Professional Documents
Culture Documents
Volume 1
Draft Environmental
Management Plan
South Western Karoo Basin Gas
Exploration Application:
CENTRAL PRECINCT
Shell Exploration Company B.V.
PASA Reference No. 12/3/220
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Completing and submitting the comment sheets enclosed with the reports; and
Submitting additional written comments by email, fax or by telephone to the public participation office.
PUBLIC MEETINGS
Ms Ashley Mitchel
112 Donkin Street
Beaufort West Municipality Beaufort West 023 414 8020
Beaufort West
6970
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Acronym Explanation
AQA Air Quality Act
AQM Air quality management
ARC Agricultural Research Council
BBBEE Broad Based Black Economic Empowerment
BEE Black Economic Empowerment
BID Background Information Document
BOP Blowout preventer
BTEX Benzene Toluene Ethylbenzene Xylene
BTU British thermal unit – heat energy required to raise temperature of one pound of
water one degree Fahrenheit
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Acronym Explanation
HCl Hydrochloric acid
HHP Hydraulic horsepower
HSA Hazardous Substances Act, 1973 (Act 15 of 1973)
HSE Health, safety, and environmental
I&APs Interested and Affected Parties
IOGCC Interstate Oil and Gas Compact Commission (a grouping of the 38 US State’s
that produce petroleum products oil and gas regulatory agency)
IRP Integrated Resource Plan
IWULA Integrated Water Use License Application
IWWMP Integrated Water and Waste Management Plan
KOP kick-off point
LDN Lightning Detection Network
MT Magneto-Telluric
NAAQS National Ambient Air Quality Standards
NEM National Environmental Management
NEMA National Environmental Management Act, 1998 (Act 107 of 1998)
NEMWA National Environmental Management: Waste Act, 2008 (Act 59 of 2008)
NGDB National Groundwater Data Base
NGL Natural gas liquids
NGO Non-governmental Organisation
NHRA National Heritage Resources Act, 1999 (Act 25 of 1999)
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Acronym Explanation
PASA Petroleum Agency of South Africa
RCRA Resources Conservation and Recovery Act
SABS South African Bureau of Standards
SAHRA South African Heritage Resources Agency
SALT Southern African Large Telescope
SANS South African National Standards
SAWS South African Weather Services
SOEKOR Southern Oil Exploration Corporation
SP Significance points
USEPA United States Environmental Protection Agency
VAC Visual absorption capacity
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UNITS OF MEASUREMENT
kPa Kilopascal
l Litres
l/s Litres per second
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TERMINOLOGY/DEFINITIONS
Acid frac – A process after fracturing where acid is used to etch the formation to increase the formation
conductivity that could increase production.
Alternative energy - energy, such as solar, wind, or nuclear energy, that can replace or supplement
traditional fossil fuel sources, such as coal, oil, and natural gas.
Annulus – Open space between the well bore (hole) and the casing or between two different sizes of
casing.
Barrel of oil equivalent – Unit of energy that is released by burning one barrel of crude oil.
Bitumen - A dark, gooey type of oil that can be refined to make petroleum products.
Blender – A piece of machinery of fluid mixture and addition of the proppant to the fracing fluid.
Blowout – When pressures at depth cause fluids to enter the well bore at uncontrolled rates.
Blowout Preventer – A valve that is used to close the well in the event of loss of pressure control in the well
bore to prevent a blowout.
Bottomhole – Location at the end of the well bore.
Bottomhole assembly – Equipment located at the end of the drill string to supply mud, measurements, and
drill bit.
Casing – Pipe lowered into a well bore to stabilize and provide support to the well down to the target
formation.
Cement/cementing – Material used to seal off formations and used to stabilize casing used in the well bore.
Cement sets up to form connect the casing to the well bore walls.
Ceramic proppant – A proppant [see proppant] that is composed of a ceramic material. Although more
expensive, ceramic proppants may yield to more production compared to sand-based proppants.
Completion – Finishing a well so that gas or oil production can commence.
Completion – “Completing the well” The process of casing, perforating, fracing the well.
Conventional Gas – Gas that is produced from conventional reservoirs using conventional techniques.
Traditional natural gas reserves include gas associated with oil production and gas that reserves that are not
associated with oil production. In general, these reserves are produced from porous or high permeability
sedimentary formations such as sandstones using vertical drilling techniques.
Cuttings – Waste rock material from the process of drilling the well bore.
Downhole – A location in the well bore
Drill bit – A tool used to crush rock to make the well bore.
Drill pipe – Pipe used to connect the rig to the drill bit and bottomhole assembly.
Drilling motor – Used to power and rotate the drill bit.
Emulsifier – A chemical used to stabilize fracing fluid. Surfactants can be used as an emulsifier to break
down surface tension, to help mix different chemicals in fracing fluid.
Fairway – The connection between perforations and the formation through which oil or gas flows to the well
bore
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Greenhouse gases - Waste gases given off by industrial and power plants, automobiles, and processes that
trap the heat of the sun in Earth’s atmosphere, producing the greenhouse effect. The major greenhouse
gases are water vapour and carbon dioxide. Lesser greenhouse gases include methane, ozone,
chlorofluorocarbons, and nitrogen oxides.
Horizontal drilling – The process of changing the well bore to a horizontal direction at a target formation to
increase amount of production.
Horizontal leg – The part of a directional well bore that is horizontal and usually in the target formation.
Horizontal well – A well that had horizontal drilling done to increase production (see horizontal drilling).
Hydrocarbons - Any class of compounds containing only hydrogen and carbon. Crude oil is primarily a
mixture of hydrocarbon compounds. Fuels made from hydrocarbons, such as natural gas, liquefied
petroleum gas, coal gas, and refinery gas, can be distributed by pipeline.
Kick-off point (KOP) – The point at which the well bore begins to turn from vertical towards horizontal,
usually located 500 feet above the target formation.
Lateral – Another name for the horizontal portion of the well bore.
LAeq,I dB(A) - the A-weighted equivalent sound level using the ‘I’ (Impulse) dynamic response characteristic
as recommended in SANS 10103:2008 (ref. 1).
LAMin dB(A) - the minimum A-weighted sound level recorded during the period of measurement.
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Naturally Occurring Radioactive Material (NORM) – Radioactive materials that occur naturally and expose
people to radiation occur widely and are known by the acronym 'NORM'. Exposure to NORM is often
increased by human activities, such as burning coal, making and using fertilizers, oil and gas production.
Radon is a commonly known occurrence of NORM. Cement and shales are sources of NORM.
Perf Gun – Electronic downhole tool that detonates small charges creating perfs in the production casing.
Perf or Perforate – Opening the well bore to connect it to the desired formation.
Permeability – The ability, or measurement of a rock's ability, to transmit fluids, typically measured in
darcies or millidarcies. The term was defined by Henry Darcy, who showed that the common mathematics of
heat transfer could be modified to adequately describe fluid flow in porous media.
Petrochemical - A chemical substance produced from petroleum or natural gas, such as gasoline,
kerosene, or petroleum.
Plug – A device placed in the casing to seal off a portion of the well bore (usually cement). This can be
permanent or temporary.
Produced water – Water that is produced from a well during oil and/or gas production. This water comes
from the producing formation.
Production casing – The final string of casing used to access the reservoir for extracting fluids. Production
casing is placed inside the surface casing.
Proppant – Material used (commonly sand) to hold fractures open after pressure is released in the well
bore.
R% - The relative humidity at the time of the measurement.
Renewable energy - Energy resources that Can be easily “renewed” or made. Forms of renewable energy
include solar, wind, biomass, hydroelectricity, and geothermal energy.
Rig - The machine used to drill a wellbore. In onshore operations, the rig includes virtually everything except
living quarters. Major components of the rig include the mud tanks, the mud pumps, the derrick or mast, the
draw works, the rotary table or topdrive, the drillstring, the power generation equipment, and the auxiliary
equipment. Offshore, the rig includes the same components as onshore, but not those of the vessel or
drilling platform itself. The rig is sometimes referred to as the drilling package, particularly when offshore.
Rotary drilling – An efficient way of drilling that uses a quickly rotating bit to cut through rock. Because the
bit rotates continuously, cuttings are constantly swept away, while fluid circulates through the bit and up the
wellbore.
Seismic survey - A method of finding oil and natural gas by measuring the time it takes acoustic shock
waves to travel through layers of Earth, reflect off of oil deposits, and return to the sender. The longer it takes
the waves to travel to the oil reservoir and back, the farther down it must be.
Shoe or Heel – The bottom of the casing. Cement is pumped through the shoe to “set casing” and then the
shoe is usually plugged.
Stimulation – A variety of different methods (e.g. hydraulic fracturing) used to increase well production.
String – A length of pipe or casing.
Surface casing – A shallow string of casing used to protect fresh water sources and to provide structural
support for later stages of drilling.
Surface location – Place where the well bore begins at the surface, from where all drilling is done.
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Tight reservoirs – Formations such as shales and some sandstones that do not have enough natural
permeability to allow hydrocarbons to flow through the rock.
Tool or downhole tool – Term used to identify any device that is placed in the well bore other than drill pipe,
casing, and the drill bit.
Tripping pipe – The process of removing or replacing the drill string.
Unconventional Gas – Gas that is produced using non-standard recovery techniques. While an exact
definition is difficult to provide, unconventional natural gas is gas that is more difficult or less economical to
extract, usually because the technology to reach it has not been developed fully, or is too expensive.
Sources of unconventional gas include coal beds (coal seams), tight sands, and shales. Hydraulic
fracturing, directional and horizontal drilling, and multi-staged frac jobs are all considered unconventional
recovery techniques.
Upstream - Exploration for and extraction of oil and natural gas, and the built and operation of the
infrastructure necessary to deliver these hydrocarbons to the market.
Well bore – A hole in the ground that is drilled to a target formation to access oil and gas reserves.
Well head (Christmas tree) – The above surface portion of the well through which gas flows and the well is
operated once placed into production.
Wireline – Wire that enters the well bore or casing to accomplish tasks such as controlling the perf gun or
taking FMI readings.
W m/s – The maximum wind speed measured during the measurement period.
In the Comments column of the noise tables, C - Car, Minibus or LDV, HGV – Heavy Goods Vehicle or Bus,
A/c – Commercial airliner, La/c – light aircraft, H – Helicopter.
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Table of Contents
2.2.1 Natural gas in the South African energy context ................................................................................... 12
2.6 How this links to the proposed Karoo shale gas exploration ....................................................................... 16
3.4.1 The National Environmental Management Act (Act 107 of 1998) ......................................................... 21
3.4.2 National Environmental Management: Biodiversity Act (Act 10 of 2004) .............................................. 27
3.4.3 National Environmental Management: Waste Act (Act 59 of 2008) ...................................................... 28
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3.4.7 Strategic environmental assessment and Environmental Management Frameworks ........................... 30
4.5.1.2 Regional Level Vegetation: Types in the Central Precinct ................................................................. 45
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5.3 Location of the proposed exploration phase project activities ..................................................................... 74
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8.2 Exploration activities that could potentially impact the environment ......................................................... 116
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9.7.4.8 Non-Hazardous Solid Waste and Domestic Wastewater Management Plan ................................... 172
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TABLES
Table 1: Comparison of greenhouse gas related energy emission by fossil fuel in combustion (EIA, 1998). .................... 11
Table 2: Possible listed activities from NEMA Listing notice 1 (GN R544) which could be triggered at various
stages in the gas development process .......................................................................................................... 23
Table 3: Possible listed activities from NEMA Listing notice 2 (GN R545) which could be triggered at various
stages in the gas development process (see also Table 2).............................................................................. 24
Table 4: Possible listed activities from NEMA Listing notice 3 (GN R546) which could be triggered at various
stages in the gas development process (see also Tables 2 and 3). ................................................................. 25
Table 5: Long-term annual average temperature and relative humidity statistics (WB40, 1984)....................................... 37
Table 6: Monthly dry bulb temperature statistics for 2010 ................................................................................................. 37
Table 7: MAP, Monthly Average, Maximum and Minimum monthly rainfall depths ........................................................... 38
Table 8: The 2, 5, 10, 20, 50, 100 and 200 year return period 24-hour rainfall depths (mm/month) ................................. 39
Table 9: Summarised drilling depths in the precinct .......................................................................................................... 52
Table 10: Summarised depths to water level in the precinct ............................................................................................. 53
Table 11: Distribution of water quality (EC) in the precinct ................................................................................................ 53
Table 12: Registered agricultural and domestic use in the precinct .................................................................................. 54
Table 13: Precincts in relation to municipal boundaries .................................................................................................... 61
Table 14: Central Precinct Population Distribution ............................................................................................................ 63
Table 15: GVA per Sector 2009 ........................................................................................................................................ 66
Table 16: Central Precinct Crime Statistics, 2009 ............................................................................................................. 67
Table 17: Central Precinct HIV/Aids, 2010 ........................................................................................................................ 68
Table 18: Currently available “Green Chemistry” hydraulic fracturing chemical additives available by Industry
Suppliers .......................................................................................................................................................... 88
Table 19: Industry Third Party Example: list of additives used by Industry, at the Eagle Ford Shale, Texas, USA
producing assets .............................................................................................................................................. 90
Table 20: Industry Third Party Example: Choices available to a Company for the selection of chemical additives to
be used during hydraulic fracturing process ..................................................................................................... 92
Table 21: describes, for different drilling depths and objectives, the typical ranges of water volumes which may be
required during exploratory drilling operations ................................................................................................. 93
Table 22: Preliminary criteria to use in refining possible locations for well sites (Note: these criteria will be further
defined during the EIA)................................................................................................................................... 109
Table 23: Fossil fuel emission levels – pound per billion Btu of energy input .................................................................. 113
Table 24: Technical Assessment Matrix for the proposed South Western Karoo Basin Gas Exploration Application
Project –Well site preparation ........................................................................................................................ 124
Table 25: Technical Assessment Matrix for the proposed South Western Karoo Basin Gas Exploration Application
Project –Exploration Drilling ........................................................................................................................... 136
Table 26: Noise level in dB(A) at certain distances from the drilling site centre (worst case) .......................................... 144
Table 27: Technical Assessment Matrix for the proposed South Western Karoo Basin Gas Exploration Application
Project –Hydraulic Fracturing ......................................................................................................................... 145
Table 28: Technical Assessment Matrix for the proposed South Western Karoo Basin Gas Exploration Application
Project –Decommissioning ............................................................................................................................. 150
Table 29: Safe Handling Procedures for Petroleum Products ......................................................................................... 173
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FIGURES
Figure 1: Proposed shale gas exploration right applications at a glance. ............................................................................ 2
Figure 2: The Central Precinct application area, showing also the notional drilling areas. Up to eight wells may be
drilled in the precinct .......................................................................................................................................... 4
Figure 3: The application process for shale gas exploration rights and environmental processes required ........................ 5
Figure 5: Projected sources of the world’s energy supply, to 2030. (CCS is carbon capture and storage
technology). Units are terawatts. From IEA, World Energy Projection System Plus (2010) ............................... 9
Figure 6: These well cores were brought to the surface by Soekor in the 1960s. They are from the Whitehill
Formation which is on eof the hydrocarbon-bearing strata in the Ecca Group of the Karoo............................ 14
Figure 7. Comparative rates for coal, natural gas, and synthetic natural gas life-cycle GGE in electricity generation
as well as just the combustion phase for coal and natural gas. From Jaramillo and co-authors, as
posted by Allmendinger . .................................................................................................................................. 15
Figure 8: Well cores from the 1960s drilling for oil exploration are still being kept at the National Core Library at
Donkerhoek outside Pretoria, managed by the Council for Geoscience .......................................................... 16
Figure 9: Cross Section of the Main Karoo Basin (reproduced from Woodford 2002) ....................................................... 33
Figure 10: Schematic Aerial Distributions of Lithostratigraphic Units in the Main Karoo Basin (reproduced from
Woodford 2002)................................................................................................................................................ 33
Figure 14: Characteristic Expansive Landscape with dolerite capped range of hills ......................................................... 36
Figure 21: Photograph taken in the Gamka Karoo vegetation type near Nelspoort .......................................................... 48
Figure 22: Photograph taken in the Southern Karoo Riviere vegetation type near Three Sisters ..................................... 48
Figure 23: Photograph taken in the Eastern Upper Karoo vegetation type near Victoria West ......................................... 49
Figure 24: Photograph taken in the Upper Karoo Hardeveld vegetation type near Murraysburg ...................................... 49
Figure 26: Homestead Water Supply Boreholes equipped with Submersible Pump and Windpump ................................ 54
Figure 27: Typical vista of a flat Karoo Plain with flat capped dolerite hills. ...................................................................... 55
Figure 28: Wide open plains with little vegetation cover. ................................................................................................... 56
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Figure 31: Illustration of possible areas within which a suitable well site may be identified for future exploration
drilling activities ................................................................................................................................................ 76
Figure 32: Well cores from the 1960s Soekor exploration for oil in the Karoo ................................................................... 77
Figure 33: MT sensors like these are placed on the ground for a period of a day, gathering data .................................... 77
Figure 36: Close-up of down hole measuring device which contains a small radioactive source used to record rock
type inside the bore hole .................................................................................................................................. 83
Figure 37: Directional head off a perforating gun used to punch a hole through the well casing inside the shale
layer ................................................................................................................................................................. 83
Figure 39: Dots in these images indicate the locations of micro-seismic events generated as the rock in a well in
Shell’s Unconventional gas field (Pinedale, Wyoming, America) fractured ...................................................... 87
Figure 40: Public Consultation Process towards the development of the EMP for exploration (not production) -
Central Precinct .............................................................................................................................................. 102
Figure 41: Materials that were made available at the open houses for Stakeholders to take home ................................ 103
Figure 42: Posters displayed at the open house in Victoria West ................................................................................... 103
Figure 43: Sreejeeta Datta from Shell explains the environmental authorisation process at the open house in
Beaufort-West. ............................................................................................................................................... 103
Figure 44: Toni Pietersen from Golder helps local farmers to locate their farms in the map books to confirm details..... 103
Figure 45: During the discussion session at the public meeting in Murraysburg farmers wanted to know what the
impacts of hydraulic fracking would be on downstream groundwater resources ............................................ 104
Figure 46: Mr Johan Mans, a farmer and businessman who attended the public meeting in Murraysburg officially
hands over a memorandum of questions and concerns for the environmental specialists to consider
during their studies ......................................................................................................................................... 104
Figure 47: Left and right: Stakeholders in the Graaff-Reinet area attended the public meeting in Graaff-Reinet
where the community asked what kind of guarantees Shell could provide in case of a pollution incident
during the hydraulic fracturing process of gas exploration. ............................................................................ 104
Figure 48: Environmental process to the stage of completion of a NEMA Environmental Impact Assessment prior
to hydraulic fracturing of wells ........................................................................................................................ 108
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APPENDICES
Appendices are attached in Volume 2 – see index to Volume 2 below.
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1.0 INTRODUCTION
This draft Environmental Management Plan (EMP) is presented to stakeholders (interested and affected
parties) in draft for their comment, and will be presented at a series of meetings in March 2011.
Once finalised, the EMP will be submitted to the Petroleum Agency of South Africa (PASA),the designated
authority1 in terms of the Mineral and Petroleum Resources Development Act (MPRDA) (Act28 of 2002), as
part of an application for a gas exploration right by Shell Exploration Company B.V. (the name Shell is used
in this document to refer to this company). Should the exploration right be granted, it will be valid for three
years, but may be extended three times for a total exploration period of nine years.
This EMP relates to the exploration right application referred to as the South West Karoo Gas Exploration
Application: Central Precinct (PASA Reference No. 12/3/220). The application area intersects Western
Cape, Northern Cape and Eastern Cape, and falls within the Central Karoo, Pixley ka Seme, Chris Hani and
Cacadu district municipalities. Appendix 1 in Volume 2 contains a list of properties in this application area.
Shell has also submitted two other applications for consideration by PASA, with Reference numbers
12/3/219 (Westen Precinct); and 12/3/221 (Eastern Precinct) respectively (see map in Figure 1). Separate
EMPs are available for these applications.
Gathering geophysical data. This data acquisition process is largely non-intrusive and does not
involve drilling or significant excavation, together with
Drilling of up to eight exploration wells of up to 5 000 m deep to identify the shale layer. If the shale
layer cannot be found or no hydrocarbons are detected, fewer wells may be drilled. Well sites will be
approximately 100 m x 100 m. Additional land may be required for access roads, supply base,
accommodation etc. The total footprint is not expected to exceed 20 ha of the 30 000 sq km (3 million
ha) application area. A well will require between 0.3 and 6 Mega litres (million litres) of water,
depending on its depth, nature of the underground rock and whether hydraulic fracturing is required.
Various alternatives for obtaining water will be evaluated in detail once actual drill site locations have
been selected and will be subject to approvals under the National Water Act (Act 36 of 1998).
Gas stimulation (hydraulic fracturing and testing). If the shale layer cannot be found or no
hydrocarbons are detected, hydraulic fracturing may not be used. Fracturing would only be performed if
hydrocarbons are found following the drilling of vertical exploration wells. Hydraulic fracturing may take
place following drilling of the vertical borehole, if the vertical borehole intersects the shale layer, or
hydraulic fracturing may take place at a later stage once a horizontal borehole has been drilled into the
identified shale layer.
1
In terms of section 103 of the MPRDA, the Minister has delegated her powers in respect of the consideration of and issuing of applications for exploration rights to the Director
General of Mineral Resources. Further, in terms of section 70, the Minister has designated the South African Agency for the Promotion of Petroleum Exploration and Exploitation
(Pty) Ltd, known as the Petroleum Agency South Africa (Proprietary) Limited or “PASA”, to perform the functions as set out in Chapter 6 of the Act. PASA therefore administers this
application for an exploration right. However, the Director General, and not PASA, is the authorising authority.
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Eastern Precinct
Central Precinct PASA application reference no
PASA application reference no 12/3/221
12/3/220 30 000 sq km
30 000 sq km Separate EMP
Separate EMP
Western Precinct
PASA application reference no
12/3/219
30 000 sq km
Separate EMP
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Draft EMP for Application for Gas Exploration in the Western Karoo (Central
Precinct) by Shell Exploration Company B.V
A full project description is given in Chapter 5. Figure 2 shows the application area (the Central Precinct)
covered by this EMP and notional areas, which are broad indications based on a combination of regional
geology and information gained from the 1960s exploration data by Soekor, indicating where Shell could
choose to focus their initial exploration effort to better understand geology and demonstrate the existence of
shale layers deep under the ground. It is however not yet certain where drilling will take place, and no drilling
sites have yet been determined. Up to eight drill sites per precinct may be drilled during the exploration
process. Typically not all boreholes will encounter gas bearing zones. Therefore, not all boreholes are likely
to require hydraulic fracturing.
The approach followed in compiling this draft EMP document has been to identify and assess potential
impacts in a broad, regional context, as well as to assess specific exploration activities generically but not in
a site-specific context. A typical gas exploration well was used to assess potential impacts and to develop
indicative mitigation measures. This content of and recommendations made in this EMP document should, to
a large extent, also be viewed as critical input to a later scoping phase, where the required NEMA EIA will be
performed.
2
MPRDA: From section 17 and section 39(2)8 (as read with, 69(2)(a)9) it is clear that the reference to an “environmental
management programme” is an error and that that section 79(4)(b) must refer to an “environmental management plan”. PASA routinely
accepts environmental management plans in compliance with the content requirements as prescribed in regulation 52(2) and therefore
clearly accepts the fact that section 79(4)(b) incorrectly refers to a “programme” instead of a “plan” (Kenneth Cameron, B Proc,
Cameron Cross, Pers Com, February 2011).
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Draft EMP for Application for Gas Exploration in the Western Karoo (Central Precinct) by Shell Exploration Company
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Figure 2: The Central Precinct application area, showing also the notional drilling areas. Up to eight wells may be drilled in the precinct
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This plan needs to be submitted within 120 days of the application having been accepted.
However, should an exploration right be granted, the applicant may proceed only with those gas exploration
activities that do not trigger a listed activity under the National Environmental Management Act (NEMA).
Drilling and hydraulic fracturing will trigger listed activities under the NEMA (see Chapter 3, Legal
Context). Thus, an Environmental Impact Assessment under the NEMA will be required before
drilling and hydraulic fracturing can commence, including a rigorous process to determine drill sites
in consultation with land owners. This is discussed further in Chapter 7, Alternatives, and Chapter 11,
Conclusions and Recommendations.
ENVIRONMENTAL PROCESSES FOR SHALE GAS EXPLORATION
APPLICATION AND ENVIRONMENTAL
EXPLORATION PROCESS ASSESSMENT PROCESS
Mineral and Apply for Technical
Petroleum Resources None required
Cooperation Permit
Development Act
Mineral and
Mineral and Environmental
Apply for exploration Petroleum Resources
Petroleum Resources Management Plan, no
rights Development Act
Development Act EIA process s 39 (2)
If application right
granted:
Environmental
National
Data acquisition
and drilling + Hydraulic fracturing
of some drill sites
Impact Assessment
process and updated
EMP
Environmental
Management Act
(NEMA).
Drilling and hydraulic
fracturing will trigger listed
activities under the NEMA
Figure 3: The application process for shale gas exploration rights and environmental processes required
“that such EAP (environmental assessment practitioner) (must have) no business, financial, personal
or other interest in the activity, application or appeal in respect of which that EAP is appointed in
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terms of these Regulations other than fair remuneration for work performed in connection with that
activity; or that there are no circumstances that may compromise the objectivity of that EAP in
performing such work.”
Thus, the task of environmental consultants is not to promote a project but to provide credible, objective and
accessible information to government and other stakeholders, so that an informed decision can be made
about whether to proceed or not. The consultants are legally bound to critically consider both the potential
negative and positive impacts of the proposed project.
Golder Associates is a 50-year old wholly employee-owned company with a strong culture of ethics and
values. In a recent global participation process amongst the company’s 7 000 employees, the highest
standard of integrity and ethical behaviour were re-affirmed as the fundamental value of the company.
We hope that the information provided in this EMP, and the balanced manner in which it is presented,
considering both negative and positive impacts, illustrates that the work is unbiased. In making draft
recommendations in the report, Golder has consulted widely with landowners and other stakeholders, and
will continue to do so during the period in which the report is finalized.
Chapter 1 is the introduction and amongst other gives a quick overview of the proposed project,
highlighting key aspects and new information;
Chapter 2 provides the international and national context for and history to the proposed project,
outlining the role of gas in an energy context, South Africa’s energy situation, the role of hydraulic
fracturing in shale gas production and the concerns associated with the technology in the USA, and
previous exploration in the Karoo by Soekor;
Chapter 3 sets the legal context for gas exploration in South Africa and lists the key laws and
regulations applicable ;
Chapter 4 describes the existing environment – the Karoo. It summarises knowledge about the existing
physical, biological, social and cultural environment upon which the proposed project may impact;
Chapter 5 describes the applicant and proposed exploration project, outlining Shell as a company, and
describing the intended steps in and project requirements for gas exploration;
Chapter 6 outlines how the assessment for the EMP was conducted, both technical assessment and
public consultation. It summarises stakeholder issues contributed during the process, and outlines the
requirement for an Environmental Impact Assessment under the National Environmental Management
Act (NEMA) prior to drilling and hydraulic fracturing;
Chapter 7 describes the project alternatives, including selection of drill sites should the application be
approved by PASA, and the ‘no project’ alternative;
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Chapter 8 describes the potential impacts of the proposed project in terms of a range of environmental
and social aspects;
Chapter 9 contains the Environmental Management Plan which will become legally binding on the
applicant should the exploration right be granted;
Chapter 10 contains an undertaking by the applicant, required by the Mineral and Petroleum Resources
Development Act;
Chapter 11 states the consultants’ conclusion and recommendations pertaining to the proposed project
and includes the environmental consultants’ statement of independence; and
Chapter 12 lists the references cited in the report and technical assessment studies.
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40
35
30
25 Liquids
Renewables
20
Natural gas
15
Coal
10 Nuclear
5
0
2007 2015 2020 2025 2030 2035
3
The UN Summit on the Millennium Development Goals, 20-22 concluded with the adoption of a global action plan to achieve the eight anti-poverty goals by their 2015 target date. See
http://www.un.org/millenniumgoals/
4
Richard E. Smalley, 2005. Future Global Energy Prosperity: The Terawatt Challenge. MRS Bulletin Vol. 30 June 2005. www.mrs.org/publications/bulletin
5
Derived from EIA, International Energy Statistics database (as of November 2009), web site www.eia.gov/emeu/international. Projections: EIA, World Energy Projection System
Plus (2010)
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ompany B.V
8
Deep water ahead
d? The outlook for the oil and gas industrry in 2011. The Econo
omist Intelligence Un
nit Limited 2011.
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9
Deep water ahead? The outlook for the oil and gas industry in 2011. The Economist Intelligence Unit Limited 2011; IEA Natural Gas Information 2010 at
http://www.iea.org/publications/free_new_Desc.asp?PUBS_ID=2044
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Coal and fuel oil also release ash particles into the environment, substances that do not burn but instead are
carried into the atmosphere and contribute to pollution. The combustion of natural gas releases very small
amounts of sulphur dioxide and nitrogen oxides, virtually no ash or particulate matter, and lower levels of
carbon dioxide, carbon monoxide, and other reactive hydrocarbons.
In a major study by the United States Environmental Protection Agency (USEPA) and the Gas Research
Institute (GRI) in 1997, aimed at determining whether the reduction in carbon dioxide emissions from
increased natural gas use would be offset by a possible increased level of methane emissions, it was
concluded that the reduction in emissions from increased natural gas use strongly outweighed the
detrimental effects of increased methane emissions. Thus, the study supported the increased use of natural
gas in the place of other fossil fuels as a means of reducing emissions of greenhouse gases globally.
The combustion of natural gas does not contribute significantly to smog formation due to low levels of
nitrogen oxide emission and virtually no particulate matter emission. For this reason, where natural gas is
used for power generation, this will help smog alleviation strategies where air quality is poor, since the
principal contributors to acid rain are emissions from coal-fired power plants.
Natural gas contains very low concentrations of sulphur and nitrogen oxides (Table 1). These are the
pollutants primarily responsible for acid rain damages to soils, water and crops, forests and structures. These
benefits to air quality are of special potential value, where the burden on non-communicable disease is 2-3
times higher than in the developed world, and in which pulmonary disease associated at least in part with
poor air quality is highly prevalent, and which disproportionately affect mortality and morbidity among
children under five years of age10.
Although natural gas in the combustion phase is a clean energy option, and this offers an important potential
national benefit to South Africa, its life-cycle emissions are less advantageous, and local emissions during
production may be problematic (see section 2.5 below).
10
Bongani M Mayosi, Alan J Flisher, Umesh G Lalloo, Freddy Sitas, Stephen M Tollman, Debbie Bradshaw, The burden of non-communicable diseases in South Africa. www.thelancet.com
Published online August 25, 2009 DOI:10.1016/S0140-6736(09)61087-4; Debbie Bradshaw, Pam Groenewald, Ria Laubscher, Nadine Nannan,Beatrice Nojilana, Rosana Norman, Desiréé Pieterse
and Michelle Schneide. Initial estimates from the South African National Burden of Disease Study, 2000. MRC Policy Brief No. 1, March 2003. http://www.mrc.ac.za/policybriefs/initialestimates.pdf
11
National Climate Change Response Green Paper 2010 at http://www.polity.org.za/article/national-climate-change-response-green-paper-2010-2010-11-18
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The Green Paper notes that ‘South Africa is both a contributor to, and a potential victim of, global climate
change given that it has an energy-intensive fossil-fuel powered economy and is also highly vulnerable to the
impacts of climate variability and change.’ Government accepts that although there will be costs with South
Africa’s greenhouse-gas reduction efforts, there will be significant social and economic benefits, and that
these costs will be far less than the costs of delay or inaction.
In the Green Paper, Government commits to taking a balanced approach to both climate change mitigation
and adaptation response. It prioritises mitigation interventions ‘that significantly contribute to a peak, plateau
and decline emissions trajectory where greenhouse gas emissions peak in 2020 to 2025 at 34% to 42% of a
business-as-usual baseline, plateau to 2035, and begin declining in absolute terms from 2036 onwards – the
same commitments the country made at the Copenhagen Conference of the United Nations Framework
Convention on Climate Change (UNFCCC) Parties in December 2009. Mitigation interventions that have the
potential to create jobs, alleviate poverty, and have general economic benefits, are to receive priority.
There is a direct link between energy and the achievement of the Millennium Development Goals (MDG)12.
South Africa is necessarily committed to addressing energy poverty as an essential element of its
development strategy, since this a key part of lifting people out of poverty, and supporting the progress in
health (especially among children) and education needed to achieve this upliftment. Providing access to
safe, clean modern energy for all South Africans means increased electricity generation: 20% of South
African households do not yet have access to electricity13, while 28%14 still use indoor fires or paraffin stoves
for cooking and heating, a significant source of childhood mortality and morbidity (and South Africa’s under-
five-year-old mortality rate was still 104 per thousand in 2007, according to South Africa’s MDG report for
2010).
Since the energy sector is the largest contributor to greenhouse-gas emissions (GGE) in South Africa, the
Green Paper is clear that successful climate change mitigation in South Africa must focus on this sector.
South Africa’s disproportionate (to economic output) GGE profile is also becoming a source of economic
vulnerability, in a world in which barriers to trade based on the carbon intensity of traded goods are
beginning to emerge.
The Green Paper identifies energy efficiency measures, the roll-out of renewable forms of energy, as well as
nuclear energy development, as the principal means to GGE mitigation in energy. In addition, Government
will integrate a climate constraint into its energy planning tools, including the Integrated Energy Plan (IEP)
and the Integrated Resource Plan for Electricity Generation (IRP).
