In its statement of reasons for sanctioning him, the British government said: “Through his directorship of Lukoil, Alekperov continues to obtain a benefit from and/or continues to support the government of Russia by working as a director of entities carrying on business in sectors of strategic significance to the government of Russia, namely the Russian energy sector.”

Litasco is wholly owned by Lukoil, whose founder and 8.5% shareholder was placed under sanctions by the UK in April 2022. Repayment will be funded by a combination of profits and new loans. The two-year deal came to an end in May 2023 but has been extended until June 2024, before the money is paid back under an “unwind and settlement” agreement.Īccording to the accounts, $320m of a total $500m was due for repayment within 12 months as of the end of March 2023. The agreement is effectively a credit line allowing Essar to buy fuel and pay later. Litasco itself is not subject to sanctions.Įssar Oil (UK) – part of the Essar Group owned by the Indian billionaire Ruia brothers – has a $500m (£393m) “extended payment facility” on crude oil with Litasco, the accounts show. Recently filed accounts reveal that the company has extended a credit facility with Litasco, the oil trading division of Moscow-based Lukoil, Russia’s second-largest oil company. The decision came after unionised dockworkers refused to unload Russian cargoes at Stanlow, which supplies 16% of UK road fuel, while the government later imposed a ban on imports that might benefit the Kremlin.

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