Annual Financial Statements for the year ended 30 June 2021 0 - Book - Page 135
One to
three years
Rm
Three to
five years
Rm
More than
five years
Rm
21
26
5 799
22 090
–
22 090
2 191
–
1 064
–
2 544
–
29
32 932
32 932
–
–
–
511
1 415
511
1 415
–
–
–
–
–
–
62 747
56 948
2 191
1 064
2 544
9 185
113
104
11
9 185
113
104
11
–
–
–
–
–
–
–
–
–
–
–
–
72 160
66 361
2 191
1 064
2 544
2020
Financial assets
Non-derivative instruments
Long-term receivables
Trade and other receivables
Cash and cash equivalents (excluding
restricted cash)
Investments through other comprehensive
income
Other long-term investments
Derivative instruments
Foreign exchange contracts
Crude oil put options
Ethane swap options
Other commodity derivatives
Financial liabilities
Non-derivative instruments
Long-term debt***
Lease liabilities
Short-term debt
Trade and other payables
Bank overdraft
Financial guarantees**
17
18
17
27
29
(188 940)
(38 187)
(21 888)
(21 164)
(645)
(913)
(24 213)
(3 051)
(21 888)
(21 164)
(645)
(913)
(38 748)
(5 120)
–
–
–
–
(109 111)
(4 199)
–
–
–
–
(16 868)
(25 817)
–
–
–
–
(271 737)
(71 874)
(43 868)
(113 310)
(42 685)
(8 770)
(4 143)
(2 861)
(174)
(230)
(66)
(10 990)
(103)
(8 770)
(780)
(2 861)
(174)
(230)
(66)
(45)
(103)
–
(1 466)
–
–
–
–
(74)
–
–
(1 165)
–
–
–
–
(63)
–
–
(732)
–
–
–
–
(10 808)
–
(299 074)
(84 903)
(45 408)
(114 538)
(54 225)
SASOL LIMITED GROUP
CONSOLIDATED FINANCIAL STATEMENTS
Within one
year
Rm
NOTES TO THE FINANCIAL STATEMENTS
Note
Contractual
cash flows*
Rm
Foreign exchange contracts
Interest rate swap options
Foreign exchange zero cost collars
Crude oil zero cost collar
Ethane swap options
Crude oil futures
Other currency derivatives
Other commodity derivatives
* Contractual cash flows include interest payments.
** Issued financial guarantees contracts are all repayable on default, however the likelihood of default is considered remote.
*** Of the amounts due in one to five years, R126 billion relates to the repayment of the bonds, the revolving credit facility and the term loan.
SASOL LIMITED COMPANY
Derivative instruments
Market risk
Market risk is the risk arising from possible market price movements and their impact on the future cash flows of the business. The
market price movements that the group is exposed to:
Foreign currency risk
Foreign currency risk is a risk that earnings and cash flows will be affected due to changes in exchange rates.
How we manage the risk
OTHER
The Audit Committee sets broad guidelines in terms of tenor and hedge cover ratios specifically to assess future currency exposure,
which have the potential to materially affect our financial position. These guidelines and our hedging policy are reviewed from time
to time. This hedging strategy enables us to better predict cash flows and thus manage our liquidity and key financial metrics more
effectively. Foreign currency risks are managed through the group's hedging policy and financing policies and the selective use of
various derivatives.
133
Sasol Annual Financial Statements 2021