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Legislative Reform and Community Engagement: Keys to the Lock on South African Oil and Gas Exploration (By NJ Ayuk)

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In South Africa, similar projects could transform regions like Mossel Bay by boosting employment and government revenues while promoting sustainable development

JOHANNESBURG, South Africa, October 28, 2025/APO Group/ —By NJ Ayuk, Executive Chairman, African Energy Chamber (https://EnergyChamber.org/)

The waters off South Africa’s west coast represent a veritable treasure trove of economic opportunity for the country, considering that its majority share of the Orange Basin — the geological formation in which they sit — is estimated to hold approximately 30 billion barrels of potential oil resources. Over the border to the north, in Namibia, where the underlying geology is similar, streamlined exploration processes have facilitated the development of over 20 successful exploration and appraisal wells since 2022. During this same period, South Africa has drilled exactly zero wells in their territory.

Why is there such a disparity across the two sides of a single border?

It is easy to assign blame to the many legal challenges brought forth by foreign-funded environmental non-governmental organizations (NGOs) against industry operators in South Africa. After all, they were successful at halting projects collectively valued at upwards of USD 1.6 billion and driving major players like TotalEnergies to walk away from promising ventures such as the Luiperd-Brulpadda gas-condensate project in 2024. However, the actions of these NGOs are predictable and within the scope of their legal prerogatives. It’s time for stakeholders to stop playing “the blame game.”

To finally unlock the wealth of its resources and prevent similar holdups in the future, the South African oil and gas industry and their government partners must focus instead on implementing clear legislation, expanding engagement with affected communities, and finding a workable balance between environmental responsibility and economic progress. Of course, this is easier said than done — and the challenge is far from insignificant.

Fortifying Frameworks

 

Since 2021, court cases brought by NGOs funded by western institutions have stalled or postponed a total of five upstream oil and gas projects across South Africa — three on the West Coast and two on the East Coast. Plaintiffs have successfully argued that oil companies, including TotalEnergies and Shell, failed to conduct adequate consultations with coastal communities and that the mandatory environmental impact assessments (EIAs) they produced were insufficient.

A recent court ruling also mandated that TotalEnergies include emissions estimates for potential future commercial operations in its exploration EIAs, adding layers of complexity and causing additional delays.

Emmanuelle Garinet, TotalEnergies’ vice president of Africa exploration, described this permitting process as “unacceptable,” noting that securing a permit can take three to four years. In a global competition for exploration capital, such delays practically end all hope of attracting further investment. Eco Atlantic’s CEO, Gil Holzman, echoed this sentiment, warning that, “if you’re unable to explore, develop, and produce, the money goes elsewhere.”

Repeated legal challenges like these go beyond reasonable efforts to protect the environment. I view them as acts of lawfare — the strategic use of legal systems and procedures to delay or block energy development indefinitely. Even worse, they stem from a permitting process that is inherently vulnerable to such tactics. While NGOs have the legal right to raise their concerns, the current system allows for approvals to be contested endlessly, even when thorough environmental impact assessments are in place. The result is a climate of uncertainty and an investment deterrent, as companies tied up in court face escalating costs and growing risks.

With streamlined processes creating investor-friendly waters and productive wells right over the maritime border in Namibia, South Africa risks losing major operator interest at proposed exploration sites on its side of the Orange Basin.

To counter this, the government must introduce legislation that sets clear, enforceable standards for EIAs and community consultations. A framework like this would ensure that environmental concerns are thoroughly addressed during the approval process and limit the number of appeals that could take advantage of any legal loopholes.

As Garinet noted, legal challenges are a part of democracy, but there must be safeguards against the “abuse of law” by groups with agendas that do not align with the broader public interest.

