SASOL INZALO: THE DAWN OF A NEW ERA FOR SUSTAINED BROAD-BASED BEE

25 March 2008

Sasol today announced the final terms of its groundbreaking R26bn broad-based Black Economic Empowerment (BEE) transaction, the largest to date. This will give millions of ordinary South Africans the opportunity to own a part of Sasol and benefit from its success, and will create a legacy through major investment in skills development which is critical to our economy.

Why are we doing the transaction?

Sasol's CE, Pat Davies says "Sasol is truly committed to South Africa's transformation and wants to make broad-based economic empowerment a reality. We will make a difference by creating significant economic opportunity for more than one million potential beneficiaries ranging from individuals to rural women's groups who can invest in Sasol. We also believe that sustaining strong economic growth is largely dependent on providing the majority of South Africans with the opportunity to develop the skills needed to build our nation."

What makes this transaction unique?

Investors will participate in ownership of 10% equity in Sasol Limited and benefit from Sasol's domestic and international growth. The transaction is unique in that it is affordable and accessible to a wide range of participants including the black public. The true spirit of broad-based empowerment is reflected in the inclusive structure of the transaction with its four categories of participation and has been made possible through extensive engagement with unions, government, major shareholders, the National Empowerment Fund and other parties.

Who participates?

The BEE participants who will acquire indirect and/or direct ownership in Sasol's issued share capital, with full economic and voting rights, are: Black Public (3,0%), BEE groups selected by Sasol (1,5%), Sasol Employees (4,0%) and the Sasol Inzalo Foundation (1,5%).

The black public invitation is designed to meet the needs of different investors through two invitations, one being funded where a small cash contribution is required and one being a cash purchase alternative. Both will accommodate investors ranging from individuals, companies, partnerships or trusts, to informal groups such as stokvels, church groups and families. Sasol has set itself the goal of reaching as many people as possible and hopes that anywhere from 100 000 to 200 000 shareholders will participate through this invitation. Sasol has been working closely with the National Empowerment Fund (NEF) which has valuable experience in reaching a broad base of potential investors.

Selected BEE groups fall into two categories, those currently involved in Sasol's business as suppliers, customers, franchisees and unions, as well as groups focusing on broader empowerment objectives such as community upliftment projects and women's groups. A comprehensive process to identify appropriate partners for this category is nearing completion. 86 BEE groups have already accepted an invitation to participate.

The Employee Scheme will broaden ownership in Sasol to almost 27 000 employees, 60% of whom are black. Broadening employee ownership in Sasol will spread the benefits of a significant portion of the BEE transaction among individuals who contribute to the sustained success of our company.

Reflecting Sasol's ongoing commitment to skills development and capacity building, the Sasol Inzalo Foundation will focus its efforts on the development of critical skills in maths, science and technology. "This Foundation is an extension of Sasol's long-standing tradition of giving back to the community through, among others, artisan training programmes, bursaries, co-operation agreements with tertiary institutions and other sponsorships", says Sasol Executive Director, Nolitha Fakude.

"Inzalo" is a powerful word signifying birth, creation of life and new beginnings and will usher in a new era of broad-based share ownership, and give momentum to skills development and economic capacity building. "This transaction bears testimony to Sasol's commitment to help redress the historic exclusion of the majority of our citizens from wealth creation. Black people from all walks of life can now take ownership in a successful global company geared to grow their investment and wealth", says Nolitha Fakude.

A general meeting of shareholders will take place at 09:00 on 16 May 2008, in Rosebank, to approve and pass the resolutions that are required to implement the Sasol Inzalo transaction.

Highlights

• 10% equity ownership of Sasol through the Sasol Inzalo BEE Transaction
• 63,1 million shares valued at R26 billion - the single largest broad-based BEE transaction to date
• Facilitation of the transaction is in line with market norms
• Participants will be employees, the Sasol Inzalo Foundation, black BEE groups and the black public
• Sasol Inzalo Foundation will facilitate skills development and capacity building in the critical areas of mathematics, science and technology
• Meaningful long-term benefits to be spread widely among black South Africans, primarily in the lower income groups and particularly women
• Participants will benefit from Sasol's domestic and international growth

ENDS