US Extends Deadline for Talks on Sale of Lukoil's Overseas Assets to November 21

en.Wedoany.com Reported - On October 21, the U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) updated General License No. 131K, extending the authorization deadline for negotiations on the sale of Russian oil company Lukoil's overseas assets from October 22 to November 21. The license covers Lukoil International GmbH and its subsidiaries in which it holds at least a 50% stake, allowing potential buyers to conduct acquisition negotiations, due diligence, and sign conditional agreements. The asset portfolio was previously valued at approximately US$22 billion, spanning oil and gas development, refining, and refined product retail operations in multiple countries.

Under General License No. 131K, potential buyers may conduct financial, legal, and operational due diligence, negotiate final transaction terms with Lukoil, and engage external legal and financial advisors to participate in the transaction. The formal asset sale, equity transfer, and change of control still require separate OFAC authorization. The U.S. Department of the Treasury requires that proposed transactions completely sever the sold assets' ties to Lukoil and that transaction payments owed to Lukoil be deposited into blocked accounts under U.S. jurisdiction. The license provisions also restrict the transfer of value to Lukoil through prepayments, asset swaps, and equity exchanges.

The deadline adjustment follows the withdrawal of U.S. investment firm Carlyle from the acquisition. Carlyle reached an acquisition arrangement with Lukoil on January 29, 2026, to acquire its overseas asset portfolio, excluding assets in Kazakhstan. The agreement expired at the end of July without obtaining OFAC approval. In early October, Carlyle confirmed it had ceased actively pursuing the acquisition, having previously discussed joint participation in the transaction with the UAE's Mubadala, XRG, IHC, and the U.S. International Development Finance Corporation.

Lukoil's assets for sale cover European refining facilities, international gas station networks, and oil and gas exploration and development rights in multiple countries. The asset portfolio had previously attracted at least a dozen potential acquirers, including Exxon Mobil. General License No. 131K also stipulates that future buyers intending to resell significant acquired assets are expected to undergo prior OFAC review; regulators may revoke existing authorizations based on the actual progress of asset sale negotiations.