Welcome to our dedicated page for Sasol news (Ticker: SSL), a resource for investors and traders seeking the latest updates and insights on Sasol stock.
Sasol Limited (NYSE: SSL) is an international integrated energy and chemicals company with operations spanning across 37 countries. With a talented workforce exceeding 31,000 employees, Sasol excels in developing and commercializing advanced technologies, and building world-scale facilities that produce a variety of high-value products such as liquid fuels, chemicals, and low-carbon electricity.
Core Business Segments
- Energy Business: This segment focuses on the production and marketing of liquid fuels and pipeline gas, drawing from Sasol's upstream oil and gas interests and coal mining operations.
- Chemical Business: This segment generates the majority of the company's revenue by producing and marketing commodity and performance chemicals globally.
While maintaining a strong commitment to its home base in South Africa, Sasol is expanding internationally, leveraging its unique value proposition that combines the talent of its people with technological innovation. Over the past six decades, Sasol has been a pioneer in innovation, adapting its methods, facilities, and products to meet evolving market needs and stakeholder expectations. This dynamic approach has enabled the company to sustain long-term shareholder value.
Recent Achievements and Financial Condition
Despite challenging macro-economic conditions, including volatile oil and petrochemical prices and inflationary pressures, Sasol has continued to make significant strides. For the six months ended December 31, 2023, Sasol reported revenue of R136.3 billion, although this was lower than the prior period's R149.8 billion due to decreased chemical product prices. Earnings before interest and tax (EBIT) were R15.9 billion, reflecting a 34% decrease from the previous period.
The company also declared an interim dividend of 200 cents per share for the six months ended December 31, 2023. This decision underscores the company's confidence in its liquidity and solvency, ensuring that capital remains sufficient to support ongoing operations.
Current Projects and Partnerships
Sasol continues to invest in innovative projects and sustainable initiatives. Recent announcements include the company's commitment to reducing its environmental footprint and improving air quality, as evidenced by the appeal to the National Environmental Management: Air Quality Act, which was upheld, allowing Sasol to apply load-based limits for SO2 emissions from April 2025 to March 2030.
Additionally, Sasol's production and sales performance metrics for the three months ended September 30, 2023, and six months ended December 31, 2023, have been published, showcasing the company's ongoing operational improvements and strategic initiatives.
Overall, Sasol Limited remains a significant player in the energy and chemicals sectors, continually evolving to meet market demands and stakeholder expectations while delivering sustainable value to its shareholders.
Sasol has released its production and sales metrics for the six months ending December 31, 2022. The company aims to reduce GHG emissions from its South African operations by at least 30% by 2030, based on 2017 levels. To support this, Sasol signed three power purchase agreements for renewable energy, including a long-term agreement for 69MW of wind power for Sasolburg operations, expected to start in early 2024. In collaboration with Air Liquide, two additional contracts for 220MW of wind power at Secunda operations are set for 2025. These steps reflect Sasol's commitment to a sustainable energy transition.
Sasol has announced that for the six months ending 31 December 2022, both earnings per share (EPS) and headline earnings per share (HEPS) are anticipated to increase by over 20%, compared to EPS of R23.98 and HEPS of R15.21 from the same period last year. This growth is attributed to higher Brent crude oil prices and refining margins, despite challenges in chemical sales prices and feedstock costs. However, ongoing operational issues, particularly in the coal value chain, have negatively affected production volumes, leading to revised market guidance.
On November 3, 2022, Sasol announced its upcoming Annual General Meeting (AGM) scheduled for 9:00 AM on December 2, 2022. The AGM will be held electronically and at Sasol Place, Johannesburg. Key dates include the record date for shareholders to receive the meeting notice on October 21, 2022, and the last day to trade being November 22, 2022. Proxy forms must be submitted by 9:00 AM on December 1, 2022. Results will be published on December 5, 2022. For more details, visit Sasol's website.
Sasol Limited announced the pricing of its US$750 million offering of guaranteed senior unsecured convertible bonds due 2027. The bonds will be issued at 100% of their principal amount, with a 4.5% annual coupon, payable semi-annually. Net proceeds will be utilized for general corporate purposes, including debt refinancing. The bonds' initial conversion price is set at US$20.3863, representing a 30% premium to the average share price. An application for trading on the Frankfurt Stock Exchange is anticipated following the November 8, 2022 closing date.
Sasol Limited announced the launch of a US$750 million offering of guaranteed senior unsecured convertible bonds, set to mature in 2027. The bonds are expected to pay a coupon of 4.0% to 4.5% per annum, with the proceeds primarily aimed at refinancing debt. The initial conversion price will be 30% to 35% above the average share price at the time of pricing. A general meeting for shareholder approvals will be convened within 14 months after the closing date on November 8, 2022. The bonds will trade on the Frankfurt Stock Exchange.
Sasol has published its production and sales metrics for the quarter ended 30 September 2022. In South Africa, operations faced disruptions due to a strike by Transnet employees, leading Sasol to declare force majeure on local supply and export of some products. This affected production rates at select plants while the Natref refinery remained operational. At Lake Charles, a fire occurred on 15 October 2022 at the Ziegler alcohol unit, although there were no injuries reported. Further investigations are ongoing to assess damage and repair timelines.
Sasol Limited has received approval from JSE Limited for its ZAR 15,000,000,000 Domestic Medium-Term Note Programme Memorandum. This memorandum is accessible for inspection at the Issuer's registered office and on the Company's website. Investors can find additional details on the JSE's website. For inquiries, investors can contact Tiffany Sydow, the Investor Relations Officer, at +27 (0) 71 673 1929 or via email at investor.relations@sasol.com.
Sasol and ITOCHU Corporation have signed a Memorandum of Understanding (MoU) to explore green ammonia markets, focusing on its use as a bunkering fuel and for power generation. The agreement aims to incorporate ITOCHU's participation in Sasol's green ammonia projects, with potential financial support from Japan. Signed at TICAD 8 in Tunisia, this collaboration emphasizes green hydrogen's role in achieving net-zero emissions, positioning South Africa as a hub for green hydrogen production. Sasol's initiatives reinforce its commitment to energy transition and industrial development.
Sasol has published its suite of annual reports for the financial year ended 30 June 2022, including the Integrated Report, Sustainability Report, Climate Change Report, Annual Financial Statements, and Annual Report on Form 20-F. PricewaterhouseCoopers Inc. provided an unmodified opinion on the annual financial statements released on 23 August 2022. The annual report on Form 20-F was also filed with the US SEC and contains no changes from the previous publication. These documents are available for download on Sasol's website and can be requested through Investor Relations.
Sasol reported a robust financial performance for the year ended June 30, 2022, with EBIT exceeding R61 billion, up over 100% year-over-year, driven by higher energy and chemicals prices. Basic earnings per share surged to R62.34, more than doubling the previous year's figures. The company declared a final dividend of R14.70 per share, reflecting strong capital health, with net debt reduced to US$3.8 billion. Despite operational challenges affecting volumes, Sasol's transformation program led to improved operational stability in the second half of the year.
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