Deputy Prime Minister and Finance Minister Galab Donev has stated that any decision on a potential state buyback of the Lukoil Neftokhim refinery must be preceded by a detailed assessment of its value, risks, and long-term benefits for the country.
Responding to a question about how such an acquisition could be financed, Donev said ?an assessment must be made, to see what the value is and what the benefits are that the state would have from this asset, can it manage it?? He added that the issue is not currently part of the government's formal agenda.
The statement comes after the special commercial administrator of the refinery, Rumen Spetsov, suggested that Bulgaria could have a ?historic opportunity? to regain control of the asset. According to him, the estimated market value of the refinery and related holdings ranges between 20 and 30 billion dollars.
The debate over Lukoil Neftokhim is taking place against the backdrop of ongoing international sanctions pressure on Russian energy assets linked to the war in Ukraine. Since 2022, the United States has progressively tightened restrictions on Lukoil, affecting its financial operations, access to the dollar system, and cross-border transactions involving its subsidiaries.
By late 2025, the US Office of Foreign Assets Control (OFAC) expanded its sanctions regime to include Bulgarian-linked operations of the company, including the Burgas refinery and associated logistics structures. At the same time, Washington introduced a temporary derogation allowing continued operations until the end of April 2026, designed to avoid disruption to fuel supplies while giving time for restructuring.
In parallel, Bulgarian authorities introduced the mechanism of a 'special commercial manager? to oversee strategic assets exposed to sanctions risk. Under this framework, Rumen Spetsov was appointed to manage Lukoil's operations in Bulgaria, with powers to represent and administer the companies under the legal restrictions.
Discussions have since intensified about the refinery's long-term ownership structure, including possible sale scenarios or state participation. Various international actors have been mentioned in public debate as potential buyers at different stages, including global energy and investment groups such as Gunvor, Chevron, Carlyle, and other major industry players.
The refinery itself remains one of the largest industrial complexes in Southeast Europe, with a processing capacity of around 7 to 8 million tons of crude oil annually. Its infrastructure includes the Rosenets marine terminal, which serves as the main entry point for crude supplies and is connected directly to the refinery via pipeline systems.
The facility also operates extensive internal logistics infrastructure, including pipelines, storage bases, laboratories, distribution networks, and petrochemical production units. It has integrated energy systems such as its own power generation facilities, allowing a high degree of operational self-sufficiency.
Public data indicates that the complex generates annual turnover exceeding 1.5 billion euros in certain years, making it one of Bulgaria's most significant industrial assets and a key element in the country's fuel supply chain.
Rumen Spetsov has separately argued that the state should consider re-acquisition, stating that if there is political consensus and serious evaluation, such a move could be feasible, with valuation depending on market conditions. He also noted that Bulgaria could participate in a secondary acquisition process involving the company's local assets.
For now, the government maintains that any decision on a potential buyout remains subject to analysis, with officials emphasizing that both economic feasibility and state capacity to manage such a complex asset must be carefully examined before any further steps are taken.
