Following negotiations between Freeport-McMoRan Inc. and the Indonesian government, the share price of the American mining company temporarily dropped US$0.89 or 5.73 percent to US$14.64 during trading on August 29, 2017. This was due to the negotiations being perceived as detrimental to investors, causing the share price (trading code FCX) to correct itself from the start of trading.
However, by the end of trading, it rebounded, resulting in a final correction of only US$0.32 or 2.1 percent, closing at US$15.21. Trading volume exceeded 30 million shares. The FCX share price reached its highest point this year at US$17.06 and its lowest at US$11.05 on June 2, 2017.
Yesterday's negotiations between Freeport and the Indonesian government were only the initial step, and many issues remain to be resolved. These include: firstly, the contract extension expiring in 2021; secondly, the construction of smelting and refining facilities; thirdly, the 51 percent divestment of shares; and fourthly, taxation issues.