Freeport-McMoRan Copper & Gold's profits are up and the mining company is poised to restart copper production at its Miami mine, according to Freeport's third-quarter report.

There are no plans to increase mining at the Safford or Morenci mines at this time, Freeport spokesman Richard Peterson said.

The report was released Oct. 21 — in a week that saw copper prices continue to rise. According to the London Metals Exchange on Oct. 23, the price of copper was $3.024 per pound.

Freeport-McMoRan is planning more exploration near its open pit copper mine at Morenci. Contributed photo

A year ago, the price of copper was just over $2 a pound, according to Kitco Precious Metals, which has offices in Rouses Point, N.Y., and Montreal, Quebec, Canada. According to Kitco, the rise in copper prices points to recovery in the copper industry.

The Freeport third-quarter report shows that net income for the third quarter 2009 was $925 million — $2.07 per share. In comparison, Freeport's net income for the third quarter 2008 was $523 million — $1.31 per share.

Freeport announced that its board of directors reinstated an annual cash dividend on its common stock of $0.60 per share. This translates into a $0.15 dividend per quarter beginning Feb. 1, the report states.

The restart of copper production at the Miami mine will include improved efficiency of ongoing reclamation projects.

"During the approximate five-year mine life, (Freeport) expects to ramp up production to approximately 100 million pounds of copper per year by the second half of 2011," the report states. "This project, which was initially expected to require a $100 million investment, was deferred in late 2008 in response to market conditions."

According to the report, Freeport intends to transfer existing mining equipment from other North American sites to reduce the investment in the project to approximately $40 million.

"Operating plans at the North American sites continue to be reviewed, and additional adjustments will be made in response to changes in market conditions," the report states.

Freeport continues to conduct exploration activities near its existing mines. Expanded drilling during 2007 and 2008 were successful "in providing significant reserve additions and in identifying potential additional ore adjacent to existing ore bodies," the report states.

Results from exploration and drilling show opportunities for "significant future potential reserve additions" at Morenci, Sierrita and Bagdad. The results were also positive at Cerro Verde in South America and in the Tenke Fungurume district in Africa, according to the report.

Exploration spending in 2009 is estimated to be around $75 million, compared with $248 million in 2008.