Lake Charles Chemicals Complex (LCCC) Status Update, Production And Sales Metrics For The Three Months Ended 30 September 2020

Rhea-AI Summary

Sasol has reported on the status of its Lake Charles Chemicals Complex (LCCC) following Hurricane Laura and Hurricane Delta's impacts. Preliminary assessments show no further damage from Hurricane Delta, and operations are resuming smoothly. Approximately 170 kilotons of production was affected in Q1 FY2021. Seven chemical manufacturing units are operational, with all expected to resume by the end of October 2020. The company continues to support employees and the community affected by the hurricanes.

Positive

• No further damage reported from Hurricane Delta.
• Seven chemical manufacturing units have returned to operation.
• Anticipated full operational capacity by end of October 2020.

Negative

• 170 kilotons of production impacted due to Hurricane Laura.

JOHANNESBURG, Oct. 22, 2020 /PRNewswire/ -- On 27 August 2020, Hurricane Laura made landfall near Sasol´s Lake Charles Chemicals Complex (including Lake Charles Chemicals Project) in Southwest Louisiana. Sasol was making significant progress towards a restart of the LCCC facilities, which had to be suspended as a precautionary measure due to Hurricane Delta. Hurricane Delta made landfall on 9 October 2020.

Preliminary assessments indicated no further damage caused by Hurricane Delta, and we are also pleased to report that our employees have safely resumed their duties. The availability of sufficient industrial-level power from the local provider has resulted in the commencement of a coordinated startup of the complex. The impact of Hurricane Laura on the total net saleable tons of our North American Operations was approximately 170 kilotons in quarter one of financial year 2021.

Seven chemical manufacturing units have returned to operation and all remaining units which were operating prior to Hurricane Laura are expected to return to operation by end October 2020. Commissioning activities of our Low Density Polyethylene unit have resumed, and beneficial operation is still trending towards end October 2020.

Sasol will continue to support its employees and the local community impacted by the hurricanes with relevant resources and assistance.

PRODUCTION AND SALES METRICS FOR THE THREE MONTHS ENDED 30 SEPTEMBER 2020

Sasol has published its production and sales performance metrics for the three months ended 30 September 2020, on the Company´s website at www.sasol.com, under the Investor Centre section or via this URL: https://www.sasol.com/investor-centre/financial-reporting/business-performance-metrics

A business outlook for Sasol North America is also provided in the Business Performance Metrics report.

INVESTOR CONFERENCE CALL

Chief Executive Officer, Fleetwood Grobler, and Chief Financial Officer, Paul Victor, will host a conference call via webcast (https://www.corpcam.com/Sasol22102020 ) at 15:30 (SA time) on 22 October 2020. 

For further information, please contact:
Sasol Investor Relations
Feroza Syed, Chief Investor Relations Officer
Direct telephone: +27 (0) 82 557 7740
investor.relations@sasol.com

Disclaimer - Forward-looking statements

Sasol may, in this document, make certain statements that are not historical facts and relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable. These statements may also relate to our future prospects, expectations, developments and business strategies. Examples of such forward-looking statements include, but are not limited to, the impact of the novel coronavirus (COVID-19) pandemic on Sasol's business, results of operations, financial condition and liquidity and statements regarding the effectiveness of any actions taken by Sasol to address or limit any impact of COVID-19 on its business; statements regarding exchange rate fluctuations, changing crude oil prices , volume growth, increases in market share, total shareholder return, executing our growth projects (including LCCP), oil and gas reserves, cost reductions, our climate change strategy and business performance outlook. Words such as "believe", "anticipate", "expect", "intend", "seek", "will", "plan", "could", "may", "endeavour", "target", "forecast" and "project" and similar expressions are intended to identify such forward-looking statements, but are not the exclusive means of identifying such statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and there are risks that the predictions, forecasts, projections and other forward-looking statements will not be achieved. If one or more of these risks materialise, or should underlying assumptions prove incorrect, our actual results may differ materially from those anticipated. You should understand that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. These factors and others are discussed more fully in our most recent annual report on Form 20-F filed on 24 August 2020 and in other filings with the United States Securities and Exchange Commission. The list of factors discussed therein is not exhaustive; when relying on forward-looking statements to make investment decisions, you should carefully consider both these factors and other uncertainties and events. Forward-looking statements apply only as of the date on which they are made, and we do not undertake any obligation to update or revise any of them, whether as a result of new information, future events or otherwise.

 

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SOURCE Sasol Limited

FAQ

What is the impact of Hurricane Delta on Sasol's production?

There was no further damage reported from Hurricane Delta, allowing operations to resume.

How much production was lost due to Hurricane Laura?

Approximately 170 kilotons of production was affected in Q1 of FY2021.

When will all units at the Lake Charles Chemicals Complex be operational?

All remaining units are expected to return to operation by the end of October 2020.

What measures is Sasol taking to support its employees after the hurricanes?

Sasol is providing relevant resources and assistance to its employees and the local community impacted by the hurricanes.

When is the next investor conference call for Sasol?

The conference call will be hosted on October 22, 2020, at 15:30 SA time.