Seeking Alpha

Sasol seeks $5B-$7B in financing for Louisiana petrochemical plant

Sasol (SSL) needs to raise $5B-$7B, which may include selling bonds in the U.S., to fund a petrochemical plant in Louisiana that would start up in 2017, CEO David Constable says.

The hunt for cash comes against a backdrop of rising borrowing costs for emerging market companies that drove SSL’s Nov. 2022 bond yield to a record 6.2% on Sept. 5 before falling 27 bps since then.

SSL is trying to finance a cracker which will convert ethane natural gas to ethylene, which would precede a $14B facility to convert gas to liquid fuel; it will make the final investment decision on the cracker in 2014 and on the gas-to-liquids plant 18-24 months later.

Comments (1)
  • The Geoffster
    , contributor
    Comments (4276) | Send Message
    SSL has great gas to liquid technology. Exports should significantly grow revenues.
    16 Sep 2013, 08:10 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs