Russia’s Lukoil has accepted an offer from commodity trader Gunvor Group to buy Lukoil International, the wholly owned unit that holds the oil producer’s overseas assets, following the sanctions and restrictive measures introduced primarily by the United States.
Lukoil said key terms of the transaction had already been agreed and that by accepting the offer it committed not to negotiate with other potential buyers.
The terms of the offer have not been disclosed.
The company said the signing of a binding agreement remains subject to conditions including obtaining permission from the U.S. Treasury’s Office of Foreign Assets Control (OFAC) and other required licenses in applicable jurisdictions.
If needed, the parties plan to seek an extension of the existing OFAC wind-down license and apply for any additional approvals to ensure uninterrupted operations and banking services for the international assets until the deal closes, it added.
Lukoil said the sale process was triggered by restrictive measures imposed by certain states on the company and its subsidiaries, the latest being the U.S.-imposed sanctions earlier in October.
Through international arm, Lukoil owns substantial upstream exploration and production (E&P) projects in countries including Azerbaijan, Iraq, and Kazakhstan, among others.
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