Baker Hughes Receives Award from Equinor to Industrialize Offshore Plug & Abandonment Operations in Oseberg East Field

Rhea-AI Summary

Baker Hughes (BKR) has secured a significant contract from Equinor to provide plug and abandonment (P&A) services for the Oseberg East field in Norway's continental shelf. The agreement, part of a multi-year framework signed in March 2025, will be led by Baker Hughes' Mature Assets Solutions team. The company will establish a P&A Center of Excellence in Bergen and Stavanger to centralize North Sea operations. The project leverages Baker Hughes' advanced technologies including PRIME Powered Mechanical Applications, CICM, MASTODON casing retrieval system, and Xtreme SJI mechanical slotting tool. The planning phase is currently underway, with execution scheduled to begin in 2026. This integrated approach aims to optimize operations, increase efficiency, and reduce total operating costs while setting new standards for well abandonment solutions.

Positive

• Secured major P&A services contract with Equinor for multiple wells in Norway's continental shelf
• Establishment of dedicated P&A Center of Excellence in Bergen and Stavanger to optimize operations
• Implementation of advanced technologies for efficient well abandonment
• Part of a broader multi-year framework agreement with Equinor signed in March 2025

Negative

• None.

News Market Reaction

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On the day this news was published, BKR declined 0.13%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

• Baker Hughes awarded P&A agreement based on Mature Assets Solutions portfolio
• Agreement will enable Equinor to drive efficiencies, industrialize P&A operations through end-to-end integration
• Award marks first project as part of multi-year frame agreement for integrated well services
  

HOUSTON and LONDON, June 11, 2025 (GLOBE NEWSWIRE) -- Baker Hughes (NASDAQ: BKR), an energy technology company, will provide Equinor plug and abandonment (P&A) services in the Oseberg East field on Norway’s continental shelf. Baker Hughes’ Mature Assets Solutions team will lead the integrated P&A campaign planning phase, as well as delivering integrated P&A services in execution across several wells in the North Sea.

Baker Hughes has a history of successful integrated P&A projects, as well as its innovative portfolio of Mature Assets Solutions with a proven track record of increasing efficiency, accelerating timelines and reducing total operating costs. Through this integrated P&A program, Baker Hughes will plug and abandon wells and provide project management services on behalf of Equinor.

“Our Mature Assets Solutions experts are well equipped to manage every phase of P&A and optimize operations to meet Equinor’s well abandonment goals,” said Amerino Gatti, executive vice president of Oilfield Services & Equipment at Baker Hughes. “As this project unfolds, we will collectively unlock new efficiencies that set new standards for well abandonment solutions, providing cost-effective solutions to Equinor through collaboration, technology, optimization and integration.”

This project follows the March 2025 signing of a multi-year framework agreement between Baker Hughes and Equinor to provide integrated plug and abandonment services. To manage the project, Baker Hughes will establish a P&A Center of Excellence in Bergen and Stavanger. This hub of expertise will bring together project managers and subject matter experts to centralize P&A activities in the North Sea, ensuring the most economical and reliable solutions are implemented to responsibly abandon each well while maximizing operational efficiencies.

Baker Hughes’ differentiating well abandonment portfolio include cutting-edge technologies, such as PRIME Powered Mechanical Applications, CICM (Casing Integrity & Cement Mapping), MASTODON™ casing retrieval system, and the Xtreme SJI mechanical slotting tool. Planning for Oseberg East is now underway, and the execution is scheduled to begin in 2026.

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
Brian Reynolds
+1 346-315-6663
brian.reynolds@bakerhughes.com

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

FAQ

What is the significance of Baker Hughes' P&A contract with Equinor for the Oseberg East field?

The contract enables Baker Hughes to provide integrated plug and abandonment services, establish a Center of Excellence, and implement advanced technologies to optimize well abandonment operations in Norway's continental shelf.

When will Baker Hughes (BKR) begin execution of the Oseberg East P&A project?

The execution phase of the Oseberg East P&A project is scheduled to begin in 2026, with planning currently underway.

What technologies will Baker Hughes use in the Equinor Oseberg East P&A operations?

Baker Hughes will utilize PRIME Powered Mechanical Applications, CICM (Casing Integrity & Cement Mapping), MASTODON casing retrieval system, and the Xtreme SJI mechanical slotting tool.

Where will Baker Hughes establish its P&A Center of Excellence for the Equinor project?

Baker Hughes will establish its P&A Center of Excellence in Bergen and Stavanger, Norway, to centralize P&A activities in the North Sea.

What is the duration of Baker Hughes' framework agreement with Equinor for P&A services?

The framework agreement was signed in March 2025 and is described as a multi-year agreement, though the specific duration is not disclosed.