South Africa is considered one of the last frontiers for offshore oil and gas exploration, with estimated resources of up to nine billion barrels. The country’s offshore gas resources are believed to be around 60 trillion cubic feet (tcf), while onshore shale reserves could be as high as 390 tcf. Despite the slow pace of exploration in the past, recent M&A activities and project advancements show a promising future for the oil and gas industry in South Africa, paving the way for enhanced energy security.
To attract more investment in frontier exploration, the Ministry of Mineral and Petroleum Resources in South Africa has joined hands with the African Energy Week (AEW): Invest in African Energy conference for its 2024 edition. This partnership highlights the Ministry’s dedication to unlocking the full potential of the country’s oil and gas resources, facilitating new deals in the upstream sector.
AEW: Invest in African Energy serves as the premier platform for project operators, financiers, technology providers, and government officials, establishing itself as the preferred destination for business dealings in African energy. For more information about this event, visit www.AECWeek.com.
South Africa presents strategic opportunities for oil and gas companies looking to explore frontier areas, especially due to its shared acreage with Namibia where significant discoveries have been made. Various global energy majors and independent players have recently acquired stakes in the South African Orange Basin, such as TotalEnergies and QatarEnergy securing interests in Block 3B/4B. These acquisitions mark a significant step towards unlocking South Africa’s offshore oil and gas potential.
Moreover, South Africa’s shale formations in the Karoo Basin offer promising prospects for power generation and LPG production. Companies like Panoro Energy and Kinetiko Energy are already making progress in exploring and developing these resources, aiming to contribute to the country’s energy market and reduce its reliance on imports.
“South Africa should leverage its own resources to drive sustainable growth and alleviate its energy crisis,” stated NJ Ayuk, Executive Chairman of the African Energy Chamber. Through initiatives like AEW: Invest in African Energy and the recent ministry restructuring, the country is taking steps to maximize the extraction and monetization of its mineral and hydrocarbon resources, aligning with its goal of energy independence.
With a focus on engaging with global investors, project developers, and E&P firms, South Africa is positioning itself as a strategic market for oil and gas investments. AEW: Invest in African Energy will play a crucial role in promoting block opportunities, forging partnerships, and driving future developments in the South African oil and gas sector.
Press Release distributed by APO Group on behalf of African Energy Chamber.