On 13 May Sasol reported that the capital cost of the Escravos gas-to-liquids project (EGTL) under construction in Nigeria is expected to increase to US$6 billion and that Sasol was reviewing all the factors that have an impact on the project economics.

On 3 September, Sasol and Chevron, partners in the project entered into a heads of agreement for Chevron to purchase an additional 27.5% in the EGTL project and Sasol to reduce its economic interest in the EGTL project from 37.5% to 10%. Definitive agreements will be finalized in due course and will be subject to the relevant regulatory approvals.

As a result of the reduction in our economic interest, an impairment of R362 million was recognized in 2008 in operating profit (a net effect after tax of R112 million) relating to interest previously capitalized on the capital expenditure.

Lean Strauss, Group General Manager for Sasol's International Energy Cluster said: "Sasol remains fully committed to the EGTL project, which continues to utilize our technology under license, by providing our full range of technical and skills support."

Sasol is an integrated oil and gas company with substantial chemical interests. Based in South Africa and operating worldwide, Sasol is listed on the NYSE and JSE stock exchanges. It is the leading provider of liquid fuels in South Africa and a major international producer of chemicals. Sasol uses proprietary Fischer-Tropsch technologies for the commercial production of synthetic fuels and chemicals from low-grade coal and natural gas. It manufactures more than 200 fuel and chemical products that are sold worldwide. In South Africa it also operates coal mines to provide feedstock for its synthetic fuels plants. Sasol operates the only inland crude oil refinery in South Africa. The group produces crude oil in offshore Gabon, supplies Mozambican natural gas to end-user customers and petrochemical plants in South Africa, and with partners involved in gas-to-liquids fuel joint ventures in Qatar and Nigeria.