Baker Hughes, Petronas collaborate to support Asia energy expansion, transition

PETALING JAYA: Baker Hughes, a global energy technology company, and Petroliam Nasional Bhd (Petronas) recently signed a memorandum of understanding (MoU) on a strategic partnership to explore initiatives that have the potential to support the delivery of Asia’s energy expansion and transition.

The MoU serves as a foundation for collaboration between the two companies to enhance local supply chain capabilities and explore the feasibility of implementing technology solutions. These include enhanced liquefied natural gas (LNG) services footprint and cross-border talent training and development programmes to strengthen local field operations capabilities.

They will collaborate on exploration and production, chemicals and mature assets solutions, and digital solutions, including artificial inteliigence and explore sustainable energy solutions, including carbon capture, utilisation and storage, as well as lubricants and biofuels for the turbomachinery supply chain.

In support of these initiatives, Baker Hughes announced plans to expand its existing services footprint in Malaysia to develop a full aeroderivative gas turbine module repair services facility, inclusive of disassembly, assembly, grinding and testing capabilities.

With an installed base of over 600 gas turbines and continued expected growth given the energy expansion, these augmented service capabilities will provide enhanced service to customers across the region to accelerate service turnaround time and enable continued best-in-class reliability and availability.

“It is critically important to grow alongside our customers in Asia-Pacific, including PETRONAS, as we work toward our shared goal of sustainable energy development to provide for a world that needs more reliable, secure and lower-carbon energy,” said Baker Hughes chairman and CEO Lorenzo Simonelli.

“We look forward to working alongside Petronas, as well as other local partners, to realise this additional localisation effort to help ensure energy is available today and in the future.”

Petronas senior vice-president of projects, technology and health, safety, security and environment Mohd Yusri Mohamed Yusof said, “Our extended strategic partnership with Baker Hughes is poised to drive excellence in project delivery, decarbonisation, supply chain resilience, and technology adoption.

“It signifies what’s possible when two industry leaders unite to foster innovation ecosystems and shape the future of energy. Furthermore, the setting up of an enhanced aeroderivative facility here is a positive development towards the region’s cleaner energy pursuit, underlining the strong partnerships needed to deliver Asia’s energy transition.”

Baker Hughes’ longstanding relationship with Petronas began in 1975 when the companies jointly pioneered LNG solutions for natural gas supply and collaborated on exploration and production projects.

Currently, Baker Hughes – which has headquarters in Houston, Texas and London – operates two turbomachinery services facilities in Malaysia – an aeroderivative gas turbine repairs facility in Port Klang, Selangor, which is operationalised through Aero Alliance, a joint venture between Baker Hughes and GE Vernova – and a heavy-duty gas turbine technology repairs, field service and digital services facility operated through its joint venture with Sapura Energy.

Baker Hughes also operates two supply bases to support its in-country oilfield services operations, while a Kuala Lumpur based facility provides monitoring and diagnostics for Baker Hughes’ turbomachinery equipment across the region.