en.Wedoany.com Reported - On July 15, 2026, Ukrainian iron ore pellet producer Ferrexpo released its Q2 2026 production report and trading update. The report shows that the company's total iron ore output in Q2 increased by 63% quarter-on-quarter, primarily due to resumed stable production in Q2 after operations were largely suspended in Q1 following attacks on Ukraine's energy infrastructure. However, the group is still operating only one pellet production line due to factors such as the Russia-Ukraine conflict and logistical disruptions.

Total iron ore output in Q2 was 963,000 tonnes, up 63% quarter-on-quarter and down 24% year-on-year. Pellet output reached 860,000 tonnes, up 64% quarter-on-quarter and 5% year-on-year. Iron ore concentrate (Fe67%) output was 103,000 tonnes, up 52% quarter-on-quarter and down 77% year-on-year. Among pellet products, direct reduction grade pellet (Fe67%) output was 163,000 tonnes; high-grade pellet (Fe65%) output was 697,000 tonnes, up 33% quarter-on-quarter and down 15% year-on-year.

The company stated that in Q2, it improved its sales mix by exporting direct reduction grade pellets and continued to manage customer distribution and product portfolio under constrained conditions. Meanwhile, the group still faces operational pressures including regional conflict, logistical constraints, labor shortages, and suspension of VAT refunds, and continues to protect working capital through cost reduction, procurement control, and suspension of non-essential capital expenditures.

Regarding future plans, Ferrexpo stated that the board believes equity financing is currently the most viable option, targeting a minimum fundraising of $100 million to support working capital, short-term operational needs, production increases, and previously deferred mining and capital expenditures. Based on current productivity, energy price forecasts, and an optimized sales mix, the group expects its available net cash to support operations under current constrained conditions until early Q4 2026.