South Africa's Constitutional Court on Friday blocked offshore exploration led by Shell along the country's pristine Wild Coast, a setback for the oil major after years of legal challenges by local communities and environmentalists.
The ruling is the latest outcome in a series of court cases that have dampened investor appetite and delayed exploration offshore South Africa.
The majority decision by South Africa's highest court overturned a 2024 judgment by the Supreme Court of Appeal, which handed a lifeline to Shell and Impact Africa in their quest to conduct seismic surveys off the east coast as part of an exploration right granted in 2014.
"The order of the Supreme Court of Appeal is set aside," Justice Jody Kollapen said.
Shell, which is also looking to explore in South Africa's west coast Orange Basin, said it noted the ruling and remained committed to responsible offshore exploration, meaningful stakeholder engagement and environmental stewardship.
