96% accurate footprint tracker for tiny mammals could help reveal ecosystem health

New footprint identification technology can identify ecosystem-critical species which were once only distinguishable by DNA

Frontiers

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A Bushveld sengi (Elephantulus intufi), photographed by Dr Maria Oosthuizen.

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Credit: Dr Maria Oosthuizen

It might be less visible than dwindling lion populations or vanishing pandas, but the quiet crisis of small mammal extinction is arguably worse for biodiversity. These species are crucial indicators of environmental health, but they can be very hard to monitor, and many species with very different ecological niches look almost identical. But now scientists have developed a new way of identifying and monitoring these tiny mammals using their footprints, tested on two near-identical species of sengi and found to be up to 96% accurate. 

“We had two key motivations for undertaking this study,” said Dr Zoë Jewell of Duke University Nicholas School of the Environment, co-author of the article in Frontiers in Ecology and Evolution. “Firstly, to find a better, more ethical, and more scientifically robust way to monitor even the tiniest species, and secondly, to provide a reliable and broad metric for ecosystem integrity that can be applied routinely and regularly — a new pulse on the planet.” 

Small mammals, large impact 

Small mammals play such a critical role in ecosystems and are very sensitive to any environmental changes, which means that changes in their populations can be important early warnings of ecological disturbances. But many species are near-identical ‘cryptic’ species, which makes it difficult to monitor them accurately. This is the case for the species the team used to test their footprint identification technology, Eastern Rock sengis and Bushveld sengis.  

“It's often only possible to distinguish between cryptic species using DNA, which can be slow, invasive, and costly,” explained Jewell. “It's really important to know which is which, because although these species might look the same, they face different environmental threats and play different roles in the environment. For example, in our study, one of the sengis lives exclusively in rocky habitats and the other on sand, and each can act independently as an indicator in those environments.” 

However, there is one important distinction between the sengis: their feet are slightly different, leaving crucial differences in their tracks. So the scientists set out to capture these differences and train a model that could distinguish between Bushveld sengis and Eastern Rock sengis’ footprints, like tracking animals with a computer.  

Searching for sengis 

The scientists collected sengis from two South African sites, Telperion Nature Reserve and Tswalu Kalahari Reserve. The 18 Bushveld sengis sampled were found only in Tswalu Kalahari Reserve, but a total of 19 Eastern Rock sengis were found at both sites, some occupying habitats very close to Bushveld sengis. This was an unexpected finding, because Tswalu Kalahari Reserve is outside the expected range of Eastern Rock sengis, and highlights just how important it is to improve monitoring of these species.  

The sengis were captured using specially-designed traps loaded with comfortable bedding and a meal of oats, peanut butter, and Marmite — which they find particularly delicious — and then released into a box for collecting footprints. This contained special paper with charcoal dust placed at each end, so that the sengis would walk through the dust and leave behind footprints. After this, they were released unharmed where they had been found.  

Digital images of the footprints were then processed using a morphometry program, to identify shape and size features which could distinguish between the two species of sengi. The scientists used front footprints, which were reliably the clearest and the most distinctive, and detected more than 100 possible features. They then ran a statistical analysis to show which combination of these could identify sengis most accurately.  

Footprints don’t lie 

The nine diagnostic features selected were then challenged with single images and sets of sengi tracks reserved for testing, to see how well the footprint identification technology would perform. It identified the species with 94%-96% accuracy across all the tests.  

This footprint identification technology can now be used on pictures of sengi tracks, as a non-invasive, cheap, and simple way to help detect the different species’ presence and monitor changes in their populations and ranges. The scientists also plan to expand this to other species, using new datasets to train similar models. In the future they would like to compare the technology to other non-invasive methods of monitoring species, to see how they can complement each other. 

“Small mammals exist in almost every ecosystem on the planet, and our tech is flexible enough to adapt to every one,” said Jewell. 

An Eastern Rock sengi (Elephantulus myurus) photographed by Dr Maria Oosthuizen.

Credit

Dr Maria Oosthuizen

Journal

Frontiers in Ecology and Evolution

DOI

10.3389/fevo.2025.1719684 

Method of Research

Experimental study

Subject of Research

Animals

Article Title

A Non-Invasive Footprint Technique for Accurate Identification of Cryptic Small Mammal Species: A Sengi Case Study

Article Publication Date

27-Jan-2026

 

Indian government releases draft energy policy

Tuesday, 27 January 2026

India's Ministry of Power has released a draft energy strategy which aims to transform the country's power sector to meet the goals of the Viksit Bharat development strategy - and aligns with nuclear energy goals set out in the 2025-26 Budget and the recently enacted SHANTI bill.
 

