Baker Hughes to Supply Advanced Artificial Lift Solutions to Enhance Production in Kuwait Oil Company Fields

Rhea-AI Summary

Baker Hughes (NASDAQ: BKR) won a multi-year agreement with Kuwait Oil Company to supply electrical submersible pumps (ESPs) plus installation, surveillance and maintenance to boost production in Kuwait oil and gas fields.

ESP performance will be optimized by integrating the FusionPro™ intelligent production drive and the Leucipa™ automated field production solution to improve reliability and cut nonproductive time. The award follows a Q3 contract to provide advanced wireline and perforation technology including Proxima™ logging services.

Baker Hughes operates a 25,000‑square‑meter workshop in Kuwait and has signed an MOU to establish an R&D center in Ahmadi Innovation Valley to support upstream technology and local expertise.

Key Figures

Kuwait workshop size 25,000 square meters Workshop in Kuwait for equipment testing and failure analysis

Market Reality Check

$45.38 Last Close

Volume Volume 9,909,252 is 1.39x the 20-day average of 7,137,131, indicating elevated trading activity. normal

Technical Price 45.02 is trading above the 200-day MA at 43.06, keeping the longer-term trend constructive ahead of this award.

Peers on Argus

Despite the positive Kuwait award, BKR was down 3.99% with key peers also weaker: SLB -2.56%, HAL -2.93%, FTI -3.88%, NOV -4.31%, TS -0.88%. This points to broader pressure in oilfield services rather than a company‑specific selloff.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 10	Alaska LNG agreement	Positive	+0.3%	Agreement to supply compressors and power equipment plus strategic investment.
Nov 06	Rio Grande LNG order	Positive	+0.5%	Additional liquefaction equipment order for Rio Grande LNG Train 5.
Oct 24	Saudi drilling expansion	Positive	-3.3%	Multi-year Aramco award expanding coiled tubing drilling fleet in gas fields.
Oct 23	Q3 2025 earnings	Positive	+3.4%	Q3 results with <b>$8.2B</b> orders, <b>$7.0B</b> revenue and solid EPS, EBITDA.
Oct 23	Dividend declaration	Positive	+3.4%	Announcement of a <b>$0.23</b> quarterly cash dividend funded from operations.

Pattern Detected

BKR’s stock has generally reacted positively to large contract wins, LNG awards, earnings, and dividends, with one notable divergence on a Saudi drilling expansion announcement.

Recent Company History

Over the last few months, Baker Hughes has reported several commercial and strategic milestones. LNG-related equipment awards for Alaska and Rio Grande supported growth in its Industrial & Energy Technology segment. Q3 2025 results showed $7.0B revenue and solid cash generation, alongside a planned $13.6B Chart acquisition and ongoing dividends of $0.23 per share. Today’s Kuwait artificial lift award fits the pattern of large international upstream contracts expanding the Oilfield Services & Equipment footprint.

Market Pulse Summary

This announcement highlights a multi-year award from Kuwait Oil Company for advanced artificial lift systems and electrical submersible pumps, reinforcing Baker Hughes’ nearly two-decade track record in Kuwaiti fields. It adds to recent LNG and drilling awards and follows solid Q3 2025 results with revenue of $7.0B and strong cash flow. Investors may watch how this and similar contracts support the Oilfield Services & Equipment segment alongside the planned $13.6B Chart acquisition.

