CSA's sorry as Gibbs is given boot.
Cricket South Africa had earlier issued a press release stating that 36-year-old batsman Gibbs' contract had been cancelled.
But CSA officials have been forced to apologise two days after the original release and have also issued a joint statement with former Glamorgan and Yorkshire batsman Gibbs.
The statement read: "Following amicable discussions, and in the best interests of South African cricket, CSA and Gibbs have announced that they have agreed to terminate Gibbs' National Cricketer Contract by mutual consent."
"It has been agreed that this is the best way forward for both parties," said CSA CEO Gerald Majola.
Herschelle Gibbs "On behalf of CSA I would like to wish Herschelle all the best for his future and to thank him for the contribution he has made to the successes of the Proteas over an extended period of time.
"Herschelle represented our country for 14 years with distinction and I don't think any cricket lover will ever forget the magnificent innings he played in the famous 438 game against Australia."
Gibbs, who remains eligible for selection for South Africa, has asked the CSA to issue a "No Objection Certificate" (NOC) to allow him to play in a Twenty20 competition in New Zealand later in December, which the CSA has agreed to do so.
Gibbs said: "I'd like to thank CSA, my team-mates and especially the public for the unbelievable support over the years.
"The fans have been incredible and they all rock.
"I look forward to entertaining everyone on the world stage."