site.btaUPDATED Government Assures Parliament of Readiness to Act on Lukoil Before Sanctions Take Effect

The government is well-prepared to handle the Lukoil situation and already has a plan in place, Deputy Prime Minister and Minister of Innovation and Growth Tomislav Donchev said during Friday’s parliamentary blitz question time. He was responding to a question from the Continue the Change–Democratic Bulgaria (CC-DB) parliamentary group regarding the government’s readiness to appoint a special commercial administrator to Lukoil Neftochim, as well as the actions the cabinet intends to take before November 21, when the deadline set by the United States for the sanctions against Russian companies Lukoil and Rosneft and their assets takes effect.

Donchev stated that developments on the matter could occur over the weekend. He described negotiations with the sanction-imposing party, in this case, the United States, as a critical stage. “I expect news in the coming days about what will unfold over the next five days,” he added.

The Deputy Prime Minister assured MPs that Bulgaria will not face a fuel crisis. “The soundness of the government’s actions in recent weeks will become evident,” he said. “A plan is only as good as its results and implementation, and I am confident that, based on the outcomes, you will soon see that the plan was a solid one.”

The Council of Ministers has not proposed any specific candidates for the position of special commercial administrator at Lukoil Neftochim, Donchev said in response to a question from the parliamentary group of MECh regarding the rumoured candidacy of Vladimir Malinov for the position of special commercial administrator of Lukoil Neftochim. "The Council of Ministers has not proposed anyone for the moment, neither Malinov nor anyone else," Donchev replied.

Vladimir Malinov is the CEO of Bulgartransgaz EAD, Bulgaria's gas system operator. 

There is no way that an asset that is not owned by the state can be formally leased Donchev said in response to a question from the parliamentary group of the Alliance for Rights and Freedoms regarding the continuation of Lukoil Neftochim's operations after November 21 and whether the government is considering leasing the refinery to the Bulgarian Energy Holding and Lukoil's petrol stations to a state-owned chain of petrol stations. 

The Deputy Prime Minister called for a few more days of patience on the issue, hoping that developments would be entirely in line with the government's plan and in the interests of citizens and the market. 

In response to a question about the state-owned chain of petrol stations, he pointed out that the idea behind it is different, the goal is not to enter the competitive retail market, but to create sufficient volumes and excise warehouses to allow for better competition in the industry. Donchev added that petrol stations are also planned for places where there are none.

Deputy Prime Ministers Atanas Zafirov and Grozdan Karadjov are also participating in the blitz control sitting. Prime Minister Rosen Zhelyazkov is expected to attend as well.