UAE to exit Opec and Opec+ from 1 May.


The United Arab Emirates announced on Tuesday that it is exiting the Organization of the Petroleum Exporting Countries (Opec) and Opec+ with effect from 1 May.

3rd Joint IEA-IEF-OPEC Technical Meeting

Source: Sharecast

The UAE’s energy ministry said in a statement: "This decision follows a comprehensive review of the UAE’s production policy and its current and future capacity and is based on our national interest and our commitment to contributing effectively to meeting the market’s pressing needs."

It said the decision follows decades of constructive cooperation, noting that the UAE joined Opec in 1967 through the Emirate of Abu Dhabi and continued its membership following the formation of the UAE in 1971.

"Throughout this period, the UAE has played an active role in supporting global oil market stability and strengthening dialogue among producing nations," it said.

The energy ministry said the time had come to focus its efforts "on what our national interest dictates and our commitment to our investors, customers, partners and global energy markets".

Axel Rudolph, chief technical analyst at IG, said the UAE' s exit "could undermine the group’s cohesion, creating internal disarray and weakening Opec+'s ability to present a unified stance on production and geopolitical issues".

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