Kernel fully suspends all oil extraction plants following drone attacks on production sites

Agro-holding Kernel has decided on a complete technological shutdown of all its oil extraction plants. This was reported by RBC-Ukraine, citing the company's press service. According to their data, over the past 24 hours, Russian strike drones specifically targeted the production sites of Ukrainian processing enterprises, including Kernel assets. As a result of the strikes, production buildings, technological equipment, and storage tanks were damaged.

Complete technological shutdown

The company's management explains that oil extraction production is a continuous technological cycle with high fire risk. Impact on operating equipment creates a direct threat of a massive fire and endangers the lives of workers. These considerations for personnel safety and the prevention of major accidents formed the basis for the complete shutdown of all production capacities. Simultaneously with the cessation of processing, the company has halted all purchases of oilseeds.

Safety protocols and staff status

Kernel states that standard safety protocols for production shutdown have been followed at all enterprises, and all employees are in safe conditions. Thus, the company positions the decision as a forced but managed measure aimed at eliminating risk to people against the backdrop of ongoing strikes on food industry infrastructure.

Operational and financial stability

Despite the halt in processing, Kernel declares that full operational and financial stability is maintained. The company continues to ship remaining products from warehouses and fully meets its already existing obligations to Ukrainian farmers and partners. This means that, according to the holding, the plant shutdown does not lead to a breach of existing contracts.

Context: strikes on the port of Chornomorsk

The decision to halt plants comes against the backdrop of a series of strikes on port infrastructure. As the press service reminds, the port of Chornomorsk was massively attacked on the nights of July 10-11 and July 11-12, where Kernel's port assets also sustained heavy damage. These attacks led to significant destruction and a forced suspension of terminal operations. Thus, the shutdown of the oil extraction plants became the next stage in limiting the holding's production activity amid ongoing attacks on its assets.