IMF Team Engages TOR Over Recovery Plans

Some management of TOR with the IMF team

A delegation from the International Monetary Fund (IMF) led by its Resident Representative to Ghana, Adrian Alter, has visited the Tema Oil Refinery (TOR) to familiarise itself with the refinery’s operations and ongoing rehabilitation works.

The visit forms part of the IMF team’s engagements with government authorities and selected State-Owned Enterprises (SOEs) to understand their operations, financial positions, challenges and contributions to the economy.

Addressing the delegation, Managing Director of TOR, Edmond Kombat, outlined the operational and financial challenges inherited by the current management and measures introduced since May 2025 to restore the refinery to sustained operational and financial stability.

He said management had relied on internally generated funds to keep the refinery running since assuming office, with priority given to financial discipline, operational improvements and rehabilitation of critical facilities.

Mr. Kombat disclosed that TOR inherited a debt burden of about US$517 million, out of which about US$120 million is owed to government.

“Out of the US$517 million debt we inherited, we owe about US$120 million to government. We are trying to restructure our debt with government,” he said.

He said management is engaging government over its outstanding obligations, with discussions focused on restructuring and reconciliation of historical financial commitments between the refinery and the state.

On financial performance, Mr. Kombat said TOR recorded a profit in the previous year and is hopeful of maintaining profitability in the current and subsequent years, attributing the positive outlook to improved macroeconomic stability and ongoing reforms at the refinery.

As part of its long-term strategy, he said management is considering listing TOR on the Ghana Stock Exchange to attract investment and raise additional capital for operations and expansion.

He explained that a listing would allow Ghanaian institutions and other investors to acquire shares in the company and provide another avenue for raising funds to support its recovery and growth.

On operations, Mr. Kombat said the refinery has processed about five million barrels of crude oil, including about two million barrels sourced from Ghanaian fields, with the remainder from external sources.

He said TOR’s first domestic crude supply came from the Jubilee field through a transaction with Vitol, which was fully paid for.

He acknowledged the role of the Ghana National Petroleum Corporation (GNPC), which supplied its share of Ghana’s crude allocation to the refinery.

He noted that Ghana produces about 38 million barrels of crude oil annually, with about 11 million barrels representing government’s share. He expressed hope that GNPC would make its full allocation available to TOR for refining by next year to improve feedstock availability and ensure more consistent operations.

Mr. Kombat highlighted TOR’s contribution to domestic petroleum product availability and price stability, noting that domestic refining could reduce Ghana’s exposure to external supply shocks, especially during periods of geopolitical tension and uncertainty in global oil markets, including the ongoing conflict in the Middle East.

He also acknowledged government interventions aimed at cushioning consumers against petroleum price changes.

Highlighting TOR’s commercial potential, he said the refinery has about one million metric tonnes of storage capacity, three times the capacity of the Bulk Oil Storage and Transportation Company (BOST).

He added that TOR is connected to eight privately operated depots, enabling it to pump petroleum products directly to those facilities, an arrangement that provides additional revenue opportunities alongside other commercial activities including laboratory services for product testing.

Mr. Kombat further disclosed that the Ghana Audit Service has undertaken an audit to clear a six-year backlog, adding that management intends to appoint an external audit firm at the next Annual General Meeting to undertake subsequent audits.

After the discussions, the delegation toured parts of the refinery to observe rehabilitated facilities and ongoing engineering works. The IMF team expressed appreciation for the engagement and the opportunity to understand TOR’s recovery efforts.

By Ebenezer K. Amponsah

The post IMF Team Engages TOR Over Recovery Plans appeared first on DailyGuide Network.