The Chamber of Petroleum Consumers (COPEC) is hinting of a possible conflict of interest between the Bulk Storage and Transportation Company (BOST) and BB Energy.

In a new twist to the never-ending saga between BOST and COPEC, the Executive Director of COPEC Duncan Amoah says there appears to be a "relational interest" between BOST and BB Energy, an interest that may have influenced the sale of over 940,000 barrels of crude oil.

At a press conference, Monday, Mr Amoah said he will petition the office of the Special Prosecutor to look into the fishy transaction between the two institutions that may have led to a potential financial loss to the state.

According to him, the explanation BOST gave for selling the crude oil to BB Energy at a subsidized rate of $2 was untenable.

Background

COPEC alleged that BOST had sold 1.8 million barrels of crude to BB Energy, an unlicensed company, in a transaction that was anything but financially prudent.

Duncan Amoah alleged the country lost about $30 million in the transaction as a result of a decision to sell the crude to BB Energy at a discounted price of $2 per barrel.

“We do not think if it was his [BOST's CEO, Alfred Obeng Boateng] personal company he would agree to undertake this kind of transaction,” he told Joy News.

“There are losses across the chain which the office of the Special Prosecutor, must be interested in this one, EOCO must be interested in.

But BOST discounted the claims by COPEC.

Mr Alfred Obeng

At a counter press conference, BOST said the accusations by COPEC were ill-informed and laced with half-truths.

It said the crude sold to BB Energy was 942,000 barrels and not 1.8 million barrels as Mr Amoah quoted to the media.

On the allegation that BOST sold its product at a discount of two dollars at the time crude oil prices were going up on the world market, BOST said it reserved the right to give discounts to any company it deemed fit.

“It is not out of place in the commodity market to give a discount,” Head of Trade Department at BOST Albert Martey, said, explaining that a company willing to pay for its products upfront instead of the 90 days credit makes perfect business sense.

“You can invest that money and make returns instead of waiting for the 90 or 120 days so giving a discount is not out of place in this business.”

He also stated in that same press conference that it was not out of place for BOST to deal with an unlicensed company, insisting BB Energy did not need a license to be engaged in that particular transaction.

There have since been allegations of death threats against the BOST boss, Alfred Obeng and a counter defamatory suit against Mr Duncan.   

In the heat of the court suits and police investigations, the COPEC boss rubbished the responses BOST gave to its initial accusation.

Joy FM’s Joseph Ackah Blay who was at the press conference reported Mr Duncan Amoah as saying the explanations by BOST did not add up.

Contrary to claims by BOST that BB Energy paid for the crude oil it lifted, Duncan Amoah said the crude oil was still kept in tanks at TOR and refined.

He also alleged that BB Energy was still indebted to TOR even though the latter claims the monies have been paid.

Mr Amoah said he will be petitioning the Special Prosecutor to investigate the matter.