Romania adopts decree to control Lukoil local assets

The coalition government in Romania approved a decret on Tuesday that allows it to control the assets local of companies subject to international sanctions such as Russia's Lukoil.

Lukoil operates 320 petrol stations across Romania. It is the third largest refinery in the country and has offshore exploration rights for a part of the Black Sea.

For weeks, the refinery has been closed for maintenance. It accounts for about one-quarter of Romania's fuel supplies.

Officials say that the European Union member states has enough reserves to prevent price spikes, which could worsen the inflation rate currently at the highest level in the bloc.

The decree allows the government to appoint administrators for companies in the event that sanctions cause economic distortions, price spikes, or threaten the security of energy. The Romanian top defense council must approve the decree in advance.

This measure is similar in nature to the legislation that was passed by EU neighbor Bulgaria last month to take control of Lukoil’s Neftohim Refinery. However, it is unclear whether Romania will make use of its new powers.

The Prime Minister Iliebolojan stated that the Cabinet would decide whether or not to take Lukoil local petrol stations in December.

In November, Energy minister Bogdan Ivan stated that three companies were directly negotiating with Lukoil for the purchase of its Romanian assets.

This decree allows Romania to also take control of Lukoil’s exploration rights on the Trident section in the Black Sea.

Lukoil owns 85% of the Trident and Est Rapsodia block, while state-owned Romgaz holds a minority stake. Lukoil’s exploration license expires during the first half 2026.

Initial drilling results, according to two sources in the energy ministry, did not indicate that significant gas was found. Reporting by Luiza Illie. Mark Potter (Editing by Mark Potter).

(source: Reuters)