Moldova is seeking to nationalize an airport fuel terminal owned by Lukoil, which was recently hit by Western sanctions

Moldovan authorities have moved to nationalize key infrastructure owned by the local subsidiary of the Russian oil company Lukoil, which was recently hit by Western sanctions.

Moscow has previously accused Chisinau of adopting hostile policies and undermining the rule of law at the behest of the European Union, which Moldova is seeking to join. Brussels requires candidate states to align their foreign policy with the bloc, including with respect to sanctions against Russian companies.

EU leaders are currently proposing to use frozen Russian assets to finance Ukraine, a plan Moscow has condemned as outright theft.

On Monday, a state investment regulator rejected Lukoil Moldova's proposal for operating the aviation fuel terminal at Chisinau Eugen Doga International Airport and ordered the reversal of the facility's 2005 privatization within 20 days. Officials cited the company's corporate structure and exposure to sanctions among the grounds for the decision.

"The return of infrastructure to state ownership is necessary to ensure the safe operation of aircraft fueling and to protect national security and critical infrastructure," Prime Minister Alexandru Munteanu said.

Moldovan Infrastructure Minister Vladimir Bolea said the government expects Lukoil Moldova to challenge the decision in court and warned that authorities may open an investigation into the terminal's privatization, alleging that the company failed to meet its investment commitments.

"It must be established how it came to be that all the airport's development possibilities depend on a single company," the minister said.

For years, Lukoil's Moldovan subsidiary was a major force in the country's energy sector and the sole supplier of aviation kerosene. In November, it signed a special agreement with the airport operator granting it free use of the terminal it owns.

Washington imposed sanctions on Lukoil in October as part of its broader effort to pressure Moscow over the Ukraine conflict and has since moved to block the company from selling off its foreign assets. The EU and UK followed with sanctions targeting the Russian company.

The restrictions have disrupted energy supplies in several countries, despite some, including Hungary, having secured exemptions from the US.