Trade Liabilities Reduced From $624m To $39m- BOST MD

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The Managing Director (MD) of the Bulk Oil Storage and Transportation Company (BOST), Edwin Alfred Provencal has told the media that BOST has been working tirelessly since 2017 to bring its trade Liabilities from a whooping amount of $624million to $39million.

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Speaking to journalists at the Information Ministry over the weekend, Mr. Provencal reiterated that BOST was set out with three key mandates to guide its operations.

These mandates includes; firstly, to develop and maintain a national network of facilities for the bulk storage, transportation and distribution for petroleum products in Ghana.

The second mandate is to build strategic reserve stock of petroleum products to meet six (6) weeks of national consumption. ,”So, we are expected to provide petroleum security to the people of Ghana,” he added.

The third but not the least mandate according to Mr. Provencal is the Importation of petroleum products to ensure fuel security in the country and export to the neighbouring countries to improve revenue.

In his presentation, the BOST MD mentioned that about 73% of the trade liabilities were paid using internally generated fund (IGF), this Mr. Provencal believe is worthy of emulation by other State Owned Enterprises, Whiles the remaining 27% was provided by the government.

He seized the opportunity to express his appreciation to the government for supporting the company in its quest to becoming the number one fuel and logistics business in the sub-region by 2024.

” we are making efforts to settle the reminder of the trade Liabilities latest by 2022,” Mr. Provencal disclosed.

Reacting to the claims by Bulk Distribution Companies (BDCs) of BOST’s indebtedness to the tune of some $37m, he refuted the above claims saying, the total amount being claimed by the BDCs in not correct.

Proofing further with details to back his outfit, Mr. Provencal disclosed that various experts, well versed with finance and security issues such as the Economic and Organised Crime Office (EOCO), External Auditors and National Security amongst other Security Agencies were contracted to investigate the claim by the BDCs.

After a thorough and painstaking process of investigations, only $11m out of the total claim of $37m could be authenticated as being real and genuine debts being owed tot he BDCs.

This new figure of $11m according to the BOST MD, have been accepted by the BDCs thus; saving the country a huge amount of $26m.

“This move is part of efforts to improve the books of BOST and allow ample space to operate in the country’s oil and gas sector,” Mr. Provencal disclosed.

Source/Contributor: Kingsley Asiedu

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