Exhibit 99.1  Sasol Limited
  group 80 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 Sasol Limited is the holding company of the Sasol group (the group)
  and is domiciled in the Republic of South Africa. The following principal accounting
  policies were applied by the group for the financial year ended 30 June 2013.
  Except as otherwise disclosed, these policies are consistent in all material
  respects with those applied in previous years. Financial reporting terms
  These definitions of financial reporting terms are provided to ensure clarity
  of meaning as certain terms may not always have the same meaning or
  interpretation in all countries. Group structures Associate An entity, other
  than a subsidiary or joint venture, in which the group, holding a material
  long-term interest, has significant influence, but no control or joint
  control, over financial and operating policies. Business unit An operation
  engaged in providing similar goods or services that are different to those
  provided by other operations. The primary business units are: South African
  energy cluster ¦ Sasol Mining ¦ Sasol Gas ¦ Sasol Synfuels ¦ Sasol Oil ¦
  Other International energy cluster ¦ Sasol Synfuels International ¦ Sasol
  Petroleum International Chemical cluster ¦ Sasol Polymers ¦ Sasol Solvents ¦
  Sasol Olefins & Surfactants ¦ Other chemical businesses including: ¦
  Sasol Wax ¦ Sasol Nitro ¦ Merisol ¦ Sasol Infrachem Classified as other
  businesses in the segment report: ¦ Sasol Technology ¦ Sasol Financing ¦ Corporate
  head office functions ¦ Alternative energy businesses In the notes to the
  financial statements, where items classified as other businesses or other
  chemical businesses are material, the amounts attributable to these
  businesses have been specified. Company A legal business entity registered in
  terms of the applicable legislation of that country. Entity Sasol Limited, a
  subsidiary, joint venture, associate or special purpose entity. Foreign
  operation An entity whose activities are based or conducted in a country or
  currency other than those of the reporting entity (Sasol Limited). Group The
  group comprises Sasol Limited, its subsidiaries and its interest in joint
  ventures, associates and special purpose entities. Joint venture An economic
  activity over which the group exercises joint control established under a
  contractual arrangement. Operation A component of the group:  that
  represents a separate major line of business or geographical area of
  operation; and  is distinguished separately for financial and operating
  purposes. Subsidiary Any entity over which the group has the power to
  exercise control. Special purpose entity An entity established to accomplish
  a narrow and well defined objective, including the facilitation of the
  groups black economic empowerment transactions, and where the group receives
  the majority of the benefits related to the operations and net assets of the
  entity, is exposed to the majority of the risks incident to the entitys
  activities and retains the majority of the residual or ownership risks
  related to the entity or its assets. accounting policies and financial
  reporting terms


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 81 SASOL AFS 7 OCT  PROOF final 2
  General accounting terms Acquisition date The date on which control in
  subsidiaries, special purpose entities, joint control in joint ventures and
  significant influence in associates commences. Assets under construction A
  non-current asset which includes expenditure capitalised for work in progress
  in respect of activities to develop, expand or enhance items of property,
  plant and equipment, other intangible assets and exploration assets. Business
  An integrated set of activities and assets capable of being conducted and
  managed for the purpose of providing a return in the form of dividends, lower
  costs or other economic benefits directly to investors or other owners,
  members or participants. Cash generating unit The smallest identifiable group
  of assets which can generate cash inflows independently from other assets or
  groups of assets. Commissioning date The date that an item of property, plant
  and equipment, whether acquired or constructed, is brought into use.
  Consolidated group financial statements The financial results of the group
  which comprise the financial results of Sasol Limited and its subsidiaries,
  special purpose entities, the proportionate interest in the financial results
  of joint ventures and its interest in associates. Construction contract A
  contract specifically negotiated with a third party for the construction of
  an asset or a combination of assets that are closely interrelated or
  interdependent in terms of their design, technology and function or their
  ultimate purpose or use. Control The ability, directly or indirectly, to
  govern the financial and operating policies of an entity so as to obtain
  benefits from its activities. When assessing the ability to control an
  entity, the existence and effect of potential voting rights that are
  presently exercisable or convertible are taken into account. Corporate assets
  Assets, other than goodwill, that contribute to the future cash flows of both
  the cash generating unit under review as well as other cash generating units.
  Discontinued operation An operation that represents a major line of business
  or geographical area of business that, pursuant to a single plan, has either
  been disposed of or is classified as an operation held for sale. Discount
  rate The rate used for purposes of determining discounted cash flows defined
  as the yield on AAA credit rated bonds (for entities outside South Africa)
  and relevant South African Government bonds (for South African entities) that
  have maturity dates approximating the term of the related cash flows. This
  pre-tax interest rate reflects the current market assessment of the time
  value of money. To the extent that, in determining the cash flows, the risks
  specific to the asset or liability are taken into account in determining
  those cash flows, they are not included in determining the discount rate.
  Disposal date The date on which control in subsidiaries, special purpose
  entities, joint control in joint ventures and significant influence in
  associates ceases. Exploration assets Capitalised expenditure relating to the
  exploration for and evaluation of mineral resources (coal, oil and gas). Fair
  value The price that would be received to sell an asset or paid to transfer a
  liability in an orderly transaction between market participants at the
  measurement date. Financial results Comprise the financial position (assets,
  liabilities and equity), results of operations (revenue and expenses) and
  cash flows of an entity and of the group. Functional currency The currency of
  the primary economic environment in which an entity operates. Long-term A
  period longer than 12 months from the reporting date. Market participants
  Buyers and sellers in an open market who are independent, knowledgeable and
  willing to exchange an asset or settle a liability in an arms length transaction.
  Mineral assets Capitalised expenditure relating to producing coal, oil and
  gas properties, including development costs and previously capitalised
  exploration assets. Other comprehensive income Comprises items of income and
  expense (including reclassification adjustments) that are not recognised in
  the income statement and includes the effect of translation of foreign
  operations, cash flow hedges, remeasurements of defined benefit plans,
  available-for-sale financial assets and changes in revaluation reserves.
  Presentation currency The currency in which financial results of an entity
  are presented.


82 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group General accounting terms Qualifying asset An asset that necessarily
  takes a substantial period (normally in excess of 12 months) of time to get
  ready for its intended use. Recoverable amount The amount that reflects the
  greater of the fair value less costs to sell and value in use that can be
  attributed to an asset as a result of its ongoing use by the entity. In
  determining the value in use, expected future cash flows are discounted to
  their present values using a discount rate. Related party Parties are
  considered to be related if one party directly or indirectly has the ability
  to control or jointly control the other party or exercise significant
  influence over the other party or is a member of the key management of the
  reporting entity (Sasol Limited). Revenue Comprises turnover, dividends
  received and interest received. Share-based payment A transaction in which an
  entity issues equity instruments, share options or incurs a liability to pay
  cash based on the price of the entitys equity instruments to another party
  as compensation for goods received or services rendered. Significant
  influence The ability, directly or indirectly, to participate in, but not
  exercise control over, the financial and operating policy decisions of an
  entity so as to obtain economic benefit from its activities. Turnover Comprises
  revenue generated by operating activities and includes sales of products,
  services rendered, licence fees and royalties, net of indirect taxes, rebates
  and trade discounts. Remeasurement items Comprises of items of income and
  expense recognised in the income statement that do not relate to the normal
  operating activities of the reporting entity and includes the impairment of
  non-current assets, profit or loss on disposal of non-current assets
  including businesses and investments, and scrapping of assets. Financial
  instrument terms Available-for-sale financial asset A financial asset that
  has been designated as available-for-sale or a financial asset other than
  those classified as loans and receivables, financial assets at fair value
  through profit or loss, held-to-maturity investments or derivative
  instruments. An investment intended to be held for an indefinite period of
  time, which may be sold in response to needs for liquidity or changes in
  interest rates, is classified as a non-current available-for-sale financial
  asset. Cash and cash equivalents Comprise cash on hand, cash restricted for
  use, bank overdraft, demand deposits and other short-term highly liquid
  investments with a maturity period of three months or less at date of
  purchase. Cash flow hedge A hedge of the exposure to variability in cash
  flows that is attributable to a particular risk associated with a recognised
  asset or liability or a forecasted transaction. Cash restricted for use Cash
  and cash equivalent balances which are not available for general use by the
  group, including amounts held in escrow, trust or other separate bank
  accounts. Derivative instrument A financial instrument:  whose value changes
  in response to movements in a specified interest rate, commodity price,
  foreign exchange rate or similar variable;  that requires minimal initial
  net investment; and  whose terms require or permit settlement at a future
  date. Effective interest rate The derived rate that discounts the expected
  future cash flows to the current net carrying amount of the financial asset
  or financial liability. Equity instrument Any financial instrument (including
  investments) that evidences a residual interest in the assets of an
  enterprise after deducting all of its liabilities. Financial asset Cash or cash
  equivalents, a contractual right to receive cash, an equity instrument or a
  contractual right to exchange a financial instrument under favourable
  conditions. accounting policies and financial reporting terms continued


83 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Financial instrument terms Financial liability A contractual
  obligation to pay cash or transfer other benefits or an obligation to
  exchange a financial instrument under unfavourable conditions. This includes
  debt. Financial guarantee A contract that requires the issuer to make
  specified payments to reimburse the holder for a loss it incurs because a
  specified debtor fails to make payment when due in accordance with the
  original or modified terms of the debt instrument. Financial assets at fair
  value through profit or loss A financial asset with no fixed or determinable
  repayments, that the group manages based on its fair value at each reporting
  period. Held-to-maturity investment A financial asset with a fixed maturity
  and fixed or determinable future payments, that management has the positive
  intent and ability to hold to maturity. Such a financial asset is classified
  as a non-current asset, except when it has a maturity within 12 months from
  the reporting date, in which case it is classified as a current asset. Loans
  and receivables A financial asset with fixed or determinable repayments that
  are not quoted in an active market, other than:  a derivative instrument; 
  financial assets at fair value through profit or loss; or  an
  available-for-sale financial asset. Monetary asset An asset which will be
  settled in a fixed or determinable amount of money. Monetary liability A liability
  which will be settled in a fixed or determinable amount of money. Transaction
  date The date an entity commits itself to purchase or sell a financial
  instrument. Statement of compliance The annual financial statements are
  prepared in compliance with International Financial Reporting Standards
  (IFRS) and Interpretations of those standards, as issued by the International
  Accounting Standards Board, the SAICA Financial Reporting Guides as issued by
  the Accounting Practices Committee and the Financial Reporting Pronouncements
  as issued by the Financial Reporting Standards Council and the South African
  Companies Act, 71 of 2008, as amended. The annual financial statements were
  approved for issue by the board of directors on 6 September 2013 and are
  subject to approval by the Annual General Meeting of shareholders on 22
  November 2013. During the current financial year, the following new
  accounting standards, interpretations and amendments to published accounting
  standards were adopted prior to their effective dates: Standard Nature of the
  change Date published Impact on financial position or performance IAS 36
  (Amendment), Impairment of assets: Recoverable Amount Disclosures for
  Non-Financial Assets Amendment 29 May 2013 No impact IAS 39 (Amendment),
  Financial Instruments: Recognition and Measurement: Novation of Derivatives
  and Continuation of Hedge Accounting Amendment 27 June 2013 No impact IFRIC
  21, Levies New interpretation 20 May 2013 No impact


84 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group The following accounting standards, interpretations and amendments to
  published accounting standards which are relevant to Sasol but not yet
  effective, have not been adopted in the current year: Standard Date published
  Effective date* Anticipated impact on Sasol IFRS 9, Financial Instruments 12
  November 2009 1 January 2015 IFRS 9 introduced new requirements for
  classifying and measuring financial assets. Subsequently, new requirements
  were published for the accounting of financial liabilities and the
  derecognition of financial instruments. As the scope of the standard will be
  further expanded to include impairment of assets and hedge accounting, we
  will review the effects of a comprehensive standard on financial instruments
  and consider adoption when appropriate. IFRS 10, Consolidated Financial
  Statements (as amended)^^ 12 May 2011 1 January 2013^ IFRS 10 replaces IAS
  27, Consolidated and Separate Financial Statements that addresses the
  accounting for consolidated financial statements and SIC-12 Consolidation 
  Special Purpose Entities. IFRS 10 provides a single basis for consolidation
  with a new definition of control. The standard is effective for annual
  periods beginning on or after 1 January 2013 although early adoption is
  permitted. The impact of IFRS 10 will result in certain of Sasols
  consolidated entities being accounted for under IAS 28, Investments in
  Associates and Joint Ventures, and IFRS 11, Joint Arrangements. This standard
  will be adopted by the group for the year ending 30 June 2014. IFRS 11, Joint
  Arrangements (as amended)^^ 12 May 2011 1 January 2013^ IFRS 11, Joint
  Arrangements replaces IAS 31, Interests in Joint Ventures and SIC-13
  Jointly-controlled Entities  Non-monetary Contributions by Venturers. Under
  IFRS 11 a joint arrangement is classified as either a joint operation or a
  joint venture, and the option to proportionately consolidate joint ventures
  has been removed. Interests in joint ventures must be equity accounted. This
  standard is effective for annual periods beginning on or after 1 January 2013
  although early adoption is permitted. Sasol currently consolidates its joint
  ventures proportionately on a line by line basis (refer note 60 for financial
  information on proportionately consolidated joint ventures). The application
  of IFRS 11 will result in certain of Sasols operations being classified as
  joint ventures and accounted for using the equity method, and no longer
  proportionately consolidated on a line by line basis. This standard will be adopted
  by the group for the year ending 30 June 2014. IFRS 12, Disclosure of
  Interests in Other Entities (as amended)^^ 12 May 2011 1 January 2013^ The
  standard requires an entity to disclose information that enables users of
  financial statements to evaluate the nature of, and risks associated with,
  its interests in subsidiaries, entities that are not fully consolidated,
  including joint arrangements, associates and special purposes entities; and
  the effects of those interests on its financial position, financial
  performance and cash flows. The effective date for adoption of this standard
  is for periods commencing on or after 1 January 2013. This standard will be
  adopted by the group for the year ending 30 June 2014. IAS 27 (Amendment),
  Separate Financial Statements^^ 12 May 2011 1 January 2013^ Following the
  introduction of IFRS 10, Consolidated Financial Statements, this standard was
  also amended. The effective date for adoption of this standard is for periods
  commencing on or after 1 January 2013. This standard will be adopted by the
  group for the year ending 30 June 2014. IAS 28 (Amendment), Investments in
  Associates and Joint Ventures^^ 12 May 2011 1 January 2013^ Following the
  introduction of IFRS 11, Joint Arrangements, this standard was also amended to
  take into account the changes in accounting for joint arrangements whereby
  joint ventures are equity accounted. The effective date for adoption of this
  standard is for periods commencing on or after 1 January 2013. This standard
  will be adopted by the group for the year ending 30 June 2014. * The
  effective date refers to periods commencing on or after the date noted and
  early adoption is permitted, unless otherwise indicated. ^ Early adoption is
  permitted provided that the entire suite of consolidation standards is
  adopted at the same time. ^^ The adoption of the consolidation suite of
  standards is not expected to have significant impact on total assets, total
  liabilities, equity, earnings and earnings per share. accounting policies and
  financial reporting terms continued


85 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Principal accounting policies Basis of preparation of financial
  results The financial statements are prepared using the historic cost
  convention except that, as set out in the accounting policies below, certain
  items, including derivative instruments, liabilities for cash-settled
  share-based payment schemes, financial assets at fair value through profit or
  loss and available-for-sale financial assets, are stated at fair value. The
  financial statements are prepared on the going concern basis. Except as
  otherwise disclosed, these accounting policies are consistent with those
  applied in previous years. These accounting policies are consistently applied
  throughout the group. Basis of consolidation of financial results The
  consolidated financial statements reflect the financial results of the group.
  All financial results are consolidated with similar items on a line by line
  basis except for investments in associates, which are included in the groups
  results as set out below. Inter-company transactions, balances and unrealised
  gains and losses between entities are eliminated on consolidation. To the
  extent that a loss on a transaction provides evidence of a reduction in the
  net realisable value of current assets or an impairment loss of a non-current
  asset, that loss is charged to the income statement. In respect of
  associates, unrealised gains and losses are eliminated to the extent of the
  groups interest in these entities. Unrealised gains and losses arising from
  transactions with associates are eliminated against the investment in the
  associate. Subsidiaries The financial results of subsidiaries are
  consolidated into the groups results from acquisition date until disposal
  date. The existence of potential voting rights that are currently exercisable
  or convertible are also considered when assessing whether the group controls
  another entity. Special purpose entities The financial results of special
  purpose entities (SPE) are consolidated into the groups results from the
  date that the group controls the SPE until the date that control ceases.
  Control is based on an evaluation of the substance of the SPEs relationship
  with the group and the SPEs risks and rewards. Joint ventures The
  proportionate share of the financial results of joint ventures are
  consolidated into the groups results from acquisition date until disposal
  date. Joint ventures whose financial year ends are within three months of 30
  June are included in the consolidated financial statements using their most
  recently audited financial results. Adjustments are made to the joint
  ventures financial results for material transactions and events in the
  intervening period. Associates The financial results of associates are
  included in the groups results according to the equity method from
  acquisition date until the disposal date. Under this method, investments in
  associates are recognised initially at cost. Subsequent to the acquisition
  date, the groups share of profits or losses of associates is charged to the
  income statement as equity accounted earnings and its share of movements in
  equity reserves is recognised as other comprehensive income. All cumulative
  post-acquisition movements in the equity of associates are adjusted against
  the cost of the investment. When the groups share of losses in associates
  equals or exceeds its interest in those associates, the carrying amount of the
  investment is reduced to zero, and the group does not recognise further
  losses, unless the group has incurred a legal or constructive obligation or
  made payments on behalf of those associates. Goodwill relating to associates
  forms part of the carrying amount of those associates. The total carrying
  amount of each associate is evaluated annually, as a single asset, for
  impairment or when conditions indicate that a decline in fair value below the
  carrying amount is other than temporary. If impaired, the carrying amount of
  the groups share of the underlying assets of associates is written down to
  its estimated recoverable amount in accordance with the accounting policy on
  impairment and charged to the income statement. A previously recognised
  impairment loss will be reversed, insofar as estimates change as a result of
  an event occurring after the impairment loss was recognised. Associates whose
  financial year ends are within three months of 30 June are included in the
  consolidated financial statements using their most recently audited financial
  results. Adjustments are made to the associates financial results for
  material transactions and events in the intervening period. Foreign currency
  translation Items included in the financial results of each entity are
  measured using the functional currency of that entity. The consolidated
  financial results are presented in rand, which is Sasol Limiteds functional
  and presentation currency, rounded to the nearest million. Foreign currency
  transactions Income and expenditure transactions are translated into the
  functional currency of the entity at the rate of exchange ruling at the
  transaction date. To the extent that transactions occur regularly throughout
  the year, they are translated at the average rate of exchange for the year
  since this approximates the actual exchange rates at which those transactions
  occurred. Monetary assets and liabilities are translated into the functional
  currency of the entity at the rate of exchange ruling at the reporting date.
  Foreign exchange gains and losses resulting from the translation and
  settlement of monetary assets and liabilities are recognised in the income
  statement, except when they relate to cash flow hedging activities in which
  case these gains and losses are recognised as other comprehensive income and
  are included in the cash flow hedge accounting reserve. Foreign operations
  The financial results of all entities that have a functional currency
  different from the presentation currency of their parent entity are
  translated into the presentation currency. Income and expenditure
  transactions of foreign operations are translated at


86 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group the average rate of exchange for the year except for significant
  individual transactions which are translated at the exchange rate ruling at
  that date. All assets and liabilities, including fair value adjustments and
  goodwill arising on acquisition, are translated at the rate of exchange
  ruling at the reporting date. Differences arising on translation are
  recognised as other comprehensive income and are included in the foreign
  currency translation reserve. When the settlement of a monetary item, arising
  from a receivable or from a payable to a foreign operation, is neither
  planned nor likely in the foreseeable future, foreign exchange gains and
  losses arising from such a monetary item are considered to form part of a net
  investment in a foreign operation and are recognised in other comprehensive
  income, and are included in the foreign currency translation reserve. On
  consolidation, differences arising from the translation of the net investment
  in a foreign operation are recognised as other comprehensive income and are
  included in the foreign currency translation reserve. On disposal of all of
  the operation, the proportionate share of the related cumulative gains and
  losses previously recognised in the foreign currency translation reserve
  through the statement of comprehensive income are included in determining the
  profit or loss on disposal of that operation recognised in the income
  statement as part of the gain or loss on the disposal. When the group
  disposes of only part of its interest in a subsidiary that includes a foreign
  operation while retaining control, the relevant portion of the cumulative
  foreign currency translation reserve is reattributed to non-controlling
  interests. When the group disposes of only part of its investment in an
  associate or joint venture that includes a foreign operation while retaining
  significant influence or joint control, the relevant portion of the
  cumulative foreign currency translation reserve is reclassified to the income
  statement. Property, plant and equipment Property, plant and equipment is
  stated at cost less accumulated depreciation and impairment losses. Land is
  not depreciated. The cost of self-constructed assets includes expenditure on
  materials, direct labour and an allocated proportion of project overheads.
  Cost also includes the estimated costs of dismantling and removing the assets
  and site rehabilitation costs to the extent that they relate to the
  construction of the asset as well as gains or losses on qualifying cash flow
  hedges attributable to that asset. Costs capitalised for work in progress in
  respect of activities to develop, expand or enhance items of property, plant
  and equipment are classified as part of assets under construction. Finance
  expenses in respect of general borrowings are capitalised on against
  qualifying assets as part of assets under construction. When plant and
  equipment comprises major components with different useful lives, these
  components are accounted for as separate items. Expenditure incurred to
  replace or modify a significant component of plant is capitalised and any
  remaining carrying amount of the component replaced is written off in the
  income statement. All other expenditure is charged to the income statement.
  Property, plant and equipment, other than mineral assets, is depreciated to
  its estimated residual value on a straight-line basis over its expected
  useful life. Mineral assets are depreciated in accordance with the policy set
  out below on exploration, evaluation and development. The depreciation
  methods, estimated remaining useful lives and residual values are reviewed at
  least annually. The estimation of the useful lives of property, plant and
  equipment is based on historic performance as well as expectations about
  future use and therefore requires a significant degree of judgement to be
  applied by management. The following depreciation rates, based on the
  estimated useful lives of the respective assets, were applied: Buildings and
  improvements % 2  5 Retail convenience centres % 3  5 Plant % 4  5
  Equipment % 10  33 Vehicles % 20  33 Mineral assets Life of related reserve
  base The carrying amount of property, plant and equipment will be
  derecognised on disposal or when no future economic benefits are expected
  from its use. Gains and losses on disposal of an item of property, plant and
  equipment are determined by comparing the proceeds from disposal with the
  carrying amount of the property, plant and equipment and are recognised in
  the income statement. Exploration, evaluation and development Oil and gas The
  successful efforts method is used to account for natural oil and gas
  exploration, evaluation and development activities. Expenditures relating to
  dry exploratory wells are charged to the income statement when the well is
  identified as being dry and the costs of carrying and retaining undeveloped
  properties are charged to the income statement as incurred. Property and
  licence acquisition costs as well as development cost, including expenditure
  incurred to drill and equip development wells on proved properties, are
  capitalised as part of assets under construction and transferred to mineral
  assets in property, plant and equipment when the assets begin producing. On
  completion of an exploratory well or exploratory-type stratigraphic test
  well, the entity will be able to determine if there are oil or gas resources.
  The classification of resources as proved reserves depends on whether
  development of the property is economically feasible and recoverable in the
  future, under existing economic and operating conditions, and if any major
  capital expenditure to develop the property as a result of sufficient
  quantities of additional proved reserves being identified is justifiable,
  approved and recoverable. The cost of exploratory wells through which
  potential proved reserves may be or have been discovered, and the associated
  exploration costs are capitalised as exploration and evaluation assets in
  assets under construction. These costs remain capitalised pending the
  evaluation of results and the determination of whether there are proved
  accounting policies and financial reporting terms continued


87 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Business combinations The acquisition method is used when a business
  is acquired. A business may comprise an entity, group of entities or an
  unincorporated operation including its operating assets and associated
  liabilities. On acquisition date, fair values are attributed to the
  identifiable assets, liabilities and contingent liabilities. A
  non-controlling interest at acquisition date is measured at fair value or at
  its proportionate interest in the fair value of the net identifiable assets
  of the entity acquired on a transaction by transaction basis, including that
  component of the non-controlling interest which has a present ownership
  interest. Fair values of all identifiable assets and liabilities included in
  the business combination are determined by reference to market values of
  those or similar items, where available, or by discounting expected future
  cash flows using the discount rate to present values. When an acquisition is
  achieved in stages (step acquisition), the identifiable assets and
  liabilities are recognised at their full fair value when control is obtained,
  and any adjustment to fair values related to these assets and liabilities
  previously held as an equity interest is recognised in the income statement.
  When there is a change in the interest in a subsidiary after control is
  obtained, that does not result in a loss in control, the difference between
  the fair value of the consideration transferred and the amount by which the
  non-controlling interest is adjusted is recognised directly in the statement
  of changes in equity. The consideration transferred is the fair value of the
  groups contribution to the business combination in the form of assets
  transferred, shares issued, liabilities assumed or contingent consideration
  at the acquisition date. Any contingent consideration payable is recognised
  at fair value at the acquisition date. If the contingent consideration is
  classified as equity, it is not remeasured and settlement is accounted for
  within equity. Otherwise, subsequent changes to the fair value of the
  contingent consideration are recognised in the income statement. Transaction
  costs directly attributable to the acquisition are charged to the income
  statement. On acquisition date, goodwill is recognised when the consideration
  transferred and the recognised amount of non-controlling interests exceeds
  the fair value of the net identifiable assets of the entity acquired.
  Acquisitions of non-controlling interests are accounted for as transactions
  with owners in their capacity as owners and therefore no goodwill is
  recognised as a result of these transactions. The adjustments to
  non-controlling interest are based on a proportionate amount of the net
  assets of the subsidiary. Goodwill is tested at each reporting date for
  impairment. To the extent that the fair value of the net identifiable assets
  of the entity acquired exceeds the consideration transferred and the
  recognised amount of non-controlling interests, the excess, or bargain
  purchase gain, is recognised in the income statement on acquisition date.
  reserves. At each reporting date, exploration and evaluation assets are
  assessed for impairment. The following conditions must be met for these
  exploration costs to remain capitalised:  Sufficient progress is being made
  in assessing the oil and gas resources, including assessing the economic and
  operating viability with regards to developing the property.  It has been
  determined that sufficient oil and gas resources or reserves exist which are
  economically viable based on a range of technical and commercial
  considerations to justify the capital expenditure required for the completion
  of the well as a producing well, either individually or in conjunction with
  other wells. Progress in this regard is reassessed at each reporting date and
  is subject to technical, commercial and management review to ensure
  sufficient justification for the continued capitalisation of such qualifying
  exploration and evaluation expenditure as an exploration and evaluation asset
  as part of assets under construction. If both of the above conditions are not
  met or if information is obtained that raises substantial doubt about the
  economic or operating viability, the costs are charged to the income
  statement. Exploratory wells and exploratory-type stratigraphic test wells
  can remain suspended on the statement of financial position for several years
  while additional activity including studies, appraisal, drilling and/or
  seismic work on the potential oil and gas field is performed or while the
  optimum development plans and timing are established in the absence of
  impairment indicators. Depreciation of mineral assets on producing oil and
  gas properties is based on the units-of-production method calculated using
  estimated proved developed reserves. Depreciation of property acquisition
  costs, capitalised as part of mineral assets in property, plant and equipment,
  is based on the units-of-production method calculated using estimated proved
  reserves. Coal mining Coal mining exploration and evaluation expenditure is
  charged to the income statement until completion of a final feasibility study
  supporting proved and probable coal reserves. Expenditure incurred subsequent
  to proved and probable coal reserves being identified is capitalised as
  exploration assets in assets under construction. Expenditure on producing
  mines or development properties is capitalised when excavation or drilling is
  incurred to extend reserves or further delineate existing proved and probable
  coal reserves. All development expenditure incurred after the commencement of
  production is capitalised to the extent that it gives rise to probable future
  economic benefits. Life-of-mine coal assets are depreciated using the
  units-of-production method. A unit is considered to be produced once it has
  been removed from underground and taken to the surface, passed the bunker and
  has been transported by conveyor over the scale of the shaft head. The
  calculation is based on proved and probable reserves assigned to that
  specific mine (accessible reserves) or complex which benefits from the
  utilisation of those assets. Inaccessible reserves are excluded from the calculation.
  Other coal mining assets are depreciated on the straight-line method over
  their estimated useful lives.


88 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group The profit or loss realised on disposal or termination of an entity is
  calculated after taking into account the carrying amount of any related
  goodwill. Other intangible assets Intangible assets, other than goodwill
  (refer policy above on business combinations), are stated at cost less accumulated
  amortisation and impairment losses. These intangible assets are recognised if
  it is probable that future economic benefits will flow to the entity from the
  intangible assets and the costs of the intangible assets can be reliably
  measured. Intangible assets with finite useful lives are amortised on a
  straight-line basis over their estimated useful lives. The amortisation
  methods and estimated remaining useful lives are reviewed at least annually.
  The estimation of the useful lives of other intangible assets is based on
  historic performance as well as expectations about future use and therefore
  requires a significant degree of judgement to be applied by management. The
  following amortisation rates, based on the estimated useful lives of the
  respective assets were applied: Software % 17  33 Patents and trademarks %
  20 Other intangible assets % 6  33 Intangible assets with indefinite useful
  lives are not amortised but are tested at each reporting date for impairment.
  The assessment that the estimated useful lives of these assets are indefinite
  is reviewed at least annually. Research and development Research expenditure
  relating to gaining new technical knowledge and understanding is charged to
  the income statement when incurred. Development expenditure relating to the
  production of new or substantially improved products or processes is
  capitalised if the costs can be measured reliably, the products or processes
  are technically and commercially feasible, future economic benefits are
  probable, and the group intends to and has sufficient resources to complete
  development and to use or sell the asset. All remaining development
  expenditure is charged to the income statement. Cost includes expenditure on
  materials, direct labour and an allocated proportion of project overheads.
  Software Purchased software and the direct costs associated with the
  customisation and installation thereof are capitalised. Expenditure on
  internally-developed software is capitalised if it meets the criteria for
  capitalising development expenditure. Other software development expenditure
  is charged to the income statement when incurred. Patents and trademarks
  Expenditure on purchased patents and trademarks is capitalised. Expenditure
  incurred to extend the term of the patents or trademarks is capitalised. All
  other expenditure is charged to the income statement when incurred. Emission
  rights Emission rights (allowances) received from a government or a
  government agency and expenditure incurred on purchasing allowances are
  capitalised as indefinite life intangible assets at the quoted market price
  on acquisition date and are subject to an annual impairment test. Non-current
  asset or disposal group held for sale A non-current asset or disposal group
  (a business grouping of assets and their related liabilities) is designated
  as held for sale when its carrying amount will be recovered principally
  through a sale transaction rather than through continuing use. The
  classification as held for sale of a non-current asset or disposal group
  occurs when it is available for immediate sale in its present condition and
  the sale is highly probable. A sale is considered highly probable if
  management is committed to a plan to sell the non-current asset or disposal
  group, an active divestiture programme has been initiated, the non-current
  asset or disposal group is marketed at a price reasonable to its fair value
  and the disposal will be completed within one year from classification. Where
  a disposal group held for sale will result in the loss of control or joint control
  of a subsidiary or joint venture, all the assets and liabilities of that
  subsidiary or joint venture are classified as held for sale, regardless of
  whether a non-controlling interest in the former subsidiary or joint venture
  is to be retained after the sale. Proportionate consolidation ceases from the
  date a joint venture is classified as held for sale. Upon classification of a
  non-current asset or disposal group as held for sale it is reviewed for
  impairment. The impairment loss charged to the income statement is the excess
  of the carrying amount of the non-current asset or disposal group over its
  expected fair value less costs to sell. No depreciation or amortisation is
  provided on non-current assets from the date they are classified as held for
  sale. In addition, equity accounting of equity-accounted investees ceases
  once classified as held for sale or distribution. If a non-current asset or
  disposal group is classified as held for sale, but the criteria for
  classification as held for sale are no longer met, the disclosure of such
  non-current asset or disposal group as held for sale is ceased. On ceasing
  such classification, the non-current assets are reflected at the lower of: 
  the carrying amount before classification as held for sale adjusted for any
  depreciation or amortisation that would have been recognised had the assets
  not been classified as held for sale; or  the recoverable amount at the date
  the classification as held for sale ceases. The recoverable amount is the
  amount at which the asset would have been recognised after the allocation of
  any impairment loss arising on the cash generating unit as determined in
  accordance with the groups policy on impairment of non-financial assets.
  accounting policies and financial reporting terms continued


89 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Financial assets The group classifies its financial assets into the
  following categories:  held-to-maturity financial assets;  loans and
  receivables;  available-for-sale financial assets;  financial assets at
  fair value through profit or loss; and  derivative instruments (set out
  below). The classification is dependent on the purpose for which the
  financial asset is acquired. Management determines the classification of its
  financial assets at the time of the initial recognition and re-evaluates such
  designation at least at each reporting date, except for those financial
  assets at fair value through profit or loss, where this designation is made
  on initial recognition and is irrevocable. Financial assets held for trading
  are classified at fair value through profit or loss. The group manages these
  investments and makes purchase and sale decisions based on their fair value.
  Attributable transaction costs are recognised in the income statement as
  incurred. Financial assets at fair value through profit or loss are stated
  initially at transaction date at fair value and subsequent changes therein,
  which takes into account any dividend or interest income, are charged to the
  income statement. Financial assets are recognised on transaction date when
  the group becomes a party to the contracts and thus obtains rights to receive
  economic benefits and are derecognised when these rights expire or are
  transferred. Financial assets, with the exception of those held at fair value
  through profit or loss, are stated initially on transaction date at fair
  value including transaction costs. Held-to-maturity financial assets and
  loans and receivables are subsequently stated at amortised cost using the
  effective interest rate method, less impairment losses. Available-for-sale
  financial assets are subsequently stated at fair value at the reporting date.
  Unrealised gains and losses arising from revaluation of available-for-sale
  financial assets are recognised as other comprehensive income and included in
  the investment fair value reserve. On disposal or impairment of
  available-for-sale financial assets, cumulative unrealised gains and losses
  previously recognised in other comprehensive income are included respectively
  in determining the profit or loss on disposal of, or impairment charge
  relating to, that financial asset, which is recognised in the income
  statement. The fair values of financial assets are based on quoted market
  prices or amounts derived using a discounted cash flow model. Fair values for
  unlisted equity securities are estimated using valuation techniques
  reflecting the specific economic circumstances of the investee which would
  affect the market value of those securities. Equity investments for which
  fair values cannot be measured reliably are recognised at cost less
  impairment losses. Premiums or discounts arising from the difference between
  the fair value of a financial asset and the amount receivable at maturity
  date are charged to the income statement based on the effective interest rate
  method. Any adjustments required to be made on reclassification are
  recognised in the income statement on reclassification, and included in
  income from continuing operations. Where the disposal group was also
  classified as a discontinued operation, the subsequent classification as held
  for use also requires that the discontinued operation be included in
  continuing operations. Comparative information relating to the classification
  as a discontinued operation is restated accordingly. Impairment of
  non-financial assets The groups non-financial assets, other than inventories
  and deferred tax assets, are reviewed at each reporting date or whenever
  events or changes in circumstances indicate that the carrying amount may not
  be recoverable, to determine whether there is any indication of impairment.
  An impairment test is performed on all goodwill, intangible assets not yet in
  use and intangible assets with indefinite useful lives at each reporting
  date. The impairment loss charged to the income statement is the excess of
  the carrying amount over the recoverable amount. Recoverable amounts are
  estimated for individual assets or, where an individual asset cannot generate
  cash inflows independently, the recoverable amount is determined for the
  larger cash-generating unit to which the asset belongs. The groups corporate
  assets do not generate separate cash inflows. If there is an indication that
  a corporate asset may be impaired, then the recoverable amount is determined
  for the cash-generating unit to which the corporate asset belongs. For the
  purposes of goodwill impairment testing, cash-generating units to which
  goodwill has been allocated are aggregated so that the level at which
  impairment is tested reflects the lowest level at which goodwill is monitored
  internally. Impairment losses recognised in respect of a cash-generating unit
  are first allocated to reduce the carrying amount of the goodwill allocated
  to the unit and then to reduce the carrying amounts of the other assets in
  the unit on a pro-rata basis relative to their carrying amounts. With the
  exception of goodwill, a previously recognised impairment loss will be reversed
  insofar as estimates change as a result of an event occurring after the
  impairment loss was recognised. An impairment loss is reversed only to the
  extent that the assets carrying amount does not exceed the carrying amount
  that would have been determined had no impairment loss been recognised. A
  reversal of an impairment loss is recognised in the income statement.
  Exploration assets are tested for impairment when development of the property
  commences or whenever facts and circumstances indicate impairment. An
  impairment loss is recognised for the amount by which the exploration assets
  carrying amount exceeds their recoverable amount. For the purpose of
  assessing impairment, the relevant exploration assets are included in the
  existing cash-generating units of producing properties that are located in
  the same geographic region.


90 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group An assessment is performed at each reporting date to determine whether
  objective evidence exists that a financial asset is impaired. Objective
  evidence that financial instruments are impaired includes indications of a
  debtor or group of debtors experiencing significant financial difficulty,
  default or delinquency of payments, the probability of a debtor entering
  bankruptcy, or other observable data indicating a measurable decrease in
  estimated future cash flows, such as economic conditions that correlate with
  defaults. An impairment loss in respect of a financial asset measured at amortised
  cost is calculated as the difference between its carrying amount and the
  present value of the estimated future cash flows discounted at the assets
  original effective interest rate. Where a financial asset has a variable
  interest rate, an impairment loss is calculated as the difference between the
  carrying amount and the present value of the estimated future cash flows
  discounted at the assets current effective interest rate. Impairment losses
  are charged to the income statement and are included in the allowance against
  loans and receivables. When a subsequent event causes the impairment loss to
  decrease, the impairment loss is reversed in the income statement. Loans and
  receivables, together with the associated allowance, are written off when
  there is no realistic prospect of future recovery. In the case of
  available-for-sale financial assets, a significant or prolonged decline in
  the fair value of the asset below its cost is considered an indicator of
  impairment. If any such evidence exists, the cumulative loss is removed as
  other comprehensive income from the investment fair value reserve and
  recognised in the income statement. Impairment losses charged to the income
  statement on available-for-sale financial assets are not reversed. Financial
  assets and liabilities are offset and the net amount presented when the group
  has a current legal enforceable right to offset the amounts and intends
  either to settle on a net basis or to realise the asset and settle the
  liability simultaneously. Financial liabilities Financial liabilities are
  recognised on the transaction date when the group becomes a party to a
  contract and thus has a contractual obligation and are derecognised when
  these contractual obligations are discharged, cancelled or expired. Financial
  liabilities are stated initially on the transaction date at fair value
  including transaction costs. Subsequently, they are stated at amortised cost
  using the effective interest rate method. Financial assets and liabilities
  are offset and the net amount presented when the group has a current legal
  enforceable right to offset the amounts and intends either to settle on a net
  basis or to realise the asset and settle the liability simultaneously.
  Derivative financial instruments and hedging activities All derivative
  financial instruments are initially recognised at fair value and are
  subsequently stated at fair value at the reporting date. Attributable
  transaction costs are recognised in the income statement when incurred.
  Resulting gains or losses on derivative instruments, excluding designated and
  effective hedging instruments, are recognised in the income statement. The
  group is exposed to market risks from changes in interest rates, foreign
  exchange rates and commodity prices. The group uses derivative instruments to
  hedge its exposure to these risks. To the extent that a derivative instrument
  has a maturity period of longer than one year, the fair value of these
  instruments will be reflected as a non-current asset or liability. The
  groups criteria for a derivative instrument to be designated as a hedging
  instrument at the inception of the transaction require that:  the hedge
  transaction is expected to be highly effective in achieving offsetting
  changes in fair value or cash flows attributable to the hedged risk;  the
  effectiveness of the hedge can be reliably measured throughout the duration
  of the hedge;  there is adequate documentation of the hedging relationship
  at the inception of the hedge; and  for cash flow hedges, the forecast
  transaction that is the subject of the hedge must be highly probable. Where a
  derivative instrument is designated as a cash flow hedge of an asset,
  liability or highly probable forecast transaction that could affect the
  income statement, the effective part of any gain or loss arising on the
  derivative instrument is recognised as other comprehensive income and is
  classified as a cash flow hedge accounting reserve until the underlying
  transaction occurs. The ineffective part of any gain or loss is recognised in
  the income statement. If the hedging instrument no longer meets the criteria
  for cash flow hedge accounting, expires or is sold, terminated, exercised, or
  the designation is revoked, then hedge accounting is discontinued
  prospectively. If the forecast transaction results in the recognition of a
  non-financial asset or non-financial liability, the associated gain or loss
  is transferred from the cash flow hedge accounting reserve, as other
  comprehensive income, to the underlying asset or liability on the transaction
  date. If the forecast transaction is no longer expected to occur, then the
  cumulative balance in other comprehensive income is recognised immediately in
  the income statement as reclassification adjustments. Other cash flow hedge
  gains or losses are recognised in the income statement at the same time as
  the hedged transaction occurs. When derivative instruments, including forward
  exchange contracts, are entered into as fair value hedges, no hedge
  accounting is applied. All gains and losses on fair value hedges are recognised
  in the income statement. Inventories Inventories are stated at the lower of
  cost and net realisable value. Cost includes expenditure incurred in
  acquiring, manufacturing and transporting the inventory to its present
  location. Manufacturing costs include an allocated portion of production
  overheads which are directly attributable to the cost of manufacturing such
  inventory. The allocation is determined based on the greater of normal
  production capacity and actual production. The costs attributable to any
  inefficiencies in the production process are charged to the income statement
  as incurred. accounting policies and financial reporting terms continued


91 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 an unconditional right to defer settlement of the liability for at
  least 12 months after the reporting date. Debt is derecognised when the
  obligation in the contract is discharged, cancelled or has expired. Premiums
  or discounts arising from the difference between the fair value of debt
  raised and the amount repayable at maturity date are charged to the income
  statement as finance expenses based on the effective interest rate method.
  Leases Finance leases Leases where the group assumes substantially all the
  benefits and risks of ownership, are classified as finance leases. Finance
  leases are capitalised as property, plant and equipment at the lower of fair
  value or the present value of the minimum lease payments at the inception of
  the lease with an equivalent amount being stated as a finance lease liability
  as part of debt. The capitalised amount is depreciated over the shorter of
  the lease term and assets useful life unless it is reasonably certain that
  the group will obtain ownership by the end of the lease term. Lease payments
  are allocated between capital repayments and finance expenses using the
  effective interest rate method. Operating leases Leases of assets under which
  all the risks and benefits of ownership are effectively retained by the
  lessor are classified as operating leases. Lease payments under an operating
  lease are charged to the income statement over the lease term on a
  straight-line basis unless another basis is more representative of the
  pattern of use. The land and the buildings elements of a lease are considered
  separately for the purpose of lease classification as a finance or an
  operating lease. Provisions A provision is recognised when the group has a
  present legal or constructive obligation arising from a past event that will
  probably be settled, and a reliable estimate of the amount can be made.
  Long-term provisions are determined by discounting the expected future cash
  flows to their present value. The increase in discounted long-term provisions
  as a result of the passage of time is recognised as a finance expense in the
  income statement. Environmental rehabilitation provisions Estimated long-term
  environmental provisions, comprising pollution control, rehabilitation and mine
  closure, are based on the groups environmental policy taking into account
  current technological, environmental and regulatory requirements. The
  provision for rehabilitation is recognised as and when the environmental
  liability arises. To the extent that the obligations relate to the
  construction of an asset, they are capitalised as part of the cost of those
  assets. The effect of subsequent changes to assumptions in estimating an
  obligation for which the provision was recognised as part of the cost of the
  asset is adjusted against the asset. Any subsequent changes to an obligation
  which did not relate to the initial construction of a related asset are
  charged to the income statement. Decommissioning costs of plant and equipment
  The estimated present value of future decommissioning costs, taking into
  account current environmental and regulatory requirements, is capitalised as
  Cost is determined as follows: Crude oil and other raw materials
  First-in-first-out valuation method (FIFO) Process, maintenance and other
  materials Weighted average purchase price Work-in-progress Manufacturing
  costs incurred Manufactured products including consignment inventory
  Manufacturing costs according to FIFO Net realisable value is the estimated
  selling price in the ordinary course of business, less the cost of completion
  and selling expenses. Trade and other receivables Trade and other receivables
  are recognised initially at fair value and subsequently stated at amortised
  cost using the effective interest rate method, less impairment losses. An
  impairment loss is recognised when it is probable that an entity will not be
  able to collect all amounts due according to the original terms of the
  receivable. The amount of the impairment loss is charged to the income
  statement. Cash and cash equivalents Cash and cash equivalents are stated at
  carrying amount which is deemed to be fair value. Bank overdrafts are offset
  against cash and cash equivalents in the statement of cash flows. Cash
  restricted for use Cash which is subject to restrictions on its use is stated
  separately at carrying amount in the statement of financial position. Share
  capital Issued share capital is stated in the statement of changes in equity
  at the amount of the proceeds received less directly attributable issue costs.
  Share repurchase programme When Sasol Limiteds shares are repurchased by a
  subsidiary, the amount of consideration paid, including directly attributable
  costs, is recognised as a deduction from shareholders equity. Repurchased
  shares are classified as treasury shares and are disclosed as a deduction
  from total equity. Where such shares are subsequently reissued, any
  consideration received is included in the statement of changes in equity. The
  resultant gain or loss on the transaction is transferred to or from retained
  earnings. Preference shares Preference shares are classified as liabilities
  if they are redeemable on a specific date or at the option of the
  shareholders, or if dividend payments are not discretionary. Dividends
  thereon are charged to the income statement as a finance expense based on the
  effective interest rate method. Debt Debt, which constitutes a financial
  liability, includes short-term and long-term debt. Debt is initially
  recognised at fair value, net of transaction costs incurred and is
  subsequently stated at amortised cost. Debt is classified as short-term
  unless the borrowing entity has


