Africa Energy Corp. announced it has secured an extension to file a new Environmental and Social Impact Assessment (ESIA) for Block 11B/12B, located offshore South Africa. The new deadline is now set for May 4, 2026, offering the company strategic leeway amid a shifting regulatory landscape.
Legal ruling impacts offshore exploration projects
The extension follows a ruling by the Western Cape High Court that nullified an environmental authorisation for an unrelated party’s operations in offshore Blocks 5/6/7. The decision requires additional environmental assessments to be submitted to the Minister of Mineral and Petroleum Resources. The affected party has filed for leave to appeal to the Supreme Court of Appeal, introducing legal uncertainty across offshore projects in the region.
Africa Energy, through its interest in Main Street 1549 Pty Ltd., is currently assessing the necessary amendments to its ESIA. The company is working with legal advisors to evaluate the impact of the court’s decision on its application.
Production right contingent on environmental clearance
The company stated that obtaining environmental authorisation is a prerequisite for the issuance of the production right for Block 11B/12B. At this stage, there is no certainty about the timeline for the approval of the environmental authorisation once the revised ESIA is submitted.
Main Street currently holds a 10% interest in Block 11B/12B. Subject to regulatory approval by South African authorities regarding the withdrawal of consortium partners and completion of Main Street’s restructuring, Africa Energy expects to hold a 75% direct interest in the block.
Regulatory clarification remains pending
The finalisation of the restructuring and the assignment of the withdrawing parties’ interest remain conditional on the grant of the production right. In the meantime, Africa Energy continues to gather information and engage with relevant regulators to better understand the post-ruling regulatory framework.
The company indicated it will provide an update on the timing and status of the authorisation process once additional information is available.