LUKOIL, Russia-based oil and gas producer, has signed an agreement with US investment company Carlyle for the sale of Lukoil International GmbH, a wholly owned subsidiary that holds the Lukoil Group’s overseas assets.
The transaction does not include the group’s assets in Kazakhstan, which will remain under Lukoil Group ownership and continue operating under existing licences.
Lukoil said the agreement is not exclusive and is subject to a number of conditions precedent, including the receipt of required regulatory approvals. These include permission from the US Department of the Treasury’s Office of Foreign Assets Control (OFAC) for a transaction involving a US investor.
The company added that it continues negotiations with other potential purchasers.
Lukoil International GmbH has been put up for sale as a result of sanctions imposed by the US government on the company and its subsidiaries, which have restricted its ability to manage and operate assets outside Russia.
No financial terms or timeline for completion of the transaction were disclosed.
