Qatar quits OPEC
LONDON/HOUSTON/SINGAPORE, – Qatar announced it will withdraw from OPEC on 1 January 2019, putting an end to its 57-year membership of the producers’ cartel. Qatar, which said it intends to focus on its gas production, made the announcement ahead of the 6 December OPEC meeting.
Lynn Morris-Akinyemi, research analyst, MENA upstream, at Wood Mackenzie, said: “The news should not come as a huge surprise. Qatar is OPEC’s smallest Middle East oil producer and the group’s
Ann-Louise Hittle, vice president, macro oils, added: “Qatar has minimal spare capacity so its exit won't affect the volume of oil supply in the market during 2019 or risk OPEC's goal of reducing output next year. However, it does come at a time when OPEC needs to hammer out a deal in the face of market skepticism in the cartel’s ability to control production.
“More positive for OPEC is the statement from President Vladimir Putin in Argentina at the G20 that Russia has agreed to cooperate with OPEC to ensure production restraint during 2019 as needed.”
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