Prime Minister Modi addresses India Energy Week 2026 by videolink (Image: Prime Minister of India)

The Draft National Electricity Policy 2026, once finalised, will replace India's first National Electricity Policy (NEP) which dates back to 2005. That policy addressed fundamental challenges for the power sector, including demand-supply deficits, limited access to electricity, and inadequate infrastructure.

Since then, India's power sector has witnessed transformational progress, the ministry said, with a fourfold increase in generation capacity, with significant private sector participation; universal electrification, achieved by March 2021; a unified national grid, which became operational in December 2013; and improved flexibility and efficiency in power procurement countrywide.

The Draft NEP 2026 sets "ambitious yet necessary goals", the ministry said, targeting an increase in per capita electricity consumption from 1,460 kWh in 2024-25 to 2,000 kWh by 2030 and more than 4,000 kWh by 2047. It also aligns with India's climate commitments, including reduction of emissions intensity by 45 percent below 2005 levels by 2030 and the achievement of net-zero emissions by 2070, necessitating a decisive shift towards low-carbon energy pathways.

The new policy recognises nuclear as a "clean, reliable, and sustainable energy source with significant potential for India's long-term energy security", and, in order to expand nuclear capacity to 100 GW by 2047 - as set out in the Viksit Bharat strategy - "the Central Government will collaborate with the private sector for setting up Modular Reactors and developing Bharat Small Reactors, and advanced nuclear technologies."

Nuclear projects should be eligible for Green Bond funding, and measures such as brownfield expansion, replacing coal-based captive plants with nuclear, where feasible, and fleet-mode implementation establishing local supply chains for cost optimisation with standardising reactor sizes will be considered, the policy notes. Retired thermal plant sites may also be repurposed for nuclear power "wherever feasible" and large commercial and industrial users "should be encouraged to use nuclear-sourced power". Future plants, designed for flexible operation, may also be integrated with variable renewable energy.

Financing expansion

The draft policy notes that India's power sector will need INR50 lakh crore by 2032 and INR200 lakh crore (INR50-200 trillion; USD546 billion-2.2 trillion) by 2047 for generation capacity expansion, transmission, and distribution. "Energy security and transition hinges on access to affordable capital and blended financing, as renewable and nuclear projects involve high upfront investments but low operational costs," it notes.

The policy proposes the establishment of sector-specific funds and development of a Climate Finance Taxonomy to attract concessional and green financing to mobilise capital efficiently.

The draft policy was released ahead of India Energy Week, an international conference and exhibition which takes place in Goa from 27 to 31 January. Addressing the opening session of the conference - which, for the first time, includes a Nuclear Zone showcasing the nuclear industry - Prime Minister Narendra Modi said India was a land of "great opportunities for the energy sector" with "many possibilities of investment" in different areas of the energy value chain.

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Act 2025 completed the legislative process on 20 December. Among other things, it opens up India's nuclear sector to participation from private companies, including in plant operations, power generation, equipment manufacturing, and selected activities such as nuclear fuel fabrication.

At the start of India Energy Week it was announced that NTPC, India’s largest integrated power company, had joined World Nuclear Association, with Arnada Prasad Samal, Chief General Manager NTPC & CEO of its nuclear-focused wholly owned subsidiary NPUNL, saying: "Nuclear energy will be central to India’s clean energy transition, and through this partnership, we aim to collaborate globally to accelerate innovation, investment, and deployment."

 Serbia Says Russia Ready To Sell Stake In NIS

By Charles Kennedy - Jan 28, 2026

Serbia’s president has confirmed that Russia is prepared to sell its controlling stake in the country’s only oil refinery and that Hungary’s MOL has been discussed as a potential buyer, as sanctions pressure continues to squeeze Russian-owned downstream assets in Europe.

President Aleksandar Vucic said talks are underway over the future ownership of Naftna Industrija Srbije (NIS), which operates the Pancevo refinery, according to remarks reported by Hungary Today. Vucic said Moscow now sees a sale of its stake as beneficial under current sanctions conditions and acknowledged that MOL has featured in those discussions.

