NEW YORK (TheStreet) -- Freeport-McMoRan (FCX) - Get Report stock is declining by 9.25% to $4.22 in mid-morning trading on Thursday, as the natural resource company's export license in Indonesia has expired without extension, Bloomberg reports.

The export license allows the company to ship copper and gold from its massive Grasberg mine, which is based in Indonesia.

In 2014 Freeport-McMoRan mined $2 billion of copper and $1.4 billion of gold from Grasberg, Bloomberg added.

The Indonesian government is waiting for Freeport-McMoRan to respond to its request for a $530 million deposit toward building a new smelter.

The government will prolong the company's permit if it complies with the request, but Freeport-McMoRan CEO Richard Adkerson has indicated that the request is inconsistent with its prior understanding with the government, according to Bloomberg. 

Additionally, yesterday credit ratings provider Moody's (MCO) downgraded Freeport-McMoRan's credit rating four levels to junk to reflect "a fundamental shift in the operating environment" as copper prices plummet.

RBC Capital expects that, given current spot prices, Freeport-McMoRan could face an $18 billion cash shortfall during the next two years, and might break its debt contracts by the end of this year, Barron's reports.

Before Tuesday's market open, the company posted a 2015 fourth quarter loss of 2 cents per share on revenue of $3.8 billion. Analysts surveyed by Thomson Reuters had forecast for a loss of 17 cents per share on revenue of $3.84 billion.

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Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.

Freeport-McMoRan's weaknesses include its generally high debt management risk, disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.

You can view the full analysis from the report here: FCX

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author. 

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