TOR deal: Torentco has too many red flags, lacks capacity - IMANI

The Tema Oil Refinery’s reported lease to a group under the name Torentco Asset Management has been described as “misguided”, policy think-tank, IMANI-Africa has stated.

The “supposed Consortium” has all of its members except Vitol with no credible history.

Despite being listed as part of the Consortium Vitol has admitted that it has no commitment to Torentco. According to IMANI “there is no agreement between Vitol and no subsisting business relationship.”

Three members of the consortium – Torentco, ENTPP &Litwin are reported to have no credibility.

However, one member of the consortium – Pontus – “may be embroiled in Russian sanctions-busting, underhand dealings, and other shady links.

In an assessment of the deal by IMANI-Africa, it noted that “No expert agrees that the $22 million being offered by Torentco for capital investments(capex) to fix TOR’s issues will make any substantive improvements.”

It also added that Torentco’s promoters have not been able to show any evidence of banking relationships to deliver working capital to import crude or operate the refinery.

IMANI-Africa among other civil society groups and experts has raised various concerns with the deal.

They believe that the deal has been shrouded in opaqueness and secrecy which points to some level of undue political interference.

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