The Southern Mining and Processing Plant has partially suspended operations due to maritime logistics issues

The Southern Mining and Processing Plant has begun the process of temporarily suspending mining operations and reducing its workload. This was caused by systematic Russian attacks on civilian merchant ships heading to Ukrainian Black Sea ports, which have significantly complicated maritime logistics. This was reported by the company’s press service.

According to the company, since the start of the full-scale war, the plant has been operating under conditions of constant shelling, power outages, rising logistics costs, the introduction of the CBAM mechanism, and stricter EU quotas on products from the Ukrainian mining and metallurgical sector. In July 2026, a significant deterioration in the security situation in the Black Sea compounded these factors.

Due to shipowners’ concerns about crew safety, maritime transportation to Ukrainian ports has become more difficult. At the same time, several shiploads of iron ore intended for export have accumulated in the ports and warehouses of the Southern GOK. Due to limited capacity for further product storage, the company decided to temporarily scale back operations.

During the suspension of mining operations, employees will be assigned to repair and maintenance work. The company also stated that it will continue to fulfill its obligations to employees and partners and intends to resume mining once the security situation improves.

Pivdenny GZK has called on the government and international partners to strengthen the protection of port infrastructure and merchant shipping. The company emphasizes that the stable operation of Black Sea logistics routes is critically important not only for the metallurgical industry but also for other export-oriented sectors of the Ukrainian economy.

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