Ghana’s privately owned Sentuo Oil Refinery is set to receive about one million barrels of crude oil from the country’s Jubilee offshore field on Monday, in a move aimed at boosting domestic refining capacity and reducing reliance on imported petroleum products.
The shipment marks one of the largest allocations of locally produced crude to a domestic refinery and forms part of government efforts to expand local value addition within the petroleum sector.
Industry observers say the development comes at a crucial time as geopolitical tensions in the Middle East continue to fuel uncertainty in global energy markets and contribute to volatility in crude oil prices.
The refining of Ghanaian crude locally is expected to lower some of the costs associated with importing refined petroleum products, particularly freight and insurance charges that are typically factored into fuel pricing by Bulk Oil Distribution Companies.
Speaking to Joy Business, Executive Secretary of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah, welcomed the initiative, describing it as a timely intervention amid rising concerns over global energy supply disruptions.
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He praised the government and the Ministry of Energy for facilitating the arrangement, saying it could strengthen Ghana’s energy security while reducing exposure to international market shocks.
Amoah also disclosed that the state-owned Tema Oil Refinery (TOR) is expected to receive a separate crude oil consignment in July for processing.
The latest shipment follows an announcement by President John Mahama during a visit to London that TOR would resume processing Ghanaian crude oil in June as part of a broader strategy to increase local refining and reduce dependence on imported fuel products.
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According to the president, crude from Ghana’s offshore fields would be supplied directly to local refineries, reviving a policy first pursued during his previous administration.
Government officials have argued that expanding domestic refining capacity would enable the country to retain more value from its natural resources, improve energy security and support industrial development.
Sentuo Oil Refinery, located in the Tema Industrial Zone, has emerged as a major player in Ghana’s downstream petroleum sector since commencing operations.
The company says it has processed more than five million tonnes of crude oil since production began.
Developed under China’s Belt and Road Initiative, the refinery completed its first phase in 2022 with a processing capacity of two million tonnes annually. A second expansion phase completed in 2024 increased total capacity to five million tonnes per year.
The refinery says its operations incorporate modern refining technologies, energy-efficiency measures and environmental protection standards designed to support sustainable industrial growth.
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Analysts say the arrival of the Jubilee crude shipment could help strengthen Ghana’s refining sector and reduce the country’s dependence on imported petroleum products over the long term.
The development is also expected to contribute to efforts by authorities to build a more resilient energy industry capable of meeting growing domestic demand while supporting broader economic growth.
