US-Russia Ukraine Peace Talks Expand to Include Major Lukoil Oil Deal

US-Russia negotiations aimed at ending the war in Ukraine have expanded beyond diplomacy to include discussions over a potential multibillion-dollar oil deal involving Russian energy giant Lukoil, according to a report by The New York Times.

The proposed transaction would involve Lukoil's oil fields, refineries and fuel stations across several countries. The agreement would require approval from both the US government and the Kremlin before it could proceed.

Putin Raised Oil Deal With US Negotiators

Russian President Vladimir Putin reportedly brought up the proposed transaction during a September 5 meeting at the Kremlin with US special envoy Steve Witkoff and Jared Kushner, President Donald Trump's son-in-law and a participant in the Ukraine negotiations.

According to people familiar with the meeting cited by The New York Times, Putin presented the transaction as a potential demonstration that Russian and American businesses could resume commercial ties.

US And Middle Eastern Investors Involved

The group pursuing the transaction reportedly includes American billionaire and investor Todd Boehly, two Middle Eastern business groups that have previously conducted business with companies or family interests linked to Kushner and Witkoff, as well as an arm of the US government.

The reported involvement of individuals with connections to US negotiators has raised questions about possible conflicts of interest surrounding the negotiations. It remains unclear whether Witkoff or Kushner would personally benefit from the proposed transaction.

Deal Could Link Peace Talks And Economic Ties

The oil proposal reflects the Trump administration's broader interest in restoring commercial relations with Russia if progress is made toward ending the Ukraine conflict.

A US administration official cited in the reporting said Kushner and Witkoff were helping negotiate the financial terms, with the aim of securing an upfront payment and profits for the United States. The reported deal also includes fuel stations in New Jersey.

However, the transaction remains only a proposal. The White House, US Treasury Department and Lukoil had not responded to requests for comment at the time of the reports.

Ukraine War Still Blocks Wider Normalisation

The reported oil negotiations come as diplomatic efforts to end the war remain difficult. Russia continues to demand territorial concessions from Ukraine, while Ukrainian forces have continued strikes against Russian military and energy infrastructure.

The proposed Lukoil transaction therefore represents a potentially significant economic component of the US-Russia discussions, but its future will depend on both political negotiations over Ukraine and approval from Washington and Moscow.