South Africa’s Minister of Mineral Resources and Energy, H.E. Gwede Mantashe, has welcomed the arrival of oil and gas drill rig DeepSea Stavanger in Cape Town, in the Western Cape.
The rig, commissioned by oil and gas major Total and its partners, will drill the Luiperd prospect in Block 11B/12B offshore, located in the Outeniqua Basin in Mossel Bay, located in the Western Cape. The drilling campaign is expected to last between 180 and 300 days.
According to the Minister the arrival of the drill rig reaffirms confidence in South Africa as an investment destination of choice for the exploration of oil and gas. H.E. Mantashe said in a statement that the investment will enable South Africa to diversify its energy mix as envisioned in the Integrated Resources Plan.
The South African government will also support the project by finalizing the Upstream Petroleum Bill. The Bill aims to strike a balance between the need to attract investment into the oil and gas sector, while ensuring that oil and gas activities do not negatively impact on the environment and water resources.
Deepsea Stavanger is part of Total’s $400 million oil and gas exploration drilling campaign, Total will spend $85.5 million in South Africa to support the drilling program.