Ghana Plans New Refineries, Petrochemical Plants to Cut Fuel Imports

Jonathan Ernst/World Bank
The port of Tema in Ghana.
22 April 2025
Daba Finance (Abidjan)

TLDR

  • Ghana has announced plans to build three oil refineries and five petrochemical plants as part of a national strategy to reduce reliance on imported refined fuel
  • Ghana currently operates two small-capacity refineries, Tema and Sentuo, with a combined limit of 90,000 barrels per day
  • The project includes five petrochemical plants and a gas processing facility, to be managed by the new Petroleum Hub Development Corporation (PHDC)

Ghana has announced plans to build three oil refineries and five petrochemical plants as part of a national strategy to reduce reliance on imported refined fuel and position itself as a regional energy hub. The projects were unveiled during the "Investing in African Energy: Accra Investor Briefing 2025" forum.

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Ghana currently operates two small-capacity refineries, Tema and Sentuo, with a combined limit of 90,000 barrels per day. The new refineries will each target a minimum of 300,000 barrels per day. A 20,000-acre site in Jomoro, Western Region, has been allocated for the development.

The government will provide basic infrastructure to support investment. The project includes five petrochemical plants and a gas processing facility, to be managed by the new Petroleum Hub Development Corporation (PHDC).

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Key Takeaways

Ghana's planned expansion of refining and petrochemical capacity is a strategic shift. The country imports most of its refined fuel despite producing crude oil. New local processing infrastructure will allow Ghana to retain more value across the energy supply chain. The government's push to include gas processing and petrochemical conversion into products like fertilizers, methanol, and alumina signals an intent to support domestic industries and exports. A gas processing plant with a 150 million scfd capacity is expected to supply industrial demand. By anchoring the initiative in the Western Region and promising infrastructure like roads and power, Ghana seeks to attract investors while stimulating local economic development. Oversight by PHDC aims to streamline permitting and regulation for foreign and domestic firms. With oil production plateauing, this downstream strategy is designed to diversify revenue, improve trade balances, and generate jobs across sectors tied to energy-intensive industries.

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