South Africa has lifted its long-standing moratorium on shale gas exploration, opening the door for the Karoo Basin, estimated to hold up to 200 trillion cubic feet of technically recoverable gas, to become a central pillar of the country’s energy security and industrial growth.
The African Energy Chamber (AEC) hailed the development as a “decisive step” toward unlocking South Africa’s onshore gas potential, diversifying its energy mix, and advancing a just and inclusive energy transition.
For years, the country’s gas strategy relied heavily on imports from Mozambique via the ROMPCO pipeline, limiting domestic supply and constraining industrial expansion. Onshore shale development, particularly near key industrial and power generation hubs, offers the potential to stabilize the power system, provide feedstock to local industries, and generate significant employment across the value chain.
The development could also accelerate the growth of South Africa’s liquefied petroleum gas (LPG) market, providing a cleaner and more affordable energy option for households and businesses. By integrating shale gas with LPG production and distribution, the country can reduce reliance on biomass and heavy fuels while supporting broader energy transition goals.
Environmental and social safeguards remain central to the plan. The Karoo Basin is a sensitive ecological region, and responsible development must include robust regulation, transparency, and adherence to modern standards. Drawing lessons from the United States, the AEC emphasized that hydraulic fracturing and horizontal drilling can deliver transformative energy outcomes while mitigating environmental impact.
NJ Ayuk, Executive Chairman of the AEC, highlighted the urgency of action: “Africa must stop watching others define the future of energy. The United States didn’t wait for perfect conditions to unleash its shale revolution, it acted. South Africa can and must do the same.”
According to the AEC’s State of African Energy 2026 Outlook, responsible onshore resource development, including shale, tight gas, and associated gas, will be critical to Africa’s energy transition. For South Africa, rapid development is essential to avoid missed opportunities in investment, energy security, and job creation. The AEC called for swift finalization of environmental guidelines, streamlined permitting, and strong partnerships between government, local communities, and the private sector.
With the right policies and investment, the Karoo Basin’s shale resources could transform South Africa’s energy landscape, supporting cleaner power generation, industrial growth, and sustainable economic development across the continent.
