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Baker Hughes Wins Key Contract to Support Sakarya Gas Field Phase 3

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Key Takeaways

  • Baker Hughes won a contract from TPAO and TP-OTC for the Sakarya gas field Phase 3.
  • BKR will supply deepwater horizontal tree systems and subsea control equipment.
  • BKR's completion technologies like InForce and SureSENS will enhance production efficiency.

Baker Hughes Company (BKR - Free Report) , a leading global energy technology company, has secured a contract from the Turkish Petroleum (“TPAO”) and the Turkish Petroleum Offshore Technology Centre (“TP-OTC”) for the development of Phase 3 of the Sakarya gas field. The company has been tasked with delivering subsea production and intelligent completion systems to support gas production from the field.

BKR’s Advanced Subsea Systems for Deepwater Operations

Per the terms of the contract, BKR will supply deepwater horizontal tree systems, along with related subsea equipment and control systems, designed to support subsea operations at challenging water depths of 6,500-7,200 feet. Baker Hughes’ deepwater horizontal tree systems provide reservoir management and enable the recovery of hydrocarbons in one integrated setup, improving the efficiency of offshore production systems.

Furthermore, Baker Hughes will provide cutting-edge upper and lower completions systems, improving the efficiency of gas production at the field. These well-completion systems are poised to advance subsurface operations by providing multizonal control, enabling the operator to manage production at different layers of the reservoir. This award underscores BKR’s expertise in subsea technologies that will support production from the Sakarya gas field in the Black Sea. The deliveries associated with the project, as well as execution supporting the development of the gas field, are expected to begin toward the end of 2025.

Strengthening Turkey’s Energy Sector

Baker Hughes has stated that the Sakarya gas field is a crucial asset for the country’s energy sector. The company’s leadership in subsea equipment and well-completion systems, along with its knowledge of subsurface geology, is valuable to TPAO and TP-OTC to increase output from the field. BKR has been associated with TPAO and TP-OTC since the inception of the Sakarya gas field development in 2022. In Phase 3 of the gas field development, a comprehensive range of BKR’s completion technologies, like InForceTM HCMTM-A interval control valves, SureTREATTM chemical injection valves and SureSENSTM QPT ELITE gauges, will be utilized with the subsea production systems to improve engineering and operational efficiencies.

BKR’s Zacks Rank & Key Picks

Currently, BKR carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the energy sector are Repsol S.A. (REPYY - Free Report) , Antero Midstream Corporation (AM - Free Report) and Galp Energia SGPS SA (GLPEY - Free Report) . While Repsol sports a Zacks Rank #1 (Strong Buy), Antero Midstream and Galp Energia carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks Rank #1 stocks here.

Repsol is a global multi-energy company, involved in exploration and production activities as well as refining and marketing petroleum products. The company is also actively involved in transitioning toward cleaner and more sustainable energy solutions. This suggests that Repsol is positioning itself in line with global energy transition needs.

Antero Midstream generates stable cash flow by providing midstream services under long-term contracts with Antero Resources. The company’s higher dividend yield, compared to its sub-industry peers, makes it an attractive choice for investors who seek consistent returns.

Galp Energia is a Portuguese energy company engaged in exploration and production activities. The company’s oil exploration efforts have yielded positive results, particularly the Mopane discovery in the Orange Basin, offshore Namibia. After the initial exploration phase, Galp estimated that the Mopane prospect could hold nearly 10 billion barrels of oil. This discovery allows Galp to diversify its global presence, with the potential to become a significant oil producer in the region.

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