Ghana's Sentuo Refinery Seeks Local Crude Oil Pricing in Cedi Due to Dollar Fluctuations

Sentuo Oil Refinery in Ghana has asked the government to price local crude oil in cedis, citing losses due to exchange rate fluctuations.

The company's management explained that it pays for domestic raw materials in cedis, but the initial price is usually pegged to the US dollar. This means Sentuo has to convert cedis into dollars to pay for the oil, resulting in currency losses.

Sentuo Group Executive Chairman Xu Ningquan raised this issue on September 23 during a meeting with Ghana's parliamentary energy committee. He called on the government to persuade the Ghana National Petroleum Corporation to sell local crude oil to domestic refineries at a price pegged to the cedi.