Provisions

12 Months Ended

Dec. 31, 2025

15. Provisions

Provisions comprise the following as of December 31:


		2025						2024
		Non- Current		Current		Total		Non- Current		Current		Total
		US$'000		US$'000		US$'000		US$'000		US$'000		US$'000
Environmental provisions		185		711		896		163		1,448		1,611
Provisions for litigation in progress		178		3,162		3,340		19		2,184		2,203
Provisions for third-party liabilities		7,963		—		7,963		8,263		—		8,263
Provisions for Carbon dioxide emissions allowances		12,436		72,329		84,765		6,276		66,045		72,321
Provision for restructuring costs		—		1,535		1,535		—		5,735		5,735
Other provisions		9,725		9,571		19,296		9,663		7,720		17,383
Total		30,487		87,308		117,795		24,384		83,132		107,516

The changes in each respective subcategory of provisions in 2025 and 2024 were as follows:


				Provisions for		Provisions for		Provisions for		Provisions for
		Environmental		Litigation		Third		Carbon Dioxide Emissions		Restructuring		Other
		Provisions		in Progress		Party Liabilities		Allowances		Costs		Provisions		Total
		US$'000		US$'000		US$'000		US$'000		US$'000		US$'000		US$'000
Balance at January 1, 2024		2,083		7,913		10,596		90,471		15,243		16,421		142,727
Charges for the year		—		1,705		476		72,427		—		3,221		77,829
Provisions reversed with a credit to income		—		(2,803)		—		—		(4,422)		(1,359)		(8,584)
Amounts used		(328)		(6,644)		(247)		(84,621)		(4,248)		(314)		(96,402)
Remeasurement through other comprehensive income (loss)		—		—		(1,942)		—		—		—		(1,942)
Exchange differences and others		(144)		2,032		(620)		(5,956)		(838)		(586)		(6,112)
Balance at December 31, 2024		1,611		2,203		8,263		72,321		5,735		17,383		107,516
Charges for the year		—		2,887		365		77,518		—		3,702		84,472
Provisions reversed with a credit to income		(533)		(318)		—		—		(1,307)		(2,881)		(5,039)
Amounts used		(339)		(1,874)		(396)		(74,052)		(3,627)		(222)		(80,510)
Remeasurement through other comprehensive income (loss)		—		—		(1,346)		—		—		—		(1,346)
Exchange differences and others		157		442		1,077		8,978		734		1,314		12,702
Balance at December 31, 2025		896		3,340		7,963		84,765		1,535		19,296		117,795

Environmental provisions

Environmental provisions related to $185 thousand of non-current environmental rehabilitation obligations as of December 31, 2025 (2024: $163 thousand) and $711 thousand of current environmental rehabilitation obligations as of December 31, 2025 (2024: $1,448 thousand). A majority of these provisions relate to residues disposal, such as the remediation costs required to comply with government regulations.

Provisions for litigation in progress

The timing and amounts of potential liabilities arising from such exposures is uncertain. The provision reflects the Company’s best estimate of the expenditure required to meet resulting obligations.

Certain employees of Ferroglobe France (formerly FerroPem, SAS and then known as Pechiney Electrometallurgie, S.A), may have been exposed to asbestos at its plants in France in the decades prior to our acquisition. The Company has recognized a provision of $568 thousand as of December 31, 2025 as part of the current portion of Provisions for litigation (2024: $587 thousand). See Note 26 for further information.

In 2022, Ferroglobe France sent dismissal letters to several employees of Château-Feuillet. Since then, numerous claims were received from the affected individuals challenging the terminations and seeking substantial financial compensation. The Company paid $2,675 thousand to settle all claims as of December 31, 2024 and an amount of $2,566 thousand was reversed due to the excess provision initially recorded.

Provisions for third-party liabilities

Provisions for third-party liability presented as non-current obligations of $7,963 thousand relate to healthcare costs for retired employees (2024: $8,263 thousand) in the Company’s subsidiary, Ferroglobe France.

Provisions for carbon dioxide emissions allowances

As of December 31, 2025, the provision for carbon dioxide emission allowances amounting to $84,765 thousand (2024: $72,321 thousand) corresponds to the obligation to deliver the carbon dioxide allowances at the end of the compliance period.

Provisions for restructuring costs

As of December 31, 2025, the restructuring provision relates to the restructuring process initiated in 2022 in Château-Feuillet facility in France amounting to $1,535 thousand (2024: $5,735 thousand). During 2025, the Company paid $3,640 thousand and reversed $1,312 thousand of excess provision initially recorded in 2024.

Other provisions

Included in other provisions are current obligations arising from past actions that involve a probable outflow of resources that can be reliably estimated. Other provisions include taxes of $7,508 thousand (2024: $5,848 thousand) and $9,280 thousand related to the accrued estimated costs of reclaiming the land after it has been mined for gravel or coal (2024: $9,099 thousand).