Ferrexpo daily pellet output dropped 14% m/m in February

Ukraine’s largest iron ore pellet exporter Ferrexpo
(FXPO LN) produced 812 kt of pellets in February, which amounts to 29.0 kt per
day, or 14.4% less m/m, according to Concorde Capital’s analysis of the data
reported March 24 by Interfax-Ukraine.

In 2M21, Ferrexpo’s pellet output dropped 3.4% yoy to 1.86
mmt, or 31.5 kt per day.

Dmytro Khoroshun: We
tentatively expect Ferrexpo’s 2021 production volume at 11.7-12.0 mmt
(31.9-32.8 kt per day), or 4-7% more yoy.

In 1H21, the company is planning to upgrade all
four of its pelletizers, and its daily production rate might drop to about 25
kt for several weeks during the upgrades. It is unclear whether the February
drop in daily production rate was related to such an upgrade.