Romania's Energy Takeover: Securing Stability Amid Sanctions

Romania may take control of Lukoil's local operations to stabilize its energy system and enforce sanctions against Russia. Energy Minister Bogdan Ivan stresses the importance of not extending the U.S. sanctions deadline, emphasizing legislation to maintain fuel supply and protect jobs despite potential challenges.

Romania is considering taking control of the Romanian division of Russia's Lukoil to ensure the stability of its national energy system, enforce international sanctions, and protect jobs. Energy Minister Bogdan Ivan highlighted the urgency of the situation on Tuesday.

Lukoil manages 320 petrol stations in Romania, operates the third-largest refinery in the country, and holds offshore exploration rights in the Black Sea. With U.S. sanctions targeting Lukoil and other Russian entities, the sanctions are set to be enforced on November 21, and Ivan reaffirmed Romania's commitment to not seeking an extension.

Emphasizing this stance, Ivan underscored the country's dedication to fully applying U.S.-initiated sanctions across the European Union. As the energy ministry works on legislation to enforce these sanctions without disrupting the fuel market, experts warn of the difficulties Romania faces in managing a refinery due to its current institutional limitations.

(With inputs from agencies.)