An OPEC+ deal, which was close to being within reach, collapsed over a dispute between the two Gulf allies, jeopardizing the interests of all constituents and leaving consumers at the mercy of market volatility.
OPEC and its Russian-led allies stick to their planned oil production strategy, issuing words of caution regarding the strength of the demand recovery.
After more than 25 years of working alongside international oil company giants, Qatar Petroleum has the technical capability and expertise to manage its own gas business. But it is unlikely to end all its partnerships.
Abu Dhabi traditionally managed its oil and gas resources cautiously and conserved hydrocarbon wealth for future generations, but the energy transition is reshaping its strategy.
Saudi Arabia and Russia appear to be on the same page now, but OPEC+ will have to consider the impacts of its market management policies if it wants to avoid the pitfalls that have contributed to oil price volatility in the past.
OPEC+ producers seem to have adopted a wait-and-see attitude, but as maintaining production cuts becomes more difficult for the smaller producers, they may be tempted to cash in while prices are high.
The new variant of the coronavirus, new lockdowns in several parts of the world, and the slower-than-expected rollout of the vaccine cast doubt on the timing of a recovery that would sustain higher production.
The OPEC+ alliance managed to stamp out dissent within its ranks and come to a compromise deal that will keep the market guessing in the months ahead.
Signs of strain within OPEC could reflect negatively on the market by casting doubt on the commitment of OPEC+ countries to adhere to production targets.
AGSIW's sixth annual Petro Diplomacy conference focused on the impact of the coronavirus pandemic on the energy sector and the transition to a low carbon economy.
Learn MoreThrough its careful examination of the forces shaping the evolution of Gulf societies and the new generation of emerging leaders, AGSIW facilitates a richer understanding of the role the countries in this key geostrategic region can be expected to play in the 21st century.
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