Baker Hughes to Supply Subsea Systems for Kutei Northern Hub Development in Indonesia

Baker Hughes (NASDAQ: BKR) has received a substantial award from Searah North Ganal Limited to supply subsea production systems and digital solutions for the Kutei Northern Hub development offshore Indonesia.

Rhea-AI Summary

Baker Hughes (NASDAQ: BKR) has received a substantial award from Searah North Ganal Limited to supply subsea production systems and digital solutions for the Kutei Northern Hub development offshore Indonesia. The company will provide 17 deepwater horizontal tree systems with associated manifolds, connections, control and distribution systems for the Geng North and Gehem fields.

Baker Hughes will also deploy its Cordant™ asset protection and condition monitoring technology to reduce equipment risk and unplanned downtime. The project will leverage Baker Hughes’ manufacturing and service facilities in Batam and Balikpapan and follows a 2025 flash gas compressor order for the hub’s floating production, storage and offloading vessel.

Positive

• Substantial subsea systems contract for Kutei Northern Hub in Indonesia
• Award includes 17 deepwater horizontal tree systems plus manifolds and controls
• Leverages Indonesian facilities in Batam and Balikpapan for manufacturing and services
• Builds on 2025 order for FPSO flash gas compressors with 1 bscf/d gas processing capacity

Argus Aug 10 session 14 alerts

+4.09% close to close 0.3x rel. volume Open Argus

Details

News Market Reaction – BKR

$63.78B Market Cap

On Aug 10, the day this news came out, BKR closed 4.09% above the previous close. Our momentum scanner recorded 14 alerts for this stock that day.

Data tracked by StockTitan Argus for the Aug 10 session.

Market Context

BKR’s recent insider activity was Net Selling, with no purchases recorded in the 90-day context. The...

Analysis

BKR’s recent insider activity was Net Selling, with no purchases recorded in the 90-day context. The award adds project scope, while future filings could clarify its financial contribution and execution requirements.

Key Figures

Deepwater tree systems: 17 systems Gas processing capacity: over 1 billion standard cubic feet per day Condensate processing capacity: 90,000 barrels per day +1 more

Deepwater tree systems

17 systems

Kutei Northern Hub development

Gas processing capacity

over 1 billion standard cubic feet per day

2025 floating production, storage and offloading vessel order

Condensate processing capacity

90,000 barrels per day

2025 floating production, storage and offloading vessel order

Storage capacity

1.4 million barrels

2025 floating production, storage and offloading vessel order

Historical Context

5 past events · Latest: Jul 29

5 events

1. Jul 29

   Power generation order

   24h Move

   +0.4%

   76 gas turbines awarded for data center and oil and gas power projects

2. Jul 27

   LNG technology order

   24h Move

   +5.8%

   Six liquefaction blocks awarded for Venture Global’s CP2 LNG expansion

3. Jul 26

   2Q26 earnings report

   24h Move

   +5.8%

   Orders, cash flow, RPO, and IET guidance increased in second-quarter results

4. Jul 26

   Quarterly dividend

   24h Move

   +5.8%

   Board declared a $0.23-per-share quarterly cash dividend

5. Jul 16

   Chart acquisition

   24h Move

   -1.2%

   Baker Hughes completed its all-cash acquisition of Chart Industries

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

subsea production systems, deepwater horizontal tree systems, flash gas compressors, lng

4 terms

subsea production systems technical

"deliver subsea production systems and digital solutions to support safe, efficient"

Seabed equipment and infrastructure used to extract and control oil or gas from underwater wells, including pipes, pumps, valves, and control systems that sit on the ocean floor and connect to surface facilities or pipelines. Investors care because these systems represent major upfront costs, ongoing maintenance and technical risk that affect production levels, operating expenses and the timing of revenue—think of them as the underwater “plumbing and machinery” that must work reliably for a marine energy project to generate profit.

deepwater horizontal tree systems technical

"Baker Hughes will supply 17 deepwater horizontal tree systems, along with associated"

Deepwater horizontal tree systems are assemblies of valves, sensors and control equipment installed on the seabed to manage oil and gas flow from subsea wells in deepwater fields. Think of them as underwater control panels that sit horizontally on a wellhead and route production, safety, and injection lines. They matter to investors because they are critical capital equipment that affect project cost, production reliability, and the timeline for bringing deepwater reservoirs into commercial operation.

flash gas compressors technical

"the company was awarded a flash gas compressors order for the new"

Flash gas compressors are machines that capture and compress vapors that form when liquid hydrocarbons or refrigerants suddenly lose pressure and partially vaporize, similar to how opening a shaken soda releases gas. They move that vapor back into pipelines, storage, or processing systems instead of letting it vent, affecting operational efficiency, product recovery, and regulatory compliance. For investors, their use can influence a facility’s fuel yield, emissions profile, safety measures, and ongoing operating costs.

