As the end of the oil era looms closer, a presidential adviser said that UAE has left OPEC and is pumping more.

A senior advisor to the president stated that the UAE's decision to leave OPEC took three years to make and is based on the belief that the world has entered the "autumnal age of hydrocarbons", which means the country must maximize oil revenues as soon as possible.

On May 1, the UAE ended their nearly 60-year participation in the Organization of Petroleum Exporting Countries.

The decision will not affect the market in the short term due to the fact that Iran has effectively closed the Strait of Hormuz. However, it may have a significant impact on OPEC’s control of oil supplies once the oil flow returns to normal.

Anwar Gargash said that the UAE President Sheikh Mohammed bin Zayed Al 'Nahyan was primarily responsible for the country's departure because its OPEC output quotas 'kept output below a capacity.

He added, "We can see that we're close to a sort of fall of the hydrocarbon era." "And, as a consequence, if you are able to generate income, and then use that income for other investments, you should do that."

The UAE has a production capacity of 4.85 million barrels per day. The UAE plans to increase it to 5,000,000 bpd in 2027. Before it left OPEC, and the wider OPEC+ -group that includes other oil producers, led by Russia - its production 'target was closer to 3.5 million bpd.

ADNOC CEO Sultan al-Jaber said on Wednesday that the UAE will continue to be responsible and a?stabilising force on energy markets.

Saudi Arabia and the UAE, once allies, have become rivals in recent years. They disagree not only on oil policy but also on regional geopolitics, and on attracting "foreign talent" and capital.

Fighting broke out between factions in Yemen at the turn of the year, with each side supporting their own. Reporting by Maha El-Dahan, Jana Choukeir, and Ahmed Elimam. Writing by Yousef Ghaddar and Ahmad Ghaddar. Editing by Barbara Lewis.

(source: Reuters)