US extends license allowing sale of Lukoil’s overseas assets until 28 February

Bunker Fuel, Business, Events, Legal, Sanctions

Published Tue, 20th January 2026
by EW Support

OFAC has extended the license that authorises negotiations and entry into contingent contracts with Lukoil for sale of Lukoil International or any of LIG's majority-owned subsidiaries to 28 February.

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) on Wednesday (14 January) said it has extended the license that authorises negotiations and entry into contingent contracts with Russian oil company Lukoil for the sale of Lukoil International GmbH (LIG) or any of LIG’s majority-owned subsidiaries to 28 February.

The general licence was initially due to expire on 17 January.

On 22 October 2025, OFAC designated PJSC Lukoil (Lukoil) to increase pressure on Russia’s energy sector and degrade Russia’s ability to raise revenue for its war machine. Lukoil then announced that it was selling its international assets.

“OFAC expects that, at a minimum, the proposed transaction must: completely sever LIG’s ties with Lukoil; block any funds owed to Lukoil until sanctions are lifted by placing them in an account subject to U.S. jurisdiction; and not provide a windfall to Lukoil, such as by providing up-front value to Lukoil, including through asset or share swaps,” it said on its website.

“Further, as a condition of any future license for effectuating a sale of LIG, OFAC expects that it will require persons purchasing LIG’s assets to seek OFAC review before further divestment of material LIG assets.”

Chevron and Quantum Capital Group reportedly joined forces on a bid to buy Lukoil’s international assets.

The Financial Times reported that the bid, led by Quantum, is for the entire portfolio of Lukoil’s international assets valued at USD 22 billion, including oil and gas production, refining facilities and filling stations across Europe, Asia and Middle East.

Swiss commodity trader Gunvor withdrew its proposal to buy foreign assets of Lukoil after the US Treasury described it as Russia’s “puppet”.

It was also previously reported that Lukoil PJSC began cutting its workforce across its global oil trading operations.