FREEPORT-MCMORAN INC 8-K

What Happened
Freeport-McMoRan Inc. (FCX) and its subsidiary PT Freeport Indonesia (PTFI) entered into a new five-year, $3.0 billion senior unsecured revolving credit facility on May 14, 2026, with JPMorgan Chase Bank N.A. as administrative agent and Bank of America N.A. as syndication agent. The New Revolving Credit Facility replaces FCX’s prior $3.0 billion facility dated October 19, 2022 and matures on May 14, 2031. The company filed the Form 8-K on May 20, 2026.

Key Details

• Facility size: $3.0 billion senior unsecured revolving credit facility; maturity May 14, 2031.
• Borrower limits and sublimits: $500 million borrowing limit for PTFI; $1.5 billion sublimit for letters of credit. Approximately $5 million of existing letters of credit were rolled into the new facility.
• Pricing: Interest may be based on Term SOFR or an Alternate Base Rate plus a spread tied to FCX’s credit ratings.
• Covenants and guarantees: Includes customary negative covenants (limits on subsidiaries’ debt, liens, sale/leasebacks, mergers, asset sales) and a financial covenant requiring FCX to maintain total leverage ≤ 3.75 to 1.00. If a non-borrower subsidiary guarantees > $250 million of FCX debt, that subsidiary must generally guarantee the facility; PTFI’s aggregate liability is capped at $500 million.
• Agents/lenders: JPMorgan Chase Bank, N.A. (administrative agent) and Bank of America, N.A. (syndication agent); some lenders/agents and affiliates have ongoing commercial relationships with FCX.

Why It Matters
This agreement preserves FCX’s $3.0 billion committed liquidity backstop and extends the maturity profile versus the prior facility, supporting near-to-medium-term financial flexibility. The leverage covenant and guarantee provisions are material operational constraints investors should note because they can affect borrowing capacity, distributions, and potential obligations of subsidiaries if certain guarantees are made. The facility is unsecured and mirrors key terms of the prior credit agreement, signaling continuity in FCX’s banking relationships and access to capital markets.