The management of Tema Oil Refinery (TOR) has refuted claims of engaging in a controversial proposed partnership agreement with Tema Energy and Processing Limited.
This rebuttal follows a directive from the Office of the Special Prosecutor (OSP) instructing TOR’s management to suspend the said agreement pending an analysis of corruption risks.
In a letter dated November 21, 2023, addressed to TOR’s Managing Director, Daniel Osei Appiah, the OSP stated its commencement of a corruption risk analysis related to the proposed partnership and mandated TOR to provide all relevant documentation by Tuesday, December 5, 2023.
David Adomako, Board Chairman of TOR, asserted that the proposal underwent rigorous scrutiny by key stakeholders in the sector. Speaking at a media engagement, he emphasized the competitive tender process, indicating that the TOR board, comprised of experienced individuals, evaluated the proposal in conjunction with the Ministry of Energy, Ministry of Finance, State Interest and Governance Authority (SIGA), Attorney General, BOST, and the National Petroleum Authority (NPA).
Adomako underscored the board’s commitment to revitalizing the state-owned company, ensuring transparency in the process. He noted that while the substance of the proposal remained consistent, changes to the legal identity of the lesser were necessitated by prevailing circumstances and conducted with the knowledge of stakeholders.
The proposed deal, according to Adomako, aims at restoring TOR to profitable and sustainable refining activity, with a focus on rehabilitating and improving TOR’s infrastructure. He highlighted the board’s dedication to enhancing staff morale, working conditions, and benefits as part of the broader strategy to support the company.
The controversy surrounding the TOR-Torentco deal has further deepened with allegations from TOR staff against colleagues and board members. Accusations include the confidential registration of the ‘TOR Workers’ Charity Fund,’ allegedly designed to facilitate shares in the deal without the knowledge of over 500 workers.
Despite having a refining capacity of 45,000 barrels of oil per day, TOR has faced operational challenges, incurring losses over several years due to various factors. The unfolding developments cast a spotlight on the intricacies of the TOR-Torentco deal and the broader efforts to revitalize the refinery.