Iron ore firm Ferrexpo increased its pellet production in Q1 2020 by 7.4pc to 2.725mn mt, up from 2.5mn mt during the same quarter in 2019.
Production of 65pc iron ore pellets increased by 9.1pc to 2.652mn mt in the first quarter of the year compared to 2.431mn mt in Q1 2019. However, production of 62pc iron ore pellets decreased by 31.8pc from 107,500mt in Q1 2019 to 73,330mt in Q1 2020.
Although global demand decelerated through Q1 2020 because of shutdown orders in response to the COVID-19 pandemic, Ferroexpo’s quarterly results weren’t affected. The Swiss company is also applying precautionary measures to mining operations.
In 2019, Ferroexpo produced 10.519mn mt pellets, which increased by 0.1pc from the 10.506mn mt produced in 2018. The firm’s sales volumes last year rose by 0.8pc to 10.312mn mt from 10.227mn mt in 2018. Its revenue surged by 18.3pc from $1.274bn in 2018 to $1.507bn last year.
Although the company’s sales volumes increased slightly on an annual basis, the price of 65pc increased by 16pc from an average of $90/mt in 2018 to $104/mt in 2019. The steel mills that buy the pellets are located across the Americas, EU, and many Asian countries.
Part of the Koryantin Zhevago Group, Ferrexpo has been mined and processed iron ore pellets for the global steel industry for over 40 years.