Company type | Public |
---|---|
LSE: FXPO | |
Industry | Iron Ore Mining and Processing |
Founded | 1960 |
Headquarters | Baar (ZG), Switzerland Horishni Plavni, Ukraine |
Key people | Lucio Genovese, Chairman Jim North, CEO |
Products | Iron Ore Pellets |
Revenue | $651.8 million (2023) [1] |
$71.1 million (2023) [1] | |
$(84.8) million (2023) [1] | |
Subsidiaries | PJSC Ferrexpo Poltava Mining, LLC Ferrexpo Yeristovo Mining, LLC Ferrexpo Belanovo Mining |
Website | www.ferrexpo.com |
Ferrexpo plc is a Swiss-based commodity trading and mining company which is the third largest exporter of iron ore pellets in the world. Ferrexpo's operating base is in central Ukraine, where it operates three iron-ore mines and an iron ore pellet production facility. The company's trading office is located in London where it is listed on the London Stock Exchange and it is a constituent of the FTSE4Good Index.
The business was founded by the Soviet government in 1960 as the "Poltava Mining and Extraction Combinat" to exploit iron ore reserves in Horishni Plavni (formerly Komsomolsk), Ukraine. [2] In 1977 it started selling its product in the form of iron ore pellets. [2]
In June 2007, Ferrexpo plc was listed on the London Stock Exchange, producing 8.6 million tonnes of iron ore pellets in the year prior to listing. [3]
In 2008 and 2009 the company established additional new complexes around Horishni Plavni and Kremenchuk. In 2011, the Company opened its second iron ore mine, the Yeristovo mine, which is located immediately north of the Company's main iron ore mine - the Poltava iron ore mine. Upon opening Yeristovo, Ferrexpo became the first company to open a new mine in Ukraine since the country's independence. [4]
In March 2019 the company delayed publication of its results pending an investigation into charitable donations in Ukraine. [5] In April 2019 its auditors Deloitte resigned, with Ferrexpo's former chief financial officer selling £400,000 of shares the day before the announcement. [6] In August 2019 Ferrexpo announced that the charitable donations may have been misappropriated; it had donated $24 million to the charity in 2017 and $9.5 million in 2018. [7] In October 2019, the CEO, Kostyantyn Zhevago, stood down from his post, following allegations of the embezzlement of $113 million from the Finance & Credit Bank. [8] [9] [10]
Following Zhevago's departure, Jim North became acting CEO; the company announced his appointment as permanent CEO in February 2022. [11]
Ferrexpo produces iron ore pellets, which are used in the global steel industry to produce high quality types of steel. Iron ore pellets are the highest quality form of iron ore that steel producers can utilise, offering steel producers the opportunity to improve blast furnace productivity, whilst simultaneously reducing carbon emissions by at least 30% for every tonne of pellets used instead of the more commonly used sinter fines, which are typically lower grade and require sintering prior to charging into the blast furnace. [12]
The Company, which sells most of its product to steel mills of Central Europe and Asia, is organised into the following units: [13]
The company's mining components are all based in central Ukraine and consist of:
Additionally, the company owns several nearby iron deposits which are not yet being actively exploited. From north to south, these are:
The founder, Kostyantyn Zhevago, owns 50.3% of the company. [14] Kostyantyn Zhevago was arrested in December 2022 under an international arrest warrant, he is wanted in Ukraine in a major embezzlement case. [15]
The Mesabi Iron Range is a mining district and mountain range in northeastern Minnesota following an elongate trend containing large deposits of iron ore. It is the largest of four major iron ranges in the region collectively known as the Iron Range of Minnesota. First described in 1866, it is the chief iron ore mining district in the United States. The district is located largely in Itasca and Saint Louis counties. It has been extensively worked since 1892, and has seen a transition from high-grade direct shipping ores through gravity concentrates to the current industry exclusively producing iron ore (taconite) pellets. Production has been dominantly controlled by vertically integrated steelmakers since 1901, and therefore is dictated largely by US ironmaking capacity and demand.
Poltava Oblast, also referred to as Poltavshchyna, is an oblast (province) of central Ukraine. The administrative center of the oblast is the city of Poltava. Most of its territory was part of the southern regions of the Cossack Hetmanate. Population: 1,352,283.
Vale, formerly Companhia Vale do Rio Doce, is a Brazilian multinational corporation engaged in metals and mining and one of the largest logistics operators in Brazil. Vale is the largest producer of iron ore and nickel in the world. It also produces manganese, ferroalloys, copper, bauxite, potash, kaolin, and cobalt, currently operating nine hydroelectricity plants, and a large network of railroads, ships, and ports used to transport its products.