Recent developments in onshore shale gas exploration offer South Africa a blueprint for a better direction. On October 16, 2025, Minister of Mineral and Petroleum Resources Gwede Mantashe announced that a long-standing moratorium on shale gas exploration, imposed in 2011 amid objections from environmental activists to hydraulic fracking in the ecologically sensitive Karoo region, will be lifted as soon as new regulations are published later this month. These regulations, finalized by the minister, aim to address environmental and safety concerns, including water challenges in the semi-arid Karoo, providing a controlled framework that could influence similar reforms to the governance of offshore projects.

The government must introduce legislation that sets clear, enforceable standards for EIAs and community consultations

Empowering Local Voices

Community engagement is the other critical piece of this puzzle. Historically, consultations related to oil and gas projects were superficial at best, lacking meaningful interaction with the populations closest to or most affected by the project at hand. This disregard fueled distrust, empowering the NGOs to challenge projects in court.

Since roughly 2020, encouraged by the global support for renewables, these groups have become adept at leveraging regulations to demand more thorough consultations and more comprehensive EIAs. While this has improved operator accountability, it has also impeded exploration.

To break this cycle, South Africa must adopt a proactive approach to community engagement. Petroleum Agency SA’s community awareness campaigns, which educate locals about oil and gas activities, offer a strong starting point. Expanding these initiatives to involve communities early in the EIA process would address environmental impact concerns while highlighting a project’s economic benefits to come.

An example of this kind of effort playing out can be found in Suriname, where TotalEnergies’ GranMorgu deepwater project is set to create 6,000 local jobs and add USD 1 billion to the economy. In the run-up to this project, TotalEnergies consulted and sought feedback from stakeholders in both the coastal districts and indigenous communities, establishing quarterly meetings and a grievance mechanism.

In South Africa, similar projects could transform regions like Mossel Bay by boosting employment and government revenues while promoting sustainable development. The new shale gas regulations offer another model as they respond to previous objections and legal challenges brought by environmental campaigners, demonstrating how inclusive frameworks can mitigate opposition and enable progress.

Government advocacy is critical to this strategy. While Minister Mantashe has long championed oil and gas, progress in addressing permitting delays had been sluggish until the October announcement. His recent commitment to lifting the shale gas moratorium reflects the renewed push to shift from emissions-heavy coal-fired plants, which supply the bulk of South Africa’s electricity, toward cleaner gas alternatives. As the minister himself acknowledged, “the economy needs a growth trigger, and oil and gas are those triggers.”

Furthermore, Tseliso Maqubela, deputy director general at the Department of Minerals and Petroleum Resources, admitted at African Energy Week 2025 that the government has been “found wanting on technical grounds” in consultation processes. A government initiative to correct this, by standardizing the protocols for EIAs and consultations, could reduce the frequency of NGO-led legal challenges.

Godfrey Moagi’s leadership of the recently established South African National Petroleum Company (SANPC), could be another positive. Moagi’s engagement within the industry and his outreach to both government ministries and the public could bridge the gaps between those entities. SANPC collaboration could also help to ensure that EIAs meet legal standards and community expectations while cutting down on litigation.

Following it Through

Legislative reform, community engagement, and government advocacy are not standalone solutions, however. To achieve success, they must work together like components of the proverbial well-oiled machine.

New legislation should mandate transparent consultation processes with defined time limits. Communities should be both heard and informed, but the power of an NGO acting on their behalf to so easily derail a project should also be checked.

Conversely, the government must also counter the perception that foreign-funded NGOs are deliberately blocking development. While their actions merit scrutiny, the focus should be on building a system that withstands legal challenges rather than vilifying advocacy groups acting within the bounds of the law.

By learning from Namibia’s and Suriname’s successes — where clear regulations and proactive engagement have attracted billions in investment — South Africa can create an equally attractive upstream environment. The impending lift of the shale gas moratorium demonstrates this potential, showing how targeted regulations can resolve longstanding delays and unlock the resources needed to grow the economy.

