SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

                           FORM 10-K
(Mark One)
[x]     ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
              THE SECURITIES EXCHANGE ACT OF 1934
          For the fiscal year ended December 31, 2000
                               OR
[ ]    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
             OF THE SECURITIES EXCHANGE ACT OF 1934
    For the transition period from .......... to ..........
                      Commission file number 1-9916

              Freeport-McMoRan Copper & Gold Inc.
     (Exact name of registrant as specified in its charter)

          Delaware                                74-2480931
(State or other jurisdiction of       (I.R.S. Employer Identification No.)
 incorporation or organization)

                 1615 Poydras Street
              New Orleans, Louisiana             70112
       (Address of principal executive offices)(Zip Code)

Registrant's telephone number, including area code:  (504) 582-4000

  Securities registered pursuant to Section 12(b) of the Act:

                                                   Name of each exchange
           Title of each class                      on which registered
Class A Common Stock, par value $0.10 per share   New York Stock Exchange
Class B Common Stock, par value $0.10 per share   New York Stock Exchange
Depositary Shares representing 0.05 shares of
 Step-Up Convertible Preferred Stock,
 par value $0.10 per share                        New York Stock Exchange
Depositary Shares representing 0.05 shares of
 Gold-Denominated Preferred Stock,
 par value $0.10 per share                        New York Stock Exchange
Depositary Shares, Series II, representing
 0.05 shares of Gold-Denominated Preferred
 Stock, Series II, par value $0.10 per share      New York Stock Exchange
Depositary Shares representing 0.01875 shares
 of Silver-Denominated Preferred Stock,
 par value $0.10 per share                        New York Stock Exchange
9-3/4% Senior Notes due 2001 of P.T. ALatieF
 Freeport Finance Company B.V., guaranteed
 by the registrant                                New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act:  None

     Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months (or
for such shorter period that the registrant was required to file
such reports), and (2) has been subject to such filing
requirements for the past 90 days.  Yes [X]  No [ ]
     Indicate by check mark if disclosure of delinquent filers
pursuant to Item 405 of Regulation S-K is not contained herein,
and will not be contained, to the best of the registrant's
knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any
amendment to this Form 10-K.  [X]
     The aggregate market value of classes of common stock held by
non-affiliates of the registrant on March 15, 2001 was
approximately $1,201,000,000.
     On March 15, 2001, there were issued and outstanding
55,457,860 shares of Class A Common Stock and 88,474,099 shares of
Class B Common Stock.

               DOCUMENTS INCORPORATED BY REFERENCE

     Portions of our Annual Report for the year ended December 31,
2000 are incorporated by reference into Parts II and IV of this
report and portions of the Proxy Statement for our 2001 Annual
Meeting to be held on May 3, 2001 are incorporated by reference
into Part III of this report.



                        TABLE OF CONTENTS
                                                              Page
Part I

Items 1. and 2. Business and Properties                          1
Item 3.  Legal Proceedings                                      14
Item 4.  Submission of Matters to a Vote of Security Holders    15
         Executive Officers of the Registrant                   15

Part II

Item 5.  Market for Registrant's Common Equity
          and Related Stockholder Matters                       16
Item 6.  Selected Financial Data                                16
Items 7. and 7A. Management's Discussion and Analysis  of
          Financial Condition and Results of Operations
          and Quantitative and Qualitative Disclosures About
          Market Risk                                           16
Item 8.  Financial Statements and Supplementary Data            16
Item 9.  Changes in and Disagreements with Accountants  on
          Accounting and Financial Disclosure                   16


Part III

Item 10. Directors and Executive Officers of the Registrant     16
Item 11. Executive Compensation                                 17
Item 12. Security Ownership of Certain Beneficial Owners
          and Management                                        17
Item 13. Certain Relationships and Related Transactions         17

Part IV

Item 14. Exhibits, Financial Statement Schedules and Reports
          on Form 8-K                                           17

Signatures                                                     S-1

Index to Financial Statements                                  F-1

Report of Independent Public Accountants                       F-1

Exhibit Index                                                  E-1


     i

                              PART I

Items 1. and 2.  Business and Properties.

General

     We are one of the world's largest copper and gold mining
companies in terms of reserves and production.  We believe we are
the lowest cost copper producer in the world, after taking into
account customary credits for related gold and silver production.

     Our principal operating subsidiary is PT Freeport Indonesia,
a limited liability company organized under the laws of the
Republic of Indonesia and domesticated in Delaware.  PT Freeport
Indonesia explores for, develops, mines and processes ore
containing copper, gold and silver. Our operations are located in
the remote rugged highlands of the Sudirman Mountain Range in the
province of Irian Jaya (Papua), Indonesia, which is located on
the western half of the island of New Guinea.  PT Freeport
Indonesia markets its concentrates containing copper, gold and
silver worldwide.  We have an 85.86 percent ownership interest in
this subsidiary and the Government of Indonesia has a 9.36
percent interest.  PT Nusamba Mineral Industri (Nusamba), an
Indonesian company, has most of the remaining ownership interest
in PT Freeport Indonesia.  See the discussion under "Cautionary
Statements" about our guarantee of certain Nusamba debt.

     PT Freeport Indonesia's operations are conducted pursuant to
an agreement, called a Contract of Work, with the Government of
Indonesia. The Contract of Work allows us to conduct exploration,
mining and production activities in a 24,700-acre area that we
call Block A.  In 1988 we discovered our largest mine, Grasberg,
in Block A.  Grasberg contains the largest single gold reserve
and one of the largest copper reserves of any mine in the world.
The Contract of Work also allows us to explore for minerals in a
0.5 million-acre area that we call Block B.  All of our current
proved and probable reserves are located in Block A (see "Ore
Reserves").

     PT Freeport Indonesia's Contract of Work governs our rights
and obligations relating to taxes, exchange controls, royalties,
repatriation and other matters (see "Contracts of Work").  The
Contract of Work provides a 35 percent corporate income tax rate
for PT Freeport Indonesia and a withholding tax rate of 10
percent (based on the tax treaty between Indonesia and the United
States) on dividends and interest paid to us by PT Freeport
Indonesia.  The Contract of Work also provides for royalties on
the metals PT Freeport Indonesia sells.

     Another of our operating subsidiaries, PT Irja Eastern
Minerals, which we refer to as Eastern Minerals, holds an
additional Contract of Work in Irian Jaya (Papua) covering
approximately 1.25 million acres and is conducting exploration
activities under this Contract of Work.  We have a 94.9 percent
ownership interest in Eastern Minerals.

     In 1996, we established joint ventures with Rio Tinto plc,
an international mining company with headquarters in London,
England.  One joint venture covers PT Freeport Indonesia's mining
operations in Block A.  This joint venture gives Rio Tinto,
through 2021, a 40 percent interest in certain assets and in
production above specified levels from operations in Block A and,
after 2021, a 40 percent interest in all production in Block A.
Under our joint venture arrangements, Rio Tinto also has a 40
percent interest in future development and exploration projects
under PT Freeport Indonesia's Contract of Work and Eastern
Minerals' Contract of Work.  In addition, Rio Tinto has the
option to participate in 40 percent of any of our other future
exploration projects in Irian Jaya (Papua).

     Under another joint venture agreement through PT Nabire
Bakti Mining, we conduct exploration activities in an area
covering approximately 1.0 million acres in five parcels
contiguous to PT Freeport Indonesia's Block B and one of Eastern
Minerals' blocks.  Rio Tinto has elected to participate in 40
percent of our interest and cost in the venture.

     Field exploration activities outside of our current mining
operations in Block A have been temporarily suspended pending the
resolution of regulatory and local community issues.

     We also smelt and refine copper concentrates in Spain and
market the refined copper products, through our wholly owned
subsidiary, Atlantic Copper, S.A.  In addition, PT Freeport
Indonesia has a 25 percent interest in PT Smelting, an Indonesian
company that operates a copper smelter and refinery in Gresik,
Indonesia.

     1

Republic of Indonesia

     The Republic of Indonesia consists of more than 17,000
islands stretching 3,000 miles along the equator from Malaysia to
Australia and is the fourth most populous nation in the world
with over 200 million people.  Following many years of Dutch
colonial rule, Indonesia gained independence in 1945 and now has
a presidential republic system of government.

     Maintaining a good working relationship with the Government
of Indonesia is of particular importance to us because all of our
mining operations are located in Indonesia. Our mining complex
was Indonesia's first copper mining project and was the first
major foreign investment in Indonesia following the economic
development program instituted by the Government of Indonesia in
1967.  We work closely with the central, provincial and local
governments in development efforts in the area surrounding our
operations.

     In May 1998, President Suharto, Indonesia's political leader
for more than 30 years, resigned in the wake of an economic
crisis in Indonesia and other parts of Southeast Asia and in the
face of growing social unrest.  Vice President B.J. Habibie
succeeded Suharto.  In June 1999, Indonesia held a new
parliamentary election on a generally peaceful basis as the first
step in the process of electing a new president. In October 1999,
in accordance with the Indonesian constitution, the country's
highest political body, composed of the newly elected national
parliament along with additional provincial and other
representatives, elected Abdurrahman Wahid as president and
Megawati Sukarnoputri as vice president.

     Economic and political conditions remain challenging in
Indonesia.  The Indonesian economy grew by an estimated 5 percent
in 2000 after remaining flat in 1999 and contracting by 13
percent in 1998.  Indonesia is Asia's second largest exporter of
oil and continues to benefit from higher oil prices.  While the
economy has exceeded growth projections, progress on reforming
the nation's failed banking system and raising capital from bank-
related assets has been slow.  As a result, the country remains
heavily reliant on foreign aid to balance its budget and the
national currency, the rupiah, declined approximately 32 percent
in value during 2000.

     Despite gradual improvements on the economic front,
Indonesia's recovery remains vulnerable to ongoing political and
social tensions.  There have been repeated challenges to the
political leadership of President Wahid.  Incidents of violence
and separatist pressures continue to add to political instability
within the country as the Wahid administration struggles to
address the country's economic and social issues.  No incidents
of violence were reported in PT Freeport Indonesia's area of
operations, where the local community leaders continue to support
peaceful solutions to the complex issue of regional autonomy.

     President Wahid and his administration have focused in
recent months on issues involving regional autonomy.  The program
to shift a greater share of revenues and greater control of
economic, regulatory and social affairs to Indonesia's 31
provinces and over 300 regencies is one of the government's most
important initiatives.  Although new autonomy laws became
effective January 1, 2001, there will be a transition period to
allow the provinces to prepare for the assumption and
administration of these new responsibilities.  While the
uncertainties of the autonomy process have created concern among
foreign investors, the Indonesian government has repeatedly
assured investors that existing contracts would be honored.  Our
belief that our Contracts of Work will continue to be honored is
further supported by U.S. laws, which prohibit U.S. aid to
countries that nationalize property owned by, or take steps to
nullify a contract with, a U.S. citizen or company at least 50
percent owned by U.S. citizens if the foreign country does not
within a reasonable time take appropriate steps to provide full
value compensation or other relief under international law.

     Pro-independence movements in certain areas also have become
more prominent, especially in the province of Aceh, and to a
lesser extent in Irian Jaya (Papua).  The area surrounding our
mining development is sparsely populated by local people and
former residents of more populous areas of Indonesia, some of
whom have resettled in Irian Jaya (Papua) under the Government of
Indonesia's transmigration program. A segment of the local
population is opposing Indonesian rule over Irian Jaya (Papua),
and several separatist groups have sought political independence
for the province.  In Irian Jaya (Papua), there have been
sporadic attacks on civilians by separatists and sporadic but
highly publicized conflicts between separatists and the
Indonesian military, although none have occurred in our area of
operations.  We have a board-approved policy statement on social
and human rights, and have comprehensive and

     2

extensive social, cultural and community development programs, to
which we have committed significant financial and managerial resources.
These policies and programs are designed to address the impact of our
operations on the local villages and people and to provide
assistance for the development of the local people.  While we
believe these efforts should serve to avoid damage to and
disruptions of our mining operations, our operations could be
damaged or disrupted by social, economic and political forces
beyond our control.  See "Cautionary Statements."