12 These goals arose from the World Summit on Sustainable Development in Johannesburg in 2002.
13
http://www.statssa.gov.za/Publications/CS2007Basic/CS2007Basic.pdf
14
Statistics South Africa, General Household Survey (Statistical release P0318), 2008 http://www.statssa.gov.za
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recommended policy frame, foresees only a small contribution from natural gas (about 2,000 MW). However,
the potential offered by such a supply is clear from the global trends outlined earlier, and this depends on
finding and exploiting natural gas resources.
The value of natural gas lies firstly in it being a cleaner burning fuel, compared with fossil fuels such as coal
and oil, with significant benefits in terms of air quality i.e. low particulates (i.e. small particles of dust)
emissions. Secondly, natural gas also has lower GGE, compared with coal and oil. Projects that could result
in a switch from coal to natural gas would therefore be eligible for carbon credits under the Clean
Development Mechanism of the Kyoto Protocol. Thirdly, the use of gas in power generation is more efficient
compared to coal-fired power (see above), particularly when the gas is used in combined cycle facilities15.
Finally, from a cost perspective, it is not as easy to export gas as it is to export coal and consequently the
domestic cost of energy would become more stable, being less exposed to international market price
fluctuations.
The industrial use of natural gas has particular attractions. With the significant increases in domestic
electricity tariffs over the past years, the economic imperative is emerging to invest in power generation
technologies involving natural gas. Significant energy and cost efficiencies can be derived from co-
generation plants operating in combined cycle systems within industrial activities. A combined cycle co-
generation plant involves the burning of gas to drive a gas turbine, which generates electricity, followed by a
heat recovery steam generator, which generates high-pressure steam from the waste heat produced by the
gas. This steam can then be sent to a steam turbine, where it is expanded to produce additional electricity.
The steam exhausted from the steam turbine can then be used in the industry, or alternatively condensed16.
Co-generation is a very efficient form of electricity generation, which carries a significantly reduced
greenhouse gas emissions impact relative to conventional coal-fired power generation.
15
Energy Efficiency indicators for Public Electricity: Production from Fossil Fuels. IEA Information Paper OECD/IEA, 2008, at http://www.iea.org/papers/2008/En_Efficiency_Indicators.pdf
16
In situations where industries do not have a steam requirement, the amount of power extracted from the high pressure steam can be increased and the vapor exhausted from the turbine can be
condensed and recycled. In this situation, a slightly higher amount of power is generated per unit of gas entering the power generation system.
17
Johnson MR et al, 2006. Sedimentary rocks of the Karoo Supergroup. In: Johnson, MR, Anhaeusser, CR and Thomas, RJ (eds), 2006. The Geology of South Africa. Geological
Soceity of South Africa, Johannesburg/Council for Geoscience, Pretoria. 691 pp; Thomas Branch, Oliver Ritter, Ute Weckmann, Reinhard F. Sachsenhofer and Frank Schilling, The
Whitehill Formation – a high conductivity marker horizon in the Karoo Basin. South African Journal of Geology, 2007, Vol. 110, pp. 465-476. doi: 10.2113/gssajg.110.2/3.46
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below Earth’s surface. The formations in the Karoo that are believed to contain recoverable gas are located
several thousand metres (1 500 m to 4500 m) below the surface18.
18
Johnson MR et al, 2006. Sedimentary rocks of the Karoo Supergroup.
19
e.g. R W Howarth at http://www.technologyreview.com/blog/energy/files/39646/GHG.emissions.from.Marcellus.Shale.April12010%20draft.pdf on 27 February 2011
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Neverthelesss, the compparative GGEE advantage of natural ga as is still under debate. RRobert Howa
arth of the
Cornell Univversity Depa
artment of Eccology and Evvolutionary Biology,
B provvides a succinct summary
y in a post off
1 April 2010
021, stating as
a follows:
“The most recent
r data I could find fo
or the US (fro
om 2006) sug ggest a leakaage rate fromm the oil and gas
industry of an
a amount of methane eq qual to 1.5%
% of the naturral gas consu umed (based d on leakage data
reported in EPA (2008) Inventory of U.S. Greenh house Gas Emissions
E annd Sinks 1990 – 2006 and d
consumptio on data from the U.S. Dep partment of
Energy:httpp://www.eia.d doe.gov/pub/o oil_gas/natural_gas/data a_publications/natural_ga as_monthly/c current/
pdf/table_02 2.pdf). This leakage rate is roughly eqqual to that estimated
e byy the EPA in 1997
(http://p2pays.net/ref/077/06348.pdf). However, th he actual leakage is not well
w known, a as monitoringg is quite
limited, and ‘governmen nt scientists and
a some ind dustry officials caution that the real fig
gure is actua
ally higher”
“If we assumme a 1.5% le eakage rate, this would have a greenhouse gas warming w pote
ential equal too 14.8 g C
of CO2 per million jouless of energy. This would be b additive too the emissio ons during co ombustion (1 13.7 g C of
CO2 per million joules ofo energy) an nd to the emissions assoc ciated with obtaining and d transporting g the natural
gas (very rooughly estima a 4.5 g C off CO2 per million joules of
ated above as o energy). To otal greenho ouse gas
emissions frrom natural gas
g from hyd draulic fractuuring may, the erefore, be equivalent
e to 33 g C of CO O2 per
million joule
es of energy. For diesel fuuel or gasolinne, the total greenhouse gas emissio ons are equiv valent to
approximate ely 20.3 g C of CO2 per million
m jouless of energy.” But it is important to notee that Howarrth in his
paper says the following g – a) he addds additional GHG contrib bution to the natural gas calculations as a result
of transportation and othher activities associated with
w production (pipelines, water tran nsport, drilling
g of wells)
while admittting that no rigorous
r estimmate is available and ass sumes that this is 33% of the GHG produced
when burnin ng natural gaas (compared d to 8% for diesel/
d gasoline). b) By his own admisssion, it is diffficult to
assess simiilar emissions for mining and transportation of coa al but then goes on to sa ay it is probabbly
comparable e to shale gass. These asssumptions indicate some of the difficu ulties in makiing sound lifee-cycle
assessments.
http://www.geo.corn
nell.edu/geology/facu
ulty/RWA/photos/marrcellus_related_imag
ges/marcellus_blog/lifecycle_coal_versuss_natur.html on 27 Fe
ebruary 2011
21R W Howarth, 20
010, Preliminary Asse
essment of the Greenhouse Gas Emissio
ons from Natural Gas
s obtained by Hydrau
ulic Fracturing at
http://www.technolo
ogyreview.com/blog/e
energy/files/39646/G
GHG.emissions.from.Marcellus.Shale.April12010%20draft.pdf on 27 February 2011
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Thus, Howarth’s assessment again is in contention, since Howarth may have assumed too high a Global
Warming Potential figure for methane22.
For any shale-gas development in the Karoo, the real costs and benefits to be anticipated would need
buttressing through a thorough GGE life-cycle analysis based on appropriate assumptions about the
technologies to be employed, the transportation involved, and plausible factors for methane Global Warming
Potential.
2.6 How this links to the proposed Karoo shale gas exploration
Technological improvements in drilling techniques make it possible to stimulate gas to flow from these “‘tight”
rock formations, such as those found in the Karoo. However, there is inadequate information to evaluate
whether the shale formations present within the Karoo hold potential as a viable gas resource.
Consequently, early level exploration is necessary to confirm whether South Africa potentially has viable
unconventional natural gas resources which may be of strategic value in the future as an energy source to
meet the growing demand for electricity within the country.
Shell, a company with considerable experience in exploration, has thus made application for exploration
rights to initiate an early level exploration programme in three broad areas to confirm whether the deep shale
strata in the Karoo contain unconventional natural gas and, if so, to evaluate the potential to extract
unconventional natural gas.
22
Allemendinger at http://www.geo.cornell.edu/geology/faculty/RWA/photos/marcellus_related_images/marcellus_blog/thoughts-on-life-cycle.html on 27 February 2011
23
http://www.petroleumagencysa.com/Promotion/ExplorationHistory.aspx
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Activity 24 of Notice 1, GN 544, requiring a basic assessment: The transformation of land bigger than
1 000 m2 in size, to residential, retail, commercial, industrial or institutional use …. (Drill sites will be
approximately 100 x 100 m, thus 10 000 sq m).
Activity 4 of Notice 2, GN 545, requiring a full EIA: The construction of facilities or infrastructure for the
refining, extraction or processing of gas, oil or petroleum products with an installed capacity of 50 cubic
meters or more per day… (It is assumed that hydraulic fracturing during exploration drilling could
stimulate gas flow of 50 cubic meters or more per day).
Thus, an Environmental Impact Assessment will also be required under NEMA before drilling and hydraulic
fracturing can commence. This will be a separate process which will follow the EMP submission. This is
further described in Chapter 11, Conclusions and Recommendations.
In addition, the applicant may also need to apply for various other licenses such as an Integrated Water Use
Licence or individual Water Use Licenses in terms of the National Water Act (NWA), and possibly the
National Heritage Resources Act 25 of 1999 depending on location of drilling sites and site specific technical
requirements such as water sources which cannot be determined at this time in the absence of known drilling
site locations.
Overview:
Shell Exploration Company B.V. (Shell) has submitted an exploration rights application for petroleum
products over three application areas as described in Chapter 1. Petroleum products include gas and
condensate, oil, natural gas and petroleum. Shells intent is to pursue exploration for unconventional natural
gas, but other petroleum products may be co-hosted in the targeted geological strata.
As a statutory instrument of environmental management, the Environmental Management Plan (EMP) which
Shell Exploration Company B.V. (Shell)) is required to submit, no later than 14 April 2011, in support of its
exploration rights application. This EMP is governed in the first instance by the Mineral and Petroleum
Resources Development Act 28 of 2002 (MRPDA). Other statutes, summarised in section 3.3, which
influence the EMP include the National Environmental Management Act 107 of 1998 (NEMA), the National
Environmental Management: Biodiversity Act 10 of 2004 (NEMBA), the National Environmental
Management: Waste Act 59 of 2008 (NEMWA), and the National Water Act 36 of 1998 (NWA)
Note that this EMP only supports an Exploration Right application. Approval of the EMP does not permit
Shell to undertake exploration borehole drillings, nor does it allow Shell to make a subsequent application for
24
This chapter is based on Golder’s interpretation of the legal context for this EMP. It is presented here in draft for comment.
March 2011
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Production Rights. All these activities are subject to an independent regulator processes and approvals. The
outline of the statutory requirements regarding the EMP set out here applies to the Exploration Rights
application. This EMP does not constitute undertaking the Environmental Impact Assessment (EIA)
process/es which will be required, as discussed in Section 5 below.
The MRPDA sets out requirements for environmental provisions regarding an application for a petroleum
exploration application in section 79. This section in turn requires an EMP to be prepared following the
application, according to sections 79(4)(b) and 39(2) of the Act. Sections 39(3) of the MPRDA (as read with
section 69(2)(b) of the Act) as well as the sub regulations under regulation 52(2) of the MRPDA specify the
requirements to be met in the EMP. The NEMA also stipulates principles that must be considered by any
organ of state in any decision “which may have a significant effect on the environment”. Thus, the EMP must
demonstrably satisfy these principles.
In terms of section 103 of the MPRDA, the Minister has delegated her powers in respect of the consideration
of and issuing of applications for exploration rights to the Director General of Mineral Resources. Further, in
terms of section 70, the Minister has designated the South African Agency for the Promotion of Petroleum
Exploration and Exploitation (Pty) Ltd, known as the Petroleum Agency South Africa (Proprietary) Limited or
“PASA”, to perform the functions as set out in Chapter 6 of the Act. PASA therefore, amongst others
“promote, facilitate and regulate exploration and sustainable development of oil and gas” in South Africa. As
such it administers this application for an exploration right. However, the Director General, and not PASA, is
the authorising authority.
The EMP is to be submitted within 120 days of the notice of acceptance of the exploration right application
issued by PASA. This 120-day period elapses on 14 April 2011. The MPRDA does not allow for the
extension of this initial timeframe, but the Director General may call for additional information and may direct
that the EMP be adjusted as the Director General may require. As will be more fully explained below, this
EMP is also not the only vessel for assessment and authorisation of environmental aspects associated with
the proposed exploration activities.
3.1 NEMA
The NEMA also requires that an environmental authorisation be issued before the commencement of various
activities specified in terms of the NEMA regulations (GNR’s 544 and 545 of 18 June 2010). In the case of
Shell’s application, environmental authorisation will be required prior to commencement of any drilling and
hydraulic fracturing activity. There are several activities associated with the proposed gas exploration
activities that would require environmental authorisation prior to commencement of such activities,
irrespective of whether an exploration right has been granted by the Director General. Furthermore, an
environmental authorisation for any given activity may only be issued after Shell has complied with the
procedural requirements as set out in the regulations (GNR 543 of 18 June 2010), which once again requires
public participation. These procedures may involve a basic assessment or Scoping and EIA, depending on
the nature of the activity.
3.2 Background
Shell submitted an application for an Exploration Right in terms of the MPRDA to the Petroleum Agency of
South Africa (PASA) in December 2010. PASA accepted the application on 14 December 2010.
In accordance with Section 79(4) of the MPRDA, PASA notified Shell of the acceptance within the statutory
time limit of 14 days, which then initiated the process that led to the preparation of this EMP. The EMP is to
be submitted within 120 days from the date of notice, i.e. on or before 14 April 2011. The MPRDA does not
allow for an extension of this deadline.
In order to meet the 120-day deadline required by the MPRDA, the final EMP is to be submitted to PASA on
or before 14 April 2011 for consideration alongside the exploration right application for purposes of making
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recommendations to the Director General25 on the EMP and exploration right application. The Director
General in turn may call for additional information in respect of the EMP but has 120 days within which to
approve or reject the EMP. Should the Director General approve the EMP, the Director General may grant
or deny the exploration right depending on further considerations as set out in section 80(1) of the MPRDA.
The Exploration Right, if considered favourably, may be granted for a maximum initial period of three years.
It is assumed that this process of review and decision-making will take place during 2011.
Although the granting of an Exploration Right permits Shell to commence with exploration activities, certain
activities associated with exploration will require Shell to first obtain other regulatory approvals from the
relevant authorities prior to commencing with these activities. Such regulatory approvals include certain
environmental authorisations in terms of the NEMA, an Integrated Water Use Licence or individual Water
Use Licenses in terms of the National Water Act (NWA), the National Heritage Resources Act 25 of 1999 and
possibly authorisations in terms of the National Nuclear Regulator Act 47 of 1999 (NNRA), amongst others.
25
In terms of section 103 of the MPRDA, the Minister has delegated her powers in respect of the consideration of and issuing of applications for exploration rights to the Director
General of Mineral Resources. Further, in terms of section 70, the Minister has designated the South African Agency for the Promotion of Petroleum Exploration and Exploitation
(Pty) Ltd, known as the Petroleum Agency South Africa (Proprietary) Limited or “PASA”, to perform the functions as set out in Chapter 6 of the Act. PASA therefore administers this
application for an exploration right. However, the Director General, and not PASA, is the authorising authority.
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The contents of an Environmental Management Plan (EMP) are prescribed in the MPRDA Regulations
(R527 of 2004) section 52(2) as well as section 39(3) of the Act, as shown below.
Contents of an Environmental Management Plan (EMP) as prescribed in MPRDA Regulations (R527
of 2004)
Regulation 52(2)
(2) An environmental management plan, must substantially be in the standard format provided by the
Department and must contain-
(a) a description of the environment likely to be affected by the proposed prospecting or mining
operation;
(b) an assessment of the potential impacts of the proposed prospecting or mining operation on the
environment, socio-economic conditions and cultural heritage, if any;
(c) a summary of the assessment of the significance of the potential impacts, and the proposed
mitigation and management measures to minimise adverse impacts and benefits;
(i) the determination of the quantum of the financial provision contemplated in regulation 54; and
(ii) details of the method providing for the financial provision contemplated in regulation 53;
(e) planned monitoring and performance assessment of the environmental management plan;
(g) a record of the public participation undertaken and the results thereof; and
(h) an undertaking by the applicant regarding the execution of the environmental management plan.
Section 39(3)
(3) An applicant who prepares an environmental management programme or an environmental management
plan must -
(a) establish baseline information concerning the affected environment to determine protection, remedial
measures and environmental management objectives;
(b) investigate, assess and evaluate the impact of his or her proposed prospecting or mining operations on -
(i) the environment;
(ii) the socio-economic conditions of any person who might be directly affected by the prospecting or mining
operation; and
(iii) any national estate referred to in section 3(2) of the National Heritage Resources Act, 1999 (Act No. 25 of
1999), with the exception of the national estate contemplated in section 3(2)(i)(vi) and (vii) of that Act;
(c) develop an environmental awareness plan describing the manner in which the applicant intends to inform
his or her employees of any environmental risks which may result from their work and the manner in
which the risks must be dealt with in order to avoid pollution or the degradation of the environment; and
(d) describe the manner in which he or she intends to -
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(i) modify, remedy, control or stop any action, activity or process which causes pollution or environmental
degradation;
(ii) contain or remedy the cause of pollution or degradation and migration of pollutants; and
(iii) comply with any prescribed waste standard or management standards or practices.
In Section 6, MRPDA affirms the principles of administrative justice:
6(1): Subject to the Promotion of Administrative Justice Act, 2000 (Act No. 3 of 2000), any
administrative process conducted or decision taken in terms of this Act must be conducted or
taken, as the case may be, within a reasonable time and in accordance with the principles of
lawfulness, reasonableness and procedural fairness.
Section 5 of MRPDA deals with the legal nature of prospecting right, mining right, exploration right or
production right, and rights of holders thereof as follows:
S 5 (3) Subject to this Act, any holder of a prospecting right, a mining right, exploration right or production
right may -
a) enter the land to which such right relates together with his or her employees, and bring onto that land any
plant, machinery or equipment and build, construct or lay down any surface, underground or under sea
infrastructure which may be required for the purpose of prospecting, mining, exploration or production, as
the case may be;
b) prospect, mine, explore or produce, as the case may be, for his or her own account on or under that land
for the mineral or petroleum for which such right has been granted;
c) remove and dispose of any such mineral found during the course of prospecting, mining, exploration or
production, as the case may be;
cA) subject to section 59B of the Diamonds Act, 1986 (Act No. 56 of 1986), (in the case of diamond) remove
and dispose of any diamond found during the course of mining operations;
d) subject to the National Water Act, 1998 (Act No. 36 of 1998), use water from any natural spring, lake,
river or stream, situated on, or flowing through, such land or from any excavation previously made and
used for prospecting, mining, exploration or production purposes, or sink a well or borehole required for
use relating to prospecting, mining, exploration or production on such land; and
e) carry out any other activity incidental to prospecting, mining, exploration or production operations, which
activity does not contravene the provisions of this Act.
In context of this application, Section 96 of the MPRDA as read with regulation 74 of the MPRDA regulations
provides that any person whose rights or legitimate expectations have been materially and adversely
affected by the decision of the Director General in this application may appeal in the prescribed manner to
the Minister of Mineral Resources within 30 days after he or she has become aware of the decision or should
reasonably become aware of the decision.
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Chapter 1 of the Act stipulates national environmental management principles, which apply throughout the
Republic to the decisions of all organs of state that may significantly affect the environment. From this, it is
clear that the Director General must follow these principles in considering the application from Shell to
explore for gas in the Karoo.
These principles apply of course in total, but in the present context, the following ones are immediately
relevant:
“(1)(a) apply alongside all other appropriate and relevant considerations, the State’s responsibility to
respect, protect, promote and fulfil the social and economic rights in Chapter 2 of the Constitution;…
(1)(b) apply as serve as the general framework within which environmental management and
implementation plans must be formulated; and
(2) Environmental management must place people and their needs at the forefront of its concern, and
serve their physical, psychological, developmental, cultural and social interests equitably;
(4)(a) Sustainable development requires the consideration of all relevant factors including the following:
(i) That the disturbance of ecosystems and loss of biological diversity are avoided, or, where they
cannot be altogether avoided, are minimised and remedied;
(ii) that pollution and degradation of the environment are avoided, or, where they cannot be altogether
avoided, are minimised and remedied;
(iii) that the disturbance of landscapes and sites that constitute the nation’s cultural heritage is avoided,
or where it cannot be altogether avoided, is minimised and remedied;
(i) The social, economic and environmental impacts of activities, including disadvantages and benefits,
must be considered, assessed and evaluated, and decisions must be appropriate in the light of such
consideration and assessment.
(k) Decisions must be taken in an open and transparent manner, and access to information must be
provided in accordance with the law.
(l) There must be intergovernmental coordination and harmonisation of policies, legislation and actions
relating to the environment.”
The MPRDA requires that that a risk-averse and cautious approach is applied in environmental
management, which takes into account the limits of current knowledge about the consequences of decisions
and actions (section 2(4)(a)(vii) of the NEMA as read with sections 37(1) and 69(2)(b) of the MPRDA). This
means that, assumptions underlying the EMP and uncertainties contained in assessments must be
considered in compiling the EMP.
In addition, the Director General, in considering the EMP and the exploration right application as a whole, is
bound by the legal principles of administrative decision making as set out in the Promotion of Administrative
Justice Act 3 of 2000.
Chapter 5 of NEMA provides for integrated environmental management. The purpose of this Chapter is to
promote the application of appropriate environmental management tools in order to ensure the integrated
environmental management of activities. The general objective of integrated environmental management as
including to:
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“(a) promote the integration of the principles of environmental management set out in section 2 of the
Act into the making of all decisions which may have a significant effect on the environment;
(b) identify, predict and evaluate the actual and potential impact on the environment, socio-economic
conditions and cultural heritage, the risks and consequences and alternatives and options for mitigation
of activities, with a view to minimising negative impacts, maximising benefits, and promoting compliance
with the principles of environmental management set out in set out in section 2
(c) ensure that the effects of activities on the environment receive adequate consideration before
actions are taken in connection with them;
(d) ensure adequate and appropriate opportunity for public participation in decisions that may affect the
environment.”
The NEMA also requires that an environmental authorisation be issued before the commencement of various
activities specified in terms of the NEMA regulations (GNRs 544 and 545 of 18 June 2010). There are
several activities associated with the proposed gas exploration activities that would require environmental
authorisation prior to commencement of such activities, irrespective of whether an exploration right has been
granted by the Minister of Mineral Resources. Furthermore, an environmental authorisation for any given
activity may only be issued after Shell has complied with the procedural requirements as set out in the
regulations (GNR 543 of 18 June 2010) which once again requires public participation. These procedures
may involve a basic assessment or Scoping and EIA, depending on the nature of the activity.
Table 2 and Table 3 list activities from GNRs 544 and 545 which would probably or possibly require EIAs
before such activities can commence as part of the exploration proposed by Shell, together with a
preliminary assessment of whether they would be applicable to the proposed exploration project. Of these,
item 4 of GNR 545 (Table 3) would be triggered for hydraulic fracturing during exploration. This would require
a scoping and EIA for an environmental authorisation before hydraulic fracturing may proceed.
Table 2: Possible listed activities from NEMA Listing notice 1 (GN R544) which could be triggered at various
stages in the gas development process 26
Applicability to proposed gas
GN R544 (require basic assessment)
exploration project
1. The construction of facilities or infrastructure for the This activity would only potentially
generation of electricity where: be triggered if gas from
exploration wells was used to
(i) the electricity output is more than 10 megawatts but less generate electricity.
than 20 megawatts; or
(ii) the output is 10 megawatts or less but the total extent of the
facility covers an area in excess of 1 hectare.
10.The construction of facilities or infrastructure for the This activity would only be
transmission and distribution of electricity …… triggered if sufficient electricity
was generated on site (see
(i) outside urban areas or industrial complexes with a capacity above), and transmitted and
of more than 33 but less than 275 kilovolts; distributed off site.
The nature and volume of
26
Note: The activities listed in Tables 1-3 that would be triggered by the proposed project will be confirmed subsequent to the site
selection process
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Table 3: Possible listed activities from NEMA Listing notice 2 (GN R545) which could be triggered at
various stages in the gas development process (see also Table 2).
Applicability to proposed
GN R545 (requires scoping and EIA)
gas exploration project
4. The construction of facilities or infrastructure for the refining, This activity triggers a NEMA
extraction or processing of gas, oil or petroleum products with EIA
an installed capacity of 50 cubic metres or more per day,
excluding facilities for the refining, extraction or processing of
gas from landfill sites
5. The construction of facilities or infrastructure for any process or Water and waste management
activity which requires a permit or licence in terms of national or requirements may trigger this
provincial legislation governing the generation or release of activity.
emissions, pollution or effluent and which is not identified in
Notice No. 544 of 2010 or included in the list of waste
management activities in terms of Section 19 of the NEMWA in
which case that Act will apply.
21. Any activity which requires an exploration right or renewal This activity is not yet gazetted
thereof as contemplated in sections 79 and 81 respectively of but may be in the future.
the Mineral and Petroleum Resources Development Act, 2002
(Act No. 28 of 2002). [Commencement date of Activity 21: To be
published]
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Table 4: Possible listed activities from NEMA Listing notice 3 (GN R546) which could be triggered at
various stages in the gas development process (see also Tables 2 and 3).
Applicability to proposed
GN R546 (require basic assessment)
gas exploration project
10. The construction of facilities or infrastructure for the storage, or The nature and volume of
storage and handling of a dangerous good, where such storage chemicals to be handled and
occurs in containers with a combined capacity of 30 but not stored at individual drilling
exceeding 80 m3 in sites will determine to what
(a) Northern Cape Province extent this activity will be
triggered
(ii) outside urban areas, in
(bb) National Protected Area Expansion Strategy Focus area;
(ee) critical biodiversity areas as identified in systematic biodiversity
plans adopted by the competent authority or in bioregional
plans;
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Applicability to proposed
GN R546 (require basic assessment)
gas exploration project
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Applicability to proposed
GN R546 (require basic assessment)
gas exploration project
26. Phased activities for all activities listed in this Schedule and as
it applies to a specific geographical area, which commenced on
or after the effective date of this Schedule, where any phase of
the activity may be below a threshold but where a combination
of the phases, including expansions or extensions, will exceed a
specified threshold.
the management and conservation of South Africa's biodiversity within the framework of the National
Environmental Management Act, 1998;
the protection of species and ecosystems that warrant national protection; and
the sustainable use of indigenous biological resources and the fair and equitable sharing of benefits
arising from bioprospecting involving indigenous biological resources.
NEMBA in Chapter 3, on Biodiversity Planning and Monitoring, provides for the preparation and adoption of
the National Biodiversity Framework, the determination of bioregions and the publication of bioregional plans.
NEMBA provides further for adoption, coordination and alignment of biodiversity plans and biodiversity
management agreements, amongst others. Any existing statutory instruments for biodiversity protection and
management which may have been adopted in terms of this chapter must be taken into account during the
implementation of any exploration activities as well as during assessments for authorisations in terms of
additional legislation such as, for instance, environmental authorisations in terms of the NEMA.
Furthermore, should Shell be granted the exploration right, all consequent EIAs would be governed by these
biodiversity instruments, and would be activities in the EIA list where threatened ecosystems are involved.
Further provision is made for protection of threatened or protected ecosystems and species as well as
provisions guarding against the introduction of alien and invasive species. The Act identifies restricted
activities involving listed threatened, protected or alien species. These activities include picking parts of, or
cutting, chopping off, uprooting, damaging or destroying, any specimen of a listed threatened or protected
species. As stipulated in Section 57 of the Act, a person may not carry out a restricted activity involving a
specimen of a listed threatened or protected species without a permit issued in terms of Chapter 7. Lists of
critically endangered, endangered, vulnerable and protected species have been published in GNR 151 of 23
February 2007. Regulations have also been promulgated on Threatened and Protected Species in GNR 152
of 23 February 2007. These lists and associated restricted activities as well as the regulations need to be
taken into account during the implementation of any exploration activities as well as during assessments for
authorisations associated with the exploration activities in terms of other legislation.
Application may be made for a permit to engage in restricted activities, which application may be subject to
various stringent requirements as set out in section 88 of the NEMBA.
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(a) radioactive waste that is regulated by the Hazardous Substances Act. 1973 (Act No. 15 of 1973). the
National Nuclear Regulator Act, 1999 (Act No. 47 of 1999), and the Nuclear Energy Act, 1999 (Act No.
46 of 1999); and
(b) residue deposits and residue stockpiles that are regulated under the Mineral and Petroleum
Resources Development Act, 2002 (Act No. 28 of 2002).
Before any exploration activities commence which may generate waste, an assessment as to the
applicability of the relevant provisions of the NEMWA will need be made and if so required, any requisite
waste management licenses applied for and procured prior to the commencement of any waste management
activity which requires licensing.
b) storing water;
j) removing, discharging or disposing of water found underground if it is necessary for the efficient
continuation of an activity or for the safety of people.
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Should Shell proceed with exploration, its several points of water use may each need licensing for water use,
to be secured through applications for individual or Integrated Water Use licences, as may be required by the
Department of Water Affairs.
Public and private interests regarding water use are protected in the NWA through the provisions in section
27, Considerations for issue of general authorisations and licences. This section provides as follows:
1) In issuing a general authorisation or licence a responsible authority must take into account all
relevant factors, including--
b) the need to redress the results of past racial and gender discrimination;
f) the likely effect of the water use to be authorised on the water resource and on other water users;
g) the class and the resource quality objectives of the water resource;
h) investments already made and to be made by the water user in respect of the water use in question;
j) the quality of water in the water resource which may be required for the Reserve and for meeting
international obligations; and
k) the probable duration of any undertaking for which a water use is to be authorised.
The EMP has proceeded in the knowledge that potential risks to water resources and from wastewater that
may arise from the proposed gas exploration would be mitigated by the provisions of the National Water Act,
while at the same time providing foresight in this respect.
(a) ensure that the geographic areas in the Republic which are suitable for astronomy and related
scientific endeavours due to, among other things, atmospheric transparency, low levels of light
pollution, low population density or minimal radio frequency interference are protected, preserved
and properly maintained;
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(b) enhance the existing geographic advantage of those areas highly suitable for astronomy and
related scientific endeavours through the restriction of activities that cause or could cause light
pollution or radio frequency interference or interfere in any other way with astronomy and related
scientific endeavours or astronomy advantage in those areas; and
(c) provide for the management of those areas in the public interest and in accordance with good
national and international practices.
The Act provides for the declaration of core astronomy advantage areas, to, among other things, provide
protection from light pollution, radio frequency interference and other activities which may affect astronomy
and related scientific endeavours or astronomy advantage to an area in which radio or optical astronomy is
conducted or will be conducted. Government Notice No. 82 of 5 February 2009, the Declaration of Areas as
Astronomy Advantage Areas in South Africa, prescribes the areas of all the land within the Northern Cape
Province within 250 km of the centre of the South African Large Telescope (SALT) dome, as well as the
whole of the territory of the Northern Cape Province, excluding the Sol T Plaatje Municipality, for radio
astronomy purposes, to be an Astronomy Advantage Area. This is called the Karoo Central Astronomy
Advantage Area.
Government Notice 1092 of 2010 applies to the core astronomy advantage areas declared in the
Government Gazette NO.33462 under Notice No.723 on 20 August 2010, and declares as follows:
(1) The core astronomy advantage area containing the Southern African Large Telescope (SALT); and
(2) The core astronomy advantage area containing the MeerKAT radio telescope and the core of the
planned Square Kilometre Array (SKA) radio telescope.
These prescriptions would govern the conditions of any gas exploration right in the Central Precinct.
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South African principles for SEA are contained in the Guideline Document: Strategic Environmental
Assessment in South Africa.
In effect, the Environmental Management Framework incorporates many of the principles of the SEA. The
Environmental Management Framework Regulation of 2010 in terms of NEMA prescribe requirements in this
respect. in section 2. (1) The purpose of this Part is to provide—
(a) for the Minister or MEC with concurrence of the Minister to initiate the compilation of information
and maps referred to in section 24(3) of the Act specifying the attributes of the environment in
particular geographical areas;
(c) for such information and maps to be used as environmental management frameworks in the
consideration, as contemplated in section 24(4)(b)(vi) of the Act, of applications for environmental
authorisations in or affecting the geographical areas to which those frameworks apply.
(a) identify by way of a map or otherwise the geographical area to which it applies;
(b) specify the attributes of the environment in the area, including the sensitivity, extent,
interrelationship and significance of those attributes;
(c) identify any parts in the area to which those attributes relate;
(d) state the conservation status of the area and in those parts;
(f) indicate the kind of developments or land uses that would have a significant impact on those
attributes and those that would not;
(g) indicate the kind of developments or land uses that would be undesirable in the area or in specific
parts of the area;
(h) indicate the parts of the area with specific socio-cultural values and the nature of those values;
(j) indicate a revision schedule for the environmental management framework; and
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Inform and guide site specific design, construction and operations at well sites, access roads and any
other areas of activities;
Provide a benchmark against which any potential impacts can be assessed and monitored, including
the level of success of restoration.
4.1 Geology
A description of the geology was derived through a thorough desktop study of available published resources
at a: high (Karoo basin) and regional (Precinct) level. Field verification of the precinct was then undertaken to
gain a firsthand overview of the geological setting, to support the desk study information.
For more detailed information regarding the geology, refer to the groundwater report in Volume 2.
Deposition of the Karoo sediments and the uplift of the Cape Fold Belt,
The present day Main Karoo Basin is in-filled with sedimentary strata which are capped by a 1.4 km thick unit
of basaltic lava. Major lithostratigraphic units of the Karoo Supergroup are shown in Figure 9 and Figure 10.
