Angola has given a reason for quitting the oil producers’ organisation, OPEC, on Thursday.
According to the African oil-producing country, her exit from OPEC is because the cartel no longer serves its interest amid a protracted dispute on output quotas.
The decision of the African oil giant follows last month’s decision by the 13-member cartel and ten allied nations to further slash oil production in 2024 to prop up volatile global prices.
Angola currently produces about 1.1 million barrels daily, of the 30 million from the whole of Opec.
The market responded to the news as Oil prices fell, with Brent prices down over $1 to $78.5 a barrel by 12:50 GMT on Thursday.
Angola’s decision to withdraw from Opec came at Thursday’s cabinet meeting.
Mineral Resources and Petroleum Minister, Diamantino Azevedo said Angola decided to leave Saudi Arabia-led OPEC because it no longer served the African country’s interests.
“We feel that at this moment, Angola gains nothing by remaining in the organisation and, in defence of its interests, it decided to leave.
“If we remained in Opec… Angola would be forced to cut production, which goes against our policy of avoiding decline and respecting contracts,” he said
Angola, an Opec member for 16 years, joined Ecuador, Indonesia and Qatar, which have exited the cartel.
OPEC is a group of oil producers, including Nigeria, which decides how much crude oil to sell on the world market, along with an expanded group called Opec+.
