SASOL Integrated Report 2025_Final_28 August 2025 - Flipbook - Page 61
INTRODUCTION
ABOUT SASOL
STRATEGIC OVERVIEW
PORTFOLIOS
ESG
REMUNERATION REPORT
DATA AND ASSURANCE / ADMINISTRATION
STRENGTHEN OUR FOUNDATION
SOUTHERN AFRICA ENERGY AND CHEMICALS continued
SAFETY IS A TOP PRIORITY
The financial year 2025 was characterised by significant macro-economic
pressures, persistent coal quality challenges, and operational reliability
issues, all of which adversely affected our performance. We implemented
various measures, including stringent cost discipline and effective
working capital management, to minimise the impact on our profitability
and cash flow.
In the final quarter of the year, we observed notable improvements,
particularly in the production at Secunda Operations. This was attributed
to enhanced gasifier availability, supported by a strategic short-term
adjustment in mining operations, which involved the temporary closure
of certain low-quality sections and supplemented by additional
purchases to improve coal quality.
We continue to implement targeted interventions aimed at improving
coal quality and operational stability across our facilities, while
maintaining cost and capital discipline. These efforts are intended to
position us on a path towards creating a healthy and sustainable
business.
Our Southern Africa integrated value chain is the cornerstone of Sasol. It is
characterised by significant value and strategic importance to the country.
PERFORMANCE
Key features:
Advantaged market
location in the
industrial heartland of
South Africa
Diverse and integrated
portfolio enables
optimisation across the
entire value chain
A leading brand with
established local and
global customers
Adjusted EBITDA contribution 2025
13%
Mining
20%
Gas
41%
Fuels
26%
Chemicals Africa
SAFETY OF OUR PEOPLE
Overview of the year
In FY25, a tragic fatality occurred at the Sulphur East plant at
Secunda Operations when a service provider employee fell
during scaffold erection. As a top priority and key risk, safety
is managed through the enterprise risk management (ERM)
framework, the One Sasol SHE Excellence approach and the
High-Severity Incident (HSI) programme.
All high-severity and potential high-severity incidents are
thoroughly investigated by independent Chairpersons to
identify root causes across organisational, workplace, and
individual levels. Corrective actions are implemented and
monitored through assurance processes, including cultural
programmes, engineering solutions, and behaviour-based
interventions. The focus remains on preventing incidents
and managing critical risks.
For more detail refer to pages 101 – 102.
Mining
Gas
Our focus remains on improving the quality of coal supplied to
Secunda Operations. This necessitated a short-term change in
strategy involving the temporary closure of some low-quality
sections and increasing external purchases until the destoning
plant reaches beneficial operation (BO). As a result mining
saleable production for 2025 of 28,2 mt was 7% lower than
2024 while external coal purchases increased by 9%.
In Mozambique, gas production for 2025
was 1% higher than the prior year despite
the impact of the unrest which started in
Q2 FY25, reflecting the additional PSA
contribution.
Mining cost per ton increased to R662 per ton, 11% higher
than 2024 negatively impacted by the lower production.
Total cost per sales ton in 2025 of R742 per ton also
increased by 11% compared to the prior year, mainly due
to the higher mining cost per ton and higher external coal
purchases.
Export sales volumes for 2025 increased by 10% compared to
the prior year, supported by improved Transnet Freight Rail
performance. External sales are being phased out during Q1
FY26, as per plan, to accommodate the destoning plant
commissioning activities.
SASOL INTEGRATED REPORT 2025
60
The external gas sales in South Africa for
2025 were 3% lower than the prior year
mainly due to planned maintenance at
the central processing facility (CPF) in Q1
FY25 and the impact of the unrest in
Mozambique which started in Q2 FY25.