Horishni Plavni, before 2016 known as Komsomolsk-na-Dnipri or simply Komsomolsk, is a purpose-built mining city in central Ukraine, located on the left bank of the Dnieper, in Kremenchuk Raion of Poltava Oblast, practically conurbated with the larger neighboring city of Kremenchuk. Horishni Plavni hosts the administration of Horishni Plavni urban hromada, one of the hromadas of Ukraine. Population: 49,854.
Metalloinvest Management Company LLC is a Russian mining and metallurgy company specializing in the manufacture of steel. It was founded in 1999 and is composed of a mining division and a steel division. USM Holdings Business Development owns 100% of Metalloinvest JSC. Alisher Usmanov is the major beneficiary of USM Holdings (60%), with other major beneficiaries — the companies of Andrei Skoch and Farhad Moshiri — owning 30% and 10%, respectively.
Cleveland-Cliffs Inc. is an American steel manufacturer based in Cleveland, Ohio. They specialize in the mining, beneficiation, and pelletizing of iron ore, as well as steelmaking, including stamping and tooling. The company was the world's 25th-largest steel producer and the third-largest in the United States in 2022. It is the largest flat-rolled steel producer in North America.
FC Hirnyk-Sport Horishni Plavni is a Ukrainian football club based in Horishni Plavni, Poltava Oblast. The club competes in the First League.
Kremenchuk Raion is a raion (district) in Poltava Oblast, central Ukraine. The raion's administrative center is the city of Kremenchuk. Population: 387,200.
Kostyantyn Valentynovych Zhevago is a Ukrainian billionaire entrepreneur. He was the first Eastern European to present one of his companies — Ferrexpo to the London Stock Exchange. Zhevago controls the "Finances and Credit" group — one of largest conglomerates of Ukraine; holds a post of FC Vorskla honorary president. He was a member of the Verkhovna Rada from 1998 until 2019.
Northern Iron Ore Beneficiation Works (PivnGZK) was built and launched in Kryvyi Rih in 1963 and is one of several iron ore dressing complexes around Kryvyi Rih. Along with Ingulets Iron Ore dressing Works and Central Iron Ore Enrichment Works, it belongs to Ukrainian holding company Metinvest.
Central Iron Ore Enrichment Works (CGZK) specializes in processing and production of raw materials for the steel industry, merchant concentrate with an average Fe content of 65.0% to 68.2% and pellets with an average Fe content of 63.9%. It is the only mine in Ukraine, that simultaneously uses open-pit quartzite fields and underground mining.
The Belanovskoye mine is a large iron mine located in central Ukraine in the Poltava Oblast. Belanovskoye represents one of the largest iron ore reserves in Ukraine and in the world having estimated reserves of 1.7 billion tonnes of ore grading 31% iron metal. The mine is 2km north of the Yeristovskoye mine and immediately south of the Zarudenskoye mine, both which are also iron deposits owned by Ferrexpo.
The Vasilievskoye mine is a large iron mine located in central Ukraine in the Poltava Oblast. Vasilievskoye represents one of the largest iron ore reserves in Ukraine and in the world having estimated reserves of 1.4 billion tonnes of ore grading 31% iron metal. The deposit sits immediately north of the Zarudenskoye mine, and immediately south of the Kharchenkovskoye mine.
The Kharchenkovskoye mine is a large iron mine located in central Ukraine in the Poltava Oblast. Kharchenkovskoye represents one of the largest iron ore reserves in Ukraine and in the world having estimated reserves of 2.8 billion tonnes of ore grading 30% iron metal. The mine sits immediately north of Vasilievskoye mine and immediately south of Manuilovskoye mine.
The Manuilovskoye mine is a large iron mine located in central Ukraine in the Poltava Oblast. Manuilovskoye represents one of the largest iron ore reserves in Ukraine and in the world. It is estimated that it has reserves of 3.5 billion tonnes of ore grading 30% iron metal. The mine sits immediately north of the Kharchenkovskoye mine and immediately south of the Brovarkovskoye mine.
The Brovarkovskoye mine is a large iron mine located in central Ukraine in the Poltava Oblast. Brovarkovskoye represents one of the largest iron ore reserves in Ukraine and in the world having estimated reserves of 4 billion tonnes of ore grading 30% iron metal. The mine sits immediately north of the Manuilovskoye mine.
Football Association of Poltava Oblast is a football governing body in the region of Poltava Oblast, Ukraine. The federation is a member of the Football Federation of Ukraine.
Kremenchuk River Port also called Kremenchug River Port is a port located on the Dnipro in the city of Kremenchuk, Poltava Oblast, Ukraine. The Port of Kremenchuk has seven piers, as well as river stations in Kremenchuk, Svitlovodsk, and Horishni Plavni.
Oleksiy Vasylovych Movchan is a Ukrainian politician currently serving as a People's Deputy of Ukraine representing Ukraine's 150th electoral district from Servant of the People since 2019.