Pag belongs to the north-Dalmatian archipelago and it extends northwest-southeast along the coast, forming the Velebit channel. Pag is unique for its scarce vegetation and as such, represents the biggest empire of rocky ground intersected by long dry stone walls on the Adriatic. The island has an area of 305 km² and the coastline is 302.47 km. It is around 60 km long (from northwest to southeast), and between 2 and 10 km wide.

The southwestern coast of the island is low (the Pag Bay with the large Caska Cove), and the north-western is steep and high: (Stara Novalja Bay). Most of the island is rocky; smaller areas are covered with Mediterranean shrubs. The southeast of the island contains karst lakes Velo Blato and Malo Blato. The island's highest peak is Sveti Vid (St. Vitus, 348 m).

From the southern part of the island a 300m-long arch bridge connects the island to the mainland. From the northern part of the island the Prizna - Žigljen ferry connects the island to the mainland. Larger settlements on the island Pag are: Pag, Novalja, Stara Novalja, Lun and Caska. Southwest coast of the island is flat, and northeast coast is steep and high with Pag bay (with huge bay Caska) and Stara Novalja bay located here.

Climate on the island is Meditarranean, the biggest part of the island is rocky ground, while smaller part is covered by macchia. In the vallies and fields (Novaljsko, Povljansko, Vlašicko and Dinjsko) wines, vegetables and fruits are cultivated. The area of penninsula Luna is mostly planted with olive trees, so the manufacturing of oil is well developed. Inhabitants also breed sheeps, and make famous Pag cheese.
The tradition on the island is also making of the Pag lace, far knonb. Beside these, the island is also very famous by salt production. Main towns on the island are linked by road which is the extenstion of the Adriatic highway. Pag is linked to the mainland by bridge as well as ferry lines. Novalja is the main tourist centre on the island of Pag, with a long tradition in tourism. The island of Pag is the fifth largest island in the Adriatic Sea and its well-indented coastline is the longest in the Adriatic. It is 270 kilometres long, full of bays, coves, capes and beaches.
Zrce is a long, streched, pebbled beach, close to the town of Novalja, situated in the north-eastern part of the island of Pag and the beach is a cove opposite the town of Pag. The beach is urban and well visited by the local population and the tourists.
Zrce beach can be reached by car or by shuttle bus which operates regularly from Novalja.