Baker Hughes signs Venezuela deals targeting oil, gas and LNG development

Baker Hughes has signed agreements with PDVSA and New Stratus Energy targeting Venezuela’s oil and gas development, gas infrastructure and potential future LNG exports.

(WO) — Baker Hughes has signed two agreements aimed at supporting oil and gas development and expanding natural gas infrastructure in Venezuela, including a strategic alliance with state-owned PDVSA focused on gas production, processing and potential LNG exports.

Under the alliance, Baker Hughes will work with PDVSA, Lindsayca and Fulcrum LNG to identify and advance infrastructure projects across Venezuela's natural gas value chain.

The companies plan to evaluate upgrades needed to support gas production, processing, transportation and commercialization.

Near-term efforts will focus on infrastructure needed to meet PDVSA's internal gas requirements and increase domestic natural gas supplies, including for power generation.

Over the longer term, the companies plan to evaluate new open-access midstream and LNG infrastructure that could enable Venezuelan producers to monetize additional gas resources and potentially export LNG.

"A central objective of these partnerships is the development of an integrated gas value chain capable of transforming Venezuela's substantial natural gas resources into reliable domestic supply and future export opportunities," said Lorenzo Simonelli , chairman and CEO of Baker Hughes.

The alliance remains a cooperation framework rather than a commitment to specific projects.

Individual developments will require separate definitive agreements, internal approvals and compliance with applicable U.S.

sanctions and export-control requirements, including authorizations from the U.S.

Treasury Department's Office of Foreign Assets Control.

Separately, Baker Hughes recently signed a memorandum of understanding with New Stratus Energy to support potential future oil and gas developments in Venezuela.

The collaboration could incorporate Baker Hughes technologies across subsurface evaluation, drilling, production, processing, digital operations, emissions reduction, power generation and LNG.

Baker Hughes said the two agreements could provide a framework connecting upstream resource development with midstream infrastructure, gas monetization and eventual LNG commercialization.

The company has operated in Venezuela's energy sector for more than 60 years.