The horizontal strata provide a capping to the shale gas reservoirs present at depths between 1 500 m and
4 500 m depth and protection to the overlying groundwater aquifers. The various lithologies making up the
stratigraphic units of the Karoo sequence include the: Dwyka Group, Ecca Group, Beaufort Group, Molteno
Formation, Elliot Formation, Clarens Formation and Dolerite Intrusives.
The structural pattern is dominated by an E – W and NNW – SSE trends. Faults and fractures have been
infilled by dolerite dykes some of which continue over 500 km.
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12800-002
Lesotho
Johannesburg
Cape Fold Belt
Tarkastad Subgroup
Adelaide Subgroup
Drakensberg Group
Molteno, Elliot, Clarence Fms Karoo
Beaufort Group Super km
Ecca Group Group 5
4
Dwyka Group
3
Witteberg Group
Cape 2
Bokkeveld Group Super 1
Table Mountain Group Group 0
Pre-Cape rocks 0 50 100 km
Not to Scale
Figure 9: Cross Section of the Main Karoo Basin (reproduced from Woodford 2002)
12800-006
Legend:
Basalt
Johannesburg
260S Sandstone and subordinate Mudrock/Rhythmite Vryheid Fm
Mudrock/Rhythmite and subordinate Sandstone Vryheid Fm Dwyka
Mudrock/Rhythmite Gp
Carbonaceous Shale
Diamictite Volksrust
0
Exploration Application Area Fm
28 S
Prince Albert Fm
m
tF
Bloemfontein lio
El Dwyka
Gp
Drakensberg
t
Dwyka Gp or Gp Durban
B Tierberg Fm uf
ea Gp
B
Prince Albert Fm
310S Pietermaritzburg
e
ECCA id p d
Whitehill Fm la u ta p Fm
Gp
Camarvon Su T ub
Ecc
Fm S Volksrust Fm
Molteno Fm
Koedoesbers Fm Dwyka Gp
Skoorsteenberg Fm Burgersdorp Fm
Kookfontein Fm Balfour Fm
Beaufort West Katberg Ripon Fm
320S
Middleton Fm Katberg, Burgersdorp
Fm
A Balfour Fm
Katberg Fm
Collingham Fm Fort Brown Fm C Koonap Fm Fort Brown Fm
Laingsburg Fm Waterford Fm
D Ripon Fm
Whitewhill Fm
Prince Albert Fm Vischkuil Fm Port Elizabeth Collingham Fm
Cape Town Whitehill Fm ECCA Gp
340S Prince Albert Fm
100 0 100 200 km
Dwyka Gp
Figure 10: Schematic Aerial Distributions of Lithostratigraphic Units in the Main Karoo Basin (reproduced from Woodford
2002)
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4.1.2.1 Lithology
The geology shown in Figure 11 was compiled using the simplified geology of South Africa (DWA) with the
dolerite sills and dykes obtained from the published 1: 250 000 scale geological maps superimposed on the
map. The main Karoo sediments that outcrop in the precinct include the sediments comprised of the
Adelaide and Tarkastad Subgroups of the Beaufort Group. A small part of the north and NW of the precinct
is underlain by sediments of the Ecca Group.
The Adelaide Subgroup covers the large majority of the Central Precinct and comprises predominantly
mudstone. They are underlain by the Ecca Group. The Teekloof Formation is characterised by a greater
relative abundance of red mudstone compared to the underlying and overlying units, in practise the
boundaries are linked to specific sandstone-rich marker units (members). The arenaceous Poortjie and
Oudeberg Members constitute the base of the Teekloof and Balfour Formations, respectively. In the
western basin the Abrahamskraal and Teekloof Formations attain thicknesses of 2,500 and 1,400 m,
respectively. The Balfour Formation attains a maximum thickness of 2,000 m.
The Tarkastad Subgroup is present in the far eastern portion of the precinct north and east of Bieu-
Bethesda (Figure 11). This subgroup is characterised by a greater abundance of both sandstone and
mudstone when compared to the Adelaide Subgroup. The subgroup has a maximum thickness of
2,000 m and comprises a lower, sandstone rich Katberg Formation and an upper, mudstone rich
Burgersdorp Formation. An example of typical sandstone is shown in Figure 12.
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Regional Structure
The distribution of intruded dykes in the Main Karoo Basin forms
three major structural domains, namely the Western, Eastern and
Transkei-Lesotho-Northern Karoo Domains, (Woodford 2002). The
Western Karoo Domain extends from Calivinia to Middelburg, and Figure 13: Characteristic horizontal
bedding
covers the entire Central Precinct area. It is characterised by two
distinctive structural features:
4.2 Climate
Climatic data was taken from the South African Weather Service
(SAWS) summary of 1984 (WB40, 1984).
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Table 5: Long-term annual average temperature and relative humidity statistics (WB40, 1984)
Dry bulb temperature (°C) Relative Humidity (%)
Site Daily Extreme
08h00 14h00 20h00
Average Minimum Maximum Minimum Maximum
Beaufort 4.7 32.2
25.2 -5.6 42 62 29 39
West (July) (January)
4.2.2 Precipitation
The daily rainfall data for eight rain gauges in the precinct were extracted (Kunz, R, 2004) and analysed.
These eight rain gauges were chosen due to their long historical record and their proximity to the site area.
The locations of the rain gauges are shown in the surface water report in Volume 2. The data was analysed
to determine the rainfall depths for the different recurrence interval 24 hour storms (Smithers and Schulze,
2003) as well as the MAP, minimum, average and maximum monthly rainfall depths. The results of the
analysis are given in Table 7 and Table 8.
This area falls in the arid region of South Africa where the potential evaporation far exceeds the mean
annual rainfall (MAP). The mean annual Symons pan evaporation ranges from 1 800 mm to 2600 mm and
the MAP from 100 mm to 500 mm (WRC, 1994).
The results given in the tables highlight the following:-
The MAP in the precinct is low ranging from 205 mm to 284 mm.
The rainfall is one of extremes. There are years where there is no rainfall as shown by the minimum
average monthly rainfall depths and other years where there is significant rain fall as shown by the
maximum average monthly rainfall depths.
The area is prone to droughts and hence surface water availability is not reliable;
The rainfall is seasonal with the majority of the rainfall falling between October and May.
The area can receive significant 24 hour rainfall depths as shown by the 50 year, 100 year and 200
year 24 hour rainfall depths. The area will be subject to flooding.
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Table 7: MAP, Monthly Average, Maximum and Minimum monthly rainfall depths
MAP (mm) Monthly Minimum, average and maximum rainfall depths (mm/month)
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Sterling (0140616_W) 205.6 Average 13.0 18.6 18.3 21.5 29.5 43.3 20.5 13.5 5.7 5.5 8.0 8.3
Maximum 48.4 137.8 78.9 116.2 177.0 211.6 95.2 97.3 23.8 41.0 79.7 85.4
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Rheboksfontein (0141066_W) 216.9 Average 12.5 21.1 19.0 21.4 34.8 39.8 26.6 11.9 7.0 7.4 8.5 6.7
Maximum 62.5 93.0 96.0 114.8 248.0 164.0 96.5 62.5 46.0 40.6 86.0 47.5
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Nelspoort (0093070_W) 204.7 Average 13.7 18.1 20.2 19.2 29.3 41.6 21.7 11.0 5.3 6.8 9.0 8.8
Maximum 112.3 137.2 82.1 105.4 117.2 142.1 104.1 55.5 33.8 57.4 86.5 98.9
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Kampferskraal (0093074_W) 217.9 Average 16.6 23.3 21.5 19.8 27.9 40.4 21.3 12.2 6.1 7.8 10.7 10.4
Maximum 86.5 119.0 109.5 108.5 156.0 184.0 127.0 72.0 37.5 49.0 92.0 104.1
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Bakensrug (0093314_W) 218.4 Average 16.0 24.6 24.1 19.7 30.4 33.5 20.5 14.4 7.5 8.5 8.7 10.5
Maximum 76.5 137.7 160.5 120.5 200.3 161.7 109.5 79.5 48.0 54.5 106.7 75.2
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Murraysburg (0117447_W) 267.2 Average 16.1 29.5 26.1 26.3 39.1 46.1 26.0 18.2 9.0 10.3 10.1 10.4
Maximum 85.4 124.7 147.7 145.8 210.8 150.1 121.2 101.6 42.0 63.0 104.4 75.3
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Doornbosch (0095123_W) 372.3 Average 28.2 35.1 32.3 35.0 47.0 57.1 33.3 30.6 16.4 17.9 21.2 18.3
Maximum 145.9 175.1 130.0 190.8 150.0 198.1 115.3 136.5 70.0 102.6 193.5 162.0
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Quaggasdrift (0095006_W) 384.4 Average 26.9 35.4 32.8 35.5 52.1 60.7 39.3 31.0 16.7 17.3 19.6 17.2
Maximum 127.0 211.6 139.4 150.5 166.4 174.5 152.1 150.3 82.8 80.5 140.1 96.2
Minimum 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
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Table 8: The 2, 5, 10, 20, 50, 100 and 200 year return period 24-hour rainfall depths (mm/month)
Return Period (years)
Rain Gauge
2 5 10 20 50 100 200
Sterling (0140616_W) 243 29.8 42.1 50.8 59.6 71.7 81.4
Rheboksfontein (0141066_W) 235 38.8 54.8 66.1 77.6 93.3 105.7
Nelspoort (0093070_W) 226 35.1 49.3 59.4 69.6 83.5 94.6
Kampferskraal (0093074_W) 219 34.5 48.5 58.5 68.5 82.2 93.1
Bakensrug (0093314_W) 218 34.5 48.6 58.5 68.5 82.3 93.2
Murraysburg (0117447_W) 257 33.3 47.0 56.5 66.2 79.4 90.0
Doornbosch (0095123_W) 407 45.2 63.7 76.7 89.8 107.8 122.0
Quaggasdrift (0095006_W) 411 48.4 68.1 82.1 96.0 115.3 130.5
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It should be noted that Beaufort West falls just outside the study area towards the southwest. The effect of
the topographical barrier that shelters the study area towards the north would not be shown by this figure.
Instead, it is expected that the southerly wind components may be less pronounced. Nonetheless, it is
believed that the prevailing easterly wind would be similar to the conditions in the study area. Furthermore,
the strong westerly winds are also expected to occur in the study area. Low occurrence of calm wind
conditions are also illustrated with these observations.
4.2.4 Microclimate
Microclimates are dictated by the local topography. As shown in Figure 17, the most significant rise in
topography is towards the southern sector. It is expected that these mountain ranges would determine the
prevailing wind conditions to a great degree. Southerly winds would mostly be sheltered. This would only
apply to the area south of the 32° latitude. North of this latitude, the relatively flat terrain will have no
significant impact.
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The study area is not located on a hurricane track or adjacent to a warm ocean. Therefore it is not
expected that the site will experience a hurricane, or at least there is a very low probability.
It is important to note the difference between a hurricane and hurricane force winds. The latter refers to
a wind speed scale called the Beaufort Scale, where hurricane force winds are those with speeds
above 118 km/h. This likelihood of this wind speed being exceeded (excluding the occurrence of
tornadoes) has an estimated likelihood of about 0.1 per annum.
No evidence of tornadoes could be found for the study area. This risk of tornadoes occurring in the
study area is considered to be 1 x 10-7 per year.
A new Lightning Detection Network (LDN) recently (2006) set up by the SAWS in South Africa reports
that the study area experiences between 1 (western portion) and 5 (north-eastern portion) lightning
flashes per year per km².
4.3 Topography
4.3.1 High Level Topography: Karoo Basin
The Main Karoo Basin covers the greater part of the central region of South Africa. Surface altitudes range
from 800 to 3 650 mamsl. Altitudes are highest in the east decreasing gradually as the surface slopes to the
west. The generally flat to undulating topography is broken by the up-warped plateau edges and the
escarpment, most prominent in the Drakensberg region.
The topography is heavily influenced by the underlying geology of alternating sequence of horizontally
bedded sandstone, siltstone, shale, rhythmite and mudstone of Karoo age, combined with dolerite sills and
dykes. The sequence is over 5 000 m thick. These lithologies are intruded by dolerite sills and dykes. The
horizontal bedding gives rise to the characteristic Karoo landscape of expansive plains formed on siltstone or
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sills, low ridges following sandstone outcrops and high ridges and inselbergs where dolerite sills form
resistant cappings (see photographs in Figure 13 - Figure 15).
4.4 Soil
Spatial information from the Golder GIS database was used to create three overlays for the Central Precinct
including the 1:1 000 000 Geology map for South Africa, a general soil pattern map for South Africa and
topographical background based on the digital terrain model (DTM) data.
An overlay of the soil classes over the precinct (Figure 18) displayed the following five soil classes of
significance:
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development of the profile at depth is very slow. It is therefore anticipated that depth of this soil class in this
particular region will not be favourable for agricultural utilisation.
4.5.1 Vegetation
4.5.1.1 High Level Vegetation: Biomes
Biomes can be defined as the major communities of the world, classified according to their predominant
vegetation and characterised by adaptations of organisms to that particular environment. The single most
important factor influencing the biomes in South Africa is the weather and, more specifically, the rainfall.
Important factors to be taken into account with regard to the weather and its influence on the biomes of
South Africa are:
The western parts of the country are much drier than the east;
Rainfall occurs in winter in the west, but in summer in most other regions; and
Temperatures in the mountains and on the Highveld are more extreme than along the coast.
As shown in Figure 19 the Central Precinct is comprised of Nama Karoo and Grassland Biomes, these are
described in more detail in the ecology report in Volume 2.
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The vegetation of the Central Precinct grades quickly between Karoo, Grassland and Thicket Biomes. Some
typical photos of the vegetation in the area are shown in Figure 21 to Figure 24.
Figure 21: Photograph taken in the Gamka Karoo vegetation type near Nelspoort
Figure 22: Photograph taken in the Southern Karoo Riviere vegetation type near Three Sisters
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Figure 23: Photograph taken in the Eastern Upper Karoo vegetation type near Victoria West
Figure 24: Photograph taken in the Upper Karoo Hardeveld vegetation type near Murraysburg
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4.5.2.1.1 Amphibia
No frog species were recorded during the study in the Central Precinct area, and therefore no Red Data or
protected species were recorded. Amphibian species may occur in seasonal rivers which occur in the area
and may occupy the wetlands in the area, these will however be unsuitable as drilling sites and therefore it is
unlikely that any amphibian species will be affected by the exploration activities. Aquatic species such as
Xenopis sp usually occur in man-made dams in the area and drinking troughs occurring on the farms in the
area.
4.5.2.1.2 Avifuana
Approximately 350 species of birds are known to occur in the area in which the Central Precinct is situated,
some of which are endemic to the area. Thirty species were found to occur within the study area during the
time of the study (see list in the ecology report in Volume 2). Of the bird species known to occur in the study
area, 14 are listed as Red Data species, of the 30 recorded species, only the Kori Bustard, Ardeotis kori (VU)
was listed as a Red Data species. Kori Bustards were common species in the northern part of the Central
Precinct, Victoria West and Rietfontein sites.
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the study area due to anthropogenic impacts such as grazing, and the fact that some species have been
persecuted historically. None of the species recorded were listed as Red Data species or considered
protected species.
4.7 Groundwater
This baseline description of the hydrogeology of the Central Precinct is based upon a desk study of available
data, supported by brief field verification. Available reports and data for groundwater boreholes obtained
from the National Groundwater Data Base (NGDB) of the Department of Water Affairs (DWA) have provided
a large volume of information which has been used to prepare this regional overview of the groundwater
situation. The more detailed groundwater report is available in Volume 2.
The depth of groundwater supply boreholes is mostly <150m, with the vast majority of boreholes (92%
of 1756 records) reportedly <100m deep.
Sustainable borehole yields are between 0.5 and 2 l/s over most of the precinct. An area around
Victoria West has yields of 2 – 5l/s and a small area in the SW of the precinct NE of Beaufort West is
characterised by yields of >5l/s.
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Groundwater levels are generally shallow with 91% of reported levels <20m (1712 records) confirming
that the groundwater resources are driven by rainfall recharge.
Groundwater quality is variable but mostly potable. 82% of water is Class 0 or 1 (SANS 241, 2005) and
only 4.4% reported as Class 3 or 4 (2356 records).
Groundwater is widely used for domestic, livestock watering and occasional irrigation. Registered
annual water use is almost entirely agricultural (15.785Mm3) with a small registered domestic
component of 0.243Mm3.
The contact zones of dolerite dykes often represent linear aquifers and are an important target for the
drilling of water supply boreholes.
Only limited fault zones are indicated on the published 1:250 000 scale geological maps of the precinct.
These zones have similar trends to the dykes and form part of the Western Karoo Domain.
Information on the drilling depths of 1756 boreholes is available. The depth ranges have been categorised
into 5 depth intervals summarized in Table 9 below.
Table 9: Summarised drilling depths in the precinct
Depth Range (metres) Total number of records Percentage of Total
0 – 50 1101 62.7
50 – 100 558 31.8
100 – 150 38 2.2
150 – 200 11 0.6
200 – 300 48 2.7
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The drilling depths in the precinct indicate that less than 6 per cent of the boreholes abstract water from
depths in excess of 100 metres. The records also show that no water supply boreholes have been drilled
deeper than 300m. The 48 borehole listed above as having been drilled to depths of between 200 and 300
metres relate to deeper exploration drilling by DWA to investigated dolerite ring structures.
The distribution of the EC indicates that potable water suitable for domestic use (Class 0 and Class 1) is
largely (82.2 %) available throughout the precinct. Approximately 14% of the water is brackish (Class 2) and
4.4% can be classified as saline (Class 3 and 4) and unsuitable for human consumption.
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registration for these sectors has been categorized in 5 volume intervals and the use distribution is
presented in MAP C6 (see the groundwater report in Volume 2). The annual registered groundwater use for
the precinct is summarised Table 12 below:
Table 12: Registered agricultural and domestic use in the precinct
Water Use Sector Number of Users Annual Use (million m3)
Domestic 63 0.243
Agriculture (Stock and Irrigation) 465 15.785
The total annual agricultural use is 15.785 million m3. The domestic use by municipalities is possibly not all
registered and outdated.
Figure 26: Homestead Water Supply Boreholes equipped with Submersible Pump and Windpump
The site visit provided the opportunity to verify the regional geological setting, particularly in respect to the
occurrence of groundwater.
As noted above, the area is characterised by quasi- horizontal strata. This is important to the gas
exploration programme since the horizontal strata provides a capping and protection to the shale gas
reservoirs present at depths between 1 500m and 4 500m depth.
Dolerite sills often form capping to hills, due to their increased resistance to weathering and erosion
The wide expansive plains are controlled by the horizontal bedding and are formed on dolerite sills or
siltstone horizons
Groundwater occurrence is mostly controlled by the presence of dolerite dykes, where the fractured
contact zones with the country rock offer enhanced permeability, with the upper contact zones of
dolerite sills where these are relatively shallow, fracture zones and weathering and fracturing of
sandstone, siltstone and shale where these strata form topographic lows, along drainage lines for
example.
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Specific verification of groundwater usage, groundwater levels and groundwater quality will be undertaken
during the EIA in the area of the proposed gas exploration drilling sites, once potential site(s) for the drilling
of the gas exploration well(s) are selected. An EIA for each site(s) is required prior to commencing any
drilling. This is further discussed in Section 8.
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prominent or important features. For the aforementioned reasons, the application area can be considered to
have a strongly defined sense of place and is generally characterised by high levels of aesthetic appeal, a
fact which will be taken into consideration when specific sites for prospecting are selected.
4.9.1.4 Visibility
Visibility describes the degree to which elements present in the landscape are actually seen by people in the
area. This aspect is again a function of the topography, land cover and level of development of the location
in which the development will occur. As has been established, the Central Precinct is situated on a highly
eroded plateau, punctuated by distinct landforms. The result is that the depth of views are often somewhat
limited where these visual obstructions occur, preventing long-range views. Nevertheless significant large
low-lying areas with gently sloping topography also occur and many of the higher-lying locations allow views
over vast distances. T
4.10 Noise
The baseline description of the noise climate is based on a desktop review that has been verified by
fieldwork in a number of potential drilling site locations. As the exact location of drilling sites is not known, a
number of sites that represent typical drilling locations were sampled to determine the baseline noise
climates. A more detailed noise report is attached Volume 2.
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The desktop study found that the noise climate at all potential sites is typical of remote rural areas as defined
by the relevant National Standard, SANS 10183, and are likely to be below the recommended levels of
45 dB(A) during the day (06:00 to 22:00) and 35 dB(A) at night (22:00 to 06:00). This was confirmed by
fieldwork, with the noise climate at the majority of sites being dominated by natural sounds of birds, insects
and the rustling of vegetation in the wind. Only the site located ~100m from the N12 road outside Victoria
West was the noise climate dominated by the sounds of a main road in a rural area.
Once the drilling sites have been selected, baseline noise levels will be measured comprehensively at the
property boundary of the ultimately selected drilling sites, with measurement points chosen to represent the
wider noise climate and, where appropriate, at the position around the property boundary at which the noise
emission is expected to be greatest, or which is nearest to a sensitive receptor.
Isolated scatters of stone tools on the plains, some rock painting sites in the mountains of the
Camdeboo, and freshwater shell middens containing bone, stone tools, and food remains along river
banks, pans and flood plains.
More than 16 000 Stone Age sites were recorded during a 30 year period by Professor Garth Sampson
and his students in the Upper, Middle and Lower Seacow River area.
The SARADA data base of rock art indicates that rock paintings and engravings occur at various
localities within the Central Precinct. Perhaps the best known site is the rock engravings at Nelspoort
near Beaufort–West. This site has recently been developed for tourism purposes. Rock art has been
recorded on four other farms near Beaufort-West, at sixteen different localities in the greater Richmond
area, at two farms near Murraysburg, at two farms near Nieu Bethesda, and at one locality near Victoria
West (Van Riet-Lowe 1941).
Archaeology of pastoralist occupation of vast areas in the Karoo are indicated by various stone kraal
complexes of which several hundred have been recorded in the Zeekoe River Valley.
A number of old graveyards and possibly historic buildings belonging to the early Trekboer period on
various farms in the area.
Another notable feature of the area is the corbelled houses that developed as a vernacular architecture
of the northern Karoo and “Bushmanland” districts during the nineteenth century. The majority of these
occur near Williston and Carnavron in the Western Precinct. However, some do occur near Beaufort-
West in the Central Precinct and one has been declared provincial heritage site.
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Two historical buildings declared as provincial heritage sites at Richmond. Sixty three other
historical sites, mostly homesteads, are listed on the SAHRA register as occurring in this town.
4.11.2 Local tourist attractions
The first would-be settlers arrived in this region during the mid-1700s. But these pioneers posed a great
threat to the Bushmen’s way of life and they retaliated by making life so difficult for the newcomers that most
left within a short time. Towards the end of the 18th century, an effort was once again made to begin farming
in this area, but it took until the mid-1800s before men were able to settle here. The settlement history of the
area, which is punctuated with conflict during the Anglo-Boer War, manifests itself in the settlements in the
area, some of which have their origins as fortified outposts or settlements.
Natural attractions abound in the area, many of which occur in nature reserves and parks. The Three Sisters
Mountains, near the town of Murraysburg, are one such feature. The region also abounds in evidence left by
its original inhabitants, the peoples collectively known as “Bushmen”. Engravings near Nelspoort are one
such example, the "bushman piano's" - stone gongs whose exact purpose has been lost in the annals of time
– another. Near Leeufontein the exposed the skeleton of a tiny man buried in a sitting position, is another
tantalising relic left by these people. Investigations by archaeologists revealed that he was an early hunter-
gatherer who probably once lived with a group at a nearby natural fountain.
The Northern Cape Province is the largest, but also least and most sparsely populated Province in the
country. Due to the arid conditions, the largest part of the region is dominated by expansive livestock (mostly
goat and sheep) farming and localised irrigated agricultural activity only occurs in areas where viable water
sources are available. However in spite, or perhaps because of its largely agrarian and under-developed
character, the region has developed a burgeoning tourism trade, with a multitude of attractions being
present. Apart from the rich cultural-historic heritage, the area is popular as a backpacking and scenic detour
road trip destination, with a variety of hiking, cycling, camping and adventure sports attractions. Guesthouses
abound in the region and star-gazing is a popular attraction in the region, owing to the clear night skies and
lack of light pollution.
In essence a substantial part of the regional economy is therefore dependent on the tranquil, timeless
character and development must be done circumspectly to ensure that that this way of life is not impacted
upon.
4.11.3 Palaeontology / archaeology
The Central Precinct occurs within the central western extent of the Karoo Basin, one of the few basins
worldwide in which the terrestrial fossil record for the 45-million-year interval spanning the Permian/Triassic
(P/Tr) Boundary is preserved and exposed. The Karoo Basin provides an ideal site for scientists to collect
fossils illuminating the Permian/Triassic Boundary that was marked by the greatest mass extinction during
the last 600 million years of Earth history (Smithsonian Museum of Natural History, 2011). The application
area occurs within an area characterised by rocks dating from the Permian and Triassic Eras and the Karoo
has over the years yielded a number of significant fossil finds that are on display in numerous museums
throughout the region. It is therefore possible that fossils may be encountered during exploration drilling
activities. If and when this occurs, qualified specialists will be consulted to ensure that this precious aspect of
our natural heritage is protected.
4.11.4 Cultural landscapes and sense of place
As no field surveys have been undertaken at this stage it is difficult to establish whether specific areas could
be described as cultural landscapes. Nevertheless, the landscape of the Central Precinct can be described
as a remote arid landscape and its visual qualities linked to the undulating topography and undisturbed
nature of the landscape. The only intrusions are existing transmission lines, scattered homesteads, wind
pumps, and access roads. These contribute to the rural landscape. “There is a perceived sense of absence
of human intervention or intrusion” (Patrick et al. 2009), the vast empty expanses exemplifying the qualities
of the Karoo.
The historic town of Graaff-Reinett situated to the immediate south of the Central Precinct would be an ideal
candidate for nomination as a cultural landscape. This scenic town harbours almost 200 provincial heritage
sites – more than any other town in South Africa (Oberholster 1972). These are mostly historic buildings
belonging to the 19th century period, however, the town is also situated in the mountain shadows of the
Camdeboo National Park – an area that contains various San hunter-gatherer and Khoekhoen pastoralist
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archaeological sites as well as rock art. The scenic natural heritage site of the “Valley of Desolation” is also
situated within this Provincial Park. Various memorials and monuments relating to the Khoisan genocide,
Voortrekker leaders, Anglo-Boer War, and the more recent struggle history of South Africa are located in and
around this town. Although not strictly situated within the borders of the Central Precinct it does indicate the
potential that may exist for similar cultural landscapes in areas less well surveyed and documented within the
study area.
A possible extension of the cultural landscape of Graaf-Reinett would be the Sneeuberge (Snow Mountains)
the mountainous area immediately to the north of the town and well situated within the Central Precinct of
the study area. Not only is the Sneeuberge a prominent physical marker on the landscape of the Eastern
Karoo but it is an important icon in the sad history of the now extinct Karoo San. For many decades this
area functioned as the last stronghold of the San. At one point San resistance here was so effective against
colonial expansion that it effectively halted Trekboer movement for almost 30 years (Penn 2003; Adhikari
2010). The Sneeuberg and adjacent areas contain numerous Later Stone Age sites associated with San
settlement of the central interior. The Seacow River area alone contains around 16 000 sites (Sampson
1985). This is more than any other area of comparable size in southern Africa. Here, as well as elsewhere in
the larger Sneeuberg area are numerous San rock painting and engraving sites. Some spectacular
examples occur on the farm Ganora not far from the little town of Nieu Bethesda, itself an interesting village
filled with historical buildings and ambiance. Although not inhabited ny Khoekhoen pastoralists in historical
times there is archaeological evidence for their occupation of the area during wetter climatic epochs such as
during the so-called Little Ice Age around 1400 AD. Old buildings and graves relating to early Trekboer
history occur on various farms in the area (Van Schalkwyk & Wahl 2007). In addition, the area contains
numerous palaeontological sites. However, there is a need to compile a thorough inventory of heritage sites
in this area and that can only happen once ground surveys have been initiated.
Rock shelters in the river valleys bisecting the mountain ranges will contain rock paintings and
archaeological deposit
Dolerite outcrops and boulders may contain rock engravings. Karoo koppies consisting of dolerite
boulders are promising candidates in this regard.
It is also likely that ground surveys may uncover scatters of Early, Middle and Later Stone age artefacts
near fountains and water courses.
Stone walling, including stone walled enclosures, related the Khoekhoen pastoralist activities may also
be found in various localities were grazing would have been available in the past.
Old farmsteads, older than 60 years and hence of heritage significance, will occur on most farms in the
area. We may anticipate that these may consist of farmhouses, sheds, outbuildings, kraals and other
structures. Of particular significance are the vernacular corbelled huts/houses that has been erected in
the 18th and 19th centuries in the vicinity of Beaufort-West.
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Various historical buildings occur in the small towns in the area. Victoria-West and Richmond are
especially well represented in this regard.
Graves belonging to both the indigenous San as well as colonial graveyards will occur on various farms
and small towns in the area.
Pans and watercourses were a foci of human activity in the past and prehistoric and colonial-era
heritage sites may be found near its environs.
The LSA falls mostly within Beaufort West LM in the Western Cape, Ubuntu LM in the Northern Cape and
Camdeboo LM in the Eastern Cape as well as the Western Cape District Management Area (WCDMA05)
(Figure 23).
District Management Areas (DMAs) are often sparsely populated and characterised by abundant natural
resources. These areas fall outside the boundaries of local municipalities and municipal services are
generally not provided to these areas (e.g. national parks and world heritage sites). District municipalities
then assume direct responsibility for the governance, administration and management of these areas by
providing a limited number of local government functions27.
The DMA of the Central Karoo DM is a unique arid zone with a legacy left by the indigenous Khoi-San
people. The DAM incorporates the town of Murraysburg, a small town primarily supported by tourists drawn
by the surrounding Sneeuberg Mountains, plains and rock art sites. The fossil-rich terrain has some of the
most important archaeological sites in the world – particularly near Beaufort West and Nelspoort where
stone-age sites and Bushmen engravings have been found – and boasts over 9,000 plant species.
Murraysburg caters to this market with a number of local crafts being produced. Beyond Murraysburg, the
area is sparsely populated with a few large farms.
Beaufort West (just outside the Central Precinct boundary), the largest urban area in Beaufort West LM, is a
typical South African "platteland" or country town adjacent to the Karoo National Park. Beaufort West was
originally established as a service centre for rail- and road transport and to a lesser degree for rural
agriculture. It lies in a sheltered spot, between two normally dry rivers, at the foot of the Nuweveld
Mountains. During the 1970s and 1980s, 90% of the town’s economically active people were employed by
the SA Railways. The National Road from Cape Town to Johannesburg (N1) bisects the town, and is still
responsible for generating a significant portion of the town’s revenue.
Victoria West is the main town (of three urban settlements) in Ubuntu LM.
4.13.1 Population
Beaufort West LM has a population of just over 37,500 (64% of the total population in the DM) and is
characterized by large areas of agricultural land with Beaufort West as the main urban centre. The
population density is 2 per km². The majority of the population (77%) is Coloured and approximately 90%
speak Afrikaans as their first language.
27
National Study of Service Delivery in District Management Areas (DMAs), Human Sciences Research Society, Final Draft, April 2005
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Ubuntu LM includes the towns of Victoria West (main town), Loxton (outside the Central Precinct boundary)
and Richmond as well as two former Spoornet villages: Hutchinson and Merriman. While the population is
significantly smaller in Ubuntu LM, the population profile is very similar to the rest of the Central Precinct
(notably the Beaufort West LM). More than 80% of the local population in both municipalities is Afrikaans-
speaking and designated Coloured29.
The Camdeboo LM is one of nine LMs in the Cacadu district and represents approximately 12% of the total
population in the district. Main urban centres in the LM include Graaff-Reinet (which falls outside the Central
Precinct boundary) and Nieu-Bethesda which are surrounded predominantly by livestock and game farms.
With reference to the socio-economic landscape, the changing social character of the region was
summarised as follows30:
“During the last fifty years, extensive livestock farms have grown even larger, and shed a
great deal of labour. Many of these unemployed farm workers have drifted to the small towns,
to join the ranks of the urban unemployed. The recent advent of game farming has
contributed to this trend, although opportunities in agri-tourism and eco-tourism are beginning
to create scope for new and more sophisticated types of employment in the tourism sector.”
In a Quality of Life survey conducted in 2008, one of the main reasons for people leaving the Camdeboo LM
was to find employment and approximately 26% of the population between 18 and 65 years was
‘unemployment and looking for work’. Pensions and social grants constituted the main sources of income for
the majority of respondents.
28
Community Survey 2007, Statistics South Africa 2007, sourced at www.statssa.gov.za on 11.02.2011
29
In South African context, the term Coloured (also known as Bruinmense, Kleurlinge or Bruin Afrikaners in Afrikaans) refers or referred to an ethnic group of mixed-race people
who possess some sub-Saharan African ancestry, but not enough to be considered Black under the former law of South Africa. They are mixed race and often possess substantial
ancestry from Europe, Indonesia, Madagascar, Malaya, Mozambique, Mauritius, Saint Helena and Southern Africa. The extensive combining of these diverse heritages in the
Western Cape developed into a distinctive 'Cape Coloured' and affiliated Cape Malay culture.
30
D.Atkinson. 2008. Towards “Soft Boundaries” Pro-poor Tourism and Cross-border Collaboration in the Arid Areas of Southern Africa.
