TOR suspends LPG export

The Tema Oil Refinery (TOR), has since last year not been able to export Liquefied Petroleum Gas due to rising local demand of the product. TOR has accordingly suspended the exportation of the product to any country.

According to the deputy Managing Director in charge of operations at the Refinery R.B Forson, TOR at the moment has no excess LPG for export.

He said the refinery has a responsibility to produce enough to meet local demand before exporting the excess to countries in need.

He stated that since the completion of the Residual Catalytic Cracker, which was expected to refine more residual for local consumption and for export, TOR has only been able to make two-cargo shipment of LPG to some countries in the Mediterranean. Forson said the refinery would resume the exportation of LPG and other petroleum products to any country only if production exceeds domestic demand.

According to him, the refinery is not too keen on exporting LPG and other petroleum products to Europe and America because the commodity has an international price applicable everywhere.

He said the RCC since its completion last year has produced large quantities of LPG and other petroleum products and was thought to be capable of meeting both local and international demand.

The Tema Oil Refinery last year announced that Ghana would start exporting LPG and other petroleum products to Europe and the Mediterranean after the completion of the newly installed residual catalytic cracker which has the capacity to produce LPG in large quantum. Forson however, declined to mention the specific countries Ghana exported LPG to and how much was accrued to Ghana from the export.

But an energy expert who spoke to the Business and Financial Times said the refinery might at the moment be producing below capacity, which is why it can no longer produce for export.