Contracts of Work

     PT Freeport Indonesia and Eastern Minerals conduct their
current exploration operations and PT Freeport Indonesia conducts
its mining operations in Indonesia by virtue of their Contracts
of Work.  Both Contracts of Work govern our rights and
obligations relating to taxes, exchange controls, royalties,
repatriation and other matters. Both Contracts of Work were
concluded pursuant to the 1967 Foreign Capital Investment Law,
which expresses Indonesia's foreign investment policy and
provides basic guarantees of remittance rights and protection
against nationalization, a framework for economic incentives and
basic rules regarding other rights and obligations of foreign
investors.   Any disputes regarding the provisions of the
Contracts of Work are subject to international arbitration.

     PT Freeport Indonesia's Contract of Work covers both Block
A, which was first included in a 1967 Contract of Work that was
replaced by a new Contract of Work in 1991, and Block B, to which
we gained rights in 1991. The initial term of our Contract of
Work expires in December 2021 but we can extend it for two 10-
year periods under certain conditions.  We originally had the
rights to explore 6.5 million acres in Block B, but pursuant to
the Contract of Work we have only retained the rights to 0.5
million acres, which we believe, following significant geological
assessment, contain the most promising exploration opportunities.

     Eastern Minerals signed its Contract of Work in August 1994.
The Contract of Work originally covered approximately 2.5 million
acres.  Eastern Minerals' Contract of Work provides for a four-to-
seven year exploratory term and a 30-year term for mining
operations, which we can extend for two 10-year periods under
certain conditions.   Because of regulatory and local community
issues, we requested and received from the Government of
Indonesia formal temporary suspensions of our obligations under
the Contracts of Work in all areas outside of Block A.  Like the
PT Freeport Indonesia contract, the Eastern Minerals Contract of
Work requires us to relinquish our rights to 25 percent of the
original 2.5 million-acre Contract of Work area at the end of
each of three specified periods. As of December 31, 2000, we had
relinquished approximately 1.25 million acres, and within three
months of resuming exploratory activity under the Contract of
Work we must relinquish an approximate 0.6 million additional
acres.

     PT Freeport Indonesia pays a copper royalty under its
Contact of Work that varies from 1.5 percent of copper net
revenue at a copper price of $0.90 or less per pound to 3.5
percent at a copper price of $1.10 or more per pound.  The
Contract of Work royalty rate for gold and silver sales is 1.0
percent.

     PT Freeport Indonesia also has agreed to pay voluntary
additional royalties on metal from production above 200,000
metric tons of ore per day. The additional royalty for copper
equals the Contract of Work royalty rate and for gold and silver
equals twice the Contract of Work royalty rates.  Therefore, our
royalty rate on copper net revenues from production above 200,000
metric tons of ore per day is double the Contract of Work royalty
rate, and our royalty rates on gold and silver sales from
production above 200,000 metric tons of ore per day are triple
the Contract of Work royalty rates.

     The combined royalties, including the voluntary additional
royalties which became effective January 1, 1999, totaled $20.2
million in 2000, $23.0 million in 1999 and $16.2 million in 1998.

Ore Reserves

     During 2000, additions to the aggregate proved and probable
reserves at the Grasberg mining complex totaled approximately 202
million metric tons of ore representing increases of 2.7 billion
recoverable pounds of copper and 4.5 million recoverable ounces
of gold.  Year-end aggregate proved and probable recoverable
reserves, net of 2000 production, were 2.51 billion metric tons
of ore averaging 1.10 percent copper, 1.04 grams of gold per
metric ton and 3.40 grams of silver per metric ton representing
50.9 billion pounds of copper, 63.7 million ounces of gold and
139.6 million ounces of silver. Approximately one-half of the
reserve additions are in the Ertsberg Stockwork Zone, an

     3

underground deposit contiguous to our existing Deep Ore Zone ore
body, with the remainder of the reserve additions being in the
Grasberg open pit and underground ore bodies.

     Pursuant to joint venture arrangements between PT Freeport
Indonesia and Rio Tinto, Rio Tinto has a 40 percent interest in
future production from reserves above those reported at December
31, 1994.  Net of Rio Tinto's share, PT Freeport Indonesia's
share of proved and probable recoverable copper, gold and silver
reserves was 38.9 billion pounds of copper, 50.3 million ounces
of gold and 108.5 million ounces of silver as of December 31,
2000.  We estimated recoverable reserves using a copper price of
$0.90 per pound and a gold price of $300 per ounce.  Using a gold
price of $270 per ounce would not have a significant impact on
our estimated recoverable reserves.

     All of our proved and probable reserves lie within Block A.
The Grasberg deposit contains the largest single gold reserve and
is one of the largest copper reserves of any mine in the world.
Aggregate Grasberg open pit and underground proved and probable
ore reserves as of December 31, 2000 are shown below along with
those of our other deposits, as verified by Independent Mining
Consultants, Inc., experts in mining, geology and reserve
determination.  See "Cautionary Statements."



                               Average Ore Grade
                                per Metric Ton        Recoverable Reserves
              Metric Tons   ---------------------   -------------------------
             of ore (000s)  Copper  Gold   Silver    Copper    Gold   Silver
             -------------  ------  -----  ------   --------  ------- -------
                             (%)   (Ounce) (Ounce) (Billions (Millions(Millions
                                                    of Lbs.)  of Ozs.) of Ozs.)
                                                    
Grasberg:
  Open pit      1,080,805    0.99   .038    .075      19.3      32.0      40.3
  Underground     743,033    1.09   .025    .089      15.1      14.1      35.5
Kucing Liar       320,457    1.41   .045    .170       8.2      10.3      25.5
Deep Ore Zone     185,476    1.19   .026    .187       4.2       4.0      18.4
Big Gossan         37,349    2.69   .033    .528       1.8       0.9       9.9
Ertsberg
  Stockwork Zone  100,731    0.55   .026    .056       1.1       2.0       3.2
Dom                30,892    1.67   .014    .310       0.9       0.3       4.7
Intermediate
  Ore Zone         15,789    1.09   .014    .249       0.3       0.1       2.1
                ---------                             ----      ----     -----
     Total      2,514,532    1.10   .033    .109      50.9      63.7     139.6
                =========                             ====      ====     =====



Mining Operations

     Mines in Production.  We currently have three mines in
operation: the Grasberg open pit, the Intermediate Ore Zone and
the Deep Ore Zone.  We began open-pit mining of the Grasberg ore
body in January 1990.  Production is at the 3,600- to 4,250-meter
elevation level and totaled 76.8 million metric tons of ore in
2000, which provided 91 percent of our mill feed. The underground
Grasberg reserves will be mined near the end of open-pit mining,
which is expected to continue until approximately 2015.

     The Intermediate Ore Zone is an underground block-cave
operation that began production in the first half of 1994.
Production is at the 3,475-meter elevation level and totaled 6.7
million metric tons of ore in 2000.  We expect to fully deplete
the Intermediate Ore Zone by 2003.

     The Deep Ore Zone ore body lies vertically below the
Intermediate Ore Zone. We began production from the Deep Ore Zone
ore body in 1989 but we suspended production in 1991 in favor of
production from the Grasberg deposit. Production using the block-
cave method at the Deep Ore Zone officially restarted in
September 2000.  Production is at the 3,150-meter elevation level
and totaled 0.6 million metric tons of ore in 2000. The Deep Ore
Zone will ramp up from its approximately 3,000 metric tons of ore
per day rate at December 31, 2000 to approximately 14,000 metric
tons of ore per day by the end of 2001 and a full production rate
of 25,000 metric tons of ore per day by 2004.  We are conducting
a feasibility study to assess increasing the Deep Ore Zone mine
production rate to 35,000 metric tons of ore per day.

     Mines in Development. Four other significant ore bodies,
referred to as the Dom, Big Gossan, Kucing Liar and the newly
discovered Ertsberg Stockwork Zone are located in Block A.  These
ore bodies are at various stages of

     4

development, and are included in our proved and probable reserves.
See "Cautionary Statements."

     The Dom ore body lies approximately 1,500 meters southeast
of the depleted Ertsberg open-pit deposit. We completed pre-
production development at the Dom including all maintenance,
warehouse and service facilities just as Grasberg began open-pit
production in 1990. We have deferred production at the Dom ore
body and may not begin until after completion of open-pit mining.

     The Big Gossan ore body is located approximately 1,000
meters southwest of the original Ertsberg open-pit deposit.  We
began the initial underground development of the ore body in 1993
when we drove tunnels from the mill area into the ore zone at the
2,900-meter elevation level. We expect to use a variety of
stoping methods to mine the deposit, and plan to complete a
detailed feasibility study in 2001 to determine when to begin
production.

     The Kucing Liar ore body lies on the southern flank of and
underneath the southern portion of the Grasberg open pit at the
2,500- to 3,100-meter elevation level. We are reviewing
development plans for Kucing Liar.

     The Ertsberg Stockwork Zone ore body extends off the
southwest side of the Deep Ore Zone ore body at the 3,150- to
3,750-meter elevation level.  Drilling efforts continue to
determine the extent of this ore body, which we expect to  mine
using a block-cave method after we complete mining at the Deep
Ore Zone ore body.

Exploration

     As a result of our joint venture arrangements with Rio
Tinto, they pay for 40 percent of our exploration and drilling
costs in Irian Jaya (Papua). We continue drilling in Block A to
better define the ore bodies at Kucing Liar (as discussed above),
Grasberg Underground, the underground Ertsberg Stockwork Zone and
a newly defined surface target called Guru Ridge.  One rig
continues to drill between the Kucing Liar reserve and the
Grasberg Underground reserve and indicates positive results for
continuity of mineralization.  Several rigs drilled from the Deep
Ore Zone mine into the Ertsberg Stockwork Zone to define its
extent.  Several more rigs conducted drilling on the Guru Ridge
surface target which lies 2,000 meters east of the original
Ertsberg open-pit mine.

     In June 1998, we entered into a joint venture agreement to
conduct exploration activities in PT Nabire Bakti Mining's
Contract of Work area covering approximately 1.0 million acres in
several blocks contiguous to PT Freeport Indonesia's Block B and
one of Eastern Minerals' blocks in Irian Jaya (Papua).  Rio Tinto
shares in 40 percent of our interest and costs in this
exploration joint venture.  We and Rio Tinto can earn up to a 62
percent interest in the PT Nabirie Bakti Mining Contract of Work
by spending up to $21 million on exploration and other activities
in the joint venture areas.  We have spent $15.2 million through
December 31, 2000.

     Field exploration activities in Block B, which includes the
Wabu Ridge gold prospect, as well as in the other Contract of
Work areas of Eastern Minerals and PT Nabire Bakti Mining have
been suspended pending the resolution of regulatory and local
community issues.  All of these areas are outside of our current
mining operations area.

Milling and Production

     The ore from our mines moves by a conveyor system to a
series of ore passes through which it drops to our milling and
concentrating complex located approximately 2,900 meters above
sea level. At the mill, the ore is crushed and ground and mixed
in tanks with water and small amounts of flotation reagents where
it is continuously agitated with air. During this physical
separation process, copper-, gold- and silver-bearing particles
rise to the top of the tanks and are collected and thickened into
a concentrate. The concentrate leaves the mill complex as a
slurry, consisting of approximately 65 percent solids by weight,
and is pumped through three parallel 115 kilometer pipelines to
our coastal port site facility at Amamapare where it is filtered,
dried and stored for shipping. Ships are loaded at dock
facilities at the port until they draw their maximum water, then
move to deeper water, where loading is completed from shuttling
barges.

