NEWSROOM (ADV) – Zanzibar has signed a production sharing agreement (PSA) with the United Arab Emirates-based RAKGAS Company to pave the way for oil and gas exploration activities in the Indian Ocean archipelago.
The production sharing agreement inked yesterday is the second step after the sealing of an initial MoU back in 2011, and follows the enactment of enabling legislation.
Zanzibar’s President Dr Ali Mohamed Shein with Ras Al Khaimah leader Sheikh Saud Bin Saqr Al Qasimi as Zanzibar Land, Water, Environment and Settlements minister Salama Aboud Talib, Zanzibar Petroleum Development Corporation director general Mwanamkaa Abdulrahman Mohammed and RakGas CEO Kamal Mohammed Ataya sign a natural gas production sharing agreement at State House in Zanzibar yesterday.
The signing ceremony at Zanzibar’s State House on Tuesday evening was witnessed by Isles president Ali Mohammed Shein and Sheikh Said Bob Saqr Al-Qasimi, the ruler of Ras Al Khaima – one of the seven emirates forming the United Arab Emirates (UAE).
The agreement covers the Pemba-Zanzibar block and involves exploration, development, production and ultimate sharing of benefits derived from resources found.
© Bur-csa – A.H / Oumaima Mourtada – African Daily Voice (ADV)