OUR APPROACH

We are dedicated to supplying the global economy with responsibly produced copper which includes operating in a manner that manages and mitigates our GHG emissions and other climate-related risks and impacts.

Our climate strategy is founded on three pillars: Reduction, Resilience and Contribution.

REDUCTION
We strive to reduce, manage and mitigate our GHG emissions where possible. We have four 2030 GHG emissions reduction targets, covering nearly 100% of our Scope 1 and 2 GHG emissions, which help us to manage relevant, climate-related risks and support the decarbonization of our business globally. Our decarbonization initiatives can be described by four primary levers: decarbonizing electricity supply, electrification of equipment, energy & asset efficiency, and process innovation. We believe that these four levers are the foundation that will help us to further define our decarbonization roadmap to achieve our 2030 GHG emissions reduction targets and beyond.

RESILIENCE
We strive to enhance our resilience to climate change risks (both physical and transitional risks) for our current and future operations, our host communities and our stakeholders. This includes working to analyze and prepare for extreme weather events, water stress and other potential climate change impacts while also supporting our host communities and responding to anticipated market and regulatory demands.

CONTRIBUTION
We strive to be a positive contributor beyond our operational boundaries by responsibly producing the copper that will support the technologies needed to enable the energy transition. This includes collaborating with partners in our value chain and industry associations to identify climate related solutions that will support the transition to a low-carbon economy and ultimately meet the goals of the Paris Agreement.

To learn more about our approach to climate, including our strategy and performance, please read our 2022 CLIMATE REPORT and our 2023 ANNUAL REPORT ON SUSTAINABILITY

OUR APPROACH

Water is essential to our work and vital to the long-term sustainability of the company and our host communities. We cannot operate without water, and FCX understands the critical importance of managing the impacts of our activities on both water availability and quality along with respecting the rights of our host communities and Indigenous neighbors.

FCX’s water stewardship program focuses on securing reliable, long-term water supplies while maximizing water use efficiency within our operations. On the supply side, we seek to identify opportunities to shift to more sustainable water sources, such as recycled, reused, renewable and lower-quality water. On the use side, we are working to identify best practices, scalable levers and technological innovations in order to maintain our high water use efficiency rates and reduce our freshwater usage over the long term. We review our water usage and consumption patterns regularly in order to understand our water balances and identify efficiency opportunities.

FCX’s operations are in geographically and climatically diverse locations that range from one of the driest places in the world (El Abra in the Atacama Desert in Chile) to one of the world’s wettest (PT-FI’s Grasberg operations in the province of Central Papua, Indonesia). These varied environments can lead to circumstances of significant competition for water or, conversely, where we must implement measures to manage excess water. While we seek to be broadly consistent in our water strategy across our operations globally, the varied conditions of our sites require flexibility.

Globally, our objective is to identify, manage and mitigate both our current and future water-related risks to secure the necessary water resources vital to support our operations over the long term, while also promoting long-term water security for our host communities and ecosystems. We are dedicated to continuously improving our water stewardship program and recognize the importance of working collaboratively with our stakeholders, including providing education, opportunities to adopt new technologies, and balancing responsible production and societal needs and expectations.

To learn more, please see our 2023 ANNUAL REPORT ON SUSTAINABILITY

As a global mining company, we understand that we are dependent upon nature and its naturally occurring resources. This perspective has guided our efforts related to climate, water, biodiversity and land use to date. While we have long appreciated the interconnectedness of these topics, we are currently working to deepen our understanding of the nexus between these critical environmental issues — including both our impacts and dependencies — as we broaden our perspective to consider nature as a whole and its potential impacts on people.

We actively contributed to the development of ICMM's new Nature Position Statement, published in January 2024. This new position statement aims to enhance the industry’s collective action and contribution towards a nature positive future. Through the position statement, member companies commit to focus their efforts within four spheres of influence — direct operations, value chain, landscapes and systems transformation — supported by governance and transparency. The core commitments will be integrated into our nature strategy.

To learn more, please see our 2023 ANNUAL REPORT ON SUSTAINABILITY

OUR APPROACH

Our Environmental Policy states our commitment to contribute to the conservation of nature and biodiversity, implement the mitigation hierarchy to assess risks and impacts to nature, and commit not to explore or mine at any UNESCO World Heritage Sites.

As part of our mining and processing activities, we are responsible for management of our land and the associated biodiversity. We are committed to proactively identifying and managing the potential impacts of our operations on biodiversity, land and surrounding ecosystems and, where adverse impacts cannot be avoided, mitigating them. This includes effectively identifying and managing biodiversity-related risks.

We focus on biodiversity and land management across the life cycle of our operations. Our sites and subject matter experts on our corporate team collaborate to evaluate each potential project area in order to identify and share mapping of key features related to biodiversity, cultural resources, water resources and various other environmental factors before a project proceeds. In some cases, these measures may be completed to fulfill regulatory requirements governing project authorizations. Biodiversity, habitat restoration and conservation are also key components of our reclamation plans and activities at our sites.

By applying the mitigation hierarchy, we aim to manage risks and potential impacts with the long-term ambition of No Net Loss for new mines and major expansion projects at existing mines.

To learn more, please see our 2023 ANNUAL REPORT ON SUSTAINABILITY and biodiversity management plan summaries

OUR APPROACH

FCX is committed to reducing our environmental impact, which includes the effective management of our non-mineral waste (such as recycled material and landfilled waste). We continuously evaluate opportunities to reduce the quantity of non-mineral waste generated at our operations. We seek to apply the standard protocol of reduce, reuse, or recycle wherever possible and implement robust practices to identify, categorize, store and manage non-mineral wastes. Through our asset recovery programs, we divert certain materials from landfills, and we strive to increase recycling and reuse of those materials in our operations. We also evaluate our hazardous waste streams and, when possible, substitute materials with lower toxicity into our processes. For wastes that require disposal, we work with third-party handlers to confirm that the treatment, storage and disposal facilities manage the non-mineral waste in line with contractual or legislative obligations.

Our dedicated non-mineral waste management team is composed of subject matter experts from across the company who are responsible for advancing our technical expertise and developing leadership skills through multi-site collaboration. Our experts provide guidance to support global consistency in our non-mineral waste management programs and adherence to FCX’s Environmental Policy.

To learn more, please see our 2023 ANNUAL REPORT ON SUSTAINABILITY

OUR APPROACH

FCX understands that effectively reclaiming disturbed land and responsibly planning for closure of our mining and processing sites is critical to maintaining the trust of our local communities, governments, and other interested stakeholders, and as such, reclamation and mine closure processes are integral to our site planning and ongoing operations.

We seek to plan and operate our mines in a manner that considers post-mining land use well in advance of mine closure. Likewise, when designing new projects or expanding existing ones, we plan for how the land can be reclaimed once the mine closes. Our philosophy of responsible production continues when we close our mining and processing sites through to reclamation.

FCX strives to work in partnership with our host communities (which in many cases include Indigenous Peoples) to define and deliver shared value, throughout the mine life cycle. We not only seek to avoid, minimize and mitigate negative impacts from our operations, but also aim to provide long-lasting benefits to our neighbors so people can thrive beyond the life of our mines. At each of our operations, we have mine closure and reclamation plans with site-specific environmental measures designed to minimize long-term impacts, promote ecosystem reestablishment and protect the watersheds where we operate. To support future anticipated closure and reclamation costs, each operating mine site has asset retirement obligations aligned with approved closure plans. Closure plans are periodically updated to incorporate new learnings and additional disturbances associated with new development and expansion projects.

To learn more, please see our 2023 ANNUAL REPORT ON SUSTAINABILITY