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Ukraine Mine Bravely Operates Amidst War
28 Dec
Summary
- Mine production scaled back due to war-related shortages.
- Women now comprise nearly a third of the workforce.
- Company sales plummeted from $2.5 billion to $933 million.
Ukraine's Poltava iron ore mine, a vital component of the nation's war economy, operates under immense strain. Air raid alerts are a daily reality, and production has been significantly reduced due to shortages in personnel, energy, and equipment. Automated mining machinery faces disruptions from GPS jamming, a consequence of drone warfare.
The conflict has taken a heavy toll, with over 50 Ferrexpo employees lost in combat and nearly 10% of its workforce serving in the Ukrainian armed forces. Women have increasingly filled essential roles, now comprising almost a third of employees, a notable rise from pre-war levels. Despite these challenges, the mine is considered crucial, with some staff granted exemptions from military service.
Financially, the mine has seen a drastic decline. Annual sales dropped from $2.5 billion in 2021 to $933 million last year. The company also faces domestic challenges, including suspended VAT refunds and legal battles involving its largest shareholder, Kostyantyn Zhevago, affecting operations and share price. Reintegrating veterans also presents ongoing difficulties.
