The management of Tema Oil Refinery (TOR), in a news release, has rebutted claims that it is on the brink of a shutdown due to debts owed by some utility providers in the country.
TOR in a statement claims the company is currently taking some measures to ensure its strategic turnaround.
“We wish to refute what is recently being circulated in the media to suggest that TOR is on the verge of shutdown. Such publications from anonymous sources create an unwarranted negative impression of the organization and hinder the progress of our revitalization and expansion plans as well as the business operations at large”.
“We hereby state categorically that TOR is not on the verge of shutdown, but has rather been positioned for its effective turnaround and revitalization through the support of its shareholder,”
“Efforts by TOR Management led to the payment of TOR’s outstanding GHS One Billion debt that accrued between 2009 and 2016. The payment was made by the current government as part of support to TOR. A further USS 167m of the debt carried over from 2009 to 2016 has also been paid by the Government”.
“As a means of addressing the outstanding debt situation and ensuring that the necessary capital injection required for the effective and reliable operation of the refinery is made available, a Business and Revitalization Plan was developed to form part of required inputs for the application for recapitalization of TOR. This is in accordance with Regulation 198 and 199 of the Public Financial Management Regulations. The application was endorsed by the State Interest and Governance Authority (SIGA) and forwarded to the Ministry of Finance for consideration in February 2021,” excerpts of the statement said.
Story by: Richmond Mortty Bediako