UAE Pursues Independent Energy Strategy Outside OPEC
The United Arab Emirates has decided to develop its own production strategy, moving away from the collective OPEC framework. The UAE has been a key member of OPEC since 1967, ranking third in production volume. Additionally, the country uses a pipeline to transport crude to the Gulf of Oman to avoid congestion in the Strait of Hormuz. The UAE is currently the third-largest producer in OPEC, following Saudi Arabia and Iraq. The nation utilizes ship-to-ship delivery methods for products from fields like the Umm Shaif offshore oil field to circumvent Iranian and U.S. The UAE's move follows a period of declining international oil prices since 2014 and OPEC's efforts to stabilize the market through production adjustments. The UAE's policy shift has demonstration effects and introduces new uncertainties into the global energy market.
Topics
Developing
- 862d Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore.
- 862d Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur.
- 862d Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est.
- 862d Sed ut perspiciatis unde omnis iste natus error sit voluptatem accusantium doloremque laudantium.
Sources · 7 independent
“it is clearly a decision that will allow the Emirates to decide, to make decisions autonomously on production. The consequences... we will discover them in the next few days.”
“The UAE has been building up its oil production capacity. But opaque. Oil exporters, and the idea was that they would bring stability.”
“يومياً ثم الإمارات في المركز الثالث ب3 مليون و400 ألف برميل يومياً”
“the UAE will continue its responsible role through increasing production in a gradual and studied manner”
“the UAE is in third place with 3.4 million barrels per day and... Kuwait comes in fourth place with three million and one hundred thousand barrels per day”
“لذلك ستواصل الإمارات دورها المسؤول من خلال زيادة الانتاج بشكل انتدريجي ومدروس”
“the UAE will continue its responsible role by increasing production gradually and carefully... the decision of the UAE to leave OPEC Plus is in line with the development of the sector based on long-term market fundamentals”
“the withdrawal of the United Arab Emirates, which practically begins in May next month”
“we are representing the various interests of these OPEC countries, how does the UAE now do that alone? So I think in the past it was a matter of how do we come out with this decision and risk totally upending oil prices and the UAE has even said that this was a really opportune time to come out and kind of announce this break from the group”
“the relationship has induced the year or two years that the UAE is going to exit. I think the justification is the war and now it's the time for them to go at it alone.”
“the justification is the war and now it's the time for them to go at it alone.”
“the UAE is limited to producing about 3 million barrels of oil a day, and it has been... Thank you.”
Unlock the full story
Get a Pro subscription or above to see the live story progression and the full list of independent sources confirming each event as they happen.
Log in to upgrade