Dominant Exploration Landholding

Growing Footprint in the Heart of the Permian Age Coal Fields

Granted Exploration Rights (ER) 270,271, 272  with ER 320 Pending

The Department of Mineral Resources and The Petroleum Agency of South Africa granted Afro Energy Exploration Rights (ER) 270, 271 and 272 in January of 2020.  These granted rights added a further 3,577km2 to the existing exploration portfolio bringing the total granted ER area to 4,604km2.   The ER area is strategically positioned and benefits from:

  • Existing infrastructure
    Power generation, gas pipelines, high voltage transmission lines, road and rail. Networks that connect to Johannesburg / Pretoria, the cities of the Western Cape and KwaZulu Natal and the rest of the South Africa and neighbouring  countries it supplies with power.
  • Very high energy demand
    Gas for general power generation, industrial and mining applications.

The Project could add a further 2,394km2 via pending ER 320.  Kinetiko’s prospective landholding offers a great deal of exploration upside for the project, underpinned by increasing energy demands.

ER 270

ER 270 covers an area of  2,560km2 and extends south into moderately deeper formations and structures in the Karoo Basin. Like ER38,  higher gas pressures related to depth and size of formations will be considered during exploration. Like ER38 the Lilly Gas Pipeline crosses ER270 along with power transmission infrastructure. 

ER 271

ER 271 is the smallest granted, and covers 260km2. It is the land bridge that connects ER38 to ER56.  Historical data from coal exploration indicates that the geology is contiguous.

This right abuts the Majuba power station and its failed coal mining operation.  The mining operation ceased as the coal deposit was very gassy and difficult to mine due to the absence of thick coal strata at surface. An underground coal gasification trial was also attempted but this was not commercially viable and had technical and quality output issues.

ER 272

ER 272 covers 757km2 and is located separately to the north of the other granted exploration rights.  The area abuts  Sasol’s  Secunda coal and gas to liquids plant, a massive industrial facility, and consumer of energy and raw materials. This area has been the subject of historical exploration for economic coal deposits. The data indicated that the geology is conducive to coal bed methane and gas in sandstone. Like ER38 and ER270, the Lilly Gas Pipeline crosses ER272 along with power transmission infrastructure.

ER 320 – PENDING 

ER 320 application covers 2,394km2 and extends west into the Karoo Basin. Historical data is similar to surrounding ERs and compliant regional geology. With respect to infrastructure, it is adjacent to Lilly Gas Pipeline, Standerton power station and HV power transmission lines.