Freeport-McMoRan's Water Strategy Accelerates

As climate variability intensifies across key copper extraction regions, water availability emerges as the decisive factor in sustaining production targets. Copper extraction is water-intensive, drawing attention to industry practices as local shortages impact surrounding communities.

American mining operator Freeport-McMoRan also faces water-supply constraints and increased scrutiny over its water use. 

The company treats water stewardship as essential to operational continuity, embedding it in its protocols beyond compliance. With mines located in regions experiencing varying degrees of water scarcity, each site requires a tailored water management plan.

Additionally, the expansion of data centres and increased cooling requirements have heightened scrutiny of corporate water consumption. Mining operations face growing pressure due to their scale and location, requiring continuous adaptation of resource management protocols to ensure operational viability.

Operational recycling targets

According to Freeport-McMoRan’s latest sustainability annual report, 83% of water used across its global sites in 2025 was sourced from recycled or reused water. Water use efficiency averaged 89% across sites over the past five years. 

Freeport-McMoRan developed water management plans for seven mines facing the most severe shortages. These plans incorporate advanced tracking tools to monitor usage and support real-time efficiency improvements.

At its Miami site, Freeport-McMoRan recycles 87% of its water annually, reducing the risk of shortages. Some mines utilise treated municipal water rather than fresh sources, demonstrating collaboration between mining operations and cities to develop water systems that benefit both industry and local communities.

“We commend the ongoing work across the organisation to protect existing water supplies, prepare for future water risks, optimise water-use efficiency and enhance the resilience of operations and surrounding communities,” says Frances Fragos Townsend, Corporate Responsibility Committee Chair at Freeport-McMoRan.

Production volume dependencies

Effective water management is critical for Freeport-McMoRan to sustain production volumes and control costs. The company prioritises initiatives to increase copper recovery from legacy stockpiles. 

Legacy stockpiles consist of previously mined material that can be reprocessed with advanced extraction technologies, enabling production gains without new mining. The company will look to accelerate copper extraction from large stockpiles, increasing yield while reducing water consumption per unit produced.

A strategic agreement with the local municipality for water and sanitation management at the Cerro Verde site in Peru strengthens community relations. According to the company, this arrangement supports what it terms a "social license to operate" in water-scarce regions.

"The CRC encourages management's ongoing engagement with stakeholders and investments in innovation and technology, both of which are essential to navigating future challenges and opportunities," Frances says.

Infrastructure adaptation measures

Freeport-McMoRan employs water and climate models to assess risks such as severe weather and drought. These tools provide insight into potential impacts on water availability.

These models inform updates to storage and water treatment plans, ensuring production continuity during challenging conditions. Seawater treatment, while energy-intensive, supplies coastal mines with a reliable water source and reduces demand on freshwater needed by agriculture and urban areas.

Its El Abra site in Chile runs on 100% certified renewable energy. In 2025, 47% of purchased power for its Americas Copper subsidiary came from renewable sources, according to Freeport-McMoRan.

Freeport-McMoRan is piloting a battery-powered Caterpillar truck at its Sierrita mine in Arizona. The truck recharges its batteries while driving uphill, supporting the company’s goal to reduce fuel consumption while supporting the energy transition which is dependent on copper.