Shell has received environmental authorization to drill up to five deep-water oil and gas wells in South Africa’s Northern Cape Ultra Deep Block, located within the Orange Basin, according to the Department of Mineral Resources and Energy. The approved wells lie at depths between 2,500 and 3,200 meters and form part of Shell’s strategy to expand upstream activities in Southern Africa.
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The Orange Basin has gained industry interest following major hydrocarbon discoveries in the adjacent Namibian sector. Shell’s drilling targets similar geological formations with the potential for commercial yields, according to company filings.
This approval follows the conclusion of a formal environmental impact assessment, which cleared Shell to proceed after prior legal challenges delayed its earlier projects along the east coast. Drilling operations are expected to commence following logistical preparations and compliance verification.
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According to government officials, the initiative supports South Africa’s effort to bolster domestic energy sources and reduce reliance on fuel imports amid declining refining capacity. The outcome of Shell’s exploration campaign is expected to influence future investor confidence in the country’s offshore oil and gas sector.
