Tanzania: Zanzibar launches its first round of oil and gas licenses

Zanzibar has inaugurated its first bidding process for eight maritime zones off the semi-autonomous island region of Tanzania.

On March 20, 2024, the Ministry of Blue Economy and Fisheries officially launched a tender for blocks covering an area of 31,883 km², located east of the islands of Unguja and Pemba.

These blocks, located at water depths ranging from 500 to 3,000 metres, represent a considerable frontier area and are part of a five-year exploration strategy.

The blocks offered as part of this license cycle include block 1-A, block 1-B, block 1-C, block 1-D, block 1-E, block 1-F, block 1-G and block 1-H.

The Ministry of the Blue Economy and Fisheries delineated these tender areas on the basis of a prospective assessment, benefiting from promising results obtained in collaboration with the exclusive data provider, SLB. A total of 10,145 linear kilometers of 2D seismic data are available for these blocks.

"On behalf of the Revolutionary Government of Zanzibar, I am delighted to welcome investors to take advantage of the vast opportunities present in our country," said Hussein Ali Mwinyi, President of Zanzibar and Chairman of the Revolutionary Council.

Zanzibar is committed to building a resilient economy for the benefit of its people through the sustainable development of its offshore oil resources. This political will to stimulate investment is accompanied by new fiscal conditions aimed at improving the environment for investors in the oil and gas sector, including constitutional protection for private investment.

"I want to reassure exploration and production companies as well as investors that our doors are open."

"We look forward to your engagement with the Ministry of Blue Economy and Fisheries and with our regulatory body, the Zanzibar Petroleum Regulatory Authority," said Shaaban Ali Othman, Minister of Blue Economy and Fisheries.

"To ensure that its statutory functions are carried out in a safe, sound and environmentally good manner, and ultimately to provide maximum benefits to Zanzibaris, the Zanzibar Petroleum Regulatory Authority (ZPRA) is committed to maintaining an investor-friendly environment," added Adam Abdulla Makame, ZPRA Managing Director.