Bulgarian Parliament Overrules Veto to Protect Oil Assets

The Bulgarian parliament overruled a presidential veto, allowing government control of Lukoil's refinery to avoid U.S. sanctions. The veto opposed government management of Lukoil beyond November 21 but was rejected. Concerns about winter fuel supply and potential state financial claims persist as Bulgaria seeks an extension to the sanctions deadline.

The Bulgarian parliament decisively overruled a presidential veto on Thursday, enabling the government to take control of Lukoil's oil refinery in an effort to circumvent impending U.S. sanctions. The U.S. Treasury's Office of Foreign Assets Control (OFAC) and Britain upped the pressure on Russian oil companies last month with targeted sanctions.

Parliamentary approval for legislation grants a government-appointed manager oversight of the Burgas refinery past November 21 when sanctions take effect. President Rumen Radev vetoed the bill on Wednesday, citing lack of protections against financial claims. Parliament dismissed the president's concerns with a 128-59 vote, the BTA reported.

The sanctions deadline has sparked worries over Bulgaria's winter fuel supply, as Lukoil operates key facilities in the country. The company is seeking more time from Washington to adjust to sanctions and assess global asset offers. Former Prime Minister Boyko Borissov expressed optimism about securing an extension soon.

(With inputs from agencies.)