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Johannesburg - Shell wants its controversial hydraulic fracturing project proposed for the Karoo to set a global ecological example, the company's general manager Jan-Willem Eggink said on Tuesday.
“Why can't we make this project an ecological project for the world... if we talk to each other,” he told a conference on shale gas in Johannesburg.
“If we have appropriate consultation with the people living there... then tourism and farming will continue and the Karoo brand will be protected. But we need to talk and to listen, but that is difficult now because people are getting into their trenches,” he said.
Shell had submitted an environmental management plan, following the exploration application it made in December last year, to drill 24 boreholes over the next three years in test areas stretching across about 90 000 km² of the Karoo.
However, in April, the cabinet endorsed the department of mineral resources' moratorium on exploration licences in the Karoo, saying more research was needed before hydraulic fracturing – or fracking – can go ahead.
Fracking involves pumping a high pressure mixture of water, sand and chemicals into the shale bed to break apart the sedimentary rock and extract the gas.
Proposals have been made by Shell, Falcon Oil and Bundu Oil and Gas to explore shale gas deposits in the Karoo.
Farmers, residents and landowners in the Karoo, including billionaire businessman Johann Rupert, are opposed to fracking. Chief among their concerns is the large quantities of water fracking requires, as water is scarce in the Karoo and could potentially be contaminated.
Eggink told the conference Shell would abide by the country's water regulations.
“We have made it very clear we will not compete with the people of the Karoo for their water means,” he said.
It was not yet clear from where Shell planned to get the required water.
“We have to bring water in some shape and form, either through deeper water levels or rivers outside the area... or truck it in or through trains... or we could bring in sea water.”
Shell was also exploring ways to frack without using water, he added.
Those opposed to fracking were unconvinced.
The Treasure the Karoo Action Group national coordinator Jonathan Deal said the government had not fully investigated fracking in South Africa.
"A decision to frack is irreversible. In the absence of a comprehensive strategic environmental assessment involving all South Africans, there is no justification to issue an exploration licence to any applicant," he told the conference.
He called on the government to formalise the current moratorium, and for cabinet to instruct the department of minerals to consult all interested and affected parties on the findings of its task team on fracking.
Deal said there was not enough transparency on the task team and its terms of reference.
Fracking bans
An informal group of around a dozen anti-fracking protesters, led by Capetonian Marina Louw, demonstrated on Oxford Road outside the conference venue.
“Why have France banned it if there's nothing wrong with it? Why have Quebec banned it? Why have New Jersey banned it?” questioned Louw.
In May, French legislators voted to ban fracking. Quebec, in Canada, halted the practice in March pending further research.
Eggink, however, said shale gas may be South Africa's only answer to its energy deficit and to reducing its carbon footprint.
The country's energy at the moment came from coal, gas or imports. Other forms of energy, such as nuclear and renewable energy like solar and wind power, would take too long to develop.
If commercial quantities of shale gas were found in the Karoo, it could be a "game-changer for the country like it was in the States", he said.
He said the US was now looking to export shale gas and the gas price had dropped significantly there.
"Gas can be a complement to renewable energy going forward."
During the exploration phase, fracking would not create many jobs. If Shell went ahead with the development phase, it would invest "billions of dollars", which would have a "dramatic effect" on "direct and indirect jobs", through the establishment of an industry to service the drilling.
“Why can't we make this project an ecological project for the world... if we talk to each other,” he told a conference on shale gas in Johannesburg.
“If we have appropriate consultation with the people living there... then tourism and farming will continue and the Karoo brand will be protected. But we need to talk and to listen, but that is difficult now because people are getting into their trenches,” he said.
Shell had submitted an environmental management plan, following the exploration application it made in December last year, to drill 24 boreholes over the next three years in test areas stretching across about 90 000 km² of the Karoo.
However, in April, the cabinet endorsed the department of mineral resources' moratorium on exploration licences in the Karoo, saying more research was needed before hydraulic fracturing – or fracking – can go ahead.
Fracking involves pumping a high pressure mixture of water, sand and chemicals into the shale bed to break apart the sedimentary rock and extract the gas.
Proposals have been made by Shell, Falcon Oil and Bundu Oil and Gas to explore shale gas deposits in the Karoo.
Farmers, residents and landowners in the Karoo, including billionaire businessman Johann Rupert, are opposed to fracking. Chief among their concerns is the large quantities of water fracking requires, as water is scarce in the Karoo and could potentially be contaminated.
Eggink told the conference Shell would abide by the country's water regulations.
“We have made it very clear we will not compete with the people of the Karoo for their water means,” he said.
It was not yet clear from where Shell planned to get the required water.
“We have to bring water in some shape and form, either through deeper water levels or rivers outside the area... or truck it in or through trains... or we could bring in sea water.”
Shell was also exploring ways to frack without using water, he added.
Those opposed to fracking were unconvinced.
The Treasure the Karoo Action Group national coordinator Jonathan Deal said the government had not fully investigated fracking in South Africa.
"A decision to frack is irreversible. In the absence of a comprehensive strategic environmental assessment involving all South Africans, there is no justification to issue an exploration licence to any applicant," he told the conference.
He called on the government to formalise the current moratorium, and for cabinet to instruct the department of minerals to consult all interested and affected parties on the findings of its task team on fracking.
Deal said there was not enough transparency on the task team and its terms of reference.
Fracking bans
An informal group of around a dozen anti-fracking protesters, led by Capetonian Marina Louw, demonstrated on Oxford Road outside the conference venue.
“Why have France banned it if there's nothing wrong with it? Why have Quebec banned it? Why have New Jersey banned it?” questioned Louw.
In May, French legislators voted to ban fracking. Quebec, in Canada, halted the practice in March pending further research.
Eggink, however, said shale gas may be South Africa's only answer to its energy deficit and to reducing its carbon footprint.
The country's energy at the moment came from coal, gas or imports. Other forms of energy, such as nuclear and renewable energy like solar and wind power, would take too long to develop.
If commercial quantities of shale gas were found in the Karoo, it could be a "game-changer for the country like it was in the States", he said.
He said the US was now looking to export shale gas and the gas price had dropped significantly there.
"Gas can be a complement to renewable energy going forward."
During the exploration phase, fracking would not create many jobs. If Shell went ahead with the development phase, it would invest "billions of dollars", which would have a "dramatic effect" on "direct and indirect jobs", through the establishment of an industry to service the drilling.
