Monday, July 8, 2013

One of the world's biggest open iron ore deposits is located close to Poltava

Komsomolsk is a purpose-built mining city in central Ukraine, located on the left bank of the Dnieper river, 120 km. away from Poltava. The city is pretty young, it was founded in 1960 as the residential and civic area for the Poltava Mining and Extraction Combinat. Nowadays it is controlled by the Ferrexpo - the most important iron ore-mining company in Ukraine.

Ferrexpo is a Swiss-based iron-ore producer operating in Ukraine. The business was founded by the Soviet government in 1960 as the "Poltava Mining and Extraction Combinat" to exploit iron ore reserves in Komsomolsk, Ukraine. The business was privatised in 2001 by the Ukrainian Government. In 1977 it started selling its product in the form of pellets. It was first listed on the London Stock Exchange in 2007. The Company sells most of its product to the steel mills of Eastern Europe.

80% of the city residents are employed by the mining industry. There are two gigantic open pit mines (up to 350 meters depth) and several spoil tips on the city territory, to the north-east and south of the residential area. 


The industry is served by several railway stations. However, the passenger service was discontinued and the city relies on intercity and suburban bus links. The combinat operates its own freight river port. Due to the profitability of mining, small city of Komsomolsk usually ranks high in all-Ukraine city rankings of birth rate, living standards, (un)employment and housing.