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19%
21%
22%
General government 13% 16%
18%
13% 15%
17%
15% 18%
Community, social, personal services 15%
15%
20%
18%
14%
13%
10%
9%
Finance, insurance, real estate business services 7%
8% 12%
12%
18%
1%
2%
3%
Transport, storage, communication 3%
2%
5%
4%
4%
11% 14%
16%
Wholesale, retail, catering, accommodation 29%
15%
24%
22%
22%
4% 10%
5%
6%
Construction 6%
7%
8%
7%
0%
1%
1%
Electricity, gas, water 0%
0%
0%
4%
3%
4% 5%
Manufacturing 6% 8%
8%
14%
0%
1%
8%
Mining and quarrying 0%
0%
0%
26%
25%
17%
Agriculture, forestry, fishing 18% 34%
6%
12%
7%
0% 5% 10% 15% 20% 25% 30% 35%
The Capacity Assessment report (2008) (an annual assessment by Government of municipal capacity to
perform the municipal powers and functions for which it is authorised) compiled annually by the Municipal
Demarcation Board (MDB)31 indicated a negative population growth rate of 13%, 1.4% and 6.7% in Beaufort
West LM, Ubuntu LM and Camdeboo LM respectively between 2001 and 2007. The declining population in
Beaufort West LM and Camdeboo LM is significant and could be linked to the declining contribution of the
agricultural sector to the Gross Value Added (GVA) indicator from 8% in 2004 to 5% in 2009 in Beaufort
West LM and from 6% to 3% in Camdeboo LM. The natural arid climate compounded by the pressing
drought in the region will have contributed to the out-migration.
31
Namakwa District Municipality (DC6), Northern Cape, Assessment of Capacity for the 2008/9 Period, Municipal Demarcation Board, November 2008
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water and sanitation services) for Beaufort West LM 14 urban settlements where municipal services are
delivered which includes 291 businesses. The WSDP for Ubuntu LM states that the municipality has three
urban settlements with 85 businesses and 123 homesteads ‘scattered’ in the rural region of the municipality,
while the Camdeboo LM has 3 urban settlements where services are delivered including 207 businesses.
Water services in Beaufort West LM are supplied from 32 groundwater and 2 surface water sources while
Ubuntu LM supplies water through reticulated systems from 17 groundwater sources. The Camdeboo LM
supplies water services from 5 groundwater sources and 1 surface water source. The population is thus
solely dependent on local water sources.
4.13.3 Tourism
Tourism has been considered a developmental opportunity for the Karoo region evidenced by the tourism
conference held at the end of 2009 with the theme “creative tourism in the Karoo – implications for 2010 and
beyond”32. Several presentations were made about the tourism potential that is seemingly locked up in the
history, natural resources and heritage of the region. These experiential features are also referred to as the
‘sense of place’ of the area and relate to what has been referred to by stakeholders as the aesthetic value.
Aesthetic value of an area is the emotional response derived from the experience of the environment with its
particular natural and cultural attributes and includes atmosphere, landscape character and sense of place
(Schapper, 1993).
The local economic situation is typically characterized by small towns with small local economies and a
migration towards the east and coastal regions which are also the focus of tourism development. Tourism is
described in various planning documents as having the potential to generate income and reduce poverty:
The Western Cape highlights the eco-tourism, historical culture, agri-tourism, hiking,
stargazing, bird watching etc. (Western Cape Government 2002). The Cacadu Tourism
Spatial Development Plan refers to the attractions of the open plains; mountains and valleys;
rivers; nature reserves and wilderness areas; private game lodges; hunting and birding; hiking;
biking; and horse riding. In the Northern Cape, the 2005 White Paper on Tourism refers to the
parks, game reserves and conservancies, offering abundant wildlife and floral diversity. There
are also many cultural and heritage resources, including museums, historical sites, and
monuments. There are archaeological and rock art sites, arts and cultural festivals, prominent
historical figures. There are also unique and endangered cultures, such as the San
communities, the Griquas, and the Namas. Another potential area for tourism development is
the game farming industry which has expanded massively in southern Africa.33
The Karoo tourism initiative highlights the economic potential inherent in the ecological and historical
heritage of the region.
32
Karoo Tourism Conference: Creative Tourism in the Karoo – Implications for 2010 and Beyond
33
D.Atkinson. 2008. Towards “Soft Boundaries” Pro-poor Tourism and Cross-border Collaboration in the Arid Areas of Southern Africa.
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Formal employment levels are approximately 34% in the Central Karoo DM, over 10% lower than
employment figures for the Western Cape Province (Figure 29). The wholesale and retail industry sector
(including catering and accommodation) is the largest employer in the local municipality, accounting for 24%
of employment, and contributing 14% of the local municipality GVA. The largest contributor to GVA is the
financial, insurance, business and real estate sector at 29%. Agriculture accounts for only 6% of
employment and 5% of GVA sector contribution. However, the Beaufort West LM identifies the sector as
one of importance and with opportunities for growth and employment creation despite the harsh climate and
poor carrying capacity of the veld. Agri-processing, particularly related to mohair and deciduous fruit, is
seemingly offering new prospects for the future. Game farming is also developing as an economically viable
option.
According to a “Broad Socio-Economic Profile” report for the Cacadu DM34 the district experienced a higher
growth rate (1.1%) than the larger province. Camdeboo LM contributed 13% to the district’s GVA in 2007,
preceded by Kouga (22%) and Makana (24%). Agriculture is the greatest employer in the district (34%)
while Camdeboo LM experienced the greatest contribution to employment in the wholesale and retail sector.
The rate of employment (formal and informal) in the district is approximately 53% and approximately 47% in
Camdeboo LM.
In the Ubuntu LM, agriculture and government services are the largest contributors to the economy and
employ the largest number of people.
Table 15: GVA per Sector 2009
Cacadu DM
Camdeboo
Karoo DM
Ubuntu LM
West LM
Beaufort
Western
Central
Seme DM
Pixley ka
Northern
Cape
LM
Sector
Cape
34
Cacadu District Municipality, 2008. Broad Socio-Economic Profile.
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Cacadu DM
Camdeboo
Karoo DM
Ubuntu LM
West LM
Beaufort
Western
Central
Seme DM
Pixley ka
Northern
Cape
LM
Sector
Cape
catering and accommodation
Transport, storage and
10% 12% 14% 5% 7%
communication 10% 10% 5%
Finance, insurance, real estate
33% 27% 29% 23% 19%
and business services 14% 18% 17%
Community, social and personal
5% 7% 8% 13% 10%
services 10% 12% 12%
General government 10% 13% 14% 23% 28% 14% 18% 21%
It is evident from this brief description that the local economy in the Central Precinct is driven by the services
sector with limited contributions from the construction and manufacturing sectors and no contribution from
the mining sector.
Firearms, drug
(murder, GBH)
Other serious
crime (arson)
related crime
Total crimes
Other
crime
Town
Murraysburg
Change since 2005 2% -31% -39% 312%
Beaufort West LM
Crime distribution 30% 4% 26% 24% 8% 7%
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Property related
(burglary, theft)
Contact related
Contact crimes
against person
Firearms, drug
(murder, GBH)
Other serious
crime (arson)
related crime
Total crimes
Other
crime
Town
A scoping health impact assessment was compiled in a separate technical report. Table 17 refers
specifically to the HIV/Aids status of the local populations in the LSA. It is evident that the percentage Aids-
related deaths are significant against an infection rate of between 3-10% of the population in the range 15
and 49 years. In light of the current negative population growth rate, an increase in Aids-related deaths
would further diminish the local population and reduce the ability of the local communities to reproduce their
productive capacity.
Table 17: Central Precinct HIV/Aids, 2010
Population Percentage of Deaths
AIDS Deaths Other Deaths
HIV Positive related to AIDS
Central Karoo DM 3% 0.1% 0.9% 13%
Beaufort West LM 3% 0.1% 0.9% 14%
Pixley ka Seme DM 6% 0.3% 0.9% 26%
Ubuntu LM 6% 0.2% 0.9% 22%
Cacadu DM 10% 0.6% 1.1% 36%
Camdeboo LM 8% 0.4% 1.2% 24%
Chris Hani DM 11% 0.7% 1.1% 40%
Inxuba Yethemba LM 10% 0.6% 1.1% 35%
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According to the IDP of Beaufort West LM, health indicators revealed that the proportion of children under
the age of 1 year with first measles immunization was 93 per cent (above the national target of 90%), TB
prevalence stood at 950 for every 100 000 people, with a cure rate of 74 per cent. The national target for TB
cure rate of 85 per cent had not been met because of social grants, which have become a source of living for
people; it implies that being cured will remove the grant. The patient nurse ratio was 31:1, better than the
national target of 34:1.
During an AIDS strategy planning session in 2002, Ubuntu LM conceded that “There are only 3 clinics and 2
hospitals in the Ubuntu municipal area to deal with people who are living with AIDS. According to estimates
by the District Council about 10 % of a total population of 20 000 are likely to be HIV positive and these
hospitals and clinics are understaffed and under resourced and cannot provide an effective service”. It
appears that the general health systems are inadequate to deal with the present health conditions.
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Biofuels: Shell has been involved in distributing biofuels for over 30 years and continue to build their
capacity in biofuels Shell distributed 9 billion litres of biofuels in 2009.
Hydrogen: In partnership with carmakers Shell has opened demonstration hydrogen filling stations, in
the USA, Europe and Asia to learn more about consumer behaviour, safety, cost, and the dispensing
and storage of hydrogen at these stations. Shell has several partnerships that explore the development
of a hydrogen market and help reduce costs.
Shell develops wind power to generate electricity, Shell has an interest in wind projects with an overall
capacity of around 1,100 MW. In the USA, their share of the operating capacity is 450 MW, enough to power
150,000 US homes. Shell has a further 98 MW share of wind generated power in European projects. Shell’s
wind-energy output avoids around 1.5 million tonnes of CO2 a year, if compared to a coal-fired power station.
Shell is looking at potential new North American wind projects.
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Contribution to sustainable development by balancing short and long-term interests and integrating
economic, environmental and social considerations into decision-making;
Applying a systematic approach to health, safety, security and environmental management in order to
achieve continuous performance improvement. To this end, Shell companies manage these matters as
critical business activities, set standards and targets for improvement, and measure, appraise and
report performance externally, continually looking for ways to reduce the environmental impact of
Shell’s operations, products and services and involving stakeholders in dialogue about issues of
concern to them;
Being a good neighbour by continuously improving the ways, in which Shell contributes directly or
indirectly to the general wellbeing of the communities within which they work and committing. Shell
companies aim to manage the social impacts of their business activities carefully and work with others
to enhance the benefits to people in the local communities, and to mitigate any negative impacts from
their activities. Shell has an active Social Investment programme in countries where it operates and at a
global level, with a focus on local enterprise development, road safety and access to clean burning
cooking stoves for local community members; and
Other business principles include a responsibility to not only shareholders, customers and employees,
but to society as well as contractors, suppliers and business partners.
Shell was included in the FTSE4Good Index in 2010, like every year since it started in 2001. Companies
must meet the index’s criteria on the environment, relationship with interested parties, supply chain labour,
bribery, and human rights to be included. There is no ranking within the index. More information can be
found at: http://www.ftse.com/Indices/FTSE4Good_Index_Series/index.jsp
Shell remains second in the Goldman Sachs GS SUSTAIN ESG (environmental, social and governance),
which focuses on sustainable investing in the energy sector. Companies are rated according to 25 indicators
across the categories of corporate governance, leadership, labour, communities and investment and
environment. For more details, refer to http://www2.goldmansachs.com/ideas/environment-and-
energy/goldman-sachs/gs-sustain/index.html
35
Updated in 2005
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gas project in Nigeria, achieved 40 million man-hours without any lost time incidents (LTI) in 2010.The
company has won several safety awards. Recent examples include:
In Qatar, the company’s Pearl Gas to Liquids team (with 77 million safe working hours) was awarded
the HSE Project of the Year at the Abu Dhabi International Petroleum Exhibition and Conference
(ADIPEC) Excellence in Energy Awards 2010. (http://www.adipec.com/page.cfm/link=35); and
Shell Todd Oil Services (STOS) which operates the Maui and Kapuni fields in Taranaki, New Zealand,
won the Excellence in Health and Safety Award in 2010 at the inaugural New Zealand Energy Awards.
(http://www.energyawards.co.nz/award/excellence-in-health-and-safety-award).
2. They will further improve the way they operate in IUCN Category I-IV protected areas, and areas of
high biodiversity value. Shell is committed to preparing Biodiversity Action Plans (BAPs) in Areas of
high Biodiversity Value (AHBV) (which include IUCN I - IV, Ramsar, Important Bird Areas, Natura
2000, and man and Biosphere Reserves).
3. They will publicly report on their activities in IUCN Categories I-IV protected areas.
4. They will work with IUCN and others to help safeguard protected areas.
Shell works with conservationists to lessen impact on biodiversity in areas where they operate. As an
example, the Smithsonian Institution Monitoring and Assessment of Biodiversity Programme (SI/MAB) and
Shell have been working together to increase understanding of biodiversity and energy resource
development in the Gamba Complex in Gabon. This partnership, which began in 2000, is funded by the Shell
Foundation, Shell Gabon and the Smithsonian Institution. Through this partnership, SI/MAB has been
carrying out long-term independent biodiversity studies in the area. More details on this partnership are
available at
<http://nationalzoo.si.edu/SCBI/MAB/conservation/centralafrica/gabon/MABinGabon/partnership.cfm>.
In terms of greenhouse gas reduction (GHG), Shell had set a voluntary target of 5% lower GHG emissions in
2010 than their comparable 1990 level. In 2009, the direct greenhouse gas (GHG) emissions from facilities
they operate were 67 million tonnes on a CO 2-equivalent basis, 11% lower than in 2008 and around 35%
below the 1990 level which puts them on track to meet their voluntary target.
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Shell also makes voluntary contributions to support local communities and the areas where they operate. In
2009, Shell spent around $132 million on social investment mostly on community development projects.
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Steps in shale gas exploration
Desk‐top studies of geology Shell is here :
If not promising, discontinue If promising, Select areas for future
wells based on geology, complete EMP
Depth to target shale accurately known?
Yes, old seismic, offset wells No
Obtain geophysical data
(Magneto‐telluric)
Target shale too deep or too
Target shale at right shallow, select other location
depth range
Obtain land access and perform Environmental
Impact Assessment for drilling location
Mobilise Rig + Drill exploration vertical well
If no gas flow observed, rehabilitate, If promising
consider continue exploration (gas encountered in mud logs, logs or canisters)
programme (or exit after n‐wells)
Demobilise Rig,
Undertake Hydraulic Fracture
Drill new well first
within existing vertical well
At original well surface location Drill new well at new location nearby
If no gas flow observed, rehabilitate, Mobilise Rig + Drill vertical well
consider continue exploration Gas flow tested with horizontal section
programme (or exit after n‐wells) successfully If no gas flow observed,
( “puff” of gas)
rehabilitate, consider continue
If promising
(gas encountered in mud
exploration programme(or exit
logs, wireline logs) after n‐wells)
Demobilise Rig, design frac, mobilise frac crew.
Frac & test horizontal section
If no gas flow observed,
rehabilitate, consider continue
exploration programme(or exit
after n‐wells)
Repeat process unless successive no‐gas observed or flows
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Geophysical Data Acquisition: The non-intrusive geophysical technique called magneto-telluric (MT)
involves placing a number of sensors on the ground for about a day, which are then moved to a new
point, typically 3 - 10 kilometers away. Over time, by collecting individual data points, the acquired data
may represent approximately 1000 kilometers of points that can be joined to form lines on a map.
Section 5 of this report describes the process in a more detail.
Exploration Drilling: Having analysed Soekor well data from the 1960’s Shell’s prognosis is that
hydrocarbon bearing shale layers may exist in the license area, but at different depths, varying between
1000 to 5000 meters. Shell may drill up to eight wells in the license area to identify the shale layer
(which may or may not contain hydrocarbons). If the shale layer cannot be found or no hydrocarbons
are detected deep underground then fewer wells may be drilled
A well site typically can be 100 meter by 100 meter (1ha) in area in order to place a temporary
drilling rig, and other drilling related equipment, materials and some onsite storage (e.g. tubulars,
containers and water pits). In some instances additional storage area for equipment or vehicle
parking may be required, which will require additional land in the vicinity. Dependent upon where a
well site is located, an access road may be required. If temporary accommodation is required
nearby in the form of a temporary camp (rather than utilizing available rental accommodation), this
would require additional temporary land. Once drilling locations have been identified, decisions on
access road, accommodation, etc. will be made on a case-by-case basis, taking into account,
individual well site considerations and will involve land owner and community consultations;
Water wells: Dependent upon regulatory requirements and landowner approval, water wells may be
drilled for baseline data collection, monitoring of aquifers, or possibly to supply water for general
drilling operations. These ‘water’ wells would typically be drilled to shallow depth to intercept either
the shallow aquifer for monitoring purposes, or slightly deeper (>100 m) if a deeper groundwater
supply well was contemplated. No decisions have been taken on this yet, but further analysis will be
required during the planning for well site specific environmental impact assessments; and
Supply base: a supply/ logistics base will be required for drilling operations to store material, preparation
and possibly testing of equipment before being despatched to sites. Typically a supply base is
established in a central location – such as a major town. The location(s) of the supply base has not
yet been selected as this depends on the location of the drilling sites. Considerations for locating a
supply base would include existing (brown-field) storage facilities, availability of local skills, labour
and other materials.
The precise locations where exploration drilling activities may take place have not yet been identified.
Information on surface conditions and landowner and community opinions are being gathered to assist in the
selection of suitable sites.
The illustration (Figure 31) provides an overview of possible areas within which suitable well sites may be
identified for future exploration drilling activities.
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Figure 31: Illustration of possible areas within which a suitable well site may be identified for future
exploration drilling activities
National Electricity Grid Infrastructure: Within 20 km of existing network or substation (where known);
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regional experts. This process of scoping will also form part of any Environmental Impact Assessment(s)
studies.
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is commonly used in modern petroleum, mining and geothermal resource exploration. MT has already been
used successfully by academics36 to study the geological history of the Karoo area.
Naturally varying magnetic fields caused by sunspots and even distant thunderstorms, result in electrical
fields in the earth. The MT technique measures these very small magnetic fields. Information is then
recovered and interpreted to map the subsurface geology, down to depths of 10 km in some instances.
Figure 33 shows how sensors are placed on the ground to measure the magnetic fields. The MT equipment
easily fits into a small suitcase and can be carried by one person. A number of small receiving sensors are
positioned on the ground, orientated in different directions to allow measurement of the magnetic field. The
equipment is set-up during the day, records data overnight and then is moved to a new location the following
day. The distance between measuring locations is typically 3 – 10 km.
Shell will engage with land owners to seek permission to access their land to allow MT measurements to be taken.
Shallow seismic is a technique used to assess the (shallow) rock composition in and around a proposed
well site to characterise the geological components. A shallow seismic programme could have an
additional footprint, although if the seismic lines are acquired along existing roads this would be
minimal. A surface seismic programme consists of series of "shots" (i.e. a source of acoustic energy
such as vibroseis trucks (vehicle-mounted vibrator plates), weight drop, or detonation of a small charge
in shallow holes), which are used to create an acoustic signal. For each shot, a string of sensors
(geophones or accelerometers) is used to record the acoustic reflections (echoes) from the subsurface
geologic formations. A typical seismic survey that is designed to image shallow targets (500 to 1 000 m
in depth) would have shots spaced roughly every 40 m and sensors spaced every 10 m along lines that
would be 10 to 30 km in length. The length and number of lines that would be required depend on the
geologic features that need to be delineated.
Seismic sensors are connected by electrical cables back to the recording truck with 100 to 200 sensors
placed for every shot. The sensors are small; a single sensor would fit in a persons hand. Small spikes
on each sensor are pushed into the ground to couple the sensor firmly to the soil. Vibroseis trucks are
often used for lines along roads or in smooth and firm ground conditions. Small charges are used in
more rugged terrain or where ground conditions are not suited for vibroseis trucks. Shot holes are
drilled by small hand held augers or by units mounted on the backs of all terrain vehicles, with hole
depths around 3m and charge sizes of 1/8 to 1/4 kg.
Micro-seismic is a technique used once a well has been drilled to understand the characteristics around
the well bore. It can also be used if hydraulic fracturing has taken place to map the extent of the
induced microscopic fractures around the well bore (refer to Figure 33) for an example of mapping of
fractures). When deploying micro seismic equipment, the purpose is to listen to the very small noises
that are created, deep underground, as fractures are created during the hydraulic fracturing process.
Sensors (called geophones) are used, which can be placed on the surface, in a grid pattern, to listen to
the very small noises made as the rocks are fractured. There is also the option to use a neighbouring
(drilling) well as the ‘observation’ well, within which one could place the ‘listening geophones’.
A recording truck sits on the well pad to record the signals generated during hydraulic fracturing. No
additional footprint or land disturbance occurs as a result of recording the micro-seismic data.
36
http://www.agu.org/journals/ABS/2007/2005JB003975.shtml: New Magnetotelluric Measurements across the Magnetic Beattie
Anomaly and the Southern Cape Conductive Belt in South Africa, Weckmann, U.; Ritter, O.; de Wit, M.; Jung, A.; Hübert, J.; Branch, T.;
Stankiewicz, J.; Mabidi, T. American Geophysical Union, 2004
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At this point Shell is not planning to acquire other seismic data (e.g. 2D seismic) until after drilling a number
of exploration wells, and therefore most likely not during the 3-year Exploration Right. If Shell successfully
identifies hydrocarbon-bearing rock, 2D seismic technique may be used in some areas at a later exploration
stage.
5.4.4 Drilling
Shell may drill up to eight exploration wells in a license area. Drilling is not expected to start until late 2012.
Furthermore, drilling will not start until an Environmental Impact Assessment has been performed, as
outlined in Chapter 3, Regulatory Requirements, for any gas well site that will be proposed.
Shell has not yet identified where exploration drilling may take place. Since there is some flexibility from a
subsurface point of view in where a well site could be located, Shell will determine the sites in consultation
with landowners.
The section below describes a typical exploration well site and activities that may occur in the Karoo and is
based on typical drilling activities on land, anywhere in the world. For the Karoo, once a number of
alternative well sites have been identified more site specific details, per location, will be included in the
Environmental Impact Assessment (EIA) scoping and evaluation.
During operations all annuli will be monitored to confirm no leaks develop over time. Also during production
when the rig is no longer on site, it is common practice that the annuli are monitored at a regular basis. In
case pressure or fluid levels are observed to increase, a full investigation will be carried out and if required
production is halted or operations stopped (close in well). Once the investigation confirms the cause of the
increased pressure or fluid levels, appropriate action will be taken to restore the required integrity.
37
The annulus is the gap between the casing and the bore hole.
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Whilst drilling the vertical exploratory wells, geological samples of the rock cuttings from the bore hole as well
as core samples will be collected and analysed to determine the presence of a potential (shale) reservoir and
whether gas is still present in these rock formations deep under the ground.
The drilling equipment necessary to drill the well is transported on trucks to the location. During operations,
the drilling rig itself may be 30-50m in height, dependent upon the equipment selected. Subject to regulatory
approvals, operations may take place 24 hours a day. Once drilling operations are completed, the well is
suspended and the drilling rig equipment is demobilised.
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Remove topsoil, which is then stockpiled nearby for site rehabilitation purposes later.
Grade, level and if necessary backfilled with crushed stone the area where the drilling and well pad will
be located.
Compact the site to ensure for stability during movement of heavy equipment and support the weight of
the rig.
Create erosion and sediment control structures around the site, where appropriate.
Create on-site storage for drilling fluids or water, which may require construction of geotextile lined pits
or as an alternative the use of storage tanks.
Construction of a well cellar may be required on certain sites to contain the wellhead. The dimensions
will vary depending on the size of the wellhead.
As described earlier the crew(s) involved with the drilling operations will require temporary accommodation.
This could be located close to the site in a purpose-built temporary camp, or utilise available
accommodation, or a combination of both. The most appropriate option can only be selected once well
locations have been selected. Shell will draw upon local expertise, landowner preferences and other
guidance to support its final decisions. If camp accommodation was the preferred option for operations
relating to a well site then this would typically require about 0.5 ha of land, for accommodation, a restaurant
(mess), offices, stores, and parking (assuming crews for one well site).
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The drilling rig will be transported by standard prime mover and 40 ft trailer trucks, and will be assembled on
site. The construction of the temporary drilling rig typically takes between 3 and 4 weeks. Additional trailer(s)
will be required to bring other portable equipment, a site office etc. for temporary use on site. Typical traffic
associated with "rig up" operations requires approximately 50 to 70 truck loads, which includes portable
accommodation units and rig site offices.
The frequency with which additional vehicle traffic visits a site will depend upon the phase of drilling
operations. For example:
On average a standard re-supply to a rig will require 2 to 4 trucks loads per day, although when pipe
casing strings and mud supplies are required this may require up to 10 truck loads per day for a short
period of time.
Dependent upon the distance to available infrastructure, for example a supply base or airport, may
require additional traffic once per week, plus ad-hoc travel of employees to/from the site on a daily
basis.
Fuel: Power for the well site and rig is usually provided through diesel fuelled generators. Dependent
upon drilling activity, fuel use can vary between 2 to 4 m3 per day. Therefore, normally there will be an
on-site fuel store to support ongoing operations. In line with regulatory requirements and international
best practices, fuel will typically be stored in storage tanks, bunded by a retention wall, with fire
prevention equipment in place.
Drilling Mud (Chemicals): Storage for mud (drilling fluid) is kept in a designated area on the well site.
Typically only the chemicals necessary for the stage (depth, geological characteristic) of drilling are kept
on site - the rest is stored at the supply base. Contingency stocks of heavy mud additives (i.e. barite)
are also kept at the supply base to use if needed to maintain well control. The majority of chemicals
kept on the rig site comprise barite and hole conditioning chemicals. Barite is an inert (naturally
occurring) substance with clay-like properties, which is typically stored in a silo. Well hole conditioning
chemicals are typically stored in 50 kilo sacks or drums inside containers, separated in accordance with
manufacturers handling guidelines. The conditioning chemicals may include KCL (salt), gels and
naturally occurring fibres.
Steel Pipe: Hydrocarbon wells will be lined with tubular steel pipe. Generally, the storage of individual
sections of the casing (typically 10 meters long) on the well site is kept to a minimum. All casing and
related equipment and materials that are not imminently required for the operations are kept at the
supply base for distribution. Each pipe can weigh hundreds of kilograms, therefore safety and careful
management of the equipment is essential. At the supply base and the well site casing storage is
regulated in accordance with Shell standards and handled by trained personnel.
Low-Level Radio-active Measuring Device: During drilling operations, at certain points when geological
strata are reached, data measurements may be undertaken. This would typically require ‘logging’, using
a specialised down hole measuring device which is lowered into the well bore . This device may contain
a low level radio-active source for measurement purposes. The handling and execution of these
devices can only be done by specialised licensed companies. The movement, storage and use of these
logging devices are regulated under South African legislation. Temporary storage would likely be used
at the well site, again in compliance with applicable local regulations.
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Figure 35: Down hole measuring device Figure 36: Close-up of down hole
measuring device which contains a small
radioactive source used to record rock type
inside the bore hole
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used. During drilling operations certain mechanical properties are continually recorded, such as the actual
weight on the drill bit used to grind through the rock, the rate of penetration, and torque required. All these
parameters help to characterise the mechanical properties of the different rock layers.
During the drilling process drilling fluid, referred to as drilling mud, is pumped down the inside of the drill
string, exits at the bottom through the drill bit and returns through the space between the borehole and drill
string back to surface.
The drilling mud keeps the drill bit cool and transports rock cuttings from the drill bit deep underground to the
surface for analysis. The mud is directed over a device known as a shale shaker to separate the cuttings
over mesh screens, allowing the mud to return back into the mud tanks for reconditioning and then re-use.
The cuttings are analysed for their rock properties and for possible traces of hydrocarbons, this process is
called MudLogging. After analysis the rock cuttings are recycled in accordance with the regulated waste
management programme.
Typically, vertical exploration wells will likely use a water based mud, comprising water, weighing agents,
such as barite and other additives such as viscosifiers. If exploration wells are drilled with a horizontal
section, dependent upon the subsurface conditions, it may be necessary to use a non-toxic synthetic oil
based fluids. In this case, the base component of such a fluid typically is base oil.
The primary objective to undertake the initial vertical exploration drilling is to gain a better understanding of
the subsurface, identify the existence of shale reservoirs and assess whether gas is still held in the rocks,
deep underground. In addition to analyzing the rock cuttings and the drilling parameters, at certain points
(depths) during drilling solid rock cores may be taken and specialist data acquisition (logging) devices used
inside the well bore, which may include, but not be limited to:
Measurements while drilling (MWD): specialized tools, for example gamma ray and resistivity tools, are
installed just behind the rotating drill bit. These measurements are transmitted to surface allowing near
real-time observation of the characteristics of different geological rock formations.
Electric wire-line logging: Upon completion of a drilled section, specialized tools can be lowered down
the well bore on a wire-line to measure characteristics of the rocks. Tools that might used could include
borehole imagers, caliper devices, density-, azimuthal sonic-, and resistivity tools.
Cores: as part of plans to drill exploratory vertical explorations wells, formation samples (cores) will
likely be taken if targeted geological rock formations are encountered. Specialised coring tools will be
used to retrieve the core for analysis at the surface. Subsequently the core sections will be sent to a
specialist lab for detailed analysis.
Formation sampling: In addition previously mentioned data acquisition techniques, localized side wall
coring and potentially formation fluid sampling may be undertaken at certain intervals whilst drilling. This
may be to target specific shales or if encountered, to quantify the characteristics of certain water-
bearing zones.
Mudlogging: drilling fluid returns are analysed at surface on composition. Drilling parameters, such as
Rate of Penetration (ROP), weight on bit (WOB) and torque, as well as cuttings retrieved at surface are
also examined as they may indicate what types of formation are being drilled. This data is compiled into
a so-called mud-log.
Upon completion of the exploratory operations the well is suspended and all drilling related equipment
demobilized and moved off-site.
Drilling related operations (excluding site preparation and rig-up) may take 2-4 months, dependent upon how
deep the well is required to be drilled. Drilling is expected to take place 24 hours per day, using two crews,
each working a 12 hour shift.
Dependent upon the phase of the drilling, a typical crew may contain up to 30 personnel, but may increase
for short periods, to ~50 personnel, during periods of specialist operations, such as data acquisition or
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completion activities. The personnel would include drillers, roughnecks, mud specialists, mechanics,
electricians, drivers, equipment operators, catering and specialist services (e.g. logging, coring, casing
running) and supervisory personnel.
Shell will endeavour to employ only competent staff and contractors to carry out operations. Where staff or
contractors do not meet the appropriate competence or awareness of standards and regulations that is
required, Shell will provide adequate and suitable training to meet the requirements.
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Since the 1940’s it has become an industry recognized technique used to try to stimulate the flow of
hydrocarbons held tightly in rock formations and is a key technical process to allow the development of
natural gas resources around the world. In the US, per year, approximately 35,000 wells are now drilled and
then fractured by Industry, annually (source: www.energyindepth.org).
Shell has considerable experience in drilling and fracturing
unconventional gas wells. For example, over the period
2009-2010 Shell drilled ~500 wells onshore in North
America to stimulate the production of gas. Many of these
were hydraulically fractured.
Hydraulic fracturing is the process of creating fissures, or
fractures, in underground formations to enable natural gas
to flow. These fractures start at predetermined points
(perforations) in the wellbore through which fracturing fluid
is pumped under pressure into the formation. The extent of
these fractures depends on the combination of formation
characteristics, the fracturing fluid composition and the
pressure applied during injection of the fluid. Figure 38
shows a typical crack induced through hydraulic fracturing.
Shell is able to measure the distance, direction and
effectiveness with which the fracturing process worked. Figure 38: Example of a crack induced by
hydraulic fracturing
Typically a fracturing fluid consists predominantly of water
and proppant, the latter generally being sand, ceramic or bauxite. A small amount of special-purpose
additives are required to facilitate the hydraulic fracturing process. The proppant holds the fractures open,
allowing hydrocarbons to flow into the wellbore and so to surface after injected fluids (flowback water) are
recovered. Flowback water can be re-used and recycled for other operations. For example, in North America,
Shell collects the water produced, then re-uses it for other drilling related activities, reducing the water use
by up to 50% in some unconventional ventures.
Shell will study a range of variable factors such as the nature of the rock formation and the thickness of the
targeted area before finalising the hydraulic fracturing design (fluid composition, pressure required etc.) to
ensure fractures are contained within the targeted geological formation(s).
The process to optimise the hydraulic fracturing design, including chemical additives to be used, can only
take place once the well has been drilled. Therefore, hydraulic fracturing operations will not occur
immediately after completion of drilling and logging operations. In the case of operations in the Karoo, the
plan will be to move the rig away. Next the rock properties, any core and data acquired from logging will be
analysed before committing to the final fracturing design.
The pressure required to generate microscopic fractures in the shale can vary enormously, which is why rock
cuttings, cores and other data acquired during drilling must be carefully analysed before completing the
fracture design. Typically the range of fracture pressures can be 5,000psi (345 bar) to 10,000psi (690 bar).
The pressure applied during fracturing should never be higher than the tested maximum allowable casing
pressure. The maximum allowable pressure would be confirmed during earlier phases of the well operations
through a casing integrity test.
