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SOCAR is interested in purchasing LUKoil business in Europe

6 December 2023 12:35 (UTC+04:00)
SOCAR is interested in purchasing LUKoil business in Europe

The State Oil Company of the Republic of Azerbaijan (SOCAR) is interested in purchasing the assets of the Russian company Lukoil in Bulgaria, Azernews reports, citing local media outlets.

Local Media Outlets claims that several institutions are interested in buying Lukoil's business in Bulgaria. It is noted that although interest comes from two US investment funds and two small oil companies, SOCAR is the most involved party.

According to the report, “Lukoil” is considering all possible options for the future of Bulgarian business, including the sale of the largest oil refinery from the Balkans “Lukoil Neftochim Burgas” and the company's extensive network of gas stations and oil storage facilities in the country.

It is reported that with 220 gas stations and nine oil bases in Bulgaria, “Lukoil” currently has a dominant position in the production and storage of petroleum fuel as the main supplier of aircraft fuel in the region.

According to information released the other day, “Lukoil” will review its strategy regarding its assets in Bulgaria and analyze the possibility of selling its business in the country.

"In connection with a significant change in the working conditions of enterprises of the Lukoil group in Bulgaria, a review of the strategy of this asset has begun. Various options will be analyzed with the involvement of international consultants, including the sale of business," the company said in a statement.

Earlier, the refinery “Lukoil Neftohim Burgas” in the Bulgarian city of Burgas warned from the beginning of 2024 about the danger of stopping production in connection with the abolition of quotas for the export of petroleum products. Lukoil called on the Bulgarian authorities to dialogue to find “a viable solution to reduce risks without stopping production.”


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