US and Russian officials are reportedly in talks over several energy deals being offered as incentives to persuade Moscow to join peace negotiations on Ukraine. The development comes just weeks after US President Donald Trump threatened an additional 25% tariff on India for buying Russian oil, which would raise the overall tariffs on Indian imports to 50% starting Wednesday.

President Donald Trump and Russian President Vladimir Putin recently met in Alaska to discuss peace talks on Ukraine.

According to Reuters, citing unnamed sources, officials from both sides are considering Exxon Mobil’s possible return to Russia’s Sakhalin-1 oil and gas project.

Exxon Mobil, one of the largest oil producers in the United States, withdrew from Russia in 2022 after the country was cut off from most international investment in its energy sector following the invasion of Ukraine.

The company has on several occasions held talks with Rosneft, the Russian state-controlled oil firm, about rejoining the project once approval from the US Office of Foreign Assets Control is granted, Reuters reported.

There have also reportedly been discussions about Russia purchasing US equipment for its sanctioned LNG projects, including Arctic LNG 2. Another proposal under consideration involved the United States buying nuclear-powered icebreakers from Russia.

Reports of these potential deals come at a time when India is facing an extra 25% tariff on its exports to the United States because of its long-standing purchases of Russian oil.

Trump had earlier imposed 25% tariffs on Indian imports but later doubled them to 50%, citing India’s trade with Moscow. “I determine that it is necessary and appropriate to impose an additional ad valorem duty on imports of articles of India, which is directly or indirectly importing Russian Federation oil,” read the executive order he signed.

Half of the total tariffs came into effect earlier this month, and the remaining half have come into force on Wednesday, August 27.

On Tuesday, the US confirmed its tariff plan in a draft notice published by the Department of Homeland Security, showing that Washington is prepared to move forward with the 50% duties it had threatened.

Talks on potential energy cooperation, including the possible return of a major US oil producer to Russia and Moscow’s interest in acquiring equipment for sanctioned LNG projects, reportedly took place earlier this month when US envoy Steve Witkoff visited Moscow.

“The White House really wanted to put out a headline after the Alaska summit, announcing a big investment deal,” Reuters quoted a source as saying. “This is how Trump feels like he’s achieved something.”

During his visit, Witkoff met Russian President Vladimir Putin and investment envoy Kirill Dmitriev, and the proposals were also raised within the White House with former President Trump, Reuters reported.