Ore mining industry of Ukraine (2000-2007)

Ukraine is a large mineral and raw stock base of iron ores, which includes 80 deposits, 30 of these being in service (58% of explored reserves). Gross reserves of iron ores exceed 30 bn tons, which makes some 6% of global deposits and 30% of reserves in CIS states. Rich iron ores and ferruginous quartzites are extracted at deposits located at the Krivoy Rog, Kremenchug, and Belozerskiy iron ore basins, also “tobacco” ores of the Kerch basin had been explored until 1992. By and large, iron ores were represented by three main types: rich martite, ferruginous quartzites, and brown iron-ores.

Besides to natural deposits, some iron ore concentrate can be obtained from man-caused wastes of Krivoy Rog basin dressing. According to preliminary estimates of specialists from Geological Sciences Institute under the National Science Academy of Ukraine, 8 tailing dumps can process around 300 mn tons of concentrating tails, which will contain Fe_mang = 8-13%, into 60 mn tons of concentrate with content of Fe_mang. 65%. Meanwhile, the cost of iron ore containing ferruginous tails’ secondary processing is by 30-40% less than production and processing of ledge iron ores. Processing of concentrates has already begun at the Central GOK (ore dressing mill). Production of ferruginous ores in Krivbass (Krivoy Rog basin) can also increase with application of developed complex open-underground method of iron ore deposit exploration. Application of this method at the open pit No.1 of the Central GOK boosted the volumes of quartzite production by 1.2 mn tons per annum. It also prevented shutdown of the open pit and solved social problem – increased production did not cause withdrawal of fruitful lands. Such approach can also be applied at Yuzhnyi (Southern) GOK and other works.

The flux raw base includes two regions – Donetsk and Crimea, and the manganese base is mostly located in the Nikopol basin.

As of January 1, 2005, the balance reserves of iron ore stock by Ukrainian enterprises are as follows (data of enterprises): 1,394.1 mn tons – natural rich ores, including 684.0 mn tons in project outlines; 11,711.9 mn tons – magnetite quartzites (6,473.7 mn tons); and 1,027.8 mn tons – oxide magnetite quartzites (753.4 mn tons). Besides, the balance of underground enterprises includes 3,809.9 mn tons of magnetite quartzites.

Intensive development of ore mining enterprises took place in the 1950-60s. In 1963, the Ukrainian Soviet Socialist Republic contributed 54.6% to gross production of iron ore products in the USSR, and in early 1970s it provided 14% of world output and 43% of national extraction of commercial iron ore. The high was reached in 1978 – 126.4 mn tons of iron ore products.

In the following years, because of well-known reasons, production kept falling, with the lowest of 48.0 mn tons seen in 1999.

Because of a number of organizational and technical measures and state support, the performance of ore mining enterprises stabilized since the end of 1999 and is now experiencing regular rises in commercial production.

At present, there are 10 mining enterprises in Ukraine involved in iron ores extraction, six of which explore ferruginous quartzites and four – rich ores.

In 2007, mining enterprises produced: 77.4 mn tons of iron ore and concentrate (73.1 mn tons in 2006), including: non-sintered iron ore – 16.5 mn tons (16.3 mn tons); concentrate – 70.0 mn tons (56.8 mn tons); iron ore sinter – 42.1 mn tons (68.3 mn tons); and iron ore pellets – 22.4 mn tons (30.9 mn tons).

Prospects of iron ore industry development in Ukraine are defined by outlooks for metallurgical production and raw stock exports. For now, the State program for developing and reforming of mining and metallurgical complex has already been adjusted. Following the demand, the program foresees production of commercial iron ore rising by 2011 to 91.7 mn tons per annum.

Operating mining enterprises, production capacities, the range and quality of output

 Concentration level of the output (according to the results of 2007) 

In 2000-2007, Ukraine’s export of iron ore products exceeded 154.0 mn MT, including shipments in 2007 amounting to 20.7 mn MT.

In the same seven years, import supplies of iron ore products to Ukraine totaled 37.2 mn MT, including 3.5 mn MT supplied to Ukraine in 2007 alone. Regarding the structure of import supplies, it was dominated by concentrate from the Russian Federation (more than 50% of the import volume).

Dynamics of iron ore products supplies to/from Ukraine in 2000-2007

The geographic pattern of iron ore products supplies from Ukraine covers some 19 countries. The main exporters are traditionally Slovakia, the Czech Republic, Poland, and Austria. Their aggregate portion in the supplies exceeds 66%.