lng technical

"These solutions will support efficient subsea operations for natural gas production to strengthen Indonesia’s LNG"

Liquefied natural gas (LNG) is natural gas that has been cooled into a liquid so it takes up far less space for transport and storage, like turning a bulky bundle into a compact package for shipping. Investors care because LNG enables gas trade across regions without pipelines, so changes in production, export capacity, shipping, or demand can quickly affect energy company revenues, infrastructure operators and commodity prices, amplifying both opportunity and risk.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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HOUSTON and LONDON, Aug. 10, 2026 (GLOBE NEWSWIRE) -- Baker Hughes (NASDAQ: BKR), an energy technology company, announced Monday a substantial award from Searah North Ganal Limited (Subsidiary of Searah Limited, a joint venture Company between Eni and PETRONAS) to deliver subsea production systems and digital solutions to support safe, efficient and optimized production for the Kutei Northern Hub development offshore Indonesia.

Under the agreement, Baker Hughes will supply 17 deepwater horizontal tree systems, along with associated manifolds and connections, control and distribution systems, for the integrated development of the recently discovered Geng North field and the Gehem field. Baker Hughes will also deploy its Cordant™ asset protection and condition monitoring systems to proactively identify and mitigate risks to critical equipment and prevent unplanned downtime. These solutions will support efficient subsea operations for natural gas production to strengthen Indonesia’s LNG capacity and domestic energy supply.

“The development of the Kutei Northern Hub is an important step in Indonesia’s drive to deliver natural gas and LNG to power the country and the broader region,” said Baker Hughes Executive Vice President of Oilfield Services & Equipment Amerino Gatti. “By combining our proven subsea production technologies, digital solutions and global experience developing offshore projects, we’re supporting efficient, reliable and optimized production from subsea systems through to gas processing and export, helping enable a more secure energy future for Southeast Asia.”

Baker Hughes will leverage its operational and manufacturing capabilities in Indonesia to enhance supply chain resilience, project delivery efficiency and ongoing production performance, delivering trees from its Global Manufacturing Center for Subsea Trees in Batam. Baker Hughes’ Balikpapan facility will provide additional operational and service support.

This contract builds on Baker Hughes’ support of the Kutei Northern Hub development: In 2025, the company was awarded a flash gas compressors order for the new floating production, storage and offloading vessel, which can process over 1 billion standard cubic feet per day of gas and 90,000 barrels per day of condensate, with a storage capacity of 1.4 million barrels.

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

Adrienne Lynch
+1 713-906-8407
adrienne.lynch@bakerhughes.com

Investor Relations

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

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What contract did Baker Hughes (BKR) announce on August 10, 2026 for Indonesia?

Baker Hughes announced a substantial award to supply subsea production systems and digital solutions for the Kutei Northern Hub offshore Indonesia. According to Baker Hughes, the scope includes 17 deepwater trees, manifolds, controls and monitoring systems for the Geng North and Gehem natural gas fields.

How many subsea trees will Baker Hughes (BKR) supply for the Kutei Northern Hub project?

Baker Hughes will supply 17 deepwater horizontal tree systems for the Kutei Northern Hub. According to Baker Hughes, these trees will be delivered with associated manifolds, connections, control and distribution systems to support integrated development of the Geng North and Gehem offshore gas fields.

What digital solutions is Baker Hughes (BKR) providing for the Kutei Northern Hub in Indonesia?

Baker Hughes is providing its Cordant™ asset protection and condition monitoring systems for the project. According to Baker Hughes, Cordant™ will help proactively identify and mitigate risks to critical subsea equipment and reduce unplanned downtime, supporting safe, efficient and optimized natural gas production operations.

How will Baker Hughes’ Indonesian facilities support the Kutei Northern Hub subsea contract?

Baker Hughes will use its Global Manufacturing Center for Subsea Trees in Batam to deliver trees and equipment. According to Baker Hughes, its Balikpapan facility will provide additional operational and service support, aiming to enhance supply chain resilience and project delivery efficiency in Indonesia.

How does the 2026 Baker Hughes (BKR) subsea award relate to its 2025 Kutei Northern Hub work?

The 2026 subsea systems award builds on a 2025 order for flash gas compressors for the hub’s FPSO. According to Baker Hughes, that vessel can process over 1 billion standard cubic feet per day of gas and 90,000 barrels per day of condensate.

What is the expected impact of Baker Hughes’ work on Indonesia’s LNG capacity?

Baker Hughes’ subsea systems and digital solutions are intended to support natural gas output for Indonesia’s LNG and domestic markets. According to Baker Hughes, the Kutei Northern Hub development aims to strengthen Indonesia’s LNG capacity and enhance the country’s domestic energy supply reliability.