Sonara, Cameroon’s only oil refinery, could soon receive a €300 million loan (about XAF197 billion) to import oil products.
This was revealed by Ferdinand Ngoh Ngoh, Minister of State and Secretary-General of the Presidency of the Republic, in a note signed on March 25. In the note, the Minister of State informed the government about President Paul Biya’s authorization for the launch of negotiations with Afreximbank for the said loan.
The Presidency also indicates that Sonara is now allowed a minimal margin of XAF47.88/L with no impact on the current pump prices.
Since the May 31, 2019, fire incident, Sonara has become an oil products’ importer. The 2020 finance act plans to remove it from the “industry” category and reclassify it as a company operating in the business sector during the current fiscal year.
After the fire incident, the volume of oil products imported by the country to ensure supply is estimated at 1.540 million m3. According to the Ministry of Energy, Sonara imported 480,000m3 and the other marketers operating in Cameroon imported 1.06 million m3.
Source: Business in Cameroon