Hot topics | Coronavirus pandemic

The UAE Announced A Reduction In The Supply Of All Types Of Oil In September Within The Framework Of OPEC+

The UAE Announced A Reduction In The Supply Of All Types Of Oil In September Within The Framework Of OPEC+

State-owned oil and gas company ADNOC (the primary producing company in the UAE) informed buyers of a decrease in oil supplies in September under the OPEC+ agreement, the company said in a letter sent to customers.

"As follows from the Directive of the UAE government and in accordance with the OPEC+ agreement, ADNOC is reducing oil production. In addition to the agreements already made to reduce deliveries in September, the following reductions will be applied," the letter says. Thus, the supply of oil grades Murban, Upper Zakum, Umm Lulu, and Das will be reduced by 5%.

Under the terms of the OPEC+ deal, the UAE in May-July reduced production by 722 thousand b/d from the level of 3.168 million b/d. But the real reduction in production will be greater, since, in April, the UAE produced 4.1 million b/d. In August, OPEC+ countries will continue to reduce production, but the restrictions will already be relaxed. So the UAE should reduce oil production by 578 thousand b/d from August to December, to 2.59 million b/d.

You may also like: