Sasol Delays FID on Louisiana GTL Project

摘要

Sasol has delayed a final investment decision on a proposed $14 billion gas-to-liquids (GTL) project in Louisiana amid the current oil pricing climate, according to a company announcement. The FID was originally slated for 2016, but Sasol, whose alternative fuels business is predicated upon an attractive arbitrage relative to conventional petroleum-based fuels, will conserve cash during 2015 through a variety of measures, perhaps including suspending its dividend. Sasol's share price has tumbled 34% since June as oil prices fell. The company statement said that Sasol will seek to identify other cost-cutting opportunities in the next 30 months.