Lukoil President Denies Conflict with Bulgarian Govt over License Suspension

Business » ENERGY | September 27, 2011, Tuesday // 19:29
Bulgaria: Lukoil President Denies Conflict with Bulgarian Govt over License Suspension The Burgas-based Lukoil Neftochim refinery made headlines in end-July after Bulgaria's Customs Agency suspended its tax warehouse operator license. Photo by BGNES

Lukoil President Vagit Alekperov has rejected allegations of a clash with the Bulgarian government, saying that the existing problems lie with technicalities.

"We do not have a conflict with the Bulgarian government, only misunderstandings with some institutions on deadlines and on the technical difficulties surrounding the fulfillment of requirements set out in Ordinance #3. We shall carry out all our obligations which entail an investment of USD 40 M. I can see that the government is hearing us and I hope that we have agreement on these issues ", the head of the Russian oil giant stated after a Tuesday meeting with Prime Minister Boyko Borisov in Sofia, as cited by Lukoil's press office.

The media release went on to inform that Alekperov had personally acquainted the Bulgarian Prime Minister with the schedule for and the technical aspects of the installation of measuring devices at the 276 points designated by the customs authorities.

According to the announcement, the head of Russian Lukoil had embarked on a routine visit including discussions on the tax warehouse operator permit of the local unit of the company.

The formal occasion for Alekperov's visits was the awarding ceremony of certificates of compliance with ISO 14001:2004 and BS OHSAS 18001:2007 to Lukoil Bulgaria by Bureau Veritas.

Alekperov was also said to have met with Traicho Traikov, Minister of Economy, Energy and Tourism and Vanyo Tanov, head of the Customs Agency as part of the visit.

Lukoil's two tax warehouse operator permits were revoked on July 22 by the Customs Agency over the company's failure to install measuring devices providing a direct real-time link to the tax authorities.

The Burgas-based Lukoil Neftochim refinery and the Rosenetz oil terminal are currently in operation due to a ruling of the Supreme Administrative Court (VAS) stipulating that the production process can continue until the case is resolved with a verdict.

The second substantive court hearing on the Lukoil license case has been scheduled for September 28.

In the course of the first substantive hearing in August, the court ordered a technical expert statement on the location of the already-mounted measuring devices and on whether the installation process had started within the statutory deadline.

If the expert statement is not ready by September 28, the trial will continue into October.

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Tags: Lukoil Neftochim Burgas, Lukoil, Lukoil Bulgaria, Customs Agency head, Vanyo Tanov, Traicho Traikov, Supreme Administrative Court, VAS, Vagit Alekperov

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