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By Trend

Qatar can get benefit of OPEC without continuing to be its member, Spencer Welch, director of the oil markets and downstream team in the London-based IHS Markit told Trend.

Qatar’s move is interesting but not hugely significant, said the expert, adding that Qatar’s oil production is a small part of OPEC.

"They see little value in continuing to be a part of the organization. Maybe, relations with Saudi Arabia are strained, and they probably don’t want to be told when they have to cut oil production. By dropping out they can potentially get the benefit of OPEC without having to cut production," he added.

He pointed out that ultimately Qatar’s focus is gas production, much more than oil.

At the same time, he the expert noted that OPEC is stronger now than for a while with the alliance with Russia and other non-OPEC countries, plus other African countries keen to join OPEC.