Germany puts Rosneft’s purchase of Schwedt refinery stake under review

FRANKFURT (Reuters) – Germany has put Russian oil group Rosneft’s planned purchase of a 37.5% stake in the PCK Schwedt refinery under review, a spokesperson for the economy ministry said on Monday.

“Concerning the takeover of additional shares in the PCK (Schwedt) refinery by Rosneft, an investment review process has been launched,” the spokesperson said in response to an enquiry.

The deal, agreed in November, would raise Rosneft’s stake in the east German refinery to 91.67%, with Italy’s Eni holding 8.33%.

Germany has launched such reviews in the past when it has considered there were grounds to suspect that investments or acquisitions could be against the public interest.

The spokesperson added the ministry did not comment on procedures for ongoing or prospective investment reviews.

Germany’s cartel office on Feb. 21 approved the stake purchase, the antitrust authority’s website shows, three days before Russia’s invasion of Ukraine that has prompted a slew of Western sanctions against Moscow.

In a dramatic shift in policy, Germany is now scrambling to reduce its heavy dependence on Russian raw materials.

Rosneft has a number of shareholdings in German refineries but does not own a majority in any of them. Other foreign players include BP and Totalenergies.

(Reporting by Vera Eckert Editing by Miranda Murray and Mark Potter)