US oil giant Chevron is reviewing potential opportunities to acquire international assets owned by sanctioned Russian producer Lukoil, five sources told Reuters on November 17. This move follows a US Treasury waiver issued last week that allows potential buyers to engage with Lukoil regarding its overseas holdings.
If Chevron proceeds, it will join Carlyle and other interested bidders competing for the portfolio. The portfolio is valued at a minimum of $20 billion.
The US imposed sanctions on Lukoil and Rosneft, Russia’s top two oil firms, for their role in supporting Moscow’s war financing. These measures have severely disrupted Lukoil’s operations abroad, which account for approximately 0.5% of the world’s oil output.
Consequently, Lukoil announced its plan to sell its international assets and is now reviewing bids under a US Office of Foreign Assets Control (OFAC) wind-down license. The pressure on Lukoil’s global portfolio tightened recently after a planned asset sale to Swiss trader Gunvor collapsed, just ahead of a US deadline requiring companies to cease business with the Russian oil producer.
In response to the news, Chevron stated that it adheres to all laws and regulations governing its operations but does not comment on commercial discussions, as reported by Reuters.