Only once all data has been analysed can the fracture design be completed and specialist hydraulic
fracturing equipment and ancillary equipment be mobilised to a well site. With careful design of the fracturing
process this allows the fracture network, location, length and effectiveness to create a permanent fracture
system in a specified rock formation to be tightly controlled. Figure 39 shows how the results of a fracture
can be mapped. The pictures depict points, deep underground, where fractures were created as a result of
the hydraulic fracturing process. Each point represents the location (in X, Y and depth) for a microscopic
fracture (typically <1mm in size) which was artificially created in the rock. As the hydraulic fracturing liquid is
pumped along the well casing, through perforation holes and into the rock formation, small fractures are
created in the rock. This process creates very small sound waves that can be picked up by geophones,
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as Exploration
n in the Westtern Karoo (C
Central
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E Co
ompany B.V.
Figure 39: Do
ots in these im
mages indicate
e the locationss of micro-seis
smic events ge
enerated as th
he rock in a we
ell in Shell’s
Unconventionnal gas field (P
Pinedale, Wyo
oming, Americca) fractured
5.4.5.2 Fracturi
ring Fluid
The fracturing fluid is a critical
c compponent of the hydraulic fra
acturing proccess in orderr to try to create and
then keep frractures (typpically <1mm is size) open deep in the e targeted ro
ock formationn. In the Karo oo the
targeted shaale layer, if present,
p could be located
d as deep as 5000 meterss under the g ground.
The selectio
on of the fraccturing fluids composition
n used for anny well, at any site, must be tailored to
o be
compatible with the targgeted rock formation in orrder to try an
nd create and d maintain th
he fractures.
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Note : Shell will commit to undertake toxicity screening, the results of which will be publically shared, prior to
developing the final hydraulic fracture design for an Exploration well. In addition, more generally Shell
supports disclosure by Contractors and Suppliers of chemicals that may be used during the hydraulic
fracturing process.
The following sub-sections briefly talk about the current drive, across Industry, to utilize more widely so-
called Green-Chemicals, and this is contrasted against a selection of chemicals that have in the past been
used by Industry for hydraulic fracturing.
The term and objectives for ‘Green Chemistry’, are depicted (for example) by the adherence to the EPA’s
Principles of “Green” Chemistry, where by chemicals selected must achieve the following objectives:
Prevent Waste
Design safer chemicals and products. Achieve balance between toxicity, fluid effectiveness and loading
requirements
Use renewable feed-stocks and bio-degradable products. Green chemistry and Eco-friendly and
biologically derived versus synthetic or oil-based additives
Avoid chemical derivatives: No carcinogenics, nor endocrine disruptors, nor heavy metals
Use safer solvents and reaction conditions to reduce large volumes of solvents and auxiliary chemicals
Green fracture fluids use of bio-degradable products (into benign byproducts) to degrade after use,
preventing bio-magnification and ecological toxicity
The change of chemistry and green products to help prevent pollution in real-time. Eco-friendly
alternative fracture fluids allow for easy cleaning of spills
For this reason, there are a growing number of different products available by Industry which cater to these
objectives (Table 18).
Table 18: Currently available “Green Chemistry” hydraulic fracturing chemical additives available by
Industry Suppliers
Company Products Details
Halliburton CleanSuite™ CleanStim™ Hydraulic Fracturing Fluid System. With components are
Technologies - sourced from the food industry and can provide an extremely clean
Ultra Clean fracturing fluid with excellent proppant transport and cleanup. Provides
Fracturing Fluid Breakthrough Environmental Benefits and Excellent Retained Conductivity
Technology CleanStream® Service - Enhances Environmental Performance by
CleanStream® for Reducing the Volume of Conventional Biocides Required
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15% Hydrochloric Removes scale and cleans wellbore prior 4000-6000 gal run ahead of
Acid/Solvent
Acid (HCl) to fracturing treatment fracturing stages
Acid used to adjust the pH of the base
BA-20™ Organic Acid 0.1 - 0.5 gal/1000 gal
fluid.
Prevents or limits growth of bacteria that
can cause formation of hydrogen sulfide
BE-9™ Biocide 0.25 - 0.5 gal/1000 gal
and can physically plug flow of oil and gas
into the well
CL-28M™ Crosslink Agent A delayed crosslinker for the gelling agent. 0.3 -1.1 gal/1000 gal
Crosslink A non-delayed crosslinker for the gelling
CL-31™ 0.25 - 0.75 gal/1000 gal
Enhancer agent.
Clay-stabilization additive which helps
Clayfix™ 3 Clay Stabilizer prevent clay particles from migrating in 2.5 gals/1000 gal
water-sensitive formations.
Prevents some treating fluid leak off and
Common White Sand Proppant/Fluid
holds open fracture to allow oil and gas to 0.2 - 1 lbs/1000 gal
100 mesh Loss
flow to well.
Allows fracture fluid to move down the
FR-66™ Friction Reducer wellbore with the least amount of 0.2 - 1 gal/1000 gal
resistance
Corrosion Prevents acid from causing damage to the
HAI-404M™ 5- 25 gals/1000 gal
Inhibitor wellbore and pumping equipment
Losurf-300D™ Surfactant Aids in recovery of water used during frac 0.5 - 3 gal/1000 gal
Prevents build up of certain materials (i.e.
LP-65™ Scale Inhibitor scale) on sides of the well casing and the 0.25 - 10 gal/1000 gal
surface equipment
MO-67™ Buffer Used to adjust the pH of the base fluid. 1 - 10 gal/1000 gal
Optikleen-WF™ Breaker Agent used to degrade viscosity 0.25 - 1 lbs/1000 gal
Premium White Sand Holds open fracture to allow oil and gas to
Proppant 0.5 - 5.5 lbs/gal
30/50 mesh flow to well
Premium White Sand Holds open fracture to allow oil and gas to
Proppant 0.2 - 1.5 lbs/gal
40/70 mesh flow to well
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Table 20: Industry Third Party Example: Choices available to a Company for the selection of chemical
additives to be used during hydraulic fracturing process
Source http://www.energyindepth.org/frac-fluid.pdf
Note : Shell will commit to undertake toxicity screening, the results of which will be publically shared, prior to developing the final
hydraulic fracture design for an Exploration well. More generally Shell supports disclosure by Contractors and Suppliers of chemicals
that may be used during the hydraulic fracturing process.
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Water for drilling vertical wells: As outlined in previous sections, the first objective during the initial
Exploration Right period is to drill a number of vertical exploration wells to understand the geological
properties of the rock, hopefully identify the presence of the shale layer and observe that gas is still held
tightly in the rock. Water is the main constituent of the drilling fluid normally referred to as ‘mud’ which is
required to cool the drill bit during drilling operations, transport rock cuttings to the surface and for bore hole
conditioning during drilling. The mud also acts as a primary control for down-hole pressures that may be
encountered whilst drilling. For drilling, water typical water volumes required will be 0.3 – 0.9 million litres per
well.
Water for hydraulic fracturing: Having drilled a vertical well, if gas is observed in the shale layer at a
certain well site, then Shell may decide to hydraulically fracture a small section of the vertical well, or it may
decide to drill a new exploratory horizontal well section in an attempt to locate the well within the narrow
shale layer deep under the ground. If successful and gas is observed to be still present in the shale rock then
hydraulic fracturing technique may be attempted (this could be in vertical and horizontal wells). Water is
needed also for such hydraulic fracturing operations. In this case, the volume of water required to perform
that operation could be up to 6 million liters. Of course if no gas is observed during drilling then no hydraulic
fracturing will take place, in which case the water consumption would only be that used to cool the drill and
carry rock cuttings to the surface.
Table 21: describes, for different drilling depths and objectives, the typical ranges of water volumes
which may be required during exploratory drilling operations
Indication of anticipated water usage* for drilling and suspension of vertical exploration wells, for
the expected depth range (As part of 3-year Exploration Right)
Well Depth 1000m deep well 2500m deep well 5000m deep well
* Anticipated water usage assumes theoretical hole volumes plus empirical excess volume assumptions. In practice,
water usage may be higher or lower. The drilling of the exploration wells will provide more insight into the characteristics
of the rock formations and therefore the specific fluid requirement which in turn could mean higher or lower volumes of
water.
Shell is committed to responsible water management and wherever possible will recycle and re-use water
and drilling fluids. This builds on Shell’s experience elsewhere in similar projects where water from drilling
operations has been cleaned, then re-used for other drilling activities, reducing overall the water use
requirements by ~50% on some North American unconventional business ventures.
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Preliminary water assessments, as part an early feasibility scoping will be focused upon a number of
alternative water sources, such as, beneath the ground (typically at depths >100 m), sea water, surface
water, water imported by truck or recycled grey water.
The identification and use of water is likely to be subject to regulatory approvals under the National Water
Act. In the next phase, local experts will be consulted to identify suitable water supply options and
appropriate studies undertaken as required to meet the legal requirements. Detailed evaluations will be
carried out during the Environmental Impact Assessment phase which will focus on specific drilling locations.
The intention is to identify the most suitable water source on a per-well site basis. Stakeholders e.g. the
relevant water authorities, local stakeholders, environmental advisors will be consulted during the water
source selection process.
Solids (Sand/rock/mud – from the drilling, hydraulic fracturing process or from the reservoir rock)
These product streams could be handled by routing the hydrocarbons through a low emissions flare at the
well site. Any water flowing up the well bore would be captured for recycling or cleanup and disposal. Any
solids encountered would be caught in a tank and in a test separator, then emptied for recycling or disposal
as part of the waste management programme.
Based upon experience elsewhere in the world, the duration of these gas flow tests may vary greatly from
one well to another, dependent upon the particular properties and thickness of shale encountered.
Based upon analysis a scenario Shell has developed is that gas may flow from a vertical well at about
0.15 MMscf/day on average. This assumes gas is present at a location and can then be made to flow. When
Soekor drilled approximately 10 deep wells, during the 1960s, there was only one successful shale gas well
test (which today is located outside Shell’s licence applications). At that one location, Soekor was able to test
for gas flow to the surface, however after 1 day the gas flow rate had significantly reduced to such a level
that they stopped the test.”
Well test durations are also dependent on the type of information that is sought and regulations. Therefore
the duration for a well test can vary between a few hours to weeks during the initial Exploration Period. If
permitted under South African legislation, and if longer term gas flow tests are to be performed, Shell is
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investigating alternative methods to evaluate gas flow which might convert hydrocarbons in more efficient
ways. These methods may include:
Combustion of the hydrocarbons in power generation units (turbines or gas engines) installed on-site.
Liquefaction of gas using surface facilities that will allow compression and cooling the gas to allow for its
transportation by truck to an existing nearby processing facility.
Capture and settling of any liquid hydrocarbons in a settling tank in preparation for export by truck to an
existing nearby processing facility.
Electricity usage: Throughout the exploration phase electricity for the exploration drilling and possible
fracturing activities will be provided through diesel generators on-site. If gas is discovered there may be
opportunities to utilize some of the gas for power generation. However, the rate or duration of flow
cannot predicted; therefore, diesel generation will be the assumed mode.
Accommodation: Drilling operations will require a number of crews (teams) that will work in rotating
shifts. These employees are expected to be a mix of technical professionals and semi-skilled who,
when not working at the well site will require temporary accommodation within an acceptable distance
of the well site. At this time no well sites have been identified, therefore options have not been
developed whether to, for example, establish a temporary camp or use locally available
accommodation. As plans start to be developed these types of options will be considered on a location-
by-location basis, following dialogue with the local community, landowners and considering the potential
impacts upon road transportation and employee safety.
Logistics/supply base: Not all materials and equipment required for drilling operations are stored at any
one time on a well site. Typically a supply base is established in a central location, such as a major
town, which allows for storage, preparation and possibly testing of equipment before being dispatched
for use to a well site. The location(s) for a supply base have not yet been selected because the
locations of well sites have not yet been selected. Additional considerations for a supply base could
include the existence of possible (brown-field) storage facilities, local skills, labour and other materials.
Roads and Traffic: The national network of roads, ports and railways will be used where ever possible
for the transportation of equipment and personnel. If specialist equipment has to be imported the South
African ports facilities will be utilised as much as possible. It is not envisioned that land transport will
involve unusually wide or heavy loads during the initial Exploration phase. Standard heavy goods
vehicle (HGV) transport will be used for the movement of the drilling rig and supplies. When well site
locations are finalised then it may be necessary to create or upgrade existing access roads from
national roads. This process would be subject to individual consultation with land owners and obtaining
necessary regulatory permits. A typical access road, to a well site, would be 6 to 10 metres in width,
allowing for standard HGV transportation of equipment.
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Any water that is no longer required for the operation will be treated and cleaned up – using mobile water
processing equipment - in line with Shell’s own technical standards and relevant South African regulations.
The most suitable location for recycling will be sought in consultation with Regulators and environmental
consultants on a location by location basis.
Scrap Metal
It is Shell’s intention to contract a reputable local environmental disposal contractor who will dispose of the
waste in accordance with South African Legislation. The Contractor will be fully permitted to perform the work
on behalf of Shell.
As part of the Environmental Management Plan consultation and data gathering process, Shell has started to
investigate the capability of the waste treatment /disposal facilities across South Africa. There are
between~25 sites located in and around the licence areas that could be suitable locations to process the
waste products.
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of groundwater, surface water bodies and soil. Well plugging involves removal of certain down hole
equipment.
Once plugged, the surface casing will be cut at a certain depth below surface (in line with South Africa
regulations and permits) and the wellhead removed. All remaining surface equipment will be removed from
the site. Shell will implement a site-specific land rehabilitation programme appropriate to the local habitat in
line with industry practices and regulations. Shell will consult with local experts and communities to design
and implement the most appropriate way to do this. This will be further assessed as part of the impact
assessment and studies may be then commissioned drawing upon local expertise if Shell is granted an
Exploration Right.
Procurement: From a procurement perspective, Shell’s foremost priorities in all of its operations are
quality and Health, Safety and Environment (“HSE”) requirements. When assessing potential suppliers
of goods and services to use, Shell, employs a thorough and in-depth process of contractor and sub-
contractor assessment to ensure quality and HSE standards are maintained. Shell will identify various
categories of products and services will be required during the exploration phase, and undertake a
review which are available from South African suppliers of goods and services, for each of the
categories. Shell will endeavour to source products and services, for example, security, catering,
cleaning, transport/ logistics, etc. from local (B-BBEE) compliant parties during the exploration phase.
Shell will work with local companies to raise their capacity in terms of HSE if and where necessary to
enable them to become competitors for local contracts
Skills development: Shell is committed to attract, development and retain talented South Africans. For
any new project, such as the Shell Karoo Shale Gas Venture, Shell will establish a new team that
combine the best skilled local talent available, provide suitable training and where required utilise
specialist international staff, where skill transfer is required. Due to the uncertainty related to the phase
of the project (exploration phase), Shell does also not wish to create unrealistic expectations regarding
future employment opportunities at this stage of the project.
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6.1 Regulatory requirements for the Drilling and hydraulic fracturing will trigger
listed activities under the National
EMP Environmental Management Act (NEMA)
Chapter 3, Legal Context, sets out the legal context for this (Act 107 of 1998), notably the following:
EMP, referring to various acts and regulations that need to
be taken into consideration. Below, regulatory requirements Activity 24 of Notice 1, GN 544,
in terms of the Mineral and Petroleum Resources requiring a basic assessment: The
Development Act, 2002 (Act 28 of 2002) (MPRDA) are transformation of land bigger than 1 000
described as background to the process followed to develop m2 in size, to residential, retail,
the EMP. commercial, industrial or institutional
use …. (Drill sites will be 100 x 100 m,
Note, however, the requirements of the National thus 10 000 sq m).
Environmental Management Act shown in Box 6.1 and
discussed in Chapter 1, Conclusions and Activity 4 of Notice 2, GN 545, requiring
Recommendations. a full EIA: The construction of facilities
or infrastructure for the refining,
In terms of this EMP process, the MPRDA stipulates that extraction or processing of gas, oil or
Any person who applies for a reconnaissance permission, petroleum products with an installed
prospecting / exploration right or mining permit must submit capacity of 50 cubic meters or more per
an environmental management plan as prescribed within a day… (It is assumed that hydraulic
period of 120 days from the date of acceptance of the fracturing during exploration drilling
application. could stimulate 50 cubic meters or more
The contents of an Environmental Management Plan are of gas per day).
prescribed in the MPRDA Regulations Section 52, shown in Thus, an Environmental Impact
Box 6.2. Considering section 52 (2) (b) and (c) of the Assessment for drilling and hydraulic
Regulations, an assessment of environmental, socio- fracturing will be required in terms of the
economic and cultural impact is required, and not an NEMA. This is further described in
Environmental Impact Assessment process in terms of s 39 Chapter 11, Conclusions and
(1) of the MPRDA. Recommendations.
6.2 Approach to assessment to
prepare the EMP
Shell had a Technical Cooperation Agreement with PASA for 12 months (December 2009 to Dec 2010). No
field work or environmental baseline studies were permitted during this period. In December 2010, Shell had
to decide whether to apply for an exploration right or not, and whether within 120 days of PASA accepting
the application to submit an EMP or not. The company chose to apply for the right and submit the EMP
within 120 days (four months). But effectively, this requirement in the MPRDA leaves little time for
environmental baseline studies or for identifying potential drill sites.
The consultants met with PASA in this regard, and in particular because of the extensive stakeholder
concerns around both the proposed exploration project and the time available to prepare the EMP. In
PASA’s view, indicated in a meeting with the consultants in February 2011, the assessment and EMP
should, in the absence of specific drilling sites, at least assess and make recommendations for mitigation in
respect of the types of activities to be conducted somewhere within the regional areas.
Given the above, the approach followed in the assessment was to identify and assess potential impacts in a
broad, regional context, as well as to assess specific exploration activities generically but not in a site-
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specific context. A typical gas exploration well was used to assess potential impacts and to develop
indicative mitigation measures, but these need to be confirmed during the NEMA EIA, and this EMP will then
need to be updated.
52. (1) An applicant who’s application for a prospecting right or mining permit was accepted in terms of the
Act, must submit an environmental management plan at the office of the Regional Manager in
whose region the application was lodged within 60 days from the date of notification by the Regional
Manager.
(2) An environmental management plan, must substantially be in the standard format provided
by the Department and must contain:
(a) a description of the environment likely to be affected by the proposed prospecting or mining
operation;
(b) an assessment of the potential impacts of the proposed prospecting or mining operation on the
environment, socio-economic conditions and cultural heritage, if any;
(c) a summary of the assessment of the significance of the potential impacts, and the proposed
mitigation and management measures to minimize adverse impacts and benefits;
(d) financial provision which must include-
(i) the determination of the quantum of the financial provision contemplated in regulation 54;
and
(ii) details of the method providing for the financial provision contemplated in regulation 53;
(e) planned monitoring and performance assessment of the environmental management plan;
(f) closure and environmental objectives;
(g) a record of the public participation undertaken and the results thereof; and
(h) an undertaking by the applicant regarding the execution of the environmental management
plan.
Gather broad, regional environmental, social and health baseline data for the application area, using
publicly available data bases and other data sources such as the National Groundwater Database, the
South African Biodiversity Institute database (the SANBI's Biodiversity Advisor38),and others (Chapter 4,
The Existing Environment – the Karoo);
Gather field data to verify the accuracy of publicly available data in respect of terrestrial ecology, noise
and groundwater. Field studies were done in some of the notional (provisional) drilling areas, each more
than 30 sq km in size, as shown on the map in Figure 1, Chapter 1, Introduction. Field data is reflected
in Chapter 4, The Existing Environment – the Karoo;
Gather data from international sources on the potential impacts of drilling and hydraulic fracturing since
this type of exploration is new to South Africa, and because of stakeholder concerns about the
exploration methodology in other countries (Chapter 2, Context and History);
38
http://biodiversityadvisor.sanbi.org/
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Considering comments, local knowledge and information from landowners and other stakeholders
received via the public consultation process described in the next section;
Assess the potential impacts, both negative and positive, of exploration activities, regardless of where in
the application area they would be conducted (Chapter 8, Environmental Assessment);
Recommend measures for mitigation of impacts to avoid or reduce negative impacts, and to enhance
positive impacts (see Assessment Reports in Volume 2);
Capture mitigation measures for each exploration activity in an EMP (see Chapter 9, Environmental
Management Plan);
Define provisional criteria for the selection of drilling sites to be done during a NEMA EIA process
should this application be approved by PASA (see Chapter 7, Alternatives Consideration); and
Soils; Terrestrial ecology; Surface water; Groundwater; Noise; Air quality; Heritage and Social.
6.4 Public consultation
This section summarises the requirements for consultation, and the consultation process. The full Public
Consultation Report is included in Volume 2. A Comment and Response Report, in which all stakeholder
comments are captured with responses, is also available.
The MPRDA is brief on public consultation during the development of an EMP. Section 79 (4) of the Act
states: If the designated agency accepts the application, the designated agency must …notify the applicant
in writing (a) To notify and consult with any affected party.
However, good practice principles reflected in the NEMA guide consultation, and these were applied.
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PROGRESS FEEDBACK
Telephone calls to organisations
and other bodies alerting them to
documents being mailed;
End of EMP process
Paid advertisements, in English and
Afrikaans, in two national, one regional
LETTER TO ANNOUNCE DECISION and six local newspapers;
Figure 40: Public Consultation Process towards the development Distributing a BID accompanied by
of the EMP for exploration (not production) - Central Precinct a letter notifying Stakeholders of the
proposed project, EMP and consultation
process, in English, Afrikaans and Xhosa; more than 2,800 hard copies and 350 electronic copies
distributed;
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Providing information on the proposed project and EMP process took place as follows:
Distributing the BID mentioned above, and making available lists of affected properties on Golder’s
website (www.golder.com), at nine public places, at open houses and public meetings and sending
copies to stakeholders upon request;
Telephone calls to key stakeholders, e.g., farmer’s unions, local communities, NGOs, CBOs to confirm
their attendance at the open houses and public meetings; and
Obtaining comments
Comments were obtained in various ways, as follows:
During the open houses/public meetings mentioned above, where stakeholders commented directly to
members of the EMP team;
Comment sheets were returned by stakeholders after having read the BID or having attended meetings,
written submissions were received by email or mail and telephonic comments were recorded.
Figure 41: Materials that were made available at the open Figure 42: Posters displayed at the open house in
houses for Stakeholders to take home Victoria West
Figure 43: Sreejeeta Datta from Shell explains the Figure 44: Toni Pietersen from Golder helps local
environmental authorisation process at the open house in farmers to locate their farms in the map books to
Beaufort-West. confirm details
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MP for Applic cation for Ga
as Exploration
n in the Westtern Karoo (C
Central
Precincct) by Shell Exploration
E Co
ompany B.V.
Conve
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nd other mee
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akeholders and
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Once the
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6.5 C
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A total of 2,796 issues and
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Report.
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Aesthetics
Many stakeholders said the Karoo is a special and treasured environment due to its landscape
quality, quietness, heritage, and sense of place. They were concerned about a range of possible
impacts that would bring industrialised activity.
Given the low ecological resilience of Karoo ecosystems, and the presence of Red Data Book
species, landowners, conservation bodies and other stakeholders were concerned about potential
impacts to biodiversity. Farmers said there is little research on the rehabilitation of disturbed veld
and that it could take up to 30 to 40 years for a disturbed habitat to recover, if at all;
Conservation NGOs indicated that some trial research projects on rehabilitation in the Karoo have
been completed recently and offered specialists access to the data; and
National parks indicated that information on Red Data species that occur in the Central Precinct is
available to environmental specialists.
People asked whether the assessment would include The EMP team wishes to express sincere
a thorough assessment of environmental risks arising appreciation for these contributions.
from the exploration, and what risk management
measures will accompany this. They wanted to know how the assessment can be sufficiently
thorough when the project description is not yet firm.
Financial provision
There was concern that the statutes and regulations governing the proposed development are not
adequate to protect the public interest, and/or that the regulations and conditions of approval will not
be properly enforced. Fearing an event like the one which happened recently in the Gulf of Mexico,
stakeholders asked that Shell prove that exploration in the Karoo will be safe, and asked for
examples of similar work the company has undertaken. They wanted Shell to provide a financial
guarantee in the event of environmental harm.
Human health
Concerns were expressed about impacts on community and human health, including cancer risk,
arising from air pollution, water pollution and potentially from radio-activity. Stakeholders wanted to
know if the assessment will identify and evaluate the potential sources and impacts of radio-activity,
including uranium.
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Many farmers and landowners wanted to know whether they had the right to refuse Shell and
environmental specialists access to their land and what process will be followed to gain access to
land once the drill sites have been identified; and
Landowners were concerned about their property rights, and that adverse public perception will
have an impact on the market value of their properties. They wanted to know if property owners will
receive compensation in case of loss or liability arising from the proposed exploration and its
impacts.
Stakeholders said the EMP must address the potential knock-on effects of the proposed project on
local and regional development planning, including land use planning
Transport
Landowners said that provincial, regional and local roads are in poor condition and will deteriorate
with additional traffic as a result of the transport of heavy equipment and materials, and that traffic
hazards will increase due to additional vehicles on the roads.
Waste management
Stakeholders asked that the nature and consequences of waste generation, including acid mine
drainage, during exploration, should be quantified and compared with the limited waste disposal
capacity in the Karoo region;
Stakeholders stated that the Karoo is known for flash floods. They wanted to know how Shell will
deal with flash floods if water is contained in ponds as part of the waste management process. They
are concerned about the potential negative impacts on the environment; if pollution occurs who will
be responsible for management of, and/or clean up the pollution?
Farmers wanted to know what the risks are of toxic waste being generated during the hydraulic
fracturing process and who will pay for the transport of toxic waste. Facilities for waste disposal in
the Karoo are small with no facilities for hazardous waste. Where would the hazardous waste that
would be generated be disposed of?
Landowners were concerned that the exploration project will increase traffic and access to their
properties by unknown persons, thus compromising security.
Sustainable development
Stakeholders said the perspective of sustainable development and cumulative impacts should be
assessed. A comparative life-cycle assessment of natural gas development as opposed to
alternative energy source development should be provided through proper cost benefit analysis.
The question was asked about whether this type of development should be allowed in a water-
stressed environment.
Socio-economic issues
The impacts on local and regional socio-economic factors, including impacts on employment,
migration and urbanization, on tourism, export products, food security, on road access, and the
sharing of benefits from the project, were raised as issues.
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Stakeholders asked what volumes of water will be required for drilling and hydraulic fracturing,
where the water will be obtained from and if obtained from a farmer, how the farmer will be
compensated;
Questions were asked about the management of excess and waste water from hydraulic fracturing
and how monitoring will be conducted to measure potential impacts to groundwater and the
environment; and
Concerns were expressed about horizontal drilling below wetlands and surface water courses.
Groundwater: NGOs, the business sector and landowners wanted to know whether specialist
studies will be conducted to study the interaction of the various underground systems, e.g., shallow
water aquifers, deep water aquifers, ancient water aquifers and artesian wells within the exploration
area;
Since hydraulic fracturing is a new technology in South Africa, there is little information available on
its potential impacts locally. Stakeholders were concerned about the potential impacts of hydraulic
fracturing when the hazards of deep and shallow drilling are unknown, and in the knowledge that
the US EPA has placed a two-year moratorium on this type of exploration. They also question why
Shell and the consultants did not disclose which chemicals would be used in hydraulic fracturing;
Stakeholders asked that the potential impacts on groundwater resources, including disturbance of
the aquifers, pollution of groundwater by chemicals used in fracturing, and increased abstraction, be
properly assessed. They feared that if one aquifer were to be contaminated, all others will be
affected too because the aquifers are likely to be connected; and
Conservation organisations, NGOs and academia asked that the precautionary principle be applied
and that the exploration rights application be rejected until the consequences of hydraulic fracturing
are better understood and until there is demonstrated proof that hydraulic fracturing is not harmful to
human health and the environment.
Stakeholders indicated that the proposed project could help address poverty and other social
problems experienced in local communities. They asked whether this project will bring education
and build capacity in local communities; and
Some stakeholders expressed concern that the proposed project will impact negatively on tourism
in the area. They suggested that a thorough analysis be done on the impacts of the proposed
project on tourism.
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Figure 48: Environmental process to the stage of completion of a NEMA Environmental Impact Assessment prior to
hydraulic fracturing of wells
Based on previous Soekor data from the 1960s and desktop work, Shell has defined notational drilling areas
as described in Chapter 5, Project Description. These notional areas were based on a desktop study and
high level considerations such as topography, road access, etc. The precise locations where exploration
drilling activities may take place have not yet been identified. This will be done with inputs from
environmental specialists and in consultation with stakeholders, including land owners through the following
steps:
Step 2: Determine the specific location of proposed drilling sites in the licence area, on the basis of
integrated technical and environmental analysis and in consultation with the landowners. Prepare a
preliminary Site Selection Report. This step will be undertaken jointly by Shell and independent
environmental consultants.
Step 3: Prepare an Environmental Impact Assessment (EIA) in accordance with the requirements of the
National Environmental Management Act (NEMA). The preliminary Site Selection Report will be subject
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to public review and will only be finalized during the Scoping Phase of the EIA. The EIA will be
prepared, as required by the NEMA, by independent environmental consultants.
The alternatives that will be considered will consist of various options that could avoid or minimise the
potential impacts as described in Chapter 8 or enhance the benefits of the proposed exploration activities.
This EMP and future EIA studies will not include a comparison of shale gas with alternative energy forms,
which is beyond the terms of reference of this and future EIA investigations. Given the general nature of this
PASA application, it is not possible to consider specific alternatives in detail in this report.
The remainder of this chapter presents an outline of the method that will be used to select sites for drilling as
well as other alternatives that are also likely to be open for consideration in the EIA, if the exploration project
is approved by PASA.
Criteria used to identify drilling sites will be further defined during the subsequent EIA process in terms of
regulations and with input from the subject matter specialists.
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The above preliminary criteria are intended as a means of further narrowing the possible sites using a simple
methodology which is suited to screening of large areas, using computer generated overlay mapping. Final
identification of specific sites within the areas defined as suitable can then follow, using a more layered
approach which compares the details of individual sites.
Deep groundwater aquifers (including wells sufficiently deep to access brackish-to-saline water
supplies);
Treated wastewater from a local municipality, mine or any other facility generating wastewater;
Surface water from large perennial rivers or dams and potentially seawater
Water conservation measures are also feasible and have been used by Shell and other companies in other
locations. Measures that may be considered in individual cases include re-use of flow back, which can
reduce water consumption. In other operations, Shell has achieved up to 50% reuse but this will vary from
location to location. Shell has indicated that it will not compete with landowners for fresh water.
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by truck. Specific transport routes will be assessed as part of the subsequent EIA process once drill site
locations are known.
Liquefaction of gas by means of surface facilities that will allow compression and cooling for
transportation by truck to the nearest refinery.
Both of the above cases could involve the pre-settling of any liquid hydrocarbons in a settling tank in
preparation for export by truck to the nearest refinery, prior to the use of the gas.
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With this said, the intention of this subsection is to provide some insight into the benefits that could be
foregone in the event that the proposed shale gas exploration does not go ahead. The benefits as
summarised below are stated in more detail in Chapter 2, Context and History.
The Government also acknowledges the benefit of gas as a ‘cleaner fuel’. In the White Paper on Renewable
Energy, published in 2003, it notes that the current euphoria about gas has primarily environmental roots, but
it cautions that a potential shift to natural gas as a significant contributor to energy supply is unlikely since
South Africa has very limited known reserves of natural gas, estimated to be only 0,5% of coal reserves,
even when Mozambique and Namibia are included. These reserves are therefore not expected to materially
change South Africa’s dependence on coal and the Government is looking to increase the potential
opportunities for the growth of the renewable energy industry over time; a strategy which is complimentary to
development of natural gas resources as gas provides a useful foil to the limitations of renewable in terms of
reliability of supply
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amounts of sulphur dioxide and nitrogen oxides, virtually no ash or particulate matter, and lower levels of
carbon dioxide, carbon monoxide, and other reactive hydrocarbons.
In a major study by the United States Environmental Protection Agency (USEPA) and the Gas Research
Institute (GRI) in 1997, aimed at determining whether the reduction in carbon dioxide emissions from
increased natural gas use would be offset by a possible increased level of methane emissions, it was
concluded that the reduction in emissions from increased natural gas use strongly outweighed the
detrimental effects of increased methane emissions. Thus, the study supported the increased use of natural
gas in the place of other fossil fuels as a means of reducing emissions of greenhouse gases globally.
The use of natural gas does not contribute significantly to smog formation due to low levels of nitrogen oxide
emission and virtually no particulate matter emission. For this reason it can be used to help smog alleviation
strategies where air quality is poor (e.g. Sasolburg). Increased natural gas use in electricity generation would
have a major positive impact on smog formation.
As said, natural gas contains very low concentrations of sulphur and nitrogen oxides (Table 23). These are
the pollutants primarily responsible for acid rain damages to crops, forests and wildlife populations, and
cause respiratory and other illnesses in humans. Principal causes of acid rain are emissions from coal-fired
power plants.
Table 23: Fossil fuel emission levels – pound per billion Btu of energy input
Pollutant Natural gas Oil Coal
Particulates 7 84 2.744
39
OPEC – Organisation for Petroleum Exporting Countries
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Energy Council (2010) emphasises that these estimates are likely to be revised (generally upward) as proper
assessments are performed in countries where the resource has not yet been estimated (an example of the
USA is provided in which the estimate of available shale gas was revised upward from 21,7 tcf to 32,8 tcf in
a single year).
Worldwide, the World Energy Council (2010) sees the increased security of supply of natural gas as a result
of shale gas impacting on many aspects of energy policy and practice. Natural gas power plants are likely to
become more common, given the significantly better performance of gas compared with other fossil fuels in
relation to global warming. The World Energy Council also sees natural gas being used in tandem with
renewables, to supply the energy needed at night (solar power generation) and when the wind doesn’t blow
(wind power generation). Because of the widespread occurrence of shale gas, energy supply may become
more localized.
