South Africa’s Minister of Mineral Resources and Energy Gwede Mantashe is inviting global investors to bring capital and technology to the country’s energy market.
Speaking during an address in Cape Town on Wednesday, Minister Mantashe stated that, “We are inviting investors to come to South Africa and to work with the government,” specifically on oil and gas projects and decarbonization initiatives. South Africa is working towards monetizing its untapped oil and gas resources in a bid to address the country’s energy crisis.
Regional discoveries made in the Namibian side of the Orange Basin have highlighted the potential of offshore acreage, spelling new opportunities for exploratory success in South Africa.
According to the Petroleum Agency of South Africa, it is projected that South Africa holds an estimated 27 billion barrels of oil and 60 trillion cubic feet of natural gas. Minister Mantashe emphasized the importance of converting these valuable resources into economic wealth.
“The discovery of oil in Namibia is massive for us as a continent and as a region. That oil extends into our own waters,” he stated.
At the same time, climate change concerns have highlighted the need to transition to cleaner sources of fuel. In this context, South Africa is looking at decarbonization strategies that can be integrated into oil and gas developments.
“A transition is not an event but a journey. The debate is about the nature of the journey we must travel. We emphasize decarbonization but it is important to do both. There needs to be development but we must preserve the environment [in a way] that development is responsible.”