Conoco To Partially Divest Its Stake In Lukoil (COP)

ConocoPhillips (NYSE: COP) is looking to sell half of its stake in Lukoil. The company is also planning to divest some of its assets and to reduce its exposure to the refining market. The Houston based company is likely to sell $10 billion worth of assets. According to Conoco’s (COP) Chief Executive Officer Jim Mulva, the company will use the Lukoil proceeds to execute share buybacks. The company refused to give any specific reason for partial divestment of its Lukoil stake.

Lukoil Vice President Leonid Fedun said that his company might contemplate buying Conoco’s share. However, he expects the Kremlin to not to welcome the move. Conoco is also considering selling its stake in the Syncrude oil sands project.