The United Arab Emirates (UAE) has declared its decision to implement an additional voluntary reduction in oil production, marking a crucial step in supporting market stability.
From January 1, 2024, until the conclusion of March 2024, the UAE will execute a cut of 163 thousand barrels per day in collaboration with select OPEC+ participating nations.
Production Adjustment Details:
As a result of this measure, the UAE’s daily oil production will be curtailed to 2,912 thousand barrels until the conclusion of March 2024.
Subsequently, to sustain market stability, reinstating these additional cut volumes will occur gradually, contingent upon prevailing market conditions.
Previous Commitment and Extended Duration:
This recent voluntary reduction supplements the UAE’s earlier commitment in April 2023, entailing a cut of 144 thousand barrels per day.
This prior announcement extended the reduction until the culmination of December 2024, underlining the nation’s persistent dedication to stabilizing oil markets.
Strengthening OPEC Plus Efforts:
The UAE’s decision to reduce its oil output further aligns with the collective initiatives undertaken by OPEC Plus nations.
These collective measures aim to fortify precautionary actions, reinforcing stability and equilibrium within global oil markets.
The UAE’s proactive approach reflects its commitment to collaborate with OPEC Plus countries to safeguard market stability and ensure a balanced oil supply landscape.
