30 December 2024
FERREXPO
plc
("Ferrexpo", the "Group" or the "Company")
Publication of Climate Change
Report
Ferrexpo plc (LSE: FXPO), a producer
and exporter of premium iron ore pellets, announces the publication
of its second Climate Change Report.
The Group's Climate Change Report
outlines climate-related risks and opportunities for the Group, its
greenhouse gas footprint, and a potential pathway towards low
carbon production by 2050. This publication marks another key
milestone in Ferrexpo's decarbonisation plans, enhancing
stakeholder understanding of climate-related issues. Similarly, the
continued work on climate scenario modelling and decarbonisation
initiatives, as explained in the report, underscores the Group's
commitment to sustainable development and addressing the scourge of
climate change, even in a time of war.
Highlights of the Report
·
Significant emissions reductions recorded between
2019 and 2023:
- Scope 1 by
58%
- Scope 2 by
70%
- Scope 3 by
67%
·
Three scenarios modelled to navigate Ferrexpo's
Net Zero pathway factoring in the impact of Russia's war in
Ukraine
·
30 material climate change risks and opportunities
assessed across six key focus areas
·
Five transformative decarbonisation projects
targeted to deliver 90% of emissions savings
·
95% reduction in Scope 1 and 2 emissions, and 84%
reduction in Scope 3 by 2050, according to future
modelling
Lucio Genovese, Executive Chair of Ferrexpo,
commented: "This report represents a benchmark-level
climate disclosure that demonstrates exceptional comprehensiveness
and analytical rigour within the current corporate climate-related
financial reporting landscape. As with the Responsible Business
Report also released today, it benefits from our 2023 Double
Materiality Assessment ("DMA"), analysis of regulatory frameworks,
climate scenario planning using three different scenarios that
enable our approach to flex with operational pressures, and our
bespoke Net Zero road map projections. Above all, it demonstrates
that Ferrexpo remains confident in its ability to continuously
adapt and revise its targets, address challenges, and responsibly
communicate progress on its plans and decarbonisation goals as part
of its ongoing commitment to decarbonisation."
Natalie Polischuk, Chair of the HSEC Board Committee,
commented: "This Climate Change Report builds on our
inaugural findings, providing richer data and insights to map, in
extensive detail, the Group's evolving exposure to climate change
risks and opportunities. We have prioritised empirical data in our
analysis to ensure that our findings provide our shareholders with
as clear a picture of our climate impacts as is possible. With a
fully transparent and scrutinisable framework, the Report pertains
to our medium and long-term objectives, enabling us to accurately
assess the opportunities available to us and continue building on
it into the future."
The report is available to view on
the Group's website
here.
The
Green Mine Initiative
A highlight of this report is the
detail provided on Ferrexpo's 'Green Mine Initiative',
based on a 10-year mining
plan to electrify Ferrexpo's operations by a joint working group,
led by Yurii Khimich, General Director of Ferrexpo Belanovo Mining
and Group CPO: fleet electrification and automation.
The initiative has researched
different solutions, including assessing opportunities for
locomotives, excavators and dump trucks of various sizes and from a
range of OEMs, the installation of trolley-assist and
battery-electric technologies and calculation of potential CAPEX
and OPEX savings.
· During Phase
1, the group visited mines, OEM facilities and attended industry
events around the world to understand all available options for the
initiative.
· In Phase 2, it was agreed to identify a pilot area and
conceptual design before accounting for practical considerations
for its adoption and localisation in Ukraine. ABB, a power
equipment industry specialist, has also been appointed as a
contractor to do design works and a potential supplier of power
equipment
Yurii Khimich, General Director of
Ferrexpo Belanovo Mining, commented: "I believe the most important thing to take
away from this Climate Change Report is that Ferrexpo is already
leading its peer group by expeditiously acting on the findings of
this Report, as well as those of the previous report, and
integrating climate opportunities into its daily operations and its
plans for the future of iron ore mining. As part of the internal
working group, the Green Mine Initiative provides a unique window
into the Group's objectives as a responsible supplier to the green
steel value chain. We are assessing every aspect from conceptual
design and layout to location-specific implementation and
integration with current operational infrastructure, and our
objective is to present a tangible outcome for Net Zero that we can
replicate across our assets."
For further information, please
contact:
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Ferrexpo:
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Nick Bias
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n.bias@ferrexpo.ch
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+44 (0)7733 177 831
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Tavistock:
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Jos Simson
Gareth Tredway
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ferrexpo@tavistock.co.uk
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+44 (0)207 920 3150
+44 (0)7785 974 264
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Notes to Editors:
About Ferrexpo: Ferrexpo is a Swiss
headquartered iron ore company with assets in Ukraine and a listing
in the equity shares commercial companies category on the London
Stock Exchange (ticker FXPO) and a constituent of the FTSE 250
index. The Group produces high grade iron ore pellets, which are a
premium product for the global steel industry and enable reduced
carbon emissions and increased productivity for steelmakers when
converted into steel, compared to more commonly traded forms of
iron ore. Ferrexpo's operations have been supplying the global
steel industry for over 50 years. Before Russia's full-scale
invasion of Ukraine in February 2022, the Group was the world's
third largest exporter of pellets. The Group has a global customer
base comprising of premium steel mills around the world. For
further information visit www.ferrexpo.com.