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SOL/SOLBE1 - Sasol Limited - Trading statement for the six months ending
31 December 2011
Sasol Limited
(Incorporated in the Republic of South Africa)
(Registration number 1979/003231/06)
Sasol Ordinary Share codes: JSE : SOL NYSE : SSL
Sasol Ordinary ISIN codes: ZAE000006896 US8038663006
Sasol BEE Ordinary Share code: JSE : SOLBE1
Sasol BEE Ordinary ISIN code: ZAE000151817
("Sasol")
Trading statement for the six months ending 31 December 2011
1. Introduction
Profitability in the 2012 financial year to date has been enhanced by
improved operational performance in certain businesses, the considerable
improvement in oil and commodity prices and a weaker rand compared to the
prior comparable period.
In addition, Sasol Synfuels` production volume guidance for the 2012
financial year has been revised to a range of between 7,0 million tons
and 7,2 million tons to take into account the cumulative effect of three
unforeseen incidents that have impacted production for the year to date.
The incidents that have impacted Sasol Synfuels` production in the last
five months include a three week industrial action in July 2011, a
gasifier incident at the Secunda West plant in August 2011 and a recent
incident on the coal conveyor system interrupting coal supply to the
Secunda East plant. The coal conveyor system is in the process of being
repaired.
The earnings forecast for the six months ending 31 December 2011 takes
cognisance of the revised production guidance for Sasol Synfuels.
2. Expected earnings for the six months ending 31 December 2011
Sasol`s earnings per share and headline earnings per share for the six
months ending 31 December 2011 are estimated to increase by at least 45%
compared to the prior comparable period. In terms of the JSE Listings
Requirements, a trading statement is necessitated when there is a
reasonable degree of certainty that earnings will differ by at least 20
percent from the prior comparable period. Due to continued volatility,
Sasol is unable at this time to give a more precise indication of how
much this increase will be, but a more accurate estimate will be given
once the half year has closed and we have greater certainty. The expected
increase in earnings is mainly due to improved operational performance in
certain businesses, a significant improvement in the average crude oil
and product prices and a weaker rand/US dollar exchange rate compared to
the prior comparable period.
In addition, our results may be impacted by further changes in oil and
product prices, volume variances, the impact of closing exchange rates on
financial assets and liabilities, as well as any adjustments resulting
from our half year-end process. This may result in a change in the
estimated earnings.
It is emphasised that this trading statement deals only with the
comparison to the first half of the 2011 financial year. The higher
earnings base of the second half of the 2011 financial year will strongly
influence a comparison of the full 2012 financial year`s results with
2011. Guidance will be provided when there is a reasonable degree of
certainty in this regard.
3. CFO letter
On 30 November 2011, Sasol will post an operational review and
developments on major capital projects, through an update from the Chief
Financial Officer on its website (www.sasol.com).
Sasol`s financial results for the six months ending 31 December 2011 will
be announced on Monday, 12 March 2012.
The above information has not been reviewed and reported on by the
Company`s external auditors.
23 November 2011
Johannesburg
Sponsor: Deutsche Securities (SA) (Proprietary) Limited
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, developments and business strategies. Examples of such
forward-looking statements include, but are not limited to, statements
regarding exchange rate fluctuations, volume growth, increases in market
share, total shareholder return and cost reductions. Words such as
"believe", "anticipate", "expect", "intend", "seek", "will", "plan",
"could", "may", "endeavour" 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 are discussed more fully in our
most recent annual report under the Securities Exchange Act of 1934 on
Form 20-F filed on 7 October 2011 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.
Date: 23/11/2011 11:00:08 Supplied by www.sharenet.co.za
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