NIS is majority owned by Gazprom Neft, which holds just over 56% of the company, while the Serbian government owns around 30%. The ownership structure has become increasingly problematic as sanctions complicate access to financing, insurance, and international banking services for Russian-controlled energy assets operating inside Europe.

Russian officials and industry figures view a divestment of the Gazprom Neft stake as a way to preserve refinery operations and asset value by shifting control to a non-sanctioned regional operator. Unlike upstream assets, refineries such as Pancevo face immediate exposure to sanctions-related constraints on crude procurement, product exports, and working capital, making continued Russian ownership increasingly difficult.

The Pancevo refinery has a processing capacity of roughly 4.8 million tonnes per year and supplies most of Serbia’s domestic fuel demand, with additional flows into neighboring Balkan markets. Serbian officials have repeatedly stressed that uninterrupted operation of the facility is a national priority, elevating ownership decisions to the state level.

Vucic said the issue is politically sensitive and tied to Serbia’s broader effort to balance long-standing energy ties with Russia against the practical realities of operating critical infrastructure within a sanctions-constrained European market. Hungary, which has maintained energy cooperation with Moscow while navigating EU sanctions, is viewed in Belgrade as a possible counterparty capable of keeping the refinery commercially viable.

Pressure on Russian downstream assets has already intensified elsewhere in Europe. Lukoil has seen parts of its refining and retail networks placed under special administration or government oversight in several countries, reinforcing the risks facing similar Russian-controlled assets in the region.

No agreement, valuation, or timeline has been disclosed. Vucic said discussions remain ongoing and that any decision on NIS will be guided by fuel supply security and operational continuity rather than political symbolism.

By Charles Kennedy for Oilprice.com

Afreximbank Unveils $17.5B Lifeline for Angola’s Sonangol

By Charles Kennedy - Jan 28, 2026

Africa’s trade finance lender has unveiled a major new funding line for Angola’s national oil company, as the country seeks to stabilize crude trading and maintain output in a basin facing structural decline and renewed scrutiny from international producers.

The African Export-Import Bank has announced a $17.5 billion financing facility for Sonangol, according to a statement cited by Reuters on Wednesday. Afreximbank said the facility is designed to support Sonangol’s oil trading operations and general corporate funding needs, providing liquidity for crude exports.

Afreximbank said the package will be delivered through structured trade finance instruments, though no details were provided on maturities, drawdowns, or cargo-linked arrangements. The bank did not disclose whether the facility is tied to specific buyers or export routes.

The financing comes as Angola faces mounting challenges in sustaining oil output following years of underinvestment and natural decline across its offshore fields. Angola exited OPEC at the end of 2023, arguing that production quotas no longer reflected its capacity as output slipped below 1.2 million barrels per day. Since then, the government has sought to reposition the sector to attract fresh capital and stabilize revenues.

International oil majors have shown renewed interest in Angola despite the basin’s decline. Shell recently returned to Angola’s upstream sector, joining other producers reassessing opportunities in mature deepwater assets amid tighter global supply. However, reversing Angola’s long-term production slide remains a significant challenge.

Afreximbank said the $17.5 billion facility will support Sonangol’s crude trading and general funding needs, but gave no details on pricing, maturity, or how the financing will be drawn. The bank did not say whether the facility will be tied to specific export cargoes or buyers, or how much of the funding will be available upfront versus released in stages. Sonangol has not said how the new facility will fit alongside its existing bank lines or trading arrangements.

By Charles Kennedy for Oilprice.com

India Is Still Waiting for Cheaper LNG

By Tsvetana Paraskova - Jan 28, 2026

India needs liquefied natural gas prices in Asia to nearly halve in order to significantly raise LNG imports and consumption, the top executive of the biggest Indian LNG importer said on Wednesday.

Asia’s spot LNG price is about $11 per million British thermal units (MMBtu) at present, while a major demand boost in India would come at prices between $6 and $7 per MMBtu, Akshay Kumar Singh, chief executive at Petronet Ltd, said at the India Energy Week conference, as carried by Bloomberg.

India is expected to import about 29 million tons of LNG this year, while its goal to almost double the share of gas in the energy mix to 15% will need import capacity of around 100 million tons, according to the executive.

India is in no hurry to sign long-term LNG delivery deals as the country’s price-sensitive buyers stall talks and wait for the coming supply glut to pressure sellers into agreeing to lower prices.

