Claim is false - Kan-Dapaah

Energy Minister, Mr Albert Kan-Dapaah on Tuesday dismissed as false, claims that OPA Inc, an American refining and marketing firm, had been denied the opportunity to purchase the Tema Oil Refinery.

Speaking at a press conference in response to allegations surrounding TOR's privatisation, Mr Kan-Dapaah said the Divestiture Implementation Committee (DIC) was yet to be given the mandate to open a bidding process on the refinery and that the decision laid entirely with the government.

Mr Kofi Wayo, a businessman who is at the centre of the allegations claimed to be a Senior Vice-President of OPA Inc. Although the Minister admitted meeting a group of businessmen and had received a letter from OPA Inc, indicating its preparedness to buy TOR at 35 million dollars, the firm was duly informed that no formal government decision had been made on the ownership structure of TOR and that they would be contacted once that was done.

Mr Kan-Dapaah said the group also indicated to seek an additional financing of about 900 million dollars to expand TOR's processing capacity from its current 45,000 barrels to 100,000 barrels per day. This offer was, however, not documented in the formal letter of intent to the Ministry.

Other terms of the offer were the granting of a 15 per cent stock ownership to the government, a representative on the seven member Board, Employee stock option plan equivalent to five per cent stock ownership and also giving the staff one seat on the Board.

Mr Kan-Dapaah said a preliminary intelligence conducted on OPA Inc indicated that the company was wholly owned by an American couple and questioned Mr Wayo's claim of 10 per cent share in it. He said further investigation also revealed that the company did not have the capacity to act like an operating corporation since it was formed primarily to trade in crude oil.

Besides, the offer value OPA Inc quoted was less than 10 per cent of the estimated value of the refinery. "In spite of these negative revelations, we did pass on OPA's expression of interest in TOR to the DIC," which said the firm that they would be contacted once the process began.

Mr Kan-Dapaah, therefore, wondered why the OPA Inc and Mr Wayo should subject the government to all manner of attacks and said, "this practice is most unethical and uncalled for".

The government, the Minister said, would be fair to other interested parties in the divestiture of the refinery, declaring that no amount of insults or shouts would divert attention from ensuring a transparent divestiture process. "We believe in providing a level playing field for all stakeholders genuinely interested in the sustainable development of the country."

Besides, the government would scrutinise all dealings that have the potential danger of causing financial loss to the nation, the Minister said, adding that government would not entertain "spurious claims that are clothed in the mantle of patriotism."

"Nor should we be moved from our chosen course by loud-sounding, emotional appeals to sophistry. "Shouting on the airwaves and raining insults on government officials will not divert us from being fair to all, " he said.