site.btaUK Expands Granted Temporary Licence Allowing Bulgaria to Continue Operating Lukoil Assets Despite Sanctions

On Thursday, the UK expanded its sanctions exemption allowing transactions with Lukoil Bulgaria entities to cover two additional subsidiaries, Lukoil-Bulgaria Bunker and Lukoil Aviation Bulgaria, the British government announced.

The licence, originally issued on November 14 to maintain the operation of the Burgas refinery and its associated petrol stations after their seizure from Russia’s Lukoil, has now been extended to include the additional subsidiaries.

The new document permits companies and banks to conduct transactions with Lukoil Bulgaria EOOD, Lukoil Neftochim Burgas AD, Lukoil-Bulgaria Bunker EOOD, and Lukoil Aviation Bulgaria EOOD, as well as their subsidiaries, until February 2026.

In mid-October, British authorities announced sanctions against Russia’s largest oil producers, including Lukoil and Rosneft, over their role in financing Moscow’s invasion of Ukraine. The United States introduced similar sanctions shortly after.

Today’s licence, issued by the UK Office of Financial Sanctions Implementation, allows payments and economic resources to be transferred to and from the Bulgarian entities under existing or new contracts. It expires on February 14, 2026.

The upcoming US sanctions, set to take effect November 21, raised concerns about fuel supplies ahead of winter in Bulgaria, where Lukoil operates the Burgas refinery, hundreds of petrol stations, and fuel storage facilities. The company submitted a request to the US Department of the Treasury to extend the deadline after which transactions with the Russian group’s expanding European operations will be prohibited.

In the meantime, Bulgaria amended its Act on Administrative Regulation of Economic Activities Associated with Oil and Petroleum Products at first and second reading on November 7, expanding the powers of the figure of the special commercial administrator of a critical infrastructure facility. The changes are intended to support Bulgaria's case in upcoming talks with the US regarding the sanctions. The amendments were published in the State Gazette after surviving a presidential veto.

The Bulgarian government adopted a decision on November 14, appointing Rumen Spetsov as special commercial administrator to oversee Russian oil company Lukoil's four operations in Bulgaria, after Prime Minister Rosen Zhelyazkov convened an extraordinary meeting of the Security Council with the Council of Ministers. Up until now, Spetsov has been Executive Director of the National Revenue Agency. On November 17, Spetsov was registered in the Commercial Register as the special commercial administrator of Lukoil Neftochim Burgas.

On his very first day in office as special commercial administrator of the four Lukoil companies operating in Bulgaria, Spetsov dismissed Evgeny Manyakhin as chairman of the company's board and revoked his authority to represent the company. The decision was published in the Commercial Register of the Registry Agency.

Lukoil Public Joint Stock Company said on November 19 that it "reserves the right to seek judicial remedies to protect its rights and legitimate interests in the event of their violation". The Russian company's statement, published on its website, comes after all powers of the governing bodies of Lukoil Neftochim Burgas, Lukoil Bulgaria and other Lukoil Group entities in Bulgaria were transferred to a special commercial administrator, effective November 17, 2025. "Lukoil expects that the external administrator will act in strict compliance with applicable law to ensure the continuity of operations," the statement reads.