Gunvor's purchase of sanctioned Lukoil's international assets requires approval from the US sanctions authority, Ofac.
The priority is to ensure that the general operating permit is extended, says Gunvor CEO and co-founder Torbjörn Törnqvist to the Financial Times.
Finnish gas stations
The company is already having difficulty managing its international assets. In Finland, the Lukoil-owned gas station chain Teboil reports that Finnish banks have frozen payments to the stations, while fuel distribution has almost stopped.
In Bulgaria, politicians have decided to severely restrict diesel exports to secure domestic supply if problems arise at the country's largest refinery, owned by Lukoil.
Financing
Gunvor's distance from Russia is important for the deal to be completed, but there has long been speculation about the company's connections to the country.
The company also has previous experience with the US sanctions authority, as Gunvor co-founder Gennady Timchenko was forced to step down when he ended up on the US sanctions list in the wake of Russia's annexation of Crimea in 2014.
Several rivals have questioned how Gunvor can finance the purchase of all of Lukoil's international assets, the Financial Times reports. The assets were valued at $22 billion in 2023. Gunvor's entire market value this summer was $6.6 billion.
In an interview with Bloomberg, Gunvor's major owner and CEO Torbjörn Törnqvist says that the tie to Russia has been cut and that the assets will not be sold back if the sanctions are lifted. In the same interview, however, he opens up the possibility of selling parts of the assets later.
