Washington: The US Treasury Department has extended the deadline for Russian energy company Lukoil to divest its foreign assets by an additional 45 days. This move aims to further limit Moscow's revenue streams.

According to Anadolu Agency, the Treasury's Office of Foreign Assets Control issued General License 131B to facilitate these divestments. The purpose is to cut off funding to Russia, with the agency overseeing the process to ensure that Lukoil negotiates in "good faith."

The US government has acknowledged that Lukoil is actively seeking to sell its assets outside Russia to entities that are not under sanctions. The Treasury Department will review any proposed sale to ensure it aligns with US national security and foreign policy goals.

Lukoil, Russia's second-largest oil producer, was sanctioned on October 22 under the directive of US President Donald Trump. This sanction is part of broader efforts to exert pressure on Russia's energy sector, thereby reducing the financial resources available for Moscow's military activities. The US continues to update its sanctions licenses to balance the global economic impact while maintaining pressure on the Kremlin.