By Liesl Peyper and Suren Naidoo.
Transnet has agreed to pay R4.3 billion to Sasol Oil in full and final settlement of all legal disputes between the two parties, JSE-listed petrochemicals giant Sasol announced in a Sens statement on Friday.
Sasol confirmed that the payment, which excludes Vat, is expected to be made on or before 30 June 2025.
It follows a judgment by the High Court in June 2024 in favour of Sasol and TotalEnergies, ordering Transnet to pay R3.9 billion plus interest.
Sasol’s share price is likely to be further buoyed when the JSE opens on Monday, as the announcement was made just as the market closed on Friday.
While Sasol’s shares closed over 2% down on the day, it ended the week almost 20% up, as the market cheered its Capital Markets Day and strategy update earlier in the week.
Meanwhile, Transnet has applied for leave to appeal the judgment, which is currently under consideration by the Supreme Court of Appeal.
As a result, the enforcement of the payment was suspended pending the outcome of the appeal.
In a separate legal matter, Transnet instituted a claim against Sasol in August 2024, seeking to recover R855 million (excluding Vat and interest). Judgment in that case is still pending.
Transnet’s R4.3 billion settlement with Sasol on Friday comes just a few days after Finance Minister Enoch Godongwana announced a new R51 billion government guarantee for the cash-strapped ports, rail and pipelines operator. Ratings agency Moody’s recent warned about Transnet’s financial position.