The stakes are high. If South Africa fails to act, it risks further abandonment by oil majors, which would leave its vast resources untapped. The contrast is stark when compared to Guyana, where ExxonMobil’s offshore production has transformed the economy, or to Namibia, where exploration is booming.

South Africa controls most of the Orange Basin, but it lags behind its northern neighbor thanks to bureaucratic and legal hurdles. The government must seize this moment to pass legislation that sets firm rules, expands community engagement, and builds trust with both investors and the local population. Only once all these pieces are in place can South Africa emulate the economic transformations seen elsewhere.

The time for half-measures and finger-pointing is over. Policymakers must act decisively to secure South Africa’s energy future.

Distributed by APO Group on behalf of African Energy Chamber.

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SBM Offshore Confirmed as Silver Sponsor for African Energy Week (AEW) 2026 Amid Africa FPSO Expansion Push

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African Energy Chamber

SBM Offshore will participate as Silver Sponsor at African Energy Week 2026, where they are set to showcase FPSO expansion in Angola, Namibia and Guyana amid strong financials and a deepwater innovation strategy

CAPE TOWN, South Africa, June 9, 2026/APO Group/ –Multinational oil and gas services company SBM Offshore will participate at this year’s African Energy Week (AEW) 2026 Conference and Exhibition as a Silver Sponsor, reinforcing the company’s long-term commitment to Africa’s expanding deepwater oil and gas industry. Their participation comes as SBM Offshore accelerates brownfield optimization projects in Angola while aggressively positioning itself for new frontier developments in Namibia’s Orange Basin.

 

SBM Offshore’s return to AEW, which takes place from October 12–16 in Cape Town, is expected to draw significant industry attention as operators, financiers and EPC contractors evaluate the next wave of floating production infrastructure across the Atlantic Basin. With more than 20 years of experience in Africa and over $31 billion in contract backlog globally, the company remains one of the world’s most influential FPSO suppliers.

The Sponsorship follows several major milestones announced during 2025 and 2026. On May 26, the American Bureau of Shipping approved SBM Offshore’s seawater intake riser technology developed alongside Shell. The system pumps cold seawater from depths of 700m to FPSO topsides, reducing onboard cooling energy demand and improving emissions performance for future African and South American projects.

The company’s financial position strengthened considerably following the $2.32 billion sale of FPSO One Guyana to ExxonMobil in February 2026. The transaction helped drive a 216% year-on-year increase in Q1 2026 directional revenue to $3.5 billion while reducing SBM Offshore’s net debt from $5.7 billion to $3.2 billion by March 21, 2026.

SBM Offshore continues to demonstrate the technical expertise, operational scale and long-term investment approach needed to advance Africa’s next generation of energy projects

In March 2026, ExxonMobil awarded SBM Offshore front-end engineering and design contracts for the Longtail development in Guyana. The proposed FPSO is expected to feature the world’s highest gas-handling capacity ever deployed on a floating production vessel, processing 1.2 billion cubic feet of gas and 250,000 barrels of condensate daily.

Across Africa, SBM Offshore continues expanding its offshore footprint. In Angola, the company signed multi-year extensions in December 2025 with Esso Exploration Angola for FPSO Mondo and FPSO Saxi Batuque in Block 15, extending operations through 2032. Brownfield upgrades and life-extension works commenced in early 2026 to support declining reservoir pressure management and maintain environmental compliance standards.

The company also finalized a share purchase agreement with Equatorial Guinea’s national oil company GEPetrol in December 2025, restructuring regional asset ownership and supporting localized operational transitions. The FPSO Aseng formally exited SBM Offshore’s lease-and-operate fleet during the same period as management responsibilities shifted toward Equatoguinean entities.

Namibia retains a central focus of SBM Offshore’s African growth strategy. The company is actively competing for TotalEnergies’ Venus FPSO contract in the Orange Basin, one of Africa’s largest recent offshore discoveries with estimated resources of roughly 2 billion barrels. SBM Offshore has expanded its Cape Town commercial engineering workforce while positioning its standardized technologies for upcoming South Atlantic developments.

