SML dares Fourth Estate over 10-Year Contract false claims
In response to the recent documentary aired by the Fourth Estate’s team, SML has issued a statement addressing the allegations made in the film. The company firmly denies the claims made and asserts that the documentary contains misrepresentations and false information.
One of the key points raised by SML is the duration of the contract. The company challenges the Fourth Estate to produce any contract anywhere that is for a 10-year period. SML clarifies that the contract approved by the 5th PPA Board is for a duration of five years, as stated in a letter referenced PPA/CEO/09/2286/23.
Another false claim addressed by SML is the alleged annual payment of $100 million from the contract. SML emphasizes that the contract has not yet been operationalized, and therefore, no revenue has been realized. The company states that the $100 million per year payment alleged by the documentary is purely fictional and not based on facts.
SML also clarifies its engagements with the GRA, stating that it is a risk reward contract where GRA invests nothing in the investment chain. SML is not exempted from the payment of duties and taxes, and 31% of its monthly earnings go to GRA as taxes, in accordance with the law.
The company challenges the documentary’s author to produce evidence of any wrongdoing in the contract arrangement. SML asserts that its charging formula is standard in the industry and is used by other service providers as well.
SML highlights its contributions to the downstream petroleum sector, stating that reported figures have significantly increased due to the company’s work. The volume reporting has risen by over thirty-three percent, with an average of an extra 100 million liters per month, resulting in increased revenue.
SML also addresses the inadequacy of the NPA system in providing revenue assurance to GRA. The company installed ultrasonic flow meters to check the volumes of petroleum products, ensuring accurate measurements and providing assurance to Customs.
Furthermore, SML’s work includes the use of an automatic tank gauging system to replace the current system of measuring fuel volumes. This system aids in revenue calculation, reconciliation with Customs, and the tracking of oil movements, as well as identifying leaks and overfills.
SML takes pride in its highly skilled technical team, which includes Ghanaian-trained engineers and expatriates from the United States. The team’s expertise spans across various fields, ensuring a comprehensive approach to addressing technical challenges.
In conclusion, SML asserts that the allegations made in the documentary are false and part of an attempt by the Cartel in the oil ring to undermine the government’s fight against illegalities in the petroleum sector. The company remains committed to its work and delivering innovative solutions.
Overall, SML’s statement provides a detailed response to the allegations made in the documentary, addressing each point and providing clarifications on the company’s operations and contributions to the petroleum sector.