by Gerhard Engelbrecht | Apr 28, 2020 | Chemicals
Price weakness: Many of Sasol’s product prices are at multiyear lows, impacted by lower oil prices and broad demand destruction.Fuel prices: Sasol’s fuel prices in South Africa have declined to the lowest levels since 2005 as oil prices declined and...
by Gerhard Engelbrecht | Apr 24, 2020 | Chemicals
At spot prices Sasol’s losses deepen and we now estimate the company will earn a large loss in 2H20 with a full year loss of R5.84/share. The loss in FY21 increases to R36.99/share. Large losses on currency, ethane and oil hedges contribute to the loss in...
by Gerhard Engelbrecht | Apr 17, 2020 | Chemicals
Spot earnings for FY21 dropped down to a loss of R22.51/share this week due to lower oil prices but also the significant decline in crack spreads in recent weeks. Petrol cracks remain at negative $5.7/bbl, but diesel cracks have now dropped and are close to...
by Gerhard Engelbrecht | Apr 14, 2020 | Chemicals
World Petrochemical Conference: In the last week, IHS hosted the World Petrochemical conference online, forums continue into this week.Weak outlook for chemicals: The outlook for chemical profitability remains extremely weak. Global capacity...
by Gerhard Engelbrecht | Apr 8, 2020 | Chemicals
Key assumption changes: We have adjusted our key assumptions for the remainder of FY20 and FY21 and have lowered our FY20 HEPS estimate by 64% to R3.30/share. We have trimmed the FY21 estimate by 3% to R19.15 as the weaker rand offsets lower prices....
by Gerhard Engelbrecht | Apr 6, 2020 | Chemicals
Asian polymer prices lower: Asian polymer prices, reported this morning, moved sharply lower and only PVC prices did not decline. LDPE prices were 5% lower at $840/t while LLDPE prices declined 13% to $680/t. Polypropylene prices were 8% lower at $800/tUS prices...
