Freeport-McMoRan 2012 Annual Report Download - page 62

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60
MANAGEMENT’S DISCUSSION AND ANALYSIS
Africa Mining Product Revenues and Production Costs
By-Product
Co-Product Method
Year Ended December 31, 2012 Method Copper Cobalt Total
(In millions)
Revenues, excluding adjustments
a
$ 1,179 $ 1,179 $ 194 $ 1,373
Site production and delivery, before net noncash
and other costs shown below
501 465 121 586
Cobalt credits
b
(112) — — —
Royalty on metals
25 22 3 25
Net cash costs
414 487 124 611
Depreciation, depletion and amortization
176 160 16 176
Noncash and other costs, net
29 26 3 29
Total costs
619 673 143 816
Revenue adjustments, primarily for pricing on
prior period open sales
8 8 3 11
Gross profit
$ 568 $ 514 $ 54 $ 568
Reconciliation to Amounts Reported
Depreciation,
Production Depletion and
Revenues and Delivery Amortization
Totals presented above
$ 1,373 $ 586 $ 176
Royalty on metals
(25) N/A N/A
Net noncash and other costs
N/A 29 N/A
Revenue adjustments, primarily for pricing on
prior period open sales
11 N/A N/A
Africa mining
1,359 615 176
North America copper mines
5,490 3,012 362
South America mining
4,728 2,114 287
Indonesia mining
3,921 2,349 212
Molybdenum
1,255 1,033 65
Rod & Refining
5,016 4,993 9
Atlantic Copper Smelting & Refining
2,709 2,640 42
Corporate, other & eliminations
(6,468) (6,374) 26
As reported in FCX’s consolidated financial statements
$ 18,010 $ 10,382 $ 1,179
a. Includes point-of-sale transportation costs as negotiated in customer contracts.
b. Net of cobalt downstream processing and freight costs.