South Africa May Tap Shale Gas Reserves

Bloomberg reported that South Africa’s Energy Minister is considering allowing the country’s shale gas reserves to be tapped using hydraulic fracturing, a process that has been banned in France and Bulgaria.

As quoted in the market news:

The government last year halted plans for hydraulic fracturing as it studied the environmental repercussions of allowing companies including Royal Dutch Shell Plc (RDSA), Falcon Oil & Gas Ltd. (FO) and Bundu Oil & Gas (Pty) Ltd. to employ the practice.

‘We are conflicted when it comes to the issues of shale gas,’ [Energy Minister] Peters told reporters in Cape Town today. ‘We have got to look at South Africa becoming self-reliant in energy resources. If extraction of the gas can be done safely, let’s go and do it.’

Click here to read the full Bloomberg report.