Petrotel Lukoil refinery announces its entry into insolvency to protect its operations

Petrotel refinery, controlled by Lukoil, announced that it will enter insolvency, a decision confirmed on Monday, to protect its industrial activity and resume operations, in the context of international sanctions, according to Mediafax.

The company's management emphasized that the insolvency procedure will provide the necessary legal framework to preserve operations and stabilize commercial relationships. Priorities include maintaining the workforce, protecting relationships with Romanian suppliers, and continuing tax contributions, according to a statement.

Petrotel Lukoil aims to keep the refining infrastructure operational, essential for Romania's energy security. The refinery accounts for 21% of the national fuel production, and its operations have been halted since October 2022, without being resumed due to sanctions, according to an internal note published on Friday by Mediafax.

The company is seeking solutions for a potential change of ownership that would allow the continuation of operations. Petrotel refinery is the third largest in Romania, and its maintenance is crucial for the stability of the fuel market.