KZN flood damage sees Sasol declare force majeure on some chemical exports
Sasol has declared force majeure on the export of some chemical products due to the impact the recent floods in KwaZulu-Natal has had on its business.
The energy and chemical group says its quarterly volume will be impacted due to the extent of infrastructure damage in KZN.
The war between Russia and Ukraine has also caused the price of Brent crude oil to skyrocket - leading to a spike in the price of fuel.
This has affected the company’s sales.
The group announced the decision on Monday.
“The ongoing conflict in Ukraine and resulting energy price volatility, together with rising inflation and the Covid-19 lockdowns in China, pose a risk to sales volumes and margins during the last quarter of FY22,” it said.
“Our Q4 FY22 volume outlook will be impacted based on the extent of infrastructure damage, the duration of the recovery and restoration of key infrastructure and utilities. We are continuing to monitor the situation in KwaZulu-Natal and supporting our employees and communities during this challenging period. We will update the market of any material impacts.”
The group has recently donated R7.5 million to support emergency relief efforts in KZN.
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