Davis Polk is advising Freeport-McMoRan Inc. (“FCX”) on the sale of its interests in TF Holdings Limited to China Molybdenum Co., Ltd. (“CMOC”) for $2.65 billion in cash and contingent consideration of up to $120 million. In addition, FCX has agreed to negotiate exclusively with CMOC to enter into definitive agreements to sell its interests in Freeport Cobalt, including the Kokkola Cobalt Refinery in Finland, for $100 million and the Kisanfu Exploration project in the Democratic Republic of Congo for $50 million. The TF Holdings transaction is expected to close in the fourth quarter of 2016, subject to regulatory approvals, CMOC shareholder approval and other customary closing conditions.

FCX is a premier U.S.-based natural resources company with an industry-leading global portfolio of mineral assets, significant oil and gas resources and a growing production profile. TF Holdings is a Bermuda holding company that indirectly owns an 80% interest in Tenke Fungurume Mining S.A. (Tenke); FCX has a 70% interest in TF Holdings and an effective 56% interest in Tenke. Freeport Cobalt includes the large-scale cobalt refinery located in Kokkola, Finland, and related worldwide sales and marketing business, in which FCX holds an effective 56% interest.

The Davis Polk corporate team includes partner Marc O. Williams and associates Darren M. Schweiger and Martin Hui. Counsel Betty Moy Huber and associate Michael Comstock are providing environmental advice. Partner Kathleen L. Ferrell and associate Anne E. McGinnis are providing tax advice. Partner Edmond T. FitzGerald and associate Florentino Salazar are providing executive compensation advice. All members of the Davis Polk team are based in the New York office.

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