The once-dormant Tema Oil Refinery (TOR) is witnessing a remarkable surge in investor interest as private sector players are expressing strong enthusiasm to partner with the state-owned facility in reviving its core refinery operations.
TOR, which has become a white elephant and is saddled with massive debt, is currently witnessing a total transformation under the leadership of the new acting Managing Director, Dr. Yussif Sulemana.
Under the leadership of Dr. Sulemana, the TOR, in a few months, has recorded a significant surge in revenues, reporting over 150% revenue increase.
This, he says, is a result of just improvement in efficiency in the non-core operations of the TOR including fuel storage, transport and other services the facility can render to private businesses aside its core duty of refinery. He emphasized that the feat achieved wasn’t as a result of any investment but by maximizing the existing resources of the company.
With this improvement achieved in a few months, the Acting MD says his main objective is to get the company to return to its core business of oil refinery.
However, that will require massive investments running into millions of dollars.
Although the government has promised to support the revival of the company, Dr. Sulemana says that given the turnaround at the company, there is a wave of what he describes as credible investors flocking to the company, showing readiness to support the revival agenda.
These private investors are willing to invest and partner with TOR to revive the operations of the oil refinery.
“A lot of people are showing interest. Though we still probably think the government can support well and good but if the government is not even in a position to support, there is so much interest, especially within the private community, where they say they want to partner with us,” the Energy Strategist said in an interview monitored by The High Street Journal.
With so much interest, Dr. Sulemana emphasized that the selection of the strategic partner will be guided by due diligence and prudence. He further revealed that the next step in the process is that they are waiting for the board to be constituted for the process to continue.
“We are just waiting for our board to be in place,” he said, adding that “Once our board is in place, we can then separate the boys from the men. We have a lot of people who are saying that they can do something. Once our board is in place, we can do due diligence and select somebody to go with. And I think the partners that are coming, I just want to say that they look very credible.”
The massive investor rebound signals a refreshing shift in the narrative around TOR, which for years has battled underutilization, inefficiencies, and intermittent shutdowns.
The interest in TOR comes at a crucial time when Ghana is seeking to reduce its dependence on imported refined petroleum products and maximize value from its own crude oil production. For instance, a fully operational TOR with its capacity, can refinery about half of the total petroleum needs of the country.
The MD is convinced that a functional and efficient TOR could significantly cut fuel import bills, boost employment, and strengthen the country’s energy security.
Industry observers say this growing private sector interest is a positive vote of confidence in TOR’s potential and an indicator of what can happen when reform, leadership, and opportunity intersect.
