of
dividends is at the discretion of FCX's Board of Directors and will
depend on FCX's financial results, cash requirements, future prospects,
and other factors deemed relevant by the Board. FCX cautions readers
that forward-looking statements are not guarantees of future performance
and its actual results may differ materially from those anticipated,
projected or assumed in the forward-looking statements. Important
factors that can cause FCX's actual results to differ materially from
those anticipated in the forward-looking statements include commodity
prices, production rates, industry risks, regulatory changes, drilling
results, weather- and climate-related risks and other factors described
in more detail under the heading “Risk Factors” in FCX's Annual Report
on Form 10-K for the year ended December 31, 2014, filed with the U.S.
Securities and Exchange Commission (SEC) as updated by FCX’s subsequent
filings with the SEC.
Investors are cautioned that many of the assumptions on which FCX's
forward-looking statements are based are likely to change after its
forward-looking statements are made, including for example commodity
prices, which FCX cannot control, and production volumes and costs, some
aspects of which FCX may or may not be able to control. Further, FCX may
make changes to its business plans that could or will affect its
results. FCX cautions investors that it does not intend to update
forward-looking statements more frequently than quarterly
notwithstanding any changes in FCX's assumptions, changes in business
plans, actual experience or other changes, and FCX undertakes no
obligation to update any forward-looking statements.
Source: Freeport-McMoRan Inc.