US sanctions extension may ease Rusal restrictions

MELBOURNE, May 02 (Reuters): An amendment by the US Treasury to its Russian sanctions programme may greatly reduce the restrictions on aluminum giant Rusal, Rio Tinto Chief Executive Jean Sebastien Jacques said on Wednesday.
Washington last month imposed sanctions on Russian billionaire Oleg Deripaska and several companies in which he is a large shareholder, including En+ Group Plc and aluminum giant United Company Rusal Plc, in response to what the United States called Russia's "malign activities."
Late on Tuesday, the US Treasury gave investors an additional month to divest or transfer their holdings in sanctions targets, including Rusal and En+.
"We are still digesting (the announcement) ... which means that potentially the restriction on Rusal may have been reduced in a dramatic way," Jacques said in Melbourne after the miner's annual general meeting.
"We are reviewing the situation, but today we can see a way forward. We'll come back to the market as and when the situation is clear," he told a media briefing.