Ferrexpo Suspends Ukrainian Iron Ore Production After Energy Infrastructure Attacks
Ferrexpo temporarily halted production at its Ukrainian mining and processing enterprises because attacks on Ukraine's power infrastructure left the facilities with unstable and insufficient electricity. The company said its assets were undamaged, European customers continue to receive products from existing stocks, and production will resume once commercially viable operating conditions return.
Key points
- Ferrexpo temporarily suspended iron ore production at its Ukrainian mining and processing facilities.
- Attacks damaged power-transmission lines and substations, leaving production facilities with unstable and insufficient electricity.
- Ferrexpo said its own assets sustained no damage.
- European customers continue to be supplied from existing finished-product stocks.
- The company plans to resume production when operating conditions permit commercially viable operations.
- Ferrexpo owns Yelistovsky GOK, Bilanovsky GOK and Poltava GOK, including operations in Poltava region.
- The halt follows production suspensions on 20 January and in early August linked to shelling, electricity disruption and maritime logistics threats.
Why it matters
The shutdown demonstrates how damage to Ukraine's energy infrastructure directly disrupts industrial production outside the energy sector. It affects Ferrexpo's mining and processing operations, including those in Poltava region. Existing stocks limit the immediate impact on European customers, but the timing of a commercially viable restart remains uncertain.
What happened
Ferrexpo temporarily stopped production at its Ukrainian mining and processing enterprises after attacks on Ukraine's energy infrastructure disrupted electricity supplies. The company specifically cited damage to power-transmission lines and substations, which left electricity for its production facilities unstable and insufficient. Its assets were not damaged. Deliveries to European customers continue using existing stocks of finished products, and the company intends to resume production once conditions allow operations on a commercially viable basis.
How Ukrainian sources describe it
Ukrainian reporting focuses on the electricity deficit and damage to transmission lines and substations as the immediate cause of the halt. It also notes that Ferrexpo's assets remain intact, deliveries to European customers continue and the shutdown is part of a broader pattern of repeated production stoppages, logistics threats, financing efforts, falling output and financial losses.
Background
Ferrexpo had suspended production on 20 January after shelling caused an electricity-supply failure. In early August, it again halted iron ore production because of maritime logistics problems and the persistent threat of attacks on and around Ukrainian ports. In April, the company expected production to return to pre-war levels only in 2028 and considered selling assets. After raising about $100 million through a new share issue and obtaining a $15 million credit line from Fevamotinico SaRL, it resumed production and trading on the London Stock Exchange restarted. In the first half of 2026, revenue fell 57% to $196 million, the company reported a $14.9 million net loss and pellet output declined 36% to 1.39 million tonnes.