     In early 1998, PT Freeport Indonesia completed construction
on the fourth concentrator mill expansion.  Pursuant to the
expansion joint venture agreement, in addition to funding its 40
percent share of all expansion costs including the fourth
concentrator mill expansion, Rio Tinto provided a $450 million
nonrecourse loan to PT Freeport Indonesia for PT Freeport
Indonesia's share of the cost of the expansion. In less than two
and one-half years, PT

     5

Freeport Indonesia repaid the $450 million
loan, plus interest, from its share of incremental cash flow
attributable to the expansion. Operating, nonexpansion capital
and administrative costs are shared proportionately between PT
Freeport Indonesia and Rio Tinto based on the ratio of (a) the
incremental revenues from production from the expansion and (b)
total revenues from production from Block A, including production
from PT Freeport Indonesia's previously existing reserves. PT
Freeport Indonesia receives 100 percent of the cash flow from
specified annual amounts of copper, gold and silver production
through 2021 and will receive 60 percent of all remaining cash
flow thereafter.

     Our production results for 1999 and 2000 follow:



                                            Years Ended
                                            December 31,
                                      ----------------------   Percentage
                                        2000          1999       Change
                                      ---------    ---------   ----------
                                                         
Mill throughput
 (metric tons of ore per day)           223,500      220,700         1%
Copper production, net to
 PT Freeport Indonesia (000 pounds)   1,388,100    1,428,100       (3)%
Gold production, net to
 PT Freeport Indonesia (ounces)       1,899,500    2,379,100      (20)%
Average net cash production costs
 per pound of copper                      $0.23        $0.09       156%



     In May 2000, PT Freeport Indonesia, in consultation with the
Government of Indonesia, voluntarily agreed to temporarily limit
Grasberg open-pit production because of an incident at its
Wanagon overburden stockpile.  Normal overburden placement at the
Wanagon overburden stockpile resumed and the restriction on
production from the Grasberg open pit was lifted at the end of
2000 (see "Wanagon Overburden Stockpile Slippage").

     Gold production in 2000 declined primarily because of lower
ore grades, but is expected to improve in 2001.  Average net cash
production costs per pound of copper were higher in 2000 because
of lower credits from gold sales and because of higher mine
maintenance and energy costs.  For more information regarding our
operating and financial results, see our Annual Report
incorporated herein by reference as part of "Item 6. Selected
Financial Data" and "Items 7. and 7A. Management's Discussion and
Analysis of Financial Condition and Results of Operations and
Quantitative and Qualitative Disclosures About Market Risk."

Infrastructure Improvements

     The location of our mining operations in a remote area
requires that our operations be virtually self-sufficient. In
addition to the mining facilities described above, in the course
of the development of our project we have constructed ourselves
or participated with others in the construction of an airport, a
port, a 119 kilometer road, an aerial tramway, a hospital and
related medical facilities, and two town sites with housing,
schools and other facilities sufficient to support more than
17,000 persons.

     In 1996, we completed a significant infrastructure program,
which includes various residential, community and commercial
facilities.  We designed the program to provide the
infrastructure needed for our operations, to enhance the living
conditions of our employees, and to develop and promote the
growth of local and other third party activities and enterprises
in Irian Jaya (Papua). We have developed the facilities through
joint ventures or direct ownership involving local Indonesian
interests and other investors.

    From December 1993 to March 1997, PT Freeport Indonesia sold
$270.0 million of infrastructure assets to joint ventures owned
one-third by PT Freeport Indonesia and two-thirds by PT ALatieF
Nusakarya Corporation (ALatieF), an Indonesian investor.  Funding
for the purchases consisted of $90.0 million in equity
contributions by the joint venture partners, a $60.0 million bank
loan and FCX's 9 3/4% Senior Notes.  PT Freeport Indonesia
subsequently sold its one-third interest in the joint ventures to
ALatieF in March 1997.  In September 1998, PT Freeport Indonesia
reacquired for $30 million an aggregate one-third interest in the
joint ventures.  During 2000, PT Freeport Indonesia purchased the
remaining interest in the joint ventures for $25.9 million cash
and the assumption of $34.1 million of bank debt.

     In December 1997, we sold the new coal-fired power plant
facilities associated with the fourth concentrator mill expansion
for $366.4 million to the joint venture that owns the power
plants that already provided electricity to us.  The

     6

purchase price included $123.2 million for Rio Tinto's share of the new
power plant facilities.  Asset sales to the power joint venture
totaled $581.4 million through 1997, including $458.2 million of
assets we owned.  We subsequently sold our 30 percent interest in
the joint venture to the other partners and we purchase power
under infrastructure asset financing arrangements pursuant to a
power sales agreement.

Marketing

     PT Freeport Indonesia sells its copper concentrates, which
contain significant quantities of gold and silver, under United
States dollar-denominated sales agreements, mostly to companies
in Asia and Europe and to international trading companies.  We
sell substantially all of our budgeted production of copper
concentrates under long-term contracts with the selling price
based on world metals prices (generally the London Metal Exchange
settlement prices for Grade A copper) less certain allowances.
Under these contracts, initial billing occurs at the time of
shipment and final settlement on the copper portion is generally
based on average prices for a specified future period. Gold
generally is sold at the average London Bullion Market
Association price for a specified month near the month of
shipment. Revenues from concentrate sales are recorded net of
royalties (see "Contracts of Work"), treatment and refining costs
and the impact of derivative financial instruments, if any, used
to hedge against risks from copper and gold price fluctuations.
Treatment and refining costs represent payments to smelters and
refiners and are either fixed or in certain cases vary with the
price of copper. We sell some copper concentrates in the spot
market. See "Cautionary Statements."

     We have commitments, including commitments from Atlantic
Copper and PT Smelting, for essentially all of our estimated 2001
production at market prices.  We expect our share of sales for
2001 to approximate 1.4 billion pounds of copper and 2.4 million
ounces of gold. Projected 2001 copper and gold sales reflect the
expectation of higher average mill throughput rates than in 2000
and higher gold grades.  See "Cautionary Statements."

     PT Freeport Indonesia has a long-term contract through 2007
to provide Atlantic Copper with approximately 60 percent of its
copper concentrate requirements at market prices.  PT Freeport
Indonesia's agreement with PT Smelting provides for the supply of
100 percent of the copper concentrate requirements necessary to
reach the Gresik smelter's design capacity and substantially all
of any incremental copper concentrate requirements that may be
needed in excess of that amount.  For the first 15 years of PT
Smelting's operations, the treatment and refining charges on the
majority of the concentrate PT Freeport Indonesia supplies will
not fall below a specified minimum rate, currently $0.23 per
pound, the rate for 2000 and the expected rate for 2001.  We
anticipate that PT Freeport Indonesia will sell approximately 50
percent of its annual concentrate production to Atlantic Copper
and PT Smelting.

Investment in Smelters

     Our investment in smelters (Atlantic Copper and PT Smelting)
serves an important role in our concentrate marketing strategy.
Through downstream integration, we are able to substantially
offset the effect of changes in treatment charges for smelting
and refining PT Freeport Indonesia's copper concentrates.  While
low smelter treatment and refining charges adversely affect the
operating results of our smelter operations, they benefit the
operating results of the mining operations of PT Freeport
Indonesia.  Taking into account taxes and minority ownership
interests, an equivalent change in the rates PT Freeport
Indonesia pays and the rates Atlantic Copper and PT Smelting
receive would essentially offset in our consolidated operating
results.

Atlantic Copper, S.A.

     Atlantic Copper's smelter has a design capacity of 290,000
metric tons of metal per year.  During 2000, Atlantic Copper
treated 916,300 metric tons of concentrate and produced 289,900
metric tons of new copper anodes. Atlantic Copper purchased
approximately 64 percent of its 2000 concentrate requirements
from PT Freeport Indonesia at market prices.

     We contributed $40.0 million to Atlantic Copper in December
1999 and an additional $32.4 million during 2000.  The funds are
intended to strengthen Atlantic Copper's financial structure
during this period of extremely low treatment and refining charge
rates.

     7

PT Smelting

     PT Smelting temporarily shut down its smelter, as planned,
at the end of March 2000 for the tie-in of a new third anode
furnace as well as for planned maintenance.  The smelter
restarted at the end of April and during the third quarter of
2000 achieved its goal of reaching full design capacity of
200,000 metric tons of copper per year.  During 2000, PT Smelting
treated 582,200 metric tons of concentrate and produced 173,800
metric tons of new copper anodes.

     In 1999, its first full year of operations, PT Smelting
treated 436,000 metric tons of concentrate and produced 126.7
metric tons of new copper anodes.  PT Smelting is a joint venture
among PT Freeport Indonesia, Mitsubishi Materials Corporation,
Mitsubishi Corporation and Nippon Mining & Metals Co., Ltd.,
which own 25 percent, 60.5 percent, 9.5 percent and 5 percent,
respectively, of the outstanding PT Smelting common stock.  PT
Freeport Indonesia agreed to assign its earnings in PT Smelting
to support a 13 percent cumulative annual return to the other
owners for the first 20 years of operations.

Competition

     We compete with other mining companies in the sale of our
mineral concentrates and the recruitment and retention of
qualified personnel. Some competing companies possess financial
resources equal to or greater than ours and possess multiple
mining assets less geographically concentrated in a single area
than ours.  We believe, however, that we are the lowest cost
copper producer in the world, taking into account customary
credits for related gold and silver production, which we believe
gives us a significant competitive advantage.

Social Development and Human Rights

     We have a social and human rights policy to ensure that we
operate in compliance with the laws in the areas of our
operations, and in a manner that respects basic human rights and
the culture of the people who are indigenous to the area.  We
continue to incur significant costs on social and cultural
activities, primarily in Irian Jaya (Papua).  These activities
include:

     *   comprehensive job training programs
     *   basic education programs
     *   several public health programs, including extensive malaria
         control
     *   agricultural assistance programs
     *   a business incubator program to encourage the local people
         to establish their own small scale businesses
     *   cultural preservation programs
     *   charitable donations

     In 1996, PT Freeport Indonesia agreed to commit at least one
percent of its revenues for the following 10 years to the
Freeport Fund for Irian Jaya Development to support village-based
health, education, economic and social development programs in
its area of operations. This commitment replaced our community
development programs in which we spent a similar amount of money
each year.  We contributed $14.1 million in 2000, $14.7 million
in 1999 and $13.5 million in 1998 to the Freeport Fund for Irian
Jaya Development.

     Lembaga Pengembangan Masyarakat-Irian Jaya, or the People's
Development Foundation-Irian Jaya, oversees disbursement of the
funds we contribute to the Freeport Fund for Irian Jaya
Development.  The foundation's board of directors is made up of
the head of the local government, currently a Kamoro; a leader of
the Amungme people; a leader of the Kamoro people and leaders of
the three local churches.

     We believe that our social and economic development programs
are responsive to the issues raised by the local villages and
people and should help us to avoid disruptions of mining
operations.  Nevertheless, social and political instability in
the area may adversely impact our mining operations.

     In December 2000, we endorsed the joint U.S. State
Department-British Foreign Office Voluntary Principles on Human
Rights and Security.  The Voluntary Principles were endorsed by
several major natural resources companies and

     8

by important human rights organizations.  We participated in drafting these
principles with all of the parties involved and added them to our
social and human rights policy.

Environmental Matters

     We have an environmental policy that commits us not only to
compliance with applicable federal, state and local environmental
statutes and regulations, but also to continuous improvement of
our environmental performance at every operational site.  We
believe that we conduct our Indonesian operations pursuant to all
necessary permits and are in compliance in all material respects
with applicable Indonesian environmental laws, rules and
regulations. Mining operations on the scale of our operations in
Irian Jaya (Papua) involve significant environmental challenges,
primarily related to the disposition of tailings, which are the
crushed and ground rock material resulting from the physical
separation of commercially valuable minerals from the ore. We
have an extensive, ongoing management system for the disposal of
tailings resulting from our milling operations. In 1997, we
completed an engineered levee system, as part of our Government
of Indonesia-approved tailings management plan, to minimize the
impact of the tailings on the environment through a controlled
deposition area that ultimately we will reclaim.

