LONDON (ShareCast) - Shares in Freeport-McMoRan Copper & Gold edged higher Wednesday as the miner reported increased profits on the back of rising commodity prices.

Net income in the first quarter rose to $1.12bn, or $2.64 a share, from $476m ($2.02) in the corresponding period of 2007.

The earnings performance exceeded market expectations, as analysts had been expecting earnings per share of $2.12.

Sales were also above forecast levels, rising from $2.25bn to $5.67bn, versus expectations of $4.69bn.

The company said that copper remained in demand, despite the US housing slump, while a strike by copper mine workers in Chile had also boosted copper prices. Copper rose 27% in price over the first quarter.

The company became a big player in the copper industry last year after acquiring Phelps Dodge mines for $26bn.

The company’s gold sales totalled 280,000 ounces in the first quarter, while over the same period it sold 911m pounds of copper. Gold prices in the first quarter rose 9.2%.

The company said it would "focus on maximizing current production volumes and investing in future growth to meet increasing market requirements for the commodities we produce. "

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