The United Arab Emirates (UAE) just left OPEC after 60 years.


This is something no one has explained.
They spent $3.3 billion to build the Habshan–Fujairah pipeline, specifically to avoid the Strait of Hormuz.
406 km of pipeline runs from Abu Dhabi's oil fields directly to the Gulf of Oman.
Iran's blockade does not affect it.
Within OPEC, their production was limited to 3.41 million barrels per day.
That limit has been gone since May 1st.
Now they are free to pump as much as they want and route around the entire Iran conflict.
Brent prices immediately dropped after the announcement.
The market understood before most people even read the headline.
The UAE is not just leaving a cartel.
They have positioned themselves to break the ongoing oil shock since February.
A big win for the UAE.
If you want to know where we are deploying capital next, turn on post notifications, this is very important.
Many will wish they had followed us earlier.
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