Sanctions Sank Lukoil-Linked Grain Trader Before It Got Started
(Bloomberg) -- Lukoil PJSC attempted a surprise push into grains trading from Dubai last year, before the plan was quickly scuppered by US sanctions on the Russian oil giant, according to people familiar with the matter.
The effort involved the creation of a company called Teruva FZCO and hiring a couple of senior traders last summer for grains, said the people, who asked not to be identified because the information is private.
But the plan ran into difficulties after the US announced sanctions on Lukoil in October as part of a fresh bid to end Moscow’s war with Ukraine. That made the business unviable because it hindered banking channels and made it harder to deal with counterparties, prompting Teruva to be wound down late last year before it started trading, the people said.
The sanctions on Lukoil stressed the company globally. It has agreed to sell most of its international assets, while its Litasco trading arm has shed staff, and some operations have wound up, including in the Middle East. Lukoil and its subsidiaries mainly focus on oil, gas and petroleum products, so entering agriculture trading would have been an unusual move for the company.
Lukoil didn’t respond to a request for comment.
Teruva’s establishment in Dubai was overseen by Chingiz Aliyev, and Omar Dbab was picked to lead trading, the people said. Dbab was listed as a participant representing Teruva at a commodities conference in Berlin in October. Prior to joining in June, he was a senior trader for Louis Dreyfus Co. in Geneva, his LinkedIn profile shows.
Leandro Racedo was also hired, the people said. He previously traded at Al Ghurair Investment LLC, Hartree Partners LP and Bunge Global SA, according to his LinkedIn profile, which listed him as a senior agriculture trader for Lukoil in Dubai.
Aliyev in December was sanctioned by the UK, which noted him working as a director or equivalent of a business of strategic significance for Russia, namely Litasco Middle East DMCC and Litasco SA. Aliyev, Dbab and Racedo either declined to comment or couldn’t be reached for comment. Litasco SA referred comment to Lukoil.
©2026 Bloomberg L.P.
