Mahama announces return of local crude refining as TOR prepares for June Production
President John Dramani Mahama has revealed that Ghana is set to resume refining its own crude oil at the Tema Oil Refinery (TOR), marking a significant step in the government’s strategy to boost domestic industrial capacity and maximise value from the country’s natural resources.
Addressing members of the Ghanaian diaspora during an engagement in London, the President disclosed that crude oil produced from Ghana’s offshore fields will soon be supplied directly to TOR for processing, with operations expected to commence in June.
He described the development as a major milestone in Ghana’s quest to reduce reliance on imported petroleum products and strengthen local participation across the energy value chain.
Mahama noted that exporting raw resources without processing them locally deprives the country of employment opportunities, industrial growth, and additional revenue.
He argued that greater benefits can be derived when resources such as crude oil, minerals, and other raw materials are refined and transformed within Ghana before reaching international markets.
The President also highlighted progress made in restoring confidence within the energy sector. He explained that his administration inherited substantial financial obligations and liquidity challenges but has since taken steps to improve the sector’s stability.
Among the measures outlined was the restoration of a key financial guarantee facility backed by the World Bank, which supports payments for natural gas supplied to Ghana’s power generation sector.
According to Mahama, the facility has been fully replenished, helping to secure additional gas supplies and strengthen electricity production.
He further announced major investment commitments from international oil and gas partners operating in Ghana. These investments, he said, will fund the drilling of new wells and expand production capacity in key offshore fields, reinforcing the country’s position as a significant energy producer.
On electricity generation, Mahama stated that government has reached structured repayment arrangements with independent power producers, easing financial pressures that previously threatened energy supply.
He said the improved relationship with power producers has contributed to greater stability within the sector.
The President expressed optimism that the combined efforts to increase local refining, attract fresh investment, and strengthen energy infrastructure will support economic growth while enhancing Ghana’s long-term energy security.
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