The board and management of the Tema Oil Refinery have responded to concerns raised by civil society organisations concerning the TOR-Torentco partnership deal.

The CSOs had raised objection to the partnership which they said had been carried out in obscurity and did not present the best opportunity or value to TOR.

They added that the partnership would render the refinery invalid at the end of its six year tenure.

But responding to this, the board and management said while the concerns of the CSOs are welcomed, they have nothing to worry about.

In a three paged report signed by the board and management, they noted that although they had wished to deal directly with a major multinational company, TOR’s accrued debts made the refinery unattractive to many, hence the decision to settle on Torentco.

They added that the partnership will allow TOR to move from being an annual loss making entity to having a sustained positive net cash flow during the lease.

It will also demonstrate that crude oil can be processed at the refinery and help TOR to achieve industry accepted yields if managed efficiently.

Finally, the partnership will stem the exodus of skilled staff to the middle east and other parts of the world to secure opportunities.

TOR’s board and management stated that the transaction is already in its final stages of documentation and the company has an extensive list of ‘conditions precedent’ which Torentco must satisfy to demonstrate their ability to deliver all that is required in the transaction.

“If at any point they are unable to do so, the transaction will not become effective and TOR will be left to continue with its ongoing efforts to find a solution,” the report added.

Read the full statement below: