Bulgaria is exploring the possibility of requesting an exemption from new US sanctions against Russia's largest private oil company, two sources familiar with the matter say, as it fears the measures will cause severe fuel shortages and a populist backlash across the country, UNN reports with reference to Politico.
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Last week, US President Donald Trump announced sanctions against two major Russian oil producers, Rosneft and Lukoil, prompting several EU countries where these companies operate to seek exemptions.
Bulgaria is home to a sprawling Lukoil-owned refinery in Burgas, which supplies up to 80 percent of the country's fuel. The firm has historically cast a huge economic shadow over the Balkan country, while the facility has previously been linked to exploiting loopholes in EU sanctions.
According to sources who were briefed on the matter and granted anonymity to speak freely on sensitive issues.
The government is concerned that the sanctions could force the refinery to shut down as banks withdraw from the facility, sources say, causing massive fuel shortages and protests.
Sofia argues that this could lead to the collapse of the government, sources say, strengthening support for Bulgarian President Rumen Radev, a figure some consider pro-Russian and who has publicly floated the idea of forming a new political party.
Bulgaria's Ministry of Energy declined to comment. The Bulgarian Presidency did not immediately respond to POLITICO's questions.
Julian Popov, Bulgaria's former Minister of Environment and a senior fellow at the Strategic Perspectives think tank, agreed that the government is "improperly prepared" and lacks an "emergency action plan" for Lukoil's exit, making fuel shortages likely if a solution is not found.
He argued that the government should now take operational control of the refinery, with the support of an "international committee" of international lawyers and experts who can help Sofia manage the strategic facility.