Shell has secured environmental authorisation to drill as many as five deepwater wells off the west coast of South Africa, according to a report by Reuters.
The approval of the oil & gas drilling project offshore South Africa follows the company’s application last year for drilling exploration or appraisal wells in the Northern Cape Ultra Deep Block within the Orange Basin.
The oil & gas drilling project will occur at 2,500m to 3,200m depth for oil & gas offshore South Africa.
Shell’s authorisation is part of a broader interest among oil companies in the Orange Basin, where significant discoveries have been made in neighbouring Namibia.
Competitors such as TotalEnergies are also considering prospects for drilling in the region, which stretches southwards into South African waters.
Shell highlighted the potential benefits of successful exploration, stating: “Should viable resources be found offshore, this could significantly contribute to South Africa’s energy security and the government’s economic development programmes.”
However, the company has not provided any specific timelines for the drilling operations.
The oil major’s previous exploration along the east coast of South Africa faced set-back due to legal complications over public consultation and environmental issues.
The ongoing litigation, which is slated for a hearing in South Africa’s highest court later this year, may affect the future of oil and gas exploration in the country.
The region has faced challenges in developing its oil and gas potential. The challenges included environmental pressures, legal hurdles, and bureaucratic processes.
The refinery capacity in South Africa has declined over recent years, and it is now highly relying more on refined petroleum products that are imported.
In other news, Libya’s National Oil Corporation has joined forces with BP and Shell to carry out hydrocarbon exploration and development studies in three Libyan oilfields.
The memorandum of understanding (MoU) with BP includes detailed studies in the Messla and Sarir oilfields, among others.
BP also intends to re-open its office in Tripoli by the last quarter of 2025 to manage projects and oversee progress in Libya.