[Al Arabiya Latest] The government of Dubai announced Thursday the discovery of a new off-shore oil field which it hoped would rescue its limping economy. The ruler of Dubai, Sheikh Mohammed bin Rashed al-Maktoum, "heralds the good news to the people of the United Arab Emirates that a new off-shore oil field has been discovered in Dubai," a government statement said.Small oil producer Dubai was evaluating the size of the field and potential production, the statement said. The ruler's office was unable to provide further information.
The discovery is timely for the emirate, which is currently restructuring.
"(It would) give a strong impetus to all sectors of the local economy and provide a new source of income enhancing the comprehensive development of Dubai," UAE state news agency WAM said in a statement.
Dubai's crude has an influence on global oil markets that belies its limited output, as it is used as a pricing benchmark for more than 10 million barrels per day of crude heading to Asia from the Middle East.
The emirate pumps only a fraction of supply from the United Arab Emirates, the world's third largest oil exporter with output of around 2.3 million bpd. The emirate of Abu Dhabi produces most of the UAE's oil and holds over 90 percent of its reserves.