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GCC CONTEXT
Diplomatic engagement between Oman and the UAE reflects the sultanate's historically independent mediation role in regional security affairs, a posture that has periodically influenced energy market sentiment in the Gulf given Oman's geographic proximity to the Strait of Hormuz and its commercial ties across both sides of the Arabian Gulf. Direct high-level engagement between Muscat and Abu Dhabi on maritime and Iran-related matters carries structural relevance to GCC hydrocarbon export corridors and shipping insurance premiums, sectors that have historically shown sensitivity to shifts in Hormuz passage stability and broader Iran-Gulf tensions. Oman's diplomatic positioning outside the GCC formal structure has traditionally allowed it to maintain channels with Tehran while engaging with b
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