US Russia Economy

US support signals shift of Lukoil’s West Qurna-2 stake to American operators

Tuesday, 9 December 2025 11:13AM UTC

The United States has backed Iraq's plan to transfer Lukoil’s majority stake in the West Qurna-2 oilfield to US companies, amid ongoing negotiations and increased geopolitical tensions over energy assets.

The United States has signalled support for Iraq’s plan to transfer Lukoil PJSC’s majority stake in the giant West Qurna-2 oilfield to an American operator, as Baghdad moves to replace the sanctioned Russian firm days before a U.S. sanctions waiver is due to expire. According to the original report, Iraq’s Oil Ministry has directly invited U.S. companies to bid to take over management of the field, which supplies roughly 9–10% of the country’s crude output. ^[1]^[6]^[3]^[7]

Iraq has privately flagged ExxonMobil and Chevron as leading contenders, with one source saying Baghdad would prefer Exxon for West Qurna-2 given its prior operation of the neighbouring West Qurna-1 and recent re‑engagement in Iraq. Industry accounts also name additional potential bidders , including private equity and regional groups , reflecting a broader scramble for Lukoil’s international assets after Washington’s sanctions. ^[1]^[3]^[4]^[7]

A State Department spokesperson, speaking to Bloomberg, said: "We are encouraged by the Iraqi Ministry of Oil’s initial agreements with Exxon and Chevron, the recent commitment to transition West Qurna-2 to a US operator," and added the United States "will continue to champion the interests of American companies in Iraq." The U.S. Treasury has meanwhile permitted limited, deal‑specific negotiations with Lukoil until a December 13 deadline tied to temporary waivers, a window that has sharpened the pace of talks. ^[1]^[3]^[4]

Operationally, West Qurna-2 has been subject to disruption: Iraqi and industry sources reported a halt to production following a pipeline leak, while Lukoil declared force majeure after U.S. sanctions were imposed. Iraqi state marketer SOMO has taken over sale arrangements for Lukoil’s share and, officials say, was able to sell available quantities without affecting wider field output , a claim intended to reassure markets even as the transfer and repair timeline remains uncertain. ^[2]^[1]^[6]

The proposed handover carries both commercial and geopolitical weight. For Iraq, securing a U.S. operator promises technical capacity and greater Western investment as Baghdad seeks to boost production under improved contractual terms. For Washington, shifting a strategically important asset from a sanctioned Russian firm to American operators would align economic and foreign‑policy aims, while prompting scrutiny over bidder suitability and long‑term implications for Iraq’s energy partnerships. ^[1]^[3]^[4]^[5]

📌 Reference Map:

##Reference Map:

^[1] (Rigzone/Bloomberg wire) - Paragraph 1, Paragraph 3, Paragraph 4, Paragraph 5
^[6] (Iraqinews) - Paragraph 1, Paragraph 4
^[3] (Reuters, Dec 2) - Paragraph 2, Paragraph 3, Paragraph 5
^[7] (Iraqinews/Reuters summary) - Paragraph 2, Paragraph 5
^[4] (Reuters, Dec 4) - Paragraph 2, Paragraph 3, Paragraph 5
^[2] (Reuters, Dec 8) - Paragraph 4
^[5] (Reuters, Dec 5) - Paragraph 5

