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Lukoil warns of possible shutdown of production

Photo: EPA/BGNES

The cancellation from January 1, 2024 of the quotas for the export of oil products that cannot be sold on the Bulgarian market is in fact equivalent to the cancellation of the derogation from December 2023, states Lukoil Neftohim Burgas in a position on the occasion of the announced agreement between the ruling parties regarding the derogation for importing Russian oil.

PP-DB, GERB-SDS and MRF agreed that from January 1, 2024, the quotas for the export of Russian oil products will be suspended, and from March 1, the derogation will cease.

According to the refinery, blocking exports will lead to a rapid overflow of warehouses, as well as a forced shutdown of production. And this can put Lukoil in conditions of increased technological and logistical risk and endanger the supply of fuels for the Bulgarian market.

This is the reason why Lukoil has called for dialogue with institutions to find a "feasible risk-free solution".

Meanwhile, Finance Minister Assen Vassilev refuted the claims that nearly BGN 1 billion had flowed to Russia through the refinery. "The profit tax that Lukoil will pay this year is about BGN 400 million, and the profit it will realize is about BGN 600-650 million. i.e. BGN 250 million is the profit that we do not take for the Bulgarian treasury, he told BNT.

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