SOFIA, Bulgaria — Bulgaria is racing to forestall the shutdown of its solely oil refinery earlier than U.S. sanctions on the Russian proprietor take impact later this month.

Parliament in Sofia accredited authorized adjustments that grant further state authority to a government-appointed supervisor of the Lukoil-owned Burgas refinery on the Black Coastline.

The transfer got here after a prime worldwide commodities dealer dropped plans to buy Lukoil’s worldwide belongings, as the corporate rejected U.S. authorities allegations of being “the Kremlin’s puppet.”

Lukoil mentioned it was promoting its worldwide belongings in response to U.S. sanctions geared toward pushing Russia to conform to a ceasefire in its conflict in opposition to Ukraine. The corporate has stakes in oil and gasoline initiatives in 11 international locations, together with the Burgas refinery, in addition to gasoline stations in lots of international locations.

Below the brand new amendments, the supervisor is granted important operational management of the refinery, together with the appropriate to promote its shares. Opposition lawmakers criticized the adjustments, saying they might immediate authorized motion in opposition to Bulgaria.

“This individual shall be granted such extraordinary powers that, ultimately, Lukoil will sue Bulgaria — and the cash will find yourself in Russia,” mentioned Ivaylo Mirchev, chief of the Democratic Bulgaria alliance.

The ruling coalition launched the adjustments, arguing that the U.S. sanctions, scheduled to take impact on Nov. 21, “will successfully result in the shutdown of the refinery’s operations as a result of refusal of all counterparties to make funds to Lukoil-owned firms.”

In 1999, the Russian oil big Lukoil acquired the Neftochim plant on the Black Sea. It’s the largest oil refinery within the Balkans. Current estimates by specialists set the worth of the refinery at 1.3 billion euros ($1.5 billion).

The Lukoil-Neftochim refinery is Bulgaria’s largest firm, enjoying a major position within the nation’s economic system. In 2024, it had a turnover of about 4.7 billion euros ($5.4 billion). Its nationwide community of oil depots and gasoline stations, in addition to its provide of ships and plane, offers it near-monopoly standing.

Final week, Bulgaria imposed short-term restrictions on the export of petroleum merchandise, together with these destined for different European Union members, to make sure ample home provides forward of latest U.S. sanctions on Russian power. The ban covers exports of petroleum merchandise, together with diesel and aviation gas.