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Sasol Builds New Plant to Double Octene Production.


JOHANNESBURG, South Africa -- Sasol (NYSE:SSL)(JSE
JSE
See: Johannesburg Stock Exchange
:SOL) today announced that construction of a 100 000 tons per annum 1-Octene plant in Secunda in South Africa was underway. The facility is scheduled to go into production during the second half of 2007 and will double Sasol's existing 1-Octene output to 200 000 tons a year.

Technology group Linde AG was awarded the "detail engineering, procurement and construction" contract.

"This new facility comes on the back of growing global demand from plastics manufacturers for this hydrocarbon molecule that, among others, gives special performance features such as elasticity, flexibility, impact resistance and strength to plastic consumer products," says Sasol deputy CE Trevor Munday.

The new plant is the third 1-Octene facility to be constructed by Linde AG. Two 1-Octene plants with a combined capacity of about 100 000 tons a year are currently operated by Sasol. The new plant will be the sixth Alpha Olefin Plant that Linde AG will be erecting within Sasol's Secunda complex, which is situated approximately 150 km east of Johannesburg.

"Linde and Sasol started their business and technology cooperation more than 50 years ago. The two companies have through the years perfected their integration between R&D, pilot plant, engineering and project execution teams. The Alpha-Olefins venture, which began 15 years ago, is a unique success story and this project is only the last element of a long chain. Linde is very proud to be associated with this great South African enterprise," says Dr Aldo Belloni, member of the executive board of Linde AG, and responsible for the business segment, Gas and Engineering.

Sasol is a leading producer of products such as octene, pentene and hexene for use as chemical intermediates in the production of plasticizer alcohols, polymers, polyethylene, fatty acids, detergent alcohol and lubrication oil additives.

Octene is often used in combination with hexene and pentene to engineer a host of specific characteristics such as strength, thinness, elasticity and puncture resistance in products ranging from dense and durable plastic for wire coatings, automotive interiors, raincoats and strong garbage bas to low-density, high-quality shopping bags, cling-wrap film and myriad related consumer plastics.

Sasol is an integrated oil and gas company with substantial chemical interests. Based in South Africa and operating worldwide, Sasol is listed on the NYSE and JSE stock exchanges. We are the leading provider of liquid fuels in South Africa and a major international producer of chemicals. Sasol uses proprietary Fischer-Tropsch technologies for the commercial production of synthetic fuels and chemicals from low-grade coal and natural gas. We manufacture more than 200 fuel and chemical products that are sold worldwide. In South Africa we also operate coal mines to provide feedstock for our synthetic fuels plants. Sasol operates the only inland crude oil refinery in South Africa. The group produces crude oil in offshore Gabon, supplies Mozambican natural gas to end-user customers and petrochemical plants in South Africa, and with partners is developing gas-to-liquids fuel joint ventures in Qatar and Nigeria. Internet address: www.sasol.com
COPYRIGHT 2006 Business Wire
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Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Comment:Sasol Builds New Plant to Double Octene Production.
Publication:Business Wire
Geographic Code:6SOUT
Date:Jan 16, 2006
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