TOR-Torentco deal: Staff allege grand scheme by management to form two subsidiary firms

Some members of the General Transport, Petroleum and Chemical Workers Union Division at TOR have raised alarm over what they allege to be fresh attempts by government to revamp the operations of the refinery through Torentco Asset Management.

The concerned staff have alleged the formation of two subsidiary firms that still have the controversial Torentco Asset Management as part of its shareholders.

They further alleged that these two newly formed entities – Tema Energy and Processing Ltd. and TOR Workers Charity Trust LBG form part of a grand scheme by management of TOR to carry out its leasing agreement with Torentco Asset Management.

Bernard Owusu, National Chair General Transport, Petroleum and Chemical Workers Union has therefore called for transparency in any deal to ensure that workers’ interest is prioritized.

“We are not against any company taking over TOR, we are saying the company that is coming to take over TOR should be of good track record; it must be capable and credible but not some group of people who will go and sit and form a company to take over the refinery and make money, for that we will resist," he is quoted by Citi Business News.

Owusu continued, "TOR is for Ghanaians, and we are supposed to be given a fair deal. So, with this new companies, we will resist with our last blood to ensure that right thing is done"

Meanwhile, members of General Transport, Petroleum and Chemical Workers Union Division at TOR on Tuesday October 3, 2023 met with Energy Minister, Dr Matthew Opoku Prempeh over their concerns.

About the Tema Oil Refinery-Torentco deal

In a significant move for Ghana’s oil industry, Tema Oil Refinery (TOR) has recently sought approval from Ghana’s Public Procurement Authority (PPA) to lease its main production assets to a company called Torentco Asset Management.

The proposal involves leasing TOR’s primary production assets to Torentco Asset Management, which would assume control of TOR’s core refining operations for a period of six (6) years.

Under this agreement, Torentco would have the authority to refine up to 8 million barrels of oil annually, paying an annual rent of $1 million.

Following some details of the proposed deal, checks have indicated that Torentco Asset Management (TAM) has no online presence, raising questions of a 'shady' deal by government.

Meanwhile, TAM will also pay $0.5 for each extra barrel if it refines more than 8 million barrels under the deal.

MA/NOQ

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