(Alliance News) - Ferrexpo PLC on Thursday reported a sharp drop in production in the second quarter as the miner continues to struggle with the fallout from Russia's invasion of Ukraine.
Shares in the midcap iron ore pellet producer - which has operations in central Ukraine - were 4.7% higher in London on Thursday morning at 125.90 pence each.
In the quarter ended June 30, total commercial production - which includes pellets and concentrate - was down 28% on the year before at 2.1 million tonnes, and also down 22% on the previous quarter.
In the first half, commercial production was down 16% year-on-year at 4.8 million tonnes.
Ferrexpo noted it has been operating with between one and three of its pelletiser lines, due to the ongoing logistical difficulty in Ukraine.
"The situation in Ukraine remains complex. In accordance with the government of Ukraine's request for economic activities to continue, the group will continue to produce and transport its products, as long as the capability is in place, and it remains safe to do so," it added.
Chief Executive Jim North said the firm is "advancing efforts to increase seaborne exports and have made initial deliveries to customers."
By Paul McGowan; paulmcgowan@alliancenews.com
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Ferrexpo (FXPO)