The World Energy Council (2010) views the emergence of shale gas as an energy resource to be a
potentially major factor in strategic geopolitics across the globe. The advantages of expanding the use of
shale gas include:
Unclear rates of decline which may materially impact reserve estimates, and
‘Natural gas development in the West-of Hudson watershed at the rates and densities observed in
comparable formations (full well field development of 3000 - 6000 wells), will be accompanied by a level of
industrial activity and heightened risk of water quality contamination that is inconsistent with the expectations
for unfiltered water supply systems. Intensive natural gas well development in the watershed (will) bring an
increased level of risk to the water supply: risk of degrading source water quality, risk to long-term watershed
health and the city’s ability to rely on natural processes for what is accomplished elsewhere by physical and
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chemical treatment processes, risk of damaging critical infrastructure, and the risk of exposing watershed
residents and potentially NYC residents to chronic low levels of toxic chemicals.’
Concerns about hydraulic fracturing (especially potential risks to drinking water resources) culminated in a
directive from the US U.S. Congress’ Appropriation Conference Committee to the United States
Environmental Protection Agency (EPA) to conduct research to examine the relationship between hydraulic
fracturing and drinking water resources40.
In another investigation, Wood et al, 201141 concluded that while shale gas extraction, at a global level, does
not involve the high energy and water inputs at the scale of other unconventional fuels (such as tar sands), it
does pose a significant potential risk to human health and the environment. The report cites the potential for
hazardous chemicals to enter groundwater via the extraction process as a significant risk, particularly as it
difficult to verify, categorically, the pathways of contamination of groundwater by chemicals used in the
extraction process. The authors reference the fact that the only operating shale gas production fields are
currently in the USA. Until such time as the knowledge base concerning the impacts of shale gas is
improved, Wood et al (2011) argue that no development of shale gas should be permitted in Europe and the
United Kingdom.
40
The USEPA’s announcement in March 2010 that they would prepare a detailed, peer reviewed, investigation of the impacts of hydraulic fracturing on
human health and the environment. It is expected that this study will take two years to complete (Reuters, March 18, 2010)
41
Prepared as a research investigation under the auspices of the Tyndall Research Centre for Climate Change Research, Manchester, United Kingdom
42
Draft Plan to Study the Potential Impacts of Hydraulic Fracturing on Drinking Water Resources, Office of Research and Development US Environmental
Protection Agency, Washington DC, February 7, 2011
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Key mitigation measures are proposed for the identified issues and taken up in the project EMP (Chapter 9).
Accessing the relevant property via vehicle, using existing roads, and then by foot to access remote
sites;
Vegetation and soil clearing of five small areas comprising four small trenches of approximately 0.2 m2
(40 cm deep, 20 cm wide, 100 cm long) spaced no more than 5 meters apart and a central vertical hole
of about 20 cm diameter and 100 cm deep;
The equipment will typically be set up during the day; record data overnight, and then will be moved to a
new location (3 to 10 km away) the following day.
Seismic acquisition
During the initial 3-year Exploration Right, a selection of other geophysical data acquisition methods may be
used near a well site or within the well bore itself. These may include shallow seismic and micro-seismic
techniques (refer to Section 5.4.3.2. The typical activities associated with seismic acquisition may include:
Shallow seismic:
Creating an acoustic signal by producing a series of "shots" (i.e. a source of acoustic energy such
as vibroseis trucks (vehicle-mounted vibrator plates), weight drop, or detonation of a small charge in
shallow holes);
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Shots will be spaced roughly every 40 m and sensors spaced every 10 m along lines that would be
10 to 30 km in length. The length and number of lines that would be required depends on the
geologic features that need to be delineated;
Shot holes produced by charges are drilled by small hand held augers or by units mounted on the
backs of all terrain vehicles, with hole depths around 3m and charge sizes of 1/8 to 1/4 kg; and
For each shot, a string of small sensors (geophones or accelerometers) are used to record the
acoustic reflections (echoes) from the subsurface geologic formations. These sensors are
connected by electrical cables back to the recording truck with 100 to 200 sensors placed for every
shot. Small spikes on each sensor are pushed into the ground to couple the sensor firmly to the soil.
Micro-seismic:
Placing of sensors (called geophones) on the surface, in a grid pattern, or down a neighbouring
(drilling) well; and
A recording truck sits on the well pad to record the signals generated during hydraulic fracturing.
8.2.2 Well site preparation
The well site will entail establishment of a level, compact and secure (fenced off) area of about one hectare
at each gas exploration drilling site. Should groundwater monitoring wells need to be drilled for monitoring
purposes in proximity to the gas well site, the groundwater wells would be drilled using conventional
groundwater drill rigs commonly used in agricultural applications. The typical activities associated with gas
well site preparation43 at any one site include:
Remove topsoil, which is then stockpiled nearby for site rehabilitation purposes later;
Grade, level and if necessary backfill with crushed stone the area where the drilling and well site will be
located;
Compact the site to ensure for stability during movement of heavy equipment and support the weight of
the rig;
Create erosion and sediment control structures around the site, where appropriate;
Create on-site storage for drilling fluids or water, which may require construction of geotextile lined pits
or storage tanks;
On-site fuel (diesel) storage to support well site preparation (e.g. generators);
Construction of a well cellar may be required on certain sites to contain the wellhead;
Erection of portable offices, stores, storage areas, pumps, offices and parking;
Construction of a temporary purpose built accommodation camp which typically requires less than
0.5 ha of land for, for accommodation, a restaurant (mess), offices, stores, and parking. Depending on
the location of the site and local landowner preferences, the drilling crew could also utilise existing
accommodation in the area, in which this activity will not be necessary; and
43
Note: not all materials and equipment required for drilling exploration are stored at any one time on a well site. Typically, a supply base is established in a central location, such as
a major town, which allows for storage, preparation and testing of equipment before being dispatched for use to a well site.
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Disposal of domestic waste, used engine oil and filters, wood (pallets, packing crates, etc), scrap
metals, etc. (disposal method to be confirmed during refinement of the site specific waste management
plans; plan is to be in accordance with relevant legislation).
Drilling:
During the drilling process, drilling fluid, referred to as drilling mud is pumped down the inside of the
drill string, exits at the bottom where the drill bit is rotating and returns to surface through space
between the outer surface of the borehole (upper boreholes sections) or cased sections of the
borehole (lower boreholes sections) and the drill string where it is captured, reconditioned and re-
used;
− Borehole drilling where appropriate: Dedicated water wells could be used to access water
supplies at depths greater than 100 m, which may yield brackish or saline quality water;
Storage of water (using metal tanks, pillow tanks or geotextile lined bunded-wall) on site or nearby;
Disposal of domestic waste, metal/plastic tubular thread protectors, used engine oil and filters,
wood (pallets, packing crates, etc), scrap metals, etc;
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Re-cycling, cleaning/treatment and then re-use of flowback water from the well; and
Disposal of wastes generated from the cleaning/treatment of flowback water from the well (disposal
method to be confirmed during the development of the waste management plan for each specific
site; plan is to be in accordance with relevant legislation).
Mobilisation of specialist hydraulic fracturing equipment and ancillary equipment to a well site (e.g.,
pumps, a crane, etc);
Water and additives will be blended into a base fluid off site and then maintained on site with the
use of possibly a truck mounted blending unit, with hoses to transfer liquid additives from storage
containers to the blending unit or well directly from blending truck. Dry additives will be poured into
a feeder system on the blending unit. The blended solution will be immediately fed into the wellbore
as required; and
Pumping of hydraulic fracturing fluids under pressure into the shale formation.
Flared; or
− Possible installation of gas flow lines from well bore to flare.
− Liquefaction of gas using surface facilities that will allow compression and cooling the gas to
allow for its transportation by truck to an existing processing facility.
− Capture and settling of any liquid hydrocarbons in a settling tank in preparation for export by
truck to an existing processing facility.
8.2.5 Decommissioning
Wells will only be decommissioned if no gas is found or deemed technically / commercially not viable. If the
well is decommissioned, then the well will be sealed off below the level of the upper aquifer and capped.
Geology
Topography
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Soil
Terrestrial ecology
Vegetation
Animal life
Surface water
Groundwater
Air quality
Visual aspects
Noise
Sensitive landscapes
Socio-economic environment
Human health
8.4 Assessment methodology
The significance of the identified impacts has been determined using the approach outlined below. This
incorporates two aspects for assessing the potential significance of impacts (terminology from the
Department of Environmental Affairs and Tourism Guideline document on EIA Regulations, April 1998),
namely occurrence and severity, which are further sub-divided as follows:
Occurrence Severity
To assess each impact, the following four ranking scales are used:
PROBABILITY DURATION
5 - Definite/don’t know 5 - Permanent
4 - Highly probable 4 - Long-term
3 - Medium probability 3 - Medium-term (8-15 years)
2 - Low probability 2 - Short-term (0-7 years) (impact ceases after the
operational life of the activity)
1 - Improbable 1 – Immediate
0 - None
SCALE MAGNITUDE
5 - International 10 - Very high/don’t know
4 - National 8 - High
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PROBABILITY DURATION
3 - Regional 6 - Moderate
2 - Local 4 - Low
1 - Site only 2 - Minor
0 - None
Magnitude
According to DEAT (2002), impact magnitude should as far as possible be determined by reference to legal
requirements, accepted scientific standards or social acceptability. If no legislation or scientific standards are
available, the EIA practitioner can evaluate impact magnitude based on clearly defined criteria. The following
section describes the criteria used to assess the magnitude of the potential impacts of the proposed
exploration activities on the environmental components most relevant to this project:
Impact criteria
Geology
There are no specific impact criteria for geology. Impacts on geology are assessed indirectly based on their
effects on other environmental media such as soil, surface water and groundwater.
Topography
There are no specific impact criteria for topography. Topographic impacts are assessed indirectly based on
their effects on other environmental media as well as on an aesthetic basis, based on the change in the
landscape character that may result from the topographic change.
Flora
Impacts on flora are assessed qualitatively based on the anticipated change in species numbers and type,
and the density of cover. This is directly related to the area of surface disturbance. Potential impacts on Red
Data species are also considered during the technical assessment.
Fauna
Impacts on fauna are assessed qualitatively based on the anticipated change in species numbers and type,
and animal populations. This is directly related to the area of surface disturbance. Potential impacts on Red
Data species are also considered during the technical assessment.
Surface water
Surface water impacts are assessed based on the potential of an activity to change the quality or quantity of
surface water affected by the proposed exploration activities. This is directly related to the area of surface
disturbance, as well as the volumes of water to be managed on site.
Groundwater
Impacts on groundwater in the project area are assessed based on the potential of an activity to change the
quality and quantity of the groundwater in the project area, especially those resources used by surrounding
landowners.
Groundwater quality is assessed in relation to relevant National Standards. The following standard is
considered applicable in the context of the proposed development:
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South African Water Quality Guidelines SAWQG (1996) Domestic and/or Agricultural Use which applies to
any water source intended for domestic and /or agricultural use
Noise
Noise and vibration impacts are assessed using the following national standard:
SANS 10103:2008 – The measurement and rating of environmental noise with respect to land use,
health, annoyance and to speech communication.
Sensitive landscapes
A ‘sensitive landscape’ usually falls within one of the following categories:
Estimating the magnitude of the impact is of primary importance. Typically, it is expressed in terms of relative
severity, such as major, moderate or low. Severity, as opposed to size, also takes account of other aspects
of impact magnitude, notably whether or not an impact is reversible and the likely rate of recovery
Reversibility
An indication of impact reversibility is also provided, i.e. impacts are distinguished between being reversible
and irreversible.
SP >75 Indicates high An impact which could influence the decision about whether or
environmental not to proceed with the project regardless of any possible
significance mitigation.
SP 30 – 75 Indicates moderate An impact or benefit which is sufficiently important to require
environmental management and which could have an influence on the
significance decision unless it is mitigated.
SP <30 Indicates low Impacts with little real effect and which should not have an
environmental influence on or require modification of the project design.
significance
+ Positive impact An impact that is likely to result in positive consequences/effects.
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The field survey team will only make use of established farm roads and tracks.
All gates entering the property and between livestock camps on the property must be left in the state in
which they were found (gates that are closed will be closed again).
There will be no cooking on site and no fires. Field personnel may not smoke on site;
The field team will be self-contained bringing their own chemical camping toilets to site;
In excavating shallow trenches for geophysical equipment, care should be taken to avoid digging out
established vegetation where ever possible. If this is unavoidable, rooted woody shrubs should be
avoided and grass tufts removed. Where grass tufts must be removed, they should be removed
together with soil around the roots and covered with excavated soil to keep the root system from drying
out.
On completion of the geophysical data acquisition, the shallow excavations must be in filled with the soil
removed from the area and tufted grasses planted back into these excavations. The aboveground leaf
mass of replanted grass tufts must be cut off one third of the length of the aboveground portion of the
plant above the soil. This is to reduce transpirational water loss from the plant and increase the chance
for survival of any plants temporarily removed from the veldt.
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Seismic acquisition
Shallow seismic
As with the Magneto-Telluric Surveys, shallow seismic techniques are largely a non-invasive process. The
surface area required by the equipment is relatively small in size. The shot used to create the acoustic
signals will be a short once-off occurrence per site. The survey team will consist of a few members accessing
the relevant property(ies) via vehicle (in one to two vehicles on existing roads) and then by foot. The
equipment will typically be set up during the day; will record the acoustic signal created by the shot, and then
will be moved to a new location. Should the controls as summarised above for Magneto-Telluric Surveys,
negligible impacts on land use, soil, vegetation, sensitive landscapes are expected.
Micro-seismic
No additional footprint or land disturbance is required as a result of recording micro-seismic data. No impacts
are therefore anticipated as a result of these activities.
2. Soil
Loss of soil resource due to
well site preparation and 8 3 1 5 72 Mod 8 3 1 5 72 Mod
construction of access road.
Loss of soil integrity due to
well site preparation and
8 5 1 3 72 Mod 4 5 1 3 36 Mod
construction of access
roads.
Heavy vehicle movement,
excavation exploration and
soil removal will potentially 4 2 1 4 28 Low 3 2 1 3 18 Low
result in soil compaction
(lithosols soils).
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6. Groundwater
Construction of the well site
could lead to reduction in 2 1 1 4 12 Low 2 1 1 2 8 Low
groundwater recharge.
Leakage and spillage of
fuels from vehicles / heavy
2 1 2 2 10 Low 2 1 1 2 8 Low
machinery could impact on
groundwater quality.
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8. Visual aspects
Excessive vegetation
removal, dust and night
lighting could result in visual 6 2 2 4 48 Mod 4 2 2 2 24 Low
impacts.
9. Noise
Construction of access road,
earth and concrete works,
and trucks and heavy 2 2 2 4 16 Low 2 2 2 3 14 Low
machinery will increase
ambient noise levels.
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Topography
Impacts on topography are anticipated due to the following:
An area of approximately 1 ha will be cleared of vegetation. In some cases, the land may be cut and
shaped in order to obtain a level area on which to position the drilling rig; and
Depending on the location of the site, it is possible that access routes will need to be constructed and
may cut into the topography to be able to transport the rig to the drilling site.
These impacts are, however, considered to be of low significance. Sites will be located in areas of relatively
flat topography, thus decreasing the probability of altering the topography.
Should disturbed areas be filled, compacted and rehabilitated, upon decommissioning, this impact is
reversible.
Soils
Loss of the soil resource
The proposed exploration project will result in a loss of approximately 1 ha44 of soil resource at eight well
sites within the application area during site preparation; this impact will continue until decommissioning. The
well site preparation process will involve clearing of the topsoil to allow for preparation of the drilling well site
and access road. The soil will be stockpiled for remediation during decommissioning.
The potential impact is likely to be of high magnitude on the soil directly impacted at each site; an impact of
moderate significance may occur. The moderate significance of the impacts is confined to the immediate
area of the activity which makes up <0.0001% of the total application area.
Should removed soils be stockpiled and replaced during decommissioning, this impact is reversible.
44
A small amount of additional area may be required should it be necessary to build an access road, temporary accommodation, additional storage and parking, etc.
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Excavating;
Soil compaction
Soil compaction occurs when a weight is applied on the surface and soil particles including the porous
network, are rearranged as a result (Singer, 1987). Soil compaction may occur as a result of the following
activities:
Excavating; and
The structured soils falling within the precinct will be more susceptible to compaction than the sandy soils.
Soil compaction will be largely limited to well site preparation.
The impacts from soil compaction are likely to be of low to moderate significance (depending on soil type)
prior to mitigation on a site specific basis. However, the implementation of the mitigation measures
presented in Chapter 9 will reduce this impact to one of low significance. This impact is reversible.
Soil contamination/pollution
There is potential for contamination of soil to occur at the site due to accidental spillages of fuels or domestic
wastewater at the site. The significance of this impact is considered moderate prior to mitigation; with the
implementation of measures described in Chapter 9, the significance of this impact can be reduced to one of
low significance.
Erosion
Erosion is a function of both the physical characteristics of that soil, and the topography it occurs on. In
general, the lighter textured, free draining soils will be less prone to erosion than heavier clay type of soils
with a wet base.
Soil situated on gentle sloped topography will be less prone to erosion compared to those on steep slopes
when it comes under disturbance of human activity. Existing and established vegetation binds and stabilises
the soils and ensures better resistance to erosion.
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Sites on gentle sloped topography will be selected to limit the potential for erosion and erosion management
measures will be implemented during well site preparation. The significance of this impact is likely to be low.
The impact of erosion is reversible, should soils be replaced in eroded areas.
Ecology
Loss of Red Data or Protected plant species
Red Data or Protected plant species are known to occur within the broad exploration areas. However,
detailed assessment of each proposed drilling site will precede site development as part of the site specific
EIA studies. Wherever possible, identified populations of red data species will be avoided through re-siting
the drilling site.
Due to the low level of historical transformation of the vegetation types within the precinct, one would expect
an impact of high magnitude; however, due to the limited scale of the ground clearing required for well site
preparation and access road construction, and the naturally sparse cover of the vegetation within the region,
impact magnitude is considered moderate. Should Red Data or Protected plant species be lost during well
site preparation, this impact will be permanent and irreversible. Overall impact significance is therefore
moderate.
This impact can, however, be mitigated by avoiding areas with high densities of Red Data or Protected Plant
species during the site selection process. Any Red Data or Protected Plant species encountered during
ground clearing should be translocated to a nursery area and returned to the site during the rehabilitation
phase. Should these measures be implemented, overall impact significance can be reduced to low.
Should vehicles moving to and from the site collide with Red Data faunal species, the impact will be
irreversible.
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Disturbance of Red Data fauna due to increased dust, noise and light
Exploration activities will result in a temporary localised increase in noise, light and dust levels.
Increased noise levels may affect a wide range of taxa (including avifauna, mammals, reptiles, amphibians
and arthropods) due to the associated increase in vibration. Avifauna, especially songbirds, and amphibians
may find it difficult to find mates in areas of increased noise. Most taxa will move away from areas with
increased noise. In general, most species seem to tolerate constant, even very loud, sounds better than
sudden, unfamiliar ones.
Increased atmospheric dust may occur in the vicinity of the well site and access road construction. Dust
settling on plant material can reduce the amount of light reaching the chlorophyll in the leaves, thereby
reducing photosynthesis, which in turn reduces plant productivity, growth and recruitment.
Lights at night are likely to attract insects which may in turn attract night feeding birds, lizards or amphibians
at the site.
The impact on terrestrial fauna is likely to be temporary and localised, but will definitely occur. Impact
significance is therefore anticipated to be moderate. Should the appropriate mitigation measures outlined in
Chapter 9 be implemented, impact significance can, however, be reduced to low. These impacts on
terrestrial fauna are reversible; fauna may return to the site subsequent to decommissioning; similarly,
vegetation distributed by dust may recover subsequent to decommissioning.
Surface water
Increased erosion and runoff volumes
The removal of vegetation and top soil as well as the hardening of the surfaces to construct the well pad will
result in increased runoff and erosion from the site. The runoff with the higher sediment load and flood peaks
will report to the local streams.
Due to the low probability of rainfall in the area and the small area of the site, the impact is ranked as low.
Impact significance can be reduced further by implementing mitigation measures such as collecting runoff
from the site in a sump or pond. The impact of increased erosion is irreversible and should be prevented.
Flooding of site
If the site is located near a surface water body, there is potential for water to enter the site during flood
events. This can potentially result in contaminants described above being transferred to the water body
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and/or alteration of the natural flow path. There will be potential for flooding of the site during all project
phases.
The site could be located adjacent to a watercourse. Although the area has low rainfall, there is the potential
for floods. There is the risk of flood waters inundating the site. Should the site selection process exclude the
areas within the 100 year flood line or within a 100 m of the watercourse (whichever is greater), this impact
can be mitigated to low.
Groundwater
Construction of the well site leading to reduction in groundwater recharge
Construction of the well site will result in reduction of recharge to the groundwater over the well site area. It is
anticipated that magnitude of the impact will be minor due to the small area of the site. An Impact of low
significance is therefore expected. Impact significance can be reduced by directing clean storm water runoff
off the well site to a soak away. The impact on groundwater recharge is irreversible.
Air quality
The air pollution generated during site preparation would be the same as for any other general construction
activities, with the main air pollutant being airborne dust. The various activities during site preparation require
disturbing the soil to some degree through the use of construction machinery. Depending on the soil type,
this could generate significant amounts of fugitive dust during the limited period of site preparation.
In addition, combustion gases (sulphur dioxide, oxides of nitrogen, carbon monoxide, 1, 3-butadiene, diesel
particulate matter) will be emitted from vehicle exhausts.
As these vehicles may be also be fuelled on site, the potential to emit volatile organic compounds exists.
It is anticipated that the well site preparation activities could result in localised impacts in the short term;
impacts of moderate significance are therefore anticipated. Should appropriate mitigation measures be
implemented, such as dust suppression on roads, impact significance can be mitigated to low.
Visual aspects
Visual impacts will be dependent upon the location of the drilling site, characteristics of existing vegetation,
topographic features and waterways. Excessive vegetation removal, dust and night lighting could result in
visual impacts. Impacts of moderate significance are anticipated due to relatively small area of surface
disturbance required for well site preparation. Impact significance can, however, be mitigated to low, should
the appropriate mitigation measures be implemented – refer to Chapter 9 for details. Should the appropriate
mitigation measures be implemented, this impact is reversible upon decommissioning.
Noise
Noise of construction is expected to include earthworks, erection of some temporary buildings/facilities and
construction of access roads. All these require trucks and heavy machinery, and compressors and
generators. It is anticipated that during the daytime, impacts on noise levels will be very low or negligible.
Should construction be carried out at night, impacts may rise to low significance. This impact will be
reversible once well site preparation activities are completed.
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During well site selection, no sites should be placed within 100 m of declared national and provincial
heritage sites.
Once the preliminary sites are selected, a site specific cultural heritage impact assessment will need to
be conducted to identify any heritage sites and features. Based on the findings of the assessment:
No access roads should be constructed within 20 m of identified heritage sites and features which
are rated as sites of high local significance by the South African Heritage Resources Agency
(SAHRA) (see Table 1 in heritage report attached in Volume 2);
No well sites should be constructed within 50 m of heritage sites and features which are rated as
sites of high local significance by the SAHRA; and
No well sites or access roads should be constructed within 100 m of rock art sites which are rated
as sites of high local significance by the SAHRA.
The site specific cultural heritage impact assessment will therefore inform final site selection.
Note: the SAHRA usually allows for development to commence where heritage sites or features are rated as
sites of low significance (i.e. are not of any regional or local importance and/or are duplicated in many
areas).
Should heritage sites rated as sites of medium to high significance be located within the above-mentioned
buffer zones in relation to the selected well sites, appropriate mitigation measures will need to be
implemented, in consultation with the relevant heritage agency. Mitigation could entail rescue excavation,
once a permit is granted by the SAHRA.
Should any archaeological or heritage features artefacts be uncovered during exploration, all activities must
be stopped and an archaeologist accredited with the Association for Southern African Professional
Archaeologist (ASAPA) approached in order to determine appropriate mitigation measures for the
discovered finds, if necessary. Mitigation of heritage sites will be called for when they are rated as of medium
to high significance. Mitigation could entail rescue excavation of relevant heritage sites - once a permit is
granted for excavation by the SAHRA. If the relevant heritage sites include graves then the protocol provided
in Section 36 of the National Heritage Resources Act, 1999 (Act 25 of 1999), regarding grave exhumation,
will be followed.
It is recommended that a heritage awareness guide be provided to the well site preparation personnel and
drilling crew to help them identify heritage resources, should they be unearthed as a result of the exploration
related activities.
Should archaeological or heritage features artefacts be damaged during exploration, the impact will be
irreversible.
The Karoo has over the years yielded a number of significant fossil finds that are on display in numerous
museums throughout the region. It is therefore possible that fossils may be encountered during exploration
drilling activities. If this occurs, qualified specialists will be consulted and the required mitigation measures
implemented, to protect this precious aspect of cultural heritage in the area.
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Sensitive landscapes
There is a potential for impacts associated with site clearance and road construction activities on identified or
unknown potentially sensitive features such as wetlands, patches of indigenous vegetation considered to be
Critical Biodiversity Areas, Protected Areas, etc. This may result in impacts of moderate significance, due to
the relatively small area of surface disturbance associated with well site preparation.
The site selection process for the locating of the wells will be aimed at avoiding wetlands, vegetation in areas
considered to be critical biodiversity areas, as well as protected areas contemplated in terms of the National
Environmental Management: Protected Areas Act of 2003. This impact is therefore unlikely to occur.
In terms of the Astronomy Geographic Advantage Act, 2007 (Act 21 of 2007), sites declared as core
astronomy advantage areas are subject to a 3 km buffer on development; should any such sites fall within
the application area, this will need to be taken into consideration during well site selection.
Socio-economic
Loss of land and impact on livelihood
Well site preparation activities will involve the clearing of well sites (which are typically expected to be
approximately 1 ha). Access to exploration sites may be via an existing (upgraded) or new access road.
Landowners will therefore lose temporary access to these areas during well site preparation and exploration
activities. However, if initial exploration test results indicate a feasible shale gas resource, further exploration
activities may be conducted. If this leads to gas production activities under a production right, the well will be
secured for future development and production. Any non-viable exploration wells will be decommissioned.
Loss of access as a result of exploration activities and associated health and safety requirements may
require mitigating measures, such as alternative access ways. Loss of income due to loss of production and
economic resources will need to be compensated. Compensation for use of land may be provided through
lease agreements.
Site selection must take cognisance of current land use in order to minimise economic displacement. Land
compensation and lease agreements should be entered into independently with each affected landowner or
party. Where possible, engagements with local stakeholders should be held to understand grazing schedules
– these aspects need to be taken into account during final selection of the well sites.
The scale of impact is local with a definite probability and moderate magnitude, resulting in an impact of low
significance. Upon decommissioning, this impact is reversible.
Air quality, noise and vibration impacts may also impact indirectly on the livelihoods of affected landowners
or parties. The results from the air quality and noise assessment studies are presented in separate technical
reports. Increased noise levels may impact current land uses, such as game farms. With regard to air quality,
dust settling on plant material can reduce the amount of light reaching the chlorophyll in the leaves, thereby
reducing photosynthesis, which in turn reduces plant productivity and growth. Should the appropriate
mitigation measures for noise and air quality be implemented, these impacts can be mitigated to low.
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associated positive impact on general business in the local economy. No long-term housing requirements
are anticipated.
In contrast, the presence of foreign exploration teams may lead to social conflict due to cultural and
language differences.
Teams will work under a strict code of conduct which requires, for example, prior permission for access, non-
disturbance of farm activities and restoring any damages they may inadvertently cause. On-site camps will
have controlled access and all staff will carry personal identification.
The scale of the potential positive impact on the local tourism industry and local economy is local, with
medium probability and moderate magnitude, which equates to an impact of low significance. The negative
impact of social tension is also considered to be an impact of low significance, but will be reversible, once
the well site preparation team leaves the area.
Employment
Due to the technical nature and regulated health and safety requirements, opportunities for local employment
are limited to casual positions. Influx of job-seekers and the associated increase in crime and social ills is not
expected to occur due to the isolated character of the study area and controlled access to private property in
the area. At a regional scale, transportation and security requirements may lead to a limited increase (low
magnitude) in employment for the duration of the exploration activities. The local hospitability sector may
benefit from a low increase in employment opportunities.
Where possible, employment opportunities should be offered to local communities before others are
considered. Opportunities for skills development and training should be explored in order to maximise long-
term benefits of employment.
Due to the limited opportunities for local employment, impact significance associated with this positive impact
is considered low.
Locating well sites in close proximity to the supply base or airport, and existing towns;
Implementing speed limits, drivers’ education, public education, and scheduling and maintenance of
vehicles will reduce the impacts on all of roads used by heavy duty vehicles; and
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The impact on traffic will be reversible, once the exploration team leaves the area. Traffic impacts will receive
consideration through a specialist study to inform impact assessment for individual well sites once these are
known, taking into consideration transport and logistics routing at that time.
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5. Groundwater
Storage tanks for poor
quality water, i.e. saline /
brackish water, could 4 1 2 2 20 Low 2 1 1 2 8 Low
leak/collapse/burst leading
to contamination of aquifer.
Failure of pumps/pipes
to/from storage tanks to
4 2 2 2 24 Low 2 2 2 1 10 Low
wellhead, resulting in
spillage.
Leakage of stored drilling
fluids leading to
4 2 2 2 24 Low 2 2 1 2 10 Low
deterioration of groundwater
quality at the site.
The gas exploration well will
drill through the potential
water bearing zones present
at the well site. The well
could therefore provide a 8 5 1 4 80 High 2 5 1 1 14 Low
pathway for groundwater
loss and potential
contamination.
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8. Noise
Drilling, pumps,
compressors and
generators, and vehicles
importing and exporting
materials and staff could 4 2 2 4 32 Mod 2 2 2 4 24 Low
increase ambient noise
levels between ±150 m and
1.6 km from the centre of the
site, at night.
9. Socio-economic aspects
Refer to site preparation
10. Access, traffic and transport
Refer to site preparation
Geology
The drill rig will penetrate geological layers up to a depth of 1 to 5 km (depending on site conditions), at each
drilling site. Core (soil, unconsolidated material and rock) will be removed. Core or drill chippings could
possibly contain naturally occurring radioactive materials (NORMs) which could contaminate the
environment. This impact is considered to be an impact of moderate significance. Should, however, the
below-mentioned mitigation measures be implemented, impact significance can be reduced to low:
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Identify and log strata that could host naturally occurring radioactive materials (NORMs).
Separate drill chippings that may contain NORMs. Test natural radioactivity level. If necessary, dispose
of such material at an off site facility licensed to receive such material.
Soils
There is potential for contamination of soil to occur at the site due to accidental spillages of fuels, flowback
water or drilling muds at the site. These materials will be stored in appropriate containers. Storage facilities
used for drilling muds and flowback water will be lined to prevent infiltration into the soil.
The significance of this impact is considered moderate prior to mitigation; with the implementation of
measures described in Chapter 9, the significance of this impact can be reduced to one of low significance.
Should soils be contaminated with fuels, flowback water or drilling muds, the impact may/may not be
reversible, depending on the nature of the pollutant. Should soils be remediated using bioremediation,
impacts may, however, be reversible
Ecology
Collisions with Red Data faunal species on road networks
Red Data faunal species are expected to occur within the precinct. While travelling on road networks,
vehicles moving to and from the site could collide with these species, especially the smaller, slower moving
terrestrial species. Impacts of high magnitude will occur over a regional scale; impact significant is therefore
rated as moderate. Should appropriate mitigation measures, such as reduced speed limits and awareness,
impact significance can be reduced to low.
Should vehicles moving to and from the site collide with Red Data faunal species, the impact will be
irreversible.
Disturbance of Red Data fauna due to increased dust, noise and light
Exploration activities will result in a temporary localised increase in noise, light and dust levels.
Increased noise levels may affect a wide range of taxa (including avifauna, mammals, reptiles, amphibians
and arthropods) due to the associated increase in vibration. Avifauna, especially songbirds, and amphibians
may find it difficult to find mates in areas of increased noise. Most taxa will move away from areas with
increased noise. In general, most species seem to tolerate constant, even very loud, sounds better than
sudden, unfamiliar ones.
Increased atmospheric dust may occur in the vicinity of the drilling site and access roads. Dust settling on
plant material can reduce the amount of light reaching the chlorophyll in the leaves, thereby reducing
photosynthesis, which in turn reduces plant productivity, growth and recruitment.
Lights at night are likely to attract insects which may in turn attract night feeding birds, lizards or amphibians
at the site.
The impact on terrestrial fauna is likely to be short-term and localised, but will definitely occur. Impact
significance is therefore anticipated to be moderate. Should the appropriate mitigation measures outlined in
Chapter 9 be implemented, impact significance can, however, be reduced to low.
These impacts on terrestrial fauna are reversible; fauna may return to the site subsequent to
decommissioning; similarly, vegetation distributed by dust may recover subsequent to decommissioning.
Surface water
Polluted runoff leaving the site
The activities on site involve the handling of fuels, water and drilling mud. These materials will be stored on
site. There is the potential for spills from these storage and material handling facilities. The runoff from the
site therefore has the potential to be polluted.
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Should the runoff from the site be collected in a sump or pond within the site, fuel and drilling mud handling
areas be bunded, and domestic wastewater be disposed of in an appropriate manner (and not discharged to
the environment), impact significance is expected to be very low.
Should polluted runoff leave the site and enter watercourses, the impact on water quality may/may not be
reversible, depending on the nature of the pollutant.
