Qatar withdraws from OPEC in January 2019

Qatar withdraws from OPEC in January 2019: Details, Highlights

Qatar has announced its withdrawal from the Organization of Petroleum Exporting Countries (OPEC) from January 2019 and focus more on the production of natural gas. It makes Qatar first Gulf country to leave OPEC bloc of oil-producing countries led by Saudi Arabia.

Qatar has been a member of OPEC since 1961 and its decision to pull out after more than five decades comes at a turbulent time in Gulf politics. It is under boycott and boycott from its neighboring gulf allies including Saudi Arabia for 18 months (August 2017).

Qatar is the world’s largest exporter of liquified natural gas (LPG) and 17th largest producer of crude oil (around 600,000 barrels per day). It also only holds around 2% of the world’s global oil reserves.

Qatar withdrawal decision from OPEC reflects wish to focus its efforts on plans to develop and increase its natural gas production from 77 million tonnes per year to 110 million tonnes in the coming years. Being part of OPEC its oil production was steady with limited prospects for increases.

Since 2013, amount of oil Qatar produced has steadily declined from about 728,000 barrels per day (2013) to about 607,000 barrels per day (2017), or just under 2% of OPEC’s total output.

Qatar

Capital: Doha (Also Largest City)

National Language: Arabic

Currency: Riyal

Prime Minister: Abdullah bin Nasser bin Khalifa Al Thani