La Repubblica learned about the Italian authorities' plan to nationalize LUKOIL's refineries

The ISAB plant accounts for about 20% of Italy's total processing capacity. Back in September, the authorities ruled out the nationalization of the plant. But now, according to La Repubblica,

The Italian government intends to nationalize LUKOIL's ISAB refinery in Sicily. The final decision will be made at a government meeting on Thursday, December 1, La Repubblica reports, citing sources.

Economy and Finance Minister Giancarlo Giorgetti and Business Minister Adolfo Urso are working on a project to nationalize Italy's "most important" refinery, according to the newspaper. The plant is to be taken over by the Italian Ministry of Finance.

La Repubblica recalls that after December 5, the date when the EU oil embargo comes into force, refineries will no longer be able to receive oil from Russia. Thus, more than 10 thousand workers will be under the threat of dismissal. At the same time, after nationalization, the plant will be able to buy crude oil from other states, the newspaper notes.

RBC sent a request to the press service of LUKOIL.

FT learned about LUKOIL's refusal to sell a plant in Sicily to a US company Business

ISAB accounts for about 20% of Italy's total processing capacity. Back in September, the country's authorities ruled out the nationalization of the enterprise and noted that the best solution would be to sell the refinery to a foreign investor.

According to sources of the Financial Times, in November LUKOIL refused to sell the refinery to the American investment company Crossbridge Energy Partners. The Russian side doubted the potential buyer's ability to provide the necessary amount for the deal, the newspaper's interlocutors pointed out.

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In April 2008, LUKOIL acquired a 49% stake in the ISAB refinery located in Priolo in southeastern Sicily. Later, the refinery was fully included in the group. It is considered the third largest in Europe in terms of refining.

Before the start of the special operation in Ukraine, ISAB received from 30 to 40% of its raw materials from Russia, the rest came from foreign producers. After February 24, creditor banks stopped financing and stopped providing the guarantees needed to buy oil from alternative suppliers. The plant began to consume only Russian oil, the FT pointed out.