Germany Mulls Nationalising Russian Oil Firm’s Refinery Stake Amid U.S. Sanctions

Germany is considering nationalising the local operations of Russian oil giant Rosneft after new U.S. sanctions triggered a strategic rethink, two sources told Reuters. 

The focus is on Rosneft’s majority stake in the PCK Schwedt refinery, which supplies much of Berlin’s fuel. 

Although the U.S. has granted a temporary exemption for the asset, valid until April 2026, Germany wants a permanent exemption and is also evaluating expropriation or foreign sale options. 

Berlin placed Rosneft’s German units under trusteeship in 2022 following Moscow’s invasion of Ukraine. Yet full nationalisation remains legally risky due to potential compensation demands and retaliatory responses from Russia. 

Green Party lawmaker Michael Kellner has urged the government to act, calling the assets “systemically important for Germany”. 

The outcome of this decision will shape Germany’s control over critical energy infrastructure and influence how Western nations handle Russian-owned strategic businesses going forward.