Ferrexpo PLC on Thursday published a report into climate change, with the miner targetting a 50% reduction in its Scope 1 and Scope 2 emissions by 2030.

Ferrexpo is a Swiss-headquartered producer of iron ore in Ukraine.

The report discusses a number of climate change related risks and opportunities relevant to the Ferrexpo business, including Ferrexpo’s greenhouse gas emissions and a potential decarbonisation pathway to achieve net zero iron ore pellet production by 2050.

Ferrexpo’s target of reducing emissions Scope 1 and Scope 2 emissions by 50% follows the achievement of a 30% reduction recorded across 2019 and 2020 combined, it said.

Scope 1 emissions are direct greenhouse emissions that occur from sources controlled or owned by an organisation. Scope 2 emissions are indirect emissions associated with the purchase of electricity, steam, heat, or cooling.

The report introduces new Scope 3 emissions reduction targets for Ferrexpo, setting 10% as a goal for reducing this category of emissions by 2030, and a 50% target for 2050.

Scope 3 emissions are the result of activities from assets not owned or controlled by the reporting organization, but that the organization indirectly affects in its value chain.

Chief Executive Officer Jim North said: ‘Our inaugural climate change report represents the culmination of an initial phase of work looking in detail at climate change topics such as climate change risks and opportunities, as well as a bespoke study of one potential decarbonisation pathway for the group, achieving net zero production by 2050.

‘Despite the impact of the ongoing war on businesses like ours operating in Ukraine, I am pleased that we are able to present a clear strategy for the long term future of our business, showing the significant opportunity that lies ahead through Ferrexpo producing an iron ore product that helps the global steel industry lower its emissions,’ he continued.

Shares in Ferrexpo were trading 2.3% higher at 171.50 pence each in London on Thursday morning.

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