Image for illustrative purposes. Picture: iStock
The National Energy Regulator of South Africa (Nersa) made its jurisdiction clear in relation to TotalEnergies’ offshore interests.
Nersa was responding to reports stating that it had inside knowledge of the French company’s intentions around its project off the Mossel Bay coast.
The report suggested that TotalEnergies had made a U-turn on abandoning its stake in the project after discussions with the South African government.
Nersa stressed that its official quoted in the report was not a reflection of TotalEnergies’ position, and that the South African entity could not speak for the French petrochemicals giant.
“Nersa did not contact TotalEnergies, it simply provided clarification on regulatory requirements in response to the query received,” it stated via a press release.
The energy regulator said the topic of Block 11B/12B was mentioned in passing and that the discussion was over supply of gas and LNG projects.
“Nersa does not regulate activities pertaining to the upstream exploration for gas but only regulates midstream and downstream activities,”it stated.
Upstream relates to the search for oil reserves, while midstream defines storage and transportation. Downstream activities are the refining and distribution of petrochemical products.
The French giants announced the discovery of two gas reserves south of the South African coast in 2020.
Known as the Brulpadda and Luiperd wells, respectively, Block 11B/ 12B is located between 80 and 120km south of Mossel Bay.
The natural gas reserves are under the bedrock of the ocean floor and span roughly 19 000 square kilometres.
The project is a joint venture between TotalEnergies’ South African division, Qatar Energy and Africa Energy Corp.
Canadian National Resources had a 25% stake in the project, but Offshore Magazine recently reported that it had withdrawn from the project.
An Environmental and Social Impact Assessment was presented in September 2023, which confirmed the viability and desirability for the project.
Meanwhile, Africa Energy Corp confirmed its intentions to stay the course through its 10% stake.
The Citizen has contacted TotalEnergies for confirmation on its stance regarding Block 11B/12B. No response had been received at the time of publication and will be added should it be forthcoming.
