JOHANNESBURG, June 3, 2019 /PRNewswire/ -- Sasol provided an
update on the Lake Charles Chemicals Project (LCCP) in an
announcement on 22 May 2019. The announcement included
reference to the fact that beneficial operation of the Ethylene
Glycol (EG) facility had been achieved, with the beneficial
operation of the Ethylene Oxide (EO) facility expected within
days.
Sasol is pleased to announce that the EO facility achieved
beneficial operation on 31 May 2019.
The combined EO/EG unit is the second of the seven LCCP production
units to come online.
Management continues to take actions to mitigate the impact of
LCCP's revised capital cost on the business, whilst ensuring these
actions do not adversely impact Sasol's long term
sustainability. Sasol still expects peak gearing in FY19 and
with net debt to EBITDA for FY19 remaining within the 2,0 – 2,3x
guidance range. The net debt to EBITDA covenant applicable to the
$3,9bn Revolving Credit Facility has
been amended from 2,5x to 3,0x.
Following the LCCP announcement, Standard & Poor's and
Moody's both affirmed Sasol's investment grade rating, with Moody's
amending its outlook to negative.
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, developments and business strategies.
Examples of such forward-looking statements include, but are not
limited to, cost estimates and expected timing of beneficial
operation of LCCP, targets or guidance regarding our gearing ratio
and dividend pay-out ratio, net debt-to-EBITDA ratio, EBITDA and
internal rate of return for LCCP, as well as statements regarding
our future liquidity, credit ratings and non-core asset disposal
strategy. 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 are discussed more fully
in our most recent annual report on Form 20-F filed on 28 August 2018 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.
For further information, please contact:
Feroza Syed
Chief Investor Relations Officer
Direct telephone: +27(0)10-344-7778
feroza.syed@sasol.com
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SOURCE Sasol Limited