Lukoil refinery in Bulgaria granted right to buy oil from Swiss counterparties

SOFIA, June 30. /TASS/. The Lukoil Neftohim Burgas refinery will be able to purchase oil from any counterparty registered in Switzerland starting in early July, Bulgarian Deputy Prime Minister and Minister of Economy, Investment, and Industry Alexander Pulev announced at a briefing.

The announcement followed talks with representatives of Litasco (the refinery's owner), which were also attended by Prime Minister Rumen Radev.

"We held a constructive meeting with Litasco and reached an agreement on the operations of the company, which owns Lukoil's assets in Bulgaria. Some of the legal obstacles that significantly limited oil supplies and the price competitiveness of end products are being lifted," the Deputy Prime Minister said.

Evgeny Simeonov, trading asset manager at the Lukoil Neftohim Burgas refinery, clarified that the facility will be able to purchase oil from any counterparty registered in Switzerland starting July 1.

"This is a major victory that will help stabilize the plant's operations. Previously, due to market volatility, we processed heavier crude oil grades, which caused disruptions in the refining system and hampered operations," he explained.

"We held our first open and constructive discussions with the government and achieved optimal solutions on the issues raised. Litasco aims to maintain this cooperative approach, so we agreed to lift the existing restrictions on oil purchases. The company will continue to seek a reliable solution that protects its economic interests and supports Bulgaria's energy sector," said Litasco spokesperson Inna Dariy. Pulev added that "the first step has been taken toward reaching a pre-trial settlement and dismissing the arbitration dispute."

In November 2025, Bulgarian authorities passed a law placing Lukoil Neftohim Burgas, Lukoil Bulgaria EOOD, and other Lukoil Group entities operating in the country under external management. The transition took effect on November 17, 2025. The company emphasized that these measures significantly impacted Litasco's investments in its Bulgarian subsidiaries, resulting in substantial losses. Consequently, claims totaling approximately €3 billion were filed against Bulgaria, which the company is prepared to pursue in international arbitration court.