92 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group part of property, plant and equipment, to the extent that they relate
  to the construction of the asset, and the related provisions are raised.
  These estimates are reviewed at least annually. The effect of subsequent
  changes to assumptions in estimating an obligation for which the provision
  was recognised as part of the cost of the asset is adjusted against the
  asset. Any subsequent changes to an obligation which did not relate to the
  initial construction of a related asset are charged to the income statement.
  Ongoing rehabilitation expenditure Such expenditure is charged to the income
  statement. Employee benefits Employee benefits Remuneration of employees is
  charged to the income statement. Short-term employee benefits are those that
  are expected to be settled completely within 12 months after the end of the
  reporting period in which the services have been rendered. Short-term
  employee benefit obligations are measured on an undiscounted basis and are
  charged to the income statement as the related service is provided. Long-term
  employee benefits are those benefits that are expected to be settled more
  than 12 months after the end of the reporting period, in which the services
  have been rendered and are discounted to their present value. An accrual is
  recognised for accumulated leave, incentive bonuses and other employee
  benefits when the group has a present legal or constructive obligation as a
  result of past service provided by the employee, and a reliable estimate of
  the amount can be made. Pension benefits The group operates or contributes to
  defined contribution pension plans and defined benefit pension plans for its
  employees in certain of the countries in which it operates. These plans are
  generally funded through payments to trustee-administered funds as determined
  by annual actuarial calculations. Defined contribution pension plans Such
  plans are plans under which the group pays fixed contributions into a
  separate legal entity and has no legal or constructive obligation to pay
  further amounts. Contributions to defined contribution pension plans are
  charged to the income statement as an employee expense in the period in which
  related services are rendered by the employee. Contributions that are
  expected to be wholly settled more than 12 months after the end of the
  reporting period, in which the employee renders the service, are discounted
  to their present value. Defined benefit pension plans The groups net
  obligation in respect of defined benefit pension plans is actuarially
  calculated separately for each plan by deducting the fair value of plan assets
  from the gross obligation for post-retirement benefits. The gross obligation
  is determined by estimating the future benefit attributable to employees in
  return for services rendered to date. This future benefit is discounted to
  determine its present value, using discount rates based on government bonds,
  that have maturity dates approximating the terms of the groups obligations
  and which are denominated in the currency in which the benefits are expected
  to be paid. Independent actuaries perform this calculation annually using the
  projected unit credit method. Past service costs are charged to the income
  statement at the earlier of the following dates:  when the plan amendment or
  curtailment occurs; and  when the group recognises related restructuring
  costs or termination benefits. Actuarial gains and losses arising from
  experience adjustments and changes to actuarial assumptions, the return on
  plan assets (excluding amounts included in net interest on the defined
  benefit liability (asset)) and any changes in the effect of the asset ceiling
  (excluding amounts included in net interest on the defined benefit liability
  (asset)) are recognised in other comprehensive income in the period in which
  they arise. Where the plan assets exceed the gross obligation, the asset
  recognised is limited to the lower of the surplus in the defined benefit plan
  and the asset ceiling determined using a discount rate, representing the
  present value of any future refunds from the plan or reductions in future
  contributions to the plan. Surpluses and deficits in the various plans are
  not offset. Defined benefit post-retirement healthcare benefits The group
  provides post-retirement healthcare benefits to certain of its retirees. The
  entitlement of these benefits is usually based on the employee remaining in
  service up to retirement age and the completion of a minimum service period.
  The expected costs of these benefits are accrued on a systematic basis over
  the expected remaining period of employment, using the accounting methodology
  described in respect of defined benefit pension plans above. Independent
  actuaries perform the calculation of this obligation annually. Share-based
  payments The group has equity-settled and cash-settled share-based
  compensation plans. The equity-settled schemes allow certain employees the
  option to acquire ordinary shares in Sasol Limited over a prescribed period.
  Such equity-settled share-based payments are measured at fair value at the
  date of the grant. The fair value determined at the grant date of the
  equity-settled share-based payments is charged as employee costs, with a
  corresponding increase in equity, on a straight-line basis over the period
  that the employees become unconditionally entitled to the options, based on
  managements estimate of the shares that will vest and adjusted for the
  effect of non market-based vesting conditions. These share options are not
  subsequently revalued. The cash-settled schemes allow certain senior
  employees the right to participate in the performance of the Sasol Limited
  share price, in return for services rendered, through the payment of cash
  incentives which are based on the market price of the Sasol Limited share.
  These rights are recognised as a liability at fair value, at each reporting
  date, in the statement of financial position until the date of settlement.
  The fair value of these rights is determined at each reporting date and the
  unrecognised cost is amortised to the income statement as employee costs over
  the period that the employees provide services to the company. Fair value is
  measured using the Black-Scholes, Binomial tree and Monte-Carlo option
  pricing models where applicable. The expected life used in the models has
  been adjusted, based on managements best estimate, for the effects of
  non-transferability, exercise accounting policies and financial reporting
  terms continued


93 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 nor taxable profit is affected on acquisition; and  investments in
  subsidiaries to the extent they will probably not reverse in the foreseeable
  future. The provision for deferred tax is calculated using enacted or
  substantively enacted tax rates at the reporting date that are expected to
  apply when the asset is realised or liability settled. A deferred tax asset
  is recognised to the extent that it is probable that future taxable profits
  will be available against which the deferred tax asset can be realised. The
  provision of deferred tax assets and liabilities reflects the tax
  consequences that would follow from the expected recovery or settlement of
  the carrying amount of its assets and liabilities. Deferred tax assets and
  liabilities are offset when the related income taxes are levied by the same
  taxation authority, there is a legally enforceable right to offset and there
  is an intention to settle the balances on a net basis. Dividend withholding
  tax Dividend withholding tax is payable at a rate of 15% on dividends distributed
  to shareholders. This tax is not attributable to the company paying the
  dividend but is collected by the company and paid to the tax authorities on
  behalf of the shareholder. On receipt of a dividend, the dividend withholding
  tax is recognised as part of the current tax charge in the income statement
  in the period in which the dividend is received. Trade and other payables
  Trade and other payables are initially recognised at fair value and
  subsequently stated at amortised cost. Revenue Revenue is recognised at the
  fair value of the consideration received or receivable net of indirect taxes,
  rebates and trade discounts and consists primarily of the sale of products,
  services rendered, licence fees, royalties, dividends received and interest
  received. Revenue is recognised when the following criteria are met: 
  evidence of an arrangement exists;  delivery has occurred or services have
  been rendered and the significant risks and rewards of ownership have been
  transferred to the purchaser;  transaction costs can be reliably measured; 
  the selling price is fixed or determinable; and  collectability is
  reasonably assured. The timing of revenue recognition is as follows. Revenue
  from:  the sale of products is recognised when the group no longer retains
  continuing managerial involvement associated with ownership or effective
  control;  services rendered is based on the stage of completion of the
  transaction, based on the proportion that costs incurred to date bear to the
  total cost of the project;  licence fees and royalties is recognised on an
  accrual basis;  dividends received is recognised when the right to receive
  payment is established; and  interest received is recognised on a time
  proportion basis using the effective interest rate method. restrictions and
  behavioural considerations such as volatility, dividend yield and the vesting
  period. The fair value takes into account the terms and conditions on which
  these incentives are granted and the extent to which the employees have
  rendered service to the reporting date. Termination benefits Termination
  benefits are recognised as a liability when the group is demonstrably
  committed, without realistic possibility of withdrawal, to a formal detailed
  plan to either terminate employment before normal retirement date, or to
  provide termination benefits as a result of an offer made to encourage
  voluntary redundancy. In the case of an offer to encourage voluntary
  redundancy, the termination benefits are measured based on the number of
  employees expected to accept the offer. Benefits that are expected to be
  wholly settled more than 12 months after the end of the reporting period are
  discounted to their present value. Deferred income Incentives received are
  recognised on a systematic basis in the income statement over the periods
  necessary to match them with the related costs which they are intended to
  compensate. Incentives related to non-current assets are stated on the
  statement of financial position as deferred income and are charged to the
  income statement on a basis representative of the pattern of use of the asset
  to which the incentive relates. Revenue received prior to delivery occurring
  or the service being rendered is stated on the statement of financial
  position as deferred income and is recognised in the income statement when
  the revenue recognition criteria, detailed below, are met. Black economic
  empowerment (BEE) transactions To the extent that an entity grants shares or
  share options in a BEE transaction and the fair value of the cash and other
  assets received is less than the fair value of the shares or share options
  granted, such difference is charged to the income statement in the period in
  which the transaction becomes effective. Where the BEE transaction includes
  service conditions the difference will be charged to the income statement
  over the period of these service conditions. A restriction on the transfer of
  the shares or share options is taken into account in determining the fair
  value of the share or share option. Taxation The income tax charge is
  determined based on net income before tax for the year and includes deferred
  tax and dividend withholding tax. Current tax The current tax charge is the
  calculated tax payable on the taxable income for the year using enacted or
  substantively enacted tax rates and any adjustments to tax payable in respect
  of prior years. Deferred tax Deferred tax is provided for using the liability
  method, on all temporary differences between the carrying amount of assets
  and liabilities for accounting purposes and the amounts used for tax purposes
  and on any tax losses. No deferred tax is provided on temporary differences
  relating to:  the initial recognition of goodwill;  the initial recognition
  (other than in a business combination) of an asset or liability to the extent
  that neither accounting


94 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group The group enters into exchange agreements with the same counterparties
  for the purchase and sale of inventory that are entered into in contemplation
  of one another. When the items exchanged are similar in nature, these
  transactions are combined and accounted for as a single exchange transaction.
  The exchange is recognised at the carrying amount of the inventory
  transferred. Further descriptions of the recognition of revenue for the
  various reporting segments are included under the accounting policy on
  segmental reporting. Construction contracts When the outcome of a
  construction contract can be estimated reliably, contract revenue and
  contract costs associated with that construction contract are recognised as
  revenue and expenses, respectively, by reference to the stage of completion
  of the contract activity at the reporting date. The stage of completion is
  generally based on physical progress, man-hours or costs incurred, based on
  the appropriate method for the type of contract. To the extent that the
  outcome of a construction contract cannot be reliably measured, revenue is
  recognised only to the extent that contract costs incurred are likely to be
  recovered. Any expected loss on a construction contract is charged
  immediately to the income statement. Contract costs relating to future
  activity on a contract are recognised as an asset provided it is likely that
  they will be recovered. Finance expenses Finance expenses are capitalised
  against qualifying assets as part of property, plant and equipment. Such
  finance expenses are capitalised over the period during which the qualifying
  asset is being acquired or constructed and borrowings have been incurred.
  Capitalisation ceases when construction is interrupted for an extended period
  or when the qualifying asset is substantially complete. Further finance
  expenses are charged to the income statement. Where funds are borrowed
  specifically for the purpose of acquiring or constructing a qualifying asset,
  the amount of finance expenses eligible for capitalisation on that asset is
  the actual finance expenses incurred on the borrowing during the period less
  any investment income on the temporary investment of those borrowings. Where
  funds are made available from general borrowings and used for the purpose of
  acquiring or constructing qualifying assets, the amount of finance expenses
  eligible for capitalisation is determined by applying a capitalisation rate
  to the expenditures on these assets. The capitalisation rate is the weighted
  average of the interest rates applicable to the borrowings of the group that
  are outstanding during the period, other than borrowings made specifically
  for the purpose of obtaining qualifying assets. The amount of finance
  expenses capitalised will not exceed the amount of borrowing costs incurred.
  Dividends payable Dividends payable and the related taxation thereon are
  recognised as a liability in the period in which they are declared. Segment
  information Reporting segments The group has nine main reportable segments
  that comprise the structure used by the group executive committee (GEC) to
  make key operating decisions and assess performance. The groups reportable
  segments are operating segments that are differentiated by the activities
  that each undertakes and the products they manufacture and market (referred
  to as business segments). Each business utilises different technology,
  manufacturing and marketing strategies. The group evaluates the performance
  of its reportable segments based on operating profit after remeasurement
  items. The group accounts for inter-segment sales and transfers as if the
  sales and transfers were entered into under the same terms and conditions as
  would have been entered into in a market related transaction. The financial
  information of the groups reportable segments is reported to the GEC for
  purposes of making decisions about allocating resources to the segment and
  assessing its performance. The group has formed significant joint ventures to
  promote Sasol technology and products internationally. The group is promoting
  and marketing its gas-to-liquids (GTL) technology for converting remote or
  flared natural gas into new-generation, low-emission GTL diesel, GTL naphtha
  and other products. It is envisaged that Sasol Synfuels International (SSI)
  through the recent development of the GTL plants in Qatar and Nigeria will
  contribute to the growing of a global GTL business in the future. Whilst
  Sasol Petroleum International (SPI), like SSI, does not meet the quantitative
  criteria for disclosure as a separate segment, it is expected to become a
  significant contributor to the groups performance in future years as the
  upstream supplier of resources for the groups GTL activities. Consequently,
  the GEC has chosen to include SSI and SPI as reportable operating segments
  even though SSI and SPI do not meet any of the quantitative thresholds as the
  GEC believes that such information would be useful to the users of the
  financial statements. South African energy cluster Sasol Mining Sasol
  Minings activities include the mining and supply of coal to other segments
  including Sasol Synfuels, other entities and to third parties. Sasol Mining
  sells coal under both long-term and short-term contracts at a price
  determinable from the agreements. Turnover is recognised upon delivery of the
  coal to the customer, which, in accordance with the related contract terms is
  the point at which the title and risks and rewards of ownership pass to the
  customer, prices are fixed or determinable and collectability is reasonably
  assured. accounting policies and financial reporting terms continued


95 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Sasol Oil Sasol Oil is responsible for the groups crude oil refining
  activities and for blending and marketing of all liquid fuels and lubricants.
  Sasol Oil sells liquid fuel products under both short-term and long-term
  agreements for both retail sales and commercial sales including sales to
  other oil companies. The prices are regulated and fixed by South African law
  for retail sales, and the prices are fixed and determinable according to the
  specific contract with periodic price adjustments for commercial sales and
  sales to other oil companies. Laboratory tests of the fuel specifications and
  content are performed prior to delivery. Turnover is recognised under the
  following arrangements:  Commercial sales transactions and sales to other
  oil companies: when product is delivered to the customer site, which is the
  point where the risks and rewards of ownership and title of the product
  transfer to the customer, and collectability is reasonably assured. 
  Dealer-owned supply agreements and franchise agreements: upon delivery of the
  product to the customer, which is the point where the risks and rewards of
  ownership of the product transfer to the customer. Title under these
  contracts is retained to enable recovery of the goods in the event of
  customer default on payment. The title to the good does not enable the group
  to dispose of the product or rescind the transaction, and cannot prevent the
  customer from selling the product. Turnover for the supply of fuel is based
  on measurement through a flow-meter into customers tanks. Shipping and
  handling costs are included in turnover when billed to customers in
  conjunction with the sale of a product. The related costs of sales are
  recognised in the same period as the turnover. Other This segment consist of
  costs related to the pre-feasibility study for the potential expansion of our
  synthetic fuels capacity in South Africa known as Project Mafutha.
  International energy cluster Sasol Synfuels International (SSI) SSI is
  responsible for developing, implementing and managing international business
  ventures based on Sasols proprietary technology. SSIs primary focus is on
  securing opportunities to advance Sasols GTL ambitions. SSI is progressing
  GTL projects in the United States, Uzbekistan and Nigeria and have achieved
  stable operations at ORYX GTL in Qatar. Turnover is derived from the sale of
  goods produced by the operating facilities and is recognised when, in
  accordance with the related contract terms, the title and risks and rewards
  of ownership pass to the customer, prices are fixed or determinable and
  collectability is reasonably assured. Shipping and handling costs are
  included in turnover when billed to customers in conjunction with the sale of
  the products. Turnover is also derived from the rendering of engineering
  services to external partners in joint ventures upon the proof of completion
  of the service. The date of delivery related to Sasol Mining is determined in
  accordance with the contractual agreements entered into with customers which
  are briefly summarised as follows: Delivery terms Title and risks and rewards
  of ownership pass to the customer Free on Board (FOB) When the coal is loaded
  onto the vessel at Richards Bay Coal Terminal  customer is responsible for
  shipping and handling costs. Free on Barge (Amsterdam) When the coal is
  loaded from Overslag Bedrijf Amsterdam stockpile onto the customer vessel 
  seller is responsible for shipping and handling costs, these are however
  recovered from the customer. Cost Insurance Freight (CIF) and Cost Freight
  Railage (CFR) When the coal is loaded into the vessel  seller is responsible
  for shipping and handling costs which are included in the selling price. The
  related costs of sales are recognised in the same period as the supply of the
  coal and include any shipping and handling costs incurred. All inter-segment
  sales are conducted at market related prices. Sasol Gas Sasol Gas activities
  include the marketing of clean-burning pipeline gas sourced from Sasol
  Synfuels and natural gas from the Mozambican gas fields. Sasol Gas sells gas
  under long-term contracts at a price determinable from the supply agreements.
  Turnover is recognised at the intake flange of the customer where it is
  metered, which is the point at which the title and risks and rewards of
  ownership passes to the customer, and where prices are determinable and
  collectability is reasonably assured. Gas analysis and tests of the
  specifications and content are performed prior to delivery. Transportation
  and handling costs are included in turnover when billed to customers in
  conjunction with the sale of a product. The related costs of sales are
  recognised in the same period as the turnover. Sasol Synfuels Sasol Synfuels
  activities include the production, using natural gas, from Sasol Gas, and
  synthesis gas derived from coal, supplied by Sasol Mining, using in-house
  technology to convert this into a wide range of liquid fuels intermediates
  and petrochemicals. Sasol Synfuels also provides chemical feedstock to,
  amongst others Sasol Polymers and Sasol Solvents. Sasol Synfuels sells
  synthetic fuels, chemical feedstock and industrial pipeline gas under
  contracts at prices determinable from the agreements. Turnover is recognised
  for the liquid fuel intermediates and petrochemicals when the title and risks
  and rewards of ownership pass to the customer, which is when the product has
  passed over the appropriate weigh bridge or flow-meter, prices are fixed or
  determinable and collectability is reasonably assured.


Sasol Limited
  group 96 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 accounting policies and financial reporting terms continued Sasol
  Petroleum International (SPI) SPI develops and manages upstream natural oil
  and gas interests in West and Southern Africa, Canada and Australia. SPI
  pursues upstream opportunities for the exploration, appraisal, development
  and production of gas resources to supply feedstock to existing or potential
  future downstream plants or other markets. SPI sells natural oil and gas to
  internal customers, under fixed contracts at prices determinable from the
  agreements, and on the open market. Chemical cluster Sasol Polymers Sasol
  Polymers focuses on the production of monomers, polypropylene, polyethylene,
  vinyls and other chemical products through its respective businesses. Sasol
  Solvents Sasol Solvents primarily manufactures and markets globally a range
  of oxygenated solvents, co-monomers and chemical intermediates to various
  industries. Sasol Olefins & Surfactants Sasol Olefins & Surfactants
  manufactures and markets globally a diverse range of surfactants, surfactant
  intermediates, alcohols, monomers and inorganic speciality chemicals. Other
  chemical businesses Other chemical businesses include Sasol Wax (production
  and marketing of wax and wax related products), Sasol Nitro (production and
  marketing of ammonia and ammonia derivative products), Merisol (manufacturing
  and marketing of phenolics and cresylics) and Sasol Infrachem (manufacturing of
  synthesis gas). The businesses in the chemical cluster sell much the majority
  of their products under contracts at prices determinable from such
  agreements. Turnover is recognised upon delivery to the customer which in
  accordance with the related contract terms, is the point at which the title
  and risks and rewards of ownership transfer to the customer, prices are
  determinable and collectability is reasonably assured. Turnover on
  consignment sales is recognised on consumption by the customer, when title and
  the risks and rewards of ownership pass to the customer, prices are
  determinable and collectability is reasonably assured. Product quality is
  safeguarded through quality assurance programmes. The date of delivery
  related to the above Chemical cluster is determined in accordance with the
  contractual agreements entered into with customers which are briefly
  summarised as follows: Delivery terms Title and risks and rewards of
  ownership pass to the customer Ex-tank sales When products are loaded into
  the customers vehicle or unloaded from the sellers storage tanks. Ex works
  (EXW) When products are loaded into the customers vehicle or unloaded at the
  sellers premises. Carriage Paid To (CPT) On delivery of products to a
  specified location (main carriage is paid for by the seller). Free on Board
  (FOB) When products are loaded into the transport vehicle  customer is
  responsible for shipping and handling costs. Cost Insurance Freight (CIF) and
  Cost Freight Railage (CFR) When products are loaded into the transport
  vehicle  seller is responsible for shipping and handling costs which are
  included in the selling price. Proof of Delivery (POD) When products are
  delivered to and signed for by the customer. Consignment Sales As and when
  products are consumed by the customer. Other businesses Other businesses
  include the groups treasury, research and development activities and central
  administration activities as well as alternative energy activities.
  Convenience translation from rand to US dollars The presentation currency of
  the group is rand. Supplementary US dollar information is provided for
  convenience only. The conversion to US dollars is performed as follows: 
  assets and liabilities are translated at the closing rate of exchange on the
  reporting date;  income and expenses are translated at average rates of
  exchange for the years presented;  shareholders equity, other than
  attributable earnings for the year, is translated at the closing rate on each
  reporting date; and  the resulting translation differences are included as
  other comprehensive income in shareholders equity.


97 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Critical accounting estimates and judgements Management of the group
  makes estimates and assumptions concerning the future in applying its
  accounting policies. The resulting accounting estimates may, by definition,
  not equal the related actual results. Management continually evaluates
  estimates and judgements based on historical experience and other factors,
  including expectations of future events that are believed to be reasonable
  under the circumstances. Revisions are recognised in the period in which the
  estimates are reviewed and in any future periods affected. The use of
  inaccurate assumptions in calculations for any of these estimates could
  result in a significant impact on financial results. The estimates and
  assumptions that have a significant risk of causing a material adjustment to
  the carrying amounts of assets and liabilities are included in the following
  notes: Critical estimates, judgements or assumptions Note reference Valuation
  of share-based payments and key assumptions used Note 45 Impairment of assets
   determination of the recoverable amount and key assumptions used Note 41
  Provision for rehabilitation and environmental costs Note 19 Valuation of
  post-retirement obligations and key assumptions used Note 20 Estimation of
  useful economic lives of assets Note 2,3,5 Estimation of oil and gas, and
  coal reserves Refer to accounting policy on Exploration, evaluation and
  development Depreciation of mineral assets Note 2 Recognition of deferred
  tax assets Note 22 Utilisation of tax losses Note 22 Guarantees and contingent
  liabilities Note 56 Comparative figures Comparative figures are reclassified
  or restated as necessary to afford a proper and more meaningful comparison of
  results as set out in the affected notes to the financial statements. With
  effect from 1 July 2012, the group changed the presentation of its income
  statement from a classification based on function to a classification based
  on nature to provide more relevant information to users. Refer to note 1.
  Certain additional disclosure has been provided in respect of the current
  year. To the extent practicable, comparative information has also been
  provided.


Sasol Limited
  group 98 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 statement of financial position at 30 June Note 2013 Rm 2012 Rm 2011
  Rm Assets Property, plant and equipment 2 108 070 95 872 79 245 Assets under
  construction 3 41 244 33 585 29 752 Goodwill 4 859 787 747 Other intangible
  assets 5 1 532 1 214 1 265 Investments in securities 6 783 712 664
  Investments in associates 7 2 676 2 560 3 071 Post-retirement benefit assets
  8 407 313 265 Long-term receivables and prepaid expenses 9 1 753 1 531 1 533
  Long-term financial assets 10 251 194 21 Deferred tax assets 22 2 318 1 514 1
  101 Non-current assets 159 893 138 282 117 664 Assets in disposal groups held
  for sale 11 2 304 18 54 Inventories 12 24 056 20 668 18 512 Tax receivable 27
  178 325 49 Trade receivables 13 26 507 23 159 21 628 Other receivables and
  prepaid expenses 14 2 318 2 815 1 497 Short-term financial assets 15 1 526
  426 22 Cash restricted for use 16 7 442 5 314 3 303 Cash 16 25 271 12 746 14
  716 Current assets 89 602 65 471 59 781 Total assets 249 495 203 753 177 445
  Equity and liabilities Shareholders equity 149 625 125 234 107 171
  Non-controlling interests 3 650 3 080 2 689 Total equity 153 275 128 314 109
  860 Long-term debt 17 22 357 12 828 14 356 Long-term financial liabilities 18
  22 38 103 Long-term provisions 19 12 397 10 518 8 233 Post-retirement benefit
  obligations 20 8 841 6 872 5 160 Long-term deferred income 21 305 455 498
  Deferred tax liabilities 22 16 173 13 839 11 961 Non-current liabilities 60
  095 44 550 40 311 Short-term debt 23 1 701 3 072 1 602 Short-term financial
  liabilities 24 200 135 136 Short-term provisions 25 4 317 3 267 2 760
  Short-term deferred income 26 1 171 737 885 Tax payable 27 1 407 546 725
  Trade payables and accrued expenses 28 21 199 17 559 16 718 Other payables 29
  5 383 5 351 4 239 Bank overdraft 16 747 222 209 Current liabilities 36 125 30
  889 27 274 Total equity and liabilities 249 495 203 753 177 445


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 99 SASOL AFS 7 OCT  PROOF final 2
  business segment information Non-current assets*# 2013 Rm 2012 Rm 2011 Rm
  South African energy cluster 67 842 59 062 51 640 ¦ Mining 12 617 10 240 8
  126 ¦ Gas 6 710 5 533 5 001 ¦ Synfuels 41 176 36 275 32 283 ¦ Oil 7 250 6 925
  6 141 ¦ Other 89 89 89 International energy cluster 29 868 24 262 18 047 ¦
  Synfuels International 9 052 7 973 7 452 ¦ Petroleum International 20 816 16
  289 10 595 Chemical cluster 52 520 48 370 43 382 ¦ Polymers 14 462 17 552 17
  960 ¦ Solvents 9 624 9 694 9 821 ¦ Olefins & Surfactants 12 703 7 905 6
  478 ¦ Other chemical businesses 15 731 13 219 9 123 ¦ Other businesses 6 938
  4 761 3 229 Total operations 157 168 136 455 116 298 Current assets* 2013 Rm
  2012 Rm 2011 Rm South African energy cluster 20 837 17 988 16 547 ¦ Mining 1
  405 1 154 970 ¦ Gas 708 667 546 ¦ Synfuels 3 073 2 929 2 570 ¦ Oil 15 651 13
  238 12 456 ¦ Other   5 International energy cluster 8 446 6 478 5 509 ¦
  Synfuels International 4 255 3 063 2 076 ¦ Petroleum International 4 191 3
  415 3 433 Chemical cluster 35 625 29 968 27 312 ¦ Polymers 9 520 9 393 7 360
  ¦ Solvents 7 099 5 830 5 316 ¦ Olefins & Surfactants 12 485 9 979 10 241
  ¦ Other chemical businesses 6 521 4 766 4 395 ¦ Other businesses 24 516 10
  712 10 364 Total operations 89 424 65 146 59 732 Non-current liabilities*
  2013 Rm 2012 Rm 2011 Rm South African energy cluster 11 366 12 195 11 457 ¦
  Mining 1 863 1 924 1 882 ¦ Gas 1 552 1 677 2 200 ¦ Synfuels 4 899 5 658 4 535
  ¦ Oil 3 052 2 936 2 840 International energy cluster 3 235 1 421 919 ¦
  Synfuels International 433 267 207 ¦ Petroleum International 2 802 1 154 712
  Chemical cluster 8 944 7 487 6 999 ¦ Polymers 380 935 1 859 ¦ Solvents 1 847
  1 372 1 134 ¦ Olefins & Surfactants 4 040 3 007 2 139 ¦ Other chemical
  businesses 2 677 2 173 1 867 ¦ Other businesses 20 377 9 608 8 975 Total
  operations 43 922 30 711 28 350 Current liabilities* 2013 Rm 2012 Rm 2011 Rm
  South African energy cluster 11 995 10 091 10 061 ¦ Mining 1 902 1 419 1 084
  ¦ Gas 681 663 524 ¦ Synfuels 3 228 2 492 1 814 ¦ Oil 6 184 5 517 6 639
  International energy cluster 4 121 3 361 3 223 ¦ Synfuels International 2 541
  1 887 1 841 ¦ Petroleum International 1 580 1 474 1 382 Chemical cluster 12
  508 11 899 8 794 ¦ Polymers 1 898 4 193 1 297 ¦ Solvents 1 740 1 187 1 203 ¦
  Olefins & Surfactants 6 488 4 399 4 375 ¦ Other chemical businesses 2 382
  2 120 1 919 ¦ Other businesses 6 094 4 992 4 471 Total operations 34 718 30
  343 26 549 * Excludes tax and deferred tax. # Excludes post-retirement
  benefit assets.


Sasol Limited
  group 100 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 income statement for the year ended 30 June Note 2013 Rm 2012 Rm 2011
  Rm Turnover 30 181 269 169 446 142 436 Materials, energy and consumables used
  31 (77 538) (80 410) (66 127) Selling and distribution costs (5 371) (4 621)
  (4 308) Maintenance expenditure (7 544) (7 421) (6 810) Employee related
  expenditure 35 (23 476) (19 465) (18 133) Exploration expenditure and
  feasibility costs (1 354) (1 045) (880) Depreciation and amortisation (12
  030) (9 651) (7 400) Other expenses, net (6 841) (8 215) (8 402) Translation
  gains/(losses) 34 899 243 (1 016) Other operating expenses 32 (9 692) (9 874)
  (8 474) Other operating income 33 1 952 1 416 1 088 Operating profit before
  remeasurement items and associates 47 115 38 618 30 376 Remeasurement items
  41 (6 487) (1 860) (426) Operating profit after remeasurement items 40 628 36
  758 29 950 Share of profit of associates, net of tax 38 445 479 292 Profit
  from operations and associates 41 073 37 237 30 242 Net finance costs (1 294)
  (1 234) (826) Finance income 37 708 796 991 Finance costs 39 (2 002) (2 030)
  (1 817) Profit before tax 39 779 36 003 29 416 Taxation 40 (12 597) (11 746)
  (9 196) Profit for year 27 182 24 257 20 220 Attributable to Owners of Sasol
  Limited 26 278 23 583 19 794 Non-controlling interests in subsidiaries 904
  674 426 27 182 24 257 20 220 Rand Rand Rand Per share information Basic
  earnings per share 42 43,38 39,10 32,97 Diluted earnings per share 42 43,31
  38,95 32,85 statement of comprehensive income for the year ended 30 June Note
  2013 Rm 2012 Rm 2011 Rm Profit for year 27 182 24 257 20 220 Other
  comprehensive income, net of tax Items that can be subsequently reclassified
  to the income statement 8 160 4 101 (1 938) Effect of translation of foreign
  operations 43 8 121 4 063 (2 026) Effect of cash flow hedges 43 78 41 111 Loss
  on fair value of investments available-for-sale 43 (17) (3)  Tax on items
  that can be subsequently reclassified to the income statement 43 (22)  (23)
  Items that cannot be subsequently reclassified to the income statement (338)
  (821) 332 Remeasurements on post-retirement benefit obligations 43 (497) (1
  195) 440 Tax on items that cannot be subsequently reclassified to the income
  statement 43 159 374 (108) Total comprehensive income for the year 35 004 27
  537 18 614 Attributable to Owners of Sasol Limited 34 084 26 853 18 186
  Non-controlling interests in subsidiaries 920 684 428 35 004 27 537 18 614


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 101 SASOL AFS 7 OCT  PROOF final 2
  business segment information External turnover* 2013 Rm 2012 Rm 2011 Rm South
  African energy cluster 75 224 74 291 60 672 ¦ Mining 1 833 2 256 2 029 ¦ Gas
  4 524 3 967 3 170 ¦ Synfuels 1 508 1 268 1 208 ¦ Oil 67 359 66 800 54 265
  International energy cluster 7 429 6 960 4 926 ¦ Synfuels International 5 252
  5 182 3 715 ¦ Petroleum International 2 177 1 778 1 211 Chemical cluster 98
  606 88 145 76 811 ¦ Polymers 22 957 19 952 16 985 ¦ Solvents 19 513 17 429 16
  156 ¦ Olefins & Surfactants 40 580 37 044 31 116 ¦ Other chemical
  businesses 15 556 13 720 12 554 ¦ Other businesses 10 50 27 Total operations
  181 269 169 446 142 436 Operating profit/(loss) after remeasurement items
  2013 Rm 2012 Rm 2011 Rm South African energy cluster 36 978 28 957 19 947 ¦
  Mining 2 213 2 287 1 063 ¦ Gas 4 069 2 985 2 578 ¦ Synfuels 28 624 22 095 15
  188 ¦ Oil 2 072 1 592 1 180 ¦ Other  (2) (62) International energy cluster
  (285) (55) 1 587 ¦ Synfuels International 1 601 1 881 1 205 ¦ Petroleum
  International (1 886) (1 936) 382 Chemical cluster 1 919 6 500 8 712 ¦
  Polymers (2 829) 716 1 579 ¦ Solvents 916 1 403 1 655 ¦ Olefins &
  Surfactants 3 580 3 193 4 161 ¦ Other chemical businesses 252 1 188 1 317 ¦
  Other businesses 2 016 1 356 (296) Total operations 40 628 36 758 29 950 Attributable
  to owners of Sasol Limited 2013 Rm 2012 Rm 2011 Rm South African energy
  cluster 25 304 18 566 12 505 ¦ Mining 1 399 1 377 312 ¦ Gas 2 409 1 553 1 326
  ¦ Synfuels 20 473 14 884 10 431 ¦ Oil 1 023 754 498 ¦ Other  (2) (62)
  International energy cluster (1 098) (862) 1 068 ¦ Synfuels International 1
  552 1 812 1 146 ¦ Petroleum International (2 650) (2 674) (78) Chemical
  cluster 1 764 5 907 7 120 ¦ Polymers (1 774) 1 618 1 847 ¦ Solvents 630 963 1
  214 ¦ Olefins & Surfactants 2 619 2 733 3 479 ¦ Other chemical businesses
  289 593 580 ¦ Other businesses 308 (28) (899) Total operations 26 278 23 583
  19 794 * Excludes intersegmental turnover.


Sasol Limited
  group 102 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 statement of financial position (US dollar convenience translation)
  at 30 June 2013 US$m 2012 US$m 2011 US$m Assets Property, plant and equipment
  10 938 11 735 11 705 Assets under construction 4 175 4 111 4 395 Goodwill 87
  96 110 Other intangible assets 155 149 187 Investments in securities 79 88 98
  Investments in associates 271 313 454 Post-retirement benefit assets 41 38 39
  Long-term receivables and prepaid expenses 178 187 226 Long-term financial
  assets 25 24 3 Deferred tax assets 235 185 163 Non-current assets 16 184 16 926
  17 380 Assets in disposal groups held for sale 233 2 8 Inventories 2 435 2
  530 2 734 Tax receivable 18 40 7 Trade receivables 2 683 2 835 3 195 Other
  receivables and prepaid expenses 235 345 221 Short-term financial assets 154
  52 3 Cash restricted for use 753 650 488 Cash 2 558 1 560 2 174 Current
  assets 9 069 8 014 8 830 Total assets 25 253 24 940 26 210 Equity and
  liabilities Shareholders equity 15 144 15 329 15 830 Non-controlling
  interests 370 377 397 Total equity 15 514 15 706 16 227 Long-term debt 2 263
  1 570 2 120 Long-term financial liabilities 2 5 15 Long-term provisions 1 255
  1 287 1 216 Post-retirement benefit obligations 895 841 762 Long-term
  deferred income 31 56 74 Deferred tax liabilities 1 637 1 694 1 767
  Non-current liabilities 6 083 5 453 5 954 Short-term debt 172 376 237
  Short-term financial liabilities 20 17 20 Short-term provisions 437 400 408
  Short-term deferred income 118 90 131 Tax payable 142 67 107 Trade payables
  and accrued expenses 2 146 2 149 2 469 Other payables 545 655 626 Bank
  overdraft 76 27 31 Current liabilities 3 656 3 781 4 029 Total equity and
  liabilities 25 253 24 940 26 210 Exchange rate Converted at closing rate of
  rand per 1US$ 9,88 8,17 6,77


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 103 SASOL AFS 7 OCT  PROOF final 2
  income statement (US dollar convenience translation) for the year ended 30
  June 2013 US$m 2012 US$m 2011 US$m Turnover 20 482 21 780 20 318 Materials,
  energy and consumables used (8 761) (10 336) (9 433) Selling and distribution
  costs (607) (594) (615) Maintenance expenditure (852) (954) (971) Employee
  related expenditure (2 653) (2 502) (2 587) Exploration expenditure and
  feasibility costs (153) (134) (126) Depreciation and amortisation (1 359) (1
  240) (1 056) Other expenses, net (773) (1 056) (1 197) Translation
  gains/(losses) 103 31 (145) Other operating expenses (1 096) (1 269) (1 207)
  Other operating income 220 182 155 Operating profit before remeasurement items
  and associates 5 324 4 964 4 333 Remeasurement items (733) (239) (61)
  Operating profit after remeasurement items 4 591 4 725 4 272 Share of profit
  of associates, net of tax 50 62 42 Profit from operations and associates 4
  641 4 787 4 314 Net finance costs (146) (159) (118) Finance income 80 102 141
  Finance costs (226) (261) (259) Profit before tax 4 495 4 628 4 196 Taxation
  (1 424) (1 510) (1 312) Profit for year 3 071 3 118 2 884 Attributable to
  Owners of Sasol Limited 2 969 3 031 2 823 Non-controlling interests in
  subsidiaries 102 87 61 3 071 3 118 2 884 Per share information US$ US$ US$ Basic earnings per share 4,90 5,02 4,70 Diluted earnings per share 4,89 5,01
  4,69 Exchange rate Converted at average rate of rand per 1US$ 8,85 7,78 7,01


Sasol Limited
  group 104 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 statement of changes in equity for the year ended 30 June Share
  capital Note 44 Rm Share-based payment reserve Note 45 Rm Foreign currency
  translation reserve Note 46 Rm Investment fair value reserve Rm Balance at 30
  June 2010 27 229 6 713 113 5 Shares issued on implementation of share options
  430    Effect of the Ixia Coal transaction (refer note 45.3)  (117)  
  Share-based payment expense  1 428   Disposal of business (refer note 55)
    (4)  Total comprehensive income for the year   (2 023)  Profit   
   Other comprehensive income for the year   (2 023)  Dividends paid   
   Balance at 30 June 2011 27 659 8 024 (1 914) 5 Shares issued on implementation
  of share options 325    Share-based payment expense  485   Transactions
  with non-controlling shareholders in subsidiaries     Total comprehensive
  income for the year   4 051 10 Profit     Other comprehensive income
  for the year   4 051 10 Dividends paid     Balance at 30 June 2012 27
  984 8 509 2 137 15 Shares issued on implementation of share options 727   
  Share-based payment expense  374   Transactions with non-controlling
  shareholders in subsidiaries     Acquisition of business (refer note 46)
    (14)  Disposal of businesses (refer note 55)   7  Total comprehensive
  income for the year   8 105 (18) Profit     Other comprehensive income
  for the year   8 105 (18) Dividends paid     Balance at 30 June 2013 28
  711 8 883 10 235 (3)


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 105 SASOL AFS 7 OCT  PROOF final 2 Cash
  flow hedge accounting reserve Rm Sasol Inzalo share transaction Note 45 Rm
  Remeasurements on postretirement obligations Rm Share repurchase programme
  Note 47 Rm Retained earnings Rm Shareholders equity Rm Noncontrolling
  interests Rm Total equity Rm (122) (22 054) (765) (2 641) 85 437 93 915 2 510
  96 425      430  430     (53) (170) 170       1 428  1 428 
      (4)  (4) 83  332  19 794 18 186 428 18 614     19 794 19 794
  426 20 220 83  332   (1 608) 2 (1 606)     (6 614) (6 614) (419) (7
  033) (39) (22 054) (433) (2 641) 98 564 107 171 2 689 109 860      325 
  325      485  485       101 101 26  (817)  23 583 26 853 684 27
  537     23 583 23 583 674 24 257 26  (817)   3 270 10 3 280     (9
  600) (9 600) (394) (9 994) (13) (22 054) (1 250) (2 641) 112 547 125 234 3
  080 128 314      727  727      374  374       8 8     
  (14)  (14)      7  7 54  (335)  26 278 34 084 920 35 004     26
  278 26 278 904 27 182 54  (335)   7 806 16 7 822     (10 787) (10 787)
  (358) (11 145) 41 (22 054) (1 585) (2 641) 128 038 149 625 3 650 153 275


Sasol Limited
  group 106 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 statement of cash flows for the year ended 30 June Note 2013 Rm 2012
  Rm 2011 Rm Cash receipts from customers 178 087 168 934 138 955 Cash paid to
  suppliers and employees (118 820) (121 033) (100 316) Cash generated by
  operating activities 48 59 267 47 901 38 639 Finance income received 51 1 071
  1 149 1 380 Finance costs paid 39 (656) (666) (898) Tax paid 27 (10 448) (10
  760) (6 691) Cash available from operating activities 49 234 37 624 32 430
  Dividends paid 52 (10 787) (9 600) (6 614) Cash retained from operating
  activities 38 447 28 024 25 816 Additions to non-current assets (32 288) (29
  160) (20 665) Additions to property, plant and equipment 2 (3 089) (2 593) (1
  674) Additions to assets under construction 3 (29 122) (26 518) (18 861)
  Additions to other intangible assets 5 (77) (49) (130) Non-current assets
  sold 53 554 257 168 Acquisition of interests in joint ventures 54 (730) (24)
  (3 823) Cash acquired on acquisition of joint ventures 54 6   Disposal of
  businesses 55 167 713 22 Net cash disposed of on disposal of businesses 55 17
    Acquisition of new or additional investments in associates 7 (200) (81)
  (91) Repayment of capital in associate 7 661   Purchase of investments
  (317) (40) (71) Proceeds from sale of investments 278 1 70
  (Increase)/decrease in long-term receivables (197) 718 (75) Cash utilised in
  investing activities (32 049) (27 616) (24 465) Share capital issued on
  implementation of share options 727 325 430 Contributions from
  non-controlling shareholders in subsidiaries 37 11 27 Dividends paid to
  non-controlling shareholders in subsidiaries (358) (394) (419) Proceeds from
  long-term debt 17 11 485 1 138 2 247 Repayments of long-term debt 17 (3 357)
  (1 997) (1 702) Proceeds from short-term debt 23 2 049 41 118 Repayments of
  short-term debt 23 (1 834) (153) (413) Cash effect of financing activities 8
  749 (1 029) 288 Translation effects on cash and cash equivalents of foreign
  operations 46 1 267 649 (421) Increase in cash and cash equivalents 16 414 28
  1 218 Cash and cash equivalents at beginning of year 17 838 17 810 16 592 Net
  reclassification to held for sale (2 286)   Cash and cash equivalents at
  end of year 16 31 966 17 838 17 810


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 107 SASOL AFS 7 OCT  PROOF final 2
  business segment information Cash flow from operations (refer note 49) 2013
  Rm 2012 Rm 2011 Rm South African energy cluster 41 778 34 811 26 015 ¦ Mining
  3 383 3 328 2 616 ¦ Gas 4 406 3 257 2 875 ¦ Synfuels 31 168 25 865 17 691 ¦
  Oil 2 821 2 363 2 895 ¦ Other  (2) (62) International energy cluster 4 562 4
  165 2 840 ¦ Synfuels International 2 780 2 515 1 681 ¦ Petroleum
  International 1 782 1 650 1 159 Chemical cluster 11 053 8 977 11 607 ¦
  Polymers 1 799 1 384 2 766 ¦ Solvents 2 066 1 820 2 429 ¦ Olefins &
  Surfactants 4 669 3 816 4 446 ¦ Other chemical businesses 2 519 1 957 1 966 ¦
  Other businesses 4 178 2 219 556 Total operations 61 571 50 172 41 018
  Additions to non-current assets 2013 Rm 2012 Rm 2011 Rm South African energy
  cluster 14 701 11 818 11 331 ¦ Mining 3 482 2 849 2 252 ¦ Gas 1 401 820 402 ¦
  Synfuels 8 244 6 716 7 374 ¦ Oil 1 574 1 433 1 303 International energy
  cluster 5 401 7 920 2 890 ¦ Synfuels International 1 337 359 380 ¦ Petroleum
  International 4 064 7 561 2 510 Chemical cluster 9 839 7 648 5 502 ¦ Polymers
  1 990 960 921 ¦ Solvents 557 500 737 ¦ Olefins & Surfactants 3 638 1 745
  992 ¦ Other chemical businesses 3 654 4 443 2 852 ¦ Other businesses 2 347 1
  774 942 Total operations 32 288 29 160 20 665


Sasol Limited
  group 108 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 business segment information Property, plant and equipment; assets
  under construction and other intangible assets Other non-current assets*#
  Current assets* 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012
  Rm 2011 Rm South African energy cluster 67 298 58 439 51 058 544 623 582 20
  837 17 988 16 547 ¦ Mining 12 138 9 764 7 671 479 476 455 1 405 1 154 970 ¦
  Gas 6 710 5 531 4 999  2 2 708 667 546 ¦ Synfuels 41 168 36 257 32 253 8 18
  30 3 073 2 929 2 570 ¦ Oil 7 193 6 798 6 046 57 127 95 15 651 13 238 12 456 ¦
  Other 89 89 89      5 International energy cluster 28 325 22 062 15 665
  1 543 2 200 2 382 8 446 6 478 5 509 ¦ Synfuels International 7 510 5 776 5
  070 1 542 2 197 2 382 4 255 3 063 2 076 ¦ Petroleum International 20 815 16
  286 10 595 1 3  4 191 3 415 3 433 Chemical cluster 49 254 45 816 40 542 3
  266 2 554 2 840 35 625 29 968 27 312 ¦ Polymers 13 269 16 683 16 387 1 193
  869 1 573 9 520 9 393 7 360 ¦ Solvents 9 121 9 289 9 466 503 405 355 7 099 5
  830 5 316 ¦ Olefins & Surfactants 12 119 7 460 6 142 584 445 336 12 485 9
  979 10 241 ¦ Other chemical businesses 14 745 12 384 8 547 986 835 576 6 521
  4 766 4 395 ¦ Other businesses 5 969 4 354 2 997 969 407 232 24 516 10 712 10
  364 Total 150 846 130 671 110 262 6 322 5 784 6 036 89 424 65 146 59 732 *
  Excludes tax and deferred tax. # Excludes post-retirement benefit assets.


