Parliament Grants Emergency Powers to Future Special Administrator of Lukoil Refinery in Burgas

Bulgaria’s Parliament on November 7 approved, at second reading, amendments to the Law on the Administrative Regulation of Economic Activities Related to Oil and Petroleum Products.

The changes grant extraordinary powers to a future special administrator who will take charge of Lukoil Neftochim Burgas.

This move comes in response to the United States’ decision in October to impose sanctions on the Russian oil giant — a development that has alarmed the Bulgarian government, as it could threaten the operations of the country’s largest industrial enterprise, which recorded a turnover of €4.68 billion in 2024.

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The US sanctions, due to take effect on 21 November, “will effectively halt the refinery’s operations, as all parties will refuse to process payments to companies owned by Lukoil,” lawmakers from the ruling majority argued. They sponsored the bill, which was passed under an accelerated procedure.

Lukoil indirectly owns 99.85% of the Burgas refinery.

Under the new legislation, the Bulgarian government will appoint a special administrator to oversee its operations.

The administrator will also have the authority to sell company shares “after a market valuation has been established” and with the approval of the government, MPs decided.

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