South Africa: Constitutional Court overturns Shell and Impact Africa oil exploration rights off the Wild Coast

South Africa's Constitutional Court has revoked the oil and gas exploration rights held by Shell and South African company Impact Africa off the Wild Coast in the Eastern Cape province. The ruling puts an end to both companies' fossil fuel prospecting projects in this coastal area. Advocate Nkosi Mwelo Nonkonyana, Eastern Cape provincial whip at the National Council of Provinces (NCOP), hailed the ruling as a "vindication" of listening to local communities despite the country's economic development needs. "The ruling gives communities a voice and decision-making power on issues likely to affect their lives and those of future generations, such as mining activities. Multinationals must learn from this judgment that they can no longer further fracture our country without reinvesting in the affected communities," he stated. Adv Nonkonyana is leading the delegation of permanent Eastern Cape members at the NCOP this week as part of the annual Provincial Week dedicated to infrastructure project implementation. Split between the Joe Gqabi and Chris Hani district municipalities, the delegation aims for a better track record than last year—which was hindered by the "construction mafia"—and will monitor the plight of the Mthatha West flood victims, with the announced support of provincial Premier Oscar Mabuyane. The ruling deprives Shell and Impact Africa of any legal basis to explore this biodiversity-rich coast, which has been at the center of litigation since the controversial seismic survey launched by Shell in 2021. It confirms the growing weight of environmental law and community consultation in South Africa's mining regime, as several major oil companies reassess their African offshore bets amid price volatility and investors' ESG demands.