Kochi: The United Arab Emirates (UAE) on Tuesday announced its plans to quit the Organization of the Petroleum Exporting Countries (OPEC), media reports said.
The exit of UAE is a blow to the oil producers’ group which will get weak and the development exposes discord among the Gulf countries.
Oil producers in the Gulf have been struggling to transport oil through the Strait of Hormuz, a chokepoint between Iran and Oman due to Iranian threats and attacks against vessels.
A fifth of the world’s crude oil and liquefied natural gas normally passes through the strait.
UAE was the fourth-largest producer among OPEC and its allies like Russia who combinedly controlled nearly half the world’s oil before the war.
OPEC’s share of global oil output fell to 44% in March from about 48% in February.
UAE quits OPEC
