The United Arab Emirates announced on Tuesday that it is leaving the Organization of the Petroleum Exporting Countries (OPEC) starting May 1, citing a desire to focus on domestic production as the conflict in the region takes its toll.
The UAE’s official WAM news agency reported that the decision “reflects the UAE’s long-term strategic and economic vision and evolving energy profile, including accelerated investment in domestic energy production.”
The report noted “disruptions” in the Gulf and the Strait of Hormuz, but said “underlying trends point to sustained growth in global energy demand over the medium to long term,” adding that Abu Dhabi is focused on prioritizing “stability, affordability, and sustainability.”
The UAE joined OPEC in 1967 and is one of the world’s top energy producers, ranking among the top 10 in global oil production and holding the seventh-largest natural gas reserves, according to the US International Trade Administration.
The UAE has been targeted by Iran more than any other Gulf state in the war, and critical infrastructure such as the Ruwais Industrial Complex has sustained damage.