Romania approves decree allowing it to take control of Lukoil assets

Romania’s coalition government has approved a decree that allows it to take control of the local assets of sanctioned companies, including Russia’s Lukoil.

In Romania, Lukoil has 320 gas stations, operates the country’s third-largest refinery and holds offshore exploration rights in part of the Black Sea, enkorr reports.

The refinery, which accounts for about a quarter of Romania’s fuel supplies, has been shut down for maintenance for several weeks.

Officials say Romania has sufficient reserves to avoid price spikes that could worsen inflation, which is currently the highest in the EU.

According to the decree, the Romanian government will be able to appoint special administrators for companies if sanctions distort economic sectors, cause sharp price increases or threaten energy security. This requires prior approval from Romania’s Supreme Defense Council.

Bulgaria passed similar legislation last month, also to take over Lukoil’s Neftekhim refinery. Prime Minister Illie Bolozhan said the government would decide this month whether to take control of Lukoil’s local gas stations.

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

USM previously reported that Ukraine had synchronized sanctions against Rosneft and Lukoil with the United States.