Sasol confident Lake Charles Project will come in on revised budget
SASOL’s project in Louisiana will cost $2.1bn more than originally budgeted, but the chemicals group is confident it can complete the Lake Charles Chemical Complex at the raised price of $11bn.Following a detailed review, remedial steps have been taken which included "key project leadership personnel changes", Sasol said on Tuesday.Reasons for the project running over budget included worse than anticipated weather and higher wage rates, Sasol said.But now that the project is more than half-way and site and civil works are substantially complete, the chemicals group believes the revised price is realistic. It has invested $4.8bn in the Lake Charles project so far."Several changes have been, or are in the process of being, implemented which are intended to ensure that the project has a good probability of being completed within the updated capital cost estimate of $11bn," Sasol said."The Lake Charles chemicals project is an important part of Sasol’s prudent growth strategy, and the su...
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