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Home›China›Mining | Freeport-McMoRan sells mining stake for USD2.65 billion to Chinese company

Mining | Freeport-McMoRan sells mining stake for USD2.65 billion to Chinese company

By -
Wednesday, May 11, 2016
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dscn0144-750xx4608-2592-0-432Freeport-McMoRan Inc. will sell its stake in TF Holdings Limited to a Chinese mining company for USD2.65 billion as it continues to cut costs and sell assets in order to reduce its debt.
The sale to China Molybdenum Co. unloads its interest in one of the world’s largest copper and cobalt mines, located in the Democratic Republic of Congo.
Freeport-McMoRan is also in negotiations with China Molybdenum to sell its interest in Freeport Cobalt, including the Kokkola Cobalt Refinery in Finland, for $100 million and the Kisanfu Exploration project in the Democratic Republic of Congo for $50 million.
Phoenix-based Freeport-McMoRan is in the process of cutting about 25 percent of its oil and gas workforce as part of a move that also involves selling assets. In a statement, the company said it has moved to sell $4 billion in assets since the start of 2016.
The sale of its stake in TF Holdings is expected to close in the fourth quarter. It will use the proceeds to repay debt.
Shares of Freeport-McMoRan fell $1.11, or 9.4 percent, to $10.68 in afternoon trading. Its shares have fallen 54 percent over the past year. AP

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