Dallas, Texas 01/09/2014 (FINANCIALSTRENDS) – Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX), the $37.58 billion market capped, mining firm which is into the mining and extraction of precious metals like gold, copper and molybdenum has its operations spread across Indonesia, American continents and part of Africa. In the past week, the mining firm has posted net loss of 4.08 percent which is against the 5.69 percent increase the stock had posted in the past one month of trading.
This dip in its market value, is being linked to the decision by the Indonesian regulatory authorities’ decision to ban the export of copper in certain forms, in order to promote investment and employment with in the country.
Readers should note that on January 8, Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) had forecasted that, its 2014 output of copper from its Indonesia based Grasberg mine will go up by a substantive 12 percent. This disclosure was made by the CEO Rozik Soetjipto of Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX), Indonesian entity, but these positive sentiments were overshadowed by his qualifying statement that the firm hoped that it would be allowed to export its output by the Government.
These new changes in regulation by the government of the country had come into effect in January, whereby there were limits set on the quantity of unprocessed ore that could be exported. The regulators are tinkering with the existing policies to encourage local processing of the ore before shipping, there by accomplishing value add to its exports.
Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) has been hoping for a waiver on the proposed legislation till 2017, and is keeping its fingers cross that the mining ministry’s proposal to this effect gets approved by the Indonesian federal government quickly. Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX) were trading at $36.20 per share when trading was stopped for the day on December 8.
