Bulgaria’s Fuel Supply Secure, But Prices Follow Global Market, Says Lukoil Manager

Rumen Spetsov, the special manager of Lukoil in Bulgaria, has assured that fuel supplies in the country are secure and that there is no reason to expect shortages in the foreseeable future. Currently, meeting domestic demand requires operating at less than half of the refinery’s capacity, and reserves of oil and oil products are being maintained at sufficient levels. Spetsov shared these insights in an interview with 24 Chasa.

He explained that the recent surge in oil prices is already influencing retail fuel costs. Attempting to sell at older, lower prices would make it impossible for the refinery to purchase fresh supplies of crude, risking normal operations. Spetsov emphasized that the refinery cannot artificially suppress prices without violating regulations and potentially disrupting the market. He also dismissed claims that European refineries are enjoying excessive profits, noting that since 2009, a significant portion of Europe’s refining capacity has been shut down.

According to Spetsov, fuel pricing follows market principles in a transparent way, with base prices tied to international quotations on the Platts Mediterranean platform. All operators, not just those in Bulgaria, adhere to these benchmarks. Any deviation from these guidelines would constitute market distortion with consequential effects. By early March, international diesel prices had risen roughly 51% and gasoline by 20%, while Lukoil saw increases of approximately 12% for diesel and 6% for gasoline.

Spetsov described the current situation as “being squeezed between four or five fires,” reflecting the complex environment in which the refinery is operating. He highlighted Europe’s growing dependence on fuel imports from other regions, which further underscores the strategic importance of Lukoil Neftochim Burgas for Bulgaria and the surrounding region. At the same time, the refinery is not immune to the broader challenges facing Europe and tensions in the Middle East.

Looking ahead, Spetsov stressed that as long as domestic production and exports are managed under normal conditions, Bulgaria’s fuel market will remain stable. Allowing the refinery to export petroleum products freely could help balance production and potentially improve its financial performance, he concluded.