OPEC | Pakistan

The United Arab Emirates’ shocking decision to leave Saudi-dominated Opec was not targeted at anyone, the UAE minister who heads the state oil giant said on Monday. The move aimed at focusing on national priorities and the UAE economy, said Sultan Al Jaber, who is CEO of state-owned Abu Dhabi National Oil Company (Adnoc) and the country’s industry and advanced technology minister. The decision, which took effect on Friday, followed months of tensions with neighbouring Saudi Arabia, the world’s top oil exporter and de facto leader of Opec, over foreign policy, oil output and the Middle East war, which has strained Gulf economies. A close partnership between the Gulf nations has turned into an open rivalry since a public falling out in December over Yemen, but the minister said the decision to withdraw from the oil cartel was not aimed at any nation. “The UAE’s sovereign decision to reposition itself within the global energy landscape, and to exit Opec and Opec+, is not a decision directed against anyone,” he t...

Opec+ agreed on Sunday on a modest oil output hike for June, an increase that will remain largely on paper as long as the US-Israeli war on Iran continues to disrupt Gulf oil supplies through the Strait of Hormuz. Seven Opec+ countries will raise oil output targets by 188,000 barrels per day in June, the third consecutive monthly increase, Opec+ said in a statement after an online meeting. The increase is the same as that agreed for May minus the share of the United Arab Emirates (UAE), which left the group on May 1. The move is designed to show the group is ready to raise supplies once the war stops and signals that Opec+ is pressing on with a business-as-usual approach despite the departure of the UAE from Opec+, sources associated with the alliance and analysts said. Opec+ is sending a two-layer message to the market: continuity despite the UAE’s exit, and control despite limited physical impact, said Jorge Leon, an analyst at Rystad and former Opec official. While output is increasing on paper, the real i...

The United Arab Emirates said on Tuesday it was quitting Opec, dealing a heavy blow to the oil producers’ group as an unprecedented energy crisis triggered by the Iran war exposes discord among Gulf nations. The stunning loss of the UAE, a longstanding Opec member, could create disarray and weaken the group, which has usually sought to show a united front despite internal disagreements over a range of issues from geopolitics to production quotas. UAE Energy Minister Suhail Mohamed al-Mazrouei told Reuters the decision was taken after a careful look at the regional power’s energy strategies. Asked whether the UAE consulted with Saudi Arabia, he said the UAE did not raise the issue with any other country. “This is a policy decision, it has been done after a careful look at current and future policies related to level of production,” said the energy minister. Mazrouei said the UAE’s move, in which it will leave Opec and Opec+ as of May 1, would not have a huge impact on the market because of the constraints in t...