Freeport-McMoRan is looking into separating its oil and gas business through a spinoff, public offering, or entering a joint venture, the US mining and energy company stated in a release on Tuesday.

Freeport-McMoRan might leave oil and gas

USA

HOUSTON, October 7, 2015 – Freeport-McMoRan is looking into separating its oil and gas business through a spinoff, public offering, or entering a joint venture, the US mining and energy company stated in a release on Tuesday. The company also announced that it had cut back the number of members on its board to nine from 16.

 

US activist investor Carl Ichan bought a 8.5-percent stake in Freeport-McMoRan shares in August and announced his intentions to discuss capital expenditure, executive pay practices and representation on the board.

The company announced in August that it will cut down on production levels and expenditures in the current low-price oil and gas market. Freeport-McMoRan will instead concentrate on producing copper.

Freeport-McMoRan’s debt increased sixfold in 2013 after purchasing energy independents Plains Exploration & Production Company and McMoRan Exploration Company for $9 billion.