THE Tema Oil Refinery (TOR) will as from this week begin exporting 2,500 metric tonnes of Liquefied Petroleum Gas (LPG) to a number of Mediterranean countries.
The first consignment of the gas, which was bought by Vitol Oil Company, is expected to be exported to Morocco. Proceeds from the sale of the gas will be used to settle part of the loan acquired for the establishment of the $230 million plant.
The Residual Fluidised Catalytic Cracking (RFCC) Plant, which produces the LPG, was inagurated by President J . A. Kufuor last week.
The plant will now enable TOR to convert the low cost residue (fuel oil) into additional quantity of high value Liquefied Petroleum Gas (LPG) and Gasoline sufficient to meet domestic demand with extra for export.
Mr R.. B. Forson, Deputy Managing Director in charge of operations of the TOR, who disclosed this in an interview at Tema yesterday, said loading of the product on board an LPG Carrier Ship called the Premier, is expected to be completed today for shipment.
He, however, declined to mention the amount involved in the export programme.
Mr Forson said the demand for the product on the export maket is high and that TOR is currently working out a programme to come out with modalities to ensure an uninterrupted export programme.
The processing plant which started operations on October 3, this year, is capable of processing 14,000 barrels of petroleum residue a day.
He said the plant is capable of producing enough gasoline and Liquefied Petroleum Gas (LPG) to supplement what is produced by the old plant to meet the demands of consumers.
“The operation of the new plant will ensure that the residue from the existing 45,000 barrels capacity of the old plant after processing of crude oil does not go waste and thereby ensure that the country’s gasoline, LPG and other requirements are met,” Mr Forson stated.
The TOR, he said, used to export the residue as raw materials which did not yield much revenue.
According to the deputy managing director, the processed residue produces 15 per cent LPG which is equivalent to about 2,100 barrels while 55 per cent gasoline is retrieved from the processed residue.
The other product which is retrieved from the residue is gas oil, Mr Forson said and explained that, by this arrangement more than 70 per cent of the residue which was hitherto sold at a cheaper price can now be sold at a more competitive price.
“The new plant has also added more value to our products to the extent that we can export and thus save cost,” he indicated.
A Korean company, S.K Engineering/Construction Company Limited executed the contract which began in May 1999 and financed by Samsung Corporation of Korea. Mr Forson denied reports that the TOR has abrogated its management contract with Sahara Company.
He said, as far as the TOR is concerned, the company is rendering its management services effectively and there is, therefore, no problem.
