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The UAE Minister of Energy and Infrastructure said the decision by OPEC+ to cut production was “technical” and meant to “stabilize” crude prices.
“We really trust and believe in the technical credibility of OPEC and OPEC+,” Suhail Al Mazrouei told reporters at a meeting ahead of the start of the Adipec meeting on Tuesday.
Earlier this month, A coalition of 23 producers cuts its crude output by 2 million barrels a day amid signs of a global economic slowdown.
The move drew criticism from the White House and sent oil prices surging more than 10 percent.
Brent crude, the benchmark for two-thirds of the world’s oil, rose 0.45% to $92.03 a barrel at 4.38pm UAE time on Tuesday. West Texas Intermediate, which tracks U.S. crude, fell 0.27% to $85.69 a barrel.
“We reject rumours that this is political… We always meet and discuss the facts and how we can contribute to taking the right steps to balance supply and demand,” Mr Al Mazrouei said.
“The decision was always made unanimously, and the same approach was taken at the last meeting,” he said.
Other OPEC+ members It also stepped up its defense of the group’s production cuts.
Algeria’s energy minister, Mohamed Alkab, called the decision a “purely technical” response to the international economic situation.
Bahrain’s foreign ministry expressed solidarity with Saudi Arabia and “refused to politicize OPEC+’s decision to cut production”.
Sunday, Oman’s energy ministry says OPEC+ decision is purely based on economic considerations And the reality of market supply and demand.
Mr. Al Mazrouei also said that countries need to increase spending on oil and gas as global energy shortages loom.
“Many countries have lost production capacity and it is now declining,” he said.
Adnoc, which is responsible for most of the UAE’s crude production, plans to increase its production capacity to 5 million bpd by 2030 amid growing global demand for less carbon-intensive oil and gas.
Updated: October 18, 2022, 12:38 pm
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