Long-term debt (Tables)

12 Months Ended

Jun. 30, 2020

	2020		2019*
for the year ended 30 June	Rm		Rm
Total long-term debt	167 197		129 569
Short-term portion	(19 686	)	(2 219	)
	147 511		127 350
Analysis of long-term debt At amortised cost
Secured debt**	4 608		6 602
Unsecured debt***	163 216		123 555
Unamortised loan costs	(627	)	(588	)
	167 197		129 569
Reconciliation
Balance at beginning of year	129 569		101 830
Transfer of operating lease straight-lining under IAS 17 on initial application of IFRS 16	(1 027	)	—
Adjusted amount at 1 July 2019	128 542		101 830
Loans raised***	36 487		93 884
Loans repaid****	(28 335	)	(69 655	)
Modification loss/(gain)*****	1 193		(112	)
Interest accrued	1 003		917
Amortisation of loan costs	135		725
Transfer to disposal groups held for sale**	(1 551	)	—
Translation of foreign operations	29 723		1 980
Balance at end of year	167 197		129 569
Interest-bearing status
Interest-bearing debt	167 197		128 624
Non-interest-bearing debt	—		945
	167 197		129 569
Maturity profile
Within one year	19 686		2 219
One to five years	133 179		112 676
More than five years	14 332		14 674
	167 197		129 569
Business segmentation
Energy	2 396		5 085
Base Chemicals	3 076		2 615
Performance Chemicals	610		395
Group Functions	161 115		121 474
Total operations	167 197		129 569

*2019 finance leases under IAS 17 were moved to note 18 Lease liabilities.

**Reduction in secured debt mainly due to Rompco debt that was transferred to liabilities held for sale. Refer note 12.

***Loans raised to fund US growth projects.

****2020 relate mainly to US$1,5 billion repayments on the revolving credit facility in Sasol Financing International. 2019 relate mainly to the settlement of the LCCP term loan, discharging the completion guarantee issued in respect of the LCCP and the settlement of the Inzalo Public debt.

*****2020 relates to the loan covenant amendment. Refer to page 47.

		2020 Rm		2019 Rm
Total long-term debt (before unamortised loan costs)*		160 425		133 428

*The difference in the fair value of long-term debt when compared to the carrying value is mainly due to the prevailing market price of the debt instruments.

17Long-term debt continued

Terms of repayment

Security

Business

Currency

Interest rate at 30
June 2020**

2020
Rm

2019
Rm

Secured debt

Repayable in quarterly instalments ending August 2024

Secured by property, plant and equipment with a carrying value of R4 999 million (2019 — R4 183 million).

Base Chemicals

US dollar

Libor + 2,5%

3 209

2 735

Repayable in bi-annual instalments ending June 2022

Secured by property, plant and equipment with a carrying value of R4 450 million (2019 — R4 941 million)

Energy (ROMPCO)*

Rand

—

2 590

Repayable in bi-annual instalments ending February 2030

Secured by shares, property, plant and equipment with a carrying value of R1 821 million (2019 — R1 480 million)

Energy (CTRG)

US dollar

Libor + 5,5%

1 226

1 093

Various

173

184

4 608

6 602

*The Rompco debt was transferred to disposal groups held for sale. Refer note 12.

**Unless specified interest rate remained unchanged year-on-year.

Terms of repayment	Business	Currency	Interest rate at 30 June 2020**	2020 Rm		2019 Rm
Unsecured debt Various repayment terms ending April 2031	Various	Various	Various	949		1 779
Various repayment terms	Energy	Rand	Fixed 8%	659		626
Repayable in August 2022	Group Functions (Sasol Financing)	Rand	Variable 3 months Jibar + 1,3%	2 197		—
Various repayment terms from November 2021 November 2024(1),(2),(3)	Group Functions US dollar to (Sasol Financing International)		Fixed 4,5% and variable Libor + 1,60% to 2,90% (2019 — Libor +1%)	88 210		63 548
Various repayment terms from June 2024 to September 2028(3),(4)	Group Functions US dollar (Sasol Financing USA)		Fixed 5,8% to 6,5% and variable Libor + 1,6% to 2% (2019 — Libor + 1% — 1,4%)	71 201		57 602
Total unsecured debt				163 216		123 555
Total long-term debt				167 824		130 157
Unamortised loan costs (amortised over period of debt using the effective interest rate method)				(627	)	(588	)
				167 197		129 569
Short-term portion of long-term debt				(19 686	)	(2 219	)
				147 511		127 350

