Baker Hughes Awarded Long-Term Service Agreement by bp for Tangguh LNG Operations, Supporting Indonesia's Energy Future

Rhea-AI Summary

Baker Hughes (NASDAQ: BKR) has secured a significant 90-month service agreement from bp for the Tangguh LNG plant in Papua Barat, Indonesia. The comprehensive agreement covers spare parts, repair services, and field service engineering support for critical turbomachinery equipment, including heavy-duty gas turbines, steam turbines, and compressors across three LNG trains.

The agreement builds upon Baker Hughes' existing relationship with bp at Tangguh LNG since 2009 and follows a 2024 award for additional power and compression systems. Baker Hughes will collaborate with PT Imeco Inter Sarana as its local consortium partner to meet local content requirements. The service agreement aims to ensure reliable operation of the Tangguh facility, which plays a crucial role in Indonesia's energy strategy and supplies energy to the Asia-Pacific region.

Positive

• Secured long-term 90-month service agreement with major client bp
• Expands existing relationship and builds on previous 2024 contract award
• Strategic partnership strengthens Baker Hughes' presence in the Asia-Pacific LNG market
• Agreement includes local content participation through partnership with PT Imeco Inter Sarana

Negative

• None.

News Market Reaction

+0.05%

1 alert

+0.05% News Effect

On the day this news was published, BKR gained 0.05%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

• Ninety-month agreement covers critical parts, services and technical support for turbomachinery equipment
• Agreement underscores Baker Hughes' commitment to supporting safe and reliable LNG production in Asia-Pacific region

HOUSTON and LONDON, Aug. 26, 2025 (GLOBE NEWSWIRE) -- Baker Hughes (NASDAQ: BKR), an energy technology company, announced Tuesday a long-term service agreement award from bp for its Tangguh Liquefied Natural Gas (LNG) plant in Papua Barat, Indonesia. This comprehensive 90-month agreement covers spare parts, repair services, and field service engineering support for critical turbomachinery at the facility including heavy-duty gas turbines, steam turbines, and compressors for three LNG trains, helping to ensure its continued reliable operation. The agreement underscores Baker Hughes' role as a solutions provider.

The agreement builds on Baker Hughes' long-standing relationship with bp at the Tangguh LNG project since 2009, and most recently an award in 2024 to supply additional critical power and compression systems for bp’s Tangguh UCC Project.

The Tangguh LNG facility is a cornerstone of Indonesia's energy strategy, playing a vital role in supplying safe and reliable energy to the Asia-Pacific region. Baker Hughes' continued support will contribute to the sustained performance and availability of the plant's critical turbomachinery, which is essential for LNG operation.

"This long-term service agreement with bp for Tangguh LNG is a testament to our continued partnership and commitment to progressing energy development in Indonesia," said Tiffany Pitts, vice president of Gas Technology Services at Baker Hughes. "Our advanced technology and expertise will help ensure the optimal performance of the Tangguh facility, which is crucial for meeting the region's energy demands."

Baker Hughes is collaborating with PT Imeco Inter Sarana as its local consortium partner to deliver on the local content requirements of the agreement.

This agreement demonstrates Baker Hughes' strategic focus on supporting its footprint in LNG with critical equipment asset management services and follows the recent announcement to expand its existing service capability in Asia Pacific to address the region’s energy expansion and transition needs.

About Baker Hughes
Baker Hughes (NASDAQ: BKR) is an energy technology company that provides solutions to energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner and more efficient for people and the planet. Visit us at bakerhughes.com.

For more information, please contact:

Media Relations
Sarah Rowson
+44 7787 527372
sarah.rowson@bakerhughes.com

Media Relations – Asia Pacific 
Adeline Teo
+65 8380 4045
Adeline.Teo@bakerhughes.com

Investor Relations
Chase Mulvehill
+1 346-297-2561
investor.relations@bakerhughes.com

FAQ

What is the duration and scope of Baker Hughes' new service agreement with bp for Tangguh LNG?

The agreement spans 90 months and covers spare parts, repair services, and field service engineering support for critical turbomachinery including gas turbines, steam turbines, and compressors for three LNG trains.

How long has Baker Hughes (BKR) been involved with bp's Tangguh LNG project?

Baker Hughes has maintained a long-standing relationship with bp at the Tangguh LNG project since 2009, recently expanded with a 2024 award for additional power and compression systems.

Who is Baker Hughes' local partner for the Tangguh LNG service agreement?

Baker Hughes is partnering with PT Imeco Inter Sarana as its local consortium partner to fulfill the local content requirements of the agreement.

What is the significance of the Tangguh LNG facility for Indonesia?

The Tangguh LNG facility is a cornerstone of Indonesia's energy strategy, playing a vital role in supplying safe and reliable energy to the Asia-Pacific region.

How does this agreement align with Baker Hughes' (BKR) strategic goals?

The agreement demonstrates Baker Hughes' strategic focus on supporting its LNG footprint with critical equipment asset management services and aligns with its expansion of service capabilities in the Asia-Pacific region.