Due to the local scale of the potential impacts, impact significance is anticipated to be low; should the above
mitigation measures be implemented, impact significance can be reduced further.
Should surface water become contaminated with drilling return flow fluid, the impact on water quality
may/may not be reversible, depending on the nature of the pollutant.
Groundwater
Water storage tanks leak/collapse/burst leading to contamination of aquifer
Poor quality water (i.e. saline / brackish water) may be used for drilling and may be stored on site. Leakage
and/or spillage of this water could result in groundwater contamination. It is anticipated that spillage of water
will result in negligible impacts, and will be restricted to the site only. Impacts of low significance are
therefore expected. Impact significance can, however, be reduced, should appropriate mitigation measures
are implemented, such as ensuring that water storage containers are located in a bunded area.
Should groundwater be contaminated, the impact on water quality may/may not be reversible, depending on
the nature of the pollutant.
Leakage of stored drilling fluids leading to deterioration of groundwater quality at the site
Drilling fluids will be stored on site. Leakage and/or spillage from these storage areas could result in
groundwater contamination. Impacts of low significance are expected; however, impact significance can be
reduced should appropriate mitigation measures be implemented, e.g. ensuring that drilling fluid storage
facilities are located in a bunded area.
Should groundwater be contaminated, the impact on water quality may/may not be reversible, depending on
the nature of the pollutant.
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Intersection of aquifers
The gas exploration well will drill through the potential water bearing zones present at the well site. The well
could therefore provide a pathway for groundwater loss and potential contamination.
Each well bore section will be lined with a steel casing, cemented in place. This process provides a barrier
between the formations (that may include water bearing zones) and the well bore. Each well section would
be lined with a steel casing, which in turn would be cemented in place. The casing and its accessories will be
of such specifications that they can withhold downhole pressures and are resistant to the composition of the
wellbore and formation fluids that they are exposed to. The casing integrity will be tested upon completion of
the drilling to confirm that the casing can withstand the expected pressures and there are no leaks in the
casing.
The cement around the casing holds the casing in place, but also is aimed to prevent communication (of
pressure or fluids) around the outside of the casing between deeper and shallower formations, or even
surface. The quality of the cement can be assessed through for example a Cement Bond Log. This log will
indicate whether there are possible communication paths through the cement. In case a so-called leak path
would be detected, secondary operations may be undertaken in order to seal off the detected communication
path.
During operations, all annuli will be monitored to confirm no leaks develop over time. Also during production
when the rig is no longer on site, it is common practice that the annuli are monitored at a regular basis. In
case pressure or fluid levels are observed to increase, a full investigation will be carried out and if required
production is halted or operations stopped (close in well). Once the investigation confirms the cause of the
increased pressure or fluid levels, appropriate action will be taken to restore the required integrity.
It is anticipated that the well construction adopted will result in negligible groundwater impacts. Impacts of
low significance are therefore expected.
It is anticipated that the well construction adopted will result in negligible groundwater impacts. Impacts of
low significance are therefore expected.
Intersection of significant fracture zone
The gas exploration well will drill to depths of up to 5 km. An unexpected fracture/fault zone could be
intersected at depth. The well could therefore provide a pathway for groundwater loss to the fractured zone
or and potentially saline water within the fracture rising to the surface and impacting on the shallower aquifer.
The same mitigation measures will be implemented as described above.
The site selection process will ensure that the gas exploration well is drilled in a position where structures
are unlikely to be encountered. It is anticipated that the site selection process and the well construction
adopted will result in negligible groundwater impacts. Should there be doubt, the well will be
decommissioned and sealed. Impacts of low significance are therefore expected.
It is anticipated that the correct well construction and use of materials will provide protection against any
failures. Negligible impacts to the groundwater system from the well are therefore anticipated. Impacts of low
significance are therefore expected.
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The water supply would be obtained from a wellfield specifically sited and drilled to supply the well site with
water. These boreholes would be positioned within a reasonable distance of the well site and would be the
subject of a specialised survey to locate suitable target aquifers. It is probable that groundwater sources to
be developed for once-off use during the exploration phase could generally be developed within a 10 km
radius of the well.
The water supply boreholes will need to be correctly constructed with steel casings and sanitary seals to
prevent any surface contaminants entering the groundwater via the borehole annulus. It will also be
important that any new boreholes are not selected within 300 metres of existing boreholes to minimise
impacts.
Provided the water supply boreholes are correctly sited, constructed and tested, and the management
recommendations prepared are adhered to, impacts are anticipated to be low.
Air quality
During drilling, air emissions are expected to occur from the following:
Transportation;
Power generators;
Pumps;
Open air fluid impoundments (should these be used to hold drill cuttings and fluid).
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Pollutants include:
Combustion gases (sulphur dioxide, oxides of nitrogen, carbon monoxide, 1,3-butadiene, diesel
particulate matter) from vehicle exhausts;
Vehicle exhaust emissions include combustion gases (sulphur dioxide, oxides of nitrogen, carbon
monoxide, 1,3-butadiene, diesel particulate matter). As these vehicles may be fuelled on site, the
potential to emit volatile organic compounds exists;
Fugitive emissions of methane from unplanned events, such as encountering a methane pocket; and
Combustion gases (same as above) and polycyclic aromatic hydrocarbons (PAHs) from power
generators.
Although emissions are likely to occur, it is anticipated that the impacts will be localised. The resulting
impacts on air concentration levels are expected to be of moderate magnitude, hence of moderate
significance. Impact significance can, however, be reduced to low, should the appropriate mitigation
measures be implemented (e.g. reducing vehicle speed, dust suppression on access roads and minimising
the surface area, if open air impoundments are used for storage).
Visual aspects
Dust generation and night lighting will result in visual impacts of moderate significance. Impact significance
can be mitigated to low, should the mitigation measures detailed in Chapter 9 be implemented.
Noise
Noise is expected to emanate from the drilling site.
It is assumed that the noise emissions of the drilling and fracturing activities will be similar to measurements
which have been previously measured at other gas drilling operations. These measurements yielded a worse
case range of between 82 and 102 dB(A) at a nominal distance of 1.5 m from the acoustic centre of the
source.
Using the simplified attenuation by distance model and assuming uniform directivity, a flat noise spectrum,
zero ground attenuation, zero air absorbtion, and uniform atmospheric conditions, the noise level at certain
distances from the site centre, can be predicted as follows (theoretical worst case):
Table 26: Noise level in dB(A) at certain distances from the drilling site centre (worst case)
Distance 1.5m 3m 6m 12m 24m 50m 100m 200m 400m 800m 1.6km
From 82 76 70 64 58 52 46 40 34 28 22
(dB)
To (dB) 102 96 90 84 79 72 66 60 56 48 42
When compared with the acceptable values for rural areas according to the SANS standard SANS 10103,
under these worst case conditions, the limit noise level which can be accepted (according to the SANS
standard) will occur at a dwelling which is ±100 m (45 dB(A) during daytime) or ± 2 km (35 dB(A) at night)
from the drilling site centre (when using a worse case value of 82 dB(A) at a nominal distance of 1.5 m from
the acoustic centre of the source).
It needs to be emphasised that this really is the worst case scenario, and the noise level will in practice be
attenuated by relaxation of the various worse-case scenario criteria such as the actual noise level
information for the drilling rigs, individual equipment noise emissions, duration of operations and pause
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periods, site layout, local barrier effects of buildings on site, etc. Predicted noise levels will need to be
confirmed during exploration.
It is anticipated that daytime noise levels will have very low or negligible impacts within a distance of
approximately 80 m from the centre of the site. Impacts at night may, however, rise to moderate significance
within 150 m from the centre of the site. (When using a worse case value of 82 dB(A) at a nominal distance
of 1.5 m from the acoustic centre of the source).
This impact will be reversible upon decommissioning.
Socio-economic
Same as for site preparation
3. Groundwater
Storage tanks for poor
quality water, i.e. saline /
brackish water, could 4 1 2 2 20 Low 2 1 1 2 8 Low
leak/collapse/burst leading
to contamination of aquifer.
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5. Visual aspects
An operational flare at the
well site will result in visual 8 2 2 3 56 Mod 6 2 2 2 36 Mod
impacts.
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7. Socio-economic aspects
Refer to site preparation
8. Access, traffic and transport
Refer to site preparation
Soils
There is potential for contamination of soil to occur at the site due to accidental spillages of chemicals (such
as hydraulic fracturing fluids) at the site. All hazardous chemicals will be stored in appropriate containers.
Storage facilities used for flowback water will be lined to prevent infiltration into the soil. The significance of
this impact is considered moderate prior to mitigation; with the implementation of measures described in
Chapter 9, the significance of this impact can be reduced to one of low significance.
Should soils be contaminated with chemicals, the impact may/may not be reversible, depending on the
nature of the pollutant.
Surface water
Spill and leaks of hydraulic fracturing chemicals and return flow fluid into the environment
The chemical additives used in the fracturing fluid have not be identified at this stage and the impacts and
required mitigation measures will be investigated further in the next stage of the project based on the actual
chemical additives to be used.
The hydraulic fracturing process will generate a return flow from the wells. In other operations, Shell has
achieved recovery of up to 50% of the water used as a return flow volume. The return flow fluid will contain
the chemical additives used in the fracturing water as well as any contaminants mobilised from the
(geological) formation.
The return flow fluid could be contaminated to an extent that the fluid cannot be discharged to the
environment. This fluid will be stored on site and disposed of in an appropriate manner. The disposal method
will depend on the water quality of the fluid. The disposal could be to a local sewage treatment works,
treatment on site before discharge or disposal at an appropriate facility off site. The fluid will also be pumped
on site and there is the potential for pipe leaks or bursts on site.
The storage container for the fluid will be in a bunded area. The water quality of the fluid will be determined
on site and the appropriate disposal method applied. Any leaks from the pumping system will be caught in
the onsite sump before entering the environment. The development and application of material handling
procedures for the site will also reduce the risk of material entering the environment.
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The impact is ranked as low due to the provision of the mitigation measures and the local scale of the
impacts.
Should surface water be contaminated with chemicals, the impact may/may not be reversible, depending on
the nature of the pollutant.
Groundwater
Water storage tanks leak/collapse/burst
Same as for exploration drilling.
Leakage and spillage of contaminated water during transport to selected disposal site
Contaminated water and chemicals may need to be removed from the site. Leakage and/or spillage while
being transported could result in groundwater contamination. Should the appropriate mitigation measures be
implemented, such as ensuring that tankers and associated pumps and pipelines are mechanically sound
and tanker drivers are experienced and trained in driving hazardous loads, impact significance is anticipated
to low (due to low probability of impact occurrence).
Should groundwater be contaminated, the impact may/may not be reversible, depending on the nature of the
pollutant.
Failure of steel casing to provide complete seal in the with hydraulic fracturing zone and
leakage of gas and chemicals into the well
Failure of the steel well casing and cement grout due to stresses caused by installation depth and/or the
hydraulic fracturing process could lead to contaminated water, gas and hydraulic fracturing chemicals
entering the shallow aquifer.
This impact is considered to be of moderate significance. Should the steel casing and high pressure cement
grouting be constructed according to industry standards, and the casing be pressure tested before
installation, impacts of low significance are expected.
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Prior to the commencement of the drilling, an EIA will first be undertaken. This detailed assessment of the
selected site and surrounding area will involve monitoring of water levels and water quality. This monitoring
will continue throughout the drilling and hydraulic fracturing process. Should any impact be detected
hydraulic fracturing will cease.
Based on the above, it is anticipated that hydraulic fracturing will result in negligible impacts outside of the
intended target shale zone. Impacts of low significance are therefore expected.
Larger volume of return water from the gas exploration well than expected
Between 1 and 6 million litres of water may be used if hydraulic fracturing is carried out. This water will be
pumped into the well and used to achieve the desired fracturing of the target shale horizon. Fluids used in
this process return to the surface once the well is back produced. These fluids are, referred to as ‘flowback’,
can then be recycled, and mostly re-used for other drilling activities. The percentage of fluids that can be re-
used for other drilling operations will vary from one well location to another as a result of even small
variations in the geological properties of the shale formations deep underground. Similarly, the quality of flow
back water which may or may not require additional treatment, prior to re-use, will likely vary.
Any water that is no longer required for the operation will be treated and cleaned– using mobile water
processing equipment - in line with Shell’s own technical standards and relevant South African regulations.
The most suitable location for recycling will be determined subsequent to site selection.
Higher recoveries of flowback than anticipated could lead to on site storage facilities overflowing and spillage
occurring, which could in turn lead to contamination of the groundwater.
It is, however, anticipated that the implementation of the above-mentioned mitigation measures will result in
impacts of low significance.
Abstraction of groundwater for water supply to the drilling and hydraulic fracturing
operations
Same as for exploration drilling.
Air quality
During hydraulic fracturing, air emissions could potentially occur from the following:
Combustion gases (sulphur dioxide, oxides of nitrogen, carbon monoxide, 1,3-butadiene, diesel
particulate matter) and polycyclic aromatic hydrocarbons (PAHs) from power generators;
Evaporating VOCs from open air fluid impoundments, if these are used to store flowback water; and
Combustion gases (same as above) from compressors and from well testing / flaring.
It is anticipated that a flare pit will be constructed. A flaring rate of 2 800 to 8 500 m3 (100 to 300 Mscf) is
expected during the testing period. Flaring is seen as a safer way to manage the gas than simply allowing it
to vent into the air. Flaring is also used to burn gases that would otherwise present a safety problem. It is
common to flare natural gas that contains hydrogen sulphide in order to convert the highly toxic hydrogen
sulphide gas into less toxic compounds.
Early explorations done by Soekor did not encounter hydrogen sulphide (not from the drilling reports, nor
core analyses). The gas composition that was measured in the past was a mix of mainly Methane (92%) ,
Ethane (6%) and higher hydrocarbon chains (2%) (Rowsell, D.M. and De Swardt, A.M.J., 1976, Diagenesis
in Cape and Karroo sediments, South Africa, and its bearing on their hydrocarbon potential). Transactions of
the Geological Society of South Africa 79 (1), 81-129). The likelihood of hydrogen sulphide emissions is
therefore low.
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The nature of flare emissions depend on the chemical composition of the gas being burned and the
efficiency and temperature of the flare. Flaring results in sulphur dioxide emissions if hydrogen sulphide is
present in the natural gas. There may also be additional by-products formed if some of the chemicals used
during the drilling or hydraulic fracturing process are converted to a gaseous form and are burned along with
the natural gas. The detailed EIA will address this possibility and its significance.
Fugitive emissions are unintentional leaks of gases. This may occur from breaks or small cracks in seals,
tubing, valves or pipelines, as well when lids or caps on equipment or tanks have not been properly closed or
tightened. When natural gas escapes via fugitive emissions, methane as well as VOCs and any other
contaminants in the gas (e.g. hydrogen sulphide) are released to the atmosphere. The detailed EIA will
address this possibility and its significance.
Although emissions are likely to occur, it is anticipated that the impacts will be localised. The resulting
impacts on air concentration levels are expected to be of moderate magnitude, hence of moderate
significance. Impact significance can, however, be reduced to low, should the appropriate mitigation
measures be implemented. Refer to Chapter 9 for mitigation measures.
Visual aspects
An operational flare at the well site will result in visual impacts, and indirect impacts on animal life.
Impact significance is considered to be moderate, with limited mitigation potential, due to the relatively low
visual absorption capacity of the area (as a result of little vegetation cover, topographical landforms and
existing human structures). For this reason, where possible, care must be taken to position well sites in
locations and in such ways that it will not constitute an excessive intrusion.
Noise
Same as for exploration drilling.
Socio-economic
Same as for site preparation.
8.5.5 Decommissioning
Table 28 below summarises those impacts directly related to decommissioning, and provides a significance
rating for each impact before and after mitigation. It is important to note that these are estimates of likely
significance of these activities as the impact is dependent upon the site and the characteristics of that site.
For this reason, the significance ratings provided herein are purely a guideline. Impact significance will be
confirmed as part of the detailed EIA.
Table 28: Technical Assessment Matrix for the proposed South Western Karoo Basin Gas
Exploration Application Project –Decommissioning
POTENTIAL ENVIRONMENTAL SIGNIFICANCE
ENVIRONMENTAL After mitigation (refer to Chapter 9
Before mitigation
IMPACT: for relevant mitigation measures)
DECOMMISSIONING M D S P Total SP M D S P Total SP
1. Soil
Potential spillages from
heavy machinery, vehicles,
8 3 1 3 56 Mod 4 3 1 2 24 Low
generators, etc could
contaminate soils.
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3. Surface water
The decommissioning
activities on site involve the
removal of equipment and
storage facilities. Runoff 2 2 2 2 12 Low 2 2 1 2 10 Low
from the site has the
potential to be polluted.
4. Groundwater
Leakage and spillage of
contaminated water during
transport to selected 2 1 2 2 10 Low 2 1 1 2 8 Low
disposal site.
6. Visual aspects
Excessive dust and night
lighting could result in visual 6 3 2 3 48 Mod 4 3 2 2 28 Low
impacts.
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8. Socio-economic aspects
Same as for well site preparation
9. Access, traffic and transport
Same as for well site preparation
Soils
Upon decommissioning, soil remediation of the site will aim to restore the soil resource back to its original
state. The remediation process will include ripping of the soil, re-application of topsoil and establishment of
vegetation cover.
There is the potential for contamination of soil to occur at the site due to accidental spillages of fuels at the
site. The significance of this impact is considered moderate prior to mitigation. With the implementation of
the mitigation measures described in Chapter 9, the significance of this impact can be reduced to one of low
significance.
Should soils be contaminated with fuel, the impact may be reversible, should the soil be remediated using
bioremediation.
Remove all temporary works in and around the accommodation camp and drilling site.
Fences and private roads disturbed by activities will be restored to their original condition unless
another agreement is reached with the applicable landowner.
Allow normal surface drainage except where special measures are employed to prevent soil erosion.
Loosen compacted soils along the delineation of the access road. Scarifying areas where topsoil has
been removed shall be carried out prior to the replacement of topsoil. Care shall be taken to avoid
topsoil inversion if scarifying is carried out in areas where topsoil has not been removed. Any ploughing
or scarifying operation shall not exceed a depth of 100 mm.
Where the land is naturally armoured with surface rock or stone, armouring rock should be placed over
the construction servitude to protect against erosion, in a manner similar to its original condition.
Re-establish the vegetation that existed prior to disturbance, to the greatest extent possible.
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After decommissioning and successful rehabilitation, the land use may return to the original use.
Ecology
The long term objective for rehabilitation is to in all affected areas, re-establish the vegetation that existed
prior to site preparation, to the greatest extent possible. Where the routes/affected areas pass through areas
that are disturbed or degraded to varying degrees, especially where extensive agriculture has occurred,
indigenous vegetation should be established, covering the affected areas, in order to protect the soil against
erosion.
Rehabilitation in this area will be very difficult due to climatic and vegetation conditions and the low and
erratic rainfall. A number of publications are available on rehabilitation of vegetation in the Karoo (De Villiers
et al., 2004; Beukes and Cowling, 2003; Blignaut and Milton, 2005; Simons and Allsopp, 2006; Burke, 2001;
Hanke et al., 2011; Visser et al., 2004). These publications and input from local conservation specialists will
need to be applied in developing a successful rehabilitation plan. Removing and maintaining vegetation from
the site in a nursery for transplanting back on the site during decommissioning is an option that should be
investigated.
Surface water
Polluted runoff leaving the site
The decommissioning activities on site involve the removal of equipment and storage facilities. The runoff
from the site has the potential to be polluted. Due to the low probability of rainfall in the area and the small
area of the site, the impact is ranked as low. The sump should be maintained on site to collect any runoff
from the site. The sump will be removed once the site is decommissioned.
Should surface water be contaminated with pollutants, the impact may/may not be reversible, depending on
the nature of the pollutant.
Groundwater
Leakage and spillage of contaminated water during transport to selected disposal site
Contaminated water and chemicals will need to be removed from site during decommissioning. Leakage
and/or spillage while being transported could result in groundwater contamination. Should the appropriate
mitigation measures be implemented, such as ensuring that tankers and associated pumps and pipelines are
mechanically sound and tanker drivers are experienced and trained in driving hazardous loads, impact
significance is anticipated to low (due to low probability of impact occurrence).
Should groundwater be contaminated with pollutants, the impact may/may not be reversible, depending on
the nature of the pollutant.
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Should this impact occur, it will be irreversible, unless an alternative water supply is provided to affected
groundwater users.
Air quality
Minimal emissions are expected upon decommissioning of the exploration well, and would mainly include
particulate emissions during the decommissioning process. Fugitive particulate matter and VOC emissions
may also occur during the rehabilitation of any fluid impoundments. It is anticipated that the site
decommissioning activities could result in low impacts.
Visual aspects
Excessive dust generation and night lighting could result in visual impacts during decommissioning. Impact
significance can be mitigated to low, should the mitigation measures detailed in Chapter 9 be implemented.
This impact will be reversible upon closure.
Noise
Decommissioning activities, such as removal of temporary buildings/facilities, and trucks and heavy
machinery, will increase ambient noise levels. It is anticipated that the impact will be of a temporary nature
and will be localised. An impact of low significance is therefore likely to occur.
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The large amount of water required for hydraulic fracturing could lower water tables and decrease the
amount of available drinking water sources/supplies. Lower water tables may also affect water quality
by exposing naturally occurring minerals to an oxygen rich environment which may cause salination and
chemical contamination of water. Lower water tables may also stimulate bacterial overgrowth leading to
taste and odour problems;
The bulk of the hydraulic fracturing fluid comprises water and sand which acts as a proppant to keep
fractures open. Fracturing fluids do, however, contain quantities of chemicals (about 1-2% by volume).
The type and concentration of the chemicals used depends on the conditions of the specific well. While
many of the chemical additives are relatively benign, some chemicals that a company may select to use
are known to have acute (from acids and bases) and more chronic effects (ethylene glycol,
glutaraldehyde, and n,n-dimethyl formamide), if an exposure path exists;
Hydraulic fracturing may affect the mobility of naturally occurring substances especially in the gas
containing formulation. Substances such as naturally occurring radioactive material, polycyclic aromatic
hydrocarbons and mercury, lead or arsenic may be mobilised as a result. There is the potential that
these substances may find a pathway to the upper source of drinking water after the fracturing process
if the fractures extend past the target formation to reach aquifers or if the cement casing in the wellbore
fails under pressure exerted in the fracturing process.
Flow-back water occurs with a change in direction of the injected fluid whereby the injected fluid plus
naturally occurring substances that were mobilised in the subsurface move back up the borehole to
surface at the end of the fracturing process. The physical and chemical properties of flow-back and
produced water varies with the type of hydraulic fracturing fluid used and the specific geological
formation. Flow-back fluid usually contains high concentrations of total dissolves solids (TDS) but can
also have high concentrations of major ions and radionuclides as well as VOCs (including benzene,
toluene and xylenes). Potential contamination of water sources may occur at the surface and at the
upper source of drinking water.
Methane is the largest potential source of air emission associated with hydraulic fracturing. The
challenge is to manage the flow of methane before the well is put into production which may entail
venting or flaring. The high concentrations of methane may pose a significant explosion threat.
Flow-back fluids may be sources of VOCs (including acetone, benzene, toluene, phenol and ammonia)
and hydrogen sulphide.
Increased truck traffic to support the operations is potentially a major source of air emission. This can
include increased levels of NO2, CO and diesel particulates. Dust from vehicles may also increase.
There are suggestions that hydraulic fracturing activities may be associated with low magnitude
earthquakes.
There was a concern related to contamination of soil by hydraulic fracturing fluids, and also potential
exposure of domestic animals and wildlife to water impoundment dams with adverse effects to the
animals and unknown potential effects of bioaccumulation in the food chain. The same may apply to
plant material with potential bioaccumulation effects.
Concerns were expressed about public safety associated with potential chemical spills, well blowouts
and transportation of hydraulic fracturing fluids and waste water.
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Occupational risks in the workplace health and safety which includes acute and chronic health effects.
These can be divided into physical, chemical, biological and psychosocial risks.
Acute loud noise and chronic low level noise is associated with a variety of negative health effects.
These can include hearing loss but also psychological and physical health effects due to noise
annoyance.
Light disturbance at night may disrupt sleep and cause health effects by disrupting normal circadian
rhythms and hormone release.
As part of the site specific EIA, a human health impact assessment will be conducted to confirm potential
risks to human health, as well as to provide measures to manage and mitigate identified risks.
These knowledge gaps and limitations will need to be addressed as part of the detailed EIA, which will be
undertaken prior to commencement of drilling and/or hydraulic fracturing.
General
The locations of the sites have not yet been determined. Impacts were therefore assessed for a generic
site;
The mud programme, well design, content of the hydraulic fracturing fluids, treatment/disposal method
for backflow water, fate of hydrocarbons produced, etc are currently not yet defined;
Impact significance ratings have been estimated, as the impact is dependent upon the site and the
characteristics of that site. For this reason, the significance ratings provided herein are purely a
guideline. Impact significance will be confirmed as part of the detailed EIA; and
Impacts after mitigation are based on the assumption that mitigation measures have been put in place
and implemented correctly.
Soil
Available databases were only of a general scale; and
The study area has not been subjected to a field survey. This study is entirely based on a desktop
review and no field or groundtruthing took place. A field study is anticipated for the near feature.
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Terrestrial ecology
An intensive baseline biodiversity assessment of potential drilling sites taking seasonal variation into
consideration has not yet been conducted since sites where drilling will take place have not yet been
identified.
Surface water
The source and quantity of water has not yet been finalised. The source will affect the need for storage
and the handling approach on site; and
The quantity and quality of the return flow (backflow) fluid is currently unknown.
Groundwater
The groundwater technical assessment has been prepared without detailed knowledge of the actual
drilling sites. It is therefore indicative at this stage.
A detailed assessment of potential impacts to the groundwater aquifers will be undertaken as part of the
EIA, once site selection has been completed.
Air quality
Air pollutants from the exploration drilling activities may be divided into their potential impacts, namely
nuisance (odours and dustfall) and toxic (irritants and carcinogenic) compounds. The significance of
these impacts are determined firstly through the potential to violate relevant regulatory criteria (both
ambient air and emission limits) and secondly through the comparison to health risk criteria. Since the
air quality technical assessment was conducted at a qualitative level, direct comparison of absolute air
concentrations was not possible. Instead, only the potential sources of air emissions and the various air
pollutants have been discussed.
The final detail of the proposed exploration activities in terms of, for example, layout, is not yet
available. Sources of emissions were therefore based on typical exploration configurations.
The anticipated power generation and compressor sizes have not been fixed. It was therefore not
possible to quantify air emissions of gases and particulate matter from the equipment.
The number and types of vehicles required during the various steps for exploration drilling are still
preliminary.
The access road lengths have not been determined since the exact locations for drilling have not been
identified.
It is assumed that the flare would operate continuously during hydrocarbon flow testing.
Noise
For the purposes of the noise assessment, a range of between 82 and 102 dB(A) at a nominal distance
of 1.5 m from the acoustic centre of the source has been used.
A worst case scenario has been assumed, i.e. continuous well site preparation and road construction
and drilling activities throughout the day and night.
In addition, the precise locations of the selected drilling locations are as yet undefined; therefore, any
sensitive receptors adjacent to the sites are currently unknown.
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The application area has not been subject to a field survey. The technical assessment undertaken for
the EMP is entirely a desktop based survey and no field or ground surveys were conducted. However,
these will be commissioned as part of the detailed EIA to follow.
Human health
The following has been recognised as limitations to the human health assessment:
The broad project area and the lack of definition of specific potentially affected communities. A more
detailed study will be undertaken as part of the EIA, when specific locations have been identified.
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recognize that social responsibility and environmental management are among the highest corporate
priorities;
assign clear accountability and responsibility for environmental protection and social responsibility to
management and employees;
provide appropriate and sufficient resources, including training, to achieve targeted performance levels
on an ongoing basis; and
evaluate environmental performance and social responsibility against Shell’s environmental and other
policies, objectives and targets and seek improvement where appropriate.
The EMP is organized into the following sections:
Project Description.
Environmental Management Plans and Mitigation Measures – a description of the mitigation measures
and individual EMPs that will be implemented during the Project.
Monitoring Plans – a description of monitoring plans that will be implemented during all Project phases.
Grievance Mechanism
9.2 Project description
The project description is described in detail in Section 5. In broad terms the project entails the following key
activity steps, which are not necessarily consecutive implementation.
Undertaking geophysical data acquisition. This is largely a non-invasive task although nominal
excavation is required to position the recording equipment below ground level (shallow trench the depth
of a spade head);
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The drilling of vertical boreholes to intersect the targeted Shale layer. These boreholes will be between
1500 m and 5000 m deep depending on their location within the exploration rights areas. These
boreholes will be developed using standard deep level drilling techniques but may also include the
sampling of intact geological core through the target shale layer once this layer has been intersected.
Shale samples will be analysed for gas;
The vertical intersection of the shale layer may be hydraulically fractured to test whether gas can be
stimulated to flow;
If gas can be stimulated to flow within the shale layer, a horizontal borehole may be drilled from the
base of a vertical hole extending up to 2 km into the shale layer;
Horizontal boreholes would be hydraulically fractured to stimulate gas flow and enable gas yield
properties of the strata to be tested, and lastly; and
If the exploration proves unsuccessful, gas exploration wells will need to be decommissioned and
made safe.
Contribution to sustainable development by balancing short and long-term interests and integrating
economic, environmental and social considerations into decision-making;
Applying a systematic approach to health, safety, security and environmental management in order to
achieve continuous performance improvement; and
Being a good neighbour by continuously improving the ways, in which Shell contributes directly or
indirectly to the general wellbeing of the communities within which they work and committing.
All activities will be carried out in accordance with Shell’s General Business Principles, Sustainable
Development Principles and HSE Commitment and Policy which is supported by a full suite of Shell HSE
standards (unless there is a conflict with legislation, in which case legislation takes precedence).
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9.5.2 Training
All Shell employees will be appropriately trained and qualified to carry out their duties under the scope of the
EMP.
Shell will endeavour to employ only competent staff and contractors to carry out their operations. Where staff
or contractors do not meet the appropriate competence or awareness of standards and regulations that is
required, Shell will provide adequate and suitable training to meet the requirements.
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Archaeological Sites: Where feasible, avoidance of terrestrial and marine archaeological sites. If sites
cannot be avoided, adherence to regulatory protocols for protection and/or removal.
Protected Areas: Avoidance of direct Project footprint effects to nearby protected areas and avoidance
or minimization of indirect effects (e.g. marine water quality, air quality).
Wildlife Species of Conservation Status: Avoidance of direct mortality, destruction of habitats and
indirect effects to species with conservation status, including International Union for the Conservation of
Nature (IUCN) Red List species.
Key Wildlife Habitats: Avoidance or minimization of direct and indirect impacts to key wildlife habitats
(e.g., reproductive and migratory habitats).
Natural and Industrial Risks: Establish Project design parameters to help minimize environmental and
public health and safety impacts from natural and industrial hazards.
Water: Extraction of water will not occur as to result in a high impact to the environment or users of the
identified water source. Water is recycled into the process where practical and appropriate. The
discharge of untreated wastewater, spill and drainage into the environment is prohibited unless it meets
applicable water quality standards for discharge.
Atmosphere: Dust and other emissions produced by Project activities will meet applicable ambient air
quality standards at sensitive receptors.
Noise: Noise levels will meet applicable noise criteria at sensitive receptors.
Hydraulic Fracturing
There is an additional subsection that provides individual EMPs that are likely applicable throughout the
Project life cycle in a more general sense. These individual EMPs include the following:
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Isolate the internal conduit of the well from the surface and subsurface environment to protect the
environment; and
Isolate and contain the well’s produced fluid to a production conduit within the well.
The primary method used for protecting groundwater during drilling operations consists of drilling the
wellbore through the groundwater aquifers, immediately installing a steel pipe (called casing), and cementing
this steel pipe into place.
The following guiding principles will be implemented during drilling and well installation:
9.7.1.1 Casing
The casing must be able to withstand the various compressive, tensional, and bending forces that are
exerted while running in the hole, as well as the collapse and burst pressures that it might be subjected to
during different phases of the well’s life.
Casing used in oil and gas wells that will be hydraulically fractured should meet API standards, including API
Spec 5CT. API casing specifications and recommended practices cover the design, manufacturing, testing,
and transportation.
Casing manufactured to API specifications must meet strict requirements for compression, tension, collapse,
and burst resistance, quality, and consistency.
The casing used in a well should be designed to withstand the anticipated hydraulic fracturing pressure,
production pressures, corrosive conditions, and other factors.
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9.7.1.2 Cementing
Selected cements, additives, and mixing fluid should be laboratory tested in advance to ensure they
meet the requirements of the well design.
The following cement practices are recommended in order to ensure that isolation is achieved:
Prior to drilling, operators should investigate and review the history of nearby wells for cementing
problems encountered;
Computer simulation and other planning should be carried out in order to optimize cement
placement procedures;
Appropriate cement testing procedures should be properly carried to meet site-specific geologic
conditions.
The process of hydraulic fracturing increases the exposed area of the formation resulting in a high
conductivity path that extends from the wellbore through a targeted hydrocarbon bearing formation so that
hydrocarbons and other fluids can flow more easily from the formation rock, into the fracture, and ultimately
to the wellbore.
To conduct hydraulic fracturing, a fluid must be pumped into the well’s production casing at high pressure;
therefore it is necessary that production casing has been installed and cemented and that it is capable of
withstanding the pressure that it will be subjected to during hydraulic fracture operations (see above design
principles).
Prior to beginning this process, all equipment should be tested to make sure it is in good operating condition.
