FAIR VALUE MEASUREMENT (Tables)

3 Months Ended

Mar. 31, 2022

Fair Value Disclosures [Abstract]

Fair Value Measurement Inputs Disclosure

A summary of the carrying amount and fair value of FCX’s financial instruments (including those measured at net asset value (NAV) as a practical expedient), other than cash and cash equivalents, restricted cash, restricted cash equivalents, accounts receivable, accounts payable and accrued liabilities, accrued income taxes and dividends payable (refer to Note 6) follows (in millions):

	At March 31, 2022
	Carrying		Fair Value
	Amount		Total		NAV		Level 1		Level 2		Level 3
Assets
Investment securities:a,b
Equity securities	$	70	$	70	$	—	$	70	$	—	$	—
U.S. core fixed income fund	28		28		28		—		—		—
Total	98		98		28		70		—		—
Legally restricted funds:a
U.S. core fixed income fund	62		62		62		—		—		—
Government bonds and notes	49		49		—		—		49		—
Corporate bonds	40		40		—		—		40		—
Government mortgage-backed securities	23		23		—		—		23		—
Asset-backed securities	13		13		—		—		13		—
Money market funds	8		8		—		8		—		—
Collateralized mortgage-backed securities	3		3		—		—		3		—
Total	198		198		62		8		128		—
Derivatives:
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc	169		169		—		—		169		—
Copper futures and swap contractsc	24		24		—		18		6		—
Copper forward contractsc	2		2		—		1		1		—
Total	195		195		—		19		176		—
Contingent consideration for the sale of the
Deepwater GOM oil and gas propertiesa	84		74		—		—		—		74
Liabilities
Derivatives:c
Embedded derivatives in provisional sales/purchase contracts in a gross liability position	20		20		—		—		20		—
Copper forward contracts	2		2		—		1		1		—
Total	22		22		—		1		21		—
Long-term debt, including current portiond	9,621		10,190		—		—		10,190		—

	At December 31, 2021
	Carrying		Fair Value
	Amount		Total		NAV		Level 1		Level 2		Level 3
Assets
Investment securities:a,b
Equity securities	$	50	$	50	$	—	$	50	$	—	$	—
U.S. core fixed income fund	29		29		29		—		—		—
Total	79		79		29		50		—		—
Legally restricted funds:a
U.S. core fixed income fund	64		64		64		—		—		—
Government bonds and notes	53		53		—		—		53		—
Corporate bonds	45		45		—		—		45		—
Government mortgage-backed securities	20		20		—		—		20		—
Asset-backed securities	18		18		—		—		18		—
Money market funds	8		8		—		8		—		—
Municipal bonds	1		1		—		—		1		—
Total	209		209		64		8		137		—
Derivatives:
Embedded derivatives in provisional sales/purchase contracts in a gross asset positionc	64		64		—		—		64		—
Copper futures and swap contractsc	12		12		—		9		3		—
Copper forward contractsc	1		1		—		1		—		—
Total	77		77		—		10		67		—
Contingent consideration for the sale of the
Deepwater GOM oil and gas propertiesa	90		81		—		—		—		81
Liabilities
Derivatives:c
Embedded derivatives in provisional sales/purchase contracts in a gross liability position	27		27		—		—		27		—
Copper forward contracts	1		1		—		1		—		—
Total	28		28		—		1		27		—
Long-term debt, including current portiond	9,450		10,630		—		—		10,630		—

a.Current portion included in other current assets and long-term portion included in other assets.

b.Excludes time deposits (which approximated fair value) included in (i) other current assets of $117 million at March 31, 2022, and $114 million at December 31, 2021, and (ii) other assets of $133 million at March 31, 2022, and $132 million at December 31, 2021, primarily associated with an assurance bond to support PT-FI’s commitment for additional domestic smelter development in Indonesia and PT-FI’s closure and reclamation guarantees.

c.Refer to Note 6 for further discussion and balance sheet classifications.

d.Recorded at cost except for debt assumed in acquisitions, which are recorded at fair value at the respective acquisition dates.

Summary of Unobservable Input Reconciliation

A summary of the changes in the fair value of FCX’s Level 3 instrument, contingent consideration for the sale of the Deepwater GOM oil and gas properties, during the first three months of 2022 follows (in millions):

Fair value at January 1, 2022	$	81
Net unrealized loss related to assets still held at the end of the period	(1)
Settlements	(6)
Fair value at March 31, 2022	$	74