Key Terms

artificial lift systems technical

"a major award from Kuwait Oil Company (KOC) to provide advanced artificial lift systems"

Artificial lift systems are pumps and other mechanical methods used to raise oil or gas from underground wells when natural underground pressure is too weak to push hydrocarbons to the surface. For investors, they matter because they directly affect how much product a well can produce, the timing of revenue, and ongoing operating costs—think of them as a booster pump that keeps an aging water fountain flowing and profitable.

electrical submersible pumps technical

"Baker Hughes will supply its portfolio of electrical submersible pumps (ESPs), as well as"

An electrical submersible pump is a motor-driven pump assembly installed down inside a well to push liquids — oil, water or mixtures — up to the surface. Think of it as a waterproof engine placed at the bottom of a straw that continuously forces fluid upward, enabling steady production from wells that won't flow on their own. For investors, ESPs matter because their reliability, energy use and maintenance needs directly affect production volumes, operating costs and the timing of revenue from oil or water-producing assets.

perforation technology technical

"award from KOC to provide advanced wireline and perforation technology and services"

Perforation technology describes tools and methods used to create precise holes or openings in solid materials or biological tissue to allow flow, access, or attachment — think of drilling small doors into a wall to let utilities pass. Investors care because these technologies can make operations safer, faster, or more effective (for example enabling oil and gas production or minimally invasive medical procedures), affecting product competitiveness, regulatory approval risk, and potential revenue.

AI-generated analysis. Not financial advice.

• Leucipa™, FusionPro™ integration will optimize ESP operations
• Agreement follows third-quarter award for advanced wireline, perforation technology

HOUSTON and LONDON, Dec. 17, 2025 (GLOBE NEWSWIRE) -- Baker Hughes (NASDAQ: BKR), an energy technology company, announced Wednesday a major award from Kuwait Oil Company (KOC) to provide advanced artificial lift systems and associated services to enhance production in Kuwait’s oil and gas fields.

Under the multi-year agreement, Baker Hughes will supply its portfolio of electrical submersible pumps (ESPs), as well as installation, surveillance and maintenance services. ESP performance will be further optimized through the integration of the FusionPro™ intelligent production drive and Leucipa™ automated field production solution, which will enhance operational reliability and reduce nonproductive time.

“Technology is unlocking new value from established fields around the world, and Baker Hughes and KOC have been at the forefront of these advancements,” said Amerino Gatti, executive vice president of Oilfield Services & Equipment at Baker Hughes. “Our industry-leading artificial lift systems have proven themselves in Kuwait’s oilfields for nearly two decades and established a reputation for reliability and efficiency.”

This agreement follows a third-quarter award from KOC to provide advanced wireline and perforation technology and services including Proxima™ advanced logging services to enhance reservoir evaluation, optimize production and increase recovery.

Baker Hughes has a long history of supporting Kuwait’s energy sector by providing advanced technologies and solutions. The company operates a 25,000-square-meter workshop in the country for equipment testing and failure analysis of artificial lift systems. Earlier this year, Baker Hughes also signed a memorandum of understanding to establish a research and development center in the country’s Ahmadi Innovation Valley, which will help address technology challenges in the upstream sector and build local expertise.

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
+1 363-315-6663
brian.reynolds@bakerhughes.com 

Investor Relations

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

FAQ

What did Baker Hughes (BKR) win from Kuwait Oil Company on December 17, 2025?

A multi-year agreement to supply ESPs and provide installation, surveillance and maintenance services.

How will Baker Hughes improve ESP performance for KOC under the BKR agreement?

By integrating the FusionPro™ intelligent production drive and Leucipa™ automated field production solution to reduce nonproductive time.

Does the Baker Hughes (BKR) deal include other technologies beyond ESPs?

Yes; it follows a Q3 award to supply advanced wireline and perforation technology including Proxima™ logging services.

What local infrastructure does Baker Hughes have in Kuwait related to the BKR agreement?

Baker Hughes operates a 25,000‑square‑meter workshop for equipment testing and failure analysis of artificial lift systems.

Will Baker Hughes (BKR) pursue R&D activities in Kuwait after the KOC award?

Yes; Baker Hughes signed an MOU to establish an R&D center in Ahmadi Innovation Valley to address upstream technology challenges and build local expertise.

What is the expected operational benefit of the Baker Hughes ESP integration for KOC fields?

The announced integration is intended to enhance operational reliability and reduce nonproductive time in Kuwait oilfields.