The United States has extended a sanctions exemption allowing retail fuel stations operated by Russian company Lukoil to continue operations outside Russia until the end of October. This measure is part of a limited easing of sanctions aimed at reducing revenue that supports Russia’s military actions in Ukraine.
The exemption applies to approximately 2,000 fuel stations located in Europe, Central Asia, the Middle East, and the Americas, extending the deadline to October 29. Lukoil operates around 200 stations in New Jersey, Pennsylvania, and New York, and is a leading retailer of motor fuel in Moldova and Bulgaria, managing about 600 stations in Turkey and over 300 in Romania.
Additionally, the US Department of the Treasury has issued a license permitting certain transactions involving Lukoil’s oil refining operations in Bulgaria, including Lukoil Neftohim Burgas.
On October 15, 2025, the United Kingdom expanded its sanctions list against Russia, which now includes Lukoil and Rosneft, the two largest Russian oil companies. Subsequently, on October 22, the US Treasury announced sanctions against Rosneft, Lukoil, and their subsidiaries, totaling over 34 companies. This decision was made in response to Russia’s lack of commitment to a peaceful resolution of the ongoing conflict in Ukraine.
On October 27, Lukoil began considering offers from potential buyers for its international assets. By October 30, the company announced it had accepted an offer from Gunvor for the sale of Lukoil International GmbH, a wholly-owned subsidiary that holds the group’s international assets. This transaction has yet to receive approval from the US Treasury’s Office of Foreign Assets Control (OFAC).
Following the imposition of US sanctions, Chinese state-owned oil companies halted purchases of Russian oil transported by sea.
The US has extended a sanctions exemption for Lukoil's fuel stations abroad until October 29, allowing continued operations amid ongoing sanctions related to the Ukraine conflict. The company is also exploring the sale of its international assets following recent sanctions from both the US and the UK.
Source: Reuters