Avior Capital Markets - Sasol Limited (103M) Sasol | IEA reaffirms American growth outlook

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Avior Capital Markets

Wade Napier

Sasol | IEA reaffirms American growth outlook

The International Energy Agency (IEA) released its annual oil market analysis yesterday to coincide with the opening of CERAWeek 2019. We highlight the following from the report covering 2018 to 2024:

â€¢ No signs of peak oil;
â€¢ US shale will dominate upstream supply additions;
â€¢ OPEC will lose market share.

In our view, IEA's update does not change the narrative for medium-term oil prices. Maintaining our oil price forecasts implies SOL's investment case remains underpinned by its ability to succssfully ramp-up Lake Charles.

12/03/2019 8 EN

Underlying

Sasol Limited

Sasol is engaged in manufacturing and marketing of liquid fuels, gas and chemicals. Co. adds value to coal, oil and gas reserves, using these feedstocks to produce liquid fuels, fuel components and chemicals. Co. mines coal and refines imported crude oil and retails liquid fuel products in South Africa, and produces gas and condensate in Mozambique and oil in Gabon. Co. also supplies fuels to oil companies in South Africa and others in South Africa and sub-Saharan Africa. Co. maintains its chemical manufacturing and marketing operations worldwide. Co. divides its operations into three focused business clusters: South African Energy Cluster, International Energy Cluster and Chemical Cluster.

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ZAE000006896 Johannesburg Stock Exchange South Africa

Provider

Avior Capital Markets

Avior is a globally recognised capital markets research and trading firm, with the broadest research coverage within the region, with 100+ SA and 20+ SSA companies under coverage. Avior services clients from offices in London, Cape Town and Johannesburg.

Our research quality is consistently recognised in local and global surveys, with 18 analysts currently rated in their respective sectors (FM 2017). Value add through in-depth, innovative, high quality and consistent research with comprehensive underlying fundamental modelling supported by regular analyst and roadshow interactions.

Avior has proven that by working closely with our clients we can mutually develop dominant positions in certain sectors, going from strength to strength. Avior has a dedicated ESG team, having been ranked #1 in Corporate Governance research since 2008.

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Analysts

Wade Napier

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