Shell awarded permit to study natural gas potential in central South Africa

The South African Petroleum Authorities (Petroleum Agency SA) today awarded Shell a Technical Cooperation Permit for a one-year study to determine the hydrocarbon potential in parts of the Karoo Basin in central South Africa.

The permit covers an area of approximately 185,000 square kilometres. The study will provide a better understanding of the area's geology and shale gas potential, establishing the scope to pursue natural gas exploration. Shell will have the exclusive right to apply for exploration permits following completion of the study.



"This onshore study and the recent award of offshore exploration acreage in the Orange Basin area together reinforce Shell's interest in exploring for oil and gas in South Africa," said Ceri Powell, Executive Vice President International Exploration.

Shell has been active in the South African retail markets since 1904 and in refining since 1963.