The management of Tema Oil Refinery (TOR) has taken concrete steps to restore the country’s premier Refinery back to business within the next few months.
A statement released on Thursday, 23rd June 2022 announced that the Government of Ghana, through the Ministry of Energy, has given TOR the go-ahead to negotiate at lease agreement to refine crude oil with a private investor, Decimal Capital Ltd., whose proposal emerged as the most appropriate to meet the needs of the Refinery among the host of proposals that were presented.
“This is expected to boost the local supply of refined oil products and help stabilize the Ghana Cedi, in the face of the ongoing international oil market crisis. A local Transactional Advisor has been contracted by TOR to lead the negotiations in formulating the lease” agreement, which is expected to be completed over the next three to four weeks.” The statement revealed.
The investment partner is expected to provide funding for a first phase. which will bring the Crude Distillation Unit (CDU) of TOR back on stream to refine about 45,000 barrels per day in the next few months.
Will It Reduce Fuel Prices
According to the press release, the production from TOR can contribute about a third of the current monthly consumption of diesel, and the full requirement of the Aviation Turbine Kerosene (ATK) and Fuel Oil needs of the country.
This is expected to thus contribute significantly to improving fuel security. Although it won’t reduce fuel prices, it can stabilize fuel prices.
Recently fuel prices has kept on rising causing corresponding fare increment. Ghanaians may be a bit relief, if the prices of fuel stabilize.
Content created by: Currentworldnews
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