Rio Tinto PLC (LSE:RIO) will sever all ties with Russian businesses, becoming the first of the major mining companies to do so in response to Russia’s invasion of Ukraine.
“Rio Tinto is in the process of terminating all commercial relationships it has with any Russian business,” the company said, according to newspaper reports.
The announcement raises questions about the future of Rio Tinto’s majority-owned Queensland Alumina Ltd, one of Australia’s largest alumina refineries, which is 20% owned by Russia’s Rusal, the Sydney Morning Herald reported. The joint-venture agreement between Rio Tinto and Rusal has been placed under immediate review, the paper said, citing sources.
McDonald’s, Coca-Cola and Starbucks all announced this week that were suspending operations in Russia, adding their names to the growing list of western corporations pulling out of the country.
READ: McDonald’s, Coca-Cola and Starbucks suspend their operations in Russia
Rio Tinto has previously said that it has no operational assets or employees in Russia or Ukraine, Reuters reported.
The company’s decision will force it to find alternative fuel supplies for its Oyu Tolgoi copper project in Mongolia, which relies on Russian diesel.