Finnvera guarantees Metso's deliveries to Ukraine
Northern Iron Ore is one of the Metinvest Group's iron ore extraction and processing facilities located in Kryvyi Rih, Ukraine. Before the full-scale invasion, in 2021, it produced approximately 13 million tonnes of iron ore concentrate and approximately 6 million tonnes of pellets. In 2024, it produced approximately 8 million tonnes of iron ore concentrate and approximately 4 million tonnes of pellets.
Yuriy Ryzhenkov, CEO of Metinvest, commented:
"This transaction represents a significant milestone for the Group. It reflects our commitment to long term investment in our Ukrainian operations, particularly Northern Iron Ore. Despite ongoing security challenges, we are dedicated to preserving and potentially enhancing operational capacity, supporting workforce and advancing the environmental sustainability of our flagship iron ore asset.
We are grateful to our partners for their role in securing the Group’s first ECA-covered loan since the onset of the full-scale invasion. Their unprecedented support extends beyond Metinvest, serving as a broader signal of confidence in Ukraine.”
Deutsche Bank A.G. is acting as the sole arranger and lender for the transaction and was advised by law firm Norton Rose Fulbright. The loan will finance the purchase of equipment from Metso Finland Oy, a Finnish metals and mining equipment manufacturer, for a project to thicken enrichment waste at Northern Iron Ore.
- Signing date of the Finnvera Guarantee Agreement: 18th June 2025.
- Name of the Guarantee Holder: Deutsche Bank A.G., Germany.
- Name of the Exporter: Metso Finland Oy, Finland.
- Name of the Lender: Deutsche Bank A.G., Germany.
- Name of the Buyer and Borrower: Private Joint-Stock Company “Northern Iron Ore Enrichment Works”, Ukraine.
- Name of the Guarantor: Metinvest B.V., the Netherlands.
- Export transaction/Goods: Machines and equipment for separation of process water from the tailings area of an iron ore pelletizing plant and related services.
- Country of Export transaction/project location: Kryvyi Rih, Ukraine.
- Credit amount: EUR 23.6 million.
- Credit period: 11 years.
- Percentage of cover: 100% / 100% for commercial and political risks respectively.
- Es-risk classification: B
- International standards applied in benchmarking: host country legislation and IFC Performance standard themes.
- Contact point: [email protected]
- Environmental and social impact information:
According to Finnvera’s Environmental and Social (E&S) risk classification, the transaction is classified as Risk Category B, indicating moderate environmental, social, or human rights risks or impacts. The project involves existing operations and aims to restore previous production capacity with reduced emissions. The application of Finnish technology is expected to improve the buyer’s current E&S performance to some extent, resulting in a less severe risk classification than is typical for large-scale mining or ore processing projects.
Key risks are generally associated with the broader context of armed conflict. For this specific transaction, particular attention is given to the stability of tailings ponds. A failure in dam structures could pose significant risks to both human safety and local ecosystems. Additionally, the mining operations are known to generate dust and noise, which may affect surrounding communities and biodiversity.
Based on the information provided by the buyer, the company’s management of environmental and social matters is assessed as adequate and reasonable.
- Date of publication: 10th December 2025
