Ferrexpo (LSE:FXPO) shares traded down 5.5% has stopped producing iron ore in Ukraine after further attacks on the country’s electricity network left it without enough reliable power to keep running. For now, it can still fill European customers’ orders from stockpiles.
The miner, which produces iron ore pellets used to make steel, said its own facilities had escaped damage.
The immediate problem is the electricity reaching them. Supply is too erratic, and the amount available is too low to sustain production.
Ferrexpo had restarted production at its Ukrainian operations in September.
This time it gave no restart date or estimate of how long existing stocks could cover deliveries. It said it would resume production once conditions allow it to operate commercially.
