Tema Oil Refinery Returns to Profit After Years of Decline – Managing Director

The Managing Director of Tema Oil Refinery (TOR), Edmond Kombat, says the refinery has resumed refining operations, returned to profit before tax and completed the turnaround maintenance of its Crude Distillation Unit following years of inactivity.

Speaking at the Government Accountability Series on Monday, Mr Kombat said management inherited a refinery in 2025 with accumulated losses of about GH¢10 billion, debt of about US$517 million, six years of unaudited accounts and key operational units that had been shut down for years.

He noted that the Crude Distillation Unit (CDU) had been out of operation since April 2021 while the Residue Fluid Catalytic Cracking Unit (RFCC) had been shut down since 2019.

According to him, management launched Project Restore TOR to return the refinery to operation, improve its financial position and prepare it for long-term sustainability.

“As part of the programme, the CDU underwent turnaround maintenance between August and October 2025, funded from TOR’s internally generated funds and carried out by the refinery’s engineers and technicians,” he added.

He mentioned that following the completion of the maintenance works and clearance by the National Petroleum Authority (NPA), crude processing resumed on December 19, 2025, with all product streams going into storage for the first time in years.

Mr Kombat stated that TOR received four five-million-barrel crude cargoes between May and July 2026, including Ghana’s Jubilee Medium Sweet crude, which he described as the refinery’s first fully paid Jubilee cargo in a decade.

“The refinery also received 950,000 barrels of Sankofa crude from the Ghana National Petroleum Corporation (GNPC) in September 2026,” he added.

The Managing Director disclosed that commercial operations generated more than 36 per cent revenue growth in 2025 compared to 2024 and almost 60 per cent revenue growth as of September 2026.

“The refinery also recovered outstanding receivables and improved financial controls,” he said.

On financial performance, Mr Kombat revealed that TOR completed its audited accounts for 2019 to 2024 by April 2026 and submitted the 2025 accounts in May 2026.

He further noted that the refinery recorded a profit before tax of GH¢1.24 billion in 2025, its first return to profit in a decade. Trade and other payables also fell from GH¢7.1 billion to GH¢5 billion within a year.

According to him, management had resolved more than 300 staff petitions and promotion-related cases that had remained outstanding for over a decade.

He added that TOR’s recovery had created 1,657 permanent and temporary jobs, including positions for engineers, maintenance workers and contractors.

“The refinery is currently operating at about 28,000 barrels per day, and plans are underway to increase throughput to between 45,000 and 55,000 barrels per day. The government has also directed work on a strategic roadmap to increase processing capacity to 100,000 barrels per day, with a longer-term target of 200,000 barrels per day,” Mr Kombat disclosed.

The Managing Director affirmed that TOR remains focused on increasing operational efficiency, addressing legacy obligations and sustaining the progress made so far.

Margaret Adjeley Sowah, ISD