Petrochemical firm Sasol on Thursday declared force majeure on the supply and export of certain products because of the strike at state-owned logistics firm Transnet.
Transnet workers went on strike for nearly two weeks from October 6 over a wage dispute, paralysing freight rail and port operations and throttling exports. The labour action was called off this week after an agreement was reached following mediation.
Sasol, the world's biggest producer of fuel products from coal and a chemicals manufacturer, said the strike affected the movement of raw materials and products between its plants and ports.
“As a result, Sasol has declared force majeure on the local supply and export of certain chemical products. Production rates at selected plants in Secunda and Sasolburg have been impacted,” Sasol said in a statement.
The company said it was not yet able to quantify the impact on its South African value chains “as the extent and timing to clear the backlogs across the port and rail system remain uncertain”.
Sasol's Natref fuel refinery had not suffered any disruption during the strike, it said.
Reuters
Sasol declares force majeure for some items because of Transnet strike
Image: Freddy Mavunda
Petrochemical firm Sasol on Thursday declared force majeure on the supply and export of certain products because of the strike at state-owned logistics firm Transnet.
Transnet workers went on strike for nearly two weeks from October 6 over a wage dispute, paralysing freight rail and port operations and throttling exports. The labour action was called off this week after an agreement was reached following mediation.
Sasol, the world's biggest producer of fuel products from coal and a chemicals manufacturer, said the strike affected the movement of raw materials and products between its plants and ports.
“As a result, Sasol has declared force majeure on the local supply and export of certain chemical products. Production rates at selected plants in Secunda and Sasolburg have been impacted,” Sasol said in a statement.
The company said it was not yet able to quantify the impact on its South African value chains “as the extent and timing to clear the backlogs across the port and rail system remain uncertain”.
Sasol's Natref fuel refinery had not suffered any disruption during the strike, it said.
Reuters
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