The Managing Director of Tema Oil Refinery (TOR), Edmond Kombat, has called for the establishment of a Sub-Saharan African crude oil pricing benchmark to help stabilise fuel prices and reduce the continent’s vulnerability to global geopolitical shocks.

Speaking during a tour of TOR by fellows of the Africa Extractives Media Fellowship on Thursday, March 26, Mr Kombat said Africa’s continued reliance on international benchmarks such as Brent crude and West Texas Intermediate exposes countries to price volatility driven by conflicts far removed from the continent.

He cited recent global tensions, including developments in the Middle East, as examples of how external events can trigger sharp increases in crude oil prices, even when such events have little direct connection to African markets.

“We currently price crude based on Brent, which is Europe-led, and WTI, which is America-led,” he said. “But Ghana is producing crude, Nigeria is producing, Angola, Côte d’Ivoire, Gabon, Equatorial Guinea — so why can’t we have a sub-Saharan African benchmark?”

According to him, an African-led pricing system would enable the region to better reflect its own market dynamics and reduce the impact of speculative or risk-driven price spikes linked to global conflicts.

Mr Kombat also criticised the continued dependence on foreign pricing agencies for refined petroleum products, noting that benchmarks such as S&P Global Platts and Argus Media are based in Europe, Singapore, and Dubai.

“We are paying premiums that we shouldn’t be paying because of benchmarks set outside our region,” he said, urging African countries to rethink their pricing frameworks.

Beyond pricing, the TOR MD highlighted the need for stronger regional integration in the petroleum value chain.

He advocated for prioritizing crude supply from within the sub-region to reduce costs associated with long-distance imports, including freight charges, insurance, and risk premiums.

He further stressed the importance of investing in strategic crude reserves, describing crude oil as a more viable long-term storage option compared to refined products.

“As a country, we must invest in strategic stocks, and the best stock to invest in is crude, which can be stored for decades,” he said.