Oct 22 (Reuters) - Freeport-McMoRan ( FCX ) said on

Tuesday that demand for copper is expected to increase with more

data centers being built, and the miner reported a

better-than-expected quarterly profit as higher prices of the

red metal offset a drop in production.

Average copper prices rose in the third quarter on signs of

better demand in top consumer China, falling inventories and as

the country unleashed wide-ranging stimulus measures to boost

its flagging economy.

Freeport's quarterly average realized price for copper was

up 13.2% to $4.30 per pound, while the metal's production fell

3.1% to 1.05 billion recoverable pounds in the quarter.

The company said it was seeing robust demand for power

cables and building wire associated with electrical

infrastructure and data centers in the United States.

"Both the growing sectors more than offset weakness in

traditional demand sectors," CEO Kathleen Quirk said on a

post-earnings call.

Last week, Freeport halted copper cathode production at its

Manyar smelter in Indonesia after a fire at a sulphuric acid

unit at the site in East Java province, which was later

extinguished.

Reuters reported last week that Freeport will postpone sales

of refined copper from Indonesia until the second quarter of

2025 as the fire caused a further production delay, according to

two sources with knowledge of the matter.

The company said on Tuesday that it expects repair costs for

the Manyar smelter to be covered by insurance.

On an adjusted basis, Freeport earned 38 cents per share in

the third quarter, compared with the average analyst estimate of

35 cents per share, according to data compiled by LSEG.

The company's shares were up 1.1% at $48.45.