Freeport-McMoRan, based in Phoenix, Arizona, has announced a significant delay in the recovery of its Grasberg mine in Indonesia, now expecting to restore only 65% of production by the second half of the year, down from a prior forecast of 85%. This delay follows a fatal flood last year that disrupted operations and has caused shares to drop by over 8%. The Grasberg mine, the world's second-largest copper mine and largest gold mine, is facing challenges due to unexpectedly wetter ore, which has necessitated equipment modifications for ore loading. CEO Kathleen Quirk expressed confidence in restoring production safely but acknowledged the time required for these changes. Additionally, Freeport has postponed plans to switch the mine's power source from coal to natural gas by 18 months due to the incident. The company now anticipates producing 800 million pounds of copper and 700,000 ounces of gold this year, a decrease from earlier estimates of 1.1 billion pounds of copper and 800,000 ounces of gold. Despite rising diesel costs adding $500 million to annual expenses, Freeport's adjusted profit for the first quarter was 57 cents per share, surpassing analysts' expectations.