The government in Rome intends to examine the potential sale of a refinery owned by Lukoil in Sicily to prevent layoffs and loss of fuel production for Italy, Industry Minister Aldo Urso said, Reuters and Agerpres reported.

The ISAB oil refinery, where about 1,000 employees work, is owned by the Swiss trading company Litasco SA, which sells 89% of the plant’s products. In turn, Litasco is controlled by the Lukoil group.

The refinery in Sicily, one of Italy’s poorest regions, is responsible for 20% of the country’s oil refining capacity.

“Lukoil” is negotiating with the American firm Crossbridge Energy Partners on the sale of ISAB in order to avoid the shutdown of the refinery due to the upcoming embargo on Russian oil.

Lukoil has rejected Crossbridge’s offer, the Financial Times says, increasing pressure on the Italian government to find a solution, given that an embargo on Russian oil will be imposed from December 5.

Urso expressed hope that Lukoil will continue its activities in Sicily or, if it chooses, sell the business to an Italian or foreign investor.

“In this case, since there are so-called “golden mandates” in this sector (intended to protect companies of strategic importance from foreign interests), any possible transfer of ownership is conditioned by what we consider to be fundamental, above all the continuity of production and the level workers,” Urso told Radio 24.

The previous Italian government also considered nationalizing the ISAB oil refinery in Sicily because of its strategic importance.