In 2011, the Swiss-headquartered resources company Ferrexpo, whose main interests are in Ukrainian iron ore assets, plans to almost triple the amount of capital expenditure for upgrading, modernization and reequipment of its Ukrainian subsidiaries Ferrexpo Poltava Mine (FPM) and Ferrexpo Yeristovskoye Mine (FYM) to over UAH 3.2 billion (about $401.5 million), from more than UAH 1.061 billion (about $133 million) invested in 2010.
In 2011, Ferrexpo's capital investments will be directed towards the further development of FPM's existing iron ore fields and processing facilities, towards the production of the first ore at FYM, as well as towards the development of logistics and other infrastructure.
As SteelOrbis previously reported, in the next three to four years Ferrexpo intends to invest about $1.4 billion in Ukrainian iron ore assets.
The first stage of the investment plan will include a budget of $647 million, which will allow Ferrexpo to fully switch to the production of pellets with 65 percent iron content that are in demand in the global market. The project is scheduled for completion by the end of 2014.