The Tema Oil Refinery (TOR) says it has returned to profitability after years of operational challenges, with management reporting a GH¢1.24 billion profit before tax in 2025 following the resumption of crude oil processing in December 2025.
Managing Director Edmond Kombat disclosed this during a press briefing in October 2026, outlining what he described as a turnaround in the refinery’s operational and financial fortunes under President John Dramani Mahama’s Reset Agenda.
According to Kombat, TOR inherited accumulated losses of approximately GH¢10 billion in May 2025, while its debt had increased from about $300 million in 2016 to approximately $517 million by the time the new management assumed office.
The refinery’s Crude Distillation Unit (CDU) had been shut down since April 2021, while the Residue Fluid Catalytic Cracking (RFCC) Unit had remained inactive since 2019.
Kombat said the situation had left TOR largely dependent on renting storage facilities to petroleum companies rather than performing its primary function of refining crude oil.
He added that 18 of the refinery’s 59 storage tanks were out of service and the company had failed to file audited financial statements for six consecutive years, from 2019 to 2024.
The refinery also had outstanding obligations to the Ghana Revenue Authority, the Social Security and National Insurance Trust, utility providers, creditors and former employees.
Refining operations resume
Kombat said management launched Project Restore TOR to rehabilitate the refinery, improve financial controls and restore confidence among employees, suppliers and business partners.
Turnaround maintenance on the CDU was undertaken between August 1 and October 30, 2025, using the refinery’s internally generated funds and the expertise of its engineers and technicians.
Following an inspection by the National Petroleum Authority, TOR received clearance to resume refining, with crude processing restarting on December 19, 2025.
The Managing Director said the refinery had since received several crude cargoes, including Ghana’s Jubilee crude and a 950,000-barrel shipment of Sankofa crude supplied through the Ghana National Petroleum Corporation.
He said the refurbished CDU was commissioned by President Mahama on August 1, 2026.
Financial reporting and improved performance
Management has also cleared a significant backlog in financial reporting.
According to Kombat, TOR completed its audited accounts for 2019 to 2024 by April 30, 2026, followed by the 2025 accounts on May 30, 2026.
The reports were submitted to the State Interests and Governance Authority (SIGA) and presented at the refinery’s 18th Annual General Meeting on June 30, 2026.
He said TOR’s trade and other payables declined from GH¢7.1 billion to GH¢5 billion in 2025, while receivable days fell from 1,099 to 652.
Commercial revenue also increased by more than 36 per cent in 2025 compared with 2024, with management reporting growth of nearly 60 per cent as of September 2026.
The refinery’s product storage volumes rose from 426,954 metric tonnes in 2024 to 1,107,389 metric tonnes in 2025, representing growth of approximately 159 per cent.
Volumes increased further to 1.35 million metric tonnes in 2026, according to the briefing.
Expansion plans
Despite the improvements, Kombat acknowledged that TOR was not yet operating at its full capacity.
The refinery is currently processing approximately 28,000 barrels of crude per stream day, with engineers working to increase throughput to between 45,000 and 55,000 barrels per day.
Management also plans to expand the existing facility and pursue a broader programme that could eventually increase Ghana’s refining capacity to 200,000 barrels per day through brownfield expansion and a proposed new refinery.
Kombat said discussions were also underway with the Ministry of Finance regarding a possible write-off or conversion into equity of $120 million in legacy debt owed to the government.
He stressed that more work remained to be done to address outstanding liabilities, modernise infrastructure and establish TOR as a commercially sustainable refinery.
The Managing Director maintained that the recovery programme had laid the foundation for improved financial performance and a stronger contribution to Ghana’s petroleum industry.
