South Africa’s oil-industry regulator expects Falcon Oil & Gas Ltd. and Bundu Oil & Gas Exploration Pty. Ltd. to submit updated applications next month for licenses to explore for shale gas in the semi-desert Karoo region.
“We are expecting to receive revised” environmental management programs from Falcon and Bundu at the end of February, the Petroleum Agency SA (PASA) said in an emailed response to questions. “It is expected that a decision by the minister will be made at the end of July or latest August.”
Falcon, Bundu and Royal Dutch Shell Plc are among the companies applying to explore the Karoo as South Africa seeks to tap as much as 11 Tcm (390 Tcf) of shale gas. PASA asked companies to remove references to hydraulic fracturing from their applications so they can be processed while relevant legislation is prepared.
The South African government on Oct. 16 published proposed regulations for hydraulic fracturing, after a 17-month moratorium on shale-gas exploration ended in September 2012.
The regulator said it hasn’t received any new shale gas applications.
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