US Treasury extends Lukoil assets sale deadline to December 13
The United States (US) Treasury has granted a three-week extension for the Lukoil assets sale before the US sanctions announced by President Donald Trump take effect. The operation was initially set to expire on November 21.
The United States is thus granting more time for the sale of Lukoil's international portfolio of assets, but requires that any final sale obtain explicit authorization from the Department of the Treasury, S&P Global reports.
The Russian oil giant is moving to divest its foreign holdings following crippling US sanctions. The general license issued by the US on November 14 offers a delay until December 13.
Guvnor Group had planned to acquire Lukoil's global portfolio, but withdrew its proposal on November 6 after the Treasury announced its intention to block the transaction.
In a highly unusual move, the Treasury called the Swiss trading company "the Kremlin's puppet" in a post on its official X account. It further stated that the entity "will never receive a license to operate and profit" as long as Russian President Vladimir Putin continues "reckless killings" in Ukraine.
The new US license authorizes necessary transactions to negotiate or conclude contracts for the sale or transfer of Lukoil International GmbH.
"Such transactions are authorized until 12:01 AM on December 13, provided that the closing of any contract is made expressly contingent on receiving authorization from the Office of Foreign Assets Control," the license specified.
The Treasury also issued a waiver for transactions related to the Caspian Pipeline Consortium, Tengizchevroil, and Karanganak projects in Kazakhstan where Lukoil holds a stake. The license explicitly does not authorize transactions for the sale of these particular projects.
Separately, the Treasury issued licenses allowing the gradual termination, maintenance, and transactions of Lukoil service stations outside Russia until December 13, provided that any payment to a blocked person is deposited into a blocked account.
Experts previously warned that sanctions imposed by the United States and the United Kingdom against Lukoil group entities will significantly impact the Republic of Moldova, particularly the Moldova aviation sector, which is wholly dependent on kerosene supplied by the Russian company.
Translation by Iurie Tataru
