03-04-2023

Baker Hughes announces major LNG order from QatarEnergy

Baker Hughes, an energy technology company, announced Monday an order to be booked in the first quarter of 2023 with longtime partner QatarEnergy to supply two main refrigerant compressors (MRCs) for the North Field South (NFS) project, which will be executed by Qatargas. The MRCs are part of two LNG “mega trains” representing 16 million tons per annum (MTPA) of additional capacity that is estimated to further boost Qatar’s LNG production capacity to 126 MTPA, helping to propel Qatar as a leader in global LNG production by 2027.

The order reflects more than two decades of trust and successful collaboration between Baker Hughes, QatarEnergy and its various operating companies across the energy value chain. Most notably, Baker Hughes has supported Qatargas since the early 1990s with core LNG liquefaction technology. This most recent contract, which builds upon a previously announced award for North Field East (NFE) expansion in 2020, will bring the overall number of LNG “mega trains” driven by Baker Hughes’ leading energy solutions to 12.

“We are pleased to be a long-time partner to Qatar, helping to position the country as a leading supplier of LNG and helping to unlock more global capacity,” said Lorenzo Simonelli, chairman and CEO of Baker Hughes. “LNG will enable the energy transition by acting as a more reliable, affordable and flexible energy source alongside other new energy sources, including renewables and hydrogen. As an LNG technology leader, Baker Hughes is committed to supporting the sector to capture, transfer and transform gas in a way that meets rising energy demand and reduces emissions.”

Like the trains supplied for the NFE project, Baker Hughes’ LNG technology will contribute to improving the energy efficiency of the project through enhanced machine performance. Each MRC train will consist of three Frame 9E DLN Ultra Low NOx gas turbines and six centrifugal compressors across two LNG “mega trains” for a total scope of supply of six gas turbines to drive 12 centrifugal compressors. Packaging, manufacturing and testing of the gas turbine/compressor trains, a unique Baker Hughes offering, will take place at Baker Hughes’ Gas Technology facilities in Italy and leverage its service site in Ras Laffan, Qatar, for maintenance and technical assistance services.

Maintaining over 45 years of presence in Qatar, Baker Hughes has three service facilities, one research and development center and more than 450 employees. In 2019, the company signed a memorandum of understanding with QatarEnergy for TAWTEEN in-country value program, with the aim to further drive localization and growth in Qatar.

The North Field is the world’s single largest non-associated natural gas field. The NFS project, owned by QatarEnergy in partnership with a number of international oil companies, and operated by Qatargas, is the second phase of the North Field Expansion Project, which was announced in 2017. When fully completed, it will increase Qatar’s LNG production capacity from 110 MTPA, which will be achieved by the end of the first phase North Field East expansion in 2025, to 126 MTPA by 2027.