Lukoil’s overseas assets attract interest as US sanctions loom

Exxon Mobil Corp., Chevron Corp., Abu Dhabi National Oil Co. (Adnoc), and U.S. private equity giant Carlyle Group are among the companies expressing interest in Lukoil PJSC’s international assets, in a sale accelerated by upcoming U.S. sanctions.

Sources familiar with the matter told Bloomberg that potential buyers are reviewing various segments of the Russian energy company’s extensive international operations, with some focused only on specific assets. However, Lukoil prefers to sell its overseas holdings as a single package before the sanctions take effect on December 13, one source noted.

This approach could result in a two-step process in which a single buyer, such as a financial firm, acquires all of Lukoil’s non-Russian assets and later sells them off individually.

Lukoil had previously reached an agreement to sell its entire international business to Gunvor Group, but that deal was ultimately blocked by the United States.

Exxon and Chevron are reportedly examining Lukoil’s stake in Iraq’s West Qurna 2 field, according to two sources who spoke on condition of anonymity due to the private nature of the talks.

Meanwhile, Adnoc is considering a range of Lukoil assets, with the Russian company’s natural gas operations in Uzbekistan potentially drawing the most interest.

By Tamilla Hasanova