DUBAI, United Arab Emirates ( Associated Press) – The United Arab Emirates’ energy minister on Monday doubled down on an oil alliance with Russia that helped propel crude prices to their highest level in years, as Moscow lashed out at Ukraine. The U.S. war shattered markets and pushed up energy and commodity prices.
The minister said Russia, with its 10 million barrels of oil, is an important member of the global OPEC+ energy alliance.
“And that quantity is needed today, except in politics,” said Suhail al-Mazrouei. “Unless someone is willing to come and bring 10 million barrels, we don’t see anyone can replace Russia.”
Led by Saudi Arabia and Russia, the alliance has the potential to increase oil production and bring down crude prices that have exceeded $100 a barrel.
The United States, European nations, Japan and other Gulf Arab oil producers are calling on Arab oil producers to do more to help drive down prices. UK Prime Minister Boris Johnson visited in person This month in the United Arab Emirates and Saudi Arabia, where they raised the issue.
Al-Mazrouei called the OPEC+ coalition one that is here to stay and rejected any suggestion that the United Arab Emirates would strike on its own and unilaterally increase production.
“Stay together, stay focused, and don’t let politics get into this organization… We always believe that everything we do for production and this work needs to be out of politics at all times.” ,” Al-Mazrouei added.
OPEC+ alliance sticks to its plan to gradually increase oil production Based on a deal struck during the height of the coronavirus pandemic lockdown When producers made deep cuts in production to meet falling fuel demand. Higher oil prices have been good for oil producing economies. Despite diversification efforts, Gulf Arab states continue to rely heavily on energy exports to fuel their economies.
Al-Mazrouei used his speech at the Atlantic Council’s Global Energy Forum in Dubai to call for more investment in oil and gas, even as his country moves to cut emissions within the UAE’s borders. and is committed to its pledge of a net-zero by 2050.
In an outspoken criticism of NATO policy, the minister said that Russia’s war in Ukraine – which he described as a crisis – required diplomacy and not “putting more weapons into the situation because basically people are going to be victims.” Huh.”
Prices also rose as OPEC’s largest oil producer Saudi Arabia, facing cross-border attacks by neighboring Yemen’s Houthi rebels, has used drones and missiles to target the kingdom’s oil facilities., Saudi Arabia has said that it will not take any responsibility for any shortfall in oil supply due to the attacks.
Despite US condemnation of anti-missile systems supplied by the Houthis and US to Saudi Arabia, relations between the Biden administration and Crown Prince Mohammed bin Salman remain strained. And there have been no direct talks between the two since the US President took office.
“We are living on a roller coaster, watching prices go up and down,” admitted Al-Mazrouei. He gave no indication that OPEC producers were planning to change course, but added that “we are in an environment where everyone is saying increase their production.”
“We certainly need all the resources available at this time,” he said, criticizing efforts to back away from investing in oil and gas.