     We have committed to independent external environmental
audits of our Irian Jaya (Papua) operations by qualified experts
every three years, with the results to be made public.  The
second such audit was completed in 1999.  The second audit
reported that we continue to be in material compliance with
Indonesian environmental laws and regulations and that we had
fulfilled the recommendations in the 1996 audit report.  The 1999
external audit report made some additional environmental
management recommendations that are being implemented.  The
report concluded that our environmental management systems
achieve the standard of practice for world-class mines.  The
auditors also found our environmental management systems to be
exemplary and a showcase for the mining industry.  We also are
continuing our annual internal audits, through the life of our
mining operations, so that our environmental management and
monitoring programs will remain sound and our operations will
remain in material compliance with local laws.

     We have environmental approvals from the Government of
Indonesia to expand our milling rate up to a maximum of 300,000
metric tons of ore per day. In 2000 we averaged 223,500 metric
tons of ore per day and we expect to average 235,000 metric tons
of ore per day in 2001.

     We cannot currently project with precision the ultimate
amount of reclamation and closure costs we will incur.  Our best
estimate at this time is that ultimate reclamation and closure
costs may require as much as $100 million but are not expected to
exceed $150 million.  However, these estimates are subject to
revision over time as we perform more complete studies and
formulate more definitive plans.  We will incur some reclamation
costs during mining activities, while we will incur most closure
costs and the remaining reclamation costs at the end of our
mining activities, which are currently estimated to continue for
more than 30 years. We had $19.2 million accrued on a unit-of-
production basis at December 31, 2000 for mine closure and
reclamation costs.

     In 1996, we began contributing to a cash fund ($2.5 million
balance at December 31, 2000) designed to accumulate at least
$100 million by the end of our Indonesian mining activities.  We
plan to use this fund, including accrued interest, to pay for
mine closure and reclamation costs.  An increasing emphasis on
environmental issues and future changes in regulations could
require us to incur additional costs that would be charged
against future operations. Estimates involving environmental
matters are by their nature imprecise and changes in government
regulations, operations, technology and inflation could require
us to revise them over time.

     We believe that Atlantic Copper's facilities and operations
are in compliance in all material respects with all applicable
Spanish environmental laws, rules and regulations. During 1999,
Atlantic Copper achieved ISO 14001 certification for its two
remaining uncertified facilities.  In addition, environmental
management systems at all of Atlantic Copper's facilities have
been validated as being in compliance with the European Union
Regulation on Environmental Eco-Management and Eco-Auditing.

     The Indonesian and Spanish governments may periodically
revise their environmental laws and regulations or adopt new
ones, and we cannot predict the effects on our operations of new
or revised regulations.  We have expended significant resources,
both financial and managerial, to comply with environmental
regulations and permitting and approval requirements, and we
anticipate that we will continue to do so in the future.  There
can be no assurance that we

     9

will not incur additional significant
costs and liabilities to comply with such current and future
regulations or that such regulations will not have a material
effect on our operations.  See "Cautionary Statements."

     For additional information on our environmental and social
efforts, see our annual report incorporated herein by reference
as part of "Items 7. and 7A. Management's Discussion and Analysis
of Financial Condition and Results of Operations and Quantitative
and Qualitative Disclosures About Market Risk."

Wanagon Overburden Stockpile Slippage

     On May 4, 2000, a slippage occurred in the overburden waste
stockpile at the Wanagon basin following a period of excessive
rainfall, causing a wave of water and material to overflow from
the basin. Four employees of a contractor to PT Freeport
Indonesia were working in the area and perished. Contained within
the mud were the treatment solids from the lime precipitation of
acid rock drainage, which then entered the tailings river system
near the village of Banti. Sampling and monitoring were initiated
at a number of stations covering the entire tailings system
between the mine and estuary for a period of several months. A
specific risk analysis was conducted as a result of this event
and was based on the monitoring program. No long-term
environmental effects were found from the direct monitoring nor
predicted by the risk assessment. The slippage caused a flow of
sediments containing slightly elevated levels of precipitated
copper. As a result, water quality in the river was temporarily
diminished due to higher levels of total suspended solids.

     PT Freeport Indonesia engaged international experts and
outside consultants led by a team from the Institute of
Technology of Bandung (Indonesia) to conduct a comprehensive
study of the cause of the slippage and to recommend a future
course of action. Working with the close cooperation of the
Indonesian Department of Energy and Natural Resources and also
BAPEDAL (the Indonesian environmental protection agency), the
company initiated a stockpile stabilization program and
voluntarily agreed to a temporary limitation on production from
the Grasberg open pit of 200,000 tons per day average.
Underground ore production was not affected.  A safe-zone based
on engineering calculations was subsequently identified along the
Wanagon River and within the village of Banti. The residents
within this zone were temporarily moved to Tembagapura, our
original mining town site, and the houses were removed. These
families are being relocated to new housing designed according to
their wishes and located on higher ground in Banti. After
successful completion of the stabilization program and
consultation with the Indonesian government and affected local
residents, normal overburden placement at the Wanagon stockpile
resumed and the restriction on production from the Grasberg open
pit was lifted at the end of 2000.

Employees and Relationship with FM Services Company

     As of December 31, 2000, PT Freeport Indonesia had 6,934
employees (approximately 98 percent Indonesian).  In addition, as
of December 31, 2000, PT Freeport Indonesia had 1,953 contract
workers, the vast majority of whom were Indonesian.
Approximately 50 percent of our Indonesian employees are members
of the All Indonesia Workers' Union, which operates under
Government of Indonesia supervision. During 1999, PT Freeport
Indonesia and the union agreed to a new labor agreement that
expires September 30, 2001.  PT Freeport Indonesia's relations
with the workers' union have generally been positive.

     As of December 31, 2000, Atlantic Copper had 739 employees,
of which approximately 78 percent are covered by a union contract
that expires December 31, 2002.  Atlantic Copper experienced no
work stoppages in 2000 and relations with these unions have also
generally been good.

     FM Services Company, a Delaware corporation 45 percent owned
by us as of December 31, 2000, has furnished executive,
administrative, financial, accounting, legal, tax and similar
services to us.  We reimburse FM Services at its cost, including
allocated overhead, for these services on a monthly basis.  As of
December 31, 2000, FCX had 17 employees and FM Services had 134
employees.  FM Services employees also provide services to two
other publicly traded companies.

     10

Cautionary Statements

This report contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934, in which we discuss
factors we believe may affect our performance in the future.
"Forward-looking statements" are all statements other than
statements of historical facts, such as statements regarding
anticipated production volumes, sales volumes, ore grades,
commodity prices, development and capital expenditures,
environmental reclamation and closure costs, reserve estimates,
political, economic and social conditions in our areas of
operations, treatment charge rates, our financial position and
liquidity, payment of dividends, strategic growth initiatives,
the availability of financing, and exploration efforts and
results.

     Forward-looking statements are based on our assumptions and
analyses made in light of our experience and perception of
historical trends, current conditions, expected future
developments and other factors we believe are appropriate under
the circumstances.  These statements are subject to a number of
assumptions, risks and uncertainties, including the risk factors
discussed below and in our other filings with the Securities and
Exchange Commission, general economic and business conditions,
the business opportunities that may be presented to and pursued
by us, changes in laws and other factors, many of which are
beyond our control.  We undertake no obligation to update or
revise any forward-looking statements.  Readers are cautioned
that forward-looking statements are not guarantees of future
performance and the actual results or developments may differ
materially from those projected in the forward-looking
statements.  Important factors that could cause actual results to
differ materially from our expectations include, among others,
the following:

Because our primary operating assets are located in the Republic
of Indonesia, our business can be adversely affected by
Indonesian political, economic and social events.

     Maintaining a good working relationship with the Indonesian
government is important to us because all of our mining
operations are located in Indonesia and are conducted pursuant to
Contracts of Work with the Indonesian government.  PT Freeport
Indonesia's and Eastern Minerals' Contracts of Work were entered
into under Indonesia's 1967 Foreign Capital Investment Law, which
provides guarantees of remittance rights and protection against
nationalization.  These contracts also specifically provide that
the Indonesian government will not nationalize or expropriate PT
Freeport Indonesia's or Eastern Minerals' mining operations and
that disputes with the Indonesian government must be submitted to
international arbitration.

     Certain government officials and others in Indonesia have
called into question the validity of contracts entered into by
the Government of Indonesia prior to October 1999, including PT
Freeport Indonesia's Contract of Work signed in December 1991.
The president of Indonesia and several cabinet members have
publicly stated that the Government of Indonesia will honor
previously existing contracts and that they have no intention of
revoking or unilaterally amending such contracts, specifically
including PT Freeport Indonesia's Contract of Work.  Indonesian
government officials have also raised questions regarding PT
Freeport Indonesia's compliance with Indonesian environmental
laws and regulations and the terms of the Contract of Work.  In
order to address these questions, the Government of Indonesia
formed a "fact-finding" team in 2000 that reviewed PT Freeport
Indonesia's compliance with all aspects of its Contract of Work.
We support this initiative as a means for the Government of
Indonesia to verify PT Freeport Indonesia's compliance with its
Contract of Work, including its environmental requirements. We
believe that we are in material compliance with all provisions of
PT Freeport Indonesia's Contract of Work.  The Indonesian
government has not yet formally released its report, but we
expect a positive resolution in 2001.

     Indonesia continues to face political and economic
uncertainties, including separatist movements and civil and
religious strife in a number of provinces.  In particular,
social, economic and political instability in the province of
Irian Jaya (Papua), where our primary operations are located,
could have a material adverse impact on our mining operations if
it results in damage to our property or interruption of our
activities.  For example, we voluntarily suspended our
exploration field activities for three months, from May 15
through August 15, 1999, as a precaution during the Indonesian
national election period.  In August 1998, we suspended
operations for three days at our Grasberg mine in response to a
wildcat work stoppage (not authorized by the workers' union) by a
group of workers, a majority of whom were employees of our
contractors. The workers, who voluntarily returned to work, cited
employment issues as the reasons for their work stoppage.  The
actions of the workers were peaceful, there was no

     11

personal injury or property damage, and our concentrate shipments were not
interrupted.  In March 1996, local people engaged in acts of
vandalism that caused approximately $3 million of damages to our
property and caused us to close the Grasberg mine and mill for
three days as a precautionary measure, although our concentrate
shipments were not interrupted.

     A segment of the local population is opposing Indonesian
rule over Irian Jaya (Papua), and several separatist groups have
sought political independence for the province.  New regional
autonomy laws became effective January 1, 2001, and there is a
transition period to allow the provinces to prepare for the
assumption and administration of these new responsibilities.  The
manner in which new autonomy laws will be implemented and the
degree of political and economic autonomy that is being provided
to individual provinces, including Irian Jaya (Papua), is
uncertain and is a current issue in Indonesian politics.  In
Irian Jaya (Papua), there have been sporadic attacks on civilians
by separatists and sporadic but highly publicized conflicts
between separatists and the Indonesian military. We have a board-
approved policy statement on social and human rights, and have
comprehensive and extensive social, cultural and community
development programs, to which we have committed significant
financial and managerial resources.  These policies and programs
are designed to address the impact of our operations on the local
villages and people and to provide assistance for the development
of the local people.  While we believe these efforts should serve
to avoid damage to and disruptions of our mining operations, our
operations could be damaged or disrupted by social, economic and
political forces beyond our control.

     In addition to the specific risks described above, we are
also subject to the usual risks associated with conducting
business in a foreign country.  These risks include the risk of
war, revolution, civil unrest, expropriation, forced modification
of existing contracts, changes in the country's laws or policies,
including laws or policies relating to taxation, royalties,
imports, exports and currency, and the risk of having to submit
to the jurisdiction of a foreign court or having to enforce the
judgment of a foreign court or arbitration against a sovereign
nation within its own territory.

We have significant scheduled debt and redeemable preferred stock
maturities in 2002 and 2003 that will be difficult to refinance.