Some LNG buyers in India, which is much more price-sensitive than China, have been stalling negotiations for over a year, sources with knowledge of the matter tell Bloomberg.

But later this year, the LNG market is expected to tilt into oversupply and in a buyer’s market, in which India - and other price-sensitive buyers in Asia – could have the upper hand in negotiations with long-term LNG sellers.

The supply growth, mostly from the top two exporters, the United States and Qatar, is set to depress Asian spot LNG prices and Europe’s benchmark gas prices at the Dutch Title Transfer Facility (TTF).

This could start to happen only after this winter ends, because the European and Asian benchmark gas prices have jumped in recent days as the big freeze in the United States limited feedgas to LNG export plants.

Even in the summer, the price-sensitive buyers may not see much relief as Europe will have to fill storage capacity which is currently draining at the fastest pace in five years.   

By Tsvetana Paraskova for Oilprice.com

 

Kuwait Lines Up $7B Pipeline Deal as Gulf Turns to Foreign Capital

By Charles Kennedy - Jan 28, 2026

• Kuwait is opening a $7 billion pipeline project to foreign investors, marking a shift away from fully state-funded oil infrastructure to ease pressure on public finances.
• 
  
• The expansion is central to boosting capacity toward 4 million bpd, supporting higher production, new discoveries, and improved recovery while avoiding transport bottlenecks.
• 
  
• The move reflects a wider Gulf trend of tapping external capital to fund long-term oil growth.

Kuwait is preparing to move forward with a major midstream expansion as it opens a $7-billion pipeline project to foreign capital, part of a broader push to fund critical oil infrastructure outside the state budget.

State-owned Kuwait Oil Company is readying a pipeline deal valued at roughly $7 billion that would involve international partners, according to Reuters. The project is part of a broader effort by Kuwait to upgrade transport capacity linking upstream production to export and processing hubs, while easing the financial burden on the state.

The move marks a notable change for Kuwait, which has traditionally relied on public funding for oil infrastructure. Reuters reported that the pipeline project is expected to be structured in a way that allows foreign investors to participate, as Kuwait looks to accelerate energy investment without sharply increasing state spending.

The pipeline plan fits into Kuwait’s wider upstream strategy. Kuwait intends to invest around $4 billion in oil exploration by 2030, targeting new reserves and improved recovery rates as it seeks to lift sustainable capacity. The country is aiming to raise crude production capacity toward 4 million barrels per day later this decade, even as regional peers compete for capital and market share.

Kuwait is also positioning itself to benefit from the Middle East’s next wave of large oil discoveries. Much of the region’s remaining low-cost resource potential lies in conventional onshore and shallow offshore fields, including areas where Kuwait already has established infrastructure. Expanding pipeline capacity is seen as essential to monetizing those resources and avoiding bottlenecks as production rises.

According to Reuters, details on ownership structure, returns, and timing have not yet been disclosed, and no final investment decision has been announced. Kuwaiti officials have indicated, however, that attracting foreign capital is becoming increasingly important as national oil companies balance ambitious expansion plans with budget constraints.

The pipeline project would be one of Kuwait’s largest energy infrastructure initiatives in recent years and reflects a broader Gulf trend toward tapping external financing to sustain long-term oil output growth.

By Charles Kennedy for Oilprice.com

Horowitz: Iran’s Defenses Are Broken, Its Retaliatory Power Isn’t

By RFE/RL staff - Jan 28, 2026

• The U.S. is signaling possible military action against Iran, deploying major assets to the Middle East, while Tehran is vulnerable to airstrikes but retains strong retaliatory capabilities.
• 
  
• Iran can still strike back asymmetrically, using thousands of short- and medium-range missiles, drones, and cruise missiles to target U.S. bases, ships, and regional allies despite weakened air defenses.
• 
  
• Any U.S. strike risks wider regional escalation.

Iran is bracing for a potential attack as the United States deploys key military assets, including an air carrier and additional bombers, to the Middle East.

US President Donald Trump has threatened to strike the Islamic Republic over its bloody crackdown on anti-government protesters. If Trump authorizes military action, Tehran would be virtually powerless to stop an aerial attack, experts say.

But that does not mean Iran cannot retaliate against US military and commercial assets in the region, experts say, citing Tehran's formidable arsenal of advanced ballistic and low-flying cruise missiles as well as combat and suicide drones.

