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South Africa’s Upstream Petroleum Resources Development Act (UPRD Act): Can Legal Certainty Revive Major Investment After IOCs’ Exit?

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African Energy Chamber

South Africa’s new Upstream Petroleum Resources Development Act offers a fresh regulatory framework, but is it enough to bring supermajors back, or will independent players now dominate the landscape?

CAPE TOWN, South Africa, February 6, 2026/APO Group/ –The high‑profile exit of global energy major TotalEnergies from deepwater Blocks 11B/12B and 5/6/7 – home to the Brulpadda and Luiperd gas discoveries – was a significant setback for South Africa’s plans to use domestic resources to boost energy security and economic growth. TotalEnergies, together with partners QatarEnergy and CNR International, gave up their stakes after determining that the discoveries could not be commercially developed under the existing market conditions and regulatory framework.

 

The exits underscored long‑standing industry frustrations with South Africa’s legal and regulatory environment, widely seen as lacking the clarity and predictability that deepwater investors demand. That backdrop helps explain the government’s passage of the Upstream Petroleum Resources Development Act (UPRD Act) – a standalone legislative framework designed to replace the petroleum provisions embedded in the old Mineral and Petroleum Resources Development Act and provide a bespoke upstream regime.

At its core, the UPRD Act aims to accelerate exploration and production of South Africa’s petroleum resources by providing clear rules and stable rights for companies – key to attracting major investment. It combines exploration and production rights into a single petroleum right, sets out controlled licensing rounds, guarantees third-party access to infrastructure, and establishes the Petroleum Agency of South Africa as a clear regulatory authority. The law also promotes active participation by the State and previously disadvantaged South Africans, mandates local content, allows a share of output to be sold for strategic stock purposes, and separates oil and gas regulation from mining rules to reduce red tape and simplify operations.

Yet the big question remains: will this new legal certainty be enough to lure back the supermajors, or has the landscape shifted toward leaner, more aggressive independent companies seeking opportunities where majors have stepped away?

 It shows how regulatory reform is essential to restoring investor confidence

“Simply put, TotalEnergies’ exit was a blow to South Africa’s energy industry. These discoveries brought to light alternative energy solutions for a country plagued with a decade‑long energy crisis. However, without clear, predictable rules, even world‑class discoveries struggle to progress to commercial development. It shows how regulatory reform is essential to restoring investor confidence,” states NJ Ayuk, Executive Chairman of the African Energy Chamber.

The UPRD Act now provides that framework, but timing is crucial. The regulations needed to put the Act into practice are still being finalized, and until these rules – covering licensing, environmental safeguards and rights administration – are published and tested in early rounds, investor confidence is likely to remain cautious.

For supermajors, investment decisions are increasingly guided by a global strategy that prioritizes projects with clearer returns and lower regulatory risk. With growing pressure to meet climate targets and streamline their portfolios amid the energy transition, deepwater frontier projects in emerging markets are less appealing unless they come with clear, predictable terms.

This creates an opening for independent and smaller players. Companies like Africa Energy Corp. – which increased its stake in Block 11B/12B after the majors’ exit – could view South Africa’s upstream sector as a promising opportunity. With leaner cost structures and a greater tolerance for frontier risk, these players can advance projects that supermajors may avoid, potentially driving local value creation and technology transfer through a different investment model.

Looking ahead to African Energy Week (AEW) 2026 – the continent’s premier energy summit bringing together governments, investors and service companies – the UPRD Act is expected to be a central topic in discussions surrounding South Africa. AEW offers a high‑profile platform to showcase the country’s evolving policy landscape and could set the stage for the first post‑Act licensing round. Industry leaders are likely to debate whether the framework delivers on its promise of stability and what conditions might be needed to attract supermajors back.

Ultimately, South Africa’s upstream rebound will depend on execution: if the regulations foster transparency, competitive terms and confidence in governance, the UPRD Act could be a turning point. If not, the sector may settle into a new normal where ambitious independents, rather than supermajors, drive the next chapter of oil and gas development.

Distributed by APO Group on behalf of African Energy Chamber.

