Moldovan authorities report negotiations on sale of Lukoil's assets, will extend operation of company's filling stations for six months

CHISINAU. April 24 (Interfax) - The operation of the filling station network of Lukoil-Moldova LLC (a subsidiary of PJSC Lukoil ) will be extended for another six months until October 29 this year amid negotiations on the sale of the company's assets, Moldovan Energy Minister Dorin Junghietu said.

"The activity of the company [Lukoil-Moldova] may be extended until October 29. This decision is due to the need to maintain the stability of the fuel supply, especially in regions where there are no other alternative fuel sources. The consequences of a possible immediate cessation of operations would be felt most acutely in rural areas and in some districts where Lukoil is the sole operator, because a sudden halt in activity could leave entire communities without access to gasoline and diesel fuel," Junghietu was quoted as saying by the state agency Moldpres.

"This decision is the result of commercial negotiations conducted by Lukoil with several potential buyers of assets in Moldova. It is a process that could take up to six months, given the complexity of the company's operations in the region and worldwide," he said. Therefore, "this measure is designed to ensure continuity of service provision to consumers and stability in the sector while the transaction for the sale of Lukoil's assets in Moldova is being completed," he said.

It was previously reported that the Moldovan government temporarily allowed Lukoil-Moldova to resume operations of its entire network of filling stations in the country at the end of March in order to minimize the consequences of the fuel and energy crisis.

Lukoil-Moldova LLC (a subsidiary of PJSC Lukoil) is one of the leaders in the petroleum products and liquefied gas market in Moldova. The company owns three petroleum product storage bases (including one gas terminal), and the company's network includes 102 of the 570 operating filling stations in Moldova.

After the introduction of U.S. sanctions against Lukoil, the Moldovan authorities said that the company would be forced to sell its assets in the country. Junghietu previously said that the Moldovan state does not plan to acquire the company's filling station network. In February, a fuel filling complex at Chisinau Airport that belonged to Lukoil was returned to state ownership.