site.btaUPDATED Sale of Lukoil’s Assets in Bulgaria Only Possible after Government Decision, Positive Opinion from National Security Agency

The sale of assets belonging to the Russian oil company Lukoil in Bulgaria will be allowed only with a decision of the Council of Ministers  and following a positive opinion from the State Agency for National Security (SANS), according to a resolution adopted by Parliament. Lawmakers approved at second reading an amendment to the Investment Promotion Act.

Under the new provisions, SANS will conduct a preliminary review and provide a written opinion before any transaction involving shares or equity stakes in Lukoil-Bulgaria EOOD, Lukoil Neftochim Burgas AD, Lukoil Aviation Bulgaria EOOD, or Sustainable Energy Supply OOD.

The requirement will also apply to transactions involving shares or equity in other legal entities within their ownership structure, whether registered in Bulgaria or in third countries, when such entities are owned by Lukoil OAO (Russia) or by related parties. The same rule will apply to transactions involving real estate, movable property, and facilities used for the processing, production, storage, or sale of oil and petroleum products.

Parliament decided that any disposals carried out without the authorization of the Council of Ministers will be null and void.

The law will enter into force on the day it is promulgated in the State Gazette, MPs further resolved.

During the debate on the bill, lawmakers also discussed Washington’s latest sanctions targeting Russia’s largest oil companies, Lukoil and Rosneft, and their potential impact on Bulgaria’s fuel market. 

Yordan Todorov of Vazrazhdane described the bill as serving vested interests, arguing that it gives the SANS powers beyond its remit—namely, to pre-approve commercial transactions.

Radoslav Ribarski of Continue the Change – Democratic Bulgaria said Parliament should have prioritised discussing the United States’ sanctions against Lukoil and Rosneft, rather than what he called a flawed bill. According to Ribarski, the bill targets a specific company and is intended solely to block a future transaction, which he argued does not serve the interests of the State or fuel consumers in Bulgaria.

Krasimir Manov of Morality, Unity, Honour (MECh) noted that nine months ago his group submitted the only viable and justified proposal—to allocate investment funds to purchase Lukoil Bulgaria. “You are totally behind on this issue—you have no solution,” Manov told the government. He added that oil prices have begun rising, will continue to rise, and the government has no control over the process. “What do you offer—a bill that simply confirms the control of Delyan Peevski over Boyko Borissov. But even that won’t help. The damage will be felt by all Bulgarian citizens,” Manov added. He also remarked that since last night, fuel prices had increased by four stotinki.

Ivaylo Mirchev of Continue the Change – Democratic Bulgaria (CC-DB) commented that the United States has imposed timely sanctions and that Bulgaria should move quickly to facilitate Lukoil’s exit. “But the ‘Big D’, which rules the State, has decided to take its share,” Mirchev said, apparently referring to MRF-New Beginning leader Delyan Peevski. He added that emergency legislation is being adopted to ensure the final say on to whom, how, and for how much Lukoil is sold is given to whoever controls the State Agency for National Security. “Who controls SANS? The ‘Big D’ in the State and his prophet, Hamid Hamid,” Mirchev said. He argued that the main problem of Bulgaria’s oil reserves is being swept aside, claiming reserves are at risk since some are kept abroad, some are stored by Lukoil, and some are missing because they are held by oil companies linked to the “Big D”.

Atanas Atanassov of CC-DB said the bill was unconstitutional because the Council of Ministers is the body responsible for security and public order, yet the State Agency for National Security is being given decisive authority.

Stanislav Anastasov of the Movement for Rights and Freedoms – New Beginning (MRF - New Beginning) responded, “You are misleading and stirring panic again.” He noted that the law on oil and oil reserves had already been changed to ensure everything happens in Bulgaria, and an electronic register was now in place. “You, together with Vazrazhdane, Velichie and MECh, are creating panic in Bulgarian society and serving Lukoil, as you always have,” Anastasov said. “There is no problem with fuels, and we will not allow one,” he added. He suggested that if anyone was worried, they could fill up at petrol stations and buy as much as they want, but fuel is and will remain available. Anastasov also displayed a newspaper photograph of then Prime Minister Ivan Kostov, the Lukoil president, and the Russian abassador to Bulgaria toasting the success of a Lukoil deal beneath the company’s flag.

“You talk about Russian proxies in the National Assembly without identifying them,” Kosta Stoyanov of Vazrazhdane told CC-DB. “Your guru Ivan Kostov allowed Lukoil’s privatization and brought Russians to Bulgaria,” he added.

“You want to know who the Russian proxies are? Mainly you and Velichie,” Mirchev replied. He said he was surprised to hear Yes, Bulgaria! now addressing why Ivan Kostov sold Lukoil 25-26 years ago and called for Kostov to be invited to Parliament. “With this bill, you’re serving your boss Delyan Peevski,” Mirchev told Anastasov. “This serves no national interest. The refinery should be sold quickly to a Western investor, not for Peevski and Borissov to take their cut,” Mirchev declared.