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 109 SASOL AFS 7 OCT  PROOF final 2 Total
  consolidated assets*# Non-current liabilities* Current liabilities* Total
  consolidated liabilities* 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm
  2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm 88 679 77 050 68 187 11 366
  12 195 11 457 11 995 10 091 10 061 23 361 22 286 21 518 14 022 11 394 9 096 1
  863 1 924 1 882 1 902 1 419 1 084 3 765 3 343 2 966 7 418 6 200 5 547 1 552 1
  677 2 200 681 663 524 2 233 2 340 2 724 44 249 39 204 34 853 4 899 5 658 4
  535 3 228 2 492 1 814 8 127 8 150 6 349 22 901 20 163 18 597 3 052 2 936 2
  840 6 184 5 517 6 639 9 236 8 453 9 479 89 89 94          38 314 30
  740 23 556 3 235 1 421 919 4 121 3 361 3 223 7 356 4 782 4 142 13 307 11 036
  9 528 433 267 207 2 541 1 887 1 841 2 974 2 154 2 048 25 007 19 704 14 028 2
  802 1 154 712 1 580 1 474 1 382 4 382 2 628 2 094 88 145 78 338 70 694 8 944
  7 487 6 999 12 508 11 899 8 794 21 452 19 386 15 793 23 982 26 945 25 320 380
  935 1 859 1 898 4 193 1 297 2 278 5 128 3 156 16 723 15 524 15 137 1 847 1
  372 1 134 1 740 1 187 1 203 3 587 2 559 2 337 25 188 17 884 16 719 4 040 3
  007 2 139 6 488 4 399 4 375 10 528 7 406 6 514 22 252 17 985 13 518 2 677 2
  173 1 867 2 382 2 120 1 919 5 059 4 293 3 786 31 454 15 473 13 593 20 377 9
  608 8 975 6 094 4 992 4 471 26 471 14 600 13 446 246 592 201 601 176 030 43
  922 30 711 28 350 34 718 30 343 26 549 78 640 61 054 54 899


110 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group External turnover Intersegmental turnover1 Total turnover 2013
  Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm South
  African energy cluster 75 224 74 291 60 672 71 622 59 523 46 188 146 846 133
  814 106 860 ¦ Mining 1 833 2 256 2 029 10 491 8 416 7 117 12 324 10 672 9 146
  ¦ Gas 4 524 3 967 3 170 3 730 2 964 2 275 8 254 6 931 5 445 ¦ Synfuels 1 508
  1 268 1 208 56 767 47 523 36 277 58 275 48 791 37 485 ¦ Oil 67 359 66 800 54
  265 634 620 519 67 993 67 420 54 784 ¦ Other          International
  energy cluster 7 429 6 960 4 926 1 457 1 469 946 8 886 8 429 5 872 ¦ Synfuels
  International 5 252 5 182 3 715  136  5 252 5 318 3 715 ¦ Petroleum
  International 2 177 1 778 1 211 1 457 1 333 946 3 634 3 111 2 157 Chemical
  cluster 98 606 88 145 76 811 6 707 6 607 6 043 105 313 94 752 82 854 ¦
  Polymers 22 957 19 952 16 985 149 129 97 23 106 20 081 17 082 ¦ Solvents 19
  513 17 429 16 156 1 778 1 485 1 124 21 291 18 914 17 280 ¦ Olefins &
  Surfactants 40 580 37 044 31 116 698 654 599 41 278 37 698 31 715 ¦ Other
  chemical businesses 15 556 13 720 12 554 4 082 4 339 4 223 19 638 18 059 16
  777 ¦ Other businesses 10 50 27 358   368 50 27 Total 181 269 169 446 142
  436 80 144 67 599 53 177 261 413 237 045 195 613 1 Intersegmental turnover of
  other businesses amounting to R8 548 million and R6 016 million relating to
  2012 and 2011, respectively, were reclassified to other intersegmental
  operating income as part of the overall income statement reclassification
  from function to nature (refer note 1) which eliminates in the consolidated
  annual financial statements. business segment information continued


111 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Translation gains/(losses) Effect of remeasurement items (before tax)
  (refer note 41) Operating profit/(loss) after remeasurement items Attributable
  to owners of Sasol Limited 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm
  2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm (246) (331) (473) 162 324 223
  36 978 28 957 19 947 25 304 18 566 12 505 5 (5) (27) 7 61 3 2 213 2 287 1 063
  1 399 1 377 312 (14) (17) 3  11 6 4 069 2 985 2 578 2 409 1 553 1 326 42 4
  (81) 77 238 197 28 624 22 095 15 188 20 473 14 884 10 431 (279) (313) (368)
  78 14 17 2 072 1 592 1 180 1 023 754 498        (2) (62)  (2) (62)
  (184) (322) 187 421 1 643 568 (285) (55) 1 587 (1 098) (862) 1 068 82 (212)
  142 (7) 34 126 1 601 1 881 1 205 1 552 1 812 1 146 (266) (110) 45 428 1 609
  442 (1 886) (1 936) 382 (2 650) (2 674) (78) (959) 100 (509) 5 792 (128)
  (402) 1 919 6 500 8 712 1 764 5 907 7 120 (1 709) (485) (129) 3 572 62 46 (2
  829) 716 1 579 (1 774) 1 618 1 847 667 479 (293) 341 83 63 916 1 403 1 655
  630 963 1 214 (48) 19 (17) 64 (179) (500) 3 580 3 193 4 161 2 619 2 733 3 479
  131 87 (70) 1 815 (94) (11) 252 1 188 1 317 289 593 580 2 288 796 (221) 112
  21 37 2 016 1 356 (296) 308 (28) (899) 899 243 (1 016) 6 487 1 860 426 40 628
  36 758 29 950 26 278 23 583 19 794


112 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group Cash flow information Cash flow from operations (refer note 49)
  Depreciation and amortisation 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm
  South African energy cluster 41 778 34 811 26 015 (5 379) (4 213) (3 510) ¦
  Mining 3 383 3 328 2 616 (999) (803) (716) ¦ Gas 4 406 3 257 2 875 (326)
  (294) (278) ¦ Synfuels 31 168 25 865 17 691 (3 339) (2 467) (1 886) ¦ Oil 2
  821 2 363 2 895 (715) (649) (630) ¦ Other  (2) (62)    International
  energy cluster 4 562 4 165 2 840 (3 032) (2 103) (741) ¦ Synfuels
  International 2 780 2 515 1 681 (509) (351) (325) ¦ Petroleum International 1
  782 1 650 1 159 (2 523) (1 752) (416) Chemical cluster 11 053 8 977 11 607 (3
  149) (2 935) (2 749) ¦ Polymers 1 799 1 384 2 766 (942) (916) (1 026) ¦
  Solvents 2 066 1 820 2 429 (674) (654) (636) ¦ Olefins & Surfactants 4
  669 3 816 4 446 (933) (841) (629) ¦ Other chemical businesses 2 519 1 957 1
  966 (600) (524) (458) ¦ Other businesses 4 178 2 219 556 (470) (400) (400)
  Total 61 571 50 172 41 018 (12 030) (9 651) (7 400) business segment
  information continued


113 Sasol
  Limited company notes to the financial statements Sasol Limited group
  consolidated financial statements Sasol overview SASOL AFS 7 OCT  PROOF
  final 2 Cash flow information Capital commitments Additions to non-current
  assets Property, plant and equipment (refer note 2) 2013 Rm 2012 Rm 2011 Rm
  2013 Rm 2012 Rm 2011 Rm 14 701 11 818 11 331 30 355 29 832 27 561 3 482 2 849
  2 252 9 751 10 165 6 113 1 401 820 402 2 291 1 259 1 994 8 244 6 716 7 374 16
  567 16 680 17 036 1 574 1 433 1 303 1 746 1 728 2 418       5 401 7 920
  2 890 12 479 3 883 5 657 1 337 359 380 7 126 679 384 4 064 7 561 2 510 5 353
  3 204 5 273 9 839 7 648 5 502 22 725 10 606 12 442 1 990 960 921 5 917 1 616
  1 324 557 500 737 1 520 186 272 3 638 1 745 992 9 247 4 205 2 775 3 654 4 443
  2 852 6 041 4 599 8 071 2 347 1 774 942 2 193 1 498 2 336 32 288 29 160 20
  665 67 752 45 819 47 996


Sasol Limited
  group 114 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 geographic information Total turnover1 External turnover 2013 Rm 2012
  Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm ¦ South Africa 167 099 150 025 121 818 88
  694 84 101 69 930 ¦ Rest of Africa 7 398 7 043 6 503 7 398 7 039 6 498
  Mozambique 914 509 317 914 505 312 Nigeria 869 870 621 869 870 621 Rest of
  Africa 5 615 5 664 5 565 5 615 5 664 5 565 ¦ Europe 40 138 39 881 33 711 39
  274 38 874 32 977 Germany 9 195 8 776 8 524 8 351 7 937 7 809 Italy 5 112 4
  683 4 230 5 106 4 547 4 225 Rest of Europe 25 831 26 422 20 957 25 817 26 390
  20 943 ¦ North America 21 119 18 623 14 666 20 443 18 152 14 274 United
  States of America 18 228 16 627 13 200 17 552 16 155 12 808 Canada 1 397 666
  70 1 397 666 70 Rest of North America 1 494 1 330 1 396 1 494 1 331 1 396 ¦
  South America 2 899 2 198 2 024 2 899 2 204 2 024 ¦ Southeast Asia and
  Australasia 5 698 5 701 3 987 5 613 5 603 3 917 ¦ Middle East and India 10
  069 6 378 7 057 10 066 6 376 7 066 ¦ Far East 6 993 7 196 5 847 6 882 7 097 5
  750 Total 261 413 237 045 195 613 181 269 169 446 142 436 1 Intersegmental
  turnover amounting to R8 548 million and R6 016 million relating to 2012 and
  2011, respectively, were reclassified to other intersegmental operating
  income as part of the overall income statement reclassification from function
  to nature (refer note 1) which eliminates in the consolidated annual
  financial statements. * Excludes tax and deferred tax. # Excludes
  post-retirement benefit assets.


Sasol Limited
  company notes to the financial statements Sasol Limited group consolidated
  financial statements Sasol overview 115 SASOL AFS 7 OCT  PROOF final 2
  Operating profit/(loss) after remeasurement items Total consolidated assets*#
  Additions to non-current assets (by location of assets) Capital commitments
  of property, plant and equipment 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011
  Rm 2013 Rm 2012 Rm 2011 Rm 2013 Rm 2012 Rm 2011 Rm 34 737 27 698 20 316 146
  056 123 984 112 353 19 089 18 765 16 463 36 048 37 473 39 483 717 498 (249)
  13 122 11 159 9 925 3 606 872 1 120 5 940 1 048 1 395 461 235 (337) 9 365 6
  461 6 226 3 135 673 872 4 381 649 1 138 (259) (242) (233) 1 935 3 325 2 647 8
  46 2 21 64 55 515 505 321 1 822 1 373 1 052 463 153 246 1 538 335 202 2 652 5
  109 5 437 34 204 26 084 22 249 1 375 915 901 1 547 1 635 665 465 739 1 312 11
  994 9 545 9 343 994 619 661 1 316 1 469 469 209 209 423 4 681 4 408 4 509 148
  259 223 171 110 170 1 978 4 161 3 702 17 529 12 131 8 397 233 37 17 60 56 26
  1 316 (11) 1 763 34 697 20 587 14 426 7 212 7 952 1 722 23 610 4 953 6 140 2
  896 2 111 1 658 17 496 7 244 6 260 4 034 1 071 480 20 803 2 776 2 261 (1 800)
  (2 272) (91) 16 829 13 181 8 035 3 178 6 881 1 242 2 807 2 177 3 879 220 150
  196 372 162 131       227 198 194 525 460 359 1      838 732 86 2
  800 2 833 2 069 11 310 186 63 12 38 (513) 1 953 1 858 12 690 14 375 12 853
  986 335 262 533 692 275 654 581 545 2 498 2 119 1 796 8 11 11 11 6  40 628
  36 758 29 950 246 592 201 601 176 030 32 288 29 160 20 665 67 752 45 819 47
  996


SASOL AFS 4 OCT
   PROOF final Sasol Limited group 116 Sasol annual financial statements 2013
  AFS 117 Changes to comparative information 117 Non-current assets 134 Current
  assets 140 Non-current liabilities 161 Current liabilities 164 Results of
  operations 176 Equity structure 197 Liquidity and capital resources 203 Other
  disclosures Notes to the financial statements contents


117 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information
  non-current assets for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 2
  Property, plant and equipment Cost Balance at beginning of year 169 953 144
  747 134 174 Acquisition of business 54 559   Acquisition of interests in
  joint ventures 54   709 Additions 4 246 3 110 1 883 to sustain existing operations
  3 480 2 510 1 662 to expand operations 766 600 221 Transfer from assets under
  construction 3 20 988 22 206 12 480 Net transfer to other intangible assets 5
   (1)  Net transfer (to)/from inventory (45) (3) 10 Reversal of
  rehabilitation provisions capitalised 19 (203) (26)  Reclassification
  (to)/from held for sale (6 186) 22 (5) Translation of foreign operations 46
  11 309 4 500 (1 939) Disposal of businesses 55 (193) (314) (18) Disposals and
  scrapping (3 743) (4 288) (2 547) Balance at end of year 196 685 169 953 144
  747 Comprising Land 2 031 1 165 1 127 Buildings and improvements 8 525 7 684
  7 048 Retail convenience centres 1 467 1 454 1 421 Plant, equipment and
  vehicles 152 557 134 780 120 333 Mineral assets 32 105 24 870 14 818 196 685
  169 953 144 747 notes to the financial statements changes to comparative
  information 1 With effect from 1 July 2012, the group changed the
  presentation of its income statement from a classification based on function
  to a classification based on nature. Sasol has elected to change its income
  statement presentation to better reflect how it effectively manages its
  business as well as align to peers. The comparative periods presented have
  been restated to comply with the income statement classification by nature.
  The change in income statement presentation did not have an impact on
  turnover, operating profit or earnings per share. Note 2013 Rm 2012 Rm 2011
  Rm Property, plant and equipment 2 108 070 95 872 79 245 Assets under
  construction 3 41 244 33 585 29 752 Goodwill 4 859 787 747 Other intangible
  assets 5 1 532 1 214 1 265 Investments in securities 6 783 712 664
  Investments in associates 7 2 676 2 560 3 071 Post-retirement benefit assets
  8 407 313 265 Long-term receivables and prepaid expenses 9 1 753 1 531 1 533
  Long-term financial assets 10 251 194 21 Deferred tax assets 22 2 318 1 514 1
  101 159 893 138 282 117 664


118 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 2 Property, plant and
  equipment continued Accumulated depreciation and impairment Balance at
  beginning of year 74 081 65 502 61 651 Current year charge 49 11 785 9 422 7
  165 Impairment of property, plant and equipment 41 3 817 572 49 Reversal of
  impairment of property, plant and equipment 41 (8)  (529) Net transfer
  (to)/from inventory (8)  6 Reclassification (to)/from held for sale (4 806)
  12 (12) Translation of foreign operations 46 6 936 2 601 (567) Disposal of
  businesses 55 (123) (178) (8) Disposals and scrapping (3 059) (3 850) (2 253)
  Balance at end of year 88 615 74 081 65 502 Comprising Land 278 207 207
  Buildings and improvements 4 202 3 597 3 398 Retail convenience centres 540
  470 412 Plant, equipment and vehicles 70 423 60 177 54 373 Mineral assets 13
  172 9 630 7 112 88 615 74 081 65 502 Carrying value Land 1 753 958 920
  Buildings and improvements 4 323 4 087 3 650 Retail convenience centres 927
  984 1 009 Plant, equipment and vehicles 82 134 74 603 65 960 Mineral assets
  18 933 15 240 7 706 Balance at end of year 108 070 95 872 79 245 Business
  segmentation South African energy cluster 53 118 44 482 36 064 ¦ Mining 8 816
  6 823 4 922 ¦ Gas 5 724 4 325 4 425 ¦ Synfuels 31 965 28 206 21 986 ¦ Oil 6
  524 5 039 4 642 ¦ Other SA Energy 89 89 89 International energy cluster 18
  130 15 201 7 438 ¦ Synfuels International 6 488 5 476 3 967 ¦ Petroleum
  International 11 642 9 725 3 471 Chemical cluster 33 608 34 211 33 863 ¦
  Polymers 9 958 14 626 15 180 ¦ Solvents 8 473 8 842 8 920 ¦ Olefins &
  Surfactants 7 631 5 553 5 280 ¦ Other chemical businesses 7 546 5 190 4 483 ¦
  Other businesses 3 214 1 978 1 880 Total operations 108 070 95 872 79 245


119 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Land Rm Buildings and improvements Rm Retail convenience
  centres Rm Plant, equipment and vehicles Rm Mineral assets Rm Total Rm 2
  Property, plant and equipment continued Cost Balance at 30 June 2012 1 165 7
  684 1 454 134 780 24 870 169 953 Acquisition of business 110 2  447  559
  Additions 556 95 31 1 062 2 502 4 246 to sustain existing operations 22 76 
  880 2 502 3 480 to expand operations 534 19 31 182  766 Reclassification of
  property, plant and equipment (1) 28  (27)   Reversal of rehabilitation
  provisions capitalised    (46) (157) (203) Transfer from assets under
  construction 68 843 5 16 176 3 896 20 988 Net transfer from/(to) inventory 
  3  (48)  (45) Reclassification to held for sale (49) (819)  (5 318)  (6
  186) Translation of foreign operations 193 815 3 8 678 1 620 11 309 Disposal
  of businesses (3) (29)  (161)  (193) Disposals and scrapping (8) (97) (26)
  (2 986) (626) (3 743) Balance at 30 June 2013 2 031 8 525 1 467 152 557 32
  105 196 685 Accumulated depreciation and impairment Balance at 30 June 2012
  207 3 597 470 60 177 9 630 74 081 Current year charge  294 80 7 960 3 451 11
  785 Net impairment of property, plant and equipment 20 16 (3) 3 776  3 809
  Reclassification of property, plant and equipment (1) 2  (1)   Net
  transfer to inventory    (8)  (8) Reclassification to held for sale (23)
  (200)  (4 583)  (4 806) Translation of foreign operations 75 531 1 5 624
  705 6 936 Disposal of businesses  (14)  (109)  (123) Disposals and
  scrapping  (24) (8) (2 413) (614) (3 059) Balance at 30 June 2013 278 4 202
  540 70 423 13 172 88 615 Carrying value at 30 June 2013 1 753 4 323 927 82
  134 18 933 108 070 Carrying value at 30 June 2012 958 4 087 984 74 603 15 240
  95 872 Carrying value at 30 June 2011 920 3 650 1 009 65 960 7 706 79 245


120 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 2 Property, plant and
  equipment continued Additions to property, plant and equipment (cash flow)
  Current year additions 4 246 3 110 1 883 Adjustments for non-cash items (1
  157) (517) (209) movement in environmental provisions capitalised (1 157)
  (517) (209) Per the statement of cash flows 3 089 2 593 1 674 Additional
  disclosures Leased assets Carrying value of capitalised leased assets
  (included in plant, equipment and vehicles) 831 905 1 018 cost 1 314 1 371 1
  423 accumulated depreciation (483) (466) (405) Finance lease additions
  included in additions above 60 102 70 Carrying value of assets committed as
  security for debt 17 8 855 10 029 12 041 Depreciation rates for property,
  plant and equipment are noted on page 86


121 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June 2013 Rm 2012 Rm 2011 Rm 2 Property, plant and equipment
  continued Capital commitments Capital commitments, excluding capitalised
  interest, include all projects for which specific board approval has been
  obtained up to the reporting date. Projects still under investigation for
  which specific board approvals have not yet been obtained are excluded from
  the following: Authorised and contracted for 64 387 50 243 41 101 Authorised
  but not yet contracted for 45 216 28 417 33 211 Less expenditure to the end
  of year (41 851) (32 841) (26 316) 67 752 45 819 47 996 to sustain existing
  operations 30 388 18 252 22 434 to expand operations 37 364 27 567 25 562
  Estimated expenditure Within one year 42 421 24 805 26 491 One to five years
  25 313 21 000 21 478 More than five years 18 14 27 67 752 45 819 47 996
  Business segmentation South African energy cluster 30 355 29 832 27 561 ¦
  Mining 9 751 10 165 6 113 ¦ Gas 2 291 1 259 1 994 ¦ Synfuels 16 567 16 680 17
  036 ¦ Oil 1 746 1 728 2 418 International energy cluster 12 479 3 883 5 657 ¦
  Synfuels International 7 126 679 384 ¦ Petroleum International 5 353 3 204 5
  273 Chemical cluster 22 725 10 606 12 442 ¦ Polymers 5 917 1 616 1 324 ¦
  Solvents 1 520 186 272 ¦ Olefins & Surfactants 9 247 4 205 2 775 ¦ Other
  chemical businesses 6 041 4 599 8 071 ¦ Other businesses 2 193 1 498 2 336
  Total operations 67 752 45 819 47 996


122 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 2 Property, plant and
  equipment continued Capital commitments at 30 June comprise: Project Business
  unit Shondoni colliery to maintain Middelbult colliery Mining 3 920 4 782 64
  Impumelelo colliery to maintain Brandspruit mine operation Mining 2 749 3 697
  3 986 Tweedraai project Mining 1 228   Coal mining rights Mining 488 465
  535 Thubelisha shaft to maintain Twistdraai colliery operation Mining 251 549
  1 197 Gauteng Network Pipeline Gas 218 897 1 409 Gas Loopline Gas 1 574  
  Gas heated heat exchange reformers Synfuels 679 723 1 136 Reduction of volatile
  organic compounds emissions Synfuels 958 1 355 1 676 Coal tar filtration east
  unit Synfuels 1 218 1 503 1 655 SASOL® Fixed bed, dry bottom gasifiers
  Synfuels 624 813 1 097 Water recovery facility for Growth program 1A Synfuels
  533 1 038 1 357 Shutdown and major statutory maintenance Synfuels 3 525 1 892
  1 174 Replacement of tar tanks and separators Synfuels 1 388 1 859 867
  Selective catalytic cracker  baseline optimisation project Synfuels 514 624
   Four synthol catalyst reduction reactors replacement Synfuels 510 62 83
  Replacement of steam turbines at steam plants Synfuels 502 586 689 Clean
  Fuels 2 Project Synfuels and Oil 1 035 250  Mozambique exploration and
  development Petroleum International 1 388 628 1 129 Gabon exploration and
  development Petroleum International 1 457 281 173 Canadian shale gas
  exploration and development Petroleum International 2 395 2 177 3 879 C3
  Stabilisation project Polymers 450 939  Ethylene tetramerisation project in
  North America Olefins & Surfactants 296 1 132 1 469 Land acquisitions in
  North America Olefins & Surfactants 499 961  Fischer-Tropsch wax
  expansion project Other chemical businesses 4 488 3 181 5 839 Ethane cracker
  and downstream derivatives project in North America Chemical businesses 12
  849   Gas-to-liquids project in North America Synfuels International 6 085
    Mozambique plant  Central Termica de Ressano Garcia (CTRG) Other
  businesses 1 313   Sasolburg gas power engines Other businesses  805 1 754
  Other projects Various 14 618 14 620 16 828 67 752 45 819 47 996


123 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 3 Assets under construction
  Cost Balance at beginning of year 33 585 29 752 21 018 Acquisition of
  business 54 41   Acquisition of interests in joint ventures 54  24 3 114
  Additions 29 584 26 720 18 877 to sustain existing operations 13 717 9 761 8
  658 to expand operations 15 867 16 959 10 219 Finance costs capitalised 39
  302 24 43 Impairment of assets under construction 41 (2 096) (879) (2)
  Reversal of impairment of assets under construction 41   2 Write-off of
  unsuccessful exploration wells 41 (469) (270) (441) Reclassification to
  inventories   (2) Projects capitalised (21 343) (22 385) (12 634) property,
  plant and equipment 2 (20 988) (22 206) (12 480) other intangible assets 5
  (355) (179) (154) Reclassification to held for sale (176)  (32) Translation
  of foreign operations 46 1 950 850 (72) Disposal of businesses 55 (3)  
  Disposals and scrapping (131) (251) (119) Balance at end of year 41 244 33
  585 29 752 Comprising Property, plant and equipment under construction 34 750
  28 377 25 154 Other intangible assets under construction 558 300 185
  Exploration and evaluation assets 5 936 4 908 4 413 41 244 33 585 29 752
  Business segmentation South African energy cluster 14 052 13 840 14 857 ¦ Mining
  3 315 2 935 2 744 ¦ Gas 919 1 164 531 ¦ Synfuels 9 165 8 017 10 236 ¦ Oil 653
  1 724 1 346 International energy cluster 10 135 6 854 8 216 ¦ Synfuels
  International 1 021 299 1 103 ¦ Petroleum International 9 114 6 555 7 113
  Chemical cluster 14 785 10 886 5 909 ¦ Polymers 3 295 1 928 1 066 ¦ Solvents
  470 244 319 ¦ Olefins & Surfactants 4 218 1 619 543 ¦ Other chemical
  businesses 6 802 7 095 3 981 ¦ Other businesses 2 272 2 005 770 Total
  operations 41 244 33 585 29 752


124 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June Property, plant and equipment under construction
  Rm Other intangible assets under construction Rm Exploration and evaluation
  assets Rm Total Rm 3 Assets under construction continued Cost Balance at 30
  June 2012 28 377 300 4 908 33 585 Acquisition of business 41   41 Additions
  28 055 595 934 29 584 to sustain existing operations 13 358 315 44 13 717 to
  expand operations 14 697 280 890 15 867 Reclassification of assets under
  construction (16) 16   Finance costs capitalised 302   302 Impairment of
  assets under construction (2 039) (43) (14) (2 096) Write-off of unsuccessful
  exploration wells   (469) (469) Projects capitalised (20 884) (355) (104)
  (21 343) Net reclassification to held for sale (176)   (176) Translation of
  foreign operations 1 213 55 682 1 950 Disposal of businesses (3)   (3)
  Disposals and scrapping (120) (10) (1) (131) Balance at 30 June 2013 34 750
  558 5 936 41 244 Balance at 30 June 2012 28 377 300 4 908 33 585 Balance at
  30 June 2011 25 154 185 4 413 29 752 2013 Rm 2012 Rm 2011 Rm Additions to
  assets under construction (cash flow) Current year additions 29 584 26 720 18
  877 adjustments for non-cash items (462) (202) (16) cash flow hedge
  accounting (32) (21) 8 other non-cash movements  (32)  movement in
  environmental provisions capitalised (430) (149) (24) Per the statement of
  cash flows 29 122 26 518 18 861 The group hedges its exposure in South Africa
  to foreign currency risk in respect of its significant capital projects. This
  is done primarily by means of forward exchange contracts. Cash flow hedge
  accounting is applied to these hedging transactions and accordingly, the effective
  portion of any gain or loss realised on these contracts is adjusted against
  the underlying item of assets under construction.


125 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June 2013 Rm 2012 Rm 2011 Rm 3 Assets under construction
  continued Capital expenditure (cash flow) Projects to sustain operations As
  part of the normal plant operations, the group incurs capital expenditure to
  replace or modify significant components of plant to maintain the useful
  lives of the plant operations and improve plant efficiencies. Project
  Business unit Thubelisha shaft to maintain Twistdraai colliery operation
  Mining 22 530 1 175 Impumelelo colliery to maintain Brandspruit colliery
  operation Mining 1 016 584 155 Shondoni colliery to maintain Middelbult
  colliery operation Mining 618 74 59 Major shutdown and statutory maintenance
  Synfuels 2 299 1 636 1 412 Replacement of tar tanks and separators Synfuels
  471 68 56 Clean Fuels 2 Project Synfuels and Oil 213   Shutdown and
  statutory maintenance Synfuels International 338   Secunda Natref pipeline
  project Oil 74 213 279 Project wholesale logistics  Waltloo Oil 241  
  Project wholesale logistics  Alrode Oil 150 305 199 Shutdown and statutory
  maintenance Oil 387 200 49 Replacement of information management systems and
  software Other businesses 165 216 188 Expenditure related to other
  environmental obligations Various 896 587 961 Expenditure incurred relating
  to other safety regulations Various 463 282 49 Other projects to sustain
  existing operations Various 6 345 5 040 4 059 13 698 9 735 8 641 Projects to
  expand operations Project Business unit Gauteng Network Pipeline Gas 679 486
  177 Looplines project Gas 407   Additional gasifiers in gas production
  Synfuels 189 284 661 Reforming gas improvement project Synfuels 26 433 557
  Power generation with open cycle turbines Synfuels 26 41 307 16th Oxygen
  train project Synfuels 19 106 559 10th Sasol advanced synthol reactor
  Synfuels 18 171 378 Gas heated heat exchange reformers Synfuels 889 669 608
  Water recovery facility Synfuels 375 122 11 Uzbekistan gas-to-liquids project
  Synfuels International 199 72  Canadian shale gas exploration and
  development Petroleum International 3 177 6 441 1 242 Mozambique exploration
  and development Petroleum International 703 391 675 C3 stabilisation Polymers
  427 101 29 Ethylene purification unit Polymers 167 673 675 Ethylene
  tetramerisation project in North America Olefins & Surfactants 1 220 809
  68 Limestone ammonium nitrate (LAN) replacement project Other chemical
  businesses  350 367 Fischer-Tropsch wax expansion project Other chemical
  businesses 2 271 2 884 1 720 Ethane cracker and downstream derivatives
  project in North America Chemical businesses 1 032   Land acquisitions in
  North America Chemical businesses 562   Gas-to-liquids project in North
  America Synfuels International 168   Mozambique plant-Central Termica de
  Ressano Garcia (CTRG) Other businesses 1 118   Sasolburg gas power engines
  Other businesses 310 949  Other projects Various 1 442 1 801 2 186 15 424 16
  783 10 220


126 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 4 Goodwill Cost
  Balance at beginning of year 2 002 1 702 1 659 Acquisition of business 54 12
    Disposal of businesses 55 (33)   Translation of foreign operations 46
  397 300 43 Balance at end of year 2 378 2 002 1 702 Accumulated impairment
  Balance at beginning of year 1 215 955 921 Impairment of goodwill 41 48  
  Disposal of businesses 55 (6)   Translation of foreign operations 46 262
  260 34 Balance at end of year 1 519 1 215 955 Carrying value at end of year
  859 787 747 Business segmentation South African energy cluster Oil 13 85 85
  Chemical cluster Solvents 258 210 180 Olefins & Surfactants 260 213 224
  Other chemical businesses 328 279 258 Total operations 859 787 747


127 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 5 Other intangible assets
  Cost Balance at beginning of year 3 542 3 389 3 142 Acquisition of business
  54 254   Additions 83 146 272 to sustain existing operations 82 146 260 to
  expand operations 1  12 Net transfer from property, plant and equipment 2 
  1  Assets under construction capitalised 3 355 179 154 Net reclassification
  to held for sale (199) (18)  Translation of foreign operations 46 398 113 4
  Disposals and scrapping (334) (268) (183) Balance at end of year 4 099 3 542
  3 389 Comprising Software 1 616 1 522 1 345 Patents and trademarks 1 015 990
  926 Emission rights 305 311 326 Other intangible assets 1 163 719 792 4 099 3
  542 3 389 Accumulated amortisation and impairment Balance at beginning of
  year 2 328 2 124 1 949 Current year charge 49 245 229 235 Net impairment of
  assets 41 93 115 12 Reclassification to held for sale (99)   Translation of
  foreign operations 46 254 65 12 Disposals and scrapping (254) (205) (84)
  Balance at end of year 2 567 2 328 2 124 Comprising Software 1 052 1 088 946
  Patents and trademarks 859 748 690 Emission rights 138 108 46 Other 518 384
  442 2 567 2 328 2 124 Carrying value Software 564 434 399 Patents and
  trademarks 156 242 236 Emission rights 167 203 280 Other 645 335 350 1 532 1
  214 1 265


128 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  for the year ended 30 June Software Rm Patents and trademarks Rm Emission
  rights Rm Other intangible assets Rm Total Rm 5 Other intangible assets
  continued Cost Balance at 30 June 2012 1 522 990 311 719 3 542 Acquisition of
  business 1  3 250 254 Additions 40 3 6 34 83 to sustain existing operations
  40 2 6 34 82 to expand operations  1   1 Assets under construction
  capitalised 285 3  67 355 Net reclassification (to)/from held for sale (49)
  (168) 18  (199) Translation of foreign operations 55 192 55 96 398 Disposals
  and scrapping (238) (5) (88) (3) (334) Balance at 30 June 2013 1 616 1 015
  305 1 163 4 099 Accumulated amortisation and impairment Balance at 30 June
  2012 1 088 748 108 384 2 328 Current year charge 176 26  43 245 Net
  impairment of assets   47 46 93 Reclassification to held for sale (48) (51)
    (99) Translation of foreign operations 49 141 17 47 254 Disposals and
  scrapping (213) (5) (34) (2) (254) Balance at 30 June 2013 1 052 859 138 518
  2 567 Carrying value at 30 June 2013 564 156 167 645 1 532 Carrying value at
  30 June 2012 434 242 203 335 1 214 Carrying value at 30 June 2011 399 236 280
  350 1 265


129 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 5 Other intangible assets
  continued Additions to other intangible assets (cash flow) current year
  additions 83 146 272 adjustments for non-cash item (6) (97) (142) emission
  rights received (6) (97) (142) Per the statement of cash flows 77 49 130
  Additional disclosures Amortisation of other intangible assets Amortisation
  rates on other intangible assets are noted on page 88. Emission rights are
  not subject to amortisation. The assessment that the estimated useful lives
  of these assets are indefinite is based on the assumption that emission
  rights can be utilised over an indefinite number of years as there are no
  limitations on the transferability thereof. This assessment is reviewed at
  least annually. The recoverable amount of emission rights is determined based
  on their quoted market price. for the year ended 30 June 2013 Rm 2012 Rm 2011
  Rm Business segmentation of emission rights ¦ Solvents 25 35 52 ¦ Olefins
  & Surfactants 73 137 192 ¦ Other chemical businesses 68 21 10 ¦ Other
  businesses 1 10 26 Total operations 167 203 280 6 Investments in securities
  Investments available-for-sale 6.1 511 206 189 unlisted equity investments
  197 166 159 listed investments 314 40 30 Investment held-for-trading 6.2 41
  34 30 Investments held-to-maturity 6.3 231 472 445 Investments in securities
  per statement of financial position 783 712 664 6.1 Investments
  available-for-sale Fair value of investments available-for-sale The fair
  value of the unlisted equity investments cannot be determined as there is no
  quoted price available for an identical or similar instrument in an active
  market. Accordingly, these investments are carried at their original cost
  less impairment in the statement of financial position. The unlisted
  investments represent strategic investments of the group and are long term in
  nature as management has no intention of disposing of these investments in
  the foreseeable future. The fair value of the listed investments is based on
  the quoted market price as at 30 June 2013. Investments amounting to R242
  million are restricted for use as they are held in a separate trust to be
  used exclusively for rehabilitation purposes at Sasol Mining. Management has
  no intention of disposing of these investments in the foreseeable future.


130 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  6 Investments in securities continued 6.2 Investment held-for-trading Fair
  value of investment held-for-trading The fair value of the unlisted equity
  investment cannot be determined as there is no quoted price available for an
  identical or similar instrument in an active market. Accordingly, this
  investment is carried at its original cost less impairment in the statement
  of financial position. The investment is long term in nature as management
  has no intention of disposing of this investment in the foreseeable future.
  6.3 Investments held-to-maturity Fair value of investments held-to-maturity
  The fair value of investments held-to-maturity which comprises of long-term
  fixed deposits is determined using a discounted cash flow method using market
  related rates at 30 June 2013. The market related rates used to discount
  estimated cash flows were between 4,22% and 5,42% (2012  5,77% and 6,03%;
  2011  6,14% and 7,15%). The long-term fixed deposits are restricted for use
  as they are held in a separate trust to be used exclusively for
  rehabilitation purposes at Sasol Mining. for the year ended 30 June Note 2013
  Rm 2012 Rm 2011 Rm 7 Investments in associates Balance at beginning of year 2
  560 3 071 3 573 Acquisition of associates 200   Repayment of capital in
  associate (661)   Disposal of associate  (29)  Additional investments in
  associates  81 91 Reclassification to long-term receivables  (434) 
  Reclassification to other receivables 14  (859)  Share of profit of
  associates, net of dividends received 61 118 (105) Reversal of impairment of
  investment in associate 41 61   Impairment of investment in associate 41 
  (64) (123) Effect of translation of foreign operations 46 455 676 (365)
  Balance at end of year 2 676 2 560 3 071 Comprising Investments at cost (net
  of impairment) 2 438 2 050 3 306 Share of post-acquisition reserves 238 510
  (235) 2 676 2 560 3 071 Dividends received from associates 51 384 361 397
  Business segmentation ¦ Synfuels 8 6 8 ¦ Synfuels International 1 291 1 689 2
  351 ¦ Polymers 1 191 863 678 ¦ Other chemical businesses 4 2 2 ¦ Other
  businesses 182  32 Total operations 2 676 2 560 3 071


131 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 7 Investments in associates
  continued Key financial information of associates* Non-current assets 94 037
  66 608 44 645 property, plant and equipment 3 849 3 534 3 279 assets under
  construction 90 143 63 032 41 325 other non-current assets 45 42 41 Current
  assets 10 307 47 050 5 006 Total assets 104 344 113 658 49 651 Shareholders
  equity 50 003 25 701 20 852 Long-term debt (interest bearing)   5 Long-term
  provisions  4  Other non-current liabilities 16 981 22 583 27 002 Interest
  bearing current liabilities 35 777 860 Non-interest bearing current
  liabilities 37 325 64 593 932 Total equity and liabilities 104 344 113 658 49
  651 Total turnover 9 923 9 936 6 886 Operating profit 5 007 4 713 3 071
  Finance income 1 61 61 Finance costs (4) (12) (80) Profit before tax 5 004 4
  762 3 052 Taxation (1 256) (1 164) (771) Profit 3 748 3 598 2 281 * The
  financial information provided represents the full financial position and
  results of the associates. There were no contingent liabilities at 30 June
  2013 relating to associates other than as disclosed in note 56. At 30 June, the
  groups total investment in the Escravos gas-to-liquids (EGTL) project was:
  Investment in associate 1 291 1 689 2 351 Loan to associate classified as
  long-term receivables 329 434  Loan to associate classified as other
  receivables 14  859  1 620 2 982 2 351 No additional amounts in the current
  year (2012  Rnil million, 2011  R148 million) has been committed by the
  group for further development of the EGTL project. Impairment testing in
  respect of investments in associates is performed at each reporting date by
  comparing the recoverable amount based on the value in use of the cash
  generating unit to the carrying amount as described in note 41.


132 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current assets continued
  7 Investments in associates continued At 30 June, the groups associates,
  interest in those associates and the total carrying values were: Name Country
  of incorporation Nature of business Interest % 2013 Rm 2012 Rm 2011 Rm
  Escravos GTL (EGTL)* Nigeria GTL plant 10 1 291 1 689 2 351 Petronas
  Chemicals Olefins Sdn Bhd** Malaysia Ethane and propane gas cracker 12 886
  684 538 Wesco China Limited Hong Kong Trading and distribution of raw plastic
  materials 40 305 178 140 Oxis Energy United Kingdom Battery technology
  development 31 182   Other various 12 9 42 2 676 2 560 3 071 * In December
  2008, Sasol reduced its interest in EGTL from 37,5% to 10%. The 10% interest
  retained by Sasol in the EGTL project has been recognised as an investment in
  an associate at its fair value at the date of disposal. Although the group
  holds less than 20% of the voting power of EGTL, the group has significant
  influence with regards to the management of the project. ** Although the
  group holds less than 20% of the voting power of Petronas Chemicals Olefins
  Sdn Bhd, the group exercises significant influence with regards to the
  management of the venture. Associates whose financial year ends are within
  three months of 30 June are included in the consolidated financial statements
  using their most recently audited financial results. Adjustments are made to
  the associates financial results for material transactions and events in the
  intervening period. There are no significant restrictions on the ability of
  the associates to transfer funds to Sasol Limited in the form of cash
  dividends or repayment of loans or advances. for the year ended 30 June Note
  2013 Rm 2012 Rm 2011 Rm 8 Post-retirement benefit assets Post-retirement
  benefit assets 20.2 407 313 265 For further details of post-retirement
  benefit assets, refer note 20.2.


