UAE pledges further oil output cuts
London, UK - The United Arab Emirates reiterated its commitment to the OPEC agreement on production cuts and said it would deepen its own curbs.
The Abu Dhabi National Oil Co’s shipments of Murban, Das and Upper Zakum crudes will be ten per cent lower from September, Minister of Energy Suhail al Mazrouei said in a tweet on Tuesday. ‘The UAE is committed to its share in the OPEC production cut’, he said.
The move follows criticism on Monday from Saudi Arabia’s Minister of Energy and Industry Khalid al Falih of members of the Organization of Petroleum Exporting Countries who haven’t fulfilled their pledged supply reductions. The UAE has only implemented 54 per cent of its promised 139,000 barrel-a-day cut on average, according to the International Energy Agency (IEA).
A meeting of oil producers in Russia on Monday agreed to allow Libya and Nigeria to keep increasing output, but emphasized the need for other producers to follow through.
The UAE isn’t the only major producer in OPEC to have fallen short of its commitment, with Iraq also making only half of its 210,000 barrel-a-day cut on average this year, while Venezuela has managed just 39 per cent, according to the IEA data. Saudi Arabia went beyond its obligation, exceeding its 486,000 barrels-a-day cut by more than a fifth, the data show.