Lukoil -

LUKOIL
www.lukoil.com

Contact Information
11, Sretensky Blvd.
Moscow, Russia 101000
T: +7 (495) 627-44-44, +7 (495) 628-98-41
F: +7 (495) 625-70-16

History in Turkmenistan
In 2005, Lukoil’s CEO Vagit Alekperov met with Niyazov to discuss prospects for future collaboration, however the government of Turkmenistan did not agree to Lukoil’s proposal to collaborate with Dragon Oil.[i]

As noted in the profile on ConocoPhillips, it was widely reported in the media that in June 2007 Berdymukhamedov and Lukoil’s Alekperov had reached an agreement under which Lukoil would have the rights to operate three offshore fields.[ii] According to September 2007 reports, Lukoil and ConocoPhillips were negotiating for 50% stake of blocks 19, 20, and 21, and Lukoil’s Alekperov was quoted, “We hope that the contract will be signed by the end of the year.” [iii]

However, Lukoil released a press service statement in December 2007 stating, “information released by some mass media with reference to a Company representative alleging that LUKOIL signed a provisional agreement with the Republic of Turkmenistan on development of three offshore blocks in the Caspian is not true. In the meantime, LUKOIL with its partner ConocoPhillips are involved in negotiations with the government of Turkmenistan on joining several oil and gas projects in the Republic.”[iv]

In April 2009, Lukoil reported that Turkmenistan had suspended negotiation for Blocks 19 and 21.[v]

Turkmenistan’s August 2010 announcement of the companies shortlisted to submit proposals to develop Blocks 9 and 20 notably did not include Lukoil, which had been negotiating for these blocks for a number of years.[vi]

Current Scope of Operations
In 2009, Lukoil began lubricant sales in Turkmenistan.[vii]

In 2016, Lukoil hosted a joint emergency response exercise to a theoretical spil/oil fire among Russia, Azerbaijan, Kazakhstan, Iran, and Turkmenistan. The online publication by the company states that employees from all five Caspian states participated, along with emergency response units from the respective governments.[viii]

In 2020, Lukoil’s President, Vagit Alekperov, met with President Berdymukhamedov in Ashgabat to exchange views on the development of the country’s oil and gas sector. During this meeting, Alekperov noted that the company had strategic interests in the country.[ix]

In November 2021, Alekperov seemed to confirm that Lukoil is still active in Turkmenistan[x], though to what extent was not disclosed, and despite failed promises on the part of the Turkmen Presidency.

In 2021, three meetings between the company’s head and the Turkmen President took place in February, October, and November. During their first meeting, the two reached an agreement on Lukoil’s participation in the development of the Dostluq field, formerly the disputed Serdar field.[xi] The following two meetings highlighted the company’s continued interest in Turkmenistan, particularly in the development of offshore assets in the Caspian Sea.[xii]

In November 2021, Lukoil appointed the General Director of Lukoil Uzbekistan Operating Company, Stepan Gurzhiy, the President’s envoy to Azerbaijan, Kazakhstan, Uzbekistan, and Turkmenistan. In this position he will be responsible for developing cooperation between Lukoil organizations and subsidiaries among the different countries. Lukoil is likely preparing its assets, particularly those within Azerbaijan and Turkmenistan, for the development of the Dostluq field.[xiii]

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[i] Lukoil, “Press Release: Vagit Alekperov Visits Turkmenistan,” June 8, 2005, http://www.lukoil.com/press.asp?div_id=1&id=2352. Original weblink no longer active.

[ii] Associated Press, “Lukoil Gains Rights to Caspian Sea Energy Fields: Reports,” June 13, 2007, https://www.cnbc.com/id/19202161/. Accessed February 18, 2022.

[iii] New Europe, September 22, 2007.

[iv] Lukoil, “Press-Release,” December 13, 2007, http://www.lukoil.com/press.asp?div_id=1&id=2798. Original weblink no longer active.

[v] International oil letter, “Lukoil has Block Negotiations Suspended – Turkmenistan,” IHS. Vol. 25: 16, April 20, 2009, http://energy.ihs.com/News/oil-gas-exploration/2009/Lukoil-Turkmenistan-042409.htm. Original weblink no longer active.

[vi] Fitzpatrick, Catherine. “Lukoil Left out in Turkmenistan,” Eurasianet.org, August 24, 2010, https://eurasianet.org/lukoil-left-out-in-turkmenistan. Accessed February 18, 2022.

[vii] Lukoil, Oils and Lubricants, http://www.lukoil.com/static.asp?id=58. Original weblink no longer active.

[viii] Lukoil, “CASPIAN SEA HOSTS INTERNATIONAL EMERGENCY RESPONSE EXERCISES INVOLVING FIVE COUNTRIES,” September 23, 2016, https://www.lukoil.com/PressCenter/Pressreleases/Pressrelease?rid=85954. Accessed December 16, 2021.

[ix] Lukoil, “LUKOIL’S PRESIDENT VAGIT ALEKPEROV VISITED TURKMENISTAN WITH WORKING VISIT,” February 5, 2020, https://www.lukoil.com/PressCenter/Pressreleases/Pressrelease?rid=450856. Accessed December 16, 2021.

[x] Turkmenistan.gov, “President of Turkmenistan receives PJSC Lukoil President and CEO,” November 29, 2021, https://turkmenistan.gov.tm/en/post/59089/president-turkmenistan-receives-pjsc-lukoil-president-and-ceo. Accessed December 16, 2021.

[xi] Nebit-Gaz, “Oil company “LUKOIL” has appointed its representative in Turkmenistan,” April 2, 2021, https://www.oilgas.gov.tm/en/posts/news/1946/oil-company-lukoil-has-appointed-its-representative-in-turkmenistan. Accessed December 16, 2021.