The United Arab Emirates today considered the agreement proposed by the Organization of the Petroleum Exporting Countries and their allies (OPEC +) “unfair,” WAM said in a statement.
“The Joint Ministerial Monitoring Committee (JMMC), unfortunately, has offered only one option, namely, to increase production, subject to the extension of the current contract, which will lead to an increase in the base volume of production. [de 2018], unfair for the United Arab Emirates, until December 2022 instead of April 2022, ”the government said.
In 2018, OPEC + began a policy of limiting production to maintain the price of oil, but with the sharp drop in demand recorded since the start of the COVID-19 pandemic, the organization and its allies have cut production even further, starting the latter. Can be progressively increased.
“The Emirates are willing to extend the agreement if necessary, but are asking that production targets be revised (upward) to ensure that it is fair to all parties,” the statement said.
On Friday, 23 OPEC + countries, led by Saudi Arabia and Russia, failed to reach a consensus on an increase in production quotas from August after the first deadlock in negotiations registered the day before.
Negotiations, which began on Thursday, continue on Monday, and this time non-traditional rivalry between Moscow and Riyadh makes it difficult to reach an agreement. Observers cited by France-Presse (AFP) say that in the event of a failure, the responsibility falls on the United Arab Emirates, which has renewed its request to revise its benchmark output, which serves as the basis for calculating its share.
This limit, set in October 2018, is considered obsolete by Emirates, stating that “the bandwidth [de produção] above, “said Commerzbank analyst Eugen Weinberg, quoted by AFP.
Currently set at 3.17 million barrels per day, Emirates is pushing for an increase to 3.8 million barrels, Saxobank analyst Ole Hansen told AFP that OPEC + does not want to “open a Pandora’s box.”