     Our scheduled debt and redeemable preferred stock maturities
total approximately $200 million in 2001, $1 billion in 2002 and
$500 million in 2003, based on year-end 2000 gold and silver
prices.  Our $1 billion bank facility matures in December 2002.
The outstanding balance at December 31, 2000 was $760.0 million,
and $162.0 million was available under PT Freeport Indonesia's
$550 million facility and $78.0 million was available under the
FCX/PT Freeport Indonesia $450 million facility.  We have begun
discussions with the banks in our credit facility regarding
extending its maturity and revising its terms.  If the banks
agree to an extension and revision of terms it would result in
scheduled maturity requirements, higher financing costs and
certain restrictions on our financial management.

     Our guarantee of a $254 million bank loan to Nusamba, which
is discussed below, also matures in 2002.  We are working on a
plan to coordinate any payment that might be required as a result
of our guarantee with the extension of the maturity of amounts
due under the $1 billion bank facility.  In addition, we have
maturities of senior notes and redeemable preferred stock in 2003
totaling approximately $400 million, based on year-end 2000 gold
and silver prices.

     Because of the economic and political issues affecting
Indonesia, our current ability to obtain capital is limited.

We have guaranteed an obligation of an Indonesian entity, and
have lent funds to the entity, and the value of the entity's
assets may not be sufficient to cover the debts.

     In 1997 we guaranteed a $254 million loan from a commercial
bank to Nusamba.  Nusamba used the funds plus $61.0 million of
cash, for a total of $315 million, to purchase stock in PT
Indocopper Investama, a company whose only significant asset is
9.36 percent of PT Freeport Indonesia's stock.  Nusamba owns
approximately 51 percent of PT Indocopper Investama's stock and
we own approximately 49 percent. The loan is secured by a pledge
of the PT Indocopper Investama stock owned by Nusamba and is due
in March 2002. We also agreed to lend Nusamba any amounts
necessary to cover shortfalls between the interest payments on
the loan and dividends received

     12

by Nusamba on the PT Indocopper Investama stock.  At December 31,
2000, we had loaned Nusamba $56.1 million, due March 2002, for
this purpose.

     The PT Indocopper Investama stock is the only significant
asset of Nusamba, and the estimated fair market value of the
stock is currently significantly below the $310.1 million
aggregate principal amount of the loans.  Our estimate of the
fair market value of PT Indocopper Investama's stock is based on
the current market value of our common stock.  If Nusamba does
not pay the loans when due, and we are obligated to pay the loan
to the commercial bank, we will seek to recover the PT Indocopper
Investama stock as provided by the financing documents, which are
governed by Indonesian law.  In connection with our discussions
with banks in our $1 billion bank credit facility (see above), we
are discussing with the banks involved in the Nusamba loan a plan
to finance the payment that might be required as a result of our
guarantee.  This plan would be coordinated with the extension of
the maturity of amounts due under the $1 billion bank credit
facility.  This plan is currently being discussed with the banks
and the outcome is pending.

Our mining operations create difficult and costly environmental
challenges, and future changes in environmental laws, or
unanticipated environmental impacts from our operations, could
require us to incur increased costs.

     Mining operations on the scale of our operations in Irian
Jaya (Papua) involve significant environmental challenges. Our
primary challenge is to dispose of the large amount of crushed
and ground rock material, called tailings, that results from the
process by which we physically separate the copper, gold and
silver from the ore that we mine.  Under our tailings management
plan, the river system near our mine transports the tailings to
the lowlands where deposits of the tailings and natural sediments
are controlled through a levee system for future revegetation and
reclamation.  This plan has been approved by the Government of
Indonesia.  Another of our major environmental challenges is
managing overburden, which is the rock that must be moved aside
in order to reach the ore in the mining process (see "Wanagon
Overburden Stockpile Slippage").  In the presence of air, water
and naturally occurring bacteria, some overburden can cause acid
rock drainage, or acidic water containing dissolved metals which,
if not properly managed, can have a negative impact on the
environment.  Our overburden management plan, which has been
approved by the Government of Indonesia, is designed to minimize
these impacts, although we cannot assure that it will do so.

     Our environmental management programs, which include
independent external environmental audits, are designed to manage
and minimize the impact on the environment. We have expended
significant financial and managerial resources to comply with
Indonesian environmental regulations and permitting and approval
requirements, and anticipate that we will continue to do so in
the future. If there are changes in Indonesian environmental
laws, or unanticipated environmental impacts from our operations,
we could be required to incur significant additional costs.

The volume and grade of the reserves we recover and our rates of
production may be more or less than anticipated.

     Our reserve amounts are determined in accordance with
established mining industry practices and standards, but are
estimates only.  Our mines may not conform to standard geological
expectations.  Because ore bodies do not contain uniform grades
of minerals, our metal recovery rates will vary from time to
time, which will result in variations in the volumes of minerals
that we can sell from period to period.  Some of our reserves may
become unprofitable to develop if there are unfavorable long-term
market price fluctuations in copper and gold, or if there are
significant increases in our operating and capital costs.  In
addition, our exploration programs may not result in the
discovery of additional mineral deposits that we can mine
profitably.

     13

Our net income can vary significantly with fluctuations in the
market prices of copper and gold.

     Our revenues are derived primarily from the sale of copper
concentrates, which also contain significant amounts of gold, and
from the sale of copper cathodes, copper wire rod and copper
wire.  Most of our copper concentrates are sold under long-term
contracts, but the selling price is based on world metal prices
at or near the time of shipment and delivery.  World metal prices
for copper and gold historically have fluctuated widely and are
affected by numerous factors beyond our control.

In addition to the usual risks encountered in the mining
industry, we face additional risks because our operations are
located in difficult terrain in a very remote area of the world.

     Our mining operations are located in steeply mountainous
terrain in a very remote area in Indonesia.  These conditions
have required us to overcome special engineering difficulties and
to develop extensive infrastructure facilities.  In addition, the
area receives considerable rainfall, which has led to periodic
floods and mud slides.  The mine site is also in an active
seismic area, and has experienced earth tremors from time to
time.  In addition to these special risks, we are also subject to
the usual risks associated with the mining industry, such as the
risk of encountering unexpected geological conditions which may
result in cave-ins and flooding of mine areas.  We have insurance
involving amounts and types of coverage we believe are
appropriate for our activities, but our insurance may not be
sufficient to cover an unexpected natural or operating disaster.

Movements in foreign currency exchange rates could have a
negative effect on our operating results.

     All of our revenues are denominated in United States
dollars.  However, some of our costs and some of our asset and
liability accounts are denominated in Indonesian rupiah,
Australian dollars or Spanish pesetas/euros.  Generally, our
results are adversely affected when the U.S. dollar weakens
against these foreign currencies and positively affected when the
U.S. dollar strengthens against these foreign currencies.  From
time to time we have in the past and may in the future implement
currency hedges intended to reduce our exposure to changes in
foreign currency exchange rates.  However, our hedging strategies
may not be successful, and any of our unhedged foreign exchange
payment requirements will continue to be subject to market
fluctuations.

Because we are primarily a holding company, our ability to pay
our debts and to pay dividends on our preferred and common stock
depends upon the ability of our subsidiaries to pay us dividends
and to advance us funds.  In addition, our ability to participate
in any distribution of our subsidiaries' assets is generally
subject to the prior claims of the subsidiaries' creditors.

     Because we conduct business primarily through our
subsidiaries, our ability to pay our debts and to pay dividends
on our preferred and common stock depends upon the earnings and
cash flow of our subsidiaries and their ability to pay us
dividends and to advance us funds.  Contractual and legal
restrictions applicable to our subsidiaries could also limit our
ability to obtain cash from them.  Our rights to participate in
any distribution of our subsidiaries' assets upon their
liquidation, reorganization or insolvency would generally be
subject to the prior claims of the subsidiaries' creditors,
including trade creditors and preferred stockholders, if any.

Item 3.  Legal Proceedings.

Yosefa Alomang v. Freeport-McMoRan Inc. and Freeport-McMoRan
Copper & Gold Inc., Civ. No. 96-9962 (Orleans Civ. Dist. Ct. La.
filed June 19, 1996).  The plaintiff alleges environmental, human
rights and social/cultural violations in Indonesia and seeks
unspecified monetary damages and other equitable relief.  In
March 2000, the Civil District Court for the Parish of Orleans,
State of Louisiana, granted our exception of no cause of action
and dismissed the entire case with prejudice.  The plaintiff has
appealed to the Louisiana Fourth Circuit Court of Appeal, which
is expected to hear oral arguments in second quarter of 2001.  We
will continue to defend this action vigorously.

     In addition to the foregoing proceedings, we are involved
from time to time in various legal proceedings of a character
normally incident to the ordinary course of our business.  We
believe that potential liability in such proceedings would not
have a material adverse effect on our financial condition or
results of operations.  We maintain liability

     14

insurance to cover some, but not all, potential liabilities normally
incident to the ordinary course of our business as well as other insurance
coverage customary in our business, with coverage limits that we
deem prudent.

Item 4.  Submission of Matters to a Vote of Security Holders.

Not applicable.

Executive Officers of the Registrant.

     Certain information as of March 1, 2001 about our executive
officers, including their position or office with Freeport-
McMoRan Copper & Gold Inc. (FCX), PT Freeport Indonesia and
Atlantic Copper, is set forth in the following table and
accompanying text:

Name                          Age       Position or Office
- ----                          ---       ------------------
Richard C. Adkerson           54        President and Chief
                                        Financial Officer of FCX.  Director
                                        and Executive Vice President of PT
                                        Freeport Indonesia.  Chairman of
                                        Atlantic Copper.

W. Russell King               51        Senior Vice President of FCX.

Adrianto Machribie            59        President Director of PT
                                        Freeport Indonesia.

James R. Moffett              62        Director, Chairman
                                        of the Board and Chief Executive
                                        Officer of FCX.  President
                                        Commissioner of PT Freeport
                                        Indonesia.

Richard C. Adkerson has served as FCX's President since April
1997 and Chief Financial Officer since October 2000.  Mr.
Adkerson is also Executive Vice President and a director of PT
Freeport Indonesia,  Chairman of Atlantic Copper, and Co-Chairman
of the Board, President and Chief Executive Officer of McMoRan
Exploration Co. (McMoRan). From April 1994 to November 1998 he
was Co-Chairman of the Board and Chief Executive Officer of
McMoRan Oil & Gas Co. (McMoRan Oil & Gas), and from November 1997
to November 1998 he was Vice Chairman of the Board of Freeport-
McMoRan Sulphur Inc. (Freeport Sulphur).  Mr. Adkerson served as
Executive Vice President of FCX from July 1995 to April 1997, as
Senior Vice President from February 1994 to July 1995 and as
Chief Financial Officer from July 1995 to November 1998.  He also
served as Chairman of the Board of Stratus Properties Inc., a
real estate development company, from March 1992 to August 1998,
as President from August 1995 to May 1996 and as Chief Executive
Officer from August 1995 to May 1998.  Mr. Adkerson served as
Vice Chairman of the Board of Freeport-McMoRan Inc. until
December 1997 and as Senior Vice President and Chief Financial
Officer of Freeport-McMoRan Inc. from May 1992 to August 1995.

W. Russell King has served as Senior Vice President of FCX since
July 1994.  Mr. King served as Senior Vice President of Freeport-
McMoRan Inc. from November 1993 to December 1997.

Adrianto Machribie has served as President Director of PT
Freeport Indonesia since March 1996.  From September 1992 to
March 1996, Mr. Machribie was a director and Executive Vice
President of PT Freeport Indonesia.

James R. Moffett has served as Chairman of the Board and Chief
Executive Officer of FCX since July 1995 and has served as
Chairman of the Board of FCX since May 1992.  He is also
President Commissioner of PT Freeport Indonesia and Co-Chairman
of the Board of McMoRan.  From November 1994 to November 1998 he
was Co-Chairman of the Board of McMoRan Oil & Gas and from
November 1997 to November 1998 he was Co-Chairman of the Board of
Freeport Sulphur.  Mr. Moffett served as Chairman of the Board of
Freeport-McMoRan Inc. from September 1982 to December 1997.