During the 12-day war last June, Israel hit Iran's military infrastructure, including missile-production centers. Israel's attack also weakened the ability of Iran, which has an aging air force, to fend off aerial assaults by targeting its radars and Russian-made S-300 air-defense systems.

Even then, Tehran was still able to fire hundreds of ballistic missiles at Israel. Dozens of missiles, aimed mostly at military sites, penetrated Israel's formidable air defenses.

"In terms of purely defensive capabilities, Iran is practically naked," said Michael Horowitz, an independent defense expert based in Israel.

But Iran "still has a large arsenal of short and medium range missiles that can easily hit US bases in the Middle East, as well as cruise missiles and drones that it would likely use to try and target US ships," added Horowitz.

Potent Ballistic Missiles

In June, Israel struck sites around Tehran, including the Parchin military complex, the Khojir military base, the Shahrud missile site, and a factory in the Shamsabad Industrial Zone.

The strikes were aimed at hindering Iran's production of medium-range ballistic missiles that threaten Israel and are "fairly potent," said Sascha Bruchmann, a military and security affairs analyst at the London-based International Institute for Strategic Studies.

Many of the medium-range ballistic missiles are "liquid-fueled and rely on infrastructure to be loaded, fueled, and launched," said Bruchmann. "The Israelis used this fact to find them and destroy many launchers during the war."

The number of Iranian launchers still operational is unclear.

Iran also possesses short-range ballistic missiles that are "often solid-fueled, much more flexible, and thus more difficult to detect before launch," added Bruchmann, estimating that Tehran has several thousand of the missiles.

He said the short-range missiles "constitute a real threat, especially for the smaller Gulf countries" like Qatar and Bahrain that house US bases and forces.

Beyond its weapons, one of Iran's most potent tools is its ability to disrupt oil traffic in the Persian Gulf, a region that produces around 40 percent of the world's oil, experts say.

About one-fifth of the world's oil supply flows through the Strait of Hormuz, a narrow waterway connecting the Persian Gulf to the open ocean. Iran has previously considered closing the route, a move that would disrupt global oil flows.

"The Islamic republic has long prepared a set of military assets meant to shut down this key maritime route. This would create an economic shock that Iran could exploit," said Horowitz.

U.S. Weighs Military Options

Trump threatened military strikes against Iran as the authorities killed thousands of people in a crackdown on mass protests that erupted in late December. Trump recently backed away, although he has not ruled out an attack.

Trump is weighing up a range of military options, according to US media reports. They include strikes on largely symbolic targets, decapitation strikes targeting Supreme Leader Ayatollah Ali Khamenei and other leaders, or a sustained bombing campaign.

Any US military action against Iran is fraught with risks, experts say, and even a limited strike could provoke retaliation by Tehran and trigger a full-blown conflict that could drag in the entire region.

It is unclear if the end goal of possible US military action in Iran is regime change, to encourage defections in the armed forces and political elite, to impede the ability of the security forces to suppress street protests, or bring a weakened Tehran to the negotiating table.

A US aerial campaign alone, without a ground incursion, would not lead to regime change, experts say. A ground invasion of Iran, the largest and most populous country in the Middle East, is considered a nonstarter by many defense experts.

A protracted US air campaign is considered unlikely, experts say, citing Trump's reported desire for a limited and decisive attack. But even a month-long offensive would not guarantee the fall of the regime.

"A sustained US air campaign could severely degrade Iran's conventional military by ripping up command-and-control, and fixed infrastructure, but it is unlikely by itself to produce the collapse of Iran's security forces, which can disperse, hide, and shift to low-signature internal repression," said Horowitz.

"Airpower can punish and paralyze, but it would need a simultaneous political fracture on the ground, both a resumption in protests and divisions within the Iranian leadership, to really deliver a full collapse of Iran's security forces or regime," he added.

By Frud Bezhan via RF/ERL

Pressure Mounts on Iran as U.S. Warships Enter Region

By RFE/RL staff - Jan 28, 2026

• Iranian security forces have killed thousands during a violent suppression of protests sparked by inflation and economic collapse.
• 
  
• The U.S. has deployed a carrier strike group to the region while keeping military options against Iran on the table.
• 
  
• Iran’s currency has hit a record low amid sanctions, internet blackouts, and mounting international scrutiny.
• 
  

A US aircraft carrier group arrived in the Middle East on January 27 as tensions mount over a possible strike against Iran after a brutal crackdown on protests that rights groups say killed thousands of people.

