MOSCOW (Reuters) - Russian aluminium giant Rusal (HK:0486) is stockpiling large quantities of aluminium at one of its plants in Siberia because U.S. sanctions imposed this month have prevented it from selling the metal to customers, four sources close to the company said.
With the firm's own storage space filling up with unsold aluminium, Rusal executives in Sayanogorsk, in southern Siberia, have had to rent out additional space to accommodate the surplus stock, one of the sources told Reuters.
"Aluminium sales have broken down. And now the surplus aluminium is being warehoused in production areas of the factory itself," said someone who works on the grounds of one of Rusal's two plants in Sayanogorsk.
Several people connected to Rusal said that Oleg Deripaska, the company's main shareholder who along with the company was included on a U.S. sanctions blacklist, visited Sayanogorsk this week for a closed-door meeting with staff.
Asked if the firm was stockpiling aluminium in Sayanogorsk, a Rusal spokeswoman declined to comment.