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News Wire / economy

UAE Invests $150B To Expand Oil Spare Capacity

developing BBC World Service Abu Dhabi 14d12d Impact 10

The United Arab Emirates has been increasing its oil production capacity despite existing OPEC production limits. Professor Konstantin Semenov of the Financial University noted that current export volumes from the UAE remain limited due to the closure of the strait. The UAE is communicating that it will add capacity as soon as the maritime passage is accessible, though the timing of the reopening remains unknown. Analysts noted that for every 10 liters coming from the cartel, a portion originates from the Emirates. The decision comes amid rising prices influenced by Donald Trump. Analysts suggest this could lead to the end of the OPEC Plus agreement, posing a challenge to Russia as an OPEC Plus partner. The move comes amid shifting political loyalties in regions like Yemen. The United Arab Emirates maintains the world's second-largest spare oil capacity, trailing only Saudi Arabia.

The United Arab Emirates has been increasing its oil production capacity despite existing OPEC production limits. Professor Konstantin Semenov of the Financial University noted that current export volumes from the UAE remain limited due to the closure of the strait. The UAE is communicating that it will add capacity as soon as the maritime passage is accessible, though the timing of the reopening remains unknown. Analysts noted that for every 10 liters coming from the cartel, a portion originates from the Emirates. The decision comes amid rising prices influenced by Donald Trump. Analysts suggest this could lead to the end of the OPEC Plus agreement, posing a challenge to Russia as an OPEC Plus partner. The move comes amid shifting political loyalties in regions like Yemen. The United Arab Emirates maintains the world's second-largest spare oil capacity, trailing only Saudi Arabia. Gulf oil shipments, which account for one-fifth of global oil flow, are currently being restricted by an Iranian blockade of the Strait of Hormuz. This blockade affects shipments passing the UAE. The United Arab Emirates has spent approximately $150 billion to increase its oil spare capacity by about 40%. The move signals the UAE's intent to operate without production constraints.

Topics

oil production OPEC

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Sources · 7 independent

BBC World Service

“The UAE has been building up its oil production capacity, but OPEC limits restrict the amount of oil it can produce in export.”

BBC WS backup

“they've been allowed a little bit of wiggle room to exceed quotas but in fact they're now saying we want to increase production”

Al Jazeera Arabic

“الموقف الامراتي الأخير بالنزح من أوبك وأوبك بلاس مادللت التوقيت وأيضاً تأثير سلام هذه خطوة كبيرة جداً في مجال أسواق النفط العالمية”

Al Jazeera Arabic Voice

“الأسبوع الماضي نعود لضيفنا بشر الحلب محل الأسواق النفتوى الطاقة ربما هذا الموقف الامراتي الأخير بالنسحة من أوبك و أوبك بلاس ما دلالت التوقيت”

Al Jazeera Arabic

“the withdrawal of the United Arab Emirates, which practically begins in May next month, is a result of several factors... this step would create a kind of reaction in the markets”

Al Jazeera Arabic

“the withdrawal of the United Arab Emirates, which practically begins in May next month”

Al Jazeera Arabic Voice

“انسحاب دولة الإمارات الذي يبدأ عملياً من أيار مايو شهر القادم هو نتيجة عدة عوامل”

BBC Radio 4

“The United Arab Emirates says it's leaving the groups of oil-producing countries, OPEC and OPEC+, after six decades. The UAE's energy minister said the move would provide more flexibility.”

Sky News Arabia Radio

“the UAE will continue its responsible role through increasing production in a gradual and studied manner”

Sky News Arabia Radio

“The United Arab Emirates announced its decision to exit the OPEC and OPEC Plus alliance, starting from May 1, 2026.”

Al Jazeera Arabic

“the UAE today says that it will be ready in case the Hormuz Strait opens to raise its production and it has the ability to raise its production in order to play an essential role in calming the markets”

Al Jazeera Arabic Voice

“the UAE today says that it will be ready, if the Hormuz Strait opens, to raise its production in order to play an essential role in calming the markets”

Skai 100.3

“με την αποχώρησης από τον ΟΥΕ, από τον Οπέκ, σηματοδοτούν και τα είπαν και όλα, το ότι θέλουν να αυξήσουν την παραγωγή... μπορούν να αυξήσουν κατά περίπου 2 κατομμύρα βαρέλια τη μέρα την παραγωγή τους”

Al Jazeera Arabic Voice

“تم رفع هذه الكوطة ولكنها لم تتماشه مع قيمة الاستثمارات الإماراتية برفع الإنتاج اليوم هذه الخطوة تعطي الإمارات المزيد من الحرية في إمداد الأسواق”

Al Jazeera Arabic

“نتكلم اليوم عن قرابة 700 مليون برميل الذي فقدوا من الأسواق على مدى الشهرين الماضيين”

BBC Arabic

“the UAE's withdrawal from OPEC and OPEC Plus will begin at the start of next month and the decision is in line with the country's long-term strategic vision”

RTS La 1ere

“Les Émirats arabes unis quittent le PEP, l'Organisation des pays exportateurs de pétrole, On se surprise.”

LBC London

“a dramatic move by the UAE leaving the OPEC oil cartel”

BBC Arabic

“اليوم الإمارات تنسحب من أوبك بلس بدأ من مطلع الشهر المقبل وتقول إن القرار يتماشى مع رؤية استراتيجية الدولة طويلة الأمد”

WDR 5

“Die Vereinigten Arabischen Emirate treten am Freitag aus dem Ölkartell OPEC aus. Ein Grund ist offenbar, dass die Emirate mehr Öl produzieren wollen, als die OPEC für das Land festzuleiten.”

BR24

“die Vereinigten Arabischen Emirate wollen aus der Organisation austreten.”

SRF 4 News

“Die Vereinigten Arabischen Emirate treten aus dem Erdölkorn-Kartell OPEC aus.”

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