The Board Chairman of the Tema Oil Refinery, David Amoako, has tendered his resignation from the company’s board.

A Joy News report stated that Amoako, in a letter to the Presidency and copied to the Ministry of Energy, cited ongoing development issues at TOR for his decision to resign.

“I am unfortunately not in the position to dedicate the necessary time and energy required for a renewed pursuit of a solution for the company, which in my opinion will be an onerous task without a determinable outcome," parts of the letter read.

He also touched on moves to revive TOR which is seeking to partner Torentco, an asset management company which many civil society groups and energy experts have questioned its viability.

“I am also concerned that such a solution will require a level of harmony between staff, management, board of directors and all other stakeholders that sadly appears to have failed us in this most recent iteration of restructuring efforts,” Amoako explained.

David Amoako added that the Board has instructed the management of the refinery to look at additional strategic options because it has been difficult to get the private sector to invest significantly in TOR.

“In the absence of government financial support for the rehabilitation of the refinery, and given the difficulty in attracting significant private sector investment in the plant, the board has instructed management to present a wider range of alternative strategic options for TOR, whilst also continuing its ongoing efforts to secure investors interested in the rehabilitation of the refinery,” he explained.

He, however, wished the staff and management of TOR all the best in their future endeavours.

“I wish the very best for the good people of TOR, and in particular the ordinary working staff, in the immediate future and beyond,” Amoako concluded.

Meanwhile, the TOR workers' union has consistently opposed attempts by the company's board and management to form a partnership with Torentco Asset Management Limited, which is currently operating as Tema Energy and Processing Limited.

About the Tema Oil Refinery-Torentco deal

In a significant move for Ghana’s oil industry, the Tema Oil Refinery (TOR) in 2023 sought approval from Ghana’s Public Procurement Authority (PPA) to lease its main production assets to a company called Torentco Asset Management.

The proposal involves leasing TOR’s primary production assets to Torentco Asset Management, which would assume control of TOR’s core refining operations for a period of six (6) years.

Under this agreement, Torentco would have the authority to refine up to 8 million barrels of oil annually, paying an annual rent of $1 million.

Following some details of the proposed deal, checks have indicated that Torentco Asset Management (TAM) has no online presence, raising questions of a 'shady' deal by government according to CSOs.

Meanwhile, TAM will also pay $0.5 for each extra barrel if it refines more than 8 million barrels under the deal should it be approved.

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