UAE says OPEC exit 'not directed against anyone'

The UAE's departure from OPEC, dominated by ally-turned-rival Saudi Arabia, was not targeted at any country but is part of a broader plan to future-proof its economy, the country's oil chief said Monday.

Sultan Al Jaber, CEO of state oil giant ADNOC and the UAE's industry and advanced technology minister, said the move aligned with long-term national goals.

Why did the UAE leave OPEC?

The UAE left OPEC to pursue greater production freedom and redirect oil revenues into non-oil industries. Abu Dhabi had long resisted OPEC quotas capping its output at 3.4 million barrels a day, while targeting capacity of five million barrels a day by 2027.

The decision, which took effect Friday, reflects national economic priorities rather than any dispute with fellow members.

What did Al Jaber say about the OPEC exit?

Al Jaber told a conference in Abu Dhabi that the decision was purely sovereign. "The United Arab Emirates' sovereign decision to reposition itself within the global energy landscape, and to exit OPEC and OPEC+, is not a decision directed against anyone," he said.

Leaving OPEC "serves our national interests and long-term strategic objectives," he added, and gives the UAE greater ability to accelerate investment and create value.

He described the move as part of a wider economic transformation. "It is part of a broader effort to reshape our economy and industrial base through a vision that connects energy, technology, and industry," Al Jaber said at the Make It In The Emirates conference on UAE industry.

How has the OPEC exit strained UAE-Saudi relations?

The shock decision followed months of tensions between Abu Dhabi and Riyadh over foreign policy, oil output and the Middle East war. The once-close Gulf partnership has cooled into a simmering rivalry since a public falling-out in December over Yemen, where the two countries back rival militias. Saudi Arabia, OPEC's de facto leader and the world's top oil exporter, had not commented on the UAE's departure as of Monday.

UAE Energy Minister Suhail Al Mazrouei sought to soften the diplomatic blow, saying the country had left OPEC "on good terms." The exit of the UAE, OPEC's fourth-largest producer, weakens the cartel's ability to manage global oil prices.

What will the UAE do with greater oil production capacity?

The UAE is boosting output to fund investment in sectors beyond fossil fuels, including artificial intelligence, analysts said.

On Sunday, ADNOC pledged to spend $55 billion on new projects over the next two years. Al Jaber said the strategy aligns the UAE's energy resources with national priorities to build "a stronger, more resilient economy."

Is the UAE expanding its domestic defense production?

Alongside its energy ambitions, the UAE is also scaling up domestic weapons manufacturing. Faisal Al Bannai, an adviser to the UAE president and chairman of military conglomerate EDGE Group, said 85 percent of drones had been countered using jammers developed and produced in the UAE, where the country is now self-sufficient in that technology.

He added that air defense capabilities would become fully domestically produced within the coming years.