Freeport-McMoRan revises tender offer for its 7.50% Senior Notes due 2006

New Orleans-based copper and gold miner Freeport-McMoRan Copper & Gold Inc. (FCX) announced Thursday that it had revised its tender offer to purchase any and all of its 7.50 percent Senior Notes due 2006.

For the 7.50 percent Notes due 2006, FCX said, it had increased the offer to purchase any and all of its 7.50 percent Notes to $1,030 per $1,000 principal amount plus accrued and unpaid interest from $1,010 per $1,000 principal amount, and have extended the expiration date of this offer to midnight, New York City time, on Wednesday, April 16, 2003, unless extended or terminated. All other terms of this offer remain the same.

As of April 2, 2003, $42,302,000 of principal amount of 7.50 percent Notes (or approximately 21 percent of the outstanding 7.50 percent Notes), have been tendered.

Meanwhile, for the 7.20 percent Notes due 2026, FCX also said, all terms and conditions of the offer to purchase any and all of its 7.20 percent Notes, including the offer price of $1,010 per $1,000 in principal amount plus accrued and unpaid interest, will remain the same. This offer expires at 5 p.m. New York City time today, April 3, 2003, unless extended or terminated.

As of April 2, 2003, $73,144,000 of principal amount of 7.20 percent Notes (or approximately 29 percent of the outstanding 7.20 percent Notes), have been tendered.

?Assuming all of the outstanding notes are tendered in these offers, the aggregate amount of cash to purchase the tendered notes is estimated to be approximately $459 million. FCX's current cash position approximates $750 million,? the company said in a statement.

FCX explores for, develops, mines and processes ore containing copper, gold and silver in Papua province through its 90.6 percent owned unit PT Freeport Indonesia. It smelts and refines copper concentrates at PT Smelting in Gresik, East Java and at Atlantic Copper in Spain. (robert)