Topics
Rio Tinto | Russia | Russia Ukraine Conflict
Reuters | Sydney Last Updated at June 6, 2022 10:05 IST
https://mybs.in/2awFMGH
Russian aluminium producer Rusal has filed a lawsuit against global miner Rio Tinto , seeking to win back access to its 20% share of the alumina produced at a jointly owned refiner in Queensland.
The lawsuit challenges Australia's response to Russia's invasion of Ukraine, which included wide-ranging sanctions against Russian firms and oligarchs who had links with President Vladimir Putin.
Rio stepped in to take sole control of Queensland Alumina Ltd (QAL) in April, sidelining Rusal and cutting its access to the refinery's output of alumina, a compound from which aluminium is derived. Rio owns 80% of the refinery, while Rusal owns the remaining 20%.
Rusal's Australian unit Alumina and Bauxite Company (ABC) said in a Australian Federal Court filing that the circumstances required for Rio to step-in to take control did not exist and amounted to a breach of obligations, according to the court documents reviewed by Reuters.
Rio's move at QAL came shortly after the world's biggest iron ore miner severed all ties with Russian businesses over Moscow's invasion of Ukraine. Russia calls its actions in Ukraine "a special operation".
Australia banned the export of alumina and aluminium ores, including bauxite, to Russia in March.
In the filings reviewed by Reuters, Rusal's subsidiary asks the federal court to restore its rights at QAL, and declare there would be no sanctions breach if its business continues there.
Rio declined to comment. Rusal, the world's second largest aluminium producer, could not be immediately reached for comment outside usual business hours.
Rusal was not directly targeted by Australian sanctions, but Rio's actions were triggered by sanctions on oligarchs Oleg Deripaska and Viktor Vekselberg, who own stakes worth 25.6% and 8% respectively in Rusal.
In 2018 Rusal was covered by U.S. sanctions against Russian businessmen and companies.
(Reporting by Praveen Menon and Renju Jose; Editing by Diane Craft and Kenneth Maxwell)
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
PREVIOUS STORY
NEXT STORY
Copyrights © 2022 Business Standard Private Ltd. All rights reserved.
Upgrade To Premium Services
Business Standard is happy to inform you of the launch of “Business Standard Premium Services”
As a premium subscriber you get an across device unfettered access to a range of services which include:
Premium Services
In Partnership with 
Dear Guest,
Welcome to the premium services of Business Standard brought to you courtesy FIS.
Kindly visit the Manage my subscription page to discover the benefits of this programme.
Enjoy Reading!
Team Business Standard