| Type | Public (NYSE: SSL, JSE: SOL) |
|---|---|
| Industry | Chemicals, petrochemicals, fuels and oils, natural gas |
| Founded | 1950 |
| Headquarters | Johannesburg, South Africa |
| Key people | David Constable, CEO |
| Revenue | US$4.40 Billion (FY 2009)[1] |
| Operating income | US$1.25 Billion (FY 2009)[1] |
| Net income | US$1.77 Billion (FY 2009)[1] |
| Total assets | US$18.9 Billion (FY 2009) [2] |
| Total equity | US$10.9 Billion (FY 2009)[2] |
| Employees | 33,928 |
| Website | Main Site |
Sasol Ltd. (Afrikaans: Suid Afrikaanse Steenkool en Olie, English: South African Coal and Oil) is a South African company involved in mining, energy, chemicals and synfuels. In particular, they produce petrol and diesel profitably from coal and natural gas using Fischer-Tropsch process. The company has factories at Sasolburg and Secunda (Secunda CTL) and has taken a stake in projects under construction in Qatar (Oryx GTL), Iran (Arya Polymers) and Nigeria (Escravos GTL). Sasol senior officials are also from time to time involved in senior level negotiations with their China counterparts with the view on establishing a chemical plant in China, being the fastest growing economy in the world.
Contents |
Sasol is a global petrochemical group producing fuels and chemicals. Sasol Limited, the holding company of the Sasol group, is jointly listed on the Johannesburg and New York stock exchanges.
Sasol's primary business is based on CTL (coal-to-liquid) and GTL (gas-to-liquid) technology and this differentiates it from other petrochemical companies. CTL and GTL plants convert coal and natural gas respectively into liquid fuels. Sasol's early experience was in South Africa. Sasol's original CTL plant at Sasolburg was commissioned in 1955. It was subsequently converted into a GTL facility and is still in operation. Two large CTL production facilities were commissioned in the early 1980s in Secunda and now form the single largest and most profitable asset in Sasol's global portfolio. In the early 1990s, at the request of the South African Government, Sasol licensed a GTL process to PetroSA, the South African state-owned oil company. This plant is also still in operation.
During the mid-1990s, Sasol sought to globalise by approaching natural gas and coal resource owners to form CTL and GTL joint venture companies. Sasol owns a stake in the Oryx GTL plant in Qatar that was commissioned in 2007.[3] Sasol, Petronas, and Uzbekneftegaz have signed an agreement to establish a joint venture for developing the Uzbekistan GTL project.[4][5] Sasol also had an economic interest in the Escravos GTL plant, which is currently being constructed in Nigeria and is due to be commissioned in 2011. Sasol is currently also conducting feasibility studies relating to potential CTL plants in China, South Africa, and the United States of America.
There are four basic phases in a CTL or GTL plant: (i) gasifying the coal into synthesis gas or reforming natural gas into synthesis gas, which is primarily a mixture of carbon monoxide and hydrogen; (ii) purification of the synthesis gas to remove impurities such as sulphur; (iii) turning the gas into a liquid; and (iv) processing that liquid into fuel.
Apart from the GTL and CTL businesses Sasol also has a widely diversified chemical business. A number of chemicals are extracted from the FT processes. These include solvents, co-monomers, ethylene, propylene and Fischer Tropsch waxes. Sasol also produces ammonia and associated downstream fertilisers and explosives. Sasol has a global polymers business which produces polymers in South Africa and has joint venture interests in cracker and polymer ventures in the Middle East and Asia. In 2001 Sasol acquired the chemical business of Condea which produces olefins and surfactants primarily in Europe and the USA.
Sasol were the title sponsors of the Jordan Grand Prix team during the 1992, 1993 and 1994 Formula One World Championship seasons.
Sasol was the shirt sponsor of the Springboks (the South Africa national rugby union team) and continues to sponsor the Sasol Tigers aerobatic team flying Aero L-29 Delfin.
Sasol was a founding partner of the South African National Youth Orchestra Foundation in 1979, and is currently still supporting this foundation.
The company also sponsors the SASOL Birds of Southern Africa bird field guide.[6]
In 2009 Sasol agreed to pay an administrative penalty of R188-million as part of a settlement agreement with the Competition Commission of South Africa for alleged price fixing, in which a competitor alleged that Sasol was abusing its dominance in the markets for fertilisers by charging excessive prices for certain products.
Sasol also had to pay a €318-million fine to the European Commission (EC), which is about R7,9-billion, for participating in a paraffin wax cartel. Despite its indication that it would appeal the fine amount, the full amount had to be paid to the EC within three months of the fine being issued.[7]