Baker Hughes signs agreements to expand Venezuela gas infrastructure
BKR•Baker Hughes signed an agreement with PDVSA, Lindsayca and Fulcrum LNG to develop Venezuelan natural gas infrastructure, and a separate agreement with New Stratus Energy to support future oil and gas projects. Financial terms were not disclosed.
1. Infrastructure agreements
Baker Hughes said the agreements establish a framework connecting upstream resource development, midstream infrastructure, gas monetization and LNG commercialization. Under the first alliance, Baker Hughes, Lindsayca and Fulcrum LNG plan to develop infrastructure to process, transport and commercialize natural gas, with potential exports.
2. Approvals and conditions
Any projects under the alliance would require separate definitive agreements, internal approvals and compliance with applicable U.S. sanctions and export-control requirements, including authorizations from the Treasury Department’s Office of Foreign Assets Control. Baker Hughes previously said safety and employee conditions, as well as clarity on legal and regulatory frameworks, were key considerations for operating in Venezuela.
3. Industry context
Venezuela’s oil industry has been state-controlled for two decades, following the government’s expropriation of assets owned by foreign companies including ExxonMobil and ConocoPhillips. Chevron is the only U.S. major that retained continuous operations in the country, as a PDVSA partner.
