TORONTO (miningweekly.com) – Phoenix, Arizona-based Freeport McMoRan Copper & Gold on Tuesday reported a slightly lower third-quarter profit, as lower metals prices weighed on results.

However, a poll of 20 Wall Street analysts revealed that the company had beaten expectations, sending its NYSE-listed shares up in premarket trading.

Freeport said its net income attributable to common stock totalled $821-million, or $0.79 a share, down almost half a per cent year-on-year when compared with $824-million, or $0.86 a share.

Analysts had expected earnings of $0.62 a share on revenue of $5.7-billion.

Revenue in the quarter rose 40% to $6.16-billion, and was boosted by revenue from the company’s $19-billion acquisition earlier this year of Plains Exploration & Production and McMoRan Exploration.

Freeport closed the two acquisitions during the first half of the year in a bid to move into the energy sector, based mainly on the lack of strong new copper projects on the market.

Consolidated copper sales rose 13% year-on-year to 1.04-billion pounds; gold sales rose 51% to 305 000 oz; and molybdenum sales were up 10% to 23-million pounds. The company sold 16.5-million barrels of oil equivalents during the period.

The average realised prices for the third quarter were lower. Freeport sold copper at $3.28/lb, down 10% year-on-year from $3.64/lb; gold at $1 329/oz, which was down 23% year-on-year from $1 728/oz; and oil at $104.33/bbl, which excluded impacts of unrealised losses on derivative contracts.

During the quarter, Freeport started a process to evaluate alternatives for its Gulf of Mexico Shelf oil and gas properties, including a possible divestment. Evaluation of these alternatives was ongoing.

Freeport said its total debt burden as of September 30 was $21.1-billion, and it was targeting total debt reductions to $12-billion over the next three years. The company would continue to review its portfolio of assets, and would consider opportunities to accelerate its deleveraging plans through potential asset sales, joint venture transactions or further adjustments to capital spending plans.

At the end of the quarter, the company had $2.2-billion in consolidated cash in the bank.

The company’s NYSE-listed stock rose 4% in premarket trading to $36.44 a share.