Iron ore producer Ferrexpo halts Black Sea exports after cargo vessel incident

Swiss iron ore producer Ferrexpo, whose main mining assets are located in Ukraine, has suspended exports via the Black Sea, Forbes Ukraine reports.

The decision follows damage to a vessel carrying Ferrexpo iron ore pellets in Ukrainian territorial waters.

The condition of both the cargo and the damaged ship remains unknown, while salvage operations are expected to be extremely challenging under the current circumstances. As a result, Ferrexpo said it will be unable to use the Black Sea export route in the near future.

Earlier, the Ukrainian Sea Ports Authority reported that no foreign bulk carriers or container ships remain in any of Ukraine's Black Sea ports following Russian strikes. Shipping operations at the ports of Odesa, Chornomorsk and Pivdennyi have been brought to a halt.

Ferrexpo owns the Poltava and Yeristovo Mining and Processing Plants in Ukraine, which mine iron ore and process it into iron ore pellets used in coke-free steel production.

The company's shares have been listed on the London Stock Exchange since 2007. Its largest shareholder is Ukrainian businessman Kostiantyn Zhevago, who faces multiple criminal cases in Ukraine. According to Ukrainian media reports, Zhevago currently resides in France, which has previously declined to extradite him to Ukrainian authorities.

By Jeyhun Aghazada