Sasol flags loss after $3 billion writedowns

(Reuters) Sasol Ltd will report a full-year loss after writing down $3 billion in the carrying value of its chemicals and fuel assets, mainly because of weaker prices, the company said.

The petrochemicals company said it will report a basic loss per share of between $3.81 and $3.96 for the year to June 30, compared with basic earnings per share of $0.77 the year before.

Impairments of $2.5 billion would be recognized at Sasol's American chemicals business, the company said, with a further writedown of $215 million at the African chemical segment. 

Sasol, which produces chemicals and synthetic fuels from coal, will also recognize $315 million of impairments at its Secunda refinery in South Africa.

Its headline earnings per share (HEPS), a profit measure commonly used in South Africa which strips out one-off items, are expected to decline by as much as 77% to between $0.68 and $1.21.

Sasol will publish its financial results on Aug. 20.