Saudi-backed Midad signs term sheet to acquire Lukoil’s sanctioned assets, pending US approval – Reuters
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Riyadh, February 13, 2026 (Reuters via Saudi Arabia Breaking News) – Saudi-backed Midad Energy has signed a term sheet to acquire Russia’s sanctioned Lukoil assets, in a deal contingent on U.S. regulatory approval, three sources familiar with the matter said.
The agreement, signed in late January, covers all targeted assets. Midad has placed its all-cash offer in escrow while awaiting necessary clearances, including from the U.S. Treasury, to ensure compliance with sanctions restrictions.
The move reflects continued efforts by Lukoil to divest overseas holdings constrained by Western sanctions and signals growing Middle Eastern interest in acquiring discounted global oil and refining assets. The transaction remains subject to strict regulatory scrutiny and geopolitical risk, sources added.
Midad is competing against other investors, including private equity firm Carlyle Group. Any final transfer of Lukoil’s sanctioned assets requires explicit U.S. approval, with no guarantee of authorization given ongoing geopolitical tensions and complex compliance reviews.