South African President Cyril Ramaphosa has assented to the Upstream Petroleum Resources Development bill, aimed at the regulation of the country's oil production, the presidency of South Africa said in a press release on Thursday.
"The bill provides for the orderly development of petroleum resources and equitable access to and sustainable development of the petroleum resources," the press release read.
The legislation recognizes that South Africa's petroleum resources belong to the nation and that the state is the guardian of these non-renewable natural resources, which must contribute to South Africa's social and economic development, the presidency added.
The new law provides for recruitment of local specialists and skills development in oil production projects. It also requires the maintenance of stable regulations and security of tenure at the state level. The new law also separates petroleum and mineral provisions to create a favorable environment for attracting investment in the sphere.