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Sasol - Cautionary Announcement

Release Date: 19/06/1998 08:03:40      Code(s): SOL SOLD
SASOL LIMITED
(INCORPORATED IN THE REPUBLIC OF SOUTH AFRICA)
(REGISTRATION NUMBER 79/03231/06)
CAUTIONARY ANNOUNCEMENT
IN THE INTERIM REPORT DATED 2 MARCH 1998, SHAREHOLDERS WERE ADVISED THAT:
"THE FULL IMPACT OF RECENT EVENTS IN ASIA ON WORLD MARKETS CANNOT AS YET BE
ASCERTAINED.  THIS UNCERTAINTY, TOGETHER WITH THAT OF THE R/US$ EXCHANGE RATE,
CRUDE OIL PRICES, REFINING MARGINS AND PRODUCT PRICES, COULD EXERT DOWNWARD
PRESSURE ON PROFITS.  NEVERTHELESS, THE PROFIT FOR THE SECOND HALF OF THE
FINANCIAL YEAR IS EXPECTED TO EXCEED THAT OF THE FIRST HALF, BUT GIVEN THESE
FACTORS THE ATTAINMENT OF THE RECORD PROFIT LEVEL OF 1996/97 IS NOT
ANTICIPATED".
IT HAS TRANSPIRED THAT, WITH THE EXCEPTION OF THE EXCHANGE RATE, THE NEGATIVE
IMPACT ON PROFITS OF ALL THE UNCERTAINTIES MENTIONED ABOVE WAS GREATER, IN SOME
CASES SIGNIFICANTLY SO, THAN WAS ANTICIPATED IN FEBRUARY. IN PARTICULAR, PRICES
OF CRUDE OIL AND PETROCHEMICAL COMMODITIES HAVE WEAKENED MATERIALLY IN RECENT
MONTHS.
EARNINGS FOR THE SECOND HALF OF THE YEAR ARE NOW EXPECTED TO BE LOWER THAN
THOSE FOR THE FIRST HALF OF THE FINANCIAL YEAR.  IT IS HOWEVER ANTICIPATED THAT
THE DIVIDEND WILL REMAIN UNCHANGED.
THE 1997/98 FINANCIAL YEAR HAS BEEN CHARACTERISED BY AN UNPRECEDENTED NUMBER OF
FACTORS WHICH HAVE HAD A NEGATIVE IMPACT ON SASOL'S RESULTS.  THAT THE GROUP IS
NEVERTHELESS EXPECTED TO GENERATE ATTRIBUTABLE PROFITS IN THE ORDER OF R2
BILLION, UNDERSCORES THE RESILLIENCE OF THE GROUP AND ITS ABILITY TO WITHSTAND
NEGATIVE FACTORS.  IN THE MEDIUM AND LONGER TERM, THE SIGNIFICANT INVESTMENTS
MADE IN BOTH EXISTING AND NEW BUSINESSES, WILL CONTINUE TO IMPROVE
PROFITABILITY MATERIALLY AND REAL PROFIT GROWTH IS EXPECTED.
SPONSORING BROKER
FLEMING MARTIN
FLEMING MARTIN SECURITIES LTD
REGISTRATION NUMBER 95/11815/06
MEMBER OF THE JOHANNESBURG STOCK EXCHANGE



                                        
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