UK extends license allowing transactions with Lukoil companies in Bulgaria

Lukoil owns Neftohim oil refinery in Bulgarian Black Sea city of Burgas and chain of around 500 filling stations across country

Britain has extended a general license allowing transactions with the Bulgarian subsidiaries of Russian oil giant Lukoil until Oct. 29, a day before the previous authorization was due to expire Thursday. Bulgaria’s Ministry of Economy, Investments and Industry said the extension allows Lukoil’s companies in Bulgaria to continue operating despite sanctions imposed by London on the Russian company in October last year, Bulgarian News Agency BTA reported. Lukoil owns the Neftohim oil refinery in the Bulgarian Black Sea city of Burgas and a chain of around 500 filling stations across Bulgaria. “We took the necessary steps to ensure security of supply and the smooth operation of the refinery,” Deputy Prime Minister and Economy Minister Alexander Poulev said in a statement Wednesday. According to the report, the license issued by the Office of Financial Sanctions Implementation (OFSI) at the UK Treasury covers Lukoil Bulgaria, Lukoil Neftochim Burgas, Lukoil Aviation Bulgaria and Lukoil-Bulgaria Bunker. The authorization allows the companies to make payments and carry out other transactions related to their business operations without their counterparties or the financial institutions servicing them breaching the UK’s sanctions regime.