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Russia’s Lukoil Agrees to Sell Overseas Assets to Gunvor After US Sanctions

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Photo of Dariia Mykhailenko
Dariia Mykhailenko
News Writer
A logo pictured at a Lukoil filling station in Sint Denijs Westrem, Gent on 28 October 2025. (Source: Getty Images)
A logo pictured at a Lukoil filling station in Sint Denijs Westrem, Gent on 28 October 2025. (Source: Getty Images)

Russia’s second-largest oil company, Lukoil, announced on October 30 that it has accepted an offer from the global commodity trader Gunvor to acquire its international assets.

According to Reuters, this move follows the recent imposition of sanctions on Lukoil by Washington last week. The planned sale represents the most significant action taken by a major Russian corporation to date in direct response to Western sanctions levied after Russia’s 2022 full-scale invasion of Ukraine.

“The key terms of the transaction have been earlier agreed by the parties.​ On its side, (Lukoil) accepted the offer, having undertaken not to negotiate with other potential buyers,” Lukoil said.

The US Treasury Department has issued a license granting companies until November 21 to finalize any transactions involving Lukoil and Rosneft, another Russian energy firm impacted by the new round of sanctions.

The completion of the entire transaction remains conditional upon securing permission from the Treasury’s Office of Foreign Assets Control, Reuters reported.

Gunvor, which gained prominence in the 2000s as a primary trader of Russian oil, confirmed its involvement in the potential deal. While its earlier shareholders included Gennady Timchenko, a known ally of Russian leader Vladimir Putin—who divested his stake after being sanctioned following Russia’s 2014 attempted annexation of Crimea—the trading house has recently benefited significantly from the surge in oil and gas prices triggered by the war in Ukraine and Europe’s subsequent efforts to reduce its reliance on Russian energy supplies.

Earlier, the United States temporarily paused sanctions targeting two German-based subsidiaries of the Russian oil corporation, Rosneft. This decision was made after receiving assurances from the German government that these companies are no longer being controlled by Russia.

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