Canada-listed Africa Energy Corp plans to begin production from South Africa’s largest gas discovery by 2033, marking a major step in the country’s transition from coal to cleaner energy sources.

CEO Robert Nicolella confirmed the timeline on Tuesday, saying the company is pressing forward with the Block 11B/12B project off South Africa’s southern coast after acquiring full operational control last year. This follows the exit of former operator TotalEnergies, who deemed the project too costly to develop for local use.

“Our 11B/12B indigenous gas should be very competitive versus imported LNG,” said Nicolella from the company’s Cape Town offices.

Africa Energy is currently awaiting regulatory approval for a reworked environmental authorisation to resume surveying activity. The company’s strategy aligns with South Africa’s broader energy goals, which include reducing dependence on coal-fired power and developing 6,000 megawatts of gas power capacity.

“We’re looking at ways to market the gas, but our preference is to supply a gas-to-power plant,” Nicolella added.

Africa Energy is also in talks with PetroSA to use its existing infrastructure, including the FA offshore platform and pipelines, to land gas from the Brulpadda and Luiperd fields to Mossel Bay.

“It could be a commercial alternative. It’s an option, without a doubt,” said Nicolella.

The company’s local subsidiary, Main Street 1549, now holds a 75% stake in Block 11B/12B, with Arostyle Investments owning the rest.

TotalEnergies, along with partners QatarEnergy and Canadian Natural Resources, exited the project in 2024, citing economic viability concerns. Despite this, Africa Energy is moving forward, hoping the use of local infrastructure and rising domestic demand will tilt the economics in their favour.

The project also fits into South Africa’s evolving gas strategy, which includes plans for the first LNG import terminal on the east coast and talks of buying gas from the United States.