Russia says OPEC+ will continue after UAE exit

Russia's Deputy Prime Minister Alexander Novak said on Thursday that the OPEC+ group of leading oil producers would continue ​working together despite the departure of the United Arab ​Emirates, Russian news agencies reported.

According to the reports, ⁠Novak said he did not expect an oil price war ​to emerge following the UAE's exit given a global oil ​deficit.

The UAE said on Tuesday it was quitting OPEC, dealing a blow to the oil producers' group as an unprecedented energy crisis triggered ​by the Iran war exposes discord among Gulf nations.

The ​UAE was the fourth-largest producer in OPEC+, which comprises OPEC and its ‌allies, ⁠while Russia is second, behind Saudi Arabia.

"In the current situation, it is hard to talk about a price war when there is a shortage in the market. What we are ​seeing instead is ​the deepest ⁠crisis in the industry," Novak was quoted as saying by Interfax news agency.

"Large volumes of ​oil are not reaching the market today, while ​demand ⁠significantly exceeds supply. This has created an imbalance due to serious logistical disruptions, including the situation in the Middle East," Novak ⁠said ​according to Interfax.

Novak also reiterated that ​Russia will remain in OPEC+, which was formed in 2016.

-Reuters