Oil relations between Poland and Lithuania have been somewhat frayed of late.
Polands state-dominated oil company PKN Orlen wants the Lithuanian government to sell the Klajpedos Nafta oil terminal, the main supplier for its loss-making Mazeiku refinery.
Increasingly frustrated PKN may remove its investment in the refinery, the largest industrial complex in the Baltic states.
Selling Mazeikiu would be a last resort but it is a possibility, Dariusz Krawiec, PKNs CEO, says. We have to control the port to control our costs and we are a little disenchanted with how our business arguments are received in Lithuania.
The terminal has a long-term agreement with PKN, which the government feels is enough to ensure security of supply.
PKN bought the Mazeikiu refinery in Lithuania in 2006 from the bankrupt Russian oil giant Yukos.
Poland saw the investment as a way of limiting Russian influence in the region, while PKN wanted to protect its territory in northern Poland from a possible incursion by Russian refiners.
PKN, 27.5% owned by the Polish treasury, has spent about $3.5 billion (2.37 billion) on its acquisition and further investments, making it the largest foreign investment by a Polish company, and the largest investment in Lithuania.