Rusal files lawsuit against Rio Tinto claiming back 20% ownership in Queensland Alumina

According to a report on Monday, June 6, Rusal, the Russian aluminium giant, prosecuted global miner Rio Tinto to regain its access to 20 per cent share in alumina produced at a jointly owned refinery Queensland Alumina Limited (QAL).

Rusal, in the lawsuit, challenged Australia’s sanctions against Russian firms and oligarchs who had link with President Vladimir Putin as a response to Russia's invasion of Ukraine, and asked for the restoration of its rights at QAL.

In April 2022, Rio Tinto overtook the control of Queensland Alumina Ltd, removing Rusal’s access to the refinery’s output. Rusal had an ownership of 20 per cent in QAL, while Rio Tinto had 80 per cent of ownership.

Rusal’s Australian unit Alumina and Bauxite Company (ABC) said in the lawsuit filing that there were no circumstances that would require Rio Tinto to take a control over QAL, according to the court documents reviewed by Reuters.

Rio’s move at QAL followed the world’s biggest iron ore miner cut off ties with Russian businesses for Moscow’s invasion of Ukraine. In March, Australia stopped the export of bauxite and alumina to Russia.

As per the fillings reviewed by Reuters, Rusal also said that there would be no breach of sanctions if its right is restored at QAL.

Australia’s sanctions did not directly target Rusal but meant for oligarchs Oleg Deripaska and Viktor Vekselberg, who own 25.6 per cent and 8 per cent ownership in Rusal.

For comment, Rusal could not be reached outside usual business hours, while Rio declined the request.