Freeport Indonesia expects copper and gold output up in Q2

US copper and gold miner Freeport-McMoRan and Gold Inc (FCX) says its Indonesian copper and gold mining unit PT Freeport Indonesia (PTFI) expects to record sales of around 350 million pounds of copper and nearly 390,000 ounces of gold during the second quarter of 2002, compared with 296.1 million pounds of copper and 336,600 ounces of gold sales during the first quarter of this year.

Richard C. Adkerson, FCX president and chief financial officer, said on Monday the company had previously projected copper sales to be 400 million pounds and gold sales to be 550,000 ounces during the second quarter of 2002.

Adkerson said FCX attributed the lower-than-expected sales volumes to the delay in accessing the anticipated higher ore and the extremely heavy rainfall in late June. The heavy rainfall had hindered production and delayed concentrate shipments, he added.

PTFI operates Grasberg copper and gold mine in Papua Province.

Adkerson said however higher copper and gold price realizations will partially offset the adverse impact of the below-target sales volumes in the second quarter.

Adkerson said his company had initially projected this year?s annual sales of copper at 1.5 billion pounds and gold at over 2.2 million ounces. (robert/leo)