Lukoil agrees to sell most of its foreign assets to US investment group
Russian energy giant Lukoil agreed to sell most of its foreign assets to the American investment firm Carlyle, Lukoil's press service announced on Jan. 29.
The U.S. sanctioned Lukoil and another Russian energy company, Rosneft, in October, freezing Lukoil's U.S.-based assets and threatening secondary penalties for foreign entities engaging with them.
The sanctions, the first such measures imposed by the second Trump administration, were designed to pressure Moscow into peace talks in Ukraine, as fossil fuel revenues play a key role in sustaining Russia's war efforts.
The Carlyle deal does not include Lukoil's assets in Kazakhstan and is still subject to approval by the U.S. Treasury Department, the Russian company said, adding that negotiations with other prospective buyers are ongoing.
The deal's value has not been disclosed, though the estimated value of Lukoil's international assets is up to $22 billion.
Lukoil is Russia's second-largest oil producer and one of the country's largest companies, accounting for 2% of global oil output.
Apart from stakes in oil fields in Kazakhstan, Uzbekistan, the Middle East, Africa, and elsewhere, Lukoil also operates three oil refineries in Europe and hundreds of gas stations worldwide, including in the U.S.
The Trump administration previously granted a sanctions waiver to Lukoil's gas stations abroad as talks on the sale continued.
Swiss-based oil trader Gunvor initially sought the purchase of the company's foreign assets, but withdrew its bid in November after the U.S. Treasury Department described the trader as the "Kremlin's puppet."
