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Sol - Sasol Limited - Sasol Nitro Settlement And Competition Law Compliance

Release Date: 20/05/2009 14:09:08      Code(s): SOL
SOL - Sasol Limited - Sasol Nitro Settlement And Competition Law Compliance     
Sasol Limited                                                                   
(Incorporated in South Africa)                                                  
Registration number: 1979/003231/06                                             
ISIN Code: ZAE000006896                                                         
JSE Code: SOL                                                                   
NYSE Code: SSL                                                                  
The Competition Tribunal today confirmed the settlement agreement, reached      
between the Competition Commission of South Africa and Sasol Nitro, a division  
of Sasol Chemical Industries Limited, relating to its fertiliser and phosphoric 
acid businesses.                                                                
The confirmation of the agreement has the effect of a full and final settlement 
and conclusion of all proceedings between the Commission and Sasol Chemical     
Industries Limited relating to any alleged contraventions by Sasol Chemical     
Industries Limited (Sasol Nitro division) of section 4(1)(b) (prohibiting       
collusive conduct) of the South African Competition Act that were the subject of
the Commission`s investigations in respect of the Nutri-Flo matter and the      
phosphoric acid investigation.                                                  
The remainder of the Nutri-Flo matter and the Profert matter, which deal with   
allegations of abuse of dominance in the market place, form the subject-matter  
of continuing engagement between Sasol and the Competition Commission.          
The original settlement agreement, of 4 May 2009, was concluded with the        
Competition Commission relating to alleged contraventions by Sasol Chemical     
Industries Limited (Sasol Nitro division) of section 4(1)(b) (prohibiting       
collusive conduct) of the South African Competition Act that were the subject of
the Commission`s investigations in respect of the Nutri-Flo matter  and the     
phosphoric acid investigation. In terms of the agreement Sasol Chemical         
Industries Limited agreed to pay an administrative penalty of R188, 01 million. 
This agreement was subject to confirmation by the Competition Tribunal.         
In the course of Sasol`s ongoing investigation into anti-competitive behaviour  
within its fertilizer and phosphoric acid business, additional and relevant     
information was uncovered last week, after intensive and repeated interviews    
with employees and ex-employees. Sasol immediately reported the new information 
to the Competition Commission.                                                  
In light of the new information, Sasol tendered an amendment to the previously  
announced settlement agreement, to expand the scope of the admissions that Sasol
made in respect of the anti-competitive conduct in the fertilizer industry.     
The Competition Commission agreed to the amendments regarding Sasol`s admission 
of a contravention of the Act. It indicated the amendment would result in an    
increase in the administrative fine, that Sasol agreed to pay in terms of the   
original settlement agreement, from R188,01 million to R250,68 million.         
"This is another milestone in a continuing process that was started in July last
year and we will not rest until we have cleaned out the cupboard entirely" Pat  
Davies, Chief Executive, said.                                                  
The revised administrative penalty, agreed by Sasol and the Competition         
Commission, was today confirmed at a sitting of the Competition Tribunal in     
Pretoria. The amount must be paid within 60 days of the confirmation.           
"As the chief executive, I, representing Sasol, accept full responsibility for  
the wrongdoing and apologise, both singularly and collectively, to all those who
may have been impacted by the conduct of managers and employees within the Sasol
Nitro business unit in the early to mid-2000`s" Davies said.                    
20 May 2009                                                                     
Issued by Sponsor: Deutsche Securities (SA) (Pty) Limited                       
Disclaimer - Forward looking statements                                         
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Date: 20/05/2009 14:09:07 Supplied by www.sharenet.co.za                     
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