TOR considers GSE listing as it works to restructure $517m debt

The Tema Oil Refinery (TOR) is exploring the possibility of listing on the Ghana Stock Exchange to attract new investment while simultaneously working on restructuring approximately $517 million in inherited debt. Managing Director Edmond Kombat shared this plan with a delegation from the International Monetary Fund (IMF), including the Fund's Ghana Resident Representative, Dr Adrian Alter, during a visit to the refinery.

The IMF team was there to observe the refinery's rehabilitation efforts and its commitment to achieving financial stability.

Kombat explained that a listing would enable Ghanaian institutions and other investors to purchase shares in TOR, providing the refinery with the necessary capital for operations and expansion. Of the inherited debt, around $120 million is owed to the government, and discussions are underway to restructure this debt and resolve historical financial commitments between TOR and the state.

TOR has not relied on government funding since its new management took office in May 2025, relying entirely on internally generated funds for operations.

The refinery processed about five million barrels of crude last year, with approximately two million barrels sourced domestically from the Jubilee field via Vitol, and the remainder from overseas. Kombat anticipates that Ghana's state-owned GNPC will release its full allocation to TOR by next year, which would enhance supply and ensure more consistent refinery operations. He emphasized the importance of refining at home to bolster petroleum supplies and safeguard Ghana from international market disruptions.

Beyond refining operations, Kombat highlighted TOR's additional revenue streams, including its storage capacity of about one million metric tonnes, connections to eight privately operated depots for direct product delivery, and its petroleum-testing laboratory. He also addressed the refinery's financial reporting, noting that TOR has a six-year backlog of unaudited books.

The Ghana Audit Service recently audited TOR to rectify this, and the company plans to engage an external audit firm at the next Annual General Meeting to manage future audits. Financial reporting and internal controls have shown improvement under the new management.