Amid the turmoil, the Iranian currency, the rial, fell to a record low against the dollar, trading at 1.5 million on January 27.

US President Donald Trump has said he "hopes" military action against Tehran won't be needed, but he has also sent an "armada" to the region while refusing to take the option of air strikes off of the table in response to the crackdown on mainly peaceful protesters who took to the streets in recent weeks to demand action to stop spiraling inflation and a sagging currency.

The US-based rights organization HRANA, whose figures RFE/RL has been regularly citing since the violent crackdown began in Iran earlier this month, says its confirmed death toll, including security forces, is now 6,126, while the number of fatalities still under investigation is 17,091.

Some estimates by officials quoted off the record by various media outlets run several times higher.

US President Trump told Axios in an interview on January 26 that the situation with Iran is "in flux" because he sent a "big armada" to the region, with a strike group led by the USS Abraham Lincoln now in Middle Eastern waters, according to US Central Command.

But, Trump added, he thinks Tehran genuinely wants to cut a deal.

"They want to make a deal. I know so. They called on numerous occasions. They want to talk," he was quoted as saying.

The protests began on December 28 in markets in the capital, Tehran, among shopkeepers angry over dismal economic conditions. The unrest quickly spread across the country and turned into demonstrations against authorities for deteriorating living standards and the suppression of freedoms.

The rial's drop against the dollar comes with the annual inflation rate at 44.6 percent, including an almost 90 percent year-on-year rise in food prices. Iran's economy has struggled for years under the pressure of international sanctions and the effects of the 12-day war with Israel last June.

Eyewitness accounts and verified reports from rights groups appear to show the violent crackdown peaked on January 8 and January 9, when security forces opened fire with live ammunition on demonstrators.

Amid a weeks-long Internet blackout, information about the extent of the violent suppression of the protests continues to trickle out.

Watchdog NetBlocks said in a daily report on January 26 that the blackout continues, though there were reports of some limited access to the Internet.

NetBlocks said that such gaps "are being tightened to limit circumvention while whitelisted regime accounts promote the Islamic Republic's narrative."

A spokesman for the Iranian government said on January 27 that the Internet was cut off "to preserve human lives," though they didn't explain what they meant by the comments.

Nonetheless, new images of the suppression continue to pop up online as Iranians try to show how vicious the crackdown was.

The Vahid Online channel published new images showing government forces directly firing at protesters in the city of Amol on the evening of January 9, contradicting claims by authorities that killings were carried out by "terrorists" and not state security agents.

In the images, officers in uniform armed with Kalashnikov rifles are seen aiming into the streets and firing.

By RFE/RL

Chevron Eyes Lukoil’s Iraqi Oilfield—but Only on Better Terms

By Tsvetana Paraskova - Jan 28, 2026

• Iraq took control of the giant West Qurna 2 oilfield after U.S. sanctions forced Lukoil to exit.
• 
  
• Baghdad is in talks with Chevron to take over operatorship, but negotiations are stalled as the U.S. major seeks higher returns than those offered under the field’s existing technical service contract.
• 
  
• Iraq’s recent shift toward profit-sharing contracts signals improved terms, yet legacy fields like West Qurna 2 remain a test case for whether Baghdad can attract Big Oil.
• 
  

Following the U.S. sanctions on Russia’s Lukoil, which operated one of Iraq’s largest oilfields, Baghdad temporarily took control over the West Qurna 2 project, which accounts for 10% of all Iraqi oil production and 0.5% of global crude supply.

Lukoil had a 75% equity stake in West Qurna 2, which produces more than 400,000 barrels per day (bpd) of crude oil. The U.S. sanctions made it impossible for Lukoil to continue operating the huge field.

Following the U.S. sanctions on Lukoil and Rosneft, “as a result of Russia’s lack of serious commitment to a peace process to end the war in Ukraine,” Lukoil announced it would sell all of its international assets, initiating a formal process to receive bids from potential buyers

After temporarily giving the West Qurna 2 operatorship to state-run Basra Oil Company, the Iraqi government wants to award the contract to another major oil company and is in talks with Chevron on a potential deal.

The U.S. supermajor, however, seeks higher returns from the project in the negotiations, which have been dragging on for weeks, Reuters reports, citing sources with knowledge of the matter.

Chevron wants to expand its operations in OPEC’s second-largest and the world’s seventh-biggest producer, but, apparently, not at any cost.

