ConceptIT

Golden Power

Italy's veto power over foreign takeovers of strategic assets, including energy infrastructure.

Italy's Golden Power veto sits alongside antitrust clearance and a US transaction licence as one of three unresolved gates between Ludoil Energy and control of the ISAB refinery, a sale that OFAC's 24 July guidance confirmed its own licensing track never governed.

Last refreshed: 31 July 2026 · Appears in 1 active topic

Key Question

Can Rome block the Lukoil refinery sale while Washington's sanctions clock runs?

Timeline for Golden Power

#20 25 Jul

Mentioned in: ISAB is on the wrong sanctions clock

European Oil Markets

#21 23 Jul

Mentioned in: FAQ 1224 sets Lukoil sale conditions

European Oil Markets

#18 19 Jul

Mentioned in: GL 131G's perimeter never included ISAB

European Oil Markets

#12 25 Jun

Mentioned in: Seventh licence keeps ISAB Priolo open

European Oil Markets

#11 22 Jun

Mentioned in: ISAB Priolo's OFAC clock runs out

European Oil Markets

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Background

Golden Power is Italy's national security review mechanism for foreign acquisitions of strategic assets. Established by Legislative Decree 21/2012 and substantially expanded in 2020 and 2022, it grants the Italian government a veto over transactions that could compromise national interests in energy, transport, communications and defence. The mechanism requires acquirers of designated strategic assets to notify the Presidency of the Council of Ministers, which then has 45 working days to impose conditions, prohibit the transaction, or clear it. Conditions typically impose workforce-retention, supply-continuity and board-representation requirements that bind the acquirer post-close.

Golden Power runs on its own Italian timeline, separate from any parallel US sanctions licensing track: an OFAC negotiation licence covering a Russian seller's remaining assets is a distinct legal instrument that does not itself authorise or block an Italian buyer's acquisition of an asset that seller no longer owns. Golden Power sits at the intersection of EU state-aid rules, WTO market-access disciplines and bilateral investment treaties; the 2020 and 2022 expansions, driven by pandemic supply-chain concerns and Russia's 2022 invasion, widened the list of strategic sectors considerably. Other EU states run analogous mechanisms, and the European Commission's Foreign Subsidies Regulation now adds a parallel EU-level layer.

Key Issues

National security review

Golden Power decides ISAB's fate

Golden Power's 45-working-day review clock runs entirely separately from OFAC's Lukoil licensing track, most recently rolled forward as GL 131H on 24 July. That US instrument authorises only Lukoil International GmbH to negotiate sales of assets it still owns, and has never named ISAB or its current owner GOI Energy, so an Italian buyer's own acquisition sits outside its perimeter altogether.

With conditional Golden Power approval signalled back on 4 June still awaiting finalisation, Rome's own review, not any American rollover, is what stands between Ludoil and control of the refinery. A Milan court's seizure order over an unrelated GOI debt claim, and the OFAC transaction licence Ludoil separately needs, complete the list of live gates.

Common Questions

Reference

What conditions can Italy attach to a Golden Power clearance?

Conditions typically include workforce-retention commitments, supply-continuity guarantees, government representation on the board, and restrictions on asset transfers. Non-compliance can result in unwinding of the transaction after completion.Source: Legislative Decree 21/2012

How does Italy's Golden Power compare to other EU investment screening mechanisms?

Italy's mechanism is a national-level veto analogous to France's Decree 2019-1590 and Germany's Foreign Trade and Payments Act (AWG) powers. Since 2022, the EU Foreign Subsidies Regulation adds a parallel layer for transactions involving state-subsidised acquirers, creating two separate review tracks.Source: European Commission

What is Italy's Golden Power and can it block foreign energy deals?

Golden Power is Italy's strategic-veto mechanism over foreign acquisitions in sectors such as energy. The government has 45 working days to impose conditions or prohibit a deal. In 2026 it was invoked over the sale of the ISAB refinery in Sicily.Source: Legislative Decree 21/2012

Does the OFAC licence for the Lukoil sale cover the ISAB refinery?

No. General License 131G, issued 25 June 2026, authorises negotiation only for Lukoil International GmbH and entities in which it holds a 50% or greater stake. It does not name ISAB, Priolo Gargallo or Italy; the ISAB sale is governed separately by Italy's Golden Power review and its own OFAC transaction licence.Source: OFAC General License 131G

Why did Italy use Golden Power on the ISAB refinery sale?

ISAB at Priolo Gargallo processes roughly 20% of Italy's refined product supply. Rome issued a conditional Golden Power signal on 4 June 2026 to protect continuity of that supply while the sale's separate OFAC transaction licence remained outstanding.Source: Lowdown european-oil-markets briefing

Source Material

Golden Power — Presidenza del Consiglio dei Ministri

How the World Sees Them

Italy

Rome's primary concern is energy security: ISAB supplies 20% of national refined product. The conditional signal reflects political pressure to maintain supply continuity while managing OFAC risk.

United States

OFAC's parallel GL 131F clock means Washington and Rome must coordinate on the same transaction; a Golden Power clearance alone cannot substitute for a US transaction licence.

European Commission

The Commission monitors Italian Golden Power invocations for compatibility with EU single-market rules; the ISAB case tests whether national security grounds can override free-capital-movement obligations.