In a candid disclosure that has reignited debate over Ghana’s energy sovereignty, a senior government official has confirmed that the Tema Oil Refinery cannot process the country’s own offshore crude, forcing Ghana to sell its premium-grade oil abroad while importing cheaper, less desirable crude for domestic refining.
Dr. Yussif Sulemana, Technical Adviser at Ghana’s Ministry of Energy and Green Transition, made the revelation during a radio interview on Monday, as global oil prices pushed past $100 per barrel. He explained that TOR is missing two critical processing units — a diesel hydro unit to reduce sulphur content, and an isomerisation unit to raise the fuel’s octane rating — that would be needed to meet Ghana’s required 91 Research Octane Number standard for petrol.
“I don’t think that we are refining what is coming from Jubilee,” Dr. Sulemana said. “We are not bound to refine what is coming from Jubilee. Normally, it is the economics that will dictate.” He added that Ghana’s crude — pumped from the Jubilee, TEN, and Sankofa offshore fields — commands a premium on the international market, making it more profitable to export than to refine locally.
The admission comes at a particularly sensitive moment. With crude prices spiking, Ghana currently holds between five and six weeks of petroleum product stocks, with additional vessels docked and ready to discharge, which could extend that buffer to ten weeks. Longer term, the government is exploring a supply arrangement with Dangote Refinery in Nigeria, though Dr. Sulemana cautioned that the Nigerian facility would price its exports at international market rates, not at a regional discount.
Authorities are weighing three options to shield consumers from rising prices: letting market forces prevail, introducing targeted subsidies, or channelling windfall revenue from crude exports back into the downstream sector. The government has also confirmed that plans are underway to upgrade TOR and develop a new processing plant within its enclave. “A new refinery within TOR is on the horizon,” Dr. Sulemana said.
Source: Graphic.com.gh