South African Court Halts Shell, TotalEnergies Offshore Exploration in Landmark Environmental Ruling

Cape Town | August 15, 2025 — In a significant legal development, the Western Cape High Court has revoked the environmental authorisation granted to TotalEnergies and Shell for offshore oil exploration in Block 5/6/7, situated between Cape Town and Cape Agulhas. The court's decision mandates a comprehensive reassessment of the project's environmental and social implications.

Judge Nobahle Mangcu-Lockwood, delivering the judgment on 13 August 2025, identified several critical deficiencies in the initial environmental assessments. The court noted the failure to adequately evaluate the potential socio-economic impacts of oil spills and the implications of climate change on the proposed activities. Specifically, the judgment states:

“[Total] must be afforded opportunity to submit new or amended assessments… to cure the deficiencies identified.”

This ruling underscores the necessity for thorough environmental evaluations and public participation in projects with significant ecological and community impacts.

In July 2024, TotalEnergies announced its decision to exit offshore exploration in South Africa, including Block 5/6/7, where it held a 40% interest. The company cited the absence of a viable gas market and the economic challenges associated with developing its gas discoveries, Brulpadda and Luiperd, as key factors influencing this decision.

The legal challenge was initiated by two environmental advocacy groups,  The Green Connection and Natural Justice, who argued that the original approval process lacked comprehensive assessments and meaningful community engagement. Their efforts have been hailed as a victory for coastal communities and environmental protection.

In response to the ruling, TotalEnergies acknowledged the court's decision and indicated its intention to comply with the required procedures

This decision marks a pivotal moment in South Africa's approach to balancing energy development with environmental stewardship and community rights.