     15

PART II

Item 5.  Market for Registrant's Common Equity and Related
Stockholder Matters.

     The information set forth under the captions "FCX Class A
Common Shares," "FCX Class B Common Shares" and "Common Share
Dividends," on the inside back cover of our 1999 Annual Report is
incorporated herein by reference.  As of March 15, 2001, there
were 6,253 and 10,457 holders of record of our Class A and Class
B common stock, respectively.

Item 6.  Selected Financial Data.

     The information set forth under the caption "Selected
Financial and Operating Data," on pages 20 and 21 of our Annual
Report is incorporated herein by reference.



                                         Years Ended December 31,
                                    -----------------------------------
                                    1996   1997    1998    1999    2000
                                    ----   ----    ----    ----    ----
                                                    
Ratio of earnings to fixed charges  4.5x   3.8x    2.5x    2.9x    2.3x
Ratio of earnings to fixed charges
  and preferred stock dividends     2.6x   2.8x    1.9x    2.2x    1.7x



     For the ratio of earnings to fixed charges calculation,
earnings consist of income from continuing operations before
income taxes, minority interests and fixed charges.  Fixed
charges include interest and that portion of rent deemed
representative of interest.  For the ratio of earnings to fixed
charges and preferred stock dividends calculation, we assumed
that our preferred stock dividend requirements were equal to the
pre-tax earnings that would be required to cover those dividend
requirements.  We computed those pre-tax earnings using actual
tax rates for each year.

Items 7.  and 7A.  Management's Discussion and Analysis of
Financial Condition and Results of Operations and Quantitative
and Qualitative Disclosures About Market Risk.

     The information set forth under the caption "Management's
Discussion and Analysis" on pages 22 through 34, as well as the
"Working Toward Sustainable Development" report on pages 6
through 19, of our 2000 Annual Report, are incorporated herein by
reference.

Item 8.  Financial Statements and Supplementary Data.

     Our financial statements and the notes thereto appearing on
pages 36 through 57, the report thereon of Arthur Andersen LLP
appearing on page 35, and the report of management on page 35 of
our 2000 Annual Report are incorporated herein by reference.

Item 9.  Changes in and Disagreements with Accountants on
Accounting and Financial Disclosure.

     Not applicable.

PART III

Items 10.  Directors and Executive Officers of the Registrant.

     The information set forth under the caption "Information
About Nominees and Directors" of our Proxy Statement submitted to
our stockholders in connection with our 2001 Annual Meeting to be
held on May 3, 2001 is incorporated herein by reference.

     16

Items 11.  Executive Compensation.

     The information set forth under the captions "Director
Compensation" and "Executive Officer Compensation" of our Proxy
Statement submitted to our stockholders in connection with our
2001 Annual Meeting to be held on May 3, 2001 is incorporated
herein by reference.

Items 12.  Security Ownership of Certain Beneficial Owners and
Management.

     The information set forth under the captions "Stock
Ownership of Directors and Executive Officers" and "Stock
Ownership of Certain Beneficial Owners" of our Proxy Statement
submitted to our stockholders in connection with our 2001 Annual
Meeting to be held on May 3, 2001 is incorporated herein by
reference.

Items 13.  Certain Relationships and Related Transactions.

     The information set forth under the caption "Certain
Transactions" of our Proxy Statement submitted to our
stockholders in connection with our 2001 Annual Meeting to be
held on May 3, 2001 is incorporated herein by reference.

PART IV

Item 14.  Exhibits, Financial Statement Schedules and Reports on
Form 8-K.

(a)(1).   Financial Statements.

          Reference is made to the Index to Financial Statements
          appearing on page F-1 hereof.

(a)(2).   Financial Statement Schedules.

          Reference is made to the Index to Financial Statements
          appearing on page F-1 hereof.

(a)(3).   Exhibits.

          Reference is made to the Exhibit Index beginning on
          page E-1 hereof.

(b).      Reports on Form 8-K.

     During the last quarter of the period covered by this
report, we did not file any Current Reports on Form 8-K.

     17

                           SIGNATURES

     Pursuant to the requirements of Section 13 of the Securities
Exchange Act of 1934, the registrant has duly caused this report
to be signed on its behalf by the undersigned, thereunto duly
authorized, on March 23, 2001.

                                   Freeport-McMoRan Copper & Gold Inc.



                                   By:  /s/ James R. Moffett
                                        -------------------------
                                        James R. Moffett
                                        Chairman of the Board and
                                        Chief Executive Officer

     Pursuant to the requirements of the Securities Exchange Act
of 1934, this report has been signed below by the following
persons on behalf of the registrant and in the capacities
indicated on March 23, 2001.


Signatures
- ----------

                                   Chairman of the Board, Chief
     /s/ James R. Moffett          Executive Officer and
- -----------------------------      Director (Principal Executive Officer)
          James R. Moffett


               *                   Vice Chairman of the Board and Director
- -----------------------------
        B. M. Rankin, Jr.


               *                   President and Chief Financial Officer
- -----------------------------
      Richard C. Adkerson

               *                   Vice President and Controller-Financial
- -----------------------------      Reporting (Principal Accounting Officer)
    C. Donald Whitmire, Jr.


               *                   Director
- -----------------------------
    Robert J. Allison, Jr.


               *                   Director
- -----------------------------
      Robert W. Bruce III


               *                   Director
- -----------------------------
      R. Leigh Clifford


               *                   Director
- ----------------------------
        Robert A. Day


     S-1


               *                   Director
- ----------------------------
       Gerald J. Ford


               *                   Director
- ----------------------------
     H. Devon Graham, Jr.


               *                   Director
- ----------------------------
    Oscar Y. L. Groeneveld


               *                   Director
- ----------------------------
     J. Bennett Johnston


               *                   Director
- ----------------------------
       Bobby Lee Lackey


               *                   Director
- ----------------------------
   Gabrielle K. McDonald


                                   Director
- ----------------------------
      J. Stapleton Roy


               *                   Director
- ----------------------------
      J. Taylor Wharton



*By: /s/ James R. Moffett
    ---------------------
     James R. Moffett
     Attorney-in-Fact

     S-2


               FREEPORT-McMoRan COPPER & GOLD INC.
                  INDEX TO FINANCIAL STATEMENTS

     Our financial statements and the notes appearing on pages 36
through 57, and the report of Arthur Andersen LLP appearing on
page 35 of our 2000 Annual Report to stockholders are
incorporated herein by reference.

     The financial statements in schedule I listed below should
be read in conjunction with our financial statements in our 2000
Annual Report to stockholders.


                                                           Page
Report of Independent Public Accountants                   F-1
Schedule I-Condensed Financial Information of Registrant   F-2
Schedule II-Valuation and Qualifying Accounts              F-4

     Schedules other than the ones listed above have been omitted
since they are either not required, not applicable or the
required information is included in the financial statements or
notes thereto.



            REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS

     We have audited, in accordance with auditing standards
generally accepted in the United States, the financial statements
as of December 31, 2000 and 1999 and for each of the three years
in the period ended December 31, 2000 included in Freeport-
McMoRan Copper & Gold Inc.'s Annual Report to stockholders
incorporated by reference in this Form 10-K, and have issued our
report thereon dated January 18, 2001.  Our audits were made for
the purpose of forming an opinion on those statements taken as a
whole.  The schedules listed in the index above are the
responsibility of the Company's management and are presented for
purposes of complying with the Securities and Exchange
Commission's rules and are not part of the basic financial
statements.  These schedules have been subjected to the auditing
procedures applied in the audits of the basic financial
statements and, in our opinion, fairly state in all material
respects the financial data required to be set forth therein in
relation to the basic financial statements taken as a whole.



                       Arthur Andersen LLP

New Orleans, Louisiana,
  January 18, 2001

     F-1

               FREEPORT-McMoRan COPPER & GOLD INC.
   SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
                         BALANCE SHEETS




                                                    December 31,
                                             -----------------------
                                                2000          1999
                                             ----------   ----------
                                                  (In Thousands)
                                                    
Assets:
Cash and cash equivalents                    $    1,161   $      832
Interest receivable                               4,968        7,746
Due from affiliates                              20,147       16,862
Notes receivable from PT Freeport Indonesia     602,306      779,991
Note receivable from Nusamba                     56,081       43,702
Investment in PT Freeport Indonesia
 and PT Indocopper Investama                    742,832      824,513
Investment in Atlantic Copper                   123,124a      97,518b
Other assets                                     43,821       41,616
                                             ----------   ----------
Total assets                                 $1,594,440   $1,812,780
                                             ==========   ==========
Liabilities and Stockholders' Equity:
Accounts payable and accrued liabilities     $   20,016   $   23,173
Long-term debt, including current portion       999,694    1,060,411
Other long-term liabilities                      26,419            -
Deferred income taxes                            35,375       44,809
Redeemable preferred stock                      475,005      487,507
Stockholders' equity                             37,931      196,880
                                             ----------   ----------
Total liabilities and stockholders' equity   $1,594,440   $1,812,780
                                             ==========   ==========



                      STATEMENTS OF INCOME



                                                Years Ended December 31,
                                              ----------------------------
                                                2000      1999      1998
                                              --------  --------  --------
                                                    (In Thousands)
                                                         
Income from investment in PT Freeport
  Indonesia and PT Indocopper Investama,
  net of PT Freeport Indonesia tax provision  $178,026  $237,606  $211,232
Net income (loss) from investment
 in Atlantic Copper                            (29,906)  (18,982)    4,674
Intercompany charges and eliminations           10,200    (4,457)   (7,700)
Exploration expenses                            (2,428)   (7,055)   (8,958)
General and administrative expenses             (5,744)   (8,643)   (7,082)
Depreciation and amortization                   (4,704)   (4,468)   (4,384)
Interest expense, net                          (82,321)  (76,246)  (66,141)
Interest income on PT Freeport
 Indonesia notes receivable:
  Promissory notes                              17,423    28,461    29,273
  Gold and silver production payment loans      16,395    17,568    19,212
  8.235% debenture                                   -         -     8,101
Other income (expense), net                         46      (379)    1,326
Provision for income taxes                     (20,000)  (26,938)  (25,705)
                                              --------  --------  --------
Net income                                      76,987   136,467   153,848
Preferred dividends                            (37,487)  (35,680)  (35,531)
                                              --------  --------  --------
                                              $ 39,500  $100,787  $118,317
                                              ========  ========  ========



a.   Includes additional support payments and commitments to
     Atlantic Copper totaling $55.5 million during 2000.
b.   Includes a $40.0 million equity contribution in 1999.

The footnotes to the consolidated financial statements of FCX
  contained in FCX's 2000 Annual Report to stockholders
  incorporated by reference herein are an integral part of
  these statements.