(1)	Included in this amount is the US$1 billion (R17 billion) bond, with a fixed interest rate of 4,5% which is listed on the New York Stock Exchange and is recognised in Sasol Financing International Limited, a 100% owned subsidiary of the group. Sasol Limited has fully and unconditionally guaranteed the bond. There are no restrictions on the ability of Sasol Limited to obtain funds from the finance subsidiary by dividend or loan. The variable interest rate debt relates to the US$3,9 billion (R67,6 billion) revolving credit facility and the US$150 million (R2,6 billion) term loan.

(2)	During the year Sasol Financing International Limited, drew down US$1,9 billion to fund mainly the LCCP and repaid US$1,5 billion on its revolving credit facility.

(3)	Increases mainly due to translation of foreign operations.

(4)	Included in this amount is the US$2,25 billion (R39,6 billion) bonds, with fixed interest rates of 5,88% and 6,5% which are listed on the New York Stock Exchange and is recognised in Sasol Financing USA LLC, a 100% owned subsidiary of the group. Sasol Limited has fully and unconditionally guaranteed the bond. There are no restrictions on the ability of Sasol Limited to obtain funds from the finance subsidiary by dividend or loan. The variable interest rate debt relates to the US$1,65 billion (R28,6 billion) term loan and US$150 million (R2,6 million) revolving credit facility.

Schedule of liquidity available from borrowings

			Contract amount	Total Rand equivalent	Utilised facilities	Available facilities
30 June 2020	Expiry date	Currency	million	Rm	Rm	Rm
Banking facilities and debt arrangements
Group treasury facilities
Commercial paper (uncommitted)(1)	None	Rand	8 000	8 000	2 176	5 824
Commercial banking facilities(2)	None	Rand	9 000	9 000	4 750	4 250
Revolving credit facility(3)	Various	US dollar	3 900	67 571	67 138	433
Revolving credit facility	June 2024	US dollar	150	2 599	2 599	—
Debt arrangements	November 2022	US dollar	1 000	17 326	17 326	—
US Dollar Bond	March 2024	US dollar	1 500	25 989	25 989	—
US Dollar Bond	September 2028	US dollar	750	12 995	12 995	—
US Dollar Bond	June 2024	US dollar	1 650	28 588	28 588	—
US Dollar term loan	June 2021	US dollar	150	2 599	2 599	—
US Dollar term loan	June 2021	US dollar	1 000	17 326	17 326	—
US Dollar Syndicated Loan facility(4)
Other Sasol businesses
Specific project asset finance
Energy — Clean Fuels II (Natref)	Various	Rand	1 838	1 838	1 838	—
Debt arrangements
Other debt arrangements		Various	—	—	6 030	—
					189 354	10 507
Available cash excluding restricted cash						32 287
Total funds available for use						42 794

Total utilised facilities						189 354
Accrued interest						1 003
Unamortised loan cost						(627)
Total debt including accrued interest and unamortised loan cost						189 730
Comprising
Long-term debt						147 511
Short-term debt(4)						41 574
Short-term debt						21 888
Short-term portion of long-term debt						19 686
Bank overdraft						645
						189 730

(1)In August 2019, Sasol issued its inaugural paper to the value of R2 176 million in the local debt market under the current Domestic Medium Term Note (DMTN) programme, at 130 basis points above 3 month Jibar, repayable in August 2022.

(2)These commercial banking facilities are included in short-term debt.

(3)The RCF is available until November 2024, with total availability reducing to US$3,495 billion by November 2022 and to US$2,845 billion by November 2023.

(4)In November 2019 Sasol secured a US$1 billion syndicated loan facility for up to 18 months. The syndicated loan is included in short-term debt and matures in June 2021.