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Venezuelan Oil and Gas Opportunities Take Center Stage at African Energy Week (AEW) 2026

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Venezuela

The country is promoting new hydrocarbons contracts, upstream and refining opportunities, and technical partnerships with Africa to attract investment and strengthen local energy sector capabilities

CAPE TOWN, South Africa, October 14, 2026/APO Group/ –Venezuela is seeking to attract international investment into its oil and gas sector while building stronger energy partnerships with African countries. Revised hydrocarbon legislation offers new entry routes for private operators, while cooperation on technical training could help African markets draw on Venezuela’s industry expertise. These opportunities featured at the Venezuela Global Investment Forum during African Energy Week (AEW) 2026 in Cape Town.

 




 
 

Ricardo Gomez, Venezuela’s Vice Minister of Commercial Policy, outlined the country’s investment proposition, highlighting 303 billion barrels of proven oil reserves and 193 trillion cubic feet of natural gas.

“Venezuela combines a large hydrocarbon resource base with refining infrastructure and a market that needs reliable energy,” he said. “The opportunities extend from upstream projects to downstream and refining.”

The country’s amended Organic Hydrocarbons Law introduces new ways for international companies to enter the market. Hydrocarbon production participation contracts allow private operators to manage designated assets, oversee operations and market production under negotiated terms. Agreements can extend for 25 years, offering a longer investment horizon for field development and rehabilitation.

Restructured joint venture companies provide another route, retaining majority state ownership while allowing international partners to take on operational responsibilities through approved agreements. Direct ministerial contracts and strategic alliances offer additional opportunities in field redevelopment, oilfield services and infrastructure.

Venezuela is seeing a lot of interest as a result of aggressive fiscal and regulatory changes that are making the country more attractive

Potential investments span heavy-oil production in the Orinoco Belt, mature onshore fields, offshore gas, pipeline rehabilitation, export terminals and refinery upgrades. Venezuela’s target of signing 105 definitive oil contracts by year-end reflects its wider effort to attract operators and accelerate project development.

Scott Gilbert, CEO and Executive Director of Corcel Plc and Non-Executive Chairman of Apertura Energy, highlighted investor interest in the changing regulatory environment. “Venezuela is seeing a lot of interest as a result of aggressive fiscal and regulatory changes that are making the country more attractive,” he said.

Alongside these commercial opportunities, Venezuela is promoting its technical expertise through the Venezuelan University of Hydrocarbons (UVH). Celia Bejarano, the university’s President, explained how the institution trains engineers and geologists in geophysics, reservoir engineering, well management, natural gas and petrochemicals.

“The Venezuelan University of Hydrocarbons was created to deliver a specialized institution where the country can train its own recruits to develop its own premier resources,” Bejarano said.

Through its Africa-Venezuela Energy Partnership with the African Energy Chamber (AEC), UVH is advancing technical training, knowledge exchange and workforce development. The initiative could help African energy projects apply Venezuela’s experience in heavy-oil production and offshore engineering while strengthening local capabilities. Rene Awambeng, founder and managing partner of Premier Invest, highlighted this opportunity for African developers.

“When we are developing our assets here, we always import talent,” he said. “With the Venezuelan University of Hydrocarbons, we can actually leverage Venezuela’s immense experience to support local content development here in Africa.”

Also speaking during the discussion, NJ Ayuk, Executive Chairman of the AEC, emphasized the strategic value of closer ties between the regions. “Our energy industry has an amazing ally in Venezuela,” he said, describing the country as “open for business and ready to partner with Africa.”

Distributed by APO Group on behalf of African Energy Chamber.

 




 

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African Energy Chamber (AEC), S&P Global Energy Sign Five-Year Partnership for African Energy Week

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African Energy Week

S&P Global Energy has renewed and formalized a long-term relationship with AEW as the event connects African energy projects with investors and commercial partners

CAPE TOWN, South Africa, October 14, 2026/APO Group/ –The African Energy Chamber (AEC) (https://EnergyChamber.org/) and S&P Global Energy have signed a memorandum of understanding renewing their official partnership for the African Energy Week (AEW) conference and exhibition for five years, through the 2031 edition, establishing a long-term relationship around the continent’s energy investment platform.

