Opec+ move to cut output purely based on technical grounds, not politics, says UAE

Earlier this month, the body decided to reduce production by two million barrels per day from November in order to support sagging crude prices

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A Staff Reporter

Published: Mon 17 Oct 2022, 12:46 PM

Suhail Al Mazrouei, UAE’s Minister of Energy, on Monday clarified that the Opec+ decision to cut output was purely on technical grounds and not on a political basis.

“I would like to clarify that the latest Opec+ decision, which was unanimously approved was a pure technical decision, with NO political intentions whatsoever,” Al Mazrouei said in a tweet on Monday.

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The energy ministers of other oil-producing Gulf countries also echoed the UAE energy minister's comments, stressing that the Opec+ decision was taken unanimously by the member countries following a thorough technical study.

Earlier this month, Opec+ decided to reduce production by two million barrels per day from November in order to support sagging crude prices amidst fear of the global economy slipping into recession.

Ali bin Sabt, the secretary general of the Organization of Arab Petroleum Exporting Countries (OAPEC), said the Opec+ decision to cut its oil production target is correct and was taken at the right time.

Saudi King Salman bin Abdulaziz said the kingdom was working hard to support stability and balance in oil markets, including by establishing and maintaining the agreement of the Opec+ alliance.

Bahrain’s oil minister said on Sunday that the Opec+ decision to cut oil output by two million barrels per day was taken unanimously and after a thorough technical study of the global market conditions and developments, the state news agency BNA reported.

Oman’s energy ministry echoed the statement and said that Opec+ decisions are based on purely economic considerations, realities of supply and demand in the market.

Quoting Nawaf Saud Al Sabah, CEO of Kuwait Petroleum Corporation, Kuwaiti news agency Kuna said that the Gulf country welcomed the decision by Opec+ and showed the Gulf nation’s keenness to maintain balanced oil markets.

Iraq's state oil marketer Somo said in a statement that there is complete consensus among Opec+ countries that the best approach in dealing with the oil market conditions during the current period of uncertainty and lack of clarity is a pre-emptive approach that supports market stability and provides the guidance needed for the future.

(With inputs from Reuters)

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A Staff Reporter

Published: Mon 17 Oct 2022, 12:46 PM

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