SASOL Integrated Report 2025_Final_28 August 2025 - Flipbook - Page 21
INTRODUCTION
ABOUT SASOL
STRATEGIC OVERVIEW
PORTFOLIOS
ESG
REMUNERATION REPORT
DATA AND ASSURANCE / ADMINISTRATION
PRESIDENT AND CHIEF EXECUTIVE OFFICER’S STATEMENT
KEY MESSAGES
• Clear vision and strategy
This year marks a pivotal moment in Sasol’s journey.
As we celebrate 75 years, we do so with renewed
purpose and clear direction, focused on delivering
our strategy and building a sustainable Sasol that
continues to create value for all our stakeholders.
Simon Baloyi | President and Chief Executive Officer
Dear stakeholders
My vision for Sasol remains clear – to build a resilient
and sustainable business that delivers value for all our
stakeholders. We have taken bold, deliberate steps to
restore, reset and re-imagine our business to make
this vision a reality. This strategy includes:
Restoring our Southern Africa business to historical
levels of performance;
Resetting our International Chemicals business;
Maintaining discipline through a robust financial
framework;
Progressing with our “grow and transform” agenda;
whilst
Staying committed to a value-accretive
decarbonisation path in line with our Emission
Reduction Roadmap (ERR).
Our steps are making an impact, but I will be the first to admit that
more delivery is needed. There is promise and opportunity for us as
the world recalibrates its approach to the energy transition and
Sasol remains well placed to play a key role here. We have talented
people, deep expertise, the technology and world class assets that
uniquely positions us to grow and transform at pace with our
customers’ requirements.
Safety is a core value, our foremost priority and also one of our
material matters. Together with my executive team, we are
unwavering on our commitment to ensure our people return home
safely to their loved ones each day. This is aligned with our
commitment to drive rigorous safety measures to prevent harm to
our people, communities, environment and assets. In August 2024,
we lost one of our colleagues employed by a service provider. This was
a devastating reminder that we are far from achieving our goal of zero
harm. Each life lost is a profound tragedy, and while one is still too
many, I am encouraged by the improvement in occupational safety
performance seen during FY25, where fatalities reduced from five
to one.
Notably, FY25 marks the first fatality-free financial year for Sasol
Mining, a milestone never achieved before. Notwithstanding the
slightly higher hospitalisation rate, the injury severity has decreased,
resulting in our employees returning to work sooner. As a leadership
team, we are actively reinforcing a culture of personal and leadership
accountability. We continue to believe that strong safety and
operating outcomes go hand in hand.
SASOL INTEGRATED REPORT 2025
20
• Safety remains a
core priority
• Continued progress
on strengthening our
balance sheet
• Advancing our transform
agenda through increased
renewables
We experienced no major process safety incidents during FY25 which
is an improvement from FY24. However, a total of 21 significant
process safety incidents occurred, against a target of 17. We have
intensified our focus on process safety and have seen less incidents
in the last six months than the first half of FY25. We have also
commissioned external reviews by specialist safety companies and
their feedback will be used to update our process safety
management improvement plans.
Operational and financial highlights
Our operating environment remains uncertain and unpredictable.
In FY25 we continued to face macroeconomic headwinds, experiencing
a 15% decline in the average Rand per barrel of Brent crude oil price,
as well as significant declines in refining margins and fuel price
differentials. On the upside the average chemicals basket prices
increased and we continued with disciplined cost and capital
spending across the Group. These actions resulted in cash fixed cost
ending only 1% above FY24 and well below inflation. However,
adjusted EBITDA for the year was down 14% to R52bn compared to
the prior year. The coal quality challenges continued to impact the
Southern Africa value chain. Although we saw improved gasifier
performance in quarter four, the Secunda volumes ended marginally
below guidance. Despite the lower volumes, we achieved an oil
breakeven of US$59 per barrel for the Southern Africa value chain,
in line with previous guidance of below US$60 per barrel.
International Chemicals’ adjusted EBITDA increased by more than
US$120 million and ended 38% higher than prior year despite the
prolonged downturn in the chemical market.
