Daily Newsletter

14 November 2023

Daily Newsletter

14 November 2023

Baker Hughes to supply equipment for Glenfarne’s Texas LNG terminal

Baker Hughes will supply gas compression equipment including electric motor drives for the LNG terminal.

Archana Rani

Baker Hughes has been selected to supply gas compression technology equipment for the Glenfarne Energy Transition’s Texas liquefied natural gas (LNG) export terminal in in Texas, US.

Located in the Port of Brownsville in South Texas, the proposed export terminal is due to start production in 2028.

Texas LNG Brownsville, an affiliate of Glenfarne Energy Transition, owns the Texas LNG export terminal, which will have production capacity of around four million tonnes of LNG per annum.

Under the contract, Baker Hughes will supply gas compression technology equipment including electric motor drives for the terminal.

Baker Hughes said it also has a framework agreement to make a pre-final investment decision in the late-stage development of the project.

Glenfarne Energy Transition CEO and founder Brendan Duval said: “Baker Hughes’ strategic commitment into Texas LNG further underscores the commitment between the parties on Texas LNG and its strength as a fully permitted, late-stage infrastructure project.”

Baker Hughes noted that the agreement streamlines the implementation of Texas LNG’s ‘Green by Design’ strategy.

This strategy focuses on leveraging locally accessible renewable energy sources to fuel the facility and operate the electric motors within the plant.

In a press statement, Baker Hughes said: “This green-ready infrastructure allows Texas LNG to eliminate most CO₂ emissions to less than half of a typical LNG export project, making it one of the lowest-emitting liquefaction facilities in the world.”

Baker Hughes chairman and CEO Lorenzo Simonelli said: “Natural gas and LNG will continue to play a critical role in the energy transition, and we are pleased to support Texas LNG with our leading technologies and partnership.”

The Texas LNG project is expected to create more than 1,200 jobs during the construction phase and over 100 new full-time jobs.

Construction of the facility is scheduled to start in 2024.

Most O&G majors have set net zero targets, but few include Scope 3 emissions

GHG emissions generated by O&G operations accounted for 15% of total energy-related emissions worldwide in 2022. A further 40% of such emissions came from the use of oil and gas for power generation, heating, vehicle fuel, and industrial processes. Only 6 companies have targets covering Scope 3 emissions. To reduce Scope 3 emissions, O&G companies are switching their products to lower-carbon sources of energy including hydrogen, LNG, biofuels, and renewables.

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