The international assets of Russian oil companies have come under scrutiny due to new US sanctions. In particular, one of the main contenders for acquiring the global assets of Russia’s “Lukoil” is the Saudi company Midad Energy. It is known that Midad Energy plans to purchase these assets in cash, with the proceeds remaining in an escrow account until the sanctions against “Lukoil” are lifted. American companies may also be involved in this transaction. Midad Energy is known for its close political ties to both Moscow and Washington.
This is reported by Finway
Sanctions Impact the Future of Russian Assets
Previously, the US Department of the Treasury blocked the intentions of other contenders — specifically, the company Gunvor and the American bank Xtellus Partners — to acquire the international assets of “Lukoil”. Currently, the Russian company has a deadline until January 17 to complete the sale of assets valued at approximately $22 billion. These assets include oil fields, refineries, and thousands of gas stations around the world.
Shell Sells Stake in German Refinery Due to Sanction Risks
At the same time, the British-Dutch company Shell announced its intention to sell its stake in the German refinery PCK Schwedt. This decision is related to the risk of falling under Western sanctions against Russia, as 54.17% of the refinery’s shares are owned by a subsidiary of “Rosneft” — the company Rosneft Deutschland.
“The German government took the assets of Rosneft Deutschland under temporary management in September 2022 to ensure the country’s energy security. This temporary status is renewed every six months.”
Thus, Western sanctions significantly affect the movement and sale opportunities of international assets of Russian oil giants, altering the balance of power in the global energy market.