The U.S. major last year signed a deal to return to Iraq and develop the Nasiriyah Project, including four exploration blocks, as well as the Balad oilfield and other producing fields and additional exploration areas in the country.

Related: Iraq’s Key Gas Field Sends a Long-Awaited Signal to Washington

Iraq has overhauled its contract terms for newly-awarded fields, but fields such as West Qurna 2 continued to be developed under the previous terms that were seen as unfavorable by international majors.

In 2024, Iraq moved to profit-sharing contracts for new bid rounds, from the technical service contracts it had awarded until then. With improved contract returns in the biggest change in Iraq’s petroleum regulatory landscape in decades, Baghdad seeks to attract more investment in its oil and gas industry by some of the world’s biggest oil firms.

Under the profit-sharing contracts, the foreign companies are being offered a share of the revenue from the license after deducting royalty and cost recovery expenses.

In contrast, traditional technical service contracts offer a flat rate for every barrel of oil produced after reimbursing costs. These generally pay foreign investors less than what they would have received under production-sharing contracts.

Foreign firms operating in Iraq have complained that the technical service contracts, with the flat rate, do not allow them to benefit when international crude oil prices rise. These contracts become even less lucrative for foreign investors when costs increase.

West Qurna 2, under Lukoil’s operatorship, was under a technical service contract. The contract offered one of the smallest returns of all deals in Iraq, according to industry sources who spoke to Reuters.

It’s no surprise then that Chevron seeks improved returns before committing to operating one of the biggest conventional oilfields not only in Iraq but also in the world.

Chevron, like other Big Oil firms, is carefully selecting investments these days and expects to get a bang for its buck, to continue boosting returns for shareholders. Each of the Big Oil companies has a few select priority areas that they consider core operations, both because they are huge in volumes and lucrative in returns.

So it is only natural that Chevron would want to see higher returns from West Qurna 2 before agreeing to take over the operatorship of the field.

Talks between Chevron and Iraq on West Qurna 2 continue, the Iraqi Oil Ministry told Reuters.

“The negotiations are still ongoing, with many details remaining under discussion,” the ministry said.

The crucial detail would be the project’s returns for Chevron.

Kazakhstan Seeks U.S. Approval to Buy Lukoil’s Kazakh Assets

By Tsvetana Paraskova - Jan 28, 2026

Kazakhstan has filed a formal bid with the U.S. Treasury seeking authorization to buy out the Kazakh assets of Russia’s sanctioned oil firm Lukoil, Kazakhstan’s Energy Minister Yerlan Akkenzhenov said on Wednesday.  

The United States sanctioned Lukoil at the end of October, which prompted the Russian firm, the country’s second-largest oil producer, to seek a sale of its foreign assets.

Soon after, Lukoil accepted a bid from trading house Gunvor for its assets outside Russia, but the U.S. Treasury blocked the sale, saying that the trading group is “the Kremlin’s puppet.”

After Gunvor withdrew the bid, companies including private equity giant Carlyle, U.S. oil and gas supermajors Chevron and ExxonMobil, and International Holding Company (IHC) of Abu Dhabi have expressed interest to the U.S. Treasury to potentially acquire Lukoil’s international assets.

Kazakhstan – where Lukoil is a minority shareholder in huge oilfields and the pipeline consortium shipping crude to Russia’s Black Sea coast for exports –says it has pre-emption rights to buy out Lukoil’s stakes.

“We already said at the end of last year that we have a preemptive right under law to exercise our right to buy out the stake if Lukoil sells the assets in Kazakhstan. The Energy Ministry has sent the corresponding request to OFAC,” Akkenzhenov told reporters on Wednesday, as carried by Russian news agency Interfax.

“There are various forms to buy out the share package, including some kind of deferred payment or through proceeds from raw material sales. There are many options, and we are considering them all,” the Kazakh minister added.

OFAC has issued a general license until February 28, 2026 to enable Lukoil to divest its assets outside of Russia to non-blocked parties.

In Kazakhstan, Lukoil holds 13.5% in the Karachaganak oilfield, a 5% stake in the Chevron-led Tengizchevroil consortium operating the huge Tengiz oilfield, and 12.5% in the Caspian Pipeline Consortium (CPC), which operates the pipeline from the Caspian coast in northwest Kazakhstan to the Novorossiysk port on Russia’s Black Sea that handles most of Kazakhstan’s crude oil exports.

By Tsvetana Paraskova for Oilprice.com