The dispute between Sasol and the South African Revenue Service (SARS) over outstanding tax liabilities and penalties of 12.8bn rand ($985mn) relates to the company’s international procurement of crude between 2005 and 2014. The controversy has intensified amid growing concerns over SARS’ politicization and increasingly precarious economic position.
Sasol joint CEOs Bongani Nqwababa and Stephen Cornell have been relatively quiet since they were appointed in July 2016. However, they attended the World Economic Forum in Davos together and gave a joint media interview there that was released on 21 January, giving some insight into their working relationship and the potential direction that Sasol
Despite continued macroeconomic and fiscal uncertainty and “junk” ratings for Mozambique, South Africa’s Sasol announced a $1.4bn investment in Inhambane province at the end of May. The investment is part of the Production Sharing Agreement (PSA) that Sasol signed with the Mozambican government in January 2016, and includes field developments near the company’s existing operations
On 6 June Sasol announced that the preliminary findings of its review of the LCCP showed that total capital expenditure could rise to $11bn – a significant increase from previous forecasts of $8.9bn. The project, which is 40% completed, has suffered various construction delays. Sasol also issued a trading update that included major impairments, prompting
President Jacob Zuma’s disastrous appointment of David van Rooyen as minister of finance on 9 December, and his subsequent removal from the Treasury portfolio days later in favor of Pravin Gordhan, has been roundly criticized both in and outside of South Africa. As the situation stabilizes, questions have been raised over Zuma’s decision-making, his advisors