Ferrexpo tightens 2030 carbon emission reduction target

Swiss-headquartered iron ore miner and pellet producer Ferrexpo with assets in Ukraine has announced targets for the decarbonisation of its operations and has published its Climate Change Report, the company tells Kallanish.

The group has updated its carbon emissions target of a 50% reduction by 2030 for Scope 1 and 2 emissions. Earlier, the target was 30%.

The report also introduces new Scope 3 emissions reduction targets for Ferrexpo, setting 10% as a goal for reducing this category of emissions by 2030, and a 50% target for 2050.

“Our inaugural Climate Change Report represents the culmination of an initial phase of work looking in detail at climate change topics such as climate change risks and opportunities, as well as a bespoke study of one potential decarbonisation pathway for the Group, achieving net zero production by 2050,” says Ferrexpo chief executive Jim North.

“Despite the impact of the ongoing war on businesses like ours operating in Ukraine, I am pleased that we are able to present a clear strategy for the long-term future of our business, showing the significant opportunity that lies ahead through Ferrexpo producing an iron ore product that helps the global steel industry lower its emissions.”

Earlier, Ferrexpo partially resumed production activities at its facilities in central Ukraine after the stabilisation of energy supply following Russian shelling (see Kallanish passim). Russian missile strikes on state-owned electrical infrastructure had caused the firm to suspend output on 11 October.

Ukraine saw October crude steel output drop to only 350,000t, down by 77.7% on-year, according to worldsteel data. The country’s year-to-date output totalled 5.84 million tonnes, down 68%.

Svetoslav Abrossimov Bulgaria