133 SASOL AFS 7
  OCT  PROOF final 2 Other disclosures Liquidity and capital resources Equity
  structure Results of operations Current liabilities Non-current liabilities
  Current assets Non-current assets Changes to comparative information for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 9 Long-term receivables and
  prepaid expenses Total long-term receivables 1 864 1 451 1 482 Short-term
  portion 14 (300) (78) (24) 1 564 1 373 1 458 Long-term prepaid expenses 189
  158 75 1 753 1 531 1 533 Comprising Long-term joint venture receivables
  (interest bearing) 62 51 891 Long-term interest-bearing loans 1 089 968 457
  Long-term interest-free loans 413 354 110 1 564 1 373 1 458 Maturity profile
  Within one year 300 78 24 One to five years 968 926 1 077 More than five
  years 596 447 381 1 864 1 451 1 482 Fair value of long-term loans and
  receivables The fair value of long-term receivables is determined using a
  discounted cash flow method using market related rates at 30 June. The fair
  value of long-term interest bearing receivables approximates the carrying
  value as market related rates of interest are charged on these outstanding
  amounts. The interest-free loans relate primarily to deposits on office
  rental space in terms of various operating lease agreements. These amounts
  were considered to be recoverable as at 30 June 2013. Fair value of long-term
  receivables 1 864 1 451 1 482 Impairment of long-term loans and receivables
  Long-term loans and receivables that are not past their due date are not
  considered to be impaired, except in situations where they are part of
  individually impaired long-term loans and receivables. Collateral The group
  holds collateral over certain long-term receivables amounting to R329 million
  related to the investment in EGTL. 10 Long-term financial assets Forward
  exchange contracts 251 194 21 Arising on long-term derivative financial
  instruments 251 194 21 used for cash flow hedging 1 1 1 held-for-trading 250
  193 20 Long-term financial assets include the revaluation of in-the-money
  derivative instruments, refer note 61. The fair value of derivatives is based
  on market valuations.


Sasol Limited
  group 134 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements current assets for the year ended
  30 June Note 2013 Rm 2012 Rm 2011 Rm 11 Assets in disposal groups held for
  sale Sasol Polymers  Investment in Arya Sasol Polymer Company (ASPC) joint
  venture 11.1 2 249   Sasol Gas  Investment in Spring Lights Gas joint
  venture 11.2 52   Sasol Nitro  Emission rights 11.3  18  Sasol Nitro 
  Fertiliser businesses 11.4   23 Sasol Petroleum International  Exploration
  assets 11.5   31 Sasol Oil  Land 11.6 3   2 304 18 54 11.1 Sasol
  Polymers  Investment in ASPC joint venture On 25 November 2011, the Sasol
  Limited board approved the commencement of negotiations to sell Sasols share
  in ASPC. A rigorous process was followed by management to prepare the
  business for sale and in February 2013 a memorandum of understanding was
  concluded with an interested party. Based on the progress achieved by 30 June
  2013 towards concluding the disposal, management expects that the sale of the
  investment will be completed before the end of the next financial year. The
  price stipulated in the memorandum of understanding confirmed the valuation
  performed by management and the investment was accordingly written down to
  its fair value less costs to sell (refer note 41). On 16 August 2013, the
  investment in ASPC joint venture was disposed of (refer note 59). Note 2013
  Rm 2012 Rm 2011 Rm Assets in disposal groups held for sale 11 2 304 18 54
  Inventories 12 24 056 20 668 18 512 Tax receivable 27 178 325 49 Trade
  receivables 13 26 507 23 159 21 628 Other receivables and prepaid expenses 14
  2 318 2 815 1 497 Short-term financial assets 15 1 526 426 22 Cash restricted
  for use 16 7 442 5 314 3 303 Cash 16 25 271 12 746 14 716 89 602 65 471 59
  781


135 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June 2013 Rm 11 Assets in disposal groups held
  for sale continued Net assets transferred to assets held for sale Non-current
  assets 1 680 Property, plant and equipment 1 376 Other intangible assets 118
  Assets under construction 176 Long-term receivables 10 Current assets 6 413 Inventories
  1 163 Trade receivables 2 176 Other receivables and prepaid expenses 803 Cash
  restricted for use 2 271 ASPC assets transferred to assets held for sale 8
  093 Non-current liabilities 1 288 Long-term debt 1 037 Long-term provisions
  86 Long-term deferred income 154 Deferred tax liabilities 11 Current
  liabilities 4 556 Trade payables and accrued expenses 588 Other payables 2
  062 Short-term portion of long-term debt 1 832 Deferred income 7 Tax payable
  67 ASPC liabilities transferred to assets held for sale 5 844 Net investment
  in ASPC joint venture 2 249 11.2 Sasol Gas  Investment in Spring Lights Gas
  joint venture In December 2012, a binding offer was signed with a potential
  purchaser for the sale of Sasol's 49% interest in the Spring Lights Gas venture.
  The sale agreement is subject to approval from the Competition Commission. On
  2 July 2013, the investment in Spring Lights Gas joint venture was disposed
  of (refer note 59). 11.3 Sasol Nitro  Emission rights In 2012, Sasol Nitro
  entered into negotiations with a potential buyer to dispose of certified
  emission reduction certificates. The sale was concluded in July 2012. 11.4
  Sasol Nitro  Fertiliser businesses On 20 July 2010, Sasol concluded an
  agreement with the South African Competition Commission to dispose of the
  bulk blending and liquid fertiliser blending facilities in Durban, Bellville,
  Endicott and Kimberley. As a result, Sasol entered into negotiations with
  potential buyers for the purchase of the plants. Based on managements
  estimate of fair value to be obtained from the sale, the net assets were
  impaired by R3 million to their fair value less costs to sell. 11.5 Sasol
  Petroleum International  Exploration assets During 2010, Sasol Petroleum
  International entered into negotiations with a potential buyer interested in
  acquiring exploration assets in Nigeria. Based on managements estimate of
  fair value to be obtained from the sale, the net assets were impaired by R1
  million to their fair value less costs to sell. 11.6 Sasol Oil  Land During
  2013, Sasol Oil entered into negotiations with a potential buyer to dispose
  of land. The sale is expected to be completed in the next 12 months.


136 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements current assets continued for
  the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 12 Inventories Carrying value
  Crude oil and other raw materials 5 027 3 433 3 708 Process material 2 040 1
  519 1 248 Maintenance materials 3 907 3 547 2 929 Work-in-progress 2 482 1
  868 1 473 Manufactured products 10 323 10 111 8 998 Consignment inventory 277
  190 156 24 056 20 668 18 512 Business segmentation South African energy
  cluster 9 740 8 274 7 780 ¦ Mining 1 031 939 789 ¦ Gas 66 57 47 ¦ Synfuels 2 516
  2 420 1 994 ¦ Oil 6 127 4 858 4 950 International energy cluster 1 478 1 075
  750 ¦ Synfuels International 1 316 987 726 ¦ Petroleum International 162 88
  24 Chemical cluster 12 822 11 304 9 968 ¦ Polymers 1 572 2 107 1 490 ¦
  Solvents 2 680 2 318 1 944 ¦ Olefins & Surfactants 5 540 4 721 4 482 ¦
  Other chemical businesses 3 030 2 158 2 052 ¦ Other businesses 16 15 14 Total
  operations 24 056 20 668 18 512 The impact of higher crude oil and lower
  chemical product prices has resulted in a net realisable value write-down of
  R234 million in 2013 (2012  R331 million; 2011  R120 million). The reversal
  of the net realisable value write-down amounted to Rnil million in 2013 (2012
   Rnil million; 2011  R8 million). No inventories are encumbered.


137 Other disclosures
  Liquidity and capital resources Equity structure Results of operations
  Current liabilities Non-current liabilities Current assets Non-current assets
  Changes to comparative information SASOL AFS 7 OCT  PROOF final 2 for the
  year ended 30 June 2013 Rm 2012 Rm 2011 Rm 13 Trade receivables Trade
  receivables 24 347 20 520 20 406 Related party receivables 502 1 146 434
  associates 317 357 163 joint ventures 185 789 271 Impairment of trade
  receivables (533) (509) (442) Receivables 24 316 21 157 20 398 Duties
  recoverable from customers 144 436 106 Value added tax 2 047 1 566 1 124 26
  507 23 159 21 628 Business segmentation South African energy cluster 9 656 8
  148 7 666 ¦ Mining 160 165 129 ¦ Gas 499 467 377 ¦ Synfuels 290 185 305 ¦ Oil
  8 707 7 331 6 850 ¦ Other   5 International energy cluster 1 082 973 1 105
  ¦ Synfuels International 686 696 970 ¦ Petroleum International 396 277 135
  Chemical cluster 15 727 13 930 12 852 ¦ Polymers 3 548 4 854 3 356 ¦ Solvents
  3 753 2 917 2 733 ¦ Olefins & Surfactants 5 898 4 192 4 939 ¦ Other
  chemical businesses 2 528 1 967 1 824 ¦ Other businesses 42 108 5 Total
  operations 26 507 23 159 21 628 Credit risk exposure in respect of trade
  receivables is analysed as follows: for the year ended 30 June Carrying value
  2013 Rm Impairment 2013 Rm Carrying value 2012 Rm Impairment 2012 Rm Age
  analysis of trade receivables Not past due date 22 559 9 18 647 7 Past due 0
   30 days 1 034 6 1 165 9 Past due 31  150 days 248 28 159 20 Past due 151
  days  one year 53 40 384 321 More than one year* 453 450 165 152 24 347 533
  20 520 509 * More than one year relates to long outstanding balances for
  specific customers who have exceeded their contractual repayment terms.


138 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements current assets continued for
  the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 13 Trade receivables
  continued Impairment of trade receivables Balance at beginning of year (509)
  (442) (307) Disposal of businesses 16  5 Raised during year 36 (72) (135)
  (293) Utilised during year 32 2 80 Released during year 36 34 74 76
  Translation of foreign operations (34) (8) (3) Balance at end of year (533)
  (509) (442) Trade receivables that are not past their due date are not
  considered to be impaired, except in situations where they are part of
  individually impaired trade receivables. The individually impaired trade
  receivables mainly relate to certain customers who are trading in difficult
  economic circumstances. No individual customer represents more than 10% of
  the groups trade receivables. Fair value of trade receivables The carrying
  value approximates fair value because of the short period to maturity of
  these instruments. Collateral The group holds no collateral over the trade
  receivables which can be sold or repledged to a third party. 14 Other
  receivables and prepaid expenses Insurance related receivables 13 260 189
  Capital project related receivables 19 82 173 Receivables related to
  exploration activities 43 67 18 Employee related receivables 74 66 38
  Receivable related to investment in EGTL 7  859  Other receivables 1 288
  926 580 1 437 2 260 998 Short-term portion of long-term receivables 9 300 78
  24 Other receivables 1 737 2 338 1 022 Prepaid expenses 581 477 475 2 318 2
  815 1 497 Fair value of other receivables The carrying value approximates
  fair value because of the short period to maturity of these instruments. 15
  Short-term financial assets Forward exchange contracts 1 512 400 22 Commodity
  derivatives 14 26  Arising on short-term derivative financial instruments 1
  526 426 22 used for cash flow hedging 33 3 4 held-for-trading 1 493 423 18
  Short-term financial assets include the revaluation of in-the-money
  derivative instruments, refer note 61. The fair value of derivatives is based
  upon market valuations.


139 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 16 Cash and
  cash equivalents Cash restricted for use 7 442 5 314 3 303 Cash 25 271 12 746
  14 716 Bank overdraft (747) (222) (209) Per the statement of cash flows 31
  966 17 838 17 810 Cash restricted for use In trust 16.1 48 53 257 In respect
  of joint ventures 16.2 4 422 3 981 1 320 In cell captive insurance company
  16.3 397 347 301 Funds not available for general use 16.4 716 760 1 262 Held
  as collateral 16.5 82 68 75 Restricted deposits 16.6 1 734   Other 16.7 43
  105 88 7 442 5 314 3 303 Included in cash restricted for use: 16.1 Cash held
  in trust of R48 million (2012  R53 million; 2011  R257 million) is
  restricted for use and is being held in escrow for the funding of specific
  project finance related to the construction of joint venture plants. 16.2
  Cash in respect of joint ventures can only be utilised for the business
  activities of the joint ventures. 16.3 Cell captive insurance company funds of
  R397 million (2012  R347 million; 2011  R301 million) to which the group
  has restricted title. The funds are restricted solely to be utilised for
  insurance purposes. 16.4 Cash held in a separate bank account of R716 million
  (2012  R760 million; 2011  R1 262 million) is restricted for use and is not
  available for general use by the group. 16.5 Cash deposits of R82 million
  (2012  R68 million; 2011  R75 million) serving as collateral for bank
  guarantees. 16.6 Restricted deposits include amounts that can be utilised
  only on the occurrence of certain milestones or specific events. 16.7 Other
  cash restricted for use include customer foreign currency accounts to be used
  for the construction of reactors where the contractor pays in advance. The
  cash can be utilised only for these designated reactor supply projects. Cash
  Cash on hand and in bank 9 564 6 351 5 953 Foreign currency accounts 581 566
  346 Short-term deposits 15 126 5 829 8 417 25 271 12 746 14 716 Fair value of
  cash and cash equivalents The carrying value of cash and cash equivalents
  approximates fair value due to the short-term maturity of these instruments.


Sasol Limited
  group 140 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements non-current liabilities for the
  year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 17 Long-term debt Total
  long-term debt 23 801 15 885 15 849 Short-term portion 23 (1 444) (3 057) (1
  493) 22 357 12 828 14 356 Analysis of long-term debt At amortised cost
  Secured debt 1 761 2 794 3 494 Preference shares 8 177 8 055 7 885 Finance
  leases 695 789 888 Unsecured debt 13 239 4 271 3 617 Unamortised loan costs
  (71) (24) (35) 23 801 15 885 15 849 Reconciliation Balance at beginning of
  year 15 885 15 849 15 197 Loans raised 11 485 1 138 2 247 Loans repaid (3
  357) (1 997) (1 702) Interest accrued 39 1 033 886 479 Amortisation of loan
  costs 55 (112) 15 Effect of cash flow hedge accounting   (6)
  Reclassification to held for sale (2 869)   Translation effect of foreign
  currency loans 939 15 5 Translation of foreign operations 46 630 106 (386)
  Balance at end of year 23 801 15 885 15 849 Interest bearing status Interest
  bearing debt 23 287 15 360 15 204 Non-interest bearing debt 514 525 645 23
  801 15 885 15 849 Maturity profile Within one year 1 444 3 057 1 493 One to
  five years 6 413 4 659 5 418 More than five years 15 944 8 169 8 938 23 801
  15 885 15 849 Note 2013 Rm 2012 Rm 2011 Rm Long-term debt 17 22 357 12 828 14
  356 Long-term financial liabilities 18 22 38 103 Long-term provisions 19 12
  397 10 518 8 233 Post-retirement benefit obligations 20 8 841 6 872 5 160
  Long-term deferred income 21 305 455 498 Deferred tax liabilities 22 16 173
  13 839 11 961 60 095 44 550 40 311


141 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 17 Long-term debt
  continued Business segmentation South African energy cluster 5 048 5 212 5
  750 ¦ Mining 680 669 798 ¦ Gas 1 625 1 866 2 317 ¦ Synfuels 7 5 2 ¦ Oil 2 736
  2 672 2 633 International energy cluster 347 454 568 ¦ Synfuels International
  59 46 34 ¦ Petroleum International 288 408 534 Chemical cluster 642 2 648 2
  152 ¦ Polymers  2 218 1 738 ¦ Solvents 401 351 371 ¦ Olefins & Surfactants
  211 73 38 ¦ Other chemical businesses 30 6 5 ¦ Other businesses 17 764 7 571
  7 379 Total operations 23 801 15 885 15 849 Fair value of long-term debt The
  fair value of long-term debt is based on the quoted market price for the same
  or similar instruments or on the current rates available for debt with the
  same maturity profile and with similar cash flows. Market related rates
  ranging between 1,2% and 16,6% were used to discount estimated cash flows
  based on the underlying currency of the debt. Total long-term debt (before
  unamortised loan costs)1 23 731 16 455 16 737 1 The difference in the fair
  value of long-term debt in 2013 compared to the carrying value is mainly due
  to the prevailing market price of the US Bond on the New York Stock Exchange
  at 30 June 2013. In terms of Sasol Limiteds memorandum of incorporation, the
  groups borrowing powers are limited to twice the sum of its share capital
  and reserves (2013  R299 billion; 2012  R250 billion; 2011  R215 billion).
  2013 2012 2011


142 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued Terms of repayment Security Business Currency Interest rate at 30
  June 2013 2013 Rm 2012 Rm 2011 Rm 17 Long-term debt continued Secured debt
  Repayable in semi-annual instalments ending between December 2014 and
  December 2017 Secured by plant with a carrying value of R3 334 million (2012
   R3 415 million) Gas (Rompco) Rand Jibar + 1,2% to 3,4% 942 1 364 1 687
  Repayable in semi-annual instalments ending June 2015 Secured by plant and
  equipment with a carrying value of R4 161 million (2012  R3 599 million)
  Petroleum International Rand and Euro Jibar + 1,2% to 2,5% and Euribor + 2,0%
  289 411 542 Repayable in December 2013 Secured by the shares in the company
  borrowing the funds Oil (Petromoc) US dollar Variable 11,0% 2 4 5 Repayable
  in semi-annual instalments ending December 2018 Secured by plant and other
  current assets with a carrying value of R630 million (2012  R512 million)
  Solvents (Huntsman) Euro Euribor + 3,3% 401 353 374 Other secured debt
  Various Various Various 127 5 6 Settled during the financial year Various
  Various Various  657 880 1 761 2 794 3 494


143 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 Terms of repayment Security Business Currency Interest rate at 30
  June 2013 2013 Rm 2012 Rm 2011 Rm 17 Long-term debt continued Preference
  shares A preference shares repayable in semi-annual instalments between June
  and October 20181 Secured by Sasol preferred ordinary shares held by the
  company Other (Inzalo) Rand Fixed 11,1% to 12,3% 2 145 2 309 2 448 B
  preference shares repayable between June and October 20182 Secured by Sasol
  preferred ordinary shares held by the company Other (Inzalo) Rand Fixed 13,3%
  to 14,7% 1 161 1 160 1 154 C preference shares repayable October 20183
  Secured by guarantee from Sasol Limited Other (Inzalo) Rand Variable 7,2% 4
  191 3 917 3 576 A preference shares repayable between March 2013 and October
  20184 Secured by preference shares held by Sasol Mining Holdings (Pty) Ltd
  Sasol Mining Rand Fixed 9,2% and Variable 79% of prime 680 669 707 8 177 8
  055 7 885 Finance leases Repayable in monthly instalments over 10 to 30 years
  ending December 2033 Secured by plant and equipment with a carrying value of
  R730 million (2012  R766 million) Oil Rand Variable 6,3% to 16,6% 647 703
  729 Other finance leases Underlying assets Various Various Various 48 86 159
  695 789 888 Total secured debt 10 633 11 638 12 267 1 No additional A
  preference shares debt was raised in the current year (2012  Rnil; 2011 
  Rnil) within special purpose entities as part of the Sasol Inzalo share
  transaction (refer note 45.2). During the year, R165 million (2012  R138
  million; 2011  R14 million) was repaid in respect of the capital portion
  related to these preference shares. Dividends on these preference shares are
  payable in semi-annual instalments ending October 2018. It is required that
  50% of the principal amount be repaid between October 2008 and October 2018,
  with the balance of the debt repayable at that date. The A Preference shares
  are secured by a first right over the Sasol preferred ordinary shares held by
  the special purpose entities. It therefore has no direct recourse against
  Sasol Limited. The Sasol preferred ordinary shares held may not be disposed
  of or encumbered in any way. 2 No additional B preference shares debt was
  raised in the current year (2012  Rnil; 2011  Rnil) within special purpose
  entities as part of the Sasol Inzalo share transaction (refer note 45.2).
  Dividends on these preference shares are payable in semi-annual instalments
  ending October 2018. The principal amount is repayable on maturity during
  October 2018. The B Preference shares are secured by a second right over the
  Sasol preferred ordinary shares held by the special purpose entities. It
  therefore has no direct recourse against Sasol Limited. The Sasol preferred
  ordinary shares held may not be disposed of or encumbered in any way. 3 No
  additional C preference shares debt was raised in the current year (2012 
  Rnil; 2011  Rnil) within special purpose entities as part of the Sasol
  Inzalo share transaction (refer note 45.2). Dividends and the principal
  amount on these preference shares are payable on maturity during October
  2018. The C Preference shares are secured by a guarantee from Sasol Limited.
  4 A preference shares debt was raised in 2011 as part of the Sasol Ixia Coal
  transaction (refer note 45.3). No additional preference share debt was raised
  in the current year. Dividends and the principal amount on these preference
  shares are payable on maturity between March 2013 and October 2018. The A
  Preference shares are secured by preference shares held by Sasol Mining
  Holdings (Pty) Ltd, a subsidiary of Sasol Limited. These preference shares
  may not be disposed of or encumbered in any way.


144 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued Terms of repayment Business Currency Interest rate at 30 June 2013
  2013 Rm 2012 Rm 2011 Rm 17 Long-term debt continued Unsecured debt Repayable
  in semi-annual instalments ending December 2017 Oil Rand Variable 6,37% 673
  749 825 Loan from iGas (non-controlling shareholder) in Republic of
  Mozambique Pipeline Investments Company (Pty) Ltd. Repayable in June 2015 Gas
  (Rompco) Rand  257 238 300 Loan from CMG (non-controlling shareholder) in
  Republic of Mozambique Pipeline Investments Company (Pty) Ltd. Repayable in
  June 2015 Gas (Rompco) Rand  257 237 300 Repayable at the end of maturity in
  June 2015 Gas Rand Jibar + 2,05% 150   Repayable in semi-annual instalments
  ending June 2014 Oil Rand Fixed 11,55% 6 50 94 No fixed repayment terms Oil
  Rand Fixed 8,0% 448 318 240 Repayable in yearly instalments ending June 2019
  Oil Rand Variable 7,58% 551 643 735 Repayable in yearly instalments ending
  June 2022 Oil Rand Variable 7,38% 405 200  Repayable in equal semi-annual
  instalments ending March 20135 Polymers (Arya) Euro Euribor + 3,0%  1 561
  868 Repayable in equal semi-annual instalments until May 2018 Other
  businesses  Sasol Financing Euro Euribor + 1,8% 108 104 116 Repayable in
  November 20226 Other businesses  Sasol Financing US Dollar Fixed 4,5% 9 938
    Other unsecured debt Various Various Various 446 171 139 Total unsecured
  debt 13 239 4 271 3 617 Total long-term debt 23 872 15 909 15 884 Unamortised
  loan costs (amortised over period of debt using effective interest rate
  method) (71) (24) (35) 23 801 15 885 15 849 Repayable within one year
  included in short-term debt (refer note 23) (1 444) (3 057) (1 493) 22 357 12
  828 14 356 5 This debt was transferred to held for sale during the current
  financial year. 6 Sasol Financing International Plc, an indirect 100% owned
  finance subsidiary of Sasol Limited, issued a US$1 billion bond which is
  listed on the New York Stock Exchange. Sasol Limited has fully and
  unconditionally guaranteed the bond (refer note 56). There are no
  restrictions on the ability of Sasol Limited to obtain funds from the finance
  subsidiary by dividend or loan.


145 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 18 Long-term
  financial liabilities Derivative instruments Forward exchange contracts 4 14
  78 Interest rate derivatives 6 9 4 10 23 82 used for cash flow hedging  1 5
  held-for-trading 10 22 77 Non-derivative instruments Financial guarantees
  recognised 19 24 29 Less amortisation of financial guarantees (3) (5) (5) 16
  19 24 Less short-term portion of financial guarantees 24 (4) (4) (3) 12 15 21
  Arising on long-term financial instruments 22 38 103 Long-term financial
  liabilities include the revaluation of out-of-the-money derivative
  instruments, refer note 61. Fair value of derivative financial instruments
  The fair value of derivatives is based on market valuations. Fair value of
  long-term financial guarantees The fair value of long-term financial
  guarantees is calculated based on the present value of future principal and
  interest cash flows of the related debt, discounted at the market rate of
  interest at the reporting date, consistent with the method of calculation at
  the inception of the guarantee. The interest rates used range between 10,12%
   14,13% (2012: 13,16%  13,29%; 2011: 13,16%  13,29%). Fair value of
  financial liabilities 24 33 99


146 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 19
  Long-term provisions Balance at beginning of year 11 205 9 043 7 587
  Acquisition of business 54 10   Capitalised in property, plant and
  equipment and assets under construction 1 587 666 233 Reversal of
  rehabilitation provisions capitalised in property, plant and equipment 2
  (203) (26)  Operating income charge 49 393 1 279 1 230 additional provisions
  and increases to existing provisions 1 787 785 1 190 reversal of unutilised
  amounts (387) (104) (12) effect of change in discount rate (1 007) 598 52
  Notional interest 39 574 489 468 Utilised during year (cash flow) 49 (629)
  (493) (486) Reclassification to held for sale (86)  4 Reclassification from
  short-term provisions 25   23 Disposal of businesses 55  (4)  Foreign
  exchange differences recognised in income statement 326 61 22 Translation of
  foreign operations 46 429 190 (38) Balance at end of year 13 606 11 205 9 043
  Less short-term portion 25 (1 209) (687) (810) Long-term provisions 12 397 10
  518 8 233 Comprising Environmental 9 884 8 911 6 900 Share-based payments 2
  343 1 006 909 Other 1 379 1 288 1 234 provision against guarantees 277 368
  405 long-term supply obligation 136 140 142 foreign early retirement
  provisions 162 219 224 other 804 561 463 13 606 11 205 9 043


147 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 19 Long-term
  provisions continued Business segmentation South African energy cluster 5 982
  6 654 5 254 ¦ Mining 1 022 1 029 815 ¦ Gas 329 211 178 ¦ Synfuels 4 182 5 013
  3 931 ¦ Oil 449 401 330 International energy cluster 2 986 1 063 456 ¦
  Synfuels International 344 196 157 ¦ Petroleum International 2 642 867 299
  Chemical cluster 2 425 2 127 1 898 ¦ Polymers 220 183 176 ¦ Solvents 243 168
  173 ¦ Olefins & Surfactants 961 838 749 ¦ Other chemical businesses 1 001
  938 800 ¦ Other businesses 1 004 674 625 Total operations 12 397 10 518 8 233
  Expected timing of future cash flows Within one year 1 209 687 810 One to five
  years 3 211 2 316 2 285 More than five years 9 186 8 202 5 948 13 606 11 205
  9 043 Estimated undiscounted obligation 44 826 42 544 38 083 Environmental
  provisions Representing the estimated actual cash flows in the period in
  which the obligation is settled. In accordance with the groups published
  environmental policy and applicable legislation, a provision for
  rehabilitation is recognised when the obligation arises. The environmental
  obligation includes estimated costs for the rehabilitation of coal mining,
  oil, gas and petrochemical sites. The amount provided is calculated based on
  currently available facts and applicable legislation. The determination of
  long-term provisions, in particular environmental provisions, remains a key
  area where managements judgement is required. Estimating the future cost of
  these obligations is complex and requires management to make estimates and
  judgements because most of the obligations will only be fulfilled in the
  future and contracts and laws are often not clear regarding what is required.
  The resulting provisions could also be influenced by changing technologies
  and political, environmental, safety, business and statutory considerations.
  It is envisaged that, based on the current information available, any additional
  liability in excess of the amounts provided will not have a material adverse
  effect on the groups financial position, liquidity or cash flow. The
  following risk-free rates were used to discount the estimated cash flows
  based on the underlying currency and time duration of the obligation. 2013 %
  2012 % 2011 % South Africa 5,5 to 8,3 5,4 to 7,5 6,0 to 8,5 Europe 0,3 to 2,5
  0,6 to 2,2 1,9 to 4,1 United States of America 0,4 to 3,5 0,5 to 2,5 0,4 to
  4,1 Canada 1,1 to 3,3 1,0 to 2,6 1,2 to 4,1 2013 2012 2011


148 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 19 Long-term
  provisions continued A 1% point change in the discount rate would have the
  following effect on the long-term provisions recognised Increase in the
  discount rate (1 492) (1 275) (1 076) amount capitalised to property, plant
  and equipment (696) (304) (168) amount recognised in income statement
  (income) (796) (971) (908) Decrease in the discount rate 1 789 1 606 1 348
  amount capitalised to property, plant and equipment 208 383 211 amount
  recognised in income statement (expense) 1 581 1 223 1 137 Environmental 2013
  Rm Share-based payments* 2013 Rm Other 2013 Rm Total 2013 Rm Balance at
  beginning of year 8 911 1 006 1 288 11 205 Acquisition of business 8 2  10
  Capitalised in property, plant and equipment and assets under construction 1
  587   1 587 Reversal of rehabilitation provisions capitalised in property,
  plant and equipment (203)   (203) Operating income charge (1 247) 1 664
  (24) 393 additional provisions and increases to existing provisions (178) 1
  664 301 1 787 reversal of unutilised amounts (62)  (325) (387) effect of
  change in discount rate (1 007)   (1 007) Notional interest 558  16 574
  Utilised during year (cash flow) (154) (328) (147) (629) Reclassification to
  held for sale (86)   (86) Foreign exchange differences recognised in income
  statement 264  62 326 Translation of foreign operations 246 (1) 184 429
  Balance at end of year 9 884 2 343 1 379 13 606 * Refer note 45 for
  assumptions used in calculating the share-based payment provision (cash
  settled).


149 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 20 Post-retirement
  benefit obligations Post-retirement healthcare benefits 20.1 3 927 3 445 2
  914 Pension benefits 20.2 5 090 3 570 2 370 Total post-retirement benefit
  obligations 9 017 7 015 5 284 Less short-term portion post-retirement
  healthcare benefits 25 (107) (97) (85) pension benefits 25 (69) (46) (39) 8
  841 6 872 5 160 20.1 Post-retirement healthcare benefits The group provides
  post-retirement healthcare benefits to certain of its retirees, principally
  in South Africa and the United States of America. The method of accounting
  and the frequency of valuations for determining the liability are similar to
  those used for defined benefit pension plans. South Africa The
  post-retirement benefit plan provides certain healthcare and life assurance
  benefits to South African employees hired prior to 1 January 1998, who retire
  and satisfy the necessary requirements of the medical fund. Generally,
  medical coverage provides for a specified percentage of most medical
  expenses, subject to preset rules and maximum amounts. The cost of providing
  these contributions is shared with the retirees. The plan is unfunded. The
  accumulated post-retirement benefit obligation is accrued over the employees
  working life until full eligibility age. United States of America Certain
  other healthcare and life assurance benefits are provided for personnel
  employed in the United States of America. Generally, medical coverage pays a
  specified percentage of most medical expenses, subject to preset maximum
  amounts and reduced for payments made by healthcare provider, Medicare. The
  cost of providing these benefits is shared with the retirees. The plan is
  also unfunded. for the year ended 30 June South Africa United States of
  America Last actuarial valuation 31 March 2013 30 June 2013 Full/interim
  valuation Full Full Valuation method adopted Projected unit credit Projected
  unit credit Principal actuarial assumptions Weighted average assumptions used
  in performing actuarial valuation determined in consultation with independent
  actuaries. South Africa United States of America at valuation date 2013 %
  2012 % 2013 % 2012 % Healthcare cost inflation Initial 7,6 7,6 7,0* 7,0*
  Ultimate 7,6 7,6 5,5* 5,5* Discount rate 8,0 8,5 3,9 3,4 * The healthcare
  cost inflation rate in respect of the plans for the United States of America
  is capped. All future increases due to the healthcare cost inflation will be
  borne by the participants. Reconciliation of projected benefit obligation to
  the amount recognised in the statement of financial position for the year
  ended 30 June South Africa United States of America Total 2013 Rm 2012 Rm
  2013 Rm 2012 Rm 2013 Rm 2012 Rm Projected benefit obligation 3 734 3 282 193
  163 3 927 3 445 Less short-term portion (90) (83) (17) (14) (107) (97)
  Non-current post-retirement healthcare obligation 3 644 3 199 176 149 3 820 3
  348


150 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued 20 Post-retirement benefit obligations continued 20.1
  Post-retirement healthcare benefits continued Reconciliation of the total
  post-retirement healthcare obligation recognised in the statement of
  financial position for the year ended 30 June South Africa United States of
  America Total 2013 Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm Total
  post-retirement healthcare obligation at beginning of year 3 282 2 781 163
  133 3 445 2 914 Acquisition of business 5  6  11  Disposal of businesses
  (6)    (6)  Current service cost 65 77 4 2 69 79 Interest cost 206 249 6
  6 212 255 Remeasurement losses/(gains) 246 255 (5) 10 241 265 actuarial gains
   change in demographic assumptions  (1)    (1) actuarial losses/(gains)
   change in financial assumptions 246 256 (5) 10 241 266 Benefits paid (64)
  (80) (15) (15) (79) (95) Translation of foreign operations   34 27 34 27
  Total post-retirement healthcare obligation at end of year 3 734 3 282 193
  163 3 927 3 445 Net post-retirement healthcare costs recognised in the income
  statement for the year ended 30 June South Africa United States of America
  Total 2013 Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm Current service cost 65
  77 4 2 69 79 Interest cost 206 249 6 6 212 255 Net periodic benefit cost 271
  326 10 8 281 334 Remeasurement of the net post-retirement healthcare obligation
  for the year ended 30 June South Africa United States of America Total 2013
  Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm Actuarial gains arising from
  changes in demographic assumptions  (1)    (1) Actuarial losses/(gains)
  arising from changes in financial assumptions 246 256 (5) 10 241 266 Net
  remeasurement recognised in other comprehensive income 246 255 (5) 10 241 265


151 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 20 Post-retirement benefit obligations continued 20.1 Post-retirement
  healthcare benefits continued Sensitivity analysis Assumed healthcare cost
  trend rates have a significant effect on the amounts reported for the
  post-retirement healthcare benefits. A one percentage-point change in assumed
  healthcare cost trend rates could increase or decrease the relevant amount
  to: for the year ended 30 June South Africa United States of America 1% point
  increase Rm 1% point decrease Rm 1% point increase Rm 1% point decrease Rm
  2013 Projected benefit obligations 4 457 3 181 193* 193* 2012 Projected
  benefit obligations 3 920 2 793 163* 163* * A change in the healthcare cost
  inflation for the United States of America will not have an effect on the
  above components or the obligation as the employer's cost is capped and all
  future increases due to the healthcare cost inflation are borne by the
  participants. Discount rates have a significant effect on the amounts
  reported for the post-retirement healthcare benefits. A one percentage-point
  change in assumed discount rates could increase or decrease the relevant
  amount to: for the year ended 30 June South Africa United States of America
  1% point increase Rm 1% point decrease Rm 1% point increase Rm 1% point
  decrease Rm 2013 Projected benefit obligations 3 188 4 458 193* 193* 2012
  Projected benefit obligations 2 805 3 908 163* 163* * A change in the
  healthcare cost inflation for the United States of America will not have an
  effect on the above components or the obligation as the employer's cost is
  capped and all future increases due to the healthcare cost inflation are
  borne by the participants. The weighted average duration of the
  post-retirement healthcare benefit obligation at 30 June 2013 is 12 years.
  20.2 Pension benefits The group operates or contributes to defined benefit
  pension plans and defined contribution plans in the countries in which it
  operates. Contributions by the group and in some cases the employees are made
  for funds set up in South Africa and the United States of America, while no
  contributions are made for plans established in other geographic areas like
  Europe. Provisions for pension obligations are established for benefits
  payable in the form of retirement, disability and surviving dependent
  pensions. The benefits offered vary according to the legal, fiscal and
  economic conditions of each country. South African operations Background
  Sasol contributes to a pension fund which provides defined post-retirement
  and death benefits based on final pensionable salary at retirement. Prior to
  1 April 1994, this pension fund was open to all employees of the group in
  South Africa. In 1994, all members were given the choice to voluntarily
  transfer to the newly established defined contribution section of the pension
  fund and approximately 99% of contributing members chose to transfer to the
  defined contribution section. At that date the calculated actuarial surplus of
  approximately R1 250 million was apportioned to pensioners, members
  transferring to the defined contribution section and a R200 million balance
  was allocated within the pension fund to an employers reserve. The assets of
  the Sasol Pension Fund (the Fund) are held separately from those of the
  company in a trustee administered fund, registered in terms of the South
  African Pension Funds Act, 1956. Included in the Fund assets are 2 007 108
  Sasol ordinary shares valued at R866 million at year end (2012  2 015 208
  Sasol ordinary shares valued at R690 million) purchased under terms of an
  approved investment strategy.


152 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Contributions The annual pension charge is determined in
  consultation with the pension funds independent actuary and is calculated
  using assumptions consistent with those used at the last actuarial valuation
  of the pension fund. The Fund assets have been valued at fair value. The
  pension asset of R407 million (2012  R313 million) in the statement of
  financial position represents the accumulated excess of the actual
  contributions paid to the pension fund in excess of the accumulated pension
  liability and the surplus that arose prior to 31 December 2002, to which the
  company is entitled in terms of the Surplus Apportionment Scheme as well as
  the rules of the fund. Members of the defined benefit section are required to
  contribute to the pension fund at the rate of 7,5% of pensionable salary.
  Sasol meets the balance of the cost of providing benefits. Company
  contributions are based on the results of the actuarial valuation of the
  pension fund in terms of South African legislation and are agreed by Sasol
  Limited and the pension fund trustees. Contributions, for the defined
  contributions section, are paid by the members and Sasol at fixed rates.
  Contributions to the defined contribution fund by the group for the year
  ended 30 June 2013 amounted to R1 287 million, comprising R857 million of
  contributions made by the employer and R430 million in respect of employees
  (2012  R1 127 million, comprising R750 million of contributions made by the
  employer and R377 million in respect of employee contributions). Limitation
  of asset recognition In December 2001, the Pension Funds Second Amendment Act
  (the Act) was promulgated. The Act generally provides for the payment of
  enhanced benefits to former members, minimum pension increases for pensioners
  and the apportionment of any actuarial surplus existing in the Fund, at the
  apportionment date, in an equitable manner between existing members including
  pensioners, former members and the employer in such proportions as the
  trustees of the Fund shall determine. In terms of the Act, the Fund undertook
  a surplus apportionment exercise as at December 2002. The surplus
  apportionment exercise, and the 31 December 2002 statutory valuation of the
  Fund, was approved by the Financial Services Board on 26 September 2006.
  Payments of benefits to former members in terms of the surplus apportionment
  scheme have been substantially completed and an amount of R104 million (2012
   R101 million) has been set aside for members that have not claimed their
  benefits. Based on the latest actuarial valuation of the fund and the
  approval of the trustees of the surplus allocation, the company has an
  unconditional entitlement to only the funds in the employer surplus account
  and the contribution reserve. The estimated surplus due to the company
  amounted to approximately R407 million (2012  R313 million) and has been
  included in the pension asset recognised in the current year. Membership A
  significant number of employees are covered by union sponsored, collectively
  bargained, and in some cases, multi employer defined contribution pension
  plans. Information from the administrators of these plans offering defined
  benefits is not sufficient to permit the company to determine its share, if
  any, of any unfunded vested benefits. The group occupies certain properties
  owned by the Sasol Pension Fund. The fair value of investment properties
  owned by the Sasol Pension Fund is R4 298 million as at 30 June 2013 (2012 
  R3 604 million).


153 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Foreign operations Pension coverage for employees of the
  groups international operations is provided through separate plans. The
  company systematically provides for obligations under such plans by
  depositing funds with trustees for those plans operating in the United States
  of America or by creation of accounting obligations for other plans. Pension
  fund assets The assets of the pension funds are invested as follows: at 30
  June South Africa United States of America 2013 % 2012 % 2013 % 2012 % Local
  equities 50 51 28 29 equity instrument funds   28 29 financial institutions
  9 9   manufacturing industry 41 42   Foreign equities 13 11 12 13 equity
  instrument funds   12 13 financial institutions 1 1   manufacturing
  industry 12 10   Fixed interest 13 12 50 49 Property 20 19 6 6 retail 11 11
  1 2 offices 2 3 2 1 other 7 5 3 3 Cash and cash equivalents 3 5   Other 1 2
  4 3 Total 100 100 100 100 The pension fund assets are measured at fair value
  at valuation date. The fair value of the equity and debt instruments have
  been calculated by reference to quoted prices in an active market. The fair
  value of property and other assets has been determined by performing market valuations
  and using other valuation techniques at the end of each reporting period.


154 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Investment strategy The investment objectives of the
  groups pension plans are designed to generate returns that will enable the
  plans to meet their future obligations. The precise amount for which these
  obligations will be settled depends on future events, including the life
  expectancy of the plans members and salary inflation. The obligations are
  estimated using actuarial assumptions, based on the current economic environment.
  The pension plans seek to achieve total returns both sufficient to meet
  expected future obligations as well as returns greater than their policy
  benchmark reflecting the target weights of the asset classes used in its
  targeted strategic asset allocation. In evaluating the strategic asset
  allocation choices, an emphasis is placed on the long-term characteristics of
  each individual asset class, and the benefits of diversification among
  multiple asset classes. Consideration is also given to the proper long-term
  level of risk for the plan, particularly with respect to the long-term nature
  of the plans liabilities, the impact of asset allocation on investment
  results, and the corresponding impact on the volatility and magnitude of plan
  contributions and expense and the impact certain actuarial techniques may
  have on the plans recognition of investment experience. The trustees target
  the plans asset allocation within the following ranges within each asset
  class: Asset classes South Africa1 United States of America Minimum % Maximum
  % Minimum % Maximum % Equities local 45 60 25 65 foreign 5 15  25 Fixed
  interest 6 25 20 65 Property 10 35  20 Other  20  20 1 Members of the
  scheme have a choice of four investment portfolios. The targeted allocation
  disclosed represents the moderate balanced investment portfolio which the
  majority of the members of the scheme have adopted. The total assets of the
  fund under these investment portfolios are R131 million, R31 787 million,
  R624 million and R17 million for the low portfolio, moderate portfolio,
  aggressive portfolio and money market portfolio, respectively. Defined
  benefit members funds are invested in the moderate balanced portfolio. The
  money market portfolio is restricted to pensioners only. The trustees of the respective
  funds monitor investment performance and portfolio characteristics on a
  regular basis to ensure that managers are meeting expectations with respect
  to their investment approach. There are restrictions and controls placed on
  managers in this regard. for the year ended 30 June South Africa United
  States of America Europe Last actuarial valuation 31 March 2013 30 June 2013
  30 June 2013 Full/interim valuation Full Full Full Valuation method adopted
  Projected unit credit Projected unit credit Projected unit credit The plans
  have been assessed by the actuaries and have been found to be in sound
  financial positions. Principal actuarial assumptions Weighted average
  assumptions used in performing actuarial valuation determined in consultation
  with independent actuaries at valuation date South Africa Foreign United
  States of America Europe 2013 % 2012 % 2013 % 2012 % 2013 % 2012 % Discount
  rate 8,0 8,8 2,8 2,7 3,6 4,0 Average salary increases 7,1 7,1 4,2 4,2 2,9 2,9
  Average pension increases 2,9 3,6   2,2 2,8 Assumptions regarding future
  mortality are based on published statistics and mortality tables.


