Iron ore boosts exporter’s sales

IRON ore pellet producer Ferrexpo is resuming dividends as profits shot up on the back of rising commodity prices.

Lower costs also helped boost the Swiss-based producer to a 20pc rise in profit from £251m to £301m.

The world’s third-largest exporter of iron ore pellets declared a final dividend of 3.3 cents for 2016 and a special dividend of the same amount. It last paid a dividend in the first half of 2015.

Iron ore prices and pellet premiums jumped in the second half of 2016. Ferrexpo said its costs had also dropped by 13pc.

Non-executive chairman Stephen Lucas said: ‘In very challenging conditions, where the iron ore price traded at eight-year lows, the group increased net cash flows.’