     F-2

               FREEPORT-McMoRan COPPER & GOLD INC.
   SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
                     STATEMENTS OF CASH FLOW



                                               Years Ended December 31,
                                              2000       1999      1998
                                           ---------  ---------  ---------
                                                   (In Thousands)
                                                        
Cash flow from operating activities:
Net income                                 $  76,987  $ 136,467  $ 153,848
Adjustments to reconcile net income to
 net cash provided by
 operating activities:
  Income from investment in PT Freeport
    Indonesia and PT Indocopper Investama   (178,071)  (237,606)  (211,232)
  Deferred income taxes                       (8,684)    21,976     16,613
  Net (income) loss from investment
    in Atlantic Copper                        29,906     18,982     (4,674)
  Elimination of intercompany profit         (10,200)     4,457      7,700
  Dividends received from PT Freeport
    Indonesia and PT Indocopper Investama    268,670     18,361     48,832
  Depreciation and amortization                4,704      4,468      4,384
Decrease in interest receivable
  and due from affiliates                      2,527      2,888     50,933
Increase (decrease) in accounts payable
  and accrued liabilities                     (4,202)     2,320     (1,699)
Other                                        (29,505)a      752      3,208
                                           ---------  ---------  ---------
Net cash provided by (used in)
  operating activities                       152,132    (26,935)    67,913
                                           ---------  ---------  ---------

Cash flow from investing activities:
Investment in Atlantic Copper                 (3,000)   (40,000)         -
Other                                         (3,559)    (2,403)    (9,583)
                                           ---------  ---------  ---------
Net cash used in investing activities         (6,559)   (42,403)    (9,583)
                                           ---------  ---------  ---------

Cash flow from financing activities:
Cash dividends paid:
  Class A common stock                             -          -    (14,157)
  Class B common stock                             -          -    (21,225)
  Step-up convertible preferred stock        (24,500)   (24,500)   (24,500)
Mandatory redeemable preferred stock         (13,213)   (13,520)   (14,657)
Proceeds from debt                             9,532    104,673    161,506
Repayment of debt                            (70,249)   (11,514)   (19,504)
Partial redemption of preferred stock        (11,893)   (11,946)         -
Repayment from PT Freeport Indonesia         177,077     51,946    150,000
Loans to Nusamba                             (12,379)   (18,264)   (17,824)
Purchases of FCX common shares              (199,945)    (7,921)  (259,213)
Other                                            326        414        545
                                           ---------  ---------  ---------
Net cash provided by (used in)
 financing activities                       (145,244)    69,368    (59,029)
                                           ---------  ---------  ---------
Net increase (decrease)
 in cash and cash equivalents                    329         30       (699)
Cash and cash equivalents at
 beginning of year                               832        802      1,501
                                           ---------  ---------  ---------
Cash and cash equivalents at end of year   $   1,161  $     832  $     802
                                           =========  =========  =========

Interest paid                              $  85,190  $  76,804  $  68,950
                                           =========  =========  =========

Taxes paid                                 $  29,736  $   5,281  $   8,629
                                           =========  =========  =========



a.  Includes support payments to Atlantic Copper totaling $29.4
    million.

The footnotes to the consolidated financial statements of FCX
  contained in FCX's 2000 Annual Report to stockholders
  incorporated by reference herein are an integral part of these
  statements.

     F-3

               FREEPORT-McMoRan COPPER & GOLD INC.
         SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS




  Col. A                    Col. B           Col. C         Col. D   Col. E
- -----------------------   ----------  -------------------- -------- ---------
                                           Additions
                                      --------------------
                          Balance at  Charged to Charged to  Other Balance at
                           Beginning  Costs and   Other      Add     End of
                           of Period   Expense   Accounts  (Deduct)  Period
                          ----------  ---------  --------- -------- ---------
                                               (In Thousands)
                                                       
Reserves and allowances
  deducted from asset
  accounts:
2000
Materials and supplies
   reserves                 $18,751    $6,000     $ -      $(7,943)a  $16,808
Allowance for uncollectible
  value-added taxes           5,491         -       -       (5,191)b      300
Allowance for uncollectible
  accounts receivable             -     2,500       -            -      2,500

1999
Materials and supplies
  reserves                   24,633     1,500       -       (7,382)a   18,751
Allowance for uncollectible
  value-added taxes           5,491         -       -            -      5,491

1998
Materials and supplies
    reserves                 29,513     3,000       -       (7,880)a   24,633
Allowance for uncollectible
  value-added taxes           3,825       833     833            -      5,491


Reclamation and mine
    shutdown reserves:
2000
PT Freeport Indonesia        14,085     5,135       -            -     19,220

1999
PT Freeport Indonesia         9,229     4,856       -            -     14,085

1998
PT Freeport Indonesia         5,466     3,763       -            -      9,229



a.  Primarily represents write-offs of obsolete materials and
    supplies inventories.
b.  Represents a reversal of previously accrued amounts based on
    an updated analysis of historical refunds of value-added tax
    payments.

     F-4

                   Freeport-McMoRan Copper & Gold Inc.
                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
2.1  Agreement, dated as of May 2, 1995 by and between Freeport-
     McMoRan Inc. (FTX) and FCX and The RTZ Corporation PLC, RTZ
     Indonesia Limited, and RTZ America, Inc. (the Rio Tinto
     Agreement).  Incorporated by reference to Exhibit 2.1 to the
     Current Report on Form 8-K of FTX dated as of May 26, 1995.

2.2  Amendment dated May 31, 1995 to the Rio Tinto Agreement.
     Incorporated by reference to Exhibit 2.1 to the Quarterly
     Report on Form 10-Q of FTX for the quarter ended June 30,
     1995.

2.3  Distribution Agreement dated as of July 5, 1995 between FTX
     and FCX.  Incorporated by reference to Exhibit 2.1 to the
     Quarterly Report on Form 10-Q  of FTX for the quarter ended
     September  30, 1995 (the FTX 1995 Third Quarter Form 10-Q).

3.1  Composite copy of the Certificate of Incorporation of FCX.
     Incorporated by reference to Exhibit 3.1 to the Quarterly
     Report on Form 10-Q of FCX for the quarter ended June 30,
     1995 (the FCX 1995 Second Quarter Form 10-Q).

3.2  Amended By-Laws of FCX dated as of March 12, 1999.
     Incorporated by reference to Exhibit 3.2 to the Annual
     Report on Form 10-K of FCX for the fiscal year ended
     December 31, 1998 (the 1998 FCX Form 10-K).

4.1  Certificate of Designations of the Step-Up Convertible
     Preferred Stock of FCX.  Incorporated by reference to
     Exhibit 4.2 to the FCX 1995 Second Quarter Form 10-Q.

4.2  Deposit Agreement dated as of July 1, 1993 among FCX,
     ChaseMellon Shareholder Services, L.L.C. (ChaseMellon), as
     Depositary, and holders of depositary receipts (Step-Up
     Depositary Receipts) evidencing certain Depositary Shares,
     each of which, in turn, represents 0.05 shares of Step-Up
     Convertible Preferred Stock.  Incorporated by reference to
     Exhibit 4.5 to the Annual Report on Form 10-K of FCX for the
     fiscal year ended December 31, 1993 (the FCX 1993 Form 10-
     K).

4.3  Form of Step-Up Depositary Receipt.  Incorporated by
     reference to Exhibit 4.6 to the FCX 1993 Form 10-K.

4.4  Certificate of Designations of the Gold-Denominated
     Preferred Stock of FCX.  Incorporated by reference to
     Exhibit 4.3 to the FCX 1995 Second Quarter Form 10-Q.

4.5  Deposit Agreement dated as of August 12, 1993 among FCX,
     ChaseMellon, as Depositary, and holders of depositary
     receipts (Gold-Denominated Depositary Receipts) evidencing
     certain Depositary Shares, each of which, in turn,
     represents 0.05 shares of Gold-Denominated Preferred Stock.
     Incorporated by reference to Exhibit 4.8 to the FCX 1993
     Form 10-K.

4.6  Form of Gold-Denominated Depositary Receipt.  Incorporated
     by reference to Exhibit 4.9 to the FCX 1993 Form 10-K.

4.7  Certificate of Designations of the Gold-Denominated
     Preferred Stock, Series II (the Gold-Denominated Preferred
     Stock II) of FCX.  Incorporated by reference to Exhibit 4.4
     to the FCX 1995 Second Quarter Form 10-Q.

4.8  Deposit Agreement dated as of January 15, 1994, among FCX,
     ChaseMellon, as Depositary, and holders of depositary
     receipts (Gold-Denominated II Depositary Receipts)
     evidencing certain Depositary Shares, each of which, in
     turn, represents 0.05 shares of Gold-Denominated Preferred
     Stock II.  Incorporated by reference to Exhibit 4.2 to the
     Quarterly Report on Form 10-Q of FCX for the quarter ended
     March 31, 1994 (the FCX 1994 First Quarter Form 10-Q).

     E-1

                   Freeport-McMoRan Copper & Gold Inc.
                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
4.9  Form of Gold-Denominated II Depositary Receipt.
     Incorporated by reference to Exhibit 4.3 to the FCX 1994
     First Quarter Form 10-Q.

4.10 Certificate of Designations of the Silver-Denominated
     Preferred Stock of FCX.   Incorporated by reference to
     Exhibit 4.5 to the FCX 1995 Second Quarter Form 10-Q.

4.11 Deposit Agreement dated as of July 25, 1994 among FCX,
     ChaseMellon, as Depositary, and holders of depositary
     receipts (Silver-Denominated Depositary Receipts) evidencing
     certain Depositary Shares, each of which, in turn, initially
     represents 0.025 shares of Silver-Denominated Preferred
     Stock.  Incorporated by reference to Exhibit 4.2 to the July
     15, 1994 Form 8-A.

4.12 Form of Silver-Denominated Depositary Receipt.  Incorporated
     by reference to Exhibit 4.1 to the July 15, 1994, Form 8-A.

4.13 $550 million Composite Restated Credit Agreement dated as of
     July 17, 1995 (the PT Freeport Indonesia Credit Agreement)
     among PT Freeport Indonesia, FCX, the several financial
     institutions that are parties thereto, First Trust of New
     York, National Association, as PT Freeport Indonesia
     Trustee, Chemical Bank, as administrative agent and FCX
     collateral agent, and The Chase Manhattan Bank (National
     Association), as documentary agent.  Incorporated by
     reference to Exhibit 4.16 to the Annual Report of FCX on
     Form 10-K for the year ended December 31, 1995 (the FCX 1995
     Form 10-K).

4.14 Amendment dated as of July 15, 1996 to the PT Freeport
     Indonesia Credit Agreement among PT Freeport Indonesia, FCX,
     the several financial institutions that are parties thereto,
     First Trust of New York, National Association, as PT
     Freeport Indonesia Trustee, Chemical Bank, as administrative
     agent and FCX collateral agent, and The Chase Manhattan Bank
     (National Association), as documentary agent.  Incorporated
     by reference to Exhibit 4.2 to the Quarterly Report of FCX
     on Form 10-Q for the quarter ended September 30, 1996 (the
     FCX 1996 Third Quarter Form 10-Q).

4.15 Amendment dated as of October 9, 1996 to the PT Freeport
     Indonesia Credit Agreement among PT Freeport Indonesia, FCX,
     the several financial institutions that are parties thereto,
     First Trust of New York, National Association, as PT
     Freeport Indonesia Trustee, The Chase Manhattan Bank
     (formerly Chemical Bank), as administrative agent, security
     agent and JAA security agent, and The Chase Manhattan Bank
     (as successor to The Chase Manhattan Bank (National
     Association)), as documentary agent.  Incorporated by
     reference to Exhibit 10.2 to the Current Report on Form 8-K
     of FCX dated and filed November 13, 1996 (the FCX November
     13, 1996 Form 8-K).

4.16 Amendment dated as of March 7, 1997 to the PT Freeport
     Indonesia Credit Agreement among PT Freeport Indonesia, FCX,
     the several financial institutions that are parties thereto,
     First Trust of New York, National Association, as PT
     Freeport Indonesia Trustee, The Chase Manhattan Bank, as
     administrative agent, security agent and JAA security agent,
     and The Chase Manhattan Bank, as documentary agent.
     Incorporated by reference to Exhibit 4.16 to the Annual
     Report of FCX on Form 10-K for the year ended December 31,
     1997 (the FCX 1997 Form 10-K).

4.17 Amendment dated as of July 24, 1997 to the PT Freeport
     Indonesia Credit Agreement among PT Freeport Indonesia, FCX,
     the several financial institutions that are parties thereto,
     First Trust of New York, National  Association, as PT
     Freeport Indonesia Trustee, The Chase Manhattan Bank, as
     administrative agent, security agent and JAA security agent,
     and The Chase Manhattan Bank, as documentary agent.
     Incorporated by reference to Exhibit 4.17 to the FCX 1997
     Form 10-K.