 




 
 

The agreement was signed during the opening ceremony of AEW 2026 in Cape Town by Christian Nilsson, Chief Commercial Officer of S&P Global Energy, and NJ Ayuk, Executive Chairman of the AEC. It formalizes a partnership between one of the world’s leading market intelligence and research firms and Africa’s biggest energy conference, laying the foundation for long-term engagement and collaboration. The partnership is also set to produce a new State of Energy in Africa report, with findings to be shared at the conclusion of AEW 2026.

Africa competes for capital against every other region in the world, and the countries that win will be the ones that can show investors the numbers

S&P Global Energy provides market intelligence, data and analysis across energy and commodities. Its work supports commercial decisions on supply, demand, pricing and investment, which are areas relevant to African companies seeking capital and international investors assessing opportunities across the continent.

The partnership comes as African energy markets seek investment across upstream development, gas infrastructure, electricity generation, refining and industrial processing. Access to market information helps investors assess project economics, compare opportunities and understand the conditions influencing long-term returns.

“Africa competes for capital against every other region in the world, and the countries that win will be the ones that can show investors the numbers,” said Ayuk. “S&P Global Energy brings analytical rigor to AEW. Locking in this partnership through 2031 means the governments and companies that come to Cape Town will keep getting world-class data insights alongside the deals being signed on our stages.”

Considered Africa’s premier energy marketplace, AEW brings project owners and prospective partners together through investment forums, country spotlights, technical discussions, an exhibition and commercial meetings. The event program spans oil and gas, power, energy finance and emerging technologies, connecting policy discussions with the requirements of companies developing and funding projects.

The five-year agreement establishes a sustained relationship between the AEC and S&P Global Energy as AEW continues to connect African energy opportunities with global capital and expertise.

Distributed by APO Group on behalf of African Energy Chamber.

 

 




 

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Etu Energias, Chariot, BW Energy Sign Master Agreement at African Energy Week (AEW) 2026

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African Energy Week

The Master Agreement covers technical and financial collaboration, strengthening a partnership between the companies

CAPE TOWN, South Africa, October 14, 2026/APO Group/ –Angola’s Etu Energias has signed a Master Agreement with Chariot and BW Energy covering technical and financial collaboration. The agreement aims to support Etu Energias’ growth strategy in Angola and reflects a shared ambition between the parties to build a long-term and growing relationship for the benefit of all stakeholders.

 




 
 

The agreement was signed during the opening ceremony of African Energy Week 2026 by Edson Dos Santos, CEO of Etu Energias; Duncan Wallace, CTO and Board Member of Chariot; and Ali Athar, Senior Vice President of Finance and Accounting at BW Energy. It demonstrates continued confidence in Angola’s upstream sector as well as the capacity of the country’s indigenous companies. Etu Energias, Angola’s first private oil and gas exploration company, has grown production to 25,000 bpd within five years and is targeting 100,000 bpd by 2030. The agreement aims to improve access to commercial solutions and capital with the goal of supporting long-term sector development.

The signing follows a framework agreement announced by Chariot on September 1 between Etu Energias, BW Energy and Chariot to support Etu’s acquisition of Chevron’s additional 31% interest in Angola’s Block 14 and 15.5% interest in Block 14K. The partnership established a basis for technical and operational support as Etu seeks to assume operatorship of Block 14, with Shell Western Supply and Trading providing the acquisition debt funding.

For Etu Energias, the transaction supports its ambition to expand production and operating capacity in Angola. Already a stakeholder in the licenses, the company brings knowledge of the assets, while BW Energy and Chariot contribute complementary technical expertise.

For BW Energy, the framework marks a strategic entry into Angola and an extension of its West African growth strategy. An August company announcement identified opportunities to develop nearby reservoirs through connections to existing infrastructure, optimize production and reduce operating costs. BW Energy’s support gives it economic exposure to future cash flows corresponding to approximately 8,000 bpd, subject to completion and applicable approvals.

For Chariot, the September agreement adds economic exposure equivalent to approximately 4,000 bpd in return for services and support. Shell Western Supply and Trading’s role centers on acquisition financing. The company will provide all acquisition debt funding required at completion of the Chevron transaction.

Distributed by APO Group on behalf of African Energy Chamber.

 




 

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