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This Article is From Mar 21, 2022

Australia Boosts Aid to Ukraine; Whitehaven to Supply Coal

Australia Boosts Military, Humanitarian Aid to Ukraine

Australia is stepping up military and humanitarian aid for Ukraine to assist in its war against Russia, including 70,000 tonnes of thermal coal.

Prime Minister Scott Morrison's government will offer an additional A$21 million ($15.6 million) of military support for Ukraine, including unspecified material from the Australian Defence Force's stocks. It's also pledging another A$30 million in humanitarian assistance, according to a government statement Sunday.

Australia and its allies have sought to exert pressure on Russian President Vladimir Putin to halt his war against Ukraine. As part of those efforts, Canberra is also imposing a ban on exports of alumina and aluminum ores to Russia, the government said. 

Russia gets nearly 20% of its alumina supplies from Australia and the move will limit its ability to produce aluminum, a critical export, the statement added. The Morrison government had previously announced a series of measures targeting Russian banks, government entities, as well as the country's oligarchs. 

Whitehaven Coal Ltd. will supply the coal and arrange for its shipment to Ukraine without impacting existing contracts to other international partners, Morrison said at a press briefing Sunday. The government is working with the company and the Ukrainian and Polish governments to deliver the supplies that are needed before the end of May, the prime minister said.  

The assistance will help keep the country's coal-fired power generators operating and supplying electricity to its power grid.

“It's our coal, we dug it up, we've arranged the ship, we've put it on the ship and we are sending it to Ukraine to help power up their resistance and to give encouragement,” Morrison said.  “We understand that it can power up to about one million homes.” 

The government will meet the cost of the coal and delivery.

The latest aid package for Ukraine joins a previous A$70 million in military commitments as well A$35 million of humanitarian support.

©2022 Bloomberg L.P.

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