All high-pressure lines leading from the pump trucks to the wellhead should be pressure tested to the
maximum treating pressure. Any leaks must be eliminated prior to initiation of the hydraulic fracture
treatment.
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9.7.3.3 Monitoring
Treatment Parameter Monitoring
During the hydraulic fracture treatment, certain parameters should be continuously monitored, including, but
not limited to, surface injection pressure (psi), slurry rate (bpm), proppant concentration (ppa), fluid rate
(bpm), and, sand or proppant rate (lb/min).
Pressure Monitoring
Pressure behaviour throughout the hydraulic fracture treatment should be monitored so that any unexplained
deviation from the design can be immediately identified and analysed before operations continue. Pressure
exerted on equipment should not exceed the working pressure rating of the weakest component.
Micro-seismic Monitoring
Micro-seismic mapping allows operators to monitor micro-seismic events associated with hydraulic fracture
growth. It requires a geophone array to be placed in an observation well, and utilizes the energy of the
fracturing process to map the resulting micro-seismic events. Micro-seismic monitoring provides a way to
evaluate critical hydraulic fracturing parameters such as vertical extent, lateral extent, azimuth and fracture
complexity.
Shell may conduct micro seismic monitoring. It is defined in chapter 5.
Consulting with local communities to understand community air quality issues related to the Project; and
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Keep ambient air quality within appropriate regulatory guidelines and standards;
Fugitive emissions.
The following general management practices and measures by Project phase, include, but are not limited to:
Design Stage
Selecting equipment with low emissions that meet SA legislated emissions standards and guidelines;
Construction Phase
Using low sulphur and low aromatic fuel;
Using modern construction/ equipment that meets latest applicable emissions standards;
Operations Phase
Using low sulphur and low aromatic diesel fuel;
Using dust suppression measures (i.e., wetting work areas, roads, and storage piles, installing
equipment covers, and using dust hoods and shields).
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Development and implementation of noise monitoring plan to verify compliance with relevant standards
and criteria; and
Schedule noisy construction activities at normal working hours (i.e., day-time) as much as possible;
Perform regular inspection and maintenance of construction vehicles and equipment to ensure that they
have good quality mufflers installed and worn parts are replaced;
Use noise abatement accessories such as sound hood and mufflers. If required, use noise barriers,
baffles or enclosures for particularly noisy equipment, where feasible; and
Develop and implement a noise monitoring programme for the construction phase.
During maintenance check that noise abatement devices are in good order (e.g., brakes, exhaust
mufflers).
Place speed limits along access roads that are located off primary roads and highways.
maximise the diversion of non contact waters (clean water) around areas of potential disturbance;
intercept sources of potential sediment-laden waters as close to source of erosion as possible and use
runoff control and conveyance measures to move these waters to a receiving waterbody;
establish self-sustaining vegetation in erosion-prone areas once disturbed but no longer required;
use appropriate sediment traps and barriers such as silt fences to minimize sheet erosion and velocity
of sheet flow in areas prone to erosion;
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use ditch armouring along ditches depending on factors such as area steepness, erodability of soil
materials and presence of any immediate downstream watercourses; and
undertake sensitive operations during periods of dry weather to minimize traffic through these areas
and select equipment that will create the least disturbance.
Construction Phase
Soils
Topsoil materials will be salvaged before site clearing. The topsoil salvaged will be stockpiled and used as
reclamation material during decommissioning. Topsoil stockpiles will be strategically located to avoid
operational disturbance. As well, erosion control measures (including vegetating) will be applied to the
salvage stockpiles to reduce erosion.
Vegetation
Vegetation will be removed during the clearing process. Vegetation removal will occur only as necessary for
the placement of drill pads, structures and access roads. Small trees and shrubs may be mulched and
incorporated into and placed onto the topsoil piles to improve the organic matter and reduce erosion.
Burning of vegetation will be limited when practical.
All environmental monitors will have an illustrated list of rare plants that might be found in the areas to be
cleared. Rare plants will be identified by the environmental monitors and salvaged, where practical, and re-
established in suitable natural habitats unaffected by the Project construction.
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Operation Phase
Invasive Plants
An environmental monitor will conduct annual surveys for invasive plants along access roads and around the
drill pads. If found they will be removed by hand, bagged and burned.
Non-Hazardous Solid Waste and Domestic Waste Water Management Plan; and
Purpose
The objective of the WWHMP is to minimize interaction between the Project and its components and wildlife
receptors while acknowledging operational requirements and the safety of employees and contractors. This
objective is targeted through a series of actions designed to prevent mortalities, avoid human-wildlife
interaction and reduce wildlife disturbance.
Management Practices
The general management practices that will be implemented include, but are not limited to, the following:
giving wildlife the right of way when of such a size that it can be readily seen from vehicles;
prohibiting hunting;
managing wildlife attractants by using non-palatable seed mixtures for revegetation and road
maintenance;
avoiding wildlife sensitive areas and periods, which will be identified in the EIA report;
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surrounding communities will be taken into account for all stages of materials handling during all Project
phases.
This section presents a framework for a HMMP.
Training
Hazardous materials and wastes require special handling and training procedures. All employees will be
provided with basic training so that, at minimum, they:
Transport
Proper labeling, marking and placarding using proper containers will be implemented for all hazardous
materials being transported.
The following measures will be implemented during transport:
fire extinguisher and fire prevention materials will be adequate and appropriate for the material being
transported;
spill response materials will be adequate and appropriate for materials being transported; and
drivers will be adequately trained and equipped for spill first response, containment and communication.
the storage areas will be designed to adequately and safely store a sufficient quantity over a prescribed
period;
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the storage area will be properly designed to contain and prevent contamination of the environment,
particularly soil and groundwater;
floor, curbing, walls and roofs will be designed to adequately contain spills and to protect the storage
area from weather where necessary;
spill kits, protective equipment, and other necessary equipment to clean and mitigate spills will be in the
storage area or near the storage area;
fire prevention systems appropriate and adequate for the materials being stored will be designed;
containers or liner materials will be compatible with the waste being stored;
incompatible (e.g., bases and acids) materials will not be stored in the same container and will be
stored safely and sufficiently far apart to prevent accidents;
to provide a safe work area, incompatible wastes will be separated by walls, dykes, or stored in
separate facilities;
drums, containers, and storage areas will be properly labelled, marked, placarded and secured;
sufficient storage space between containers will be allowed for safe access and handling of containers;
and
a no smoking policy will be implemented and fire prevention and management practices will be
developed specific to the materials being stored.
Waste Minimisation
The following procedures will be used to minimize wastes before start-up and as an ongoing programme
during operation:
keeping inventories of products to a workable minimum to prevent expiration of dated products (shelf
life) and the generation of wastes;
properly segregating and handling waste streams to minimize cross contamination of hazardous and
non-hazardous wastes;
developing, implementing and tracking training programs and housekeeping standards to reduce
wastes; and
Inspection Programme
An inspection programme will be developed with the following objectives:
to inspect the Project area for proper waste segregation, storage, and disposal;
to inspect waste storage sites and document the volume of waste stored, type of waste, and storage
facility conditions;
to inspect spill kits and protective equipment, and reorder and replace as necessary;
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to allow periodic reviews of off site transporters including procedures, training, equipment, spill kits,
records, and employee awareness; and
to review inspection findings with operation, transporters, and off site contractors to correct deficiencies,
maintain awareness and communication, and to recognize negative or positive performance.
food waste;
some plastics;
Non-toxic, non-food solid wastes will be sorted into four types—combustible, noncombustible,
recyclable, and reusable in the waste transfer storage area;
Combustible items will be disposed in an off-site approved incinerator (if required by applicable
regulations and suitable for disposal), while non-combustible items will be land filled or recycled if
practical; and
Inert bulk wastes that cannot readily be recycled or reused, such as general debris, will be stored in the
waste transfer storage area and transferred to the landfill.
a solid waste management plan that will be finalized before construction begins; and
covered sheds for sorting and temporary storage of items that can be recycled;
containers for temporarily holding small solid wastes; and
a waste containment area.
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Containers
Drums, bins, receptacles, and dumpsters used for storage of waste will be selected based on waste material
requirements. All containers will be labelled to identify those wastes for which they are suitable.
Sorting
Waste must be sorted at source before it can be disposed, or transported to specific designated areas for
proper disposal. The following measures will be implemented for sorting:
containers will be located throughout Project site for immediate sorting of solid waste;
containers will be located for the collection of burnable and non-burnable materials and recyclable
wastes;
haulers will be required to have appropriate training that prevents inadvertent release of wastes or
recyclables en route; and
procedures and general education during employee orientation will be in place to ensure dumping of
wastes in unauthorised locations or facilities does not occur.
Once a practical quantity of solid waste has accumulated, the waste will be collected, packaged, transported
and disposed of at a permitted landfill or other approved and licensed facility.
Do not swallow.
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Fuel Handling
Fuel transfer will take place inside bermed areas. The general procedures to be followed for fuel transfer
and fueling tanks include, but are not limited to:
all fuel transfer hoses have been connected properly and couplings are tight;
transfer hoses are not obviously damaged;
fuel transfer personnel are familiar with procedures;
for fuelling stations, personnel are located at both the fuel truck and fuel transfer tank(s) and have the
ability to shut off fuel flow manually;
a means of communication has been established between the two people transferring fuel;
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a waste package that meets acceptance criteria for disposal, storage and for any associated handling
and transportation activities.Waste or material that is suitable for authorized disposal / discharge and
clearance for disposal through regulatory approval.
During the generation of radioactive waste the emphasis shall be on the control of waste generation and
minimization. Unavoidable radioactive waste shall be classified to enable category specific waste
management.
All radioactive waste will be packaged, stored and transported according to applicable regulatory
requirements and disposed of at only those facilities licensed and authorized to accept radioactive waste.
Spill Prevention
Site Planning
At locations where the potential for spillage of hazardous material is highest, spill control and containment
means will be incorporated into the infrastructure.
Material Storage
All materials will be stored in a safe and appropriate manner which will mitigate accidental releases to the
environment. Management practices to be considered for use onsite, including, but not limited to, the
following:
double-walled containment tanks, with barriers to protect tank from accidental impact;
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Material Handling
Material handling procedures will be documented within this plan, and will likely include, but will not be
limited to:
Spill Response
The objective of the spill response measures will be to ensure that where accidental spills occur, all available
resources are used appropriately to minimize the extent and severity of effect on the environment. The
following measures will be implemented:
Equipment
Spill response kits appropriate to the type and volume of material will be specified for each piece of
equipment which handles or transports contaminant materials (including fuel). As well, spill response kits will
be located at appropriate material handling and storage locations.
Spill response kit contents will be based on the potential risk associated with the material, volume of
material, and environmental sensitivity of the area. General kit contents could include:
absorbent socks;
containment of spill;
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mitigate hazards;
notification; and
identify source of spill and attempt to stop and/or contain it, if safe to do so.
2) Secondary Response
contain the spill, and protect any nearby water bodies; and
Training
All Shell employees and contractors will undergo environmental hazard awareness training as part of their
orientation to the site. This training programme will focus on spill prevention and hazard identification, as
well as spill response and containment procedures. At minimum, employees will be educated on:
applicable legislation;
Trucking volumes;
Special measures in localities and other sensitive points (schools for example)
Any restricted use of road access during special dates (community celebrations for example)
Transportation for the Project will include personnel, materials, and supplies to the Project site and wastes
from the site. The purpose of the Transportation Management Plan (TMP) is to provide a framework of
management practices to be followed during the Project.
The following additional management plans will also apply to the TMP:
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speed levels will be controlled to reduce dust levels and to reduce the chance of a collision with birds
and other wildlife;
areas known to be high use areas along the road will be clearly signed;
harassment of wildlife will not be tolerated on site or along the access road;
animals will have the right-of-way and areas of high use will by identified;
no employee or contractor will be permitted to fish while on company business or during travel to and
from the project site.
all drivers will be properly licensed and trained according to specific vehicle type and operating
conditions;
vehicle use will be determined by local ground conditions and access requirements;
traffic on the rights-of-way will follow the posted speed limits, which might vary depending on site-
specific conditions;
all vehicular traffic will be confined to approved rights-of-way, workspace and access roads or trails; and
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site-specific features of concern (e.g., archaeological sites, sensitive wildlife habitat) will be flagged, or
otherwise designated, so that subsequent traffic can avoid these areas.
manage and protect existing archaeological and cultural heritage resources during construction and
operations; and
provide a framework to identify, manage, protect, or mitigate recorded and previously unrecorded
archaeological and cultural heritage resources encountered during project construction and operation.
General components of this plan include the following.
all Project plans/drawings will be reviewed to ensure that all construction areas have been examined for
archaeological and cultural resources;
all project plans/drawings will be reviewed on an on-going basis to ensure that all areas affected by the
Project undergo archaeological study as necessary;
all project plans/drawings will be marked to identify any archaeological and cultural resources that
require protection or monitoring;
protective measures will be taken throughout the Project area to avoid and mitigate effects on identified
archaeological resources and culturally sensitive areas; and
if new sites are discovered, all relevant parties will determine the scope of further work or impact
management and will follow the CFP identified below.
Monitoring
A monitor will be responsible for ensuring that the designated archaeological resources areas are avoided,
protected, and monitored.
Monitoring procedures to be followed during the life of the project will include the following:
all areas (identified archaeological sites, possible archaeological sites, and areas of cultural sensitivity)
requiring archaeological monitoring or protection throughout the Project site will be clearly marked on
the development plans;
any identification, recording, removal, and reporting of artifacts or features will be conducted under the
supervision of a qualified archaeologist; and
the exposure and identification of previously unidentified archaeological resources will automatically
result in the implementation of the chance find procedures described below.
Any archaeological investigations of known sites or chance find sites discovered during construction will be
done by a qualified archaeologist.
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contractors;
observer (name of the person recording the information on the site or artefact);
any obvious disturbance to the site (by equipment, animals, etc.); and
photographs.
The qualified archaeologist will assess the significance of the artefact and the location. Mitigation options for
the site or artefact will be drafted by the archaeologist, reviewed and approved by the applicable government
ministry, and an agreement on the approach will be determined by the qualified archaeologist in coordination
with the government ministry.
7) Once the site is assessed and mitigated to the satisfaction of government ministry and the site has
been cleared, construction or operations activities may recommence.
The OHSP will set out the framework under which health and safety on the Project site and to and from the
site will be managed. The roles and responsibilities of the company, manager, superintendents, supervisors
and workers are set out under this plan. The programs that will be outlined under the plan include provisions
for the anticipation, recognition, evaluation and control of physical, chemical, radiological, biological,
ergonomic and psychosocial factors that may exist at the project site and in other project related activities.
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A health and safety training programme will also be implemented at the site. The objectives of this training
programme will be to:
provide appropriate orientation and support to all employees, contractors and visitors onsite so that they
can act in an appropriately safe manner;
inform at risk workers to help attain a positive and safe work environment;
instruct managers and supervisors of duties and responsibilities, including applicable legislation, risk
communication, labour relations and hazard prevention; and
An independent environmental monitor (EM) will be onsite during site clearing and well installation and
testing. The EM will also be onsite during any wastewater disposal activities during hydraulic fracturing, if
conducted. The primary responsibilities of the EM will be to:
Conduct routine environmental monitoring (i.e., biophysical parameters) that will be defined in the EIA
report;
Liase with the contractor and provide daily input into the functioning and adequacy of mitigation
measures, and make recommendation for further measures if necessary; and
Have the authority to stop work in the event of an identified risk to the environment and human health.
Preliminary recommended monitoring will include the following:
Monitoring of source water supplies for well production and hydraulic fracturing. Depending on the
nature and location of the source water, this may include water quality, water quantity and flow and
biomonitoring.
Monitoring of nearby groundwater wells to measure groundwater quantity and quality during well
installation and testing and hydraulic fracturing, if conducted.
Additional monitoring programmes and modifications to those listed above, if required, will be detailed in the
EIA report.
Proposed technical monitoring during well installation is described above.
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“(1) An applicant for a prospecting right, mining right or mining permit must, before the Minister approves the
Environmental Management Programme or environmental management programme in terms of section 39 (4), make the
prescribed financial provision for the rehabilitation or management of negative environmental impacts.
(2) If the holder of a prospecting right, mining right or mining permit fails to rehabilitate or manage, or is unable to
undertake such rehabilitation or to manage any negative impact on the environment, the Minister may, upon written
notice to such holder, use all or part of the financial provision contemplated in subsection (1) to rehabilitate or manage
the negative environmental impact in question.
(3) The holder of a prospecting right, mining right or mining permit must annually assess his or her environmental liability
and increase his or her financial provision to the satisfaction of the Minister.
(4) If the Minister is not satisfied with the assessment and financial provision contemplated in this section, the Minister
may appoint an independent assessor to conduct the assessment and determine the financial provision.
(5) The requirement to maintain and retain the financial provision remains in force until the Minister issues a certificate in
terms of section 43 to such holder, but the Minister may retain such portion of the financial provision as may be required
to rehabilitate the closed mining or prospecting operation in respect of latent or residual environmental impacts.”
Indemnity
Shell will obtain and maintain appropriate insurance against operational risks.
Such insurance will be held for and in relation to operations, against (inter alia) pollution damage, damage to
property, the cost of clean-up operations pursuant to an operational accident, injury to employees and other
persons, in accordance with good oilfield practice and applicable law.
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Follow-up monitoring, maintenance. Planting seeding and fertilizer application (to promote
vegetation establishment)
Contingencies 8,000,000
General
We will set up an independent advisory committee for this project to provide expert steers and advice
on environmental and social impacts (hydraulic fracturing, water, etc) to ensure we reduce and mitigate
impacts as far as possible, take into account people’s concerns and reflect them in the project
design/execution.
This committee will also look particularly into development of the region and provide Shell suggestions
for contributing to economic and social growth over and above its commitments to social investment,
local content of suppliers, contractors and job creation.
We will create citizen advisory groups – made up of a broad cross-section of community leaders and
elected officials – who will work alongside Shell’s management team to identify and provide advice
regarding concerns related to operations, such as truck movements, noise, etc.
Shell will provide full compensation to any landowner with evidenced direct negative impact or loss on
their land as a result of their activities.
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Utilising best practices, we will work with impacted communities and landowners to address how they
can receive direct benefits from UCG development.
We are committed to lead in setting of global best practices and operational standards for
unconventional gas development in the Karoo.
Water
In the Karoo, we commit to analysing and implementing relevant recommendations arising from the US
EPA study currently underway through 2014 into the project.
We also commit to incorporate any new best practices from Provincial and/or States with existing well
design and HF regulatory primacy - especially recognizing these jurisdictions may have similar
geologic, water, etc conditions more consistent with the Karoo.
We commit not to compete with the people of the Karoo for their water needs. Nobody will go short of
fresh water because of our operations; either in the exploration phase, or if there is any further
development.
We will commit to establishing mutually acceptable protocols for the independent monitoring of the
water quality in existing water wells and surface water surrounding our activities.
We will commission an independent study in our licence area of water resources using third party
experts to ensure that we get a better understanding, also providing information that may be useful in
further development of water supplies for the region.
When we develop plans to source water in our operations we will make sure we understand local
community needs and see how we can help meet community shortages in addition to project needs.
We will commit to make available any recovered and unwanted clean water for community use – along
with the transfer of water boreholes which are no longer required by the project.
Prior to drilling any exploration well, local experts will be consulted to identify the most suitable water
source for development areas. We will develop a water plan for each well or pad (multiple wells at same
location) site.
Impacted landowners, the relevant water authorities, local stakeholders and environmental advisors will
be consulted throughout the water source selection process.
We will share our well design and aquifer protection plans which will adopt best practices from around
the world. Best practices include the use of standards and guidelines around multiple barriers and
cementing, casing integrity testing and annuli monitoring.
Any well that is permanently plugged and abandoned will meet best practice internationally
Hydraulic Fracturing
We commit to disclose fracturing fluids at each drilling location, and consult with communities as part of
the development of hydraulic fracturing plans. The information will be available on our website.
We will recycle the flow back water as much as possible and dispose of remaining fluids responsibly.
We will support the development of ‘best-in-class” regulatory standards for hydraulic fracturing in South
Africa.
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Based on the results of the water study, we will ensure a suitable natural physical barrier exists
between target gas-bearing formations and any potable water aquifers used by communities/industry.
Our well design, drilling, completions and operations standards require multiple physical barriers and
procedures to control well operations – including the fracturing process, and prevents the migration of
gas and any fluids into underground drinking water sources.
....................................... .......................................
Signature of applicant Designation
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11.1 Conclusions
Shell propose to conduct an unconventional natural gas exploration drilling programme in the Karoo to
confirm whether tight shale bands located between 1000 and 5000 m below ground contain unconventional
natural gas and, if present, whether this gas can be stimulated to flow. This exploration programme will entail
the drilling of up to 8 deep level exploration boreholes in the 30,000 km² exploration rights application area. It
may be necessary to hydraulically fracture the deep tight-shale gas bearing layer.
The proposed exploration programme has a number of discrete phases namely;
Drilling and casing of deep level boreholes to intersect the targeted shale layer,
Possibly hydraulically fracturing a part of the vertical hole through the shale layer to test whether gas
can be stimulated to flow; and / or
Drilling another vertical well from a nearby location which will have a horizontal section from the base of
the vertical hole that extends into the shale layer and hydraulically fracturing the exploratory horizontal
hole in order to stimulate gas flow for the purposes of gas yield testing.
The technology of hydraulic fracturing has been in use for many years, but only recently has it been rapidly
developed and improved for shale-gas development. It offers promise, should worthwhile natural gas
reserves be proven in the Karoo. However, the volume of recoverable gas stored in Karoo shales is
unknown at present.
The process of deep level exploration drilling and hydraulic fracturing involves fair numbers of traffic and
freight to/from each exploration well, the consumption of substantial quantities of water, and the use of
quantities of materials in the drilling and fracturing process. The traffic and the onsite development could
have marked aesthetic impacts at a local scale, while drilling and hydraulic fracturing takes place, but these
impacts will be of relatively short duration and reversible. The volume of wastewater generated will need to
be addressed in accordance with legislation, but this is not beyond what would be reasonable to manage at
an exploration site of this nature. Potential risk to groundwater resources is mitigated through installation of
well casing and thorough integrity testing of the installed casing prior to commencement of hydraulic
fracturing. The footprint of each exploration well site is roughly 1 ha in extent and will be cleared of
vegetation, stabilised and used for the duration of the exploration drilling activity on the site. There will be up
to eight such sites in each exploration licence application area (30,000 km²). There is flexibility in choosing
each drill site and the EMP document describes criteria that will govern the site selection process. Should
these be applied, the real impact of this land clearance on biota, habitat, heritage resources will be low.
Moreover, with proper siting of drill sites direct impact on landowners can be considerably reduced.
Soekor’s exploration in the 1960s was focused on drilling to find oil, not natural gas. In only one borehole did
gas flow, and then only for one day. Soekor did not make provision for hydraulic fracturing of the wells, which
is the critical technological development that has facilitated gas recovery from ‘tight shale formations’. There
still remains some evidence of gas presence in shale core samples retained in the National core archive
from this early exploration programme.
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In the absence of a license granted for exploration, the potential of these shales to supply economically
recoverable supplies of gas will remain unknown.
In Golder’s opinion, such an approach would be unnecessarily conservative. It would prevent (or delay) the
determination of the resource potential of the Karoo shale gas formations and the benefits that South Africa
could derive from this - in the absence of any material evidence that a small number of exploration wells
could result in an unacceptable level of environmental impact.
While such a determination can only be finalised once the exploration wells have been sited, it is unlikely, in
our view, that the construction of a small number of wells could, in itself, result in environmental damage that
is unacceptable, as long as the siting and management of these wells is controlled through a rigorous,
scientific, EIA process.
Although the Karoo may never see shale-gas development as intense as under way and foreseen in the
Northern Hemisphere, any development in the Karoo would require stringent risk assessment and risk
management strategies, as part of environmental impact assessment, before it could proceed. Such risk
assessment would need to be based on rigorously formulated shale-gas development risk scenarios, and
informed by high quality evidence, especially on the Karoo stratigraphy. The risk scenarios would necessarily
be based on careful specifications for the fracturing and production technologies appropriate to the Karoo
development, and scaled for a feasible development, and not simply transferred from experience elsewhere.
A benefit will be, that by the time such production scenario becomes imminent (which could be nine years
from today), the findings of current research in the Northern Hemisphere will be available to inform the
process.
11.2 Recommendations
It is acknowledged that there are concerns about the risks associated with hydraulic fracturing in shale gas
production well fields. These concerns have typically emerged in relation to shale gas production operations.
The current review of the risk to water resources posed by hydraulic fracturing, being conducted by the
USEPA bears testimony to this. However, Shell’s application does not involve production – it is for
exploration wells only and is of a much smaller scale compared to production phase operations.
While we would support the current applications for exploration rights submitted by Shell, we believe it would
be wise for decision-makers to await and consider the findings of the USEPA review45, before any licensing
of a production well field is considered.
The site selection criteria presented in this report should be applied to best position identified drilling
sites in order to avoid impact to the environment and to landowners where ever possible and, where
this is not possible to minimise the operational impact of the exploration drilling site.
The environmental management plan (EMP) presented in chapter 9 of this document must be updated
for each drilling site to reflect site-specific conditions, drawing upon the findings and recommendations
of the detailed technical studies which will underpin the site-specific environmental impact assessment.
This must happen prior to commencement of site clearing and deep level drilling and hydraulic
fracturing.
An environmental impact assessment (EIA) supported by detailed technical study will need to be
conducted prior to the commencement of drill site establishment, deep level drilling and hydraulic
fracturing.
45
Draft Plan to Study to address the Potential Impacts of Hydraulic Fracturing on Drinking Water Resources, Office of Research and Development US
Environmental Protection Agency, Washington DC, February 7, 2011
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Activity 24 of Notice 1, GN 544, requiring a basic assessment: The transformation of land bigger than
1 000 m2 in size, to residential, retail, commercial, industrial or institutional use …. (Drill sites will be
approximately 100 x 100 m, thus 10 000 sq m).
Activity 4 of Notice 2, GN 545, requiring a full EIA: The construction of facilities or infrastructure for the
refining, extraction or processing of gas, oil or petroleum products with an installed capacity of 50 cubic
meters or more per day… (It is assumed that hydraulic fracturing during exploration drilling could
stimulate 50 cubic meters or more of gas per day).
Thus, an Environmental Impact Assessment for drilling and hydraulic fracturing will be required in
terms of the NEMA.
The EIA will thus need to address these questions during EIA scoping and reflect competent scopes of work
during the EIA scoping phase for inclusion into the EIA Draft Scoping Report which will be available to
stakeholders for comment and review prior to the initiation of detailed specialist study to inform site-specific
impact assessment.
The key questions are listed below for comment by stakeholders. In considering these key questions during
the EIA, applicable laws, regulations, conventions, standards, guidelines and other legal instruments or
guidelines will need to be considered in the assessments.
How can the potential impacts of hydraulic fracturing on groundwater be determined given the limited
groundwater information for the Karoo? What can we learn from how this is done in other parts of the
world?
Will shallow aquifers from which landowners draw domestic and stock water be at risk from hydraulic
fracturing or other project activities in terms of water supply? Will the yield of aquifers be affected by
hydraulic fracturing?
Will shallow aquifers from which landowners draw domestic and stock water be at risk from hydraulic
fracturing or other project activities in terms of water quality in particular because of the chemicals
required for hydraulic fracturing and potentially also through naturally occurring radioactive materials
brought to surface in drill chippings? Will the quality of water from aquifers be affected by hydraulic
fracturing?
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Should one aquifer be contaminated, will the water flow via fractures or pathways created by well holes
to another aquifer cause contamination there too?
Should shallow aquifers be contaminated, can the water be treated and if so, how and where?
Are shallow aquifers at risk from surface storage of waste water contaminated with fracturing
chemicals?
One alternative for the applicant to obtain water for drilling and fracturing purposes is from groundwater
resources; should this option be exercised, what will the impact be to the groundwater resources used
by surrounding landowners?
What monitoring needs to be done to monitor the potential impacts to groundwater resources?
Surface water
Are groundwater sources linked to surface water sources? If so, what is the possibility of contaminated
aquifers polluting surface water sources?
Are surface water resources at risk from surface storage of waste water contaminated with fracturing
chemicals?
Will horizontal drilling below surface water resources, including wetlands, affect these surface water
resources through for example subsidence, fractures opening etc?
What monitoring needs to be done to monitor the potential impacts to surface water resources?
Air quality
What quantities of shale gas will be released per well during exploration?
Will air quality be negatively affected by the release of shale gas during exploration?
Will air quality be negatively affected by the flaring of gas during exploration?
What gaseous emissions and volumes of gaseous emissions will be released by exploration activities
including vehicles, release and/or flaring of gas, chemicals in waste water vapourising, etc
Will air pollutants settle on vegetation used by livestock, homes or farming activities and if so, what will
be the consequences of this?
What will be the contribution to greenhouse gas emissions as a result of this project?
What monitoring needs to be done to monitor the potential impacts to air quality?
Will any archaeological and historic sites be disturbed and if so, what will be the impacts of this?
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What will be done when there are ‘chance finds’ during land clearing or drilling?
What mitigation measures are available to manage impacts to archaeological, paleontological and
historical sites?
What monitoring needs to be done to monitor the potential impacts to archaeological, paleontological
and historical sites?
Astronomy
Drill sites for exploration will operate 24 hours per day. What light at night will be needed, and how far
will this light project?
Will light at night as a result of exploration affect the efficiency of the SALT and the proposed MeerKAT
telescopes?
What monitoring needs to be done to monitor the potential impacts of light at night?
Soils
Will high-potential agricultural soils be sterilized by establishment of drill sites, access roads and other
project infrastructure?
Will hygromorphic soils be disturbed by establishment of drill sites, access roads and other project
infrastructure?
What is the existing land use, land capability and soil types at site?
What is the likelihood of erosion from drill sites, access roads and other infrastructure?
Will soils be affected as a result of the storage of chemicals, machinery and other equipment on drill
sites, and as a result of the storage of waste water containing fracturing chemicals or drill cuttings that
may be radio-active on site?
Seismicity
Will the depth of proposed drilling have effects on seismicity in the Karoo?
Will the high pressures used in hydraulic fracturing have effects on seismicity in the Karoo?
What monitoring needs to be done to monitor the potential impacts of drilling on seismicity?
Waste
How and where will waste classified as hazardous be disposed of? Are there sufficient licensed
hazardous waste sites to do so?
How and where will other wastes be disposed of? Are there sufficient licensed waste sites to do so?
How will wastes be transported and what are the risks of spillage and contamination off the drill sites?
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What mitigation measures are available to manage impacts of different types of waste?
What monitoring needs to be done to monitor the potential impacts of different types of waste?
How significant will land clearing be in terms of impacts on different vegetation types?
Will any Red Data Plants, medicinal plants, threatened taxa or locally protected taxa be affected?
What mitigation measures are available to manage impacts to different vegetation types and Red Data
species?
What monitoring needs to be done to monitor the potential impacts to different vegetation types and
Red Data species?
Animals (Fauna)
What animals (mammals, birds, reptiles, amphibians, insects, arachnids etc) are likely to be affected by
land clearing and how?
Are any animals likely to affect drilling activities and cause risk of failure of the operations?
What mitigation measures are available to manage impacts to different animals and Red Data species?
What monitoring needs to be done to monitor the potential impacts to different animals and Red Data
species?
Biodiversity
Will the high biodiversity in the Karoo be affected by land clearing, drill site operations, waste water
storage and other project activities?
Rehabilitation
Given the low ecological resilience of Karoo ecosystems, what measures will be taken to rehabilitate
disturbed areas?
What is the likelihood of disturbed areas recovering, and how long will it take?
What monitoring needs to be done to monitor rehabilitation? For how long should that monitoring be
done and who will be responsible for it once the developer has left the sites.
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What visual impacts will be caused during the day and at night by the proposed gas exploration
activities, and to whom?
Will the landscape quality, quietude and sense of place be disturbed and if so, over what distances?
Noise
What noise impacts will be caused during the day and at night by the proposed gas exploration
activities, and to whom?
Who are the noise receptors in proximity to each site and what will be the noise impact of proposed
activities be on these receptors?
Will the landscape quality, quietness and sense of place be disturbed and if so, over what distances?
What noise impacts will be caused by vehicles transporting equipment and materials to and from the
site?
Health
What is the likelihood of health impacts to humans, their stock or wild animals as a result of any of the
exploration activities?
What types of health impacts can be caused by chemicals used for hydraulic fracturing, potentially
radio-active drill cuttings and other project inputs and outputs?
Will there be an increased likelihood of dreaded diseases like cancer or contamination by radio-activity
in project areas?
Property value
Will the gas exploration project cause a negative impact to property values?
Would home owners and landowners have redress should their property values be affected?
How and where will construction workers be accommodated and for how long?
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How and where will drill site workers be accommodated and for how long?
What will be the safety and security impacts to surrounding landowners as a result of construction
workers?
What will be the safety and security impacts to surrounding landowners as a result of drill site workers?
What mitigation measures are available to manage impacts to safety and security?
How will provincial, regional and local roads be impacted as a result of increased traffic? Who will
maintain the roads?
Will there be an increased nuisance to surrounding landowners and others as a result of increased
traffic?
Socio-economic issues
Will the proposed gas exploration cause negative impacts to the economy of the Karoo, e.g. income
earned from sheep farming, other agricultural practices, tourism etc?
How will informal settlement and its resulting social ills be avoided?
What are the potential socio-economic benefits of this project at national, provincial and local scales?
Who will benefit and how?
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Name of company:
Insert date
Date:
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