Tema Oil Refinery Confirms Capability to Refine Ghana’s Local Crude – Corporate Affairs Officer clarifies

The Tema Oil Refinery (TOR) has reaffirmed its ability to process Ghana’s locally produced crude oil, following renewed public debate over the refinery’s readiness after years of inactivity.

Speaking on JoyNews, TOR’s Corporate Affairs Officer, Godwin Mahama, emphasised that Ghanaian crude oil is a sweet crude, which the refinery is technically designed to refine.

“There have been questions about whether TOR can refine local crude. It is a fact that we can because what we are currently refining is a sweet crude, and our local crude is also sweet,” Mr Mahama said.

He recalled that between 2015 and 2016, under the leadership of former Managing Director Awuah Darko, TOR successfully refined Jubilee crude, demonstrating the refinery’s compatibility with domestic oil.

According to Mr Mahama, the future operations of TOR will depend less on technical capacity and more on the contractual arrangements the government establishes for crude supply.

“All will depend on the contract the government signs and the type of arrangement involved,” he explained.

He described two potential models: a state-owned crude supply, and a tolling system. Under the state-owned model, Ghana would buy and own the crude, ensuring all refined products remain in the country. “If we buy the crude ourselves and own it, then every finished product that comes out of the refinery remains in Ghana, and Ghanaians get the full benefit,” Mr Mahama said.

In contrast, under a tolling arrangement, private companies supply crude to TOR, which refines it for a fee. The refined products are then returned to the owners, limiting the benefit retained in Ghana. “If companies bring their crude and we refine for them under the tolling system, we only take charges, and the finished product goes back to them,” he added.

The statement comes as TOR resumes crude oil refining operations, marking a significant milestone in efforts to revive Ghana’s downstream petroleum sector.

The refinery restarted operations after completing extensive Turnaround Maintenance (TAM) on its Crude Distillation Unit (CDU) between August 1 and October 30, 2025. TOR said the maintenance was conducted on schedule and met international engineering, safety, and operational standards.

Following these works, the National Petroleum Authority (NPA) conducted inspections and cleared TOR to resume operations after confirming compliance with all regulatory requirements.

TOR management said the refinery is currently in a phased return to full capacity, stabilising its systems and optimising performance ahead of full recommissioning. This approach is intended to ensure long-term reliability and sustainability.

As part of its upgrades, TOR has installed a new furnace, F-61, which will soon be commissioned and integrated into the CDU. The upgrade is expected to increase refining capacity from 28,000 barrels per stream day to 45,000 barrels per stream day, with plans to scale up to 60,000 barrels per stream day in the medium term.

The government is expected to formally commission the new furnace at a later date, with TOR indicating that details of the event will be announced in due course.

With these developments, TOR aims to strengthen Ghana’s energy security, reduce dependence on imported petroleum products, and ensure that more of the country’s crude oil is refined locally, generating economic and strategic benefits for Ghanaians.

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