Bloomberg reports citing the company’s financial statements that Russia’s second-largest oil producer recognized a $19.8 billion impairment of assets for 2025. The main reason was the loss of control over the international business. As a result, the company recorded a net loss of $12 bln (a year earlier it showed a profit).
Sanctions against Lukoil and Rosneft were imposed by the United States to increase pressure on Moscow in the context of the conflict over Ukraine. The restrictions affected the companies’ international operations and effectively deprived them of the ability to manage part of their assets abroad.
As Bloomberg notes, the decision caused serious repercussions for Lukoil, which was considered one of the most internationally diversified Russian oil companies. Prior to the sanctions, the company owned stakes in refineries in Europe, major production projects from Iraq to Kazakhstan, and a network of 5,300 gas stations in more than 20 countries, including the United States.
Thesale of assets depends on the decision of the U.S.
In January 2026, Lukoil reached a preliminary agreement to sell most of its foreign assets to investment company Carlyle Group. A deal with Gunvor Group was previously discussed, but did not materialize.
The final realization of the deal depends on the approval of the US Office of Foreign Assets Control. The company’s statements emphasize that the sale is impossible without the approval of this regulator.
Even if the deal is approved, the funds from the sale are likely to be temporarily frozen: they are planned to be placed in a special account, access to which will be opened only after the possible lifting of sanctions.
Lukoil exits international business
The company’s foreign assets are now classified as “discontinued operations” in its financial statements. This reflects Lukoil’s actual withdrawal from international business.
Despite the losses, the company’s board of directors recommended a dividend of 278 rubles ($3.3) per share for 2025.