     E-2

                   Freeport-McMoRan Copper & Gold Inc.
                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
4.18 $200 million Credit Agreement dated as of June 30, 1995 (the
     CDF) among PT Freeport Indonesia, FCX, the several financial
     institutions that are parties thereto, First Trust of New
     York, National Association, as PT Freeport Indonesia
     Trustee, Chemical Bank, as administrative agent and FCX
     collateral agent, The Chase Manhattan Bank (National
     Association), as documentary agent.  Incorporated by
     reference to Exhibit 4.2 to the FCX 1995 Third Quarter Form
     10-Q.

4.19 Amendment dated as of July 15, 1996 to the CDF among PT
     Freeport Indonesia, FCX, the several financial institutions
     that are parties thereto, First Trust of New York, National
     Association, as PT Freeport Indonesia Trustee, Chemical
     Bank, as administrative agent and FCX collateral agent, and
     The Chase Manhattan Bank (National Association), as
     documentary agent.  Incorporated by reference to Exhibit 4.1
     to the FCX 1996 Third Quarter Form 10-Q.

4.20 Amendment dated as of October 9, 1996 to the CDF among PT
     Freeport Indonesia, FCX, the several financial institutions
     that are parties thereto, First Trust of New York, National
     Association, as PTFreeport Indonesia Trustee, The Chase
     Manhattan Bank (formerly Chemical Bank), as administrative
     agent, security agent and JAA security agent, and The Chase
     Manhattan Bank (as successor to The Chase Manhattan Bank
     (National Association)), as documentary agent.  Incorporated
     by reference to Exhibit 10.1 to the FCX November 13, 1996
     Form 8-K.

4.21 Amendment dated as of March 7, 1997 to the CDF among PT
     Freeport Indonesia, FCX, the several financial institutions
     that are parties thereto, First Trust of New York, National
     Association, as PT Freeport Indonesia Trustee, The Chase
     Manhattan Bank, as administrative agent, security agent and
     JAA security agent, and The Chase Manhattan Bank, as
     documentary agent.  Incorporated by reference to Exhibit
     4.21 to the FCX 1997 Form 10-K.

4.22 Amendment dated as of July 24, 1997 to the CDF among PT
     Freeport Indonesia, FCX, the several financial institutions
     that are parties thereto, First Trust of New York, National
     Association, as PT Freeport Indonesia Trustee, The Chase
     Manhattan Bank, as administrative agent, security agent and
     JAA security agent, and The Chase Manhattan Bank, as
     documentary agent.  Incorporated by reference to Exhibit
     4.22 to the FCX 1997 Form 10-K.

4.23 Senior Indenture dated as of November 15, 1996 from FCX to
     The Chase Manhattan Bank, as Trustee.  Incorporated by
     reference to Exhibit 4.1 to the Current Report on Form 8-K
     of FCX dated November 13, 1996 and filed November 15, 1996.

4.24 First Supplemental Indenture dated as of November 18, 1996
     from FCX to The Chase Manhattan Bank, as Trustee, providing
     for the issuance of the Senior Notes and supplementing the
     Senior Indenture dated November 15, 1996 from FCX to such
     Trustee, providing for the issuance of Debt Securities.
     Incorporated by reference to Exhibit 4.20 to the FCX 1996
     Form 10-K.

4.25 Certificate of Designations of Series A Participating
     Cumulative Preferred stock of FCX.  Incorporated by
     reference to Exhibit 4.25 to the Quarterly Report on Form 10-
     Q of FCX for the quarter ended March 31, 2000 (the FCX 2000
     First Quarter Form 10-Q).

4.26 Rights Agreement dated as of May 3, 2000 between FCX and
     Chasemellon Shareholder Services, L.L.C., as Rights Agent.
     Incorporated by reference to Exhibit 4.26 to the FCX 2000
     First Quarter Form 10-Q.

10.1 Contract of Work dated December 30, 1991 between the
     Government of the Republic of Indonesia and PT Freeport
     Indonesia.  Incorporated by reference to Exhibit 10.2 to the
     FCX 1995 Form 10-K.

10.2 Contract of Work dated August 15, 1994 between the
     Government of the Republic of Indonesia and PT Irja Eastern
     Minerals Corporation.  Incorporated by reference to Exhibit
     10.2 to the FCX 1995 Form 10-K.

     E-3

                Freeport-McMoRan Copper & Gold Inc.
                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
10.3 Agreement dated as of October 11, 1996 to Amend and Restate
     Trust Agreement among PT Freeport Indonesia, FCX, the RTZ
     Corporation PLC, P.T. RTZ-CRA Indonesia, RTZ Indonesian
     Finance Limited and First Trust of New York, National
     Association, and The Chase Manhattan Bank, as Administrative
     Agent, JAA Security Agent and Security Agent.  Incorporated
     by reference to Exhibit 10.3 to the FCX November 13, 1996
     Form 8-K.

10.4 Concentrate Purchase and Sales Agreement dated effective
     December 11, 1996 between PT Freeport Indonesia and PT
     Smelting. Incorporated by reference to Exhibit 10.34 to the
     Annual Report of FCX on Form 10-K for the year ended
     December 31, 1999 (the FCX 1999 Form 10-K).

10.5 Participation Agreement dated as of October 11, 1996 between
     PT Freeport Indonesia and P.T. RTZ-CRA Indonesia with
     respect to a certain contract of work.  Incorporated by
     reference to Exhibit 10.5 to the FCX November 13, 1996 Form
     8-K.

10.6 Second Amended and Restated Joint Venture and Shareholders'
     Agreement dated as of December 11, 1996 among Mitsubishi
     Materials Corporation, Nippon Mining and Metals Company,
     Limited and PT Freeport Indonesia.  Incorporated by
     reference to Exhibit 10.3 of the FCX 1996 Form 10-K.

10.7 Put and Guaranty Agreement dated as of March 21, 1997
     between FCX and The Chase Manhattan Bank.  Incorporated by
     reference to Exhibit 10.7 to the FCX 1997 Form 10-K.

10.8 Subordinated Loan Agreement dated as of March 21, 1997
     between FCX and PT Nusamba Mineral Industri.  Incorporated
     by reference to Exhibit 10.8 to the FCX 1997 Form 10-K.

10.9 Amended and Restated Power Sales Agreement dated as of
     December 18, 1997 between PT Freeport Indonesia and P.T.
     Puncakjaya Power. Incorporated by reference to Exhibit 10.9
     to the FCX 1997 Form 10-K.

10.10 Option, Mandatory Purchase and Right of First Refusal
     Agreement dated as of December 19, 1997 among PT Freeport
     Indonesia, P.T. Puncakjaya Power, Duke Irian Jaya, Inc.,
     Westcoast Power, Inc. and P.T. Prasarana Nusantara Jaya.
     Incorporated by reference to Exhibit 10.10 to the FCX 1997
     Form 10-K.

     Executive Compensation Plans and Arrangements (Exhibits
10.11 through 10.33)

10.11 Annual Incentive Plan of FCX as amended effective
     February 2, 1999.  Incorporated by reference to Exhibit
     10.11 to the 1998 FCX Form 10-K.

10.12  1995 Long-Term Performance Incentive Plan of FCX.
     Incorporated by reference to Exhibit 10.9 to the FCX 1996
     Form 10-K.

10.13  FCX Performance Incentive Awards Program as amended
     effective February 2, 1999. Incorporated by reference to
     Exhibit 10.13 to the 1998 FCX Form 10-K.

10.14  FCX President's Award Program.  Incorporated by
     reference to Exhibit 10.8 to the FCX 1995 Form 10-K.

10.15  FCX Adjusted Stock Award Plan, as amended.
     Incorporated by reference to Exhibit 10.15 to the  1997 FCX
     Form 10-K.

10.16  FCX 1995 Stock Option Plan.  Incorporated by reference
     to Exhibit 10.13 to the FCX 1996 Form 10-K.

10.17  FCX 1995 Stock Option Plan for Non-Employee Directors,
     as amended.  Incorporated by reference to Exhibit 10.17 to
     the FCX 1997 Form 10-K.

    E-4

                    Freeport-McMoRan Copper & Gold Inc.
                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
10.18 FCX 1999 Stock Incentive Plan.  Incorporated by
     reference to Exhibit 10.18 to the Quarterly Report on Form 10-Q
     of FCX for the quarter ended June 30, 1999.

10.19 FCX 1999 Long-Term Performance Incentive Plan.
     Incorporated by reference to Exhibit 10.19 to the FCX 1999 Form
     10-K.

10.20 Financial Counseling and Tax Return Preparation and
     Certification Program of FCX.  Incorporated by reference to
     Exhibit 10.12 to the FCX 1995 Form 10-K.

10.21 FM Services Company Performance Incentive Awards
     Program as amended effective February 2, 1999.  Incorporated
     by reference to Exhibit 10.19 to the 1998 FCX Form 10-K.

10.22  FM Services Company Financial Counseling and Tax Return
     Preparation and Certification Program.  Incorporated by
     reference to Exhibit 10.14 to the FCX 1995 Form 10-K.

10.23 Consulting Agreement dated as of December 22, 1988
     between FTX and Kissinger Associates, Inc. (Kissinger
     Associates). Incorporated by reference to Exhibit 10.21 to
     the FCX 1997 Form 10-K.

10.24 Letter Agreement dated May 1, 1989 between FTX and Kent
     Associates, Inc. (Kent Associates, predecessor in interest
     to Kissinger Associates). Incorporated by reference to
     Exhibit 10.22 to the FCX 1997 Form 10-K.

10.25 Letter Agreement dated January 27, 1997 among Kissinger
     Associates, Kent Associates, FTX, FCX and FMS.  Incorporated
     by reference to Exhibit 10.20 to the FCX 1996 Form 10-K.

10.26 Agreement for Consulting Services between FTX and B. M.
     Rankin, Jr. effective as of January 1, 1991 (assigned to FMS
     as of January 1, 1996). Incorporated by reference to Exhibit
     10.24 to the FCX 1997 Form 10-K.

10.27 Supplemental Agreement between FMS and B. M. Rankin,
     Jr. dated December 15, 1997.  Incorporated by reference to
     Exhibit 10.25 to the FCX 1997 Form 10-K.

10.28 Supplemental Agreement between FMS and B. M. Rankin,
     Jr. dated December 7, 1998. Incorporated by reference to
     Exhibit 10.26 to the 1998 FCX Form 10-K.

10.29 Supplemental Agreement between FMS and B. M. Rankin,
     Jr. dated February 5, 2001.

10.30 Letter Agreement effective as of January 7, 1997
     between Senator J. Bennett Johnston, Jr. and FMS.
     Incorporated by reference to Exhibit 10.25 of the FCX 1996
     Form 10-K.

10.31 Supplemental Letter Agreement dated April 13, 2000
     between J. Bennett Johnston, Jr. and FMS.  Incorporated by
     reference to Exhibit 10.30 to the FCX 2000 First quarter
     Form 10-Q.

10.32 Letter Agreement dated November 1, 1999 between FMS and
     Gabrielle K. McDonald.  Incorporated by reference to Exhibit
     10.33 of the FCX 1999 Form 10-K.

10.33 Supplemental Letter Agreement dated May 17, 2000
     between FMS and Gabrielle K. McDonald. Incorporated by reference
     to Exhibit 10.35 of the FCX 2000 Second Quarter Form 10-Q.

12.1 FCX Computation of Ratio of Earnings to Fixed Charges.

     E-5

                Freeport-McMoRan Copper & Gold Inc.

                           EXHIBIT INDEX

Exhibit
Number                               Description
- ------                               -----------
13.1 Those portions of the 2000 Annual Report to stockholders of
     FCX that are incorporated herein by reference.

21.1 Subsidiaries of FCX.

23.1 Consent of Arthur Andersen LLP.

23.2 Consent of Independent Mining Consultants, Inc.

24.1 Certified resolution of the Board of Directors of FCX
     authorizing this report to be signed on behalf of any officer or
     director pursuant to a Power of Attorney.

24.2 Powers of Attorney pursuant to which this report has been
     signed on behalf of certain officers and directors of FCX.

     E-6