SA consortium elated by Mossel Bay gas find

The SA consortium behind the major gas and oil find off the coast of Mossel Bay is exhilarated by the development.

“It is a fantastic result. We just want to drink Champagne now,” Jan Maier, director of Main Street 1549 consortium, which holds 10% in the prospect, said.

On Thursday last week, French oil and gas firm Total announced a significant discovery of gas condensate, which has opened a “world-class gas and oil play” in SA waters.

Gas condensate is predominantly gas, but with oil traces.

Independent experts say the project could generate R1-trillion for the SA economy over the next 20 years.

The block in which the discovery was made is operated by Total, which holds a 45% working interest.

Qatar Petroleum holds 25%, while CNR international has 20% – and Main Street 10%.

Main Street, 51%-owned by Phuthuma Nhleko’s Arostyle Investments, bought into the venture in 2017. Nhleko is the chair of mobile group MTN.

The remaining 49% of Main Street is held by Africa Energy Corporation, a Canadian exploration company.

Maier, the vice-president of exploration at Africa Energy, said Main Street had raised the funding proportionate to its 10% share in the venture.

Main Street will receive 10% of the commercial benefit.

“We have a 10% vote on any decisions and many decisions have to be unanimous, so we have the swing vote,” he said. –