BOST Bolgatanga exports 160 trucks of petroleum products in four months

Edwin Alfred Provencal, the managing director (MD) of the Bulk Oil Storage and Transportation Company Ltd (BOST), says the company’s Bolgatanga depot has exported 160 trucks of petroleum products to neighbouring countries since it commenced re-exportation in March 2021.

He said the National Petroleum Authority (NPA) granted BOST the export licence in the early part of 2021 and it began exporting in March.

Provencal was speaking to journalists in Bolgatanga after BOST held a performance assessment engagement with cfivil society organisations.

He said the depot will play a critical role in the economic development of the country with respect to foreign exchange reserves.

“When we consume the product [petroleum] locally, we pay in Ghana cedis. However, when we are going to replace the product, we have to convert the Ghana cedis to dollars and procure the product. Because our cedi depreciates sometimes, there are foreign exchange losses.

“But with the re-export, we bring in the product, add our transportation and logistics costs and some margin and export it to the landlocked countries, and they pay us directly in dollars,” Provencal said.

More opportunities from AfCFTA

He said that if the depot was used to full capacity, this would have a signficant direct impact on Ghana’s economy, and that the depot is positioned to take advantage of the African Continental Free Trade Agreement.

“We are happy this depot is back and we are proud of the work that has been done by the management team and the staff of Bolgatanga depot. We hope that they continue doing the work as they should, so that they make this country better.”

Chukwuemeka Aniabonam, the Bolgatanga BOST depot manager, said it was established in 1993 with storage capacity of 6.5 million litres.

The depot used to experience evaporation losses from its tank 303 because of internal roof seal damage in 2016 but this was repaired in 2020 so the company could begin again to receive products for sale.

The tanks’ storage capacity had been boosted to meet customer demands, Aniabonam said.

“We have been able to get enough stock to sell to our Sahelian market and meet their demand effectively.

“In the past, because of our dormancy, customers went all the way to Accra to load, which had a huge effect on our roads. Since we came into operation, it has eased a lot of pressure on our roads. Movement from here to Paga [on the border with Burkina Faso] is about 40 minutes’ drive.”

Aniabonam said the depot’s storage capacity is 46.5 million litres in all: 34 million litres for diesel and 12.5 million litres for petrol. Management believes it is well positioned to capture the Sahelian market.

“We are looking at 40% of the Sahelian market. If we capture 40% we are in good business. So management has thought it wise to expand our storage capacity because that is the only way we can [do this].”

Good maintenance

Certain CSO leaders, after touring the facility, expressed their satisfaction with the work done by BOST.

“We have seen some maintenance work being done. Tanks have been blasted, painted and repositioned,” said Nana Amoasi VII, the executive director of the Institute of Energy Security.

“Corrosion has been taken care of, and we shouldn’t expect any water ingress, meaning that there wouldn’t be contamination of the product with water.”

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