Baker Hughes (BKR) Receives Gas Tech Equipment Supply Deal
Baker Hughes Company BKR has been chosen to provide gas compression technology equipment at the Glenfarne Energy Transition’s Texas liquefied natural gas (LNG) export terminal.
The planned export terminal, situated in the Port of Brownsville in South Texas, is scheduled to commence production in 2028.
Texas LNG Brownsville, an affiliate of Glenfarne Energy Transition, is the owner of the Texas LNG export terminal. It is designed to have a production capacity of approximately four million tons of LNG per year.
Per the deal, Baker Hughes will provide gas compression technology equipment, which includes electric motor drives, for the LNG export terminal. Additionally, the company has entered into a framework agreement that positions it to potentially make a pre-final investment decision in the later stages of the project’s development.
The agreement with Baker Hughes aligns with Texas LNG’s Green by Design strategy, aiming to leverage locally sourced renewable energy to power the facility. The approach involves utilizing abundant sources of renewable energy to drive the electric motors within the plant, contributing to a more environmentally sustainable and energy-efficient operation.
The green-ready infrastructure implemented by Texas LNG enables the company to significantly reduce CO2 emissions to less than half of what is typically associated with a standard LNG export project. This positions Texas LNG as one of the lowest-emitting liquefaction facilities globally, underlining its commitment to environmental sustainability and reduced carbon footprint.
Baker Hughes recognizes the continued importance of natural gas and LNG in the ongoing energy transition. Leveraging BKR's extensive experience in the LNG sector and its proven solutions, the partnership aims to contribute to a more reliable and robust LNG supply, emphasizing the enduring role of natural gas in the evolving global energy landscape.
Zacks Rank & Stocks to Consider
BKR currently carries a Zack Rank #3 (Hold).
Investors interested in the energy sector might look at the following companies that presently flaunt a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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For the fourth quarter of 2023, OII anticipates a decline in EBITDA on relatively flat revenues from that reported in the third quarter.
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Compared with composite stocks belonging to the industry, the leading upstream energy company’s debt-to-capitalization ratio has been consistently lower over the past few years. The company boasts a robust liquidity position, with a cash balance of $1.9 billion, which is more than sufficient to cover its long-term debt of $1.2 billion. This underscores the company’s strong financial liquidity.
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For the fourth quarter of 2023, Matador expects an average daily oil equivalent production of 145,000 BOE. The recent guidance indicates a 2% upward revision from the prior mentioned 143,000 BOE/D.
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