CAPE TOWN – Canada-listed Africa Energy Corp has announced plans to start gas production by 2033 from Block 11B/12B, home to South Africa’s largest gas discovery, following TotalEnergies’ exit from the project in 2024.
The company is now awaiting regulatory approval for a revised environmental authorisation to continue its offshore survey work near the country’s southern coast. The Brulpadda and Luiperd fields within the block are seen as a vital part of South Africa’s energy diversification strategy, which aims to reduce the nation’s reliance on coal-fired power.
Strategic Importance Amidst Energy Shift
Speaking from the company’s Cape Town offices, CEO Robert Nicolella said the gas reserves from Block 11B/12B will be highly competitive compared to imported LNG, especially as South Africa prepares to launch its first LNG import terminal along the east coast.
“Our 11B/12B indigenous gas should be very competitive versus imported LNG,” Nicolella said.
South Africa is targeting the addition of 6,000 megawatts through new gas-to-power projects in the coming years, and Nicolella confirmed that Africa Energy prefers supplying a gas-to-power plant as the most viable commercial path for the project.
Potential Partnership with PetroSA
Africa Energy is currently in talks with state-owned PetroSA to potentially utilise its existing offshore and onshore infrastructure to land gas from Block 11B/12B.
The plan would involve linking to the FA offshore platform in nearby Block 9 via subsea pipelines, then transporting the gas to PetroSA’s Mossel Bay facilities.
“It could be a commercial alternative. It’s an option, without a doubt,” said Nicolella.
This strategy mirrors earlier considerations by TotalEnergies, who had also explored leveraging PetroSA infrastructure to fast-track development timelines.
From TotalEnergies Exit to New Operator Role
Africa Energy assumed operator status of Block 11B/12B through its majority-owned local subsidiary, Main Street 1549, after TotalEnergies, QatarEnergy, and Canadian Natural Resources exited the joint venture in July 2024.
At the time, TotalEnergies cited the project as “too challenging to economically develop” for South Africa’s domestic market—though they did not elaborate publicly on specific hurdles.
According to Africa Energy’s corporate filings, Main Street 1549 now holds a 75% interest in the block, with Arostyle Investments owning the remaining 25%.
Outlook
While significant challenges lie ahead—including financing, regulatory approval, and infrastructure logistics—Africa Energy is pushing forward with what could be a game-changing project for the country’s energy mix.
If successful, the Brulpadda and Luiperd fields could supply critical baseload capacity to South Africa’s electricity grid while also helping shield the economy from volatile global LNG prices.