South Africa legislates for oil and gas future
The Ramaphosa government proposes new rules amid increasing global competition for IOC’s capital
The South African government published its long-anticipated draft oil and gas legislation on Christmas Eve, hoping it will usher in a new era of exploration and production. To combat the country’s energy deficit, it must pave the way for the rapid development of substantial recent discoveries, including Total’s huge Brulpadda field last February, and prospects. The domestic economy provides marketing potential to a range of potential industrial offtakers as well as new gas-to-power projects. Challenging offshore conditions, transportation to market issues, the global glut and historically low prices of gas—as well as the financial woes of potential anchor customer Eskom—dull the outlook. It
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