(KYIV, UKRAINE) – Ukrainian iron ore producer Ferrexpo has suspended exports of iron ore pellets by sea after Russian attacks on ports in the Greater Odesa region disrupted shipping in the Black Sea, increasing pressure on one of Ukraine’s key export industries and creating new financial risks for the company.
In a statement to the London Stock Exchange, the company said it had stopped loading and shipping iron ore pellets through the affected maritime route after recent attacks damaged a vessel carrying its cargo.
According to Ferrexpo, one of its chartered vessels carrying iron ore pellets was struck and damaged by Russian drones while sailing in Ukrainian waters in the Black Sea.
The company said the vessel remains afloat, but the condition of both the cargo and the structural integrity of the ship has not yet been confirmed. One crew member was killed during the incident.
Ferrexpo said the attack, together with the decision by ship owners to cancel further sailings, means the export route is expected to remain unavailable for the foreseeable future. The company warned that the disruption is likely to have a significant negative effect on its liquidity as it loses access to one of its main export channels.
The miner currently has around 189,000 tonnes of iron ore pellets awaiting shipment. This includes 55,000 tonnes already loaded onto the damaged vessel and around 90,000 tonnes stored at stockpiles awaiting export. Ferrexpo had expected export sales to increase during the second half of 2026 as production and overseas demand improved.
The company said it has already submitted notifications to its insurers under existing insurance agreements and will seek compensation for losses resulting from the incident.
The disruption comes as Ukraine’s mining and metals sector continues to face major logistical challenges caused by the war. Damage to ports and shipping routes has increased transport costs, reduced export capacity and added uncertainty for international customers and investors.
Earlier this year, Ferrexpo reported that production of iron ore products at its operations fell by 72% during the first quarter of 2026 compared with the same period a year earlier, reflecting the continuing impact of the conflict on production and export operations.
The latest suspension of sea exports is expected to increase pressure on Ukraine’s mining industry, which remains an important source of export earnings, foreign currency income and employment despite continuing disruption to transport infrastructure.