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KazMunayGas and Lukoil assess the impact of sanctions on joint projects

04 November 2025 13:00 (UTC +04:00)

Kazakhstan’s oil and gas company “KazMunayGas” and Russia’s “Lukoil” company are assessing the impact of sanctions restrictions on joint projects, TASS reported, citing the Kazakh company, APA-Economics reports.

“Currently, the participants of the joint projects are conducting a comprehensive assessment of the potential impact of external factors, including sanctions restrictions. The assessment is carried out taking into account legal, financial, and technical aspects,” the report states.

The company noted that work on the projects is continuing in accordance with the established procedure in accordance with the current legislation of the Republic of Kazakhstan, and contractual obligations.

"In all agreements, when restrictive measures are applied, a sanction clause that defines the rules of operation is included. The terms of these provisions are of a confidential nature," the statement said.

Earlier, the U.S. Department of the Treasury included “Lukoil” and its subsidiaries in a new sanctions package. In mid-October, the United Kingdom also added “Lukoil” to its sanctions list. Nevertheless, the U.S. sanctions do not apply to operations with the Caspian Pipeline Consortium and the “Tengizchevroil” company, and the U.K. restrictions additionally do not apply to the Karachaganak field in Kazakhstan and the “Shah Deniz” field located in the Azerbaijani sector of the Caspian.

After the above-mentioned, “Lukoil” announced its intention to sell its international assets due to the application of restrictive measures against it and its subsidiaries. The process of reviewing applications from potential buyers has begun.

Recall that recently, “Lukoil” received an offer from the international energy group “Gunvor Group” to acquire its foreign assets. “Gunvor Group Ltd.” proposed to acquire 100% of the company “LUKOIL International GmbH.” The main terms of the agreement between “Lukoil” and “Gunvor” have been agreed upon in advance.