Ghana's troubled Tema Oil Refinery (TOR) is still finding it difficult to obtain the letters of credit (L/Cs) it needs to purchase crude oil.

This is despite moves by the government to ensure that the country's only oil refinery is able to pay for its purchases.

Government support

Last year, the government of Ghana appointed a transaction adviser to help raise funds to pay half of the US$600 million owed by TOR to Ghana Commercial Bank.

This should have enabled the bank to provide the L/Cs TOR needs to purchase crude oil. (DC World News, 11 September 2009).

Troubles continue

But despite the government eventually stepping in to ease the refinery's debt burden, officials have said TOR is still having trouble acquiring L/Cs for crude cargoes.

As a result of TOR's troubles, Ghana's President John Atta Mills has sacked the refinery's managing director, Kwame Ampofo. He has been replaced by the former head of Toyota Ghana, Ato Ampiah.

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