The new owner of the United Mining and Chemical Company (UMCC) — the Azerbaijani group Neqsol Holding, which acquired the state-owned titanium producer in 2024 for nearly UAH 4 billion — has announced its intention to invest significantly more than required under the privatization terms. This was reported by Neqsol Holding Ukraine’s regional director, Volodymyr Lavrenchuk.
According to him, the investor has already developed a three-tier transformation strategy for OGHC, which includes:
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upgrading corporate governance and adopting international transparency standards;
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expanding the resource base, including geological assessment of existing and potential deposits;
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transitioning from a raw-material model to titanium deep-processing, significantly increasing added value and export potential.
“This requires far greater investment than the UAH 400 million stipulated by privatization terms,” Lavrenchuk noted.
Neqsol emphasizes that it is not a portfolio investor but a long-term strategic investor.
“Throughout the existence of the holding, we have never sold a single asset. It is always a long-term investment,” he added.
The deep-processing project — a shift from mining ilmenite/rutile to producing titanium pigments or metallic titanium — will be presented in detail after the first stage of corporate governance reform. This stage should open the door for partnerships with U.S. and EU companies and the adoption of new technologies.
About OGHC and its deposits
OGHC remains one of the key titanium-raw-material producers in Europe and globally. The company manufactures ilmenite, rutile and zircon concentrates used to produce:
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metallic titanium;
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titanium alloys (aerospace industry);
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titanium pigments (paints, plastics);
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high-temperature materials.
Main production sites
1. Vilnohirsk Mining and Metallurgical Plant (Dnipropetrovsk region)
— operates the Malyshevsky deposit;
— estimated production horizon through 2030.
2. Irshansk Mining and Processing Plant (Zhytomyr region)
— operates the Mezhyrichne deposit;
— reserves guarantee at least 15 years of operations.
Before privatization, OGHC accounted for over 70% of Ukraine’s ilmenite production and ranked among the top 10 global ilmenite producers.
2024 Privatization — one of the largest state-sector deals
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Starting price: UAH 2.5 billion
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Final bid: almost UAH 4 billion
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Buyer: Neqsol Holding, an investment group operating in telecommunications, energy, infrastructure and industry across nine countries.
This became the first major privatization of a strategic mining enterprise in Ukraine in recent years, serving as an important test for state-company governance reforms.
Why Neqsol is betting on Ukrainian titanium
The global titanium market is expanding due to rising demand from:
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the aerospace sector in the U.S., EU, and NATO;
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defense industries (UAVs, missiles, armor);
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chemical and energy sectors.
By 2030, the global titanium market is projected at $28–30 billion, with major producers such as Canada, Australia, Saudi Arabia and China actively investing in deep-processing technologies.
Ukraine could strengthen its position thanks to:
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substantial titanium reserves;
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its critical-minerals partnership with the U.S. (2023 agreement);
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high demand for non-Chinese titanium supply chains.
This is why Neqsol is focusing not only on extraction but on technological upgrading.
What’s next?
After completing the first phase of corporate-governance reform, Neqsol plans to present a full investment plan that may include:
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construction of a new deep-processing facility;
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increasing purity levels of titanium concentrates;
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development of titanium alloy production;
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modernization of mines and processing plants;
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environmental upgrades.