Source: Noah Wire Services

More on this

https://www.rigzone.com/news/wire/trump_admin_backs_potential_american_buy_of_lukoil_iraq_field-09-dec-2025-182484-article/?rss=true - Please view link - unable to able to access data
https://www.reuters.com/business/energy/iraq-shuts-down-lukoil-west-qurna-2-field-due-leak-sources-say-2025-12-08/ - Iraq has halted oil production at Lukoil's West Qurna 2 field due to a pipeline leak. The field, one of the world's largest, produces about 460,000 barrels per day, accounting for approximately 9% of Iraq's output and 0.5% of global oil supply. Lukoil holds a 75% operational stake in the field, its largest foreign asset. The closure follows Lukoil's declaration of force majeure after being sanctioned alongside Rosneft amid U.S. President Donald Trump's efforts to end the war in Ukraine. Potential bidders for Lukoil's global assets include ExxonMobil, Chevron, Carlyle, and Abu Dhabi's IHC.
https://www.reuters.com/business/energy/exxon-talks-with-iraq-about-buying-lukoil-stake-giant-west-qurna-2-oil-field-2025-12-02/ - Exxon Mobil has approached Iraq's oil ministry to express interest in acquiring Lukoil's 75% operational stake in the West Qurna 2 oilfield, one of the largest in the world, producing around 470,000 barrels per day and accounting for 9% of Iraq's total oil output. Lukoil is seeking to sell its international assets due to U.S. sanctions, and Exxon's move indicates its major return to Iraq's energy sector. The U.S. Treasury has temporarily allowed negotiations with Lukoil until December 13, contingent on deal-specific approvals. Previously, Exxon operated the neighboring West Qurna 1 field but exited last year. In October, Exxon also signed a non-binding agreement to help develop Iraq's Majnoon oilfield. Iraqi officials favour Exxon due to its expertise in operating large oilfields and have invited other U.S. firms to engage in a competitive bidding process for West Qurna 2. The initiative aligns with Iraq's efforts to boost oil and gas production by partnering with major energy companies under improved terms.
https://www.reuters.com/business/energy/hungarys-mol-interested-lukoil-assets-sources-say-2025-12-04/ - Hungarian oil and gas company MOL has expressed interest in acquiring international assets from Lukoil, Russia's largest private oil producer, which is under U.S. sanctions related to Russia's war in Ukraine. The U.S. issued these sanctions in October, prompting Lukoil to seek buyers for its foreign holdings. Lukoil has been in talks with Exxon Mobil, Chevron, and investors from the Middle East, ahead of a U.S.-set deadline of December 13. MOL aims to purchase Lukoil's European refineries and fuel stations, along with stakes in oil-producing assets in Kazakhstan and Azerbaijan. The U.S. previously rejected Gunvor, a Swiss commodity trader, as a potential buyer. Lukoil's international assets, managed from Vienna, span across Europe, Central Asia, the Middle East, and North America. Hungarian Prime Minister Viktor Orban reportedly discussed MOL's acquisition plans with former U.S. President Donald Trump during a recent meeting, which also resulted in a one-year waiver for Hungary from U.S. sanctions allowing continued use of Russian energy. MOL is also seeking to acquire Serbia's Russia-owned NIS refinery, another entity affected by sanctions. Neither the U.S. Treasury, MOL, nor the White House have commented on the matter.
https://www.reuters.com/business/energy/chevrons-gorgon-lng-project-secures-2-billion-investment-nod-2025-12-05/ - Chevron's Australian division has received approval from the Gorgon Joint Venture partners for a A$3 billion (US$1.98 billion) investment in the Gorgon Stage 3 development, situated off the northwest coast of Western Australia. This initiative will connect the offshore Geryon and Eurytion gas fields to the existing LNG infrastructure on Barrow Island. The development includes drilling six wells and planning multiple subsea tiebacks. Approved by the offshore environmental regulator in November 2025, after an August 2024 public comment period, this project enhances the long-term LNG and domestic gas supply. The Gorgon Project is operated by Chevron and jointly owned with Exxon Mobil, Shell, Osaka Gas, JERA, and MidOcean, with Chevron and its partners holding a 97.3% stake. The project supports Western Australia's domestic gas reservation policy, which mandates 15% be reserved for local use. The Gorgon facility has a maximum LNG output of 15.6 million tons annually and can supply 300 terajoules of gas daily to the local market. Chevron plans to drill up to 40 wells across seven fields, extending field life to around 2070. Similar activity is occurring in nearby Crux and southern Australia, where Shell and ConocoPhillips are also advancing gas development projects.
https://www.iraqinews.com/iraq/iraq-invites-us-firms-to-take-over-sanctioned-lukoils-west-qurna-2-oil-field/ - Iraq's oil ministry announced on Monday that it had invited US companies to bid on an oil field which had been operated by the now American-sanctioned Russian company Lukoil for years. The oil ministry said in a statement it had taken "all necessary measures to directly and exclusively invite several major American oil companies… to submit bids" to take over the management of the West Qurna 2 in southern Iraq, which is one of the world's largest oil fields according to Lukoil. An oil ministry official told AFP "the winner takes over as operator instead of Lukoil". The ministry added that "transferring management of the West Qurna 2 field to an American oil company would benefit mutual interests, strengthen global market stability, and maintain Iraq's oil production".
https://www.iraqinews.com/iraq/exxonmobil-pursues-lukoils-share-in-giant-west-qurna-2-oilfield/ - Officials in the Iraqi oil sector told Reuters on Tuesday that ExxonMobil has shown interest in purchasing Russia-based Lukoil's large stake in the massive West Qurna-2 oilfield. The Russian company aimed to sell its global assets due to sanctions imposed by the US president, which were intended to pressure Russia into agreeing to a cease-fire in its ongoing war with Ukraine. ExxonMobil's action would be a significant extension of the US oil giant's return to Iraq. The giant oilfield produces around 480,000 barrels per day, or about 10 percent of Iraq's total crude oil output, and has over 13 billion barrels of recoverable reserves. The development follows the Iraqi government's intervention to pay the salaries of employees in the West Qurna-2 oilfield, which is operated by the Russian firm.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 8

Notes: The narrative is current, with the earliest known publication date of similar content being December 1, 2025. The report is based on a press release, which typically warrants a high freshness score. No discrepancies in figures, dates, or quotes were found. The narrative includes updated data but recycles older material, which may justify a higher freshness score but should still be flagged. ([thenationalnews.com](https://www.thenationalnews.com/business/energy/2025/12/01/iraq-invites-us-companies-to-bid-on-west-qurna-2-oilfield//?utm_source=openai))

Quotes check

Score: 9

Notes: The direct quote from a State Department spokesperson matches the wording found in earlier material, indicating potential reuse. No variations in wording were noted. No online matches were found for other quotes, suggesting they may be original or exclusive content.

Source reliability

Score: 7

Notes: The narrative originates from Rigzone, a reputable organisation in the energy sector. However, the reliance on a press release and the absence of direct attribution to primary sources may reduce the overall reliability.

Plausibility check

Score: 8

Notes: The claims about Iraq's invitation to U.S. companies to bid on Lukoil's West Qurna-2 oilfield are plausible and align with recent developments. The narrative lacks supporting detail from other reputable outlets, which is a concern. The language and tone are consistent with the region and topic. No excessive or off-topic detail unrelated to the claim was noted. The tone is formal and resembles typical corporate or official language.

Overall assessment

Verdict (FAIL, OPEN, PASS): OPEN

Confidence (LOW, MEDIUM, HIGH): MEDIUM

Summary: The narrative presents current information about Iraq's invitation to U.S. companies to bid on Lukoil's West Qurna-2 oilfield. While the content is timely and plausible, the reliance on a press release and the lack of direct attribution to primary sources raise concerns about the freshness and reliability of the information. The absence of supporting details from other reputable outlets further diminishes confidence in the narrative's accuracy.

Iraq
Lukoil
Energy geopolitics