155 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Reconciliation of the projected pension obligation
  recognised in the statement of financial position for the year ended 30 June
  South Africa Foreign Total 2013 Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm
  Projected benefit obligation (funded obligation) 9 667 7 732 1 943 1 545 11
  610 9 277 Plan assets (10 871) (8 811) (1 543) (1 237) (12 414) (10 048)
  Projected benefit obligation (unfunded obligation)   4 690 3 262 4 690 3
  262 Asset not recognised due to asset limitation 797 766   797 766 Net
  liability/(asset) recognised (407) (313) 5 090 3 570 4 683 3 257 Comprising
  Pension asset (refer note 8) (407) (313)   (407) (313) Pension benefit
  obligation   5 090 3 570 5 090 3 570 Long-term portion   5 021 3 524 5
  021 3 524 Short-term portion   69 46 69 46 Net liability/(asset) recognised
  (407) (313) 5 090 3 570 4 683 3 257 Reconciliation of projected benefit
  obligation (funded obligation) for the year ended 30 June South Africa United
  States of America Total 2013 Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm
  Projected benefit obligation at beginning of year 7 732 6 719 1 545 1 064 9
  277 7 783 Acquisition of business   89  89  Current service cost 10 10 68
  41 78 51 Interest cost 656 592 49 43 705 635 Remeasurement items 1 261 378 58
  279 1 319 657 actuarial losses  change in demographic assumptions   1  1
   actuarial losses  change in financial assumptions 1 261 378 57 279 1 318
  657 Member contributions 3 3 1  4 3 Benefits paid (589) (519) (244) (87)
  (833) (606) Translation of foreign operations   337 205 337 205
  Curtailments and settlements   40  40  Transfer from defined contribution
  plan1 594 549   594 549 Projected benefit obligation at end of year 9 667 7
  732 1 943 1 545 11 610 9 277 1 Amount represents retired employees from the
  defined contribution section of the plan, who, on retirement, have elected to
  participate in the defined benefit plan by purchasing a defined benefit
  pension from the fund.


156 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Reconciliation of projected benefit obligation (unfunded
  obligation) for the year ended 30 June Foreign Total 2013 Rm 2012 Rm 2013 Rm
  2012 Rm Projected benefit obligation at beginning of year 3 262 2 306 3 262 2
  306 Current service cost 102 72 102 72 Interest cost 150 137 150 137
  Remeasurement losses 406 735 406 735 actuarial gains  change in demographic
  assumptions  (1)  (1) actuarial losses  change in financial assumptions
  406 736 406 736 Benefits paid (93) (82) (93) (82) Translation of foreign
  operations 863 117 863 117 Disposal of business  (23)  (23) Projected
  benefit obligation at end of year 4 690 3 262 4 690 3 262 Reimbursement right
  recognised at fair value1 168 115 168 115 1 Certain of the foreign defined
  benefit plans have reimbursement rights under contractually agreed legal
  binding terms that match the amount and timing of some of the benefits
  payable under the plan. Those benefits have a present value of R168 million (2012
   R115 million) and have been recognised in long-term receivables.
  Reconciliation of plan assets of funded obligation for the year ended 30 June
  South Africa Foreign Total 2013 Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm
  Fair value of plan assets at beginning of year 8 811 7 637 1 237 1 000 10 048
  8 637 Acquisition of business   62  62  Interest income 683 616 38 39 721
  655 Plan participant contributions 3 3   3 3 Employer contributions 5 5 66
  57 71 62 Benefit payments (589) (519) (244) (87) (833) (606) Plan benefits 
   1  1  Remeasurement items 1 365 520 117 22 1 482 542 return on plan
  assets (excluding interest income) 1 365 520 117 22 1 482 542 Translation of
  foreign operations   266 206 266 206 Transfer from defined contribution
  plan1 593 549   593 549 Fair value of plan assets at end of year 10 871 8
  811 1 543 1 237 12 414 10 048 1 Amount represents retired employees from the
  defined contribution section of the plan, who, on retirement, have elected to
  participate in the defined benefit plan by purchasing a defined benefit
  pension from the fund. Actual return on plan assets 2 048 1 136 155 61 2 203
  1 197


157 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 20 Post-retirement benefit obligations continued 20.2 Pension
  benefits continued Net periodic pension cost/(gain) recognised in the income
  statement for the year ended 30 June South Africa Foreign Total 2013 Rm 2012
  Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm Current service cost 10 10 170 113 180 123
  Net interest cost (27) (24) 161 141 134 117 Net pension cost/(gain) (17) (14)
  331 254 314 240 The current service cost and net interest cost for the year
  is included in employee costs in the income statement. The remeasurement of
  the net defined benefit liability/(asset) is included in the statement of
  comprehensive income. Remeasurement of the net defined benefit
  liability/(asset) for the year ended 30 June South Africa Foreign Total 2013
  Rm 2012 Rm 2013 Rm 2012 Rm 2013 Rm 2012 Rm Return on plan assets (excluding
  amounts in net interest cost) (1 365) (520) (117) (22) (1 482) (542)
  Actuarial gains/(losses) arising from changes in demographic assumptions  
  1 (1) 1 (1) Actuarial gains arising from changes in financial assumptions 1
  261 378 463 1 015 1 724 1 393 Changes in asset limitation 31 112   31 112
  Net remeasurement recognised in other comprehensive income (73) (30) 347 992
  274 962 Contributions Funding is based on actuarially determined
  contributions. The following table sets forth the projected pension
  contributions for the 2014 financial year. South Africa Rm Foreign Rm Pension
  contributions 12 65 Sensitivity analysis Average salary increases have a
  significant effect on the amounts reported for the net post-retirement
  defined pension benefits. A one percentage-point change in assumed salary
  increase rates could increase or decrease the relevant amount to: South
  Africa Foreign 1% point increase Rm 1% point decrease Rm 1% point increase Rm
  1% point decrease Rm 2013 Projected benefit obligation 9 696 9 641 6 711 6
  296


158 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group notes to the financials statements non-current liabilities continued 20
  Post-retirement benefit obligations continued 20.2 Pension benefits continued
  Discount rates have a significant effect on the amounts reported for the
  post-retirement pension benefits. A one percentage-point change in assumed
  healthcare cost trend rates could increase or decrease the relevant amount
  to: South Africa Foreign 1% point increase Rm 1% point decrease Rm 1% point
  increase Rm 1% point decrease Rm 2013 Projected benefit obligation 9 611 9
  739 5 802 7 442 The weighted average duration of the post-retirement defined
  pension obligation at 30 June 2013 is 17 years. for the year ended 30 June
  Note 2013 Rm 2012 Rm 2011 Rm 21 Long-term deferred income Total deferred income
  376 542 613 Short-term portion 26 (71) (87) (115) 305 455 498 Amounts
  received in respect of capital investment, to be recognised in income over
  the useful lives of the underlying assets, as well as emission rights
  received to be recognised in the income statement as the emissions are
  generated. 22 Deferred tax Reconciliation Balance at beginning of year 12 325
  10 860 8 888 Acquisition of business 54 193   Disposal of businesses 55 11
    Current year charge 1 035 1 105 2 129 per the income statement 40 1 172 1
  479 1 998 per the statement of comprehensive income 43 (137) (374) 131
  Reclassification to held for sale (11)   Transactions with non-controlling
  shareholders in subsidiaries (11) 35  Foreign exchange differences
  recognised in income statement 225 152 (83) Translation of foreign operations
  46 88 173 (74) Balance at end of year 13 855 12 325 10 860 Comprising
  Deferred tax assets (2 318) (1 514) (1 101) Deferred tax liabilities 16 173
  13 839 11 961 13 855 12 325 10 860 Deferred tax assets and liabilities are
  determined based on the tax status and rates of the underlying entities.
  Attributable to the following tax jurisdictions ¦ South Africa 12 079 10 872
  9 200 ¦ United States of America 531 218 409 ¦ Germany 34 354 581 ¦
  Mozambique 1 397 1 040 735 ¦ Italy (551) (444) (273) ¦ Other 365 285 208 13
  855 12 325 10 860


159 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 22 Deferred
  tax continued Deferred tax is attributable to the following temporary
  differences Assets Property, plant and equipment 348 455 533 Short- and
  long-term provisions (1 783) (1 109) (883) Calculated tax losses (642) (563)
  (418) Other (241) (297) (333) (2 318) (1 514) (1 101) Liabilities Property,
  plant and equipment 20 890 18 352 15 924 Other intangible assets 164 74 74
  Current assets (837) (391) (253) Short- and long-term provisions (3 463) (3
  404) (2 954) Calculated tax losses (384) (696) (865) Other (197) (96) 35 16
  173 13 839 11 961 Deferred tax assets have been recognised for the carry
  forward amount of unused tax losses relating to the groups operations where,
  among other things, taxation losses can be carried forward indefinitely and
  there is evidence that it is probable that sufficient taxable profits will be
  available in the future to utilise all tax losses carried forward. Deferred
  tax assets are not recognised for carry forward of unused tax losses when it
  cannot be demonstrated that it is probable that taxable profits will be
  available against which the deductible temporary difference can be utilised.
  for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm Calculated tax losses
  (before applying the applicable tax rate) Available for offset against future
  taxable income 15 220 12 619 8 414 Utilised against the deferred tax balance
  (3 722) (4 100) (3 158) Not recognised as a deferred tax asset 11 498 8 519 5
  256 Deferred tax assets have been recognised to the extent that it is
  probable that the entities will generate future taxable income against which
  these tax losses can be utilised. A portion of the estimated tax losses
  available may be subject to various statutory limitations as to its usage.
  Calculated tax losses carried forward that have not been recognised Expiry
  between one and two years   588 Expiry between two and five years   993
  Expiry thereafter 10 170 6 657 2 699 Indefinite life 1 328 1 862 976 11 498 8
  519 5 256


160 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements non-current liabilities
  continued for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 22 Deferred tax
  continued Unremitted earnings of subsidiaries, associates and incorporated
  joint ventures Provisions are not recognised for the income tax effect that
  may arise on the remittance of unremitted earnings by subsidiaries, associates
  and incorporated joint ventures. It is managements intention that, where
  there is no double taxation relief, these earnings will be permanently
  re-invested in the group. Unremitted earnings at end of year that would be
  subject to dividend withholding tax 7 712 7 189 7 100 Europe 1 501 1 470 1
  373 Rest of Africa 1 440 1 409 1 250 United States of America 391 315 339
  Qatar 3 053 2 805 3 000 Other 1 327 1 190 1 138 Tax effect if remitted 110
  133 125 Europe 55 69 67 Rest of Africa 1 3 4 United States of America 29 32
  17 Other 25 29 37 Secondary Taxation on Companies (STC) Up to 31 March 2012,
  STC was a tax levied on South African companies at a rate of 10,0% (before 1
  October 2007  12,5%) on dividends distributed. Current and deferred tax for
  periods prior to 1 April 2012 were measured at the tax rate applicable to
  undistributed income and therefore only took STC into account to the extent
  that dividends had been received or paid. On declaration of a dividend, the
  company included the STC on the dividend in its computation of the income tax
  expense in the period of such declaration. Undistributed earnings that would
  be subject to STC 110 172 Tax effect if distributed 11 017 Available STC
  credits at end of year 159 Dividend withholding tax On 1 April 2012, STC was
  replaced with a dividend withholding tax. Subsequent to 1 April 2012, any
  outstanding STC credits can be carried forward for a period of three years.
  The company may utilise the available STC credits to reduce the liability for
  dividend withholding tax of the beneficial holder of the share. The company
  has not recognised deferred tax assets relating to these STC credits at 30
  June 2013 (2012  Rnil). Dividend withholding tax is payable at a rate of 15%
  on dividends distributed to shareholders. Dividends paid to companies and
  certain other institutions and certain individuals are not subject to this
  withholding tax. This tax is not attributable to the company paying the
  dividend but is collected by the company and paid to the tax authorities on
  behalf of the shareholder. On receipt of a dividend, the company includes the
  dividend withholding tax on this dividend in its computation of the income
  tax expense in the period of such receipt. Undistributed earnings at end of
  year that would be subject to dividend withholding tax withheld by the
  company on behalf of shareholders 147 123 125 283 Maximum withholding tax
  payable by shareholders if distributed to individuals 22 068 18 792


161 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements current liabilities for the year
  ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 23 Short-term debt Revolving
  credit facility 257   Bank loans  15 75 Other   34 Short-term debt 257
  15 109 Short-term portion of long-term debt 17 1 444 3 057 1 493 1 701 3 072
  1 602 Reconciliation Balance at beginning of year 15 109 456 Loans raised 2
  049 41 118 Loans repaid (1 834) (153) (413) Translation effect of foreign
  currency loans (2) 1  Translation of foreign operations 46 29 17 (52)
  Balance at end of year 257 15 109 All short-term debt is interest bearing and
  bears interest at market related rates. The weighted average interest rate
  applicable to short-term debt for the year was approximately 1,43% (2012 
  0,03%; 2011  2,42%). Security All short-term debt is unsecured. Fair value
  of short-term debt The carrying value of short-term external debt
  approximates fair value because of the short period to maturity. The fair
  value of the short-term portion of long-term debt is disclosed in note 17. 24
  Short-term financial liabilities Derivative instruments Forward exchange
  contracts 185 119 118 Interest rate derivatives 11 12 15 196 131 133 used for
  cash flow hedging 5 22 48 held for trading 191 109 85 Non-derivative
  instruments Short-term portion of financial guarantees 18 4 4 3 Arising on
  short-term financial instruments 200 135 136 Short-term financial liabilities
  include the revaluation of out-of-the-money derivative instruments, refer
  note 61. Fair value of derivative financial instruments The fair value of
  derivatives is based upon market valuations. Note 2013 Rm 2012 Rm 2011 Rm
  Short-term debt 23 1 701 3 072 1 602 Short-term financial liabilities 24 200
  135 136 Short-term provisions 25 4 317 3 267 2 760 Short-term deferred income
  26 1 171 737 885 Tax payable 27 1 407 546 725 Trade payables and accrued
  expenses 28 21 199 17 559 16 718 Other payables 29 5 383 5 351 4 239 Bank
  overdraft 16 747 222 209 36 125 30 889 27 274


162 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements current liabilities continued
  for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 25 Short-term
  provisions Employee provisions 76 75 144 Insurance related provisions 59 52
  88 Provision in respect of EGTL1 1 638 1 353 1 124 Provision against
  guarantees 364 292 178 Other provisions 795 665 292 2 932 2 437 1 826
  Short-term portion of long-term provisions 19 1 209 687 810 post-retirement
  benefit obligations 20 176 143 124 4 317 3 267 2 760 Reconciliation Balance
  at beginning of year 2 437 1 826 2 041 Disposal of businesses 55 (7) (1) 
  Net income statement movement 31 508 (163) Reclassification to long-term
  provisions 19   (23) Other movements in short-term provisions  27 
  Foreign exchange differences recognised in income statement 337 41 (25)
  Translation of foreign operations 46 134 36 (4) Balance at end of year 2 932
  2 437 1 826 1 A provision in respect of the fiscal arrangements relating to
  the Escravos GTL project amounting to US$166 million (R1 638 million) has
  been recognised at 30 June 2013 (2012  R1 353 million; 2011  R1 124
  million). 26 Short-term deferred income Short-term portion of long-term
  deferred income 21 71 87 115 Short-term deferred income 1 100 650 770 1 171
  737 885 Short-term deferred income relates mainly to amounts received in
  advance that can only be utilised on the occurrence of specific events, the
  sale of fuel to be recognised in income when ownership of inventory passes,
  as well as emission rights received to be recognised in income as the
  emissions are generated. 27 Tax paid Net amounts unpaid at beginning of year
  (221) (676) (194) Net interest and penalties on tax (8) (10) 2 Income tax per
  income statement 40 (11 425) (10 267) (7 198) Acquisition of business 54 (2)
    Reclassification to held for sale 11 67   Disposal of businesses 55 (2)
   (1) Foreign exchange differences recognised in income statement (15) (10) 3
  Translation of foreign operations 46 (71) (18) 21 (11 677) (10 981) (7 367)
  Net tax payable per statement of financial position 1 229 221 676 tax payable
  1 407 546 725 tax receivable (178) (325) (49) Per the statement of cash flows
  (10 448) (10 760) (6 691) Comprising Normal tax South Africa (8 341) (7 767)
  (4 633) foreign (2 038) (1 945) (1 284) Dividend withholding tax (69) (16) 
  STC  (1 032) (774) (10 448) (10 760) (6 691)


163 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 28 Trade payables
  and accrued expenses Trade payables 14 630 12 333 11 787 Accrued expenses 2
  323 1 482 1 344 Related party payables 479 695 833 third parties 27 258 111
  joint ventures 452 437 722 17 432 14 510 13 964 Duties payable to revenue
  authorities 3 008 2 700 2 401 Value added tax 759 349 353 21 199 17 559 16
  718 Age analysis of trade payables Not past due date 13 108 11 148 10 763
  Past due 0  30 days 1 103 670 465 Past due 31  150 days 328 358 444 Past
  due 151 days  one year 47 120 55 More than one year 44 37 60 14 630 12 333
  11 787 No individual vendor represents more than 10% of the groups trade
  payables. Fair value of trade payables and accrued expenses The carrying
  value approximates fair value because of the short period to settlement of
  these obligations. 29 Other payables Employee related payables 3 887 3 319 3
  162 Insurance related payables 127 347 271 Fuel related payables*  68 444
  Other payables 1 369 1 617 362 5 383 5 351 4 239 * Relates to the over recovery
  by Sasol Oil on regulated fuel prices, which will be settled by future
  changes in the regulated fuel price and commitments to purchase petroleum
  products from other oil companies. Fair value of other payables The carrying
  value approximates fair value because of the short period to maturity.


Sasol Limited
  group 164 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements results of operations for the year
  ended 30 June 2013 Rm 2012 Rm 2011 Rm 30 Turnover Sale of products 179 578
  167 893 141 018 Services rendered 1 162 1 027 867 Other trading income 529
  526 551 181 269 169 446 142 436 Comprising Within South Africa 88 519 83 692
  69 504 Exported from South Africa 22 880 20 920 19 192 Outside South Africa
  69 870 64 834 53 740 181 269 169 446 142 436 Turnover generated within South
  Africa includes sales of products manufactured and sold, or services
  rendered, to customers inside South Africa. Exported from South Africa
  relates to sales of products manufactured in South Africa and sold elsewhere,
  while outside South Africa relates to goods manufactured outside South
  Africa, irrespective of where they are sold as well as services rendered
  outside South Africa. Note 2013 Rm 2012 Rm 2011 Rm Turnover 30 181 269 169
  446 142 436 Materials, energy and consumables used 31 (77 538) (80 410) (66
  127) Other operating expenses 32 (9 692) (9 874) (8 474) Other operating
  income 33 1 952 1 416 1 088 Translation gains/(losses) 34 899 243 (1 016)
  Employee related expenditure 35 (23 476) (19 465) (18 133) Financial
  instruments expenses 36 65 (275) (99) Finance income 37 708 796 991 Share of
  profit of associates, net of tax 38 445 479 292 Finance costs 39 (2 002) (2
  030) (1 817) Taxation 40 (12 597) (11 746) (9 196) Remeasurement items
  affecting operating profit 41 (6 487) (1 860) (426) Rand Rand Rand Earnings
  per share 42 43,38 39,10 32,97 Dividend per share 42 19,00 17,50 13,00 Rm Rm
  Rm Other comprehensive income, net of tax 43 7 822 3 280 (1 606)


165 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm 30 Turnover
  continued Business segmentation South African energy cluster 75 224 74 291 60
  672 ¦ Mining 1 833 2 256 2 029 ¦ Gas 4 524 3 967 3 170 ¦ Synfuels 1 508 1 268
  1 208 ¦ Oil 67 359 66 800 54 265 International energy cluster 7 429 6 960 4
  926 ¦ Synfuels International 5 252 5 182 3 715 ¦ Petroleum International 2
  177 1 778 1 211 Chemical cluster 98 606 88 145 76 811 ¦ Polymers 22 957 19
  952 16 985 ¦ Solvents 19 513 17 429 16 156 ¦ Olefins & Surfactants 40 580
  37 044 31 116 ¦ Other chemical businesses 15 556 13 720 12 554 ¦ Other
  businesses 10 50 27 Total operations 181 269 169 446 142 436 31 Materials,
  energy and consumables used Cost of raw materials 69 335 73 168 60 258 Cost
  of electricity and other consumables used in production process 8 203 7 242 5
  869 77 538 80 410 66 127 Costs relating to items that are consumed in the
  manufacturing process, including changes in inventories and distribution
  costs up until the point of sale. 32 Other operating expenses Rentals 1 013
  862 772 Insurance 516 438 535 Computer costs 1 514 1 403 1 286 Hired labour
  841 503 405 Audit fees 84 83 72 Professional fees 2 034 1 567 1 216 Other 3
  690 5 018 4 188 9 692 9 874 8 474 33 Other operating income Emission rights
  received 129 128 79 Gain on hedging activities 262 335 276 Bad debts
  recovered 15 15 2 Insurance proceeds 173 39 46 Other 1 373 899 685 1 952 1
  416 1 088 Revenue derived from trade activities other than product sales,
  services rendered and commission received.


166 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements results of operations
  continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 34
  Translation gains/(losses) Arising from Forward exchange contracts 1 949 548
  (422) Trade receivables 2 126 1 035 (301) Trade payables (1 594) (269) 96
  (Loss)/gain on translation of foreign currency loans (542) (1 471) 44
  Realisation of foreign currency translation reserve 46   2 Other (1 040)
  400 (435) 899 243 (1 016) Differences arising on the translation of monetary
  assets and liabilities from one currency into the functional currency of the
  group at a different exchange rate. 2013 Number 2012 Number 2011 Number 35
  Employee related expenditure The total number of permanent and non-permanent
  employees, excluding contractors and associates employees, and including a
  proportionate share of employees within joint venture entities is analysed
  below: ¦ Permanent employees 34 555 33 992 32 866 ¦ Non-permanent employees
  916 924 842 35 471 34 916 33 708 The number of employees by principle
  location of employment is analysed as follows: Business segmentation South
  African energy cluster 15 901 15 494 14 909 ¦ Mining 8 140 7 800 7 425 ¦ Gas
  317 291 273 ¦ Synfuels 5 764 5 554 5 376 ¦ Oil 1 680 1 849 1 835
  International energy cluster 1 088 1 062 828 ¦ Synfuels International 601 604
  514 ¦ Petroleum International 487 458 314 Chemical cluster 11 173 11 320 11
  476 ¦ Polymers 2 051 2 045 2 013 ¦ Solvents 1 471 1 454 1 509 ¦ Olefins &
  Surfactants 2 907 2 869 2 886 ¦ Other chemical businesses 4 744 4 952 5 068 ¦
  Other businesses 7 309 7 040 6 495 Total operations 35 471 34 916 33 708


167 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 35 Employee
  related expenditure continued Analysis of employee costs Labour 23 000 19 829
  17 401 salaries, wages and other employee related expenditure 22 405 19 255
  16 901 post employment benefits 595 574 500 Share-based payment expenses1 45
  2 038 691 1 506 Total employee related expenditure 25 038 20 520 18 907 Less costs
  capitalised to projects (1 562) (1 055) (774) Total employee cost recognised
  in income statement 23 476 19 465 18 133 1 Excluding the Ixia Coal
  transaction in 2011. Costs attributed to wages, salaries, allowances and
  overtime paid to employees occupying approved positions, including
  share-based payments for the cash settled and equity settled schemes. 36
  Financial instruments expenses Net loss/(gain) on derivative instruments
  held-for-trading 103 (214) 118 revaluation of crude oil derivatives 102 (214)
  118 revaluation of cross currency swaps 1   Impairment of trade receivables
  raised during year 13 (72) (135) (293) released during year 13 34 74 76 65
  (275) (99) Financial instruments expenses recognised in the income statement.
  37 Finance income Dividends received from investments available-for-sale 51
  24 22 40 South Africa  1 3 outside South Africa 24 21 37 Interest received
  51 681 766 943 South Africa 403 481 776 outside South Africa 278 285 167
  Notional interest received 3 8 8 708 796 991 Interest received on investments
  available-for-sale 4 1 1 investment held-to-maturity 22 26 29 loans and
  receivables 180 203 174 cash and cash equivalents 475 536 739 681 766 943


168 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements results of operations
  continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 38 Share of
  profit of associates, net of tax Profit before tax 599 621 388 Taxation (154)
  (142) (96) 445 479 292 Dividends received from associates 7 384 361 397
  Business segmentation ¦ Synfuels 4 5 5 ¦ Polymers 457 474 286 ¦ Olefins &
  Surfactants (1) (2) (1) ¦ Other businesses (15) 2 2 Total operations 445 479
  292 39 Finance costs Bank overdraft 18 29 19 Debt 774 558 506 Preference
  share dividends 712 822 677 Finance leases 50 26 75 Other 161 117 100 1 715 1
  552 1 377 Amortisation of loan costs 15 13 15 Notional interest 19 574 489
  468 Total finance costs 2 304 2 054 1 860 Amounts capitalised to assets under
  construction 3 (302) (24) (43) Income statement charge 2 002 2 030 1 817
  Total finance costs comprise South Africa 1 884 1 713 1 555 Outside South
  Africa 420 341 305 2 304 2 054 1 860 Total finance costs before amortisation
  of loan costs and notional interest 1 715 1 552 1 377 Less interest accrued
  on debt 17 (1 033) (886) (479) Less interest paid on tax payable (26)   Per
  the statement of cash flows 656 666 898


169 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 40 Taxation
  South African normal tax 9 355 7 358 5 235 current year 9 415 7 529 5 249
  prior years (60) (171) (14) Dividend withholding tax 69 16  STC  1 032 771
  Foreign tax 2 001 1 861 1 192 current year 1 989 1 912 1 212 prior years 12
  (51) (20) Income tax 27 11 425 10 267 7 198 Deferred tax  South Africa 22 1
  324 1 711 1 491 current year 1 283 1 554 1 435 prior years 41 157 56 Deferred
  tax  foreign 22 (152) (232) 507 current year (148) (69) 816 prior years  8
  (98) recognition of deferred tax assets* (4) (171) (211) 12 597 11 746 9 196
  * Included in the charge per the income statement is the recognition of an
  amount of R4 million (2012  R171 million; 2011  R211 million) relating to a
  deferred tax asset not previously recognised due to the uncertainty
  previously surrounding the utilisation thereof in future years. Business
  segmentation South African energy cluster 10 074 8 955 6 292 ¦ Mining 617 698
  687 ¦ Gas 1 131 967 841 ¦ Synfuels 7 853 6 901 4 481 ¦ Oil 473 389 283
  International energy cluster 771 806 498 ¦ Synfuels International 60 105 109
  ¦ Petroleum International 711 701 389 Chemical cluster 681 1 062 1 778 ¦
  Polymers (565) (360) 6 ¦ Solvents 285 443 451 ¦ Olefins & Surfactants 966
  448 665 ¦ Other chemical businesses (5) 531 656 ¦ Other businesses 1 071 923
  628 Total operations 12 597 11 746 9 196


170 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements results of operations
  continued for the year ended 30 June 2013 % 2012 % 2011 % 40 Taxation
  continued Reconciliation of effective tax rate The table below shows the
  difference between the South African enacted tax rate (28%) compared to the
  tax rate in the income statement. Total income tax expense differs from the
  amount computed by applying the South African normal tax rate to profit
  before tax. The reasons for these differences are: South African normal tax
  rate 28,0 28,0 28,0 Increase in rate of tax due to STC  2,9 2,6 disallowed
  preference share dividend 0,5 0,6 0,6 disallowed expenditure 4,7 2,4 1,8
  disallowed share-based expenses 0,3 0,4 1,4 disallowed expenditure on fines 
   0,1 new tax losses recognised   0,1 tax losses not recognised 2,1 3,5 1,1
  other adjustments 1,0 0,3 1,1 36,6 38,1 36,8 Decrease in rate of tax due to
  exempt income (2,2) (1,7) (1,1) different foreign tax rate (0,5) (1,5) (1,5)
  recognition of deferred tax assets  (0,5) (0,7) utilisation of tax losses
  (1,2) (1,3) (1,5) prior year adjustments  (0,1) (0,3) other adjustments
  (1,0) (0,4) (0,4) Effective tax rate 31,7 32,6 31,3 Note 2013 Rm 2012 Rm 2011
  Rm 41 Remeasurement items affecting operating profit Impairment of (6 102) (1
  642) (190) property, plant and equipment 2 (3 817) (572) (49) assets under
  construction 3 (2 096) (879) (2) other intangible assets 5 (131) (127) (16)
  goodwill 4 (48)   investment in associate 7  (64) (123) other assets (10)
    Reversal of impairment of 107 12 535 property, plant and equipment 2 8 
  529 assets under construction 3   2 other intangible assets 5 38 12 4
  investment in associate 7 61   Profit/(loss) on disposal of 86 499 29
  property, plant and equipment 7 138 14 other intangible assets (6)  
  investment in associate  7 6 investments in businesses 85 354 9 Fair value
  gain on acquisition of business 233   Scrapping of property, plant and
  equipment (238) (212) (267) Scrapping of assets under construction (104)
  (247) (92) Write-off of unsuccessful exploration wells 3 (469) (270) (441) 49
  (6 487) (1 860) (426) Tax effect thereon 49 892 (61) (106) (5 595) (1 921)
  (532)


171 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Gross 2013 Rm Tax 2013 Rm Noncontrolling
  interest 2013 Rm Net 2013 Rm 41 Remeasurement items affecting operating
  profit continued Earnings effect of remeasurement items Impairment of (6 102)
  815  (5 287) property, plant and equipment (3 817) 206  (3 611) assets
  under construction (2 096) 583  (1 513) other intangible assets (131) 24 
  (107) goodwill (48)   (48) other assets (10) 2  (8) Reversal of impairment
  of property, plant and equipment 8   8 Reversal of impairment of other
  intangible assets 38 (4)  34 Reversal of impairment of investment in
  associate 61   61 Profit/(loss) on disposal of 86 (5)  81 property, plant
  and equipment 7 (3)  4 other intangible assets (6) 1  (5) investments in
  businesses 85 (3)  82 Fair value gain on acquisition of business 233   233
  Scrapping of property, plant and equipment (238) 56  (182) Scrapping of
  assets under construction (104) 20  (84) Write-off of unsuccessful
  exploration wells (469) 10  (459) (6 487) 892  (5 595) Impairment/reversal
  of impairments The groups non-financial assets, other than inventories and
  deferred tax assets, are reviewed for impairment at each reporting date or
  whenever events or changes in circumstances indicate that the carrying value
  may not be recoverable. Recoverable amounts are estimated for individual
  assets or, where an individual asset cannot generate cash inflows
  independently, the recoverable amount is determined for the larger cash
  generating unit to which it belongs. Value in use calculations The
  recoverable amount of the assets reviewed for impairment is determined based
  on value in use calculations. Key assumptions relating to this valuation
  include the discount rate and cash flows used to determine the value in use.
  Future cash flows are estimated based on financial budgets approved by management
  covering a three, five and ten year period and are extrapolated over the
  useful life of the assets to reflect the long-term plans for the group using
  the estimated growth rate for the specific business or project. The estimated
  future cash flows and discount rates used are post-tax, based on an
  assessment of the current risks applicable to the specific entity and country
  in which it operates. Discounting post-tax cash flows at a post-tax discount
  rate yields the same result as discounting pre-tax cash flows at a pre-tax
  discount rate. Management determines the expected performance of the assets
  based on past performance and its expectations of market development. The
  weighted average growth rates used are consistent with the increase in the
  geographic segment long-term Producer Price Index. Estimations are based on a
  number of key assumptions such as volume, price and product mix which will
  create a basis for future growth and gross margin. These assumptions are set
  in relation to historic figures and external reports on market growth. If
  necessary, these cash flows are then adjusted to take into account any
  changes in assumptions or operating conditions that have been identified
  subsequent to the preparation of the budgets. The weighted average cost of
  capital rate (WACC) is derived from a pricing model based on credit risk and
  the cost of the debt. The variables used in the model are established on the
  basis of management judgement and current market conditions. Management
  judgement is also applied in estimating the future cash flows of the cash
  generating units. These values are sensitive to the cash flows projected for
  the periods for which detailed forecasts are not available and to the
  assumptions regarding the long-term sustainability of the cash flows
  thereafter.


172 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements results of operations
  continued 2013 2012 2011 41 Remeasurement items affecting operating profit continued
  Main assumptions used for value in use calculations Long-term average crude
  oil price (Brent) (nominal) US$bbl 113,80 119,15 113,50 Long-term average gas
  price excluding margins (real) US$mmbtu 5,60 5,50 5,50 Long-term average
  rand/US$ exchange rate 10,17 9,92 9,25 South Africa North America Europe % %
  % Growth rate  long-term producer price index (PPI) 2013 5,00 1,50 1,50
  Discount rate  weighted average cost of capital (WACC) 2013 12,95 8,00 8,00
   11,20 Growth rate  long-term producer price index (PPI) 2012 4,80 1,50
  1,50 Discount rate  weighted average cost of capital (WACC) 2012 12,95 8,00
  8,00  8,70 Sensitivity to changes in assumptions Management has considered
  the sensitivity of the value in use calculations to various key assumptions such
  as crude oil and gas prices, commodity prices and exchange rates. These
  sensitivities have been taken into consideration in determining the required
  impairments and reversals of impairments. With regards to the impairment
  recognised in respect of the Sasol Wax SA business, the FTWEP project is
  particularly sensitive to changes in the exchange rate. A change in the
  exchange rate would significantly affect the calculated value in use.
  Significant (impairments)/reversal of impairment of assets Business segmentation
  Property, plant and equipment Gross 2013 Rm Assets under construction Gross
  2013 Rm Other intangible assets Gross 2013 Rm Investment in associate Gross
  2013 Rm Goodwill Gross 2013 Rm Other assets Gross 2013 Rm Total Gross 2013 Rm
  Sasol Wax  Sasol Wax South Africa Other chemical businesses  (2 030)  
  (3)  (2 033) Sasol Polymers  Investment in Arya Sasol Polymer Company
  (ASPC) joint venture Polymers (3 611)      (3 611) Sasol Solvents 
  Solvents Germany Solvents (165) (9) (46)   (8) (228) Investment in
  associate  Wesco China Limited Polymers    61   61 Tosas  impairment
  of goodwill Oil     (45)  (45) Emission rights  net impairment Other
  chemical businesses   (47)    (47) Other Various (33) (57)    (2)
  (92) (3 809) (2 096) (93) 61 (48) (10) (5 995)


173 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 41 Remeasurement items affecting operating profit continued Sasol Wax
   Sasol Wax South Africa In 2009, the Sasol Limited board approved the
  construction of the Fischer Tropsch Wax Expansion Project (FTWEP) with an
  estimated end of job cost of R8,3 billion which would form part of the Sasol
  Wax South Africa cash generating unit. Due to the volatile macroeconomic
  environment and increased costs relating primarily to construction delays and
  poor labour productivity, an impairment review was performed. After a robust
  reassessment of the FTWEP project economics, Sasol Wax South Africa was
  impaired by R2 033 million at 30 June 2013 based on the value in use being
  lower than the carrying value. The discount rate used to calculate the value
  in use was 12,95%. The estimated total cost of the project is R11,9 billion.
  Phase 1 of the project is expected to be completed by the first half of the
  2014 calendar year and phase 2 will be completed by August 2016. Sasol will
  continue to review the recoverable amount of these assets in light of changes
  in exchange rates. Sasol Polymers  Investment in ASPC joint venture ASPC is
  a 50% joint venture of Sasol Polymers International Investments situated in
  Iran. Due to the volatile political environment and on-going economic
  sanctions from the United Nations, United States and European Union against
  Iran coupled with operational risks related to increases in feedstock prices,
  lack of technical support and inability to access shipping lines and
  managements intention to dispose of the asset, an impairment review was
  performed based on the current business model. On 25 November 2011, the Sasol
  Limited board approved the commencement of negotiations to sell Sasols share
  in ASPC. Management has been actively trying to dispose of the asset and has
  no intention of keeping the asset and recovering cash flows from the asset
  through use, but rather to recover the asset through sale. Accordingly, fair
  value less cost to sell was used to determine the recoverable amount. Based
  on the indicative offer received in the memorandum of understanding signed
  with a purchaser, an impairment of R3 611 million was recognised in 2013.
  Sasol Solvents  Solvents Germany Across the chemical businesses, chemical
  product margins have continued to be under pressure as feedstock price
  increases outweighed the increases in selling prices. Accordingly, an
  impairment review was performed and the results thereof indicated that the
  value in use was lower than the carrying value resulting in an impairment of
  R242 million. The discount rate used to calculate the value in use was 8,00%.
  42 Earnings and dividends per share Earnings per share (EPS) is derived by
  dividing attributable earnings by the weighted average number of shares,
  after taking the share repurchase programme and the Sasol Inzalo share
  transaction into account. Appropriate adjustments are made in calculating
  diluted, headline and diluted headline earnings per share. Diluted earnings
  per share (DEPS) reflect the potential dilution that could occur if all of
  the groups outstanding share options were exercised and the effects of all
  dilutive potential ordinary shares resulting from the Sasol Inzalo share
  transaction. The number of shares outstanding is adjusted to show the
  potential dilution if employee share options and Sasol Inzalo share rights
  are converted into ordinary shares and the ordinary shares that will be
  issued to settle the A and B preference shares in the Sasol Inzalo share
  transaction. for the year ended 30 June Number of shares 2013 million 2012
  million 2011 million Weighted average number of shares 605,7 603,2 600,4
  Potential dilutive effect of outstanding share options 1,1 2,9 4,0 Potential
  dilutive effect of Sasol Inzalo transaction*  10,1 10,1 Diluted weighted
  average number of shares for DEPS 606,8 616,2 614,5 Potential dilutive effect
  of Sasol Inzalo transaction 7,7 N/A N/A Diluted weighted average number of
  shares for diluted headline EPS 614,5 616,2 614,5 * The Sasol Inzalo
  transaction is not dilutive for EPS in 2013. The diluted weighted average
  number of shares in issue does not include the effect of ordinary shares
  issuable upon the conversion of Sasol Inzalo share rights in respect of The
  Sasol Inzalo Employee Trust and The Sasol Inzalo Management Trust, as their
  effect is currently not dilutive.


174 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements results of operations
  continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 42 Earnings
  and dividends per share continued Diluted earnings is determined as follows
  Earnings attributable to owners of Sasol Limited 26 278 23 583 19 794 Finance
  costs on potentially dilutive shares relating to the Sasol Inzalo share
  transaction*  421 393 Diluted earnings 26 278 24 004 20 187 Headline
  earnings is determined as follows Earnings attributable to owners of Sasol
  Limited 26 278 23 583 19 794 Adjusted for effect of remeasurement items 41 6
  487 1 860 426 tax effect thereon 41 (892) 61 106 Headline earnings 31 873 25
  504 20 326 Finance costs on potentially dilutive shares relating to the Sasol
  Inzalo share transaction 405 421 393 Diluted headline earnings 32 278 25 925
  20 719 * The Sasol Inzalo transaction is not dilutive for EPS in 2013. for
  the year ended 30 June 2013 Rand 2012 Rand 2011 Rand Earnings attributable to
  owners of Sasol Limited Basic earnings per share 43,38 39,10 32,97 Diluted
  earnings per share 43,31 38,95 32,85 Effect of share repurchase programme
  0,62 0,56 0,48 Headline earnings Headline earnings per share 52,62 42,28
  33,85 Diluted headline earnings per share 52,53 42,07 33,72 Effect of share
  repurchase programme 0,75 0,61 0,48 Dividends per share Ordinary shares of no
  par value interim 5,70 5,70 3,10 final# 13,30 11,80 9,90 19,00 17,50 13,00 #
  Declared subsequent to 30 June 2013 and has been presented for information
  purposes only. No accrual regarding the final dividend has been recognised.


175 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 43 Other
  comprehensive income Components of other comprehensive income Effect of
  translation of foreign operations 8 121 4 063 (2 026) Effect of cash flow
  hedges 78 41 111 gains on effective portion of cash flow hedges 46 20 107
  losses on cash flow hedges transferred to hedged items 32 21 4 Loss on fair
  value of investments available-for-sale (17) (3)  Remeasurements on
  post-retirement benefit obligations (497) (1 195) 440 Tax on other
  comprehensive income 22 137 374 (131) Other comprehensive income for the
  year, net of tax 7 822 3 280 (1 606) Except for the remeasurements on
  post-retirement benefit obligations, the components of other comprehensive
  income can be subsequently reclassified to the income statement. Gross Rm Tax
  Rm Noncontrolling interest Rm Net Rm Tax and non-controlling interest on
  other comprehensive income 2013 Effect of translation of foreign operations 8
  121  (16) 8 105 Gain on effective portion of cash flow hedges 46 (21) (3) 22
  Loss on cash flow hedges transferred to hedged items 32   32 Loss on fair
  value of investments (17) (1)  (18) Remeasurements on post-retirement
  benefit obligations (497) 159 3 (335) Other comprehensive income 7 685 137
  (16) 7 806 2012 Effect of translation of foreign operations 4 063  (12) 4
  051 Gain on effective portion of cash flow hedges 20 (13) (2) 5 Loss on cash
  flow hedges transferred to hedged items 21   21 Loss on fair value of
  investments (3) 13  10 Remeasurements on post-retirement benefit obligations
  (1 195) 374 4 (817) Other comprehensive income 2 906 374 (10) 3 270 2011
  Effect of translation of foreign operations (2 026)  3 (2 023) Gain on
  effective portion of cash flow hedges 107 (22) (5) 80 Loss on cash flow
  hedges transferred to hedged items 4 (1)  3 Remeasurements on
  post-retirement benefit obligations 440 (108)  332 Other comprehensive
  income (1 475) (131) (2) (1 608)


Sasol Limited
  group 176 Sasol annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements equity structure Number of shares
  2013 2012 2011 44 Share capital Authorised Sasol ordinary shares of no par
  value 1 127 690 590 1 127 690 590 1 127 690 590 Sasol preferred ordinary
  shares of no par value 28 385 646 28 385 646 28 385 646 Sasol BEE ordinary
  shares of no par value 18 923 764 18 923 764 18 923 764 1 175 000 000 1 175
  000 000 1 175 000 000 Issued Shares issued at beginning of year 673 210 862
  670 976 162 667 673 462 Issued in terms of the Sasol Share Incentive Scheme 3
  975 500 2 234 700 3 302 700 Shares issued at end of year 677 186 362 673 210
  862 670 976 162 Comprising Sasol ordinary shares of no par value 648 800 716
  644 825 216 642 590 516 Sasol preferred ordinary shares of no par value 25
  547 081 25 547 081 25 547 081 Sasol BEE ordinary shares of no par value 2 838
  565 2 838 565 2 838 565 677 186 362 673 210 862 670 976 162 Held in reserve
  Allocated to the Sasol Share Incentive Scheme 2 619 500 6 605 600 11 066 300
  Unissued shares 495 194 138 495 183 538 492 957 538 Sasol ordinary shares of
  no par value 476 270 374 476 259 774 474 033 774 Sasol preferred ordinary shares
  of no par value 2 838 565 2 838 565 2 838 565 Sasol BEE ordinary shares of no
  par value 16 085 199 16 085 199 16 085 199 497 813 638 501 789 138 504 023
  838 Note Share capital 44 Share-based payment reserve 45 Foreign currency
  translation reserve 46 Share repurchase programme 47


177 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 44 Share capital continued Conditions attached to share
  classifications The Sasol ordinary shares issued have no conditions attached
  to them. The Sasol preferred ordinary shares have voting rights attached to
  them and will be Sasol ordinary shares at the end of the term of the Sasol
  Inzalo share transaction. The Sasol preferred ordinary shares rank pari passu
  with the Sasol ordinary shares and differ only in the fact that they are not
  listed and trading is restricted. Further, the Sasol preferred ordinary
  shares carry a cumulative preferred dividend right where a dividend has been
  declared during the term of the Sasol Inzalo share transaction, with the
  dividends set out as follows:  R16,00 per annum for each of the three years
  until 30 June 2011;  R22,00 per annum for the next three years until 30 June
  2014; and  R28,00 per annum for the last four years until 30 June 2018. With
  effect from 1 April 2012, the Sasol preferred ordinary share dividend has
  been grossed up by 10% in accordance with contractual obligations. The
  revised dividend is as follows for the remaining years:  R24,20 per annum
  for the next two years until 30 June 2014; and  R30,80 per annum for the
  last four years until 30 June 2018. The Sasol BEE ordinary shares have voting
  rights attached to them and will be Sasol ordinary shares at the end of the
  term of the Sasol Inzalo share transaction. The Sasol BEE ordinary shares
  rank pari passu with the Sasol ordinary shares and differ only in the fact
  that they are listed on the BEE segment of the JSE main board and trading is
  restricted. The Sasol BEE ordinary shares receive dividends per share
  simultaneously with, and equal to, the Sasol ordinary shares. for the year
  ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 45 Share-based payments During the
  year the following share-based payment expenses were recognised in the income
  statement regarding share-based payment arrangements that existed: Equity
  settled  recognised directly in equity 49 374 485 1 428 Sasol Share
  Incentive Scheme 45.1 2 15 33 Sasol Inzalo share transaction 45.2 372 470 830
  Ixia Coal transaction 45.3   565 Cash settled  recognised in long-term
  provisions Sasol Share Appreciation Rights Scheme 941 82 495 Share
  Appreciation Rights with no corporate performance targets 45.4.1 234 (52) 332
  Share Appreciation Rights with corporate performance targets 45.4.2 707 134
  163 Sasol Medium-term Incentive Scheme 45.5 723 124 148 2 038 691 2 071


178 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued Share options and share rights available
  for allocation Previously in terms of the long-term and medium-term incentive
  schemes, the number of share options and share rights available to eligible
  group employees through the Sasol Share Incentive Scheme, Sasol Share
  Appreciation Rights Scheme and the Sasol Mediumterm Incentive Scheme shall
  not at any time exceed 80 million shares/rights. Following the introduction
  of the Sasol Share Appreciation Rights Scheme in March 2007, no further
  options have been issued in terms of the Sasol Share Incentive Scheme. In
  June 2012, the Sasol Limited board approved that the maximum number of rights
  to be issued under the Sasol Share Appreciation Rights Scheme and the Sasol
  Medium-term Incentive Scheme be decreased to 69 million shares/rights,
  representing 10% of Sasol Limiteds issued share capital immediately after
  the Sasol Inzalo share transaction. for the year ended 30 June Number of
  share options/rights 2013 2012 2011 Share options Shares allotted   48 933
  700 Share options granted 2 619 500 6 605 600 8 865 600 Unallocated share
  options   2 200 700 2 619 500 6 605 600 60 000 000 Share appreciation rights
  granted 22 041 865 20 624 900 16 436 300 Medium-term incentive rights granted
  4 362 022 2 421 126 1 317 811 Unallocated share rights 39 976 613 39 348 374
  2 245 889 66 380 500 62 394 400 20 000 000 Total share options and share
  rights available for allocation 69 000 000 69 000 000 80 000 000 Equity
  settled share incentive schemes 45.1 The Sasol Share Incentive Scheme In
  1988, the shareholders approved the adoption of the Sasol Share Incentive
  Scheme. The scheme was introduced to provide an incentive for senior
  employees (including executive directors) of the group who participate in
  management and also non-executive directors from time to time. The objective
  of the Sasol Share Incentive Scheme is to recognise the contributions of
  senior staff to the value added to the groups financial position and
  performance and to retain key employees. Allocations are linked to the
  performance of both the group and the individual. Options are granted for a
  period of nine years and vest as follows: 2 years  1st third 4 years  2nd
  third 6 years  final third The offer price of these options equals the
  closing market price of the underlying shares on the trading day immediately
  preceding the granting of the option. These options are settled by means of
  the issue of Sasol ordinary shares of no par value by Sasol Limited. The fair
  value of the equity settled expense is calculated at grant date. On
  resignation, share options which have not yet vested will lapse and share
  options which have vested may be taken up at the employees election before
  their last day of service. Payment on shares forfeited will therefore not be
  required. On death, all options vest immediately and the deceased estate has
  a period of twelve months to exercise these options. On retrenchment, all
  share options vest immediately and the employee has a period of twelve months
  to exercise these options. On retirement the options vest immediately and the
  nine year expiry period remains unchanged. Following the introduction of the
  Sasol Share Appreciation Rights Scheme in March 2007, no further options have
  been issued in terms of the Sasol Share Incentive Scheme. Unimplemented share
  options will not be affected by the Sasol Share Appreciation Rights Scheme.
  It is group policy that employees should not deal in Sasol Limited securities
  for the periods from 1 January for half year end and 1 July for year end
  until 2 days after publication of the results and at any other time during
  which they have access to price sensitive information.


