Clear Plan: Government Outlines Measures Following Sanctions on “Lukoil”

The Bulgarian government has outlined a two-phase plan to manage the impact of US sanctions on Lukoil and to ensure the continued operation of the Burgas oil refinery, officials announced following an emergency meeting chaired by Prime Minister Rossen Zhelyazkov on October 24. The meeting, which lasted more than two hours, brought together five cabinet ministers and the heads of the country’s security services.

• Zhecho Stankov: Bulgarians should be calm, fuel is secured until the end of the year

Fuel supplies secured until the end of the year

“There will be enough fuel until the end of the year,” Energy Minister Zhecho Stankov assured following the meeting. The head of the State Reserve, Assen Assenov, told Bulgarian National Television (BNT) that even under the worst-case scenario, Bulgaria has fuel reserves sufficient for 90 days.

The working meeting with Prime Minister Zhelyazkov lasted for more than two hours, during which measures were outlined to prevent fuel prices in the country from rising due to the sanctions imposed by the White House on Lukoil. The sanctions directly affect the work of the Bulgarian refinery and the company's subsidiaries in the country.

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The government has a clear plan of action in two phases related to the supply of oil and petroleum products, the energy minister said after the meeting with the Prime Minister.

Zhecho Stankov, Minister of Energy:

“The first phase involves inspection and monitoring in cooperation with the Agency for the Storage of Emergency Reserves, during which all quantities will be reviewed,” he said. “The second phase will focus on preventive measures and actions, engaging all stakeholders to develop a detailed operational plan.”

The minister assured that the government will not allow a fuel crisis.

Zhecho Stankov, Minister of Energy: “Bulgarian citizens should remain calm — fuel supplies for domestic consumption are fully guaranteed until the end of the year,” Stankov stated. “We urge political opponents not to exploit the issue or play on public fears. This is a serious situation, and we are working closely with our European partners through the EU Coordination Group for Oil and Petroleum Products to build a joint European action plan.”

Justice Minister Georgi Georgiev confirmed that a detailed analysis of the affected companies has been completed and that Bulgaria is in direct contact with US authorities responsible for enforcing the sanctions.

Georgi Georgiev, Minister of Justice:

“We have been in communication with our American partners since the evening the sanctions were announced, ensuring their correct implementation while safeguarding the refinery’s operations,” Georgiev said. “A full analysis has been conducted to identify which subsidiaries are affected, the scope of the sanctions, and the necessary next steps for Bulgaria.”

The minister noted that Europe is facing a new geopolitical reality, requiring coordinated action to protect long-term fuel supplies.

Security agencies have also stepped up protective measures at the Burgas refinery.

“Additional security has been deployed, including personnel and operational capacity,” Georgiev explained. “Given the recent incidents across Europe, these actions are not a cause for panic but a step towards vigilance and adequate preparedness.”

The Energy Minister Stankov said the government’s plan includes specific mechanisms to curb speculative pricing.

Zhecho Stankov, Minister of Energy:

If there is any speculation, it will be tightly monitored and controlled by the state,” he said. “Oil is a global commodity traded on international markets, but price movements there should not immediately affect Bulgarian consumers. Several state institutions have been assigned to track market dynamics and supply chains closely.”

The head of the State Reserve, Assen Assenov, said Bulgaria’s emergency fuel stockpiles are sufficient to sustain the country for three months, even if domestic production and imports were to stop entirely.

“In addition to state reserves, companies also hold operational stocks,” Asenov said. “We do not foresee any disruption in supply or consumption. Even if Lukoil temporarily reduces or suspends operations, the public will not experience shortages.”

He added that the agency can purchase additional fuel through public procurement or directly from the open market, should the refinery halt production.

Assen Assenov, chairman of the State Reserve and War-Time Stocks: “The market does not tolerate a vacuum. If one supplier’s role diminishes, another’s will expand,” he concluded.

On average, Bulgaria consumes around 13,400 tonnes of fuel per day, according to official data.