ENERGY PUSH: Aussie diggers target ‘world-class’ gas fields in Mpumalanga

An Australian energy company is planning to drill dozens of natural gas wells in South Africa's Mpumalanga province, aiming to supply cleaner fuel to local power stations and industries. The Perth-based Kinetico Energy group has identified a "world-class" gas field in southern Mpumalanga near Eskom's Majuba power station and Transnet's Lilly gas pipeline. The company estimates reserves at over six trillion cubic feet (6 tcf) of natural gas, with a 100% drilling success rate in its exploration blocks.

Kinetico Energy promises a "light touch" to the environment and does not plan to use fracking, but previous drilling issues with high water invasion and foam have raised concerns about potential groundwater pollution. The company's executive chairperson, Adam Sierakowski, emphasizes that the project will not negatively impact the region's environment and water resources.

However, environmental groups and farmers worry about the potential risks to groundwater, which is crucial for communities, agriculture, and ecosystems in a water-scarce region.

Opposition to the project comes from various quarters, including Free State Agriculture director Dr Jack Armour, who acknowledges the need for a precautionary approach to minimize any negative impacts on farming. Some residents also express concerns about the smell of gas, leading to divisions among locals. The Fair Finance Coalition of Southern Africa warns that investing in new gas projects may undermine South Africa's commitment to the Paris climate agreement and contribute to a high-carbon pathway.