179 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.1 The Sasol Share Incentive
  Scheme continued for the year ended 30 June Number of shares 2013 2012 2011
  Vesting periods of options granted Already vested 2 619 500 5 920 200 6 835
  000 Within one year  685 400 1 297 200 One to two years   733 400 2 619
  500 6 605 600 8 865 600 Movements in the number of options granted Number of
  shares Weighted average option price Rand Balance at 30 June 2010 12 275 800
  169,75 Options converted to shares (3 302 700) (130,13) Options lapsed (107
  500) (173,57) Balance at 30 June 2011 8 865 600 119,17 Options converted to
  shares (2 234 700) (145,40) Options lapsed (25 300) (183,06) Balance at 30
  June 2012 6 605 600 110,05 Options converted to shares (3 975 500) (182,86)
  Options lapsed (10 600) (169,54) Balance at 30 June 2013 2 619 500 220,32 for
  the year ended 30 June 2013 Rand 2012 Rand 2011 Rand Average market price of
  options traded during year 409,32 367,05 342,50 Average fair value of share
  options vested during year 76,62 71,72 51,34 for the year ended 30 June 2013
  Rm 2012 Rm 2011 Rm Total intrinsic value of share options exercised during
  year 900 495 701 Share-based payment expense recognised* 2 15 33 * The share
  options last vesting period was in December 2012, therefore the unrecognised
  share-based payment expense amounted to Rnil at 30 June 2013 (2012  R2
  million; 2011  R17 million). Following the introduction of the Sasol Share
  Appreciation Rights Scheme in 2007, no further options have been granted in
  terms of the Sasol Share Incentive Scheme. The share-based payment expense
  recognised in the current year relates to options granted in previous years
  and is calculated based on the assumptions applicable to the year in which
  the options were granted. There was no income tax recognised as a consequence
  of the Sasol Share Incentive Scheme.


180 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.1 The Sasol Share Incentive Scheme continued
  Range of exercise prices Number of shares Weighted average option Rand
  Aggregate intrinsic value Rm Weighted average remaining life years Details of
  unimplemented share options granted up to 30 June 2013 R60,01  R90,00 R90,01
   R120,00 85 000 111,56 27 0,23 R120,01  R150,00 98 400 125,53 30 0,44
  R150,01  R180,00 97 400 158,40 27 0,80 R180,01  R210,00 21 700 200,07 5
  1,06 R210,01  R240,00 1 945 600 225,81 400 1,70 R240,01  R270,00 255 300
  251,87 46 2,23 R270,01  R300,00 116 100 274,69 18 1,92 2 619 500 220,32 553
  Details of unimplemented share options vested at 30 June 2013 R90,01 
  R120,00 85 000 111,56 27 R120,01  R150,00 98 400 125,53 30 R150,01  R180,00
  97 400 158,40 27 R180,01  R210,00 21 700 200,07 5 R210,01  R240,00 1 945
  600 225,81 400 R240,01  R270,00 255 300 251,87 46 R270,01  R300,00 116 100
  274,69 18 2 619 500 220,32 553 45.2 The Sasol Inzalo share transaction In May
  2008, the shareholders approved the Sasol Inzalo share transaction, a
  broad-based black economic empowerment (BEE) transaction, which resulted in
  the transfer of beneficial ownership of 10% (63,1 million shares) of Sasol
  Limiteds issued share capital before the implementation of this transaction
  to its employees and a wide spread of BEE participants. The transaction was
  introduced to assist Sasol, as a major participant in the South African
  economy, in meeting its empowerment objectives. Components of the transaction
  Note % allocated Value of shares issued Rm The Sasol Inzalo Employee Trust
  and The Sasol Inzalo Management Trust i 4,0 9 235 The Sasol Inzalo Foundation
  ii 1,5 3 463 Selected Participants iii 1,5 3 463 Black Public Invitations iv
  3,0 6 927 10,0 23 088 Note Share-based payment expense recognised1 2013 Rm
  2012 Rm 2011 Rm The Sasol Inzalo Employee Trust and The Sasol Inzalo
  Management Trust2 i 372 470 830 372 470 830 1 No share-based payment expense
  has been recognised in the current year for the Sasol Inzalo Foundation,
  Selected Participants or the Black Public Invitations (2012  Rnil; 2011 
  Rnil). 2 The unrecognised share-based payment expense related to non-vested
  Employee and Management Trusts share rights, expected to be recognised over
  a weighted average period of 1,75 years amounted to R721 million at 30 June
  2013 (2012  R1 093 million; 2011  R1 585 million).


181 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.2 The Sasol Inzalo share
  transaction continued i The Sasol Inzalo Employee Trust and The Sasol Inzalo
  Management Trust (the Trusts) On 3 June 2008, staff members that were South
  African residents or who were migrant workers that did not participate in the
  Sasol Share Incentive Scheme and the Sasol Share Appreciation Rights Scheme
  participated in The Sasol Inzalo Employee Trust (Employee Scheme), while all
  senior black staff that are South African residents participated in The Sasol
  Inzalo Management Trust (Management Scheme). The share rights, which entitled
  the employees from the inception of the scheme to receive Sasol ordinary
  shares at the end of ten years, vest according to unconditional entitlement
  as follows:  after three years: 30%  thereafter: 10% per year until
  maturity Participants in the Employee Scheme were granted share rights to 850
  Sasol ordinary shares. The allocation of the shares in the Management Scheme
  was based on seniority and range from 5 000 to 25 000. 12% of the allocated
  shares has been set aside for new employees appointed during the first five
  years of the transaction. On resignation, within the first three years from
  the inception of the transaction, share rights granted will be forfeited. For
  each year thereafter, 10% of such share rights will be forfeited for each
  year or part thereof remaining until the end of the transaction period. On
  retirement, death or retrenchment, the rights will remain with the
  participant. The fair value of the equity settled share-based payment expense
  is calculated at grant date and expensed over the vesting period of the share
  rights. The Sasol ordinary shares were issued to the Trusts, funded by
  contributions from Sasol, which collectively subscribed for 25,2 million
  Sasol ordinary shares at an issue price of R366,00 per share, with a nominal
  value of R0,01 per share, subject to pre-conditions regarding the right to
  receive only 50% of ordinary dividends paid on ordinary shares and Sasols
  right to repurchase a number of shares at a nominal value of R0,01 per share
  at the end of year ten in accordance with a pre-determined formula. The
  participant has the right to all ordinary dividends received by the Trusts
  for the duration of the transaction. After Sasol has exercised its repurchase
  right and subject to any forfeiture of share rights, each participant will
  receive a number of Sasol ordinary shares in relation to their respective
  share rights. Any shares remaining in the Trusts after the distribution to
  participants may be distributed to The Sasol Inzalo Foundation. ii The Sasol
  Inzalo Foundation On 3 June 2008, The Sasol Inzalo Foundation, which was
  incorporated as a trust and in the process of being registered as a public
  benefit organisation, subscribed for 9,5 million Sasol ordinary shares at an
  issue price of R366,00 per share, with a nominal value of R0,01 per share.
  The primary focus of The Sasol Inzalo Foundation is skills development and
  capacity building of black South Africans, predominantly in the fields of
  mathematics, science and technology. The conditions of subscription for Sasol
  ordinary shares by The Sasol Inzalo Foundation includes the right to receive
  dividends equal to 5% of the ordinary dividends declared in respect of Sasol
  ordinary shares held by the Foundation. During October 2012, the group
  executive committee approved the increase in the dividend to 50% for the 2013
  financial year end. Sasol is entitled to repurchase a number of Sasol
  ordinary shares from the Foundation at a nominal value of R0,01 per share at
  the end of ten years in accordance with a pre-determined formula. After Sasol
  has exercised its repurchase right, the Foundation will receive 100% of
  dividends declared on the Sasol ordinary shares owned by the Foundation.


182 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.2 The Sasol Inzalo share transaction
  continued iii Selected Participants In 2008, selected BEE groups (Selected
  Participants) which included Sasol customers, Sasol suppliers, Sasol
  franchisees, womens groups, trade unions and other professional
  associations, through a funding company, which is consolidated as part of the
  Sasol group, subscribed in total for 9,5 million Sasol preferred ordinary
  shares at an issue price of R366,00 per share, with a nominal value of R0,01
  per share. A portion of these shares have not yet been allocated to Selected
  Participants and have been subscribed for by a facilitation trust, which is
  funded by Sasol. As at 30 June 2013, 1,1 million (2012  1,1 million; 2011 
  1,1 million) Sasol preferred ordinary shares were issued to the facilitation
  trust. The Selected Participants contributed equity between 5% to 10% of the
  value of their underlying Sasol preferred ordinary shares allocation, with
  the balance of the contribution funded through preference share debt (refer
  note 17), including preference shares subscribed for by Sasol. The fair value
  of the equity settled share-based payment expense relating to the share
  rights issued to the Selected Participants was calculated at grant date and
  was expensed immediately as all vesting conditions had been met at that date.
  The Selected Participants are entitled to receive a dividend of up to 5% of
  the dividend declared on the Sasol preferred ordinary shares in proportion to
  their effective interest in Sasols issued share capital, from the
  commencement of the fourth year of the transaction term of ten years, subject
  to the financing requirements of the preference share debt. At the end of the
  transaction term, the Sasol preferred ordinary shares will automatically be
  Sasol ordinary shares and will then be listed on the JSE. The Sasol ordinary
  shares remaining in the funding company after redeeming the preference share
  debt and paying costs may then be distributed to the Selected Participants in
  proportion to their shareholding. The funding company, from inception, has
  full voting and economic rights with regard to its shareholding of Sasols
  total issued share capital. iv Black Public Invitations The Sasol Inzalo
  Black Public Invitations aimed to provide as many black people (Black Public)
  as possible with an opportunity to acquire shares in Sasol. The Black Public
  owns 3% of Sasols issued share capital, through their participation in the
  Funded and Cash Invitations described below. On 8 September 2008, the Black
  Public indirectly subscribed for 16 085 199 Sasol preferred ordinary shares
  and directly for 2 838 565 Sasol BEE ordinary shares. The fair value of the
  equity settled share-based payment expense relating to the share rights
  issued to the Black Public calculated at grant date was expensed immediately
  as all vesting conditions would have been met at that date. At 30 June 2013,
  56 090 (2012  56 250; 2011  56 447) Sasol preferred ordinary shares and 17
  475 (2012  17 440; 2011  17 395) Sasol BEE ordinary shares were issued to a
  facilitation trust funded by Sasol. Funded Invitation The members of the
  Black Public participating in the Funded Invitation through a funding
  company, which is consolidated as part of the Sasol group, subscribed for
  16,1 million Sasol preferred ordinary shares. The Black Public contributed
  equity between 5% to 10% of their underlying Sasol preferred ordinary shares
  allocation, with the balance of the contribution being funded through
  preference share debt (refer note 17) including preference shares subscribed
  for by Sasol. Participants in the Funded Invitation could not dispose of
  their shares for the first three years after inception. Thereafter, for the
  remainder of the transaction term, trading in the shares commenced with other
  Black People or Black Groups through an over-the-counter trading mechanism.
  Participants in the Funded Invitation may not encumber the shares held by
  them before the end of the transaction term. The Black Public are entitled to
  receive a dividend of up to 5% of the dividend on the Sasol preferred
  ordinary shares in proportion to their effective interest in Sasols issued
  share capital, from the commencement of the fourth year of the transaction
  term of ten years, subject to the financing requirements of the preference
  share debt. At the end of the transaction term, the Sasol preferred ordinary
  shares will automatically be Sasol ordinary shares and will then be listed on
  the JSE. The Sasol ordinary shares remaining in the funding company after
  redeeming the preference share debt and paying costs may then be distributed
  to the Black Public in proportion to their shareholding. The funding company
  has, from inception, full voting and economic rights with regard to its
  interest in Sasols issued share capital.


183 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.2 The Sasol Inzalo share
  transaction continued iv Black Public Invitations continued Cash Invitation
  The Cash Invitation allowed members of the Black Public to invest directly in
  Sasol BEE ordinary shares. As at 30 June 2013, the Black Public held 2,8
  million (2012  2,8 million; 2011  2,8 million) Sasol BEE ordinary shares. Participants
  in the Cash Invitation receive dividends per share simultaneously with, and
  equal to, Sasol ordinary shareholders. In addition, they are entitled to
  exercise full voting rights attached to their Sasol BEE ordinary shares. The
  Sasol BEE ordinary shares could not be traded for the first two years of the
  transaction term of ten years and, for the remainder of the transaction term,
  can only be traded between Black People and Black Groups. Participants in the
  Cash Invitation are entitled to encumber their Sasol BEE ordinary shares,
  provided that these shares continue to be owned by members of the Black
  Public for the duration of the transaction term. In February 2011, Sasol
  Limited listed the Sasol BEE ordinary shares on the BEE segment of the JSEs
  main board. This trading facility provides Sasol Inzalo shareholders access
  to a regulated market in line with Sasols commitment to broad-based
  shareholder development. At the end of the transaction term, the Sasol BEE
  ordinary shares will automatically be Sasol ordinary shares. at 30 June 2013
  Total i) Employee and Management Trusts ii) Sasol Inzalo Foundation iii)
  Selected Participants iv) Black Public Invitations Shares and share rights
  granted 61 588 157 24 888 391 9 461 882 8 387 977 18 849 907 Shares and share
  rights available for allocation 1 491 057 343 295  1 073 905 73 857 63 079
  214 25 231 686 9 461 882 9 461 882 18 923 764 Vesting periods of shares and
  share rights granted Already vested 49 143 962 12 444 196 9 461 882 8 387 977
  18 849 907 Within three years 7 466 517 7 466 517    Three to five years 4
  977 678 4 977 678    61 588 157 24 888 391 9 461 882 8 387 977 18 849 907
  at 30 June 2012 Shares and share rights granted 61 931 452 25 231 686 9 461
  882 8 387 977 18 849 907 Shares and share rights available for allocation 1
  147 762   1 073 905 73 857 63 079 214 25 231 686 9 461 882 9 461 882 18 923
  764 Vesting periods of shares and share rights granted Already vested 46 792
  440 10 092 674 9 461 882 8 387 977 18 849 907 Within three years 7 569 506 7
  569 506    Three to five years 7 569 506 7 569 506    61 931 452 25 231
  686 9 461 882 8 387 977 18 849 907 at 30 June 2011 Shares and share rights
  granted 61 391 292 24 691 526 9 461 882 8 387 977 18 849 907 Shares and share
  rights available for allocation 1 687 922 540 160  1 073 905 73 857 63 079
  214 25 231 686 9 461 882 9 461 882 18 923 764 Vesting periods of shares and
  share rights granted Already vested 36 699 766  9 461 882 8 387 977 18 849
  907 Within three years 7 407 458 7 407 458    Three to five years 4 938
  305 4 938 305    Five to ten years 12 345 763 12 345 763    61 391 292
  24 691 526 9 461 882 8 387 977 18 849 907


184 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.2 The Sasol Inzalo share transaction
  continued The share-based payment expense was calculated using an option
  pricing model reflective of the underlying characteristics of each part of
  the transaction. It is calculated using the following assumptions at grant
  date. for the year ended 30 June 2013 Employee and Management Trusts Selected
  Participants Black Public Invitation  Funded Black Public Invitation  Cash
  Valuation model Monte-Carlo model Black-Scholes model Black-Scholes model *
  Exercise price Rand * * * Risk-free interest rate (%) * * * Expected
  volatility (%) * * * Expected dividend yield (%) * * * Vesting period 4 to 5
  years** * * for the year ended 30 June 2012 Valuation model Monte-Carlo model
  Black-Scholes model Black-Scholes model * Exercise price Rand 366,00 * *
  Risk-free interest rate (%) 11,8 * * Expected volatility (%) 23,6 * *
  Expected dividend yield (%) 2,67  4,5 * * Vesting period 5 to 6 years** * *
  for the year ended 30 June 2011 Valuation model Monte-Carlo model
  Black-Scholes model Black-Scholes model * Exercise price Rand 366,00 * *
  Risk-free interest rate (%) 11,8 * * Expected volatility (%) 25,7 * *
  Expected dividend yield (%) 2,67  4,5 * * Vesting period 6 to 7 years ** * *
  * There were no further grants made during the year. ** Rights granted during
  the current year vest over the remaining period until tenure of the
  transaction until 2018. The risk-free rate for periods within the contractual
  term of the share rights is based on the South African government bonds in
  effect at the time of the grant. The expected volatility in the value of the
  share rights granted is determined using the historical volatility of the
  Sasol ordinary share price. The expected dividend yield of the share rights
  granted is determined using the historical dividend yield of the Sasol
  ordinary shares. The valuation of the share-based payment expense requires a
  significant degree of judgement to be applied by management.


185 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.2 The Sasol Inzalo share
  transaction continued Movements in the number of shares and share rights
  granted Number of shares/share rights Weighted average value Rand Aggregate
  intrinsic value Rm Weighted average remaining life years i) Sasol Inzalo
  Employee and Management Trusts Balance at 30 June 2010 24 512 080 366,00 (2
  588) 8,0 Shares and share rights granted 878 312 366,00 (9)  Shares and
  share rights forfeited (698 866)  (249)  Balance at 30 June 2011 24 691 526
  366,00 (2 846) 7,0 Shares and share rights granted 2 007 218 366,00 (44) 
  Shares and share rights forfeited (1 467 058)  (476)  Balance at 30 June
  2012 25 231 686 366,00 (3 366) 6,0 Shares and share rights granted    
  Shares and share rights forfeited (343 295)  (148)  Balance at 30 June 2013
  24 888 391 366,00 (3 514) 5,0 ii) Sasol Inzalo Foundation Balance at 30 June
  2010 9 461 882 366,00 (865) 8,0 Shares and share rights granted and forfeited
      Balance at 30 June 2011 9 461 882 366,00 (865) 7,0 Shares and share
  rights granted and forfeited     Balance at 30 June 2012 9 461 882 366,00
  (865) 6,0 Shares and share rights granted and forfeited     Balance at 30
  June 2013 9 461 882 366,00 (865) 5,0 iii) Selected Participants Balance at 30
  June 2010 8 387 977 366,00 (767) 8,0 Shares and share rights granted and
  forfeited     Balance at 30 June 2011 8 387 977 366,00 (767) 7,0 Shares
  and share rights granted and forfeited     Balance at 30 June 2012 8 387
  977 366,00 (767) 6,0 Shares and share rights granted and forfeited    
  Balance at 30 June 2013 8 387 977 366,00 (767) 5,0 iv) Black Public
  Invitations Balance at 30 June 2010 18 849 907 366,00 (1 723) 8,0 Shares and
  share rights granted and forfeited     Balance at 30 June 2011 18 849 907
  366,00 (1 723) 7,0 Shares and share rights granted and forfeited    
  Balance at 30 June 2012 18 849 907 366,00 (1 723) 6,0 Shares and share rights
  granted and forfeited     Balance at 30 June 2013 18 849 907 366,00 (1
  723) 5,0


186 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.2 The Sasol Inzalo share transaction
  continued No further shares and share rights have been granted in terms of
  the Sasol Inzalo Employee and Management Schemes. The share-based payment
  expense recognised in the current year relates to options granted in previous
  years and is calculated based on the assumptions applicable to the year in
  which the options were granted. for the year ended 30 June 2012 i) Employee
  and Management Trusts Rand ii) Sasol Inzalo Foundation Rand iii) Selected
  Participants Rand iv) Black Public Invitations  Funded Rand v) Black Public
  Invitations  Cash Rand Average price at which shares/share rights were
  granted during year 366,00*     Average fair value of shares/share rights
  issued during year 48,15     for the year ended 30 June 2011 Average
  price at which shares/share rights were granted during year 366,00*    
  Average fair value of shares/share rights issued during year 66,13     *
  Underlying value at 60 day volume weighted average price on 18 March 2008,
  although the shares were issued at a nominal value of R0,01 per share. 45.3
  The Ixia Coal transaction On 29 September 2010, the remaining conditions
  precedent for the conclusion of the Ixia Coal transaction were met, which
  resulted in the Ixia Coal transaction becoming effective. The Ixia Coal
  transaction is a broad-based Black Economic Empowerment (BEE) transaction, in
  line with Sasol Minings empowerment strategy and its commitment to comply
  with the objectives of the Mineral and Petroleum Resources Development Act in
  South Africa as well as the Mining Charter. The primary focus of the Ixia
  Coal transaction was to establish a black women controlled operational mining
  company with operating capacity, operating assets and growth assets, through
  a joint venture in which disadvantaged rural black women who originate from
  South African provinces, where Sasol Mining has operations or coal reserves,
  could participate. The members of Ixia Coal (Pty) Ltd (Ixia Coal), through a
  funding company (Ixia Coal Funding (Pty) Ltd, which is consolidated as part
  of the Sasol group), subscribed for a 20% share in Sasol Mining for a
  purchase consideration of R1,8 billion. The black-women members of Ixia Coal,
  through WipCoal (Pty) Ltd (WipCoal), and Sasol Mining Holdings (Pty) Ltd, a
  wholly-owned subsidiary of Sasol Limited, contributed, in cash, equity of R47
  million, in their respective shareholding of 51% and 49% in Ixia Coal. The
  balance of the contribution was funded through preference share debt (refer
  note 17), including preference shares subscribed for by Sasol, issued by the
  funding company. The parties are entitled to receive a dividend on their
  shareholding in Sasol Mining in proportion to their effective interest in
  Sasol Minings issued share capital, subject to the financing requirements of
  the preference share debt. The transaction results in WipCoal owning
  effectively 10,2% of the equity in Sasol Mining. The fair value of the equity
  settled share-based payment expenses relating to the Ixia Coal transaction
  was calculated at grant date and was expensed immediately as all vesting
  conditions had been met at that date. Value of the transaction 2011 Rm
  Share-based payment expense recognised 2011 Rm The Ixia Coal transaction 1
  484 565


187 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.3 The Ixia Coal transaction
  continued The share-based payment expense was calculated using an option
  pricing model reflective of the underlying characteristics of the
  transaction. It is calculated using the following assumptions at grant date:
  2011 Valuation model Monte-Carlo* Risk-free interest rate (%) 7,21 Expected
  volatility (%) 31,98 * As Sasol Mining is not publicly traded, the fair
  values were calculated using the Monte-Carlo simulation model. The risk-free
  rate for periods within the contractual term of the transaction is based on
  the South African money market rates and swap rates in effect at the time of
  the valuation of the transaction. As Sasol Mining is not publicly traded, the
  expected volatility of Sasol Mining over the period of the transaction was
  determined using the historical daily share price of a similar company listed
  on the JSE. The valuation of the share-based payment expense requires a
  significant degree of judgement to be applied by management. Cash settled
  share incentive schemes 45.4 The Sasol Share Appreciation Rights Scheme
  During March 2007, the group introduced the Sasol Share Appreciation Rights
  Scheme. This scheme replaced the Sasol Share Incentive Scheme. The objectives
  of the scheme are similar to that of the Sasol Share Incentive Scheme. The
  Share Appreciation Rights Scheme allows certain senior employees to earn a
  long-term incentive amount calculated with reference to the increase in the
  Sasol ordinary share price between the offer date of share appreciation
  rights to vesting and exercise of such rights. With effect from September
  2009, certain qualifying senior management receive only share appreciation
  rights that contain corporate performance targets (refer 45.4.2). These
  qualifying employees will retain the share appreciation rights with no
  corporate performance targets that have been granted to them previously.
  45.4.1 Share Appreciation Rights with no corporate performance targets The
  Share Appreciation Rights Scheme with no corporate performance targets allows
  certain senior employees to earn a long-term incentive amount calculated with
  reference to the increase in the Sasol Limited share price between the offer
  date of share appreciation rights to vesting and exercise of such rights. No
  shares are issued in terms of this scheme and all amounts payable in terms of
  the Sasol Share Appreciation Rights Scheme will be settled in cash. Rights
  are granted for a period of nine years and vest as follows: 2 years  1st
  third 4 years  2nd third 6 years  final third The offer price of these
  appreciation rights equals the closing market price of the underlying shares
  on the trading day immediately preceding the granting of the right. The fair
  value of the cash settled liability is calculated at each reporting date. On
  resignation, share appreciation rights which have not yet vested will lapse
  and share appreciation rights which have vested may be taken up at the
  employees election before their last day of service. Payment on appreciation
  rights forfeited will therefore not be required. On death, all appreciation
  rights vest immediately and the deceased estate has a period of twelve months
  to exercise these rights. On retrenchment, all appreciation rights vest
  immediately and the employee has a period of twelve months to exercise these
  rights. On retirement the appreciation rights vest immediately and the
  employee has a period of twelve months to exercise these rights. It is group
  policy that employees should not deal in Sasol Limited securities (and this
  is extended to the Sasol Share Appreciation Rights) for the periods from 1
  January for half year end and 1 July for year end until 2 days after
  publication of the results and at any other time during which they have
  access to price sensitive information.


188 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.4 The Sasol Share Appreciation Rights
  Scheme continued 45.4.1 Share Appreciation Rights with no corporate
  performance targets continued for the year ended 30 June Number of share
  appreciation rights 2013 2012 2011 Vesting periods of rights granted Already
  vested 3 662 500 3 881 300 2 614 300 Within one year 1 663 800 1 611 700 1
  850 000 One to two years 1 307 300 1 736 200 1 676 200 Two to three years 879
  400 1 356 100 1 843 600 Three to four years 65 100 916 100 1 421 500 Four to
  five years  67 100 943 000 More than five years   67 100 7 578 100 9 568
  500 10 415 700 Movements in the number of rights granted Number of share
  appreciation rights Weighted average share price Rand Balance at 30 June 2010
  10 926 900 288,97 Rights granted 208 100 298,65 Rights exercised (384 900)
  (367,92) Rights forfeited (334 400) (311,06) Balance at 30 June 2011 10 415
  700 285,54 Rights exercised (815 200) (380,22) Rights forfeited (32 000) (225,04)
  Balance at 30 June 2012 9 568 500 277,68 Rights exercised (1 810 700)
  (409,43) Rights forfeited (179 700) (337,30) Balance at 30 June 2013 7 578
  100 244,79 for the year ended 30 June 2013 Rand 2012 Rand 2011 Rand Average
  price at which share appreciation rights were granted during year   298,65
  Average market price of share appreciation rights traded during year 409,43
  380,22 367,92 Average fair value of share appreciation rights vested during
  year 129,95 66,52 90,89 Average fair value of share appreciation rights
  issued during year   121,63 for the year ended 30 June 2013 Rm 2012 Rm 2011
  Rm Average intrinsic value of share appreciation rights exercised during year
  198 66 31 Total intrinsic value of share appreciation rights vested 412 143
  127 Share-based payment expense recognised* 234 (52) 332 * The unrecognised
  share-based payment expense related to non-vested share appreciation rights,
  expected to be recognised over a weighted average period of 0,98 years,
  amounted to R86 million at 30 June 2013 (2012  R111 million; 2011  R318
  million).


189 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.4 The Sasol Share Appreciation
  Rights Scheme continued 45.4.1 Share Appreciation Rights with no corporate
  performance targets continued The share-based payment expense is calculated using
  the binomial tree model based on the following assumptions at 30 June: 2013
  2012 2011 Risk-free interest rate (%) 6,50  7,83 6,09  7,15 7,56  8,15
  Expected volatility (%) 23,72 24,13 25,58 Expected dividend yield (%) 4,31
  5,11 3,22 Expected forfeiture rate (%) 5,00 5,00 5,00 Vesting period 2, 4, 6
  years 2, 4, 6 years 2, 4, 6 years The risk-free rate for periods within the
  contractual term of the rights is based on the South African government bonds
  in effect at the time of the valuation of the grant. The expected volatility
  in the value of the rights granted is determined using the historical
  volatility of the Sasol share price. The expected dividend yield of the
  rights granted is determined using the historical dividend yield of the Sasol
  ordinary shares. The valuation of the share-based payment expense requires a
  significant degree of judgement to be applied by management. Range of
  exercise prices Number of share appreciation rights Weighted average price
  per right Rand Aggregate intrinsic value Rm Weighted average remaining life
  years Details of unimplemented rights granted up to 30 June 2013 R210,01 
  R240,00 118 200 222,50 25 2,68 R240,01  R270,00 835 600 257,22 146 4,20
  R270,01  R300,00 3 945 200 295,12 538 4,73 R300,01  R330,00 56 900 327,20 6
  3,28 R330,01  R360,00 2 083 300 350,99 168 4,13 R390,01  R420,00 198 500
  407,50 5 3,70 R420,01  R450,00 179 300 444,00  3,82 R450,01  R480,00 126
  200 475,10  3,93 R480,01  R510,00 34 900 496,75  3,90 7 578 100 315,80 888
  Details of unimplemented rights vested at 30 June 2013 R210,01  R240,00 118
  200 222,50 25 R240,01  R270,00 517 500 257,39 90 R270,01  R300,00 1 379 800
  294,65 189 R300,01  R330,00 26 800 327,20 3 R330,01  R360,00 1 273 600
  351,07 102 R390,01  R420,00 124 200 407,50 3 R420,01  R450,00 117 200
  444,00  R450,01  R480,00 82 400 475,10  R480,01  R510,00 22 800 496,75 
  3 662 500 320,84 412


190 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.4 The Sasol Share Appreciation Rights
  Scheme continued 45.4.2 Share Appreciation Rights with corporate performance
  targets During September 2009, the group introduced the Sasol Medium-term Incentive
  Scheme (refer note 45.5). Senior management, who participate in the Sasol
  Medium-term Incentive Scheme also receive share appreciation rights that
  contain corporate performance targets. The corporate performance targets are
  linked to the total shareholders return relative to the JSE Resources 10
  index and the MSCI energy index, Sasol earnings growth and Sasol production
  volumes/employee growth. The corporate performance targets determine how many
  shares will vest. Qualifying employees will retain the share appreciation
  rights with no corporate performance targets that have been previously
  granted to them. No shares are issued in terms of this scheme and all amounts
  payable in terms of the Sasol Share Appreciation Rights Scheme will be
  settled in cash. Share appreciation rights with old corporate performance
  targets are granted for a period of nine years and vest as follows: 2 years 
  1st third 4 years  2nd third 6 years  final third The vesting period of
  these rights are the same as the share appreciation rights with no corporate
  performance targets. During September 2012, the group introduced share
  appreciation rights with new corporate performance targets. The rights are
  granted for a period of nine years and vest as follows: 3 years  1st third 4
  years  2nd third 5 years  final third The offer price of these appreciation
  rights equals the closing market price of the underlying shares on the
  trading day immediately preceding the granting of the right. The fair value
  of the cash settled liability is calculated at each reporting date. On
  resignation, share appreciation rights which have not yet vested will lapse
  and share appreciation rights which have vested may be taken up at the
  employees election before their last day of service. Payment on rights
  forfeited will therefore not be required. On death, all appreciation rights
  vest immediately and the deceased estate has a period of twelve months to
  exercise these rights. On retrenchment, all appreciation rights vest
  immediately and the employee has a period of twelve months to exercise these
  rights. On retirement the appreciation rights vest immediately and the
  employee has a period of twelve months to exercise these rights. It is group
  policy that employees should not deal in Sasol Limited securities (and this
  is extended to the Sasol Share Appreciation Rights) for the periods from 1
  January for half year end and 1 July for year end until 2 days after
  publication of the results and at any other time during which they have
  access to price sensitive information. for the year ended 30 June Number of
  share appreciation rights 2013 2012 2011 Vesting periods of rights granted
  Already vested 1 462 530 210 000 89 900 Within one year 1 861 165 1 790 000
  140 900 One to two years 1 731 900 1 652 100 1 878 400 Two to three years 3
  275 731 1 788 500 140 900 Three to four years 3 044 459 1 648 900 1 878 400
  Four to five years 3 087 980 1 669 400 137 300 More than five years  2 297
  500 1 754 800 14 463 765 11 056 400 6 020 600


191 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 45 Share-based payments continued 45.4 The Sasol Share Appreciation
  Rights Scheme continued 45.4.2 Share Appreciation Rights with corporate
  performance targets continued Movements in the number of rights granted
  Number of share appreciation rights Weighted average share price Rand Balance
  at 30 June 2010 472 800 296,49 Rights granted 5 687 600 312,92 Rights
  exercised (5 200) (340,98) Rights forfeited (107 200) (298,04) Rights lapsed
  (27 400) (279,48) Balance at 30 June 2011 6 020 600 325,77 Rights granted 5
  425 700 342,27 Rights exercised (256 300) (387,30) Rights forfeited (123 100)
  (322,86) Rights lapsed (10 500) (331,45) Balance at 30 June 2012 11 056 400
  332,47 Rights granted 4 297 000 381,54 Rights exercised (731 300) (407,18)
  Rights forfeited (235 385) (343,61) Effect of performance targets 77 050 293,99
  Balance at 30 June 2013 14 463 765 337,16 for the year ended 30 June 2013
  Rand 2012 Rand 2011 Rand Average price at which share appreciation rights
  were granted during year 381,54 342,27 312,92 Average market price of share
  appreciation rights traded during year 407,18 387,30 340,98 Average fair
  value of share appreciation rights vested during year 130,44 49,86 104,79
  Average fair value of share appreciation rights issued during year 166,53
  61,00 127,28 for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm Average
  intrinsic value of share appreciation rights exercised during year 73 22 
  Total intrinsic value of share appreciation rights vested 222 8 5 Share-based
  payment expense recognised* 707 134 163 * The unrecognised share-based
  payment expense related to non-vested share appreciation rights with
  corporate performance targets, expected to be recognised over a weighted
  average period of 1,7 years, amounted to R1 044 million at 30 June 2013 (2012
   R509 million; 2011  R613 million).


192 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.4 The Sasol Share Appreciation Rights
  Scheme continued 45.4.2 Share Appreciation Rights with corporate performance
  targets continued The share-based payment expense is calculated using the
  binomial tree model based on the following assumptions at 30 June: 2013 2012
  2011 Risk-free interest rate (%) 6,50  7,83 6,09  7,15 7,56  8,15 Expected
  volatility (%) 23,72 24,13 25,58 Expected dividend yield (%) 4,31 5,11 3,22
  Expected forfeiture rate (%) 5,00 5,00 5,00 Vesting period  share
  appreciation rights with old corporate performance targets 2, 4, 6 years 2,
  4, 6 years 2, 4, 6 years Vesting period  share appreciation rights with new
  corporate performance targets 3, 4, 5 years The risk-free rate for periods
  within the contractual term of the rights is based on the South African
  government bonds in effect at the time of the valuation of the grant. The
  expected volatility in the value of the rights granted is determined using
  the historical volatility of the Sasol share price. The expected dividend
  yield of the rights granted is determined using the historical dividend yield
  of the Sasol ordinary shares. The valuation of the share-based payment
  expense requires a significant degree of judgement to be applied by
  management. Range of exercise prices Number of share appreciation rights
  Weighted average price per right Rand Aggregate intrinsic value Rm Weighted
  average remaining life years Details of unimplemented rights granted up to 30
  June 2013 R270,01  R300,00 3 541 730 298,43 471 6,13 R300,01  R330,00 407
  116 322,60 44 6,40 R330,01  R360,00 4 849 540 336,73 460 7,71 R360,01 
  R390,00 5 276 279 375,97 293 8,00 R390,01  R420,00 171 900 414,29 3 8,70
  R420,01  R450,00 217 200 439,10  8,93 14 463 765 343,73 1 271 Details of
  unimplemented rights vested at 30 June 2013 R270,01  R300,00 988 215 298,46
  132 R300,01  R330,00 116 716 322,60 13 R330,01  R360,00 237 040 348,52 20
  R360,01  R390,00 120 559 372,14 7 1 462 530 314,57 172


193 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets Non-current
  assets Changes to comparative information SASOL AFS 7 OCT  PROOF final 2 45
  Share-based payments continued 45.5 The Sasol Medium-Term Incentive Scheme
  During September 2009, the group introduced the Sasol Medium-term Incentive
  Scheme (MTI). The objective of the MTI Scheme is to provide qualifying
  employees which participate in the Share Appreciation Rights Scheme with
  corporate performance targets (refer note 45.4.2) the opportunity of
  receiving incentive payments based on the value of Sasol ordinary shares in
  Sasol Limited. The MTI Scheme allows certain senior employees to earn a
  medium-term incentive amount in addition to the Share Appreciation Rights
  Scheme, which is linked to certain corporate performance targets. These
  corporate performance targets are based on the total shareholders return
  versus the JSE Resources 10 index and the MSCI energy index, Sasol earnings
  growth and Sasol production volumes/employee growth. Allocations of the MTI
  are linked to the performance of both the group and the individual. The MTI
  is also intended to complement existing incentive arrangements, to retain and
  motivate key employees and to attract new key employees. Vesting conditions
  Rights are granted for a period of three years and vest at the end of the
  third year. The MTIs are automatically encashed at the end of the third year.
  On resignation, MTIs which have not yet vested will lapse. Payment on MTIs
  forfeited will therefore not be required. On death, the MTIs vest immediately
  and the amount to be paid out to the deceased estate is calculated to the
  extent that the corporate performance targets are anticipated to be met. On
  retirement and retrenchment the MTIs vest immediately and the amount to be
  paid out is calculated to the extent that the corporate performance targets
  are anticipated to be met and is paid within forty days from the date of
  termination. No shares are issued in terms of this scheme and all amounts
  payable in terms of the Sasol Medium-term Incentive Scheme will be settled in
  cash. The MTI carries no issue price. The fair value of the cash settled
  liability is calculated at each reporting date. Number of rights 2013 2012
  2011 Vesting periods of rights granted Within one year 1 109 194 82 511  One
  to two years 1 146 062 1 152 037 90 779 Two to three years 2 106 766 1 186
  578 1 227 032 4 362 022 2 421 126 1 317 811 Movements in the number of rights
  granted Number of rights Balance at 30 June 2010 105 626 Rights granted 1 272
  855 Rights exercised (21 748) Rights forfeited (21 912) Rights lapsed (17
  010) Balance at 30 June 2011 1 317 811 Rights granted 1 220 755 Rights
  exercised (77 048) Rights forfeited (28 571) Rights lapsed (11 821) Balance
  at 30 June 2012 2 421 126 Rights granted 2 162 606 Rights exercised (130 506)
  Rights forfeited (70 620) Effect of corporate performance targets (20 584)
  Balance at 30 June 2013 4 362 022


194 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements equity structure continued
  45 Share-based payments continued 45.5 The Sasol Medium-Term Incentive Scheme
  continued for the year ended 30 June 2013 Rand 2012 Rand 2011 Rand Average
  fair value of MTIs issued during year 522,87 250,51 380,18 Average intrinsic
  value of MTIs exercised during the year 398,99 354,99 357,39 for the year
  ended 30 June 2013 Rm 2012 Rm 2011 Rm Total intrinsic value of MTIs vested 52
  27 7 Share-based payment expense recognised* 723 124 148 * The unrecognised
  share-based payment expense related to MTIs, expected to be recognised over a
  weighted average period of 1,04 years, amounted to R1 015 million at 30 June
  2013 (2012  R370 million; 2011  R503 million). The share-based payment
  expense is calculated using the Monte-Carlo simulation model based on the
  following assumptions at 30 June: 2013 2012 2011 Risk-free interest rate (%)
  6,50  7,83 6,09  7,15 7,56  8,15 Expected volatility (%) 23,72 24,13 25,58
  Expected dividend yield (%) 4,43 5,11 3,22 Expected forfeiture rate (%) 5,00
  5,00 5,00 The risk-free rate for periods within the contractual term of the
  rights is based on the South African government bonds in effect at the time
  of the valuation of the grant. The expected volatility in the value of the
  rights granted is determined using the historical volatility of the Sasol
  share price. The expected dividend yield of the rights granted is determined
  using the historical dividend yield of the Sasol ordinary shares. The
  valuation of the share-based payment expense requires a significant degree of
  judgement to be applied by management.


