United Arab Emirates leaving OPEC, effective May 1 (www.cnbc.com)
from tacoplease@lemmy.world to world@lemmy.world on 28 Apr 13:33
https://lemmy.world/post/46164685

WOW!

#world

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limonfiesta@lemmy.world on 28 Apr 14:08 next collapse

This feels like a desperation move and just more evidence the UAE is never fully coming back.

The free cities are dead.

MrNesser@lemmy.world on 28 Apr 16:53 next collapse

Look at the members of OPEC and take a look at whose been on the end of US aggression.

lando55@lemmy.zip on 28 Apr 17:26 collapse

US consumers?

meco03211@lemmy.world on 28 Apr 17:48 collapse

School children?

Typhoon@lemmy.ca on 28 Apr 21:28 next collapse

In Iran and on Epstein Island

SeductiveTortoise@piefed.social on 28 Apr 21:03 collapse

Women?

Witchfire@lemmy.world on 29 Apr 01:25 collapse

The environment?

HowRu68@lemmy.world on 28 Apr 20:19 next collapse

Anyone got a geopolitical take on this news; what could be going on?

boonhet@sopuli.xyz on 28 Apr 20:27 collapse

Just gives them the ability to decide how much oil they produce. OPEC more or less sets the world’s oil prices by limiting or sometimes increasing production. With current prices, if they reach their stated goal of 5 million bpd, that’s over 500 million dollars per day. Since they’re the only ones leaving OPEC for now, that means the price won’t be affected TOO much by their increased production.

TL;DR: They just wanna make more money by drilling more oil.

HowRu68@lemmy.world on 28 Apr 21:47 collapse

TL;DR: They just wanna make more money by drilling more oil.

Tnx and yes stepping out of OPEC gives the U.A.E. leeway to produce more without adhering to any price or production cap OPEC cartel decides on. But since Iran & Russia are also OPEC, I was wondering what other motives existed.

I found this BBC article fyi.

  • However, the timing of this move hints at consequences from the Iran war. The pressure cooker in the Gulf has impacted the UAE’s relationship with Iran and may affect its already strained relationship with Saudi Arabia. (…)
  • In this view, it makes sense to raise as much money from oil reserves as quickly as possible before demand craters. The UAE has financial firepower and a partly diversified economy, through financial services and tourism.

TL; DR; they don’t see the benefit in OPEC and have already strained relationships with some members, they want to sell oil while there is still a demand, due to increasing green energy alrtenatives.

boonhet@sopuli.xyz on 29 Apr 00:15 collapse

Well it could also be about their relationship with Iran or SA, but honestly I think money is the main motivator. After the attacks on Dubai, it’s no longer seen as the super safe luxury city it was just a few months ago, so tax revenue must be down and they’re reaching for more oil income while they still can to buy time.

Jaysyn@lemmy.world on 28 Apr 21:35 collapse

Bye bye petrodollar.

boonhet@sopuli.xyz on 29 Apr 00:16 collapse

I mean if they’re moving further away from OPEC and OPEC+, which put together contain Iran, Russia, etc… I don’t think that’s a move against the petrodollar at all.

Chances are they’re going to drill more now and they’ll be selling for the good ol’ USD.

Jaysyn@lemmy.world on 29 Apr 00:33 collapse