Rusal sanctions seen risk to Kazakh coal venture – Samruk Energy

24th April 2018 By: Reuters

ALMATY – The Bogatyr Komir coal mining joint venture between Kazakhstan's state-run Samruk Energy and Rusal could face risks linked to US sanctions against the Russian aluminium producer, Samruk said on Tuesday.

Bogatyr Komir produces 41-million tonnes of coal a year, which it sells in Kazakhstan and Russia, mostly to power plants.

US sanctions could hamper the venture's equipment upgrade project, Samruk, a unit of sovereign fund Samruk Kazyna, said in a written reply to questions from Reuters.

"Probable sanctions-related risks have been identified, including with regards to Bogatyr Komir, in which Rusal indirectly owns a 50% stake," the firm said.

Samruk said it had contacted ThyssenKrupp, a supplier of equipment for the venture, and the Eurasian Development Bank, asking them to confirm whether they would continue working with Bogatyr Komir.