Mining company “Ferrexpo” has temporarily suspended the production of iron ore products at its enterprises in Ukraine due to the blockade of sea exports and lack of funds.
The company reported this on the London Stock Exchange.
Ferrexpo explained that the threat of attacks in and around Ukrainian ports has significantly limited logistics routes across the Black Sea. Therefore, the company has decided to temporarily suspend production at its mining and pelletizing plants.
When it will be possible to resume work will depend on whether additional funds can be raised. The company will fulfill its obligations to European customers from the already formed product stocks.
The company also noted that the production shutdown allows it to postpone the risk of bankruptcy until mid-September. The further situation will depend on iron ore prices, energy costs, operating costs and sea export capabilities.
In February, the Commercial Court of the Poltava region opened bankruptcy proceedings against Poltava Mining and Processing Plant, the company’s main enterprise. In the first quarter of 2026, Ferrexpo’s production fell by 72% year-on-year. Due to Russian attacks on energy infrastructure, only one of the company’s four production lines was operational.
- In late July, the Southern Mining and Processing Plant suspended production due to Russian attacks on ships. The company was forced to temporarily halt production due to the inability to ship products.
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