195 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 46 Foreign
  currency translation reserve Translation of foreign operations Property,
  plant and equipment 4 373 1 899 (1 372) cost 2 11 309 4 500 (1 939)
  accumulated depreciation 2 (6 936) (2 601) 567 Assets under construction 3 1
  950 850 (72) Goodwill 135 40 9 cost 4 397 300 43 accumulated impairment 4
  (262) (260) (34) Other intangible assets 144 48 (8) cost 5 398 113 4
  accumulated amortisation 5 (254) (65) (12) Investments in securities 50 10 8
  Investments in associates 7 455 676 (365) Long-term receivables and prepaid
  expenses 237 63 10 Assets in disposal groups held for sale  6 (1)
  Inventories 50 2 152 903 (130) Trade receivables 50 2 124 888 (192) Other
  receivables and prepaid expenses 50 237 (1) (29) Short-term financial assets
  3   Cash and cash equivalents 1 267 649 (421) Non-controlling interest (16)
  (11) 5 Long-term debt 17 (630) (106) 386 Long-term provisions 19 (429) (190)
  38 Long-term financial liabilities (1)   Post-retirement benefit obligations
  (965) (143) (145) Long-term deferred income (80) (23) 17 Deferred tax 22 (88)
  (173) 74 Short-term debt 23 (29) (17) 52 Short-term financial liabilities (5)
  (1) 2 Short-term provisions 25 (134) (36) 4 Tax payable 27 (71) (18) 21 Trade
  payables and accrued expenses 50 (1 606) (673) 68 Other payables 50 (1 342)
  (378) (137) 7 731 4 262 (2 178) Arising from net investment in foreign
  operations 49 374 (211) 153 Movement for year 8 105 4 051 (2 025) Realisation
  of foreign currency translation reserve 34   2 Acquisition of business (14)
    Disposal of businesses 55 7  (4) Balance at beginning of year 2 137 (1
  914) 113 Balance at end of year 10 235 2 137 (1 914)


196 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group notes to the financials statements equity structure continued Number of
  shares 2013 2012 2011 47 Share repurchase programme Held by the wholly owned
  subsidiary, Sasol Investment Company (Pty) Ltd Balance at beginning of year 8
  809 886 8 809 886 8 809 886 Shares cancelled    Shares repurchased   
  Balance at end of year 8 809 886 8 809 886 8 809 886 Percentage of issued
  share capital (excluding Sasol Inzalo share transaction) 1,44% 1,45% 1,45%
  for the year ended 30 June 2013 Rand 2012 Rand 2011 Rand Average cumulative
  purchase price 299,77 299,77 299,77 Average purchase price during year   
  As at 30 June 2013, a total of 8 809 886 Sasol ordinary shares (30 June 2012
   8 809 886; 30 June 2011  8 809 886), representing 1,44% (30 June 2012 
  1,45%; 30 June 2011  1,45%) of the issued share capital of the company,
  excluding the Sasol Inzalo share transaction, is held by its subsidiary,
  Sasol Investment Company (Pty) Ltd. These shares are held as treasury shares
  and do not carry any voting rights. Since the inception of the programme in
  2007, 40 309 886 Sasol ordinary shares, representing 6,39% of the issued
  share capital of the company at that date, excluding the Sasol Inzalo share
  transaction, had been repurchased for R12,1 billion at a cumulative average
  price of R299,77 per share. 31 500 000 Sasol ordinary shares of the
  repurchased shares were cancelled on 4 December 2008, for a total value of
  R7,9 billion, and restored to authorised share capital. At each of the
  companys annual general meetings since 2009, shareholders renewed the
  directors authority to approve the repurchase of issued ordinary shares of
  the company subject to the conditions approved by shareholders at the
  meeting, the provisions of the Companies Act and the requirements of the JSE
  Limited. No purchases have been made under this authority since 2009. At the
  annual general meeting held on 30 November 2012, shareholders granted the
  authority to the Sasol directors to approve the repurchase up to 10% of each
  of Sasols ordinary shares and Sasol BEE ordinary shares. No shares were
  repurchased during the year.


197 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements liquidity and capital resources for
  the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 48 Cash generated by
  operating activities Cash flow from operations 49 61 571 50 172 41 018
  Increase in working capital 50 (2 304) (2 271) (2 379) 59 267 47 901 38 639
  49 Cash flow from operations Operating profit after remeasurement items 40
  628 36 758 29 950 Adjusted for amortisation of other intangible assets 5 245
  229 235 equity settled share-based payment expenses 45 374 485 1 428 deferred
  income 365 (214) 719 depreciation of property, plant and equipment 2 11 785 9
  422 7 165 effect of remeasurement items 41 6 487 1 860 426 movement in
  impairment of trade receivables 6 47 137 movement in long-term prepaid
  expenses (9) (45) 15 movement in long-term provisions income statement charge
  19 393 1 279 1 230 utilisation 19 (629) (493) (486) movement in short-term
  provisions 315 508 (163) movement in post-retirement benefit assets (94) (18)
  (74) obligations 485 355 414 translation effect of foreign currency loans 618
  (458) (145) translation of net investment in foreign operations 46 374 (211)
  153 write-down of inventories to net realisable value 234 331 112 other non
  cash movements (6) 337 (98) 61 571 50 172 41 018 Note 2013 Rm 2012 Rm 2011 Rm
  Cash generated by operating activities 48 59 267 47 901 38 639 Cash flow from
  operations 49 61 571 50 172 41 018 Increase in working capital 50 (2 304) (2
  271) (2 379) Finance income received 51 1 071 1 149 1 380 Dividends paid 52
  (10 787) (9 600) (6 614) Non-current assets sold 53 554 257 168 Acquisitions
  54 (730) (24) (3 823) Disposals 55 167 713 22


198 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements liquidity and capital
  resources continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm
  49 Cash flow from operations continued Business segmentation South African
  energy cluster 41 778 34 811 26 015 ¦ Mining 3 383 3 328 2 616 ¦ Gas 4 406 3
  257 2 875 ¦ Synfuels 31 168 25 865 17 691 ¦ Oil 2 821 2 363 2 895 ¦ Other 
  (2) (62) International energy cluster 4 562 4 165 2 840 ¦ Synfuels
  International 2 780 2 515 1 681 ¦ Petroleum International 1 782 1 650 1 159
  Chemical cluster 11 053 8 977 11 607 ¦ Polymers 1 799 1 384 2 766 ¦ Solvents
  2 066 1 820 2 429 ¦ Olefins & Surfactants 4 669 3 816 4 446 ¦ Other
  chemical businesses 2 519 1 957 1 966 ¦ Other businesses 4 178 2 219 556
  Total operations 61 571 50 172 41 018 50 Increase in working capital Increase
  in inventories Per the statement of financial position (3 388) (2 156) (2
  040) Write-down of inventories to net realisable value 12 (234) (331) (112)
  Acquisition of business 54 276   Transfer from/(to) other assets 37 3 (2)
  Reclassification (to)/from held for sale (1 163) 13 (14) Disposal of
  businesses (72) (124)  Translation of foreign operations 46 2 152 903 (130)
  Translation of foreign entities 208 203 (153) (2 184) (1 489) (2 451)
  Increase in trade receivables Per the statement of financial position (3 348)
  (1 531) (3 004) Acquisition of business 54 134   Movement in impairment (6)
  (47) (137) Transfer to other assets  2  Reclassification to held for sale
  (2 213)   Disposal of businesses 55 (59) (72)  Translation of foreign
  operations 46 2 124 888 (192) Translation of foreign entities 186 248 (148)
  (3 182) (512) (3 481) Decrease/(increase) in other receivables and prepaid
  expenses Per the statement of financial position 497 (1 318) (80) Movement in
  short-term portion of long-term receivables 222 54 (145) Acquisition of
  business 54 5   Transfer from other assets  857  Reclassification to held
  for sale (803)   Disposal of businesses 55 (2) (2)  Consideration still
  receivable from disposals 55 69   Effect of cash flow hedging   1
  Translation of foreign operations 46 237 (1) (29) Translation of foreign
  entities 28 40 (17) 253 (370) (270)


199 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 50 Increase
  in working capital continued Increase in trade payables and accrued expenses
  Per the statement of financial position 3 640 841 3 383 Acquisition of
  business 54 (37)   Reclassification to held for sale 590   Disposal of
  businesses 55 67 1  Translation of foreign operations 46 (1 606) (673) 68
  Translation of foreign entities (71) (80) 80 2 583 89 3 531 Increase in other
  payables Per the statement of financial position 32 1 112 190 Acquisition of
  business 54 (52)   Reclassification to held for sale 2 064   Disposal of
  businesses 55 5 2  Reclassification to short-term provisions  (5)  Effect
  of cash flow hedging   (2) Translation of foreign operations 46 (1 342)
  (378) (137) Translation of foreign entities 582 (99) 309 1 289 632 360
  Movement in financial assets and liabilities Long-term financial assets (57)
  (173) (19) Short-term financial assets (1 074) (402) 29 Long-term financial
  liabilities (15) (60) 36 Short-term financial liabilities 83 14 (114) (1 063)
  (621) (68) Increase in working capital (2 304) (2 271) (2 379) 51 Finance
  income received Interest received 37 681 766 943 Interest received on tax
  (18)   Dividends received from investments 37 24 22 40 Dividends received
  from associates 7 384 361 397 1 071 1 149 1 380 52 Dividends paid Final
  dividend  prior year (7 267) (6 089) (4 713) Interim dividend  current year
  (3 520) (3 511) (1 901) (10 787) (9 600) (6 614) Forecast cash flow on final
  dividend  current year 8 216 7 239 6 053 Forecast STC charge on final
  dividend  current year 589 The forecast cash flow on the final dividend is
  calculated based on the net number of Sasol ordinary shares in issue at 30
  June 2013 of 648,8 million. The actual dividend payment will be determined on
  the record date of 11 October 2013. 53 Non-current assets sold Property,
  plant and equipment 453 190 42 Assets under construction 27 4 27 Other
  intangible assets 74 63 99 554 257 168


200 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements liquidity and capital
  resources continued for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm
  54 Acquisitions Property, plant and equipment 2 559  709 Assets under
  construction 3 41 24 3 114 Other intangible assets 5 254   Inventories 50
  276   Trade receivables 50 134   Other receivables and prepaid expenses
  50 5   Cash and cash equivalents 6   Long-term provisions 19 (10)  
  Post-retirement benefit obligations (44)   Deferred tax liabilities 22
  (193)   Tax payable 27 (2)   Trade payables and accrued expenses 50 (37)
    Other payables 50 (52)   Fair value of additional assets acquired* 937
  24 3 823 Pre-existing interest in joint venture retained 500   Total fair
  value of assets and liabilities 1 437 24 3 823 Fair value of pre-existing
  interest in joint venture retained (719)   Goodwill 4 12   Total
  consideration per the statement of cash flows 730 24 3 823 * The fair values
  of the additional assets acquired have been determined on a provisional
  basis. If new information obtained within one year from the acquisition date
  about facts and circumstances that existed at the acquisition date identifies
  adjustments to the above amounts, then the acquisition accounting will be
  revised. Comprising Other chemical businesses  Merisol joint venture 730  
  Sasol Synfuels International  Uzbekistan GTL  24  Sasol Petroleum
  International  Canadian shale gas asset   3 823 Total consideration 730 24
  3 823 Acquisition in 2013 In December 2012, Sasol acquired the remaining 50%
  interest in the Merisol joint venture from Merichem Company, to increase its
  shareholding to a 100% interest in Merisol. The pre-existing interest in the
  joint venture at acquisition date was remeasured to fair value and a
  resulting gain of R233 million was recognised in the income statement (refer
  note 41). In the six months to 30 June 2013, Merisol contributed turnover of
  R1 037 million and profit of R194 million to the group's results. If the
  acquisition occurred on 1 July 2012, management estimates that the group's
  consolidated turnover would have been R181 670 million and operating profit
  after remeasurement items for the year would have been R40 675 million. In
  determining these amounts, management has assumed that the fair value
  adjustments, that arose at acquisition date would have been the same if the
  acquisition had occurred on 1 July 2012. Acquisition in 2012 During 2012,
  Sasol acquired an additional 11,2% interest in the Uzbekistan GTL project for
  a purchase consideration of R24 million, thereby increasing our participating
  interest in this project to 44,5%. Acquisitions in 2011 On 17 December 2010,
  Sasol signed an agreement with the Canadian based Talisman Energy Inc.
  (Talisman) to acquire a 50% stake in their Farrell Creek shale gas asset,
  located in the Montney Basin of British Columbia, Canada for a purchase
  consideration of R7,1 billion. Talisman will retain the remaining 50%
  interest and continue as operator of the Farrell Creek asset, that includes
  gas gathering systems and processing facilities. On 1 March 2011, the
  suspensive conditions pertaining to the agreement with Talisman were
  fulfilled and the transaction was completed. A cash consideration of
  CAD$295,7 million (R2 068 million) was paid at that time. The remainder of
  the purchase consideration will be settled through the capital carry
  obligation. On 8 March 2011, Sasol exercised an option with Talisman to
  acquire a 50% stake in their Cypress A shale gas asset for a purchase
  consideration of R7,1 billion. This acquisition is also located in the
  Montney basin in Canada. Consistent with the Farrell Creek shale gas
  acquisition, this second acquisition will also see Talisman retain the
  remaining 50% interest and continue to operate the Cypress A gas asset. On 10
  June 2011, the suspensive conditions pertaining to the agreement with
  Talisman were fulfilled and the transaction was completed. A cash
  consideration of CAD$250,8 million (R1 755 million) was paid at that time.
  The remainder of the purchase consideration will be settled through the
  capital carry obligation.


201 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 for the year ended 30 June Note 2013 Rm 2012 Rm 2011 Rm 55 Disposals
  Property, plant and equipment cost 2 193 314 18 accumulated depreciation 2
  (123) (178) (8) Assets under construction 3 3   Goodwill 4 27  
  Investments in securities  2  Investments in associates  29  Long-term
  receivables and prepaid expenses  5  Assets held for sale  37 
  Inventories 72 99  Trade receivables 50 59 72  Other receivables and
  prepaid expenses 50 2 2  Cash and cash equivalents (17)   Long-term
  provisions 19  (4)  Post-retirement benefit obligations 20 (6) (22) 
  Deferred tax liabilities 22 11   Short-term provisions 25 (7) (1)  Trade
  payables and accrued expenses 50 (67) (1)  Other payables 50 (5) (2)  Tax
  payable 27 2  1 144 352 11 Total consideration 236 713 22 Consideration
  received 167 713 22 Consideration still receivable 50 69   92 361 11
  Realisation of accumulated translation effects 46 (7)  4 Net profit on
  disposal 85 361 15 Total consideration comprising Sasol Oil  Tosas 116  
  Olefins & Surfactants  Sasol Gulf 51   Petroleum International 
  Exploration assets 69 96  Olefins & Surfactants  Witten plant  550 
  Sasol Nitro  Fertiliser businesses  31 16 Sasol Wax  Paramelt RMC BV  7 6
  Other businesses  Thin Film Solar Technology  29  Total consideration 236
  713 22


202 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements liquidity and capital
  resources continued 55 Disposals continued Disposals in 2013 Sasol Olefins
  & Surfactants  Sasol Gulf On 31 March 2013, Sasol Olefins &
  Surfactants (O&S) disposed of its subsidiary for a total consideration of
  R51 million. Sasol Oil  Tosas On 1 April 2013, Sasol Oil disposed of its
  shareholding in Tosas Holdings Pty (Ltd) for a total consideration of R116
  million. Sasol Petroleum International  Exploration licences In 2013, Sasol
  Petroleum International (SPI) disposed of its participation interests in the
  exploration assets in Papua New Guinea for a total consideration of R69
  million. Disposals in 2012 Sasol Petroleum International  Exploration
  licences In 2012, Sasol Petroleum International (SPI) disposed of 10% of its
  equity interest in an exploration asset in Papua New Guinea for a total
  consideration of R60 million. In addition, in 2010, SPI entered into
  negotiations with buyers interested in acquiring exploration assets in Nigeria.
  The sale of these assets were concluded in 2012 for a total consideration of
  R36 million. Sasol Olefins & Surfactants  Witten plant During 2012, as
  part of the Sasol Olefins & Surfactants (O&S) restructuring programme
  announced in March 2007, Sasol decided to dispose of the Witten plant,
  Germany, for a total consideration of R550 million. Sasol Nitro  Fertiliser
  businesses In July 2010, Sasol Nitro concluded a settlement agreement with
  the South African Competition Commission to dispose of the bulk blending and
  liquid fertiliser blending facilities in Durban, Bellville, Endicott and
  Kimberley. During 2012, the facilities in Durban, Bellville and Endicott were
  sold for a total consideration of R31 million. Sasol Wax  Paramelt RMC BV On
  10 July 2007, Sasol Wax disposed of its 31% investment in Paramelt RMC BV,
  operating in the Netherlands, for a consideration of R251 million, realising
  a profit of R129 million. During 2012, the additional conditions precedent
  were met resulting in the receipt of additional consideration of R7 million.
  Other businesses  Thin Film Solar Technology During 2012, Sasol disposed of
  its 40% investment in Thin Film Solar Technology for a consideration of R29
  million. Disposals in 2011 On 5 July 2010, Sasol Nitro concluded a settlement
  agreement with the South African Competition Commission. In terms of this
  settlement, Sasol Nitro has restructured its fertiliser business. The
  settlement agreement included, amongst others, the divesting of the regional
  blending capacity. In March 2011, the sale of the Potchefstroom blending
  facility was concluded, resulting in a profit of R6 million. In 2011, the
  group also disposed of other smaller investments realising a profit of R10
  million.


203 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 notes to the financial statements other disclosures Note Guarantees
  2013 Rm Liability included on statement of financial position 2013 Rm
  Guarantees 2012 Rm Liability included on statement of financial position 2012
  Rm 56 Guarantees and contingent liabilities 56.1 Guarantees In respect of
  EGTL i 4 580 2 207 4 010 1 921 In respect of GTL ventures ii 2 359  1 950 
  Other performance guarantees iii 2 366  782 231 In respect of shale gas
  ventures iv 4 119  6 243  In respect of natural oil and gas v 1 688 1 163 2
  160 1 660 In respect of letter of credit vi 1 602  1 541  In favour of BEE
  partners vii 278 5 319 8 In respect of German propylene pipeline facility
  viii 81  72  Guarantee in favour of Sasol Inzalo share transaction ix 4 200
  4 200 3 927 3 927 In respect of Natref debt x 1 042 1 042 1 047 1 047 In
  respect of crude oil purchases xi 1 186 1 186 980 980 In respect of
  development of retail convenience centres xii 700 700 700 700 In respect of
  environmental obligations xiii 875 825 756 711 In respect of US bond xiv 9
  938 9 938   In respect of prospecting rights xv 419    Other guarantees
  and claims xvi 780 5 812 9 36 213 21 271 25 299 11 194 i. Sasol Limited has
  issued the following significant guarantees for the obligations of its
  associate Escravos GTL in Nigeria, including inter alia: A performance
  guarantee has been issued in respect of the construction of Escravos GTL for
  the duration of the investment in the associate to an amount of US$250
  million (R2 470 million). A guarantee has been issued for Sasols portion of
  its commitments in respect of the fiscal arrangements relating to the
  Escravos GTL project to an amount of US$166 million (R1 638 million). An
  amount of R1 638 million has been recognised as a provision in this regard. A
  provision has been recognised in respect of a performance guarantee related to
  the construction of Escravos GTL plant for an amount of US$23 million (R222
  million). Other guarantees in respect of EGTL ventures of R250 million. Note
  Guarantees and contingent liabilities 56 Commitments under leases 57 Related
  party transactions 58 Subsequent events 59 Interest in joint ventures 60
  Financial risk management and financial instruments 61


204 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  56 Guarantees and contingent liabilities continued 56.1 Guarantees continued
  ii. Sasol Limited has issued the following significant guarantees for the
  obligations of various of its subsidiaries in respect of the GTL Ventures.
  These guarantees relate to the construction and funding of ORYX GTL Limited
  in Qatar, including inter alia: A guarantee for the take-or-pay obligations
  of a wholly owned subsidiary has been issued under the gas sale and purchase
  agreement (GSPA) entered into between ORYX GTL Limited, Qatar Petroleum and
  ExxonMobil Middle East Gas Marketing Limited, by virtue of this subsidiarys
  49% shareholding in ORYX GTL Limited. Sasols exposure is limited to the
  amount of US$179 million (R1 766 million). In terms of the GSPA, Oryx GTL
  Limited is contractually committed to purchase minimum volumes of gas from
  Qatar Petroleum and ExxonMobil Middle East Gas Marketing Limited on a
  take-or-pay basis. Should ORYX GTL terminate the GSPA prematurely, Sasol
  Limiteds wholly owned subsidiary will be obliged to take or pay for its 49%
  share of the contracted gas requirements. The term of the GSPA is 25 years
  from the date of commencement of operations. The project was commissioned in
  April 2007. Sasol Limited issued a performance guarantee for the obligations
  of its subsidiaries in respect of and for the duration of the investment in
  Sasol Chevron Holdings Limited, limited to an amount of US$60 million (R593
  million). Sasol Chevron Holdings Limited is a joint venture between a wholly
  owned subsidiary of Sasol Limited and Chevron Corporation. All guarantees
  listed above are issued in the normal course of business. iii. Various
  performance guarantees issued by subsidiaries. Provisions have been
  recognised in relation to certain performance guarantees that were issued as
  part of the licensing of Sasols GTL technology and catalyst performance in
  respect of ORYX GTL. The events that gave rise to these provisions are not
  expected to have a material effect on the economics of the groups GTL
  ventures. Included is a performance guarantee for the Uzbekistan GTL project.
  iv. Guarantees of R4 119 million have been issued to Talisman Energy Inc, in
  respect of the development of the qualifying costs related to the Farrel
  Creek and Cypress A shale gas assets in Canada. v. Guarantees have been
  issued to various financial institutions in respect of the obligations of its
  subsidiaries (Sasol Petroleum International (Pty) Ltd (SPI) and Republic of
  Mozambique Pipeline Investment Company (Pty) Ltd (Rompco)) for the natural
  gas project. The liability on the statement of financial position of R1 163
  million represents the gross amount owing by SPI and Rompco to the financial
  institutions at 30 June 2013. vi. Various guarantees issued in respect of
  letters of credit issued by subsidiaries. vii. In terms of the sale of 25% in
  Sasol Oil (Pty) Ltd to Tshwarisano LFB Investment (Pty) Ltd (Tshwarisano),
  facilitation for the financing requirements of Tshwarisano has been provided.
  The undiscounted exposure at 30 June 2013 amounted to R278 million. A
  liability for this guarantee at 30 June 2013, amounting to R5 million, has
  been recognised. viii. Guarantees issued to various financial institutions in
  respect of the German propylene pipeline facility. ix. As part of the Sasol
  Inzalo share transaction, the C Preference shares issued by the Sasol Inzalo
  Groups Funding (Pty) Ltd and Sasol Inzalo Public Funding (Pty) Ltd to the
  financing institutions are secured against a guarantee of R4 200 million. x.
  Guarantees issued in favour of various financial institutions in respect of
  the debt facilities of R1 042 million for the Natref crude oil refinery. The
  outstanding debt on the statement of financial position was R1 042 million at
  30 June 2013. xi. Sasol Limited issued a guarantee for Sasol Oil
  International Limiteds (SOIL) term crude oil contract with Saudi Aramco to
  cover two months crude oil commitments. xii. Guarantees issued to various
  financial institutions in respect of debt facilities for the establishment of
  the retail convenience centre network of R700 million. The outstanding debt
  on the statement of financial position was R700 million at 30 June 2013.
  xiii. Guarantees and sureties issued in respect of environmental obligations
  of R875 million. xiv. A guarantee has been issued in respect of the US bond
  which is listed on the New York Stock Exchange issued by its indirect 100%
  owned finance subsidiary, Sasol Financing International Plc. The outstanding
  debt on the statement of financial position was R9 938 million on 30 June
  2013. xv. Guarantees issued to Anglo Operations Limited and BHP Billiton
  Energy Coal South Africa (Pty) Ltd in respect of the outstanding amount under
  the contract for the purchase of Block IV prospecting rights and prospecting
  rights documents. xvi. Included in other guarantees are guarantees for
  customs and excise of R198 million and R422 million in respect of feedstock
  purchases.


205 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 56 Guarantees and contingent liabilities continued 56.2 Product
  warranties The group provides product warranties with respect to certain
  products sold to customers in the ordinary course of business. These
  warranties typically provide that products sold will conform to
  specifications. The group generally does not establish a liability for
  product warranty based on a percentage of turnover or other formula. The
  group accrues a warranty liability on a transaction-specific basis depending
  on the individual facts and circumstances related to each sale. Both the
  liability and the annual expense related to product warranties are immaterial
  to the consolidated financial statements. 56.3 Other contingencies
  Subsidiaries Sasol Limited has guaranteed the fulfilment of various
  subsidiaries obligations in terms of contractual agreements. The group has
  guaranteed the borrowing facilities and banking arrangements of certain of
  its subsidiaries. Mineral rights As a result of the promulgation of
  legislation in South Africa, the common law (mineral rights) and associated
  statutory competencies of Sasol Mining have been converted to interim
  statutory rights (Old Order Rights). Sasol Mining is entitled to convert
  these Old Order Rights to statutory mining and prospecting rights (New Order
  Rights) after complying with certain statutory requirements. As at 30 June
  2013, all applications to acquire prospecting and mining rights were granted
  by the Department of Minerals Resources (DMR). These rights cover all the
  prospecting rights in the Free State and Waterberg as well as the prospecting
  and mining rights in Secunda. No value has been attributed to these rights in
  the consolidated annual financial statements. Legal costs Legal costs
  expected to be incurred in connection with loss contingencies are expensed as
  incurred. 56.4 Litigation Sasol Nitro In 2004, the South African Competition
  Commission (the Commission) commenced with investigations against Sasol
  Nitro, a division of Sasol Chemical Industries Limited (SCI), based on
  complaints levelled against Sasol Nitro by two of its customers, Nutri-Flo
  and Profert. Both complaints were subsequently referred to the Competition Tribunal
  (the Tribunal) by the Commission. In May 2009, SCI and the Commission
  concluded a settlement agreement, in which Sasol Nitro acknowledged that, in
  the period from 1996 to 2005, it had contravened the Competition Act by
  fixing prices of certain fertilisers with its competitors, by agreeing with
  its competitors on the allocation of customers and suppliers and by
  collusively tendering for supply contracts. Sasol Nitro subsequently paid an
  administrative penalty of R250,7 million. Civil claims and law suits
  totalling approximately R52 million have been instituted against Sasol
  arising from the admissions made in the settlement agreement. Sasol views the
  calculation of alleged damages by the plaintiffs as flawed. Sasol is working
  with an economist on assessing its position on any potential damages caused.
  The analysis has not been finalised yet. Therefore, it is currently not
  possible to make an estimate of a contingent liability and accordingly, no
  provision was made as at 30 June 2013. The period for filing civil claims
  prescribed on 20 May 2012, therefore no additional claims may be made against
  Sasol arising from the admitted contraventions. Sasol Nitro  complaint
  referral by Omnia On 31 August 2011, Omnia Group (Pty) Ltd (Omnia) submitted
  a complaint against SCI to the Commission. The complaint alleged, among other
  things, excessive pricing for ammonia and price discrimination in respect of
  ammonia. On 7 March 2012, the Commission issued a notice of non-referral in
  respect of the complaint on the grounds that the conduct complained of was
  substantially the same as the conduct which the Commission had settled on
  with Sasol in July 2010. On 5 April 2012, Omnia themselves referred the
  complaint to the Tribunal. Omnia alleges that SCI charged Omnia an excessive
  price for ammonia during the period from May 2006 to December 2008 and that
  SCI has prevented Omnia from expanding within the markets for the supply of
  certain fertilisers during the period from May 2006 to December 2008 and that
  SCI has engaged in prohibited price discrimination in respect of ammonia. SCI
  does not agree with the allegations made and is defending the matter. The
  allegations made are substantially similar to allegations in a civil claim
  for damages made by Omnia in 2009, which SCI is also defending in arbitration
  proceedings. The competition law complaint, and subsequent referral, have
  been made by Omnia prior to completing the prosecution of their arbitration
  claim to completion. It is currently not possible to make an estimate of a contingent
  liability from the claim and, accordingly, no provision was made as at 30
  June 2013.


206 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  56 Guarantees and contingent liabilities continued 56.4 Litigation continued
  Sasol Wax On 1 October 2008, following an investigation by the European
  Commission, the European Union found that members of the European paraffin
  wax industry, including Sasol Wax GmbH, formed a cartel and violated
  antitrust laws. A fine of 318,2 million was imposed by the European
  Commission on Sasol Wax GmbH (of which Sasol Wax International AG, Sasol
  Holding in Germany GmbH and Sasol Limited would be jointly and severally
  liable for 250 million). According to the decision of the European
  Commission, an infringement of antitrust laws commenced in 1992 or even
  earlier. In 1995, Sasol became a co-shareholder in an existing wax business
  located in Hamburg, Germany owned by the Schümann group. In July 2002, Sasol
  acquired the remaining shares in the joint venture and became the sole
  shareholder of the business. Sasol was unaware of these infringements before
  the European Commission commenced their investigation at the wax business in
  Hamburg in April 2005. On 15 December 2008, all Sasol companies affected by
  the decision lodged an appeal with the European Unions General Court against
  the decision of the European Commission on the basis that the fine is
  excessive and should be reduced. On 3 July 2013, the hearing at the Court in
  Luxemburg took place. The Court has not given any indication to the parties
  at the hearing of what their legal views are. The next step is a ruling by
  the Court. As a result of the fine imposed on Sasol Wax GmbH, on 23 September
  2011, Sasol Wax GmbH was served with a law suit in The Netherlands by a
  company to which potential claims for compensation of damages have been
  assigned to by eight customers. The law suit does not demand a specific
  amount. The proceeding is still at an early stage. It is currently not
  possible to make an estimate of a contingent liability from the claim and,
  accordingly, no provision was made as at 30 June 2013. On 30 September 2011,
  another law suit was lodged with the London High Court by 30 plaintiffs
  against Sasol Wax GmbH, Sasol Wax International AG and Sasol Holding Germany
  GmbH. As of June 2013 Sasol settled with all 30 plaintiffs. Sasol Polymers As
  previously disclosed by Sasol, the Commission has been investigating the
  South African polymers industry. On 12 August 2010, the Commission announced
  that it had referred its findings to the Tribunal for adjudication. The
  complaints that the Commission referred to the Tribunal alleged that SCI had,
  in the pricing of polypropylene and propylene in the domestic South African
  market, contravened section 8(a) of the Competition Act (the Act), in that
  its prices for each of the products were excessive. The referral further
  alleged that in regard to a formula employed and information exchanged
  between SCI and Safripol (Pty) Ltd (Safripol) to determine the price of
  propylene which SCI sold to Safripol, SCI and Safripol had contravened
  section 4(1)(b)(i) of the Act by engaging in price fixing. The Commission
  also announced that it had simultaneously reached a settlement with Safripol
  in which Safripol admitted that the supply agreement between SCI and Safripol
  and its implementation amounted to the indirect fixing of a price or trading
  condition in contravention of the Act. This settlement agreement between the
  Commission and Safripol was confirmed by the Tribunal on 25 August 2010. On
  14 December 2010, Sasol Polymers, a division of SCI, concluded a settlement
  agreement with the Commission in relation to its existing propylene supply
  agreement (the Supply Agreement) with Safripol. The Supply Agreement was concluded
  pursuant to concerns raised by Safripol in relation to the proposed merger in
  1993 of Sasol Limited and AECI Limiteds monomer, polymer and certain other
  chemical operations. To address these concerns, the then Competition Board
  required a supply agreement, which would ensure Safripols ongoing access to
  propylene according to a pricing formula, which would result in market
  related prices. At the time, neither party understood this pricing formula to
  give rise to competition law concerns. The Commission, in terms of the
  current Competition Act, alleged that the pricing formula, which required the
  exchange of pricing information amounted to indirect price fixing. Given the
  uncertainty surrounding the legal position in relation to the pricing formula
  and the technicality of the matter, it was considered prudent to settle the
  matter. Sasol Polymers therefore agreed to pay a penalty of R111,7 million,
  which represented 3% of Sasol Polymers turnover derived from its sale of
  polypropylene products for its 2009 financial year. The settlement agreement
  is in full and final settlement of the Commissions allegations that the
  pricing formula gave rise to indirect price fixing. The settlement agreement
  was confirmed by the Tribunal on 24 February 2011. As mentioned above, the
  Commission also contended that the prices at which Sasol Polymers supplied
  propylene and polypropylene were excessive. Sasol Polymers does not agree
  with the Commissions position in this regard and is contesting the
  Commissions allegations. Consequently, the Commissions allegations in
  respect of excessive pricing do not form any part of the settlement agreement
  concluded between the parties. The results of the excessive pricing
  investigation by the Commission and the outcome of the hearing by the
  Tribunal, which commenced on 13 May 2013 and is expected to be closed in
  October 2013, cannot be determined at present and accordingly, no provision
  was made at 30 June 2013.


207 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 56 Guarantees and contingent liabilities continued 56.4 Litigation
  continued Sasol Polymers continued On 31 July 2012, a letter was received
  from the Commission whereby Sasol was advised that the Commission had
  initiated a new abuse of dominance complaint against Sasol Limited, Sasol Oil
  (Pty) Ltd, Sasol Synfuels (Pty) Ltd and SCI. This new complaint is based on a
  complaint which was initially submitted to the Commission by Safripol in
  November 2011. The initial Safripol complaint alleged that SCI had
  contravened various sections of the Act with regard to the pricing and supply
  of propylene and ethylene. Safripol subsequently withdrew the complaint. The
  Commission has however decided to continue with its investigation into the
  matter. The allegations under investigation are excessive pricing of
  propylene and ethylene required by Safripol, constructive refusal to supply
  scarce goods (namely propylene and ethylene), margin squeeze in respect of
  the supply of propylene and polypropylene and price discrimination in
  relation to the sale of propylene and ethylene. These are all abuse of
  dominance allegations. The period of the investigation is from 2008 to date.
  Sasol continues to defend itself against these allegations. The outcome of
  this matter cannot be estimated at this point in time and, accordingly, no
  provision was made at 30 June 2013. Sasol Gas On 30 October 2009, after being
  advised that certain provisions in a suite of agreements concluded between
  Sasol Gas, Coal, Energy and Power Resources Limited (CEPR) and Spring Lights
  Gas (Pty) Ltd (Spring Lights) constituted contraventions of the Act, Sasol
  Gas applied for leniency in terms of the Commissions corporate leniency
  policy and obtained conditional leniency. Subsequent to Sasol Gas leniency
  application, the Commission investigated the matter and found that provisions
  in the agreements resulted in fixing of prices and had the effect of dividing
  the piped gas market by allocating customers and territories. The suite of
  agreements related to the establishment of Spring Lights as a broad based
  black economic empowerment (BBBEE) company for the purpose of acquiring a
  portion of the business of Sasol Gas as part of Sasols BBBEE strategy at the
  time. On 20 August 2010, Spring Lights concluded a settlement agreement with
  the Commission in terms of which Spring Lights acknowledged the mentioned contraventions
  and agreed to pay an administrative penalty of R10,8 million. Spring Lights
  had also made an application to the Commission to exempt the conduct set out
  in these agreements, on the basis that it promoted the ability of small
  businesses, or firms controlled or owned by historically disadvantaged
  persons, to become competitive, in terms of section 10 (3)(b)(ii) of the Act.
  Spring Lights settlement agreement was considered by the Tribunal on 1
  September 2010 but the matter was postponed sine die to enable the Commission
  to make a ruling on the exemption application of Spring Lights. On 26 March
  2012, the Commission gazetted its refusal to grant the exemption. On 11 April
  2013 the Competition Tribunal confirmed the administrative penalty of R10,8
  million which became payable by Spring Lights. There are no liabilities left
  for Sasol Gas relating to this matter and the Commission has confirmed that
  Sasol Gas has received full immunity from prosecution. Refer note 59 for the
  subsequent disposal of the investment in Spring Lights. Sasol Oil 
  Commercial diesel On 24 October 2012, the Commission referred allegations of
  price-fixing and market division against Chevron SA, Engen, Shell SA, Total
  SA, Sasol Limited, BP SA and the South African Petroleum Industry Association
  (SAPIA) to the Competition Tribunal for adjudication. The Commission is
  alleging that the respondents exchanged commercially sensitive information,
  mainly through SAPIA, in order to ensure that their respective prices for
  commercial diesel followed the Wholesale List Selling Price published by the
  Department of Energy. This is not a new matter and Sasol began engaging with
  the Commission in this regard in 2008 as part of its group-wide competition
  law compliance review, which preceded the Commissions investigation into the
  liquid fuels sector. Sasol has reviewed the Commissions referral documents
  and does not agree with the Commissions allegations. Accordingly, Sasol is
  defending the matter. The outcome of this referral cannot be estimated at
  this point in time and, accordingly, no provision was made as at 30 June
  2013. Other From time to time Sasol companies are involved in other
  litigation and administrative proceedings in the normal course of business.
  Although the outcome of these proceedings and claims cannot be predicted with
  certainty, the company does not believe that the outcome of any of these
  cases would have a material effect on the groups financial results. 56.5
  Competition matters Sasol is continuously evaluating and enhancing its
  compliance programmes and controls in general, and its competition law
  compliance programme and controls in particular. As a consequence of these
  compliance programmes and controls, including monitoring and review
  activities, Sasol has also adopted appropriate remedial and/or mitigating
  steps, where necessary or advisable, lodged leniency applications and made
  disclosures on material findings as and when appropriate. As reported
  previously, these compliance activities have already revealed, and may still
  reveal competition law contraventions or potential contraventions in respect
  of which we have taken, or will take, appropriate remedial and/or mitigating
  steps including lodging leniency applications. The Commission is conducting
  investigations into the South African piped gas, petroleum, fertilisers and
  polymer industries. Sasol continues to interact and co-operate with the
  Commission in respect of the subject matter of current leniency applications
  brought by Sasol, conditional leniency agreements concluded with the
  Commission, as well as in the areas that are subject to the Commissions
  investigations.


208 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  56 Guarantees and contingent liabilities continued 56.6 Environmental matters
  Sasol is subject to loss contingencies pursuant to numerous national and
  local environmental laws and regulations that regulate the discharge of
  materials into the environment and that may require Sasol to remediate or
  rehabilitate the effects of its operations on the environment. The
  contingencies may exist at a number of sites, including, but not limited to,
  sites where action has been taken to remediate soil and groundwater
  contamination. These future costs are not fully determinable due to factors
  such as the unknown extent of possible contamination, uncertainty regarding
  the timing and extent of remediation actions that may be required, the
  allocation of the environmental obligation among multiple parties, the
  discretion of regulators and changing legal requirements. Sasols
  environmental obligation accrued at 30 June 2013 was R9 884 million compared
  to R8 911 million at 30 June 2012. Included in this balance is an amount
  accrued of approximately R4 397 million in respect of the costs of
  remediation of soil and groundwater contamination and similar environmental
  costs. These costs relate to the following activities: site assessments, soil
  and groundwater clean-up and remediation, and ongoing monitoring. Due to
  uncertainties regarding future costs the potential loss in excess of the
  amount accrued cannot be reasonably determined. Although Sasol has provided
  for known environmental obligations that are probable and reasonably
  estimable, the amount of additional future costs relating to remediation and
  rehabilitation may be material to results of operations in the period in
  which they are recognised. It is not expected that these environmental
  obligations will have a material effect on the financial position of the
  group. As with the oil and gas and chemical industries generally, compliance
  with existing and anticipated environmental, health, safety and process
  safety laws and regulations increases the overall cost of business, including
  capital costs to construct, maintain, and upgrade equipment and facilities.
  These laws and regulations have required, and are expected to continue to
  require, the group to make significant expenditures of both a capital and
  expense nature. South Africa In South Africa, the environmental regulatory
  legal framework is still evolving, as is the enforcement process. We work
  with government authorities in striving to find a balance between economic
  development and, social and environmental considerations. Recent changes in
  government resulted in the alignment of departments governing environmental
  matters. South Africa is considered as a developing country in terms of the
  Kyoto Protocol under the United Nations Framework Convention on Climate Change
  and is committed to emission reduction pledges under the voluntary Copenhagen
  accord which is now incorporated in the National Climate Change Response
  White Paper. Europe Our European facilities are subject to extensive
  environmental regulation in the various countries in which we operate. For
  example: The European Union Chemicals Regulation for the registration,
  evaluation and authorisation of chemicals (REACH) (1907/2006/EC) is intended
  to harmonise existing European and national regulations to provide a better
  protection of human health and our environment against the harmful effects of
  hazardous substances and preparations. Sasol has registered a significant
  amount of chemical products and will ensure that we continue to comply with
  the ongoing requirements of REACH. The countries within which we operate in
  Europe have all ratified the Kyoto Protocol and we have developed a GHG
  strategy to comply with applicable GHG restrictions and to manage emission
  reductions cost effectively. United States Sasol North America (Sasol NA),
  Sasol Wax and Merisol are subject to numerous federal, state, and local laws
  and regulations that regulate the discharge of materials into the environment
  or that otherwise relate to the protection of human health and the environment.
  Environmental compliance expenditures for our interest in Sasol NA, Sasol Wax
  and Merisols manufacturing sites for the next five years are estimated to
  range from US$2 million to US$6 million per year.


209 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 57 Commitments under leases Operating leases  Minimum future lease
  payments The group leases buildings under long-term non-cancellable operating
  lease agreements and also rents offices and other equipment under operating
  leases that are cancellable at various short-term notice periods by either
  party. for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm Buildings and
  offices Within one year 329 292 242 One to five years 812 882 815 More than
  five years 725 606 596 1 866 1 780 1 653 Equipment Within one year 1 335 606
  410 One to five years 1 595 1 443 919 More than five years 672 879 746 3 602
  2 928 2 075 Included in operating leases for equipment is the rental of a
  pipeline for the transportation of gas products. The rental payments are
  determined based on the quantity of gas transported. The lease may be
  extended by either party to the lease for a further three year period prior
  to the expiry of the current lease term of 17 years. Water reticulation for
  Sasol Synfuels Within one year 120 105 107 One to five years 617 580 511 More
  than five years 2 816 2 983 2 885 3 553 3 668 3 503 The water reticulation
  commitments of Sasol Synfuels relate to a long-term water supply agreement.
  The rental payments are determined based on the quantity of water consumed
  over the 20 year period of the lease. Total minimum future lease payments 9
  021 8 376 7 231 These leasing arrangements do not impose any significant
  restrictions on the group or its subsidiaries. Contingent rentals The group
  has contingent rentals in respect of operating leases that are linked to
  market related data such as the rand/US dollar exchange rate and inflation.
  Finance leases  Minimum future lease payments The group leases buildings and
  other equipment under long-term non-cancellable finance lease agreements.
  These lease agreements contain terms of renewal and escalation clauses but
  excludes purchase options. 2013 Rm 2012 Rm 2011 Rm Within one year 138 190
  204 One to five years 371 395 513 More than five years 682 714 856 Less
  amounts representing finance charges (496) (510) (685) Total minimum future
  lease payments 695 789 888 Contingent rentals The group has no contingent
  rentals in respect of finance leases.


