/ 31 August 2001

SASOL, TEPCO STRIKE A DEAL

SYNTHETIC fuels giant Sasol and fuel retailer Tepco reached an ”amicable agreement” regarding the settlement of outstanding amounts owed to Sasol, the company said on Wednesday. The statement, issued by Sasol, provided no details on the agreement and the representative was not immediately available for comment. This follows a recent announcement by the Competition Commission that it would probe allegations of commercial bullying by Sasol of Tepco, a small black empowerment fuel retailer. It said the inquiry would focus on the inflexible contracts which govern sales of fuel by Sasol to other oil companies. Sasol was suing Tepco for unpaid bills of about R60-million. Because of the legal action, Tepco suspended payments to Sasol, which subsequently suspended fuel sales to Tepco. – Sapa