US Clears Path for Talks on Potential Sale of Lukoil’s Overseas Assets Amid Sanctions Pressure

Washington issues new licenses allowing companies to negotiate for Lukoil’s foreign assets under strict conditions that ensure full separation from the Russian oil giant and protect the energy security of allied nations.

The United States has opened the door for discussions on the potential sale of Lukoil’s international assets, granting temporary approval for companies to engage in talks despite ongoing sanctions.

The move marks a significant step in managing the consequences of sanctions imposed on major Russian energy firms as the war in Ukraine continues.

Washington issued new licenses that allow interested buyers to communicate with Lukoil until December 13 as they explore options for acquiring its overseas operations.

These assets have faced growing operational strain following sanctions, which have limited the company’s ability to manage and operate facilities abroad.

Officials emphasized that no sale will be approved unless the transaction fully severs all ties between the foreign assets and Lukoil.

To meet those conditions, any funds generated from an approved sale must be placed into a restricted escrow account that the company cannot access while sanctions remain in place.

The US also permitted business dealings with Lukoil-linked entities in Bulgaria until April 29, 2026.
Bulgaria welcomed the decision, calling it an important measure that supports energy stability and ensures continued refinery operations without disruption to consumers or businesses.

Britain has also granted similar authorizations for Lukoil’s Bulgarian operations, including the Burgas refinery, which plays a key role in meeting national energy needs.

Officials stated that these approvals are designed to safeguard energy supplies for partner nations while ensuring Russia cannot derive benefit from the activity.

Additional licenses were issued to allow transactions involving the Caspian Pipeline Consortium and the Tengizchevroil project, both of which include participation from Lukoil alongside major international energy companies.

These projects transport significant volumes of crude oil from Kazakhstan, and officials noted that maintaining continuity is critical to global supply.

Interest in purchasing Lukoil’s international assets has been rising, with multiple firms evaluating potential bids.

Among them is US-based Carlyle, which has been reviewing options tied to the possible acquisition, according to sources familiar with the ongoing considerations.

Analysts say that some firms are more likely than others to receive regulatory approval due to their operational backgrounds and standing with US authorities.

Earlier this year, another buyer withdrew from talks after concerns were raised about its suitability, highlighting the level of scrutiny applied to the approval process.

Several energy companies and state-backed entities across Europe and Asia are also monitoring the situation closely. Potential bidders reportedly include Kazakhstan’s national oil company and a major European energy producer, demonstrating the wide-reaching interest generated by the opportunity.

Lukoil’s overseas holdings include multiple refineries across Europe, stakes in oilfields in Central Asia, the Middle East, Africa and Latin America, as well as a broad retail fuel network.

These operations amounted to an estimated value of around $22 billion based on recent disclosures, making it one of the most significant asset packages currently under discussion in global energy markets.

Legal experts note that while companies may engage in detailed discussions under the new license, final approval for any acquisition will still require a separate authorization.

This process ensures complete compliance with US sanctions rules and guarantees that there is no residual benefit to Lukoil or the Russian government.

The new approvals reflect an attempt to manage the strategic implications of sanctions while maintaining energy security for partner nations.

As conversations proceed, the outcome of these negotiations could reshape portions of the global energy landscape, especially in regions where Lukoil has long maintained a major presence.