“SBM Offshore’s participation at this year’s event reflects the growing momentum behind Africa’s deepwater industry and the critical role FPSO technology will play in unlocking new production. From Angola’s mature offshore hubs to Namibia’s frontier discoveries, SBM Offshore continues to demonstrate the technical expertise, operational scale and long-term investment approach needed to advance Africa’s next generation of energy projects,” says NJ Ayuk, Executive Chairman, African Energy Chamber.

Looking ahead, SBM Offshore aims to combine frontier expansion with lower-emission offshore production systems. Through partnerships with SLB and Cognite, the company is integrating industrial AI platforms to its global fleet while scaling standardized hull construction to accelerate project delivery timelines across Africa and Latin America.

Distributed by APO Group on behalf of African Energy Chamber.

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Carbon Markets Africa Summit (CMAS) 2026 programme launched as Africa’s carbon markets move from readiness to delivery

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Positioned as a pan-African marketplace, CMAS connects policy, project pipelines, capital and buyers in a structured environment focused on enabling real deal flow

CAPE TOWN, South Africa, June 9, 2026/APO Group/ –Africa is emerging as an exciting destination to develop carbon market projects with improved policy certainty and more and more projects becoming investment-ready. As global carbon markets transition from rule-setting to real transactions, with Article 6 mechanisms moving into implementation and compliance-driven demand such as CORSIA accelerating, attention is shifting towards where credible supply, policy certainty and investment-ready projects can be delivered at scale.

 

Against this backdrop, the Carbon Markets Africa Summit (CMAS) that is organised by VUKA Group has released its official 2026 programme, outlining how Africa’s carbon markets can move beyond frameworks into execution, investment and transactions. The summit will take place from 13–15 October 2026 in Kigali, Rwanda, hosted by the Ministry of Environment of Rwanda, with UNDP and the African Development Bank (AfDB) as host organisations, the Development Bank of Southern Africa (DBSA) as host partner, and AUDA-NEPAD as the strategic institutional partner.

Positioned as a pan-African marketplace, CMAS connects policy, project pipelines, capital and buyers in a structured environment focused on enabling real deal flow.

This year’s programme reflects a changing market dynamic, one where integrity, quality and transaction readiness are becoming decisive.

Carbon markets are entering a more selective and operational phase. The question is no longer whether Africa has a role to play, but whether the continent can bring forward credible projects, enabling frameworks and market infrastructure to transact at scale,” said Emmanuelle Nicholls, Project Lead. “CMAS 2026 is designed as a response to that moment – connecting the actors, pipelines and capital needed to move from ambition to execution.”

Africa’s carbon markets must be built on integrity, equity, and continental coordination so that carbon finance delivers real value

Within this evolving context, the summit places strong emphasis on the foundations required to scale markets responsibly. As Estherine Fotabong, Director at AUDA-NEPAD, notes, “Africa’s carbon markets must be built on integrity, equity, and continental coordination so that carbon finance delivers real value for communities, ecosystems, and sustainable development across the continent.”

A programme built for execution

The CMAS 2026 programme spans the full carbon market value chain from policy and Article 6 implementation to project development, finance and transactions. Key highlights include the keynote opening session on delivering projects, capital and transactions at scale, a high-level dialogue on trust and market readiness, ministerial and technical roundtables, and sessions focused on buyer demand, investor priorities and deal structuring.

 

A central feature is a curated pipeline of African carbon projects across nature-based solutions, regenerative agriculture, carbon removals, waste-to-value and blue carbon, presented through project showcases, case studies and investment-ready deal rooms.

The programme also includes solution labs and technical workshops addressing critical bottlenecks—including Article 6 and CORSIA implementation, early-stage finance, MRV systems and project bankability, alongside live demonstrations of digital carbon infrastructure, ensuring focus on practical market development and delivery.

