Specifically, ADNOC's decision for more oil production comes after OPEC and Russia last week failed to agree on further production cuts in order to cope with falling global oil demand as a result of the COVID-19 outbreak.

ADNOC Group CEO, Dr. Sultan Ahmed Al Jaber, stated that "In line with our production capacity growth strategy announced by the Supreme Petroleum Council, we are in a position to supply the market with over 4 MMBPD in April. In addition, we will accelerate our planned 5 MMBPD capacity target.”

Moreover, the company added that this decision will ensure that their customers have visibility of the price so they can plan accordingly.

Although OPEC proposed the extension of oil production cuts until the end of the year and further cuts until June 2020, Russia refused to support the proposal and pressured OPEC to remove all limits on its own production, as Reuters reported.

Consequently, oil prices experienced a historic collapse, when Saudi Arabia launched a price war against onetime ally Russia.