UAE Announces Departure from OPEC Effective May 1st
United Arab Emirates’ Minister of Energy Suhail Al Mazrouei holds a press conference after the 33rd OPEC (Organisation of the Petroleum Exporting Countries) and non-OPEC ministerial meeting, which was held to evaluate the market conditions and to discuss the production amount to be applied as of November, in Vienna, Austria on October 05, 2022.
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The Organization of the Petroleum Exporting Countries is set to lose one of its key members, as the United Arab Emirates plans to withdraw from the group on May 1. The move marks a significant shift for the alliance, which coordinates oil production among many of the world’s largest exporters, particularly in the Middle East.
The announcement follows weeks of escalating tensions in the region. The UAE has faced repeated missile and drone strikes attributed to Iran, another OPEC member. In addition, attacks on vessels moving through the Strait of Hormuz have disrupted oil shipments, limiting the UAE’s ability to export crude and putting pressure on its economy.
For decades, the UAE has been an important voice within OPEC. It ranked as the third-largest producer in the group as of February, behind Saudi Arabia and Iraq. Its involvement dates back to 1967, when Abu Dhabi joined the organization not long after its founding.
Officials in the UAE say the decision to leave came after a thorough review of the country’s production strategy and long-term goals. Energy Minister Suhail Al Mazrouei explained that the timing was chosen to minimize disruption for other member nations.
He noted that the departure is intended to have as little impact as possible on oil prices and on relationships within OPEC and its broader OPEC+ partnership. The UAE is aiming to expand its production capacity to five million barrels per day by 2027 and wants greater independence to pursue that target.
Mazrouei emphasized that the move is not tied to disagreements over production cuts led by Saudi Arabia, nor is it directed at any fellow member state. He stressed that the UAE maintains strong respect for the group’s leadership and values its longstanding cooperation.
Despite stepping away from OPEC, the UAE says it remains committed to supporting stability in global energy markets. The country plans to continue working with both producers and consumers while gaining more flexibility to respond to changing market conditions. Officials also expressed appreciation for OPEC and OPEC+ efforts and extended their best wishes for the organization’s continued success.
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