Freeport-McMoRan has stated that the Grasberg mine in Papua, Indonesia, is expected to return to full production by the close of 2027, reported Reuters.
This reiterates previous plans and counters claims suggesting delays until 2028.
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The Grasberg mine experienced a significant mud flow incident last September. This resulted in the deaths of seven workers and a near month-long shutdown of operations.
Through its subsidiary, PT Freeport Indonesia (PTFI), Freeport extracts copper and gold from one of the largest deposits globally in the Grasberg minerals district.
Besides copper and gold, PTFI also produces silver.
PTFI is primarily owned by Indonesian Government entities, holding a 51.24% stake, while Freeport retains 48.76%.
The Phoenix, US-based company oversees operations at Grasberg.
In April, Freeport adjusted its recovery timeline at the Grasberg site, reducing its production restoration forecast to 65% by the second half of the year, down from 85%.
Despite this, executives affirmed that full operations would resume by the end of 2027.
However, last week, the head of PTFI suggested that the complete restart might be delayed until 2028, prompting a rise in copper prices to a three-month high due to supply concerns amid increasing demand.
In an emailed statement to Reuters, Freeport clarified: “PT Freeport Indonesia’s ramp-up progress and revised mine plans were disclosed on 23 April in connection with Freeport’s earnings release. Media headlines are misleading as this information was publicly disclosed more than two weeks ago.”
Addressing the differences in statements between the Phoenix headquarters and Indonesian operations, a Freeport spokesperson confirmed that any further delays would have been communicated to the market.
The company filed a quarterly update with US regulators reiterating the 2027 timeline.
