ASTANA, Jan 28 (Reuters) - Kazakhstan has submitted a formal bid to the U.S. authorities to acquire Russian oil producer Lukoil's stakes in the country's energy projects, Energy Minister Yerlan
Kazakhstan Submits Bid to Acquire Lukoil's Local Assets from US
Kazakhstan's Acquisition Bid for Lukoil
ASTANA, Jan 28 (Reuters) - Kazakhstan has submitted a formal bid to the U.S. authorities to acquire Russian oil producer Lukoil's stakes in the country's energy projects, Energy Minister Yerlan Akkenzhenov said on Wednesday.
Background on Lukoil and Sanctions
Lukoil was sanctioned by the U.S. last October in what Washington said was a response to slow progress in peace talks between Russia and Ukraine. The move has forced the oil major to dispose of its overseas assets.
Details of the Bid and Government Actions
The Russian oil group holds stakes in Kazakhstan's Karachaganak and Tengiz oilfields, as well as in the Caspian Pipeline Consortium, which carries the bulk of Kazakhstan's oil to the Russian port of Novorossiysk for export.
Implications of the Acquisition
Akkenzhenov said the government had sent a letter to the U.S. Office of Foreign Assets Control (OFAC), which, under the U.S. sanctions, must approve potential transactions.
Kazakhstan has said it holds preemption rights on buying out Lukoil.
"The energy ministry has sent the corresponding request by letter to OFAC," the minister said.
Lukoil has until February 28 to sell its assets, under the U.S. sanctions.
(Reporting by Tamara Vaal; writing by Vladimir Soldatkin; Editing by Mark Trevelyan)
