Baker Hughes (BKR) Citi’s 2025 Global Industrial Tech and Mobility Conference summary

Business overview and differentiation

• Operates a balanced portfolio: 55% Oilfield Services and Equipment, 45% Industrial and Energy Technology (IET), with a strong focus on industrial equipment and services for the energy sector.

• IET segment leverages a large installed base and has grown its backlog to over $40 billion, providing durable and less cyclical revenue streams.

• Provides mission-critical equipment such as gas turbines, compressors, and liquefaction technology, serving both oil and gas value chains.

Natural gas and LNG market outlook

• Sees natural gas as a destination fuel, with rising demand from both developed and developing nations, and increased consumption from sectors like AI and data centers.

• Maintains a 2030 outlook for 800 MTPA global LNG capacity, with U.S. LNG project momentum rebounding after a 2024 pause.

• Expects 86–100 MTPA of LNG projects to reach FID in the next two years, supporting sustained order growth.

• Global LNG demand is rising, with significant projects in Qatar, Mozambique, Algeria, and Southeast Asia.

Regional growth opportunities

• Saudi Arabia is expanding gas infrastructure to displace oil in power generation, with major projects like Jafurah and Master Gas System 3.

• Argentina and Algeria are emerging as key unconventional gas and LNG markets, with Argentina launching its first floating FLNG.

• Egypt and the East Mediterranean are developing as gas hubs, while Southeast Asia and Australia present additional opportunities.