  We report on the results of the $XMM-Newton$ observation of IGR J01572-7259
during its most recent outburst in 2016 May, the first since 2008. The source
reached a flux $f \sim 10^{-10}$ erg cm$^{-2}$ s$^{-1}$, which allowed us to
perform a detailed analysis of its timing and spectral properties. We obtained
a pulse period $P_{\rm spin}$ = 11.58208(2) s. The pulse profile is double
peaked and strongly energy dependent, as the second peak is prominent only at
low energies and the pulsed fraction increases with energy. The main spectral
component is a power-law model, but at low energies we also detected a soft
thermal component, which can be described with either a blackbody or a hot
plasma model. Both the EPIC and RGS spectra show several emission lines, which
can be identified with the transition lines of ionized N, O, Ne, and Fe and
cannot be described with a thermal emission model. The phase-resolved spectral
analysis showed that the flux of both the soft excess and the emission lines
vary with the pulse phase: the soft excess disappears in the first pulse and
becomes significant only in the second, where also the Fe line is stronger.
This variability is difficult to explain with emission from a hot plasma, while
the reprocessing of the primary X-ray emission at the inner edge of the
accretion disk provides a realiable scenario. On the other hand, the narrow
emission lines can be due to the presence of photoionized matter around the
accreting source.
