Russia’s Lukoil PJSC agreed to sell most of its international assets to private equity giant Carlyle Group, three months after being hit by US sanctions.
Lukoil has approached the Russian government seeking changes to the oil tax formula as discounts on Russian crude exceed $20 per barrel, a level that would force producers to make net payments into the budget rather than receive compensation, according to The Moscow Times, citing Izvestia.
The U.S. Treasury Department on Wednesday extended a license by more than a month – until February 28 – for companies to talk with Russian energy company Lukoil (LKOH.MM), opens new tab about buying its foreign assets.
Lukoil, Russia’s energy giant, has seriously lost its grounds across Africa, due to United States sanctions. Sanctions have complicated the company’s potential continuity in operating its largest oil field projects, grappling its investment particularly in Republic of Ghana, Democratic Republic of Congo, and Federal Republic of Nigeria.
Exxon Mobil and Abu Dhabi National Oil Co. are among several companies showing interest in acquiring international assets of the sanctioned Russian oil company Lukoil, Bloomberg reported. Reuters confirmed that Exxon is actively exploring options as well. Earlier, US energy giant Chevron and the investment firm Carlyle Group had already expressed interest in Lukoil’s overseas operations. While some potential buyers are reportedly […]
The U.S. fund The Carlyle Group is studying the possibility of acquiring the overseas oil and gas assets held by Lukoil, Russia’s second-largest oil producer. According to international media reports published on Thursday, November 13, the deal concerns a portfolio valued at around $22 billion based on Lukoil’s 2024 accounts.
The company is has started considering bids from potential buyers, according to a statement posted on its website late on Monday. The divestment process is being conducted under a wind-down license from the US Treasury’s Office of Foreign Assets Control, which Lukoil said it could ask to be extended “to ensure uninterrupted operations of its international assets.”
Lukoil is the most internationally diverse of Russia’s oil giants, with upstream businesses in former Soviet countries such as Kazakstan, Uzbekistan and Azerbaijan, as well as in Egypt, the United Arab Emirates and West African nations of Ghana, Nigeria, Cameroon and Congo.