PLETTENBERG BAY NEWS - Just weeks ahead of the expected Petroleum Agency of South Africa (Pasa) decision on a proposed oil and gas prospecting survey along the Southern Cape coast, Plettenberg Bay could soon see another attempt at prospecting off its shore, after a multibillion rand PetroSA oil and gas development deal was signed recently.
PetroSA, the national oil company of South Africa, and Rosgeo, a geological exploration company of the Russian Federation, signed an agreement at the annual Brics Summit on 4 September, which signifies an approximate R5-billion investment in oil and gas development.
The agreement involves the development in the exploration areas of blocks 9 and 11a off the southern coast.
PetroSA spokesperson Thabo Mabaso revealed that block 9 was off the coast of Mossel Bay while 11a was off the coast of Plettenberg Bay.
Within the framework of the agreement, Rosgeo is set to carry out more than 4 000km2 of 3-D seismic operations and more than 13 000km of gravity-magnetic exploration works, as well as the drilling of exploratory wells.
The project envisages extraction of up to 4-million cubic metres of gas daily. This will subsequently be delivered to PetroSA’s gas-to-liquids refinery in Mossel Bay.
'Too early for details'
“At this stage it is too early to provide any level of detail on a work programme, including whether and when environmental impact assessments (EIA) would be conducted,” Mabaso said.
Rosgeo chief executive Roman Panov, however, said in a statement that within the framework of the contract Rosgeo would use advanced technologies, including 3-D exploratory works, and modern seismic and drilling vessels.
It is these methods that have led to massive opposition to similar exploration plans within the Pletmos Basin.
The target area, about 2 500km2 off the basin, is located about 12km offshore and reaches up to 60km out to sea just east of Plettenberg Bay and just west of Cape St Francis.
After a series of public open days – as part of the EIA process for the project – some 400 stakeholder comments and a petition signed by 1 186 people were received. Pasa is set to reveal its decision in October.
The main issues raised by stakeholders include that the survey could have significant ecological impacts, specifically on marine fauna, due to the generation of underwater noise and the proximity of areas of environmental importance.
The proposed survey area is in the vicinity of nationally and internationally recognised important or protected areas.
'Strategic for country'
Central Energy Fund chair Luvo Makasi said the search for oil and gas resources remains very strategic for the country’s energy security and is extremely important to PetroSA’s continued and sustainable survival.
“South Africa’s oil and gas potential remains largely unexplored. This exploration effort presents significant upside to both the country and PetroSA. The upside for PetroSA is the possible expansion of our depleting gas resources.
"Discovery of hydrocarbons on our shores has the potential to bring significant revenues to the country and prove the country’s oil and gas prospectivity,” Makasi said.
“A find in block 9 and 11a would result in much-desired exploration activity of our onshore and offshore oil and gas potential. The country and PetroSA will benefit greatly from the find.
"From the perspective of PetroSA it will result in cheaper feed into the Mossel Bay refinery,” interim PetroSA chair Nhlanhla Gumede said.
ARTICLE: YOLANDÉ, KNYSNA-PLETT HERALD CORRESPONDENT
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