CMAS 2026 is hosted in Rwanda, a country advancing carbon market frameworks under Article 6, and takes place at a pivotal moment as global markets increasingly prioritise integrity, quality and real delivery at scale.

Distributed by APO Group on behalf of VUKA Group.

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Gwede Mantashe Joins African Energy Week (AEW) 2026 as South Africa’s Petroleum Reforms Open the Orange Basin to Drilling

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African Energy Chamber

A new petroleum law and the prospect of fresh Orange Basin drilling is resetting South Africa’s upstream, and Minister Mantashe is taking the AEW host nation’s case to the global market

CAPE TOWN, South Africa, June 8, 2026/APO Group/ –Gwede Mantashe, Minister of Mineral and Petroleum Resources of the Republic of South Africa, has been confirmed as a featured speaker at the upcoming African Energy Week (AEW) 2026 Conference and Exhibition, where he is expected to lay out the reform agenda reshaping the country’s upstream oil and gas sector and its drive to convert long-stranded offshore gas into production.

 

South Africa is pursuing one of the most significant upstream overhauls in its history, anchored by a new law that gives oil and gas their own regulatory regime for the first time. The reforms position the host nation as both a destination for exploration capital and a future producer along an Atlantic margin that has drawn the world’s largest oil companies to the region.

At the center of the shift is the Upstream Petroleum Resources Development Act (UPRDA), which President Cyril Ramaphosa signed into law in October 2024. The Act separates petroleum from the mining statute that has long regulated both sectors. It also creates a single petroleum right covering exploration and production along with a 20% carried interest for the state. The UPRDA awaits a presidential proclamation to take effect, and implementing regulations that went through a further round of industry comment in early 2026 are now being finalized.

A clear petroleum framework and a credible state partner are what international capital needs to commit to the Orange Basin

Mantashe has emerged as the most forceful advocate for accelerating the sector. He has long-argued that South Africa must shift from importing refined products to producing its own, warning that dependence on foreign supply leaves the economy exposed to global price shocks. This shift becomes increasingly more importance in the current global climate, where supply security has become a major challenge – particularly for import-reliance economies such as South Africa. As such, Mantashe has repeatedly pressed for faster licensing and fewer legal delays to exploration. AEW 2026 is a key platform to bring this discussion to a global audience.

“South Africa has the geology for exploration. Now it is building the regulatory certainty it needs to turn discoveries into bankable projects,” said NJ Ayuk, Executive Chairman of the African Energy Chamber. “A clear petroleum framework and a credible state partner are what international capital needs to commit to the Orange Basin.”

Offshore, TotalEnergies – operator of Block 3B/4B in the Orange Basin – is preparing to begin drilling in South African waters in 2026 pending final regulatory approvals. The acreage sits on trend with the Venus discovery in neighboring Namibia, where TotalEnergies is developing the basin’s first oil project.

Onshore, momentum is building in Mpumalanga, where gas developer Kinetiko Energy’s Amersfoort project has logged sustained high-flow results and is advancing plans for an LNG pilot plant. Mantashe has also signaled that government is moving to lift the long-standing moratorium on shale gas development, with the Petroleum Agency of South Africa (PASA) estimating recoverable Karoo reserves at 209 tcf.

Mantashe is also expected to report on successes of the South African National Petroleum Company (SANPC), the state entity formed in May 2025 through the merger of PetroSA, iGas and the Strategic Fuel Fund. Positioned as the country’s petroleum champion, SANPC is intended to anchor state participation across the value chain as South Africa works toward 6 GW of gas-fired power by 2030.

As AEW 2026 prepares to convene policymakers, investors and operators at the Cape Town International Convention Centre from October 12-16, Mantashe’s address carries added weight as the host nation’s signal to the market. His message is expected to be direct: South Africa is open for upstream investment and ready to move from potential to production.

Distributed by APO Group on behalf of African Energy Chamber.

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