Bulgaria's caretaker government has approved a ban on exports of certain oil products refined from Russian crude as of 5 March 2023, state-owned news agency BTA said.
The ban will affect sales, to other EU member states or third countries, of oil products produced from seaborne crude originating in or exported from Russia, except for certain unspecified products, BTA said. This should allow Russia firm Lukoil's 115,000 b/d Burgas refinery in Bulgaria to continue in operation at least until 5 March. An EU ban on imports of Russian products takes effect on 5 February.
Lukoil said last week it may close Burgas if the EU restrictions prevent it from exporting products. Bulgaria has received an exemption from the EU's ban on Russian oil imports until the end of 2024, but Brussels has suggested products refined from Russian crude cannot be exported from Bulgaria.
As recently as 22 November, the Bulgarian interim government said Burgas would be allowed to continue exporting products refined from Russian crude.
Domestic political party Democratic Bulgaria submitted a bill today to allow Sofia to take operational control of Burgas "if necessary and under very carefully defined conditions," according to BTA. Another party, the centrist DPS, is considering a similar option.
"Our goal is to provide cheap fuel for Bulgarian citizens and lower the price of fuel by continuing the plant's operation if exports are banned," DPS deputy chairman Yordan Tsonev said. "The [crude import] derogation for two years from the EU was given because of the Bulgarian citizens. It was not given in order to make profits on the part of" Lukoil, he said.
Tsonev referred to the example of Italy, which has approved government measures putting Lukoil's 320,000 b/d Priolo refinery on Sicily into temporary administration, to win time to save the plant from potential closure after the EU's Russian crude import ban kicks in on 5 December.