210 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  58 Related party transactions A related party is an entity or person where
  the Sasol group can exercise influence or significant influence or which is
  controlled by the Sasol group. In particular, this relates to joint ventures
  and associates. Disclosure in respect of joint ventures is provided in note
  60 and of associates in note 7. Group companies, in the ordinary course of
  business, entered into various purchase and sale transactions with associates
  and joint ventures. The effect of these transactions is included in the
  financial performance and results of the group. Terms and conditions are
  determined on an arms length basis. Amounts owing (after eliminating
  intercompany balances) to related parties are disclosed in the respective
  notes to the financial statements for those statement of financial position
  items. No impairment of receivables related to the amount of outstanding
  balances is required. Material related party transactions The following table
  shows the material transactions that are included in the financial statements
  using the equity method for associates and proportionate consolidation for
  joint ventures. for the year ended 30 June 2013 Rm 2012 Rm 2011 Rm Sales and
  services rendered from subsidiaries to related parties joint ventures 941 954
  672 associates 1 564 1 651 1 053 2 505 2 605 1 725 Purchases by subsidiaries
  from related parties joint ventures 1 763 1 930 1 582 associates 80 59 53 1
  843 1 989 1 635 Identity of related parties with whom material transactions
  have occurred Except for the groups interests in joint ventures and
  associates, there are no other related parties with whom material individual
  transactions have taken place. Key management remuneration Key management
  comprises executive and non-executive directors as well as other members of
  the group executive committee (GEC). Remuneration and benefits paid and
  short-term incentives approved for the executive directors and former
  executive director were as follows: Executive directors Salary R000
  Retirement funding R000 Other benefits R000 Annual incentives1 R000 Total
  20132 R000 Total 2012 R000 Total 2011 R000 DE Constable3 12 110 225 18 911
  22 422 53 668 31 881 n/a LPA Davies4      3 908 24 456 VN Fakude 5 250 1
  410 309 7 635 14 604 11 558 10 944 KC Ramon 3 669 1 633 1 418 6 864 13 584 11
  265 10 778 Total 21 029 3 268 20 638 36 921 81 856 58 612 46 178 1 Incentives
  approved on the group results for the 2013 financial year and payable in the
  following year. Incentives are calculated as a percentage of total guaranteed
  package/net basic salary as at 30 June 2013. 2 Total remuneration for the
  financial year excludes gains derived from the long-term incentive schemes. 3
  Annual net USD salary paid to the chief executive officer was US$865 032 and
  an incentive of net US$1 320 231 was awarded. 4 Retired as director of Sasol
  Limited on 30 June 2011.


211 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 58 Related party transactions continued Remuneration and benefits
  paid and short-term incentives approved for the GEC were as follows: Salary
  R000 Retirement funding R000 Other benefits R000 Annual incentives1 R000
  Total 2013 R000 Total 2012 R000 Total 2011 R000 DE Constable2 n/a n/a n/a
  n/a n/a n/a 2 804 A de Klerk3 n/a n/a n/a n/a n/a n/a 6 512 AM de Ruyter 3
  973 1 867 355 5 623 11 818 8 878 8 082 NL Joubert4 n/a n/a n/a n/a n/a n/a 9
  196 VD Kahla 3 825 505 1 377 3 743 9 450 7 899 3 876 BE Klingenberg 3 786 908
  298 5 017 10 009 7 084 6 744 M Radebe 2 832 568 349 3 232 6 981 5 284 3 394
  CF Rademan 3 735 753 469 4 355 9 312 7 394 6 657 GJ Strauss 4 997 1 040 191 5
  814 12 042 9 574 10 420 Total 23 148 5 641 3 039 27 784 59 612 46 113 57 685
  Number of members 6 6 8 1 Incentives approved on the group results for the
  2013 financial year and payable in the following year. Incentives are
  calculated as a percentage of total guaranteed package as at 30 June 2013. 2
  Appointed as chief executive officer and executive director with effect from
  1 July 2011. 3 Retired as a GEC member with effect from 30 April 2011. 4
  Resigned as GEC member with effect from 30 June 2011. Non-executive directors
  remuneration for the year was as follows: Non-executive directors Board
  meeting fees R000 Lead director fees R000 Committee fees R000 Share
  incentive trustee fees R000 Ad Hoc Special Board  committee meeting R000
  Total 2013 R000 Total 2012 R000 Total 2011 R000 TH Nyasulu (Chairman) 4
  010  443 67  4 520 4 226 3 950 C Beggs 460  474  93 1 027 879 714 BP
  Connellan n/a n/a n/a n/a n/a n/a n/a 541 HG Dijkgraaf 1 255  940 67 55 2
  317 1 941 1 663 MSV Gantsho 460  291  74 825 703 681 A Jain n/a n/a n/a n/a
  n/a n/a n/a 372 GA Lewin n/a n/a n/a n/a n/a n/a n/a 758 IN Mkhize 460  227
  134 18 839 770 713 ZM Mkhize 460  108  37 605 245  JN Njeke 460  183  74
  717 595 572 PJ Robertson 1 255  171 34  1 460   JE Schrempp (Lead
  independent director) 1 255 439 330 67 55 2 146 1 810 1 513 S Westwell 1 255
   396  74 1 725 92  TA Wixley n/a n/a n/a n/a n/a n/a n/a 332 Total 11 330
  439 3 563 369 480 16 181 11 261 11 809


212 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  58 Related party transactions continued The aggregate beneficial shareholding
  of the directors of the company and the group executive committee and their
  associates (none of which have a holding greater than 1%) in the issued share
  capital of the company are detailed in the tables below: Beneficial
  shareholding 2013 2012 Number of shares Number of share options2 Total
  beneficial shareholding Number of shares Number of share options2 Total
  beneficial shareholding Direct Indirect1 Direct Indirect1 Executive directors
  LPA Davies3 n/a n/a n/a n/a 96 800  499 200 596 000 VN Fakude 1 500   1
  500 1 500  46 900 48 400 KC Ramon 21 500 41 556  63 056 21 500 41 556 54
  400 117 456 Non-executive directors IN Mkhize 1 313 18 626  19 939 1 313 18
  626  19 939 TH Nyasulu  1 450  1 450  1 450  1 450 Total 24 313 61 632 
  85 945 121 113 61 632 600 500 783 245 1 Includes units held in the Sasol
  Share Savings Trust and shares held through Sasol Inzalo Public Limited. 2
  Includes share options which have vested or which vest within sixty days of
  30 June. 3 Retired as a director of Sasol Limited on 30 June 2011. Beneficial
  shareholding 2013 2012 Number of shares Number of share options2 Total
  beneficial shareholding Number of shares Number of share options2 Total
  beneficial shareholding Direct Indirect1 Direct Indirect1 GEC AM de Ruyter 5
  900   5 900 5 900  23 200 29 100 BE Klingenberg   13 200 13 200 15 800 
  11 300 27 100 M Radebe  3 748 6 900 10 648  3 659 13 000 16 659 CF Rademan
  350   350 350  3 700 4 050 GJ Strauss 4 300 205  4 505 4 300 190 88 000
  92 490 Total 10 550 3 953 20 100 34 603 26 350 3 849 139 200 169 399 1
  Includes units held in the Sasol Share Savings Trust and shares held through
  Sasol Inzalo Public Limited. 2 Includes share options which have vested or
  which vest within sixty days of 30 June. 59 Subsequent events Investment in
  Spring Lights Gas joint venture On 2 July 2013, Sasol disposed of its
  investment in Spring Lights Gas for a purchase consideration of R474 million
  (refer note 11). Investment in ASPC joint venture On 16 August 2013, Sasol
  entered into a purchase and sale agreement for the disposal of its investment
  in ASPC for a purchase consideration of R3 606 million (US$365 million). The
  purchase consideration is payable in cash for the net assets, dividends and
  shareholder loans. As a result of this transaction, Sasol has no ongoing
  investment in Iran.


213 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 60 Interest in joint ventures In accordance with the groups
  accounting policy, the results of joint ventures are proportionately
  consolidated on a line-by-line basis. The information provided below includes
  intercompany transactions and balances. Sasol GTL Rm Sasol Canada Rm
  Polymers* Rm Merisol Rm Spring Lights Gas Rm Other^ Rm 2013 Total Rm 2012
  Total Rm 2011 Total Rm Statement of financial position External non-current
  assets 5 095 13 899 550   1 344 20 888 20 620 14 326 property, plant and
  equipment 4 704 7 170 502   944 13 320 15 050 9 508 assets under construction
  340 6 668 39   329 7 376 5 254 4 544 other non-current assets 51 61 9  
  71 192 316 274 External current assets 2 095 2 822 484   1 068 6 469 8 416
  6 774 Intercompany current assets      108 108 211 993 Total assets 7
  190 16 721 1 034   2 520 27 465 29 247 22 093 Shareholders equity 6 164 15
  659 688   1 495 24 006 21 097 15 943 Long-term debt (interest bearing) 57 1
     398 456 889 1 779 Intercompany long-term debt      64 64 54 931
  Long-term provisions 101 260    17 378 301 225 Other non-current
  liabilities 194  32   41 267 426 328 Interest bearing current liabilities
   1    62 63 1 862 495 Non-interest bearing current liabilities 608 777
  314   371 2 070 2 992 2 101 Intercompany current liabilities 66 23    72
  161 1 626 291 Total equity and liabilities 7 190 16 721 1 034   2 520 27
  465 29 247 22 093 Income statement Turnover 4 816 600 7 966 401 345 1 979 16
  107 13 504 9 966 Operating profit/(loss) 2 567 (1 919) (901) 47 150 176 120 2
  601 3 435 Other (expenses)/income 6 7 (60)  1 (28) (74) (147) (153) Net
  profit/(loss) before tax 2 573 (1 912) (961) 47 151 148 46 2 454 3 282
  Taxation (21)  11 (6) (45) (34) (95) (176) (151) Attributable (loss)/profit
  2 552 (1 912) (950) 41 106 114 (49) 2 278 3 131 Statement of cash flows Cash
  flow from operations 3 102 82 2 526 66 156 266 6 198 5 703 4 251 Movement in
  working capital (19) (291) (402) (15) 12 (181) (896) 1 050 (23) Taxation paid
   (3) (3) (4) (47) (21) (78) (144) (102) Other expenses  (2) (102) (1) 
  (33) (138) (207) (187) Cash available from operations 3 083 (214) 2 019 46
  121 31 5 086 6 402 3 939 Dividends paid (2 408)  (1 115) (42) (133) (52) (3
  750) (4 737) (2 634) Cash retained from operations 675 (214) 904 4 (12) (21)
  1 336 1 665 1 305 Cash flow from investing activities (630) (3 177) (148)
  (28)  (249) (4 232) (7 263) (5 533) Cash flow from financing activities 98 3
  559 165 30  278 4 130 5 669 7 169 Decrease/(increase) in cash requirements
  143 168 921 6 (12) 8 1 234 71 2 941 * Comprising the financial results of
  Arya Sasol Polymer Company and Petlin and only the financial position of
  Petlin. ^ Includes Sasol Dyno Nobel, Sasol Fibres, Sasol Huntsman, Sasol Oil
  Petromoc, Sasol Yihai and Sasol Uzbekistan. At 30 June 2013, the groups
  share of the total capital commitments of joint ventures amounted to R3 205
  million (2012  R2 686 million; 2011  R4 202 million). R2 807 million (2012
   R2 177 million; 2011  R3 879 million) relates to the Sasol Canada
  business. The GTL businesses results are associated with the GTL venture in
  Qatar and the evaluation of other projects in accordance with the groups
  strategy. The Sasol Canada businesses results are associated with the shale
  gas asset in Canada in accordance with the groups strategy to grow Sasols
  upstream asset base. In December 2012, Sasol acquired the remaining 50%
  shareholding in Merisol and, accordingly, its financial results post
  acquisition are excluded from the disclosure of interest in joint ventures.
  Arya Sasol Polymer Company and Spring Lights Gas have been classified as held
  for sale at 30 June 2013 and, accordingly, their assets and liabilities are
  excluded from the statement of financial position disclosure. Refer to note
  11.


214 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments Introduction The group
  is exposed in varying degrees to a variety of financial instrument related
  risks. The group executive committee (GEC) has the overall responsibility for
  the establishment and oversight of the groups risk management framework. The
  board of directors established the risk and safety, health and environment
  committee, which is responsible for providing the board of directors with the
  assurance that significant business risks are systematically identified,
  assessed and reduced to acceptable levels. A comprehensive risk management
  process has been developed to continuously monitor and control these risks.
  The Sasol group has a central treasury function that manages the financial
  risks relating to the groups operations. The group business committee, a
  sub-committee of the GEC consisting of the managing directors of the business
  units and functional core representatives, meets regularly to review and, if
  appropriate, approve the implementation of optimal strategies for the
  effective management of financial risks. The committee reports on a regular
  basis to the GEC on its activities. Capital risk management The groups
  objectives when managing capital (which includes share capital, borrowings,
  working capital and cash and cash equivalents) are to maintain a flexible
  capital structure that reduces the cost of capital to an acceptable level of
  risk, to safeguard the groups ability to continue as a going concern while
  taking advantage of strategic opportunities in order to provide sustainable
  returns for shareholders and benefits to the stakeholders. The group manages
  the capital structure and makes adjustments to it in light of changes in
  economic conditions and the risk characteristics of the underlying assets. In
  order to maintain the capital structure, the group may adjust the amount of
  dividends paid to shareholders, return capital to shareholders, repurchase
  shares currently issued, issue new shares, issue new debt, issue new debt to
  replace existing debt with different characteristics and/or sell assets to
  reduce debt. The group monitors capital utilising a number of measures,
  including the gearing ratio. The gearing ratio is calculated as net
  borrowings (total borrowings less cash) divided by shareholders equity. The
  gearing level takes into account the groups substantial capital investment
  and susceptibility to external market factors such as crude oil prices,
  exchange rates and commodity chemical prices. In 2009, the targeted gearing
  ratio was lowered to 20%  40% from the previous range of 30%  50%. The
  groups gearing level for 2013 is (0,31) % (2012  2,7%; 2011  1,3%). The
  gearing ratio is expected to return to the targeted range as the capital
  expansion programme progresses in the medium- to long-term horizon. Financing
  risk Financing risk refers to the risk that financing of the groups capital
  requirements and refinancing of existing borrowings could become more
  difficult or more costly in the future. This risk can be decreased by
  achieving the targeted gearing ratio, ensuring that maturity dates are evenly
  distributed over time, and that total short-term borrowings do not exceed
  liquidity levels. The groups target for long-term borrowings include an
  average time to maturity of at least 2 years, and an even spread of
  maturities. Credit rating To achieve and keep an efficient capital structure,
  the group aims to maintain a stable long-term credit rating. Risk profile
  Risk management and measurement relating to each of these risks is discussed
  under the headings below (subcategorised into credit risk, liquidity risk and
  market risk) which entails an analysis of the types of risk exposure, the way
  in which such exposure is managed and quantification of the level of exposure
  in the statement of financial position. The groups objective in using
  derivative instruments is for hedging purposes to reduce the uncertainty over
  future cash flows arising from foreign currency, interest rate and commodity
  price risk exposures.


215 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Credit risk Credit risk, or the risk of financial loss due to counterparties
  not meeting their contractual obligations, is managed by the application of
  credit approvals, limits and monitoring procedures. Where appropriate, the
  group obtains security in the form of guarantees to mitigate risk.
  Counterparty credit limits are in place and are reviewed and approved by the
  respective subsidiary credit management committees. The central treasury
  function provides credit risk management for the group-wide exposure in
  respect of a diversified group of banks and other financial institutions.
  These are evaluated regularly for financial robustness especially in the
  current global economic environment. Management has evaluated treasury
  counterparty risk and does not expect any treasury counterparties to fail in
  meeting their obligations. Trade and other receivables consists of a large
  number of customers spread across diverse industries and geographical areas.
  The exposure to credit risk is influenced by the individual characteristics,
  the industry and geographical area of the counterparty with whom we have
  transacted. Trade and other receivables are carefully monitored for
  impairment. An allowance for impairment of trade receivables is made where
  there is an identified loss event, which based on previous experience, is
  evidence of a reduction in the recoverability of the cash flows. Details of the
  credit quality of trade receivables and the associated provision for
  impairment is disclosed in note 13. No single customer represents more than
  10% of the groups total turnover or more than 10% of total trade receivables
  for the years ended 30 June 2013, 2012 and 2011. Approximately 49% (2012 
  50%; 2011  49%) of the groups total turnover is generated from sales within
  South Africa, while about 22% (2012  23%; 2011  23%) relates to European
  sales. Approximately 49% (2012  48%; 2011  47%) of the amount owing in
  respect of trade receivables is from counterparties in South Africa, while
  European receivables amount to about 26% (2012  24%; 2011  28%). Long-term
  receivables consists of debtors located mainly in South Africa, Rest of
  Africa and Europe. The long-term receivables relate mainly to deposits on
  office rental space in terms of various operating lease agreements and
  amounts related to the investment in Escravos gas-to-liquids. These amounts
  are carefully monitored for impairment. Impairments are recognised when there
  is an identified loss event, which based on previous experience, is evidence
  of a reduction in the recoverability of the cash flows. The credit quality
  assessment indicated that none of the long-term receivables where past their due
  date. Credit risk exposure in respect of long-term receivables and trade
  receivables is further analysed in notes 9 and 13, respectively. The carrying
  value represents the maximum credit risk exposure. The group has provided
  guarantees for the financial obligations of subsidiaries, joint-ventures and
  third parties. The outstanding guarantees at 30 June 2013 are provided in
  note 56. Liquidity risk Liquidity risk is the risk that an entity in the
  group will be unable to meet its obligations as they become due. The group
  manages liquidity risk by effectively managing its working capital, capital
  expenditure and cash flows, making use of a central treasury function to
  manage pooled business unit cash investments and borrowing requirements.
  Currently the group is maintaining a positive cash position, conserving the
  groups cash resources through renewed focus on working capital improvement
  and capital reprioritisation. The group meets its financing requirements
  through a mixture of cash generated from its operations and, short- and
  long-term borrowings. Adequate banking facilities and reserve borrowing
  capacities are maintained. The Sasol group is in compliance with all of the
  financial covenants per its loan agreements, none of which is expected to
  present a material restriction on funding or its investment policy in the
  near future. The group has sufficient undrawn borrowing facilities, which
  could be utilised to settle obligations.


216 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Liquidity
  risk continued The maturity profile of the contractual cash flows of
  financial instruments at 30 June were as follows: Note Contractual cash
  flows* Rm Within one year Rm One to five years Rm More than five years Rm
  2013 Financial assets Loans and receivables 60 208 58 644 968 596 Long-term
  receivables 9 1 864 300 968 596 Trade receivables 13 24 268 24 268   Other
  receivables 14 1 363 1 363   Cash restricted for use 16 7 442 7 442  
  Cash 16 25 271 25 271   Investments available-for-sale Investments in
  securities 6 511   511 Investments held for trading Investments in
  securities 6 41   41 Investments held-to-maturity Investments in securities
  6 231   231 Non-derivative instruments 60 991 58 644 968 1 379 Derivative
  instruments Forward exchange contracts 18 790 15 643 3 147  Commodity
  derivatives 14 14   79 795 74 301 4 115 1 379 Financial liabilities
  Non-derivative instruments (44 228) (21 437) (6 611) (16 180) Long-term debt
  (24 296) (1 505) (6 611) (16 180) Short-term debt 23 (257) (257)   Trade
  payables and accrued expenses 28 (17 432) (17 432)   Other payables 29 (1
  496) (1 496)   Bank overdraft 16 (747) (747)   Financial guarantees1
  (518) (518)   (44 746) (21 955) (6 611) (16 180) Derivative instruments
  Forward exchange contracts (17 216) (14 262) (2 954)  Interest rate
  derivatives (17) (14) (3)  (61 979) (36 231) (9 568) (16 180) * The amount
  disclosed is the contractual cash flows excluding finance expenses. Where a
  derivative is linked to an index, the amount payable or receivable has been
  based on the estimated forward exchange rates at the settlement date. Foreign
  exchange contracts and cross currency swaps are settled on a gross basis,
  while all other derivatives are net settled. For gross settled derivatives,
  the cash outflow has been included in financial liabilities, while the cash
  inflow is included in financial assets. 1 Issued financial guarantees
  contracts are all repayable on demand, however the likelihood of default is
  considered remote. Refer to note 56.


217 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Liquidity risk continued Note Contractual cash flows* Rm Within one year Rm
  One to five years Rm More than five years Rm 2012 Financial assets Loans and
  receivables 42 862 41 489 926 447 Long-term receivables 9 1 451 78 926 447
  Trade receivables 13 21 157 21 157   Other receivables 14 2 194 2 194   Cash
  restricted for use 16 5 314 5 314   Cash 16 12 746 12 746   Investments
  available-for-sale Investments in securities 6 206   206 Investments held
  for trading Investments in securities 6 34   34 Investments
  held-to-maturity Investments in securities 6 472   472 Non-derivative
  instruments 43 574 41 489 926 1 159 Derivative instruments Forward exchange
  contracts 17 139 12 020 5 119  Commodity derivatives 26 26   60 739 53 535
  6 045 1 159 Financial liabilities Non-derivative instruments (33 174) (19
  897) (4 859) (8 418) Long-term debt (16 395) (3 118) (4 859) (8 418)
  Short-term debt 23 (15) (15)   Trade payables and accrued expenses 28 (14
  510) (14 510)   Other payables 29 (2 032) (2 032)   Bank overdraft 16
  (222) (222)   Financial guarantees1 (554) (554)   (33 728) (20 451) (4
  859) (8 418) Derivative instruments Forward exchange contracts (16 678) (11
  741) (4 937)  Interest rate derivatives (21) (19) (2)  (50 427) (32 211) (9
  798) (8 418)


218 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Liquidity
  risk continued Cash flow hedges In certain cases, the group classifies its
  forward foreign currency contracts hedging highly probable forecast
  transactions as cash flow hedges. Where this designation is documented,
  changes in fair value are recognised in equity until the hedged transactions
  occur, at which time the respective gains or losses are transferred to the
  income statement (or hedged item on the statement of financial position) in
  accordance with the groups accounting policy. The expected future timing of
  the recycling of derivatives used for hedging on the income statement at 30
  June were as follows: Carrying value Rm Within one year Rm One to five years
  Rm More than five years Rm 2013 Derivative instruments  cash flow hedges
  Financial assets 34 15 10 9 Financial liabilities 5 2 1 2 2012 Derivative instruments
   cash flow hedges Financial assets 4 1 1 2 Financial liabilities 23 9 3 11
  Market risk Market risk is the risk arising from possible market price
  movements and their impact on the future cash flows of the business. The
  market price movements that the group is exposed to include foreign currency
  exchange rates, interest rates and oil and natural gas prices (commodity
  price risk). The group has developed policies aimed at managing the
  volatility inherent in these exposures which are discussed in the risks
  below. Foreign currency risk The groups transactions are predominantly
  entered into in the respective functional currency of the individual
  operations. However, the groups operations utilise various foreign
  currencies on sales, purchases and borrowings and consequently, are exposed
  to exchange rate fluctuations that have an impact on cash flows and financing
  activities. These operations are exposed to foreign currency risk in
  connection with contracted payments in currencies not in their individual functional
  currency. The translation of foreign operations to the presentation currency
  of the group is not taken into account when considering foreign currency
  risk. Foreign currency risks are managed through the groups financing
  policies and the selective use of forward exchange contracts, cross currency
  swaps and cross currency options. Changes in the foreign exchange rates also
  affect the groups income in connection with the translation of the income
  statements of foreign subsidiaries in South African Rand. Sasol does not
  hedge such exposure. The translation exposures arising from income statements
  of foreign subsidiaries are included in the analysis mentioned below. Forward
  exchange contracts are utilised primarily to reduce foreign currency exposure
  arising from imports into South Africa. Forward cover is required on both
  capital expenditure and imports (payables) in excess of US$50 000. This is an
  established policy of our group based on anticipated long-term trends and is
  designed to hedge our exposure in South Africa to exchange rate-based
  volatility in cash flows on both operating and capital expenditure. This
  policy enables us to more accurately forecast our cash flows for purchases
  for both capital items and operating materials thereby improving our
  management of both working capital and debt. The GEC sets intervention levels
  to specifically assess large forward cover amounts for long periods into the
  future, which have the potential to materially affect Sasols financial
  position. These limits are reviewed from time to time. The group also makes
  use of customer foreign currency accounts, where needed. The following
  significant exchange rates were applied during the year: Average rate Closing
  rate 2013 2012 2013 2012 Rand/Euro 11,46 10,42 12,85 10,34 Rand/US dollar
  8,85 7,78 9,88 8,17 Rand/Pound sterling 13,88 12,33 15,03 12,83


219 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Market risk continued The exposure of the groups financial assets and
  liabilities to currency risk is as follows: 2013 Total Rm Euro Rm US dollar
  Rm Pound sterling Rm Rand Rm Other1 Rm Long-term receivables 963  731  
  232 Trade receivables 4 630 601 3 292 79 22 636 Other receivables 143 1 99 9
   34 Cash restricted for use 3 517 806 1 464 1  1 246 Cash 11 619 4 292 6 590
  166 263 308 Exposure on external asset balances 20 872 5 700 12 176 255 285 2
  456 Forward exchange contracts (13 203) (46) (13 097) (60)   Net exposure
  on assets 7 669 5 654 (921) 195 285 2 456 Long-term debt (10 402) (210) (9
  851)   (341) Short-term debt (963)  (731)   (232) Trade payables and
  accrued expenses (1 978) (345) (1 291) (39) (30) (273) Other payables (672)
  (4) (223) (46) (13) (386) Bank overdraft (59)  (58)   (1) Exposure on
  external liability balances (14 074) (559) (12 154) (85) (43) (1 233) Foreign
  exchange contracts 13 843 894 3 734 231  8 984 Net exposure on liabilities
  (231) 335 (8 420) 146 (43) 7 751 Exposure on external balances 7 438 5 989 (9
  341) 341 242 10 207 Net exposure on balances between group companies 1 641 2
  731 (1 149) 223 (382) 218 Total net exposure 9 079 8 720 (10 490) 564 (140)
  10 425 1 Included in other is forward exchange contracts amounting to R7 891
  million (2012  R10 308 million) entered into to mitigate the foreign
  currency risk in respect of the capital carry obligation as well as the
  groups portion of capital commitments related to the Farrell Creek
  exploration and development asset.


220 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Market risk
  continued 2012 Total Rm Euro Rm US dollar Rm Pound sterling Rm Rand Rm Other1
  Rm Long-term receivables 693  494   199 Trade receivables 5 826 1 470 3
  645 95 8 608 Other receivables 1 120 153 897 8  62 Cash restricted for use 1
  458 105 158 3  1 192 Cash 7 548 3 474 3 535 100 214 225 Exposure on external
  asset balances 16 645 5 202 8 729 206 222 2 286 Forward exchange contracts (2
  425)  (2 217) (84)  (124) Net exposure on assets 14 220 5 202 6 512 122 222
  2 162 Long-term debt (2 501) (2 423) (77)   (1) Short-term debt (15)  (15)
     Trade payables and accrued expenses (1 581) (299) (930) (76) (16) (260)
  Other payables (850) (32) (746) (28) (7) (37) Bank overdraft (115)  (53) 
  (56) (6) Exposure on external liability balances (5 062) (2 754) (1 821)
  (104) (79) (304) Foreign exchange contracts1 14 216 1 097 2 507 136  10 476
  Net exposure on liabilities 9 154 (1 657) 686 32 (79) 10 172 Exposure on
  external balances 23 374 3 545 7 198 154 143 12 334 Net exposure on balances
  between group companies 687 2 470 (1 685) 170 (431) 163 Total net exposure 24
  061 6 015 5 513 324 (288) 12 497 1 Included in other is forward exchange
  contracts amounting to R7 891 million (2012  R10 308 million) entered into
  to mitigate the foreign currency risk in respect of the capital carry
  obligation as well as the groups portion of capital commitments related to
  the Farrell Creek exploration and development asset. Financial assets and
  liabilities foreign currency exposure to the total financial position
  including inter-company balances (R million)


221 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Sensitivity analysis A 10 percent strengthening of the rand on the groups
  exposure to foreign currency risk at 30 June would have decreased/(increased)
  either the equity or the income statement by the amounts below before the
  effect of tax. This analysis assumes that all other variables, in particular
  interest rates, remain constant and has been performed on the same basis for
  2012. 2013 2012 Equity Rm Income statement Rm Equity Rm Income statement Rm
  Euro 483 51 354 388 US dollar (818) 48 720 739 Pound sterling 34 11 15 20
  Rand 24  14 9 Other currencies 1 021 1 806 1 233 204 A 10 percent weakening
  in the rand against the above currencies at 30 June would have the equal but
  opposite effect on the above currencies to the amounts shown above, on the
  basis that all other variables remain constant.


222 Sasol annual
  financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol Limited
  group notes to the financials statements other disclosures continued 61
  Financial risk management and financial instruments continued Forward
  exchange contracts and cross currency swaps All forward exchange contracts
  are supported by underlying commitments or transactions, including those
  which have not been contracted for. Fair value of derivative financial
  instruments The fair value was calculated using valuation techniques based on
  observable inputs, either directly (i.e. as prices) or indirectly (i.e.
  derived from prices). This includes instruments valued using quoted market
  prices in active markets for similar instruments, quoted prices for identical
  or similar instruments in markets that are considered less than active or
  other valuation techniques where all significant inputs are directly or
  indirectly observable from market data. The resulting fair value
  gains/(losses) were determined by recalculating the daily forward rates for
  each currency using a forward rate interpolator model. The net market value
  of all forward exchange contracts at year end is calculated by comparing the
  forward exchange contracted rates to the equivalent year end market foreign
  exchange rates. The present value of these net market values are then
  calculated using the appropriate currency specific discount curve. The
  following forward exchange contracts and cross currency swaps were held at 30
  June: Contract foreign currency amount 2013 million Contract amount  Rand
  equivalent 2013 Rm Average rate of exchange 2013 (calculated) Estimated fair
  value gains 2013 Rm Contract foreign currency amount 2012 million Contract
  amount  Rand equivalent 2012 Rm Average rate of exchange 2012 (calculated)
  Estimated fair value losses 2012 Rm Forward exchange contracts Transactions
  including commitments which have been contracted for Derivative instruments 
  cash flow hedges Imports  capital Euro 7 82 11,71 5 10 102 10,62 (2) US
  dollar 1 7 7,00   4 8,49  Pound sterling  3    1 13,41  92 5 107 (2)
  Imports  goods Euro      4 10,26  US dollar 29 278 9,59 4     278
  4 4  Other payables (liabilities) Euro      1 10,34  US dollar    
   2 8,28  Other currencies  US dollar equivalent     6 9 1,37    12
  


223 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Forward exchange contracts continued Contract foreign currency amount 2013
  million Contract amount  Rand equivalent 2013 Rm Average rate of exchange
  2013 (calculated) Estimated fair value (losses)/ gains 2013 Rm Contract
  foreign currency amount 2012 million Contract amount  Rand equivalent 2012
  Rm Average rate of exchange 2012 (calculated) Estimated fair value (losses)/
  gains 2012 Rm Derivative instruments  held for trading Imports  capital
  Euro 6 84 14,00 (1) 5 49 10,57 (1) US dollar 2 22 11,00 2 5 41 8,18 1 Other
  currencies  US dollar equivalent     4 30 7,76 2 106 1 120 2 Imports 
  goods Euro 15 195 13,00 1 12 131 10,58 (2) US dollar 241 2 429 10,08 (47) 9
  76 8,30 (1) Pound sterling 7 101 14,43  1 6 12,82  Other currencies  US
  dollar equivalent 1 6 6,00  2 20 8,47  2 731 (46) 233 (3) Exports Euro 3 34
  11,33    10,34  US dollar 84 830 9,88 (2) 40 322 8,16  Pound sterling 4
  61 15,25  6 79 12,83  Other currencies  US dollar equivalent 10 95 9,50 
  3 28 8,26  1 020 (2) 429  Other payables (liabilities) Euro 2 29 14,50 (1)
  1 13 10,67  US dollar 953 8 942 9,38 705 2 14 8,52  Pound sterling 1 17
  17,00   1 13,13  Other currencies  US dollar equivalent 906 7 488 8,26
  903 1 264 10 295 8,15 470 16 476 1 607 10 323 470 Other receivables (assets)
  Euro 1 17 17,00 5  6 10,73 6 US dollar 42 411 9,79 (8)  16 8,33 16 Pound
  sterling  1  1   13,12  Other currencies  US dollar equivalent  35 
  33  26 8,17 24 464 31 48 46


224 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Forward
  exchange contracts continued Contract foreign currency amount 2013 million
  Contract amount  Rand equivalent 2013 Rm Average rate of exchange 2013
  (calculated) Estimated fair value (losses)/ gains 2013 Rm Contract foreign
  currency amount 2012 million Contract amount  Rand equivalent 2012 Rm
  Average rate of exchange 2012 (calculated) Estimated fair value (losses)/
  gains 2012 Rm Forward exchange contracts Transactions including commitments
  which have not been contracted for Derivative instruments  cash flow hedges
  Imports Euro 20 255 12,75 12 43 473 10,92 (14) US dollar 22 210 9,55 13 11 88
  8,19 2 Pound sterling  1    1 13,29  Other currencies  US dollar
  equivalent     1 4 8,13  466 25 566 (12) Other payables (liabilities)
  Euro     3 36 10,44 (1)   36 (1)


225 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Forward exchange contracts continued Contract foreign currency amount 2013
  million Contract amount  Rand equivalent 2013 Rm Average rate of exchange
  2013 (calculated) Estimated fair value (losses)/ gains 2013 Rm Contract
  foreign currency amount 2012 million Contract amount  Rand equivalent 2012
  Rm Average rate of exchange 2012 (calculated) Estimated fair value (losses)/
  gains 2012 Rm Derivative instruments  held for trading Imports Euro 16 213
  13,31 2 1 14 10,68  US dollar 15 141 9,40 8 168 1 417 8,44 (45) Pound
  sterling 1 9 9,00  5 59 12,47 2 Other currencies  US dollar equivalent 1 9
  9,00      372 10 1 490 (43) Exports US dollar 302 2 930 9,70 (66) 223 1
  840 8,24 14 Pound sterling      5 12,88  Other currencies  US dollar
  equivalent     12 96 8,16 (1) 2 930 (66) 1 941 13 Other payables
  (liabilities) Euro 3 33 11,00 1 30 319 10,72 (7) US dollar 11 117 10,64 1 112
  915 8,18 2 Pound Sterling 7 99 14,14 4 5 69 13,16  Other currencies  US
  dollar equivalent 2 21 10,50 (1) 6 54 9,03 (2) 270 5 1 357 (7) Other
  receivables (assets) US dollar     9 70 7,91 (2)   70 (2)


226 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Forward
  exchange contracts continued The maturity profile of contract amounts of
  forward exchange contracts and cross currency swaps at 30 June were as
  follows: Contract amount Rm Within one year Rm One to two years Rm Two to
  three years Rm 2013 Forward exchange contracts Transactions including
  commitments which have been contracted for Imports  capital Euro 166 166  
  US dollar 29 29   Pound sterling 3 3   198 198   Imports  goods Euro
  195 195   US dollar 2 707 2 707   Pound sterling 101 101   Other
  currencies  US dollar equivalent 6 6   3 009 3 009   Exports Euro 34 34
    US dollar 830 830   Pound sterling 61 61   Other currencies  US
  dollar equivalent 95 95   1 020 1 020   Other payables (liabilities) Euro
  29 29   US dollar 8 942 8 941 1  Pound sterling 17 17   Other currencies
   US dollar equivalent 7 487 4 627 2 860  16 475 13 614 2 861  Other
  receivables (assets) Euro 17 17   US dollar 411 411   Pound sterling 1 1
    Other currencies  US dollar equivalent 35 14 21  464 443 21 


227 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Forward exchange contracts continued Contract amount Rm Within one year Rm
  One to two years Rm Two to three years Rm Transactions including commitments
  which have not been contracted for Imports Euro 468 464 4  US dollar 351 315
  36  Pound sterling 10 10   Other currencies  US dollar equivalent 9 9  
  838 798 40  Other payables (liabilities) Euro 33 30 3  US dollar 117 104 13
   Pound sterling 99 62 37  Other currencies  US dollar equivalent 21 21  
  270 217 53  Exports US dollar 2 930 2 930   2 930 2 930  


228 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Forward
  exchange contracts continued Contract amount Rm Within one year Rm One to two
  years Rm Two to three years Rm 2012 Forward exchange contracts Transactions
  including commitments which have not been contracted for Imports  capital
  Euro 151 151   US dollar 45 10 35  Pound sterling 1 1   Other currencies
   US dollar equivalent 30 30   227 192 35  Imports  goods Euro 135 135 
   US dollar 76 76   Pound sterling 6 6   Other currencies  US dollar
  equivalent 20 20   237 237   Exports Euro 322 322   US dollar 79 79  
  Pound sterling 28 28   429 429   Other payables (liabilities) Euro 14 14
    US dollar 16 16   Pound sterling 1 1   Other currencies  US dollar
  equivalent 10 304 5 475 4 168 661 10 335 5 506 4 168 661 Other receivables
  (assets) Euro 6 6   US dollar 16 16   Other currencies  US dollar equivalent
  26 13 13  48 35 13 


229 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Forward exchange contracts continued Contract amount Rm Within one year Rm
  One to two years Rm Two to three years Rm Transactions including commitments
  which have not been contracted for Imports Euro 487 454 33  US dollar 1 505
  1 470 35  Pound sterling 60 60   Other currencies  US dollar equivalent 4
  4   2 056 1 988 68  Exports US dollar 1 840 1 840   Pound sterling 5 5 
   Other currencies  US dollar equivalent 96 96   1 941 1 941   Other
  payables (liabilities) Euro 354 351 3  US dollar 916 914 2  Pound sterling
  69 69   Other currencies  US dollar equivalent 54 54   1 393 1 388 5 
  Other receivables (assets) US dollar 70 70   70 70  


230 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Interest
  rate risk Fluctuations in interest rates impact on the value of short-term
  investments and financing activities, giving rise to interest rate risk.
  Exposure to interest rate risk is particularly with reference to changes in
  South African, European and US interest rates. The groups policy is to
  borrow funds at floating rates of interest as this is considered to give
  somewhat of a natural hedge against commodity price movements, given the
  correlation with economic growth (and industrial activity) which in turn
  shows a high correlation with commodity price fluctuation. In certain
  circumstances, the group uses interest rate swap contracts to manage its
  exposure to interest rate movements. The debt of the group is structured on a
  combination of floating and fixed interest rates. The benefits of fixing or
  capping interest rates on the groups various financing activities are
  considered on a case-by-case and project-by-project basis, taking the
  specific and overall risk profile into consideration. For further details on
  long-term debt refer note 17 and note 9 for long-term receivables. In respect
  of financial assets, the groups policy is to invest cash at floating rates
  of interest and cash reserves are to be maintained in short-term investments
  (less than one year) in order to maintain liquidity, while achieving a
  satisfactory return for shareholders. At the reporting date, the interest
  rate profile of the groups interest-bearing financial instruments was:
  Carrying value 2013 Rm 2012 Rm Variable rate instruments Financial assets 31
  430 17 109 Financial liabilities (9 605) (10 773) 21 825 6 336 Fixed rate
  instruments Financial assets 659 1 171 Financial liabilities (14 680) (4 823)
  (14 021) (3 652) Interest profile (variable: fixed rate as a percentage of
  total interest bearing) 73:17 82:18 Cash flow sensitivity for variable rate
  instruments Financial instruments affected by interest rate risk include
  borrowings, deposits, derivative financial instruments, trade receivables and
  trade payables. A change of one percent in the prevailing interest rate in
  that region at the reporting date would have increased/(decreased) the income
  statement by the amounts shown below before the effect of tax. The
  sensitivity analysis has been prepared on the basis that all other variables,
  in particular foreign currency rates, remain constant and has been performed
  on the same basis for 2012. Income statement  1% point increase South Africa
  Rm Europe Rm USA Rm Other Rm 30 June 2013 (37) (23) (87) (109) 30 June 2012
  (31) (8) (37) 48 Income statement  1% point decrease South Africa Rm Europe*
  Rm USA* Rm Other Rm 30 June 2013 37    30 June 2012 31 8   A 1% point
  decrease in these interest rates at 30 June would have the equal but opposite
  effect for Rand exposure. * A decrease of 1% in interest rates for the United
  States of America and Europe will not have an effect on the income statement
  as it is not reasonably possible that the repo interest rates will decrease
  below 0% in the next financial year.


231 Other
  disclosures Liquidity and capital resources Equity structure Results of
  operations Current liabilities Non-current liabilities Current assets
  Non-current assets Changes to comparative information SASOL AFS 7 OCT  PROOF
  final 2 61 Financial risk management and financial instruments continued
  Interest rate risk continued The following interest rate derivative contracts
  were in place at 30 June: Contract amount  Rand equivalent 2013 Rm Average
  fixed rate 2013 % Expiry 2013 Estimated fair value losses 2013 Rm Contract
  amount  Rand equivalent 2012 Rm Average fixed rate 2012 % Expiry 2012
  Estimated fair value losses 2012 Rm Interest rate derivatives Derivative
  instruments  cash flow hedges Pay fixed rate, receive floating rate Rand  
   430 8,1 14/12/2012 (5) Derivative instruments  held-for-trading Pay fixed
  rate, receive floating rate Euro 108 2,4 25/05/2016 (4) 104 2,4 25/05/2016
  (4) Euro    244 3,6 31/12/2018 (12) 108 (4) 348 (16) Receive fixed rate,
  pay floating rate Euro 273 3,6 19/12/2018 (13)    Contract amount Rm
  Within one year Rm One to two years Rm Two to three years Rm Three to four
  years Rm Four to five years Rm More than five years Rm Interest rate
  derivatives 2013 Derivative instruments  held-for-trading Pay fixed rate,
  receive floating rate Euro 108 22 22 64    Receive fixed rate, pay
  floating rate Euro 273 86 71 55 39 22  2012 Derivative instruments  cash
  flow hedges Pay fixed rate, receive floating rate Rand 430 430     
  Derivative instruments  held-for-trading Pay fixed rate, receive floating
  rate Euro 348 262 17 17 52  


232 Sasol
  annual financial statements 2013 AFS SASOL AFS 7 OCT  PROOF final 2 Sasol
  Limited group notes to the financials statements other disclosures continued
  61 Financial risk management and financial instruments continued Commodity
  price risk The group makes use of derivative instruments, including commodity
  swaps, options and futures contracts of short duration as a means of
  mitigating price and timing risks on crude oil purchases and sales. In
  effecting these transactions, the business units concerned operate within
  procedures and policies designed to ensure that risks, including those
  relating to the default of counterparties, are minimised. In 2011, the group
  entered into a zero cost collar for approximately 30% of Sasol Synfuels
  production and 30% of Sasol Petroleum Internationals West African output for
  the final quarter of 2011. The zero cost collar expired on 15 June 2011. The
  hedge provided downside protection should the monthly average dated Brent
  crude oil price have decreased below US$85 per barrel on the hedged portion
  of production. Conversely, Sasol will have incurred opportunity losses on the
  hedged portion of production should the monthly average oil price have
  exceeded a volume weighted average of US$172,77 per barrel. Together with the
  groups other risk mitigation initiatives, such as cost containment, cash
  conservation and capital prioritisation, the groups hedging strategy is
  considered in conjunction with these initiatives. The situation is monitored
  regularly to assess the appropriateness of oil price hedging to improve the
  stability and predictability of cash flows as part of Sasols risk management
  activities. For the 2012 and 2013 financial years, Sasol did not hedge as in
  the past as we did not consider there to have been value in the zero cost
  collars available in the market at this time. The situation is monitored
  regularly to assess when a suitable time might be to enter into an
  appropriate hedge again in the future. Dated Brent crude prices applied
  during the year: Dated Brent crude 2013 US$ 2012 US$ High 119,03 128,14
  Average 108,66 112,42 Low 95,51 88,69 The following commodity derivative
  contracts were in place at 30 June: Contract amount 2013 Rm Within one year
  2013 Rm Contract amount 2012 Rm Within one year 2012 Rm Commodity derivatives
  Futures Crude oil 14 14 26 26 Sensitivity analysis We continue to remain more
  cautious on the short-term outlook and believe that we could see prices
  stabilising in the medium-term. Our view is that in the next five years, crude
  oil prices will settle below US$110/b, however, in the longer term, we expect
  the crude oil price to increase. For forecasting purposes, we estimate that
  for every US$1/b increase in the annual average crude oil price, group
  operating profit for the year will increase by approximately US$67,4 million
  (R610 million) during 2013. This estimate is off a base of US$108/b crude oil
  price and a rand/US dollar exchange rate of R9,05. It should be noted that in
  the volatile environment that we are currently experiencing, these
  sensitivities could be materially different depending on the crude oil price,
  exchange rates, product prices and volumes. A 10 percent increase of the
  commodity prices at 30 June would have increased the fair value of commodity
  derivatives recognised in other operating costs in the income statement by
  the amounts shown below, before the effect of tax. This analysis assumes that
  all other variables remain constant and should not be considered predictive
  of future performances. The calculation has been performed on the same basis
  for 2012. 2013 Rm 2012 Rm Crude oil 1 3 A 10 percent decrease in the
  commodity prices at 30 June would have the equal but opposite effect on the
  fair value amounts shown above, on the basis that all other variables remain
  constant.