Sasol 1st Half Revenue Fell on Lower Sales Volumes; Cuts Fiscal Year 2023 Mining Guidance

By Anthony O. Goriainoff

Sasol Ltd. said Tuesday that revenue for the first half of fiscal 2023 fell on year, and that it was cutting its mining guidance to reflect current performance levels pending improvement amid pricing and demand volatility.

The South African chemicals-and-energy group said that this stemmed from the volatile global macro economic environment as well as the potential for continuing disruption from utility company Eskom and logistics operator Transnet on its suppliers and customers.

The company generated revenue for the half year ended Dec. 31 of $4.76 billion compared with $4.86 billion for the first half of fiscal 2022. The company said this was driven by a 5% fall in sales volumes in the period due mostly to lower Eurasia volumes offset by higher sales volumes in America.

The company said mining guidance was in the 900 tons to 1,000 tons per continuous miner per shift range, down from a previous guidance of 950 tons to 1,050 tons per continuous miner per shift.

Sasol said this downward revision didn't affect its production guidance for Secunda Operations or Chemicals Africa.

"Sasol remains well positioned in the current oil price and refining margin environment, despite the negative impact from the weaker global economic growth, disrupted supply chains, depressed chemicals prices and higher feedstock and energy costs," the company said.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

January 24, 2023 01:32 ET (06:32 GMT)

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