Baker Hughes secures Argentina LNG pipeline gig

US energy services firm Baker Hughes has secured an order to supply three gas compression units for a natural gas pipeline which will deliver feed gas to Southern Energy’s two floating LNG units in Argentina.

Baker Hughes said on Tuesday the order from San Matias Pipeline consists of three NovaLT 16 gas turbines equipped with three centrifugal compressors, along with commissioning services, spare parts, special tools, and remote monitoring and diagnostic capabilities.

This equipment will be installed at a gas compressor station near Allen, Río Negro, to support the transportation of natural gas from the Vaca Muerta formation to the Gulf of San Matias through a dedicated pipeline, providing feed gas to Southern Energy’s two floating LNG vessels.

According to Baker Hughes, the project also marks the first utilization of its NovaLT gas turbine technology in South America.

Baker Hughes did not provide the pricing details.

The company booked $2.3 billion of LNG equipment orders last year and expects similar levels of LNG awards in 2026, CEO Lorenzo Simonelli said in January.

In 2024, Baker Hughes won orders worth $2.1 billion and a record $5.6 billion in LNG equipment orders in 2023.

Golar FLNG’s

Argentina’s Southern Energy, owned by Pan American Energy, YPF, Pampa Energia, Harbour Energy, and Golar LNG, took a final investment decision on the second floating LNG production unit in August last year.

SESA will install two converted FLNGs owned by Golar LNG.

The MKII FLNG will be moored in the San Matías Gulf near FLNG Hilli, which is expected to start its 20-year charter with SESA during 2027.

Combined, the two units have a nameplate capacity of 5.95 mtpa.

In addition to these units, Argentina’s state-owned oil and gas company YPF, Italian energy firm Eni, and Adnoc’s investment unit XRG are evaluating adding a third FLNG to further boost the capacity of the 12 mtpa phase of the integrated Argentina LNG project.

In February, XRG signed a binding agreement with YPF and Eni to join the 12 mtpa phase of the integrated Argentina LNG project.

Under the agreement, the partners will commence front-end engineering design (FEED) and related activities, including engineering, technical structuring, and key commercial and financing workstreams.

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