CAPE TOWN, Feb 14 (BERNAMA-NNN-SA NEWS) -- Shale gas exploration in South Africa's Karoo basin can be a game changer for the region, as well as for the South African economy, says President Jacob Zuma.

"The development of petroleum, especially shale gas, will be a game changer for the Karoo region and the South African economy," President Zuma in his sixth State of the Nation Address to joint session of Parliament here Thursday.

"Having evaluated the risks and opportunities, the final regulations will be released soon and will be followed by the processing and granting of licences."

Speaking at the Mining Indaba (conference) earlier this month, Mineral Resources Minister Susan Shabangu announced that the country will soon start fracking (a method of gas extraction) in the Karoo. Her department has published the technical regulations for the development of shale gas for public comment.

Zuma said that construction of new power stations, namely Medupi in Limpopo Province and Kusile in Mpumalanga Province, as well as Ingula near Ladysmith in KwaZulu-Natal Province, was continuing. "We continue to explore other sources of energy, in line with the Integrated Resource Plan for Energy," said the President.

The Integrated Resource Plan (IRP 2010), which is administered by the Department of Energy (DoE), is a 20-year projection on electricity supply and demand. The government is looking at the various aspects involved in the rolling out of nuclear energy, says the DoE.

South Africa's nuclear energy policy was approved in 2008 and is further enhanced by the approval of the IRP 2010, which stipulates that nuclear will form part of the country's energy mix to a level of 9,600 megawatts (MW).

-- BERNAMA-NNN-SA NEWS