Carlyle’s Lukoil oversees assets deal expires

Carlyle Group’s agreement to acquire most of Russian oil producer Lukoil’s international assets has expired, with the US private equity firm confirming it is no longer actively pursuing the transaction, according to a report by Bloomberg.

The deal, originally agreed in January 2026, lapsed during the summer after failing to secure approval from the US Office of Foreign Assets Control (OFAC), according to Lukoil International’s annual report. Carlyle confirmed the agreement had terminated in a response to a Bloomberg enquiry.

Lukoil began seeking a buyer for its overseas operations after the US imposed sanctions on the company and fellow Russian oil producer Rosneft as part of efforts to pressure Moscow over its war in Ukraine. Its international portfolio includes interests in European refineries, oil fields in countries including Iraq and Kazakhstan, and a global network of fuel stations.

The proposed sale to Carlyle followed the collapse of an earlier agreement with energy trader Gunvor Group, now known as Centalion Group. Carlyle subsequently emerged as a buyer, although the transaction remained subject to regulatory approval and Lukoil continued discussions with other potential bidders.

Attention has now shifted to a separate potential transaction. The New York Times reported on 8 October that an investor consortium led by US billionaire Todd Boehly was in talks to acquire an interest in Lukoil’s foreign assets.

Under the reported proposal, Middle Eastern investors, including entities linked to Abu Dhabi’s royal family and two Qatari billionaire brothers, would hold the majority of the equity. The Qatari investors are business partners with Jared Kushner and Ivanka Trump, according to the report.

The proposed structure would also give the US government, through the International Development Finance Corporation, an approximately 15% stake without an upfront cash contribution. Combined with Boehly’s interest, the US side would control a majority of the board, while Middle Eastern investors would own more than half of the equity, the newspaper reported.