Insolvency filing preparation for Petrotel refinery
Romania’s Petrotel refinery in Ploiești is preparing to enter insolvency proceedings, with management stating the aim is to preserve the industrial site and establish conditions for a future restart. The company’s process is linked to efforts to keep the refinery technically capable of resuming operations. Management is presenting insolvency as a restructuring mechanism rather than preparation for liquidation.
The refinery has been offline since October 2025, initially stopping for planned maintenance. Although an overhaul was subsequently completed, operations have not resumed due to complications tied to US sanctions affecting Russian parent company Lukoil. During the shutdown, priorities include preserving skilled staff, maintaining supplier relationships and protecting the refinery’s technical integrity.
Impact on Romanian fuel supply and refining capacity
Before the shutdown, Petrotel accounted for approximately 21% of Romanian domestic fuel production. It is currently the only one of the country’s four operating refinery sites that remains offline. The plant’s preservation has implications for national refining capacity and fuel-supply security.
Management and the state-appointed supervisor continue to support restarting production. Options discussed with Romanian authorities include a future ownership change intended to reduce sanctions-related obstacles.
Enhanced Romanian oversight tied to OFAC measures
Romanian authorities have supervised the company closely since 12 February, when the government introduced enhanced oversight related to restrictions imposed on Lukoil. The appointed supervisor’s role focuses primarily on ensuring compliance with measures connected to the US Treasury’s Office of Foreign Assets Control.
Both Petrotel management and the supervisor are continuing efforts aimed at creating a more stable legal framework for dealing with creditors and suppliers under sanctions-related restrictions. The approach is also intended to keep the refinery in a condition that supports a potential restart after prolonged downtime.
