Baker Hughes sees no slowdown in major energy projects as AI drives gas demand

  • Baker Hughes reports no slowdown in major energy projects.
  • Global LNG capacity may need to reach 900 million tons annually by 2035.
  • Baker Hughes will supply 13 compression systems for Venture Global's Louisiana pipeline.

Baker Hughes CEO Lorenzo Simonelli said the company has not seen a slowdown in major energy projects, citing strong natural gas and power demand driven by artificial intelligence infrastructure, population growth, industry and data centers. Speaking with CNBC at the Gastech conference in Bangkok, Simonelli said projects remain bankable because of existing offtake agreements and the outlook for energy demand. Baker Hughes expects energy prices to remain range-bound, with limited risk of a prolonged glut despite an anticipated increase in LNG supply, and estimates global LNG capacity will need to reach 900 million tons per annum by 2035. The company is expanding capacity to serve continued data-center demand while concerns grow over electricity and water consumption. Baker Hughes and Venture Global LNG also plan to expand their collaboration, with Baker Hughes supplying 13 gas compression systems for the Cloud Connector Pipeline in Louisiana and a modular liquefaction solution with cold boxes for the expansion of Venture Global's Plaquemines LNG facility. Following its acquisition of Chart Industries, Baker Hughes expects Chart to contribute $1.85 billion to $2.25 billion in 2026 revenue and $300 million to $400 million in EBITDA, excluding pre-acquisition results. The company expects second-half performance to be weighted toward the fourth quarter, forecasts a book-to-bill ratio above 1x and sees momentum continuing into 2027.

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