TOR targets sustainable recovery as IMF delegation reviews rehabilitation progress

The International Monetary Fund (IMF) has visited the Tema Oil Refinery (TOR) to assess rehabilitation works, financial recovery efforts and measures to restore the facility’s contribution to Ghana’s energy security.

The visit formed part of the Fund’s engagements with selected state-owned enterprises to examine their operations, financial positions and contribution to the national economy.

The delegation was led by the IMF’s Ghana Resident Representative, Dr Adrian Alter, while TOR’s team was headed by Managing Director Edmond Kombat.

During a meeting with the delegation, Mr Kombat outlined measures introduced since May 2025 to rehabilitate critical processing units, improve financial management and restore confidence in the refinery.

He said management had relied on internally generated funds to sustain operations since taking office.

“Since this new management took over, we have not received a dime from government. Every single thing is done through our internally generated funds,” Mr Kombat said.

He explained that management was pursuing financial discipline and operational improvements to place the refinery on a more sustainable footing.

A major concern raised during the engagement was TOR’s inherited debt, which Mr Kombat estimated at approximately US$517 million.

He disclosed that about US$120 million of the amount was owed to the government, adding that management was pursuing discussions to restructure the outstanding obligations
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“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.

Management is also engaging other state institutions to reconcile outstanding financial obligations and explore arrangements that could improve the refinery’s financial position.

Mr Kombat said TOR recorded a profit in the previous year and expressed confidence that the company could sustain the performance through stronger financial controls and improved operations.

As part of efforts to raise additional capital, management is considering a possible listing on the Ghana Stock Exchange, which he said the move could create opportunities for local institutions and other investors to acquire shares in the refinery and support its recovery.

The delegation also examined TOR’s crude oil supply arrangements and the refinery’s ability to sustain processing activities.

Mr Kombat disclosed that the facility had processed approximately five million barrels of crude oil, including about two million barrels sourced from Ghanaian oil fields.

He said the refinery’s first domestic crude supply came from the Jubilee field through Vitol, while the Ghana National Petroleum Corporation (GNPC) also provided its share of the country’s crude allocation.

The managing director expressed hope that GNPC would make its full crude allocation available to TOR for refining by 2027.

He said a consistent supply of crude oil would be essential to improving production and strengthening the refinery’s financial position.

Reliable crude supply is expected to help TOR reduce operational interruptions, improve revenue generation and contribute to the availability of petroleum products on the domestic market.

Mr Kombat also briefed the IMF delegation on ongoing rehabilitation works aimed at restoring critical processing units and increasing the refinery’s capacity.

He said TOR’s storage infrastructure and distribution network provided additional commercial opportunities, including the pumping of petroleum products to eight privately operated depots.

The refinery has approximately one million metric tonnes of storage capacity, according to the managing director.

He further highlighted the importance of domestic refining in strengthening Ghana’s ability to respond to disruptions in international petroleum markets.

The discussions also covered corporate governance and financial accountability, particularly efforts to clear six years of outstanding audits

“Ghana Audit Service was undertaking work to address the backlog, while management planned to appoint an external audit firm at the refinery’s next Annual General Meeting” he added

He also said that, the measures were intended to strengthen transparency, improve financial reporting and ensure greater accountability in the management of the refinery.