INTERNATIONAL oil and gas companies and various stakeholders positively respomded for the first round of Zanzibar block allocations where bids were invited last March, the government has declared.

Othman Shabani, the Blue Economy and Fisheries minister, unveiled this move at a media briefing on  the bidding process here over the weekend, urging international oil and gas companies to participate in this round, where acceptance of bid proposals  ends on December 16.

Promoting the blocks, Zanzibar has participated in three international oil and gas sector conferences, respectively in Britain, Norway and the United States.

The eight blocks available will be promoted from the first round in two international conferences scheduled for October and November in South Africa to attract investors, he affirmed.

Invitation for onshore oil and natural gas blocks followed the completion of an assessment on the area formerly known as the Pemba block, returned to the government from AK Gas following expiration of its license.

It has since been divided into two blocks: Z1 covering 6,572 square kilometers, and Z2 covering 6,242 square kilometers, he said, affirming that these blocks are now open for investment.

International oil and natural gas exploration plus extraction companies were invited to submit proposals to initiate discussions with the government, eventually signing contracts for either of the two blocks, he said.

Designating the blocks through negotiations aligns witho the government’s strategic vision to attract investment in oil and natural gas activities, with expectation to develop these resources sustainably,he asserted.

He defemded the negotiation method as aligned with the Zanzibar Development Vision 2050, along with Article 175 of the CCM Election Manifesto for 2020-2025, the Zanzibar Development Plan (ZADEP 2021-2026) and the Blue Economy Policy set out in 2022.

All these guidelines prefigure exploration of oil and natural gas in Zanzibar in collaboration with international oil and gas companies, he said, urgimg global firms to show up for an opportunity to invest in the sector.

This investment environment is attractive amd Zanzibar has a strong record of stability and good governance, the minister asserted, stressning that the Zanzibar authorities are ready to collaborate with all investors for mutual benefits.

He set out an update on the first round of offshore block allocations launched on March 20, stretching to eight, noting that after the launch, the government conducted a major campaign to promote these blocks.

This is essential to attract international oil and gas companies to participate in the round, while addressing challenges faced by companies in preparing proposals for the round, he added.