Optimism and opportunity grow from energy resources in southern Africa

Baker Hughes’ operations in Africa support both its energy customers and the needs of a growing local community.

In Sub-Saharan Africa, Baker Hughes has long invested in local talent development. Today, it is ramping up the construction of in-country, cutting edge Oilfield Services & Equipment (OFSE) facilities and investing in further knowledge transfer to local entrepreneurs. 

This engagement confers benefits on all sides, enhancing Baker Hughes’ reputation as a major enabler of Africa’s energy boom, while powering development in a region in which only half the population has access to electricity. 

Stephen Adeyemo, Baker Hughes’ Region Segment Director for Subsea and Surface Pressure Systems (SSPS) in Sub-Saharan Africa (SSA), is talking to Energy Forward about the company’s localization strategy from the Baker Hughes office in his home country Nigeria. As if to illustrate the need for energy delivery in the region, the room suddenly goes dark. He’s able to continue the conversation because his laptop has a battery. Power from the grid has failed, and it takes a moment or two before the Baker Hughes generator kicks in and Adeyemo emerges from the darkness.

“If this is happening in a Baker Hughes facility, just imagine what is happening outside, in the lives of the people at home” he says.

The time is ripe for SSA’s largely underdeveloped energy reserves to help bring stability, employment and opportunity to these nations. Together, the countries of SSA occupy a land area more than 2.5 times the size of the United States (world map perspectives are deceptive). With 1.3 billion people with a median age of around 19 years — the population is eager for employment, but often without the electricity to study beyond sunset.

In many jurisdictions in SSA, the cost of operation for international companies has been prohibitive for security reasons. Some countries are still unable to develop their considerable energy resources due to the threat of force majeure and security challenges.

Where stability supports opportunity and livelihoods

Nigeria and Angola are both rich in hydrocarbon resources, and the success of their energy industries have created substantial benefits for their populations.

This is borne out by the numbers of Nigerian employees Baker Hughes has trained in the country, and the increasing opportunities for local contractors, also often trained by Baker Hughes. “In Nigeria, we have been on a journey in the region, actively pursuing a localization policy for several years” Adeyemo says.

Baker Hughes’ overall strategy is to have locally based employees in each of the oil-producing nations of SSA. Across the region, the company currently has 80-85% local employees, and the percentage is constantly growing. 

“We just started a new operation in Namibia, where we’ve hired eight engineering graduates who are going through tailored training,” he says. “The 18-month to two-year intensive course includes gaining experience in global postings and with other Sub-Saharan Baker Hughes operations.”

Focus on Namibia

Oil and gas exploration in Namibia has been going on for some time, says Victor Joseph, Area Director for Baker Hughes’ OFSE in South Africa. Exploratory activities started back in the 1970s, and new 3D seismic technology revealed offshore reserves in 2021-22 that “are of great interest to the world at the moment”. 

Tevin Nyambali, Service Engineer specializing in subsea projects and service in Baker Hughes’ SSPS division, is one of the new graduate team in Namibia, and recalls a moment in 2013 when an independent Brazilian oil company discovered a working petroleum system off the country’s coast. 

“Overwhelmed with what to study in 2013, the discovery of the working system and the excitement from the newspaper articles, prompted me to research into the field of petroleum engineering. Although it wasn’t offered in any of our local universities, and the UK, US and Australia were too expensive for my family, I managed to get my degree from the China University of Petroleum in Huangdao.” 

He subsequently achieved a MSc in Subsea Engineering from the University of Aberdeen in Scotland, UK. During his 3-year tenure at the Namibian Ministry of Mines and Energy, he began as a Subsea engineering intern progressing to a Petroleum Inspector before starting with Baker Hughes in June 2024.

“For Namibians, the local energy industry means opportunity and growth for the economy,” he says. “Every Namibian is now looking forward to joining the industry, which rekindles hope and unlimited opportunities for everyone. It is also exciting to see that companies are looking for local employees. It’s really promising.’’

“That Namibia is now close to finalizing the FID for the Kudu Gas Field and generating its own gas to power electricity. This translates to the potential of having cheaper electricity,” says Nyambali. “Having cheaper electricity will enable the government to invest more in electrification projects leading to majority of Namibians having access to electricity.”

He explains that because Namibia does not have an oil refinery, most of its oil will be exported, generating income for the government to invest in infrastructure and development of the country.

The latest example in SSA of a completed Baker Hughes infrastructure project is Namibia’s own liquid mud plant and cement bulk facility, complemented by a multi-modal integrated workshop. Until now, exploration in Namibia has been slowed by companies having to import drilling fluids from outside the country, which can take weeks from order to delivery.

The new plant was installed by local contractors in Walvis Bay in 2024, one of the country’s two commercial ports. It will provide the drilling fluids – synthetic “mud” and brines – essential to prevent dangerous blow-outs and friction during drilling. The multi-modal workshop houses advanced testing and maintenance equipment to support a variety of oil and gas operations.

A layered approach to localization

The team explains that the Baker Hughes’ localization strategy in SSA has three main pillars:

1. Developing human resources and capacity within each country is key.
2. Building infrastructure and technology transfer.
3. And the third piece is that Baker Hughes seeks out companies that are willing to participate and become qualified service providers or ‘’channel partners”. The company sells them equipment, trains, qualifies, audits them and makes sure they can deliver similar services to what Baker Hughes would provide.

In Nigeria, Baker Hughes has developed around 20 channel partners. This practice advances local capabilities and encourages competition in the market between a larger number of service providers. 

In Côte D’Ivoire, Baker Hughes was awarded the contract to supply the Eni and Petroci partnership with infrastructure and services for Baleine Phase 2 – Africa’s first Scope 1 and 2 net-zero emissions project.

The company delivered on project ambitions in record time. Employing and upskilling local contractors, Baker Hughes built a custom facility designed to take delivery of subsea equipment. Subsea trees, Aptara™ manifolds, flexible risers and jumpers came from its manufacturing facilities for site received testing in Côte D’Ivoire. This ensures that after their journey, the assets are fit for purpose, before being installed in the subsea environment.

“We opened the facility in May 2024 and adhering to the most stringent Health, Safety and Environment (HSE) protocols, by December we achieved first oil from the deployed trees,” says Adeyemo. “With this record-breaking project we have positioned ourselves and our local team as the go-to providers in Côte D’Ivoire and throughout SSA. It was a proud achievement for everyone involved’’

The facility also accommodates several third-party OEMs, which allows Baker Hughes to deliver more comprehensive value for its customers.

“Local content drives our business,” says Joseph, “everywhere we go as a company, we want the locals to own the business, to be part of what we do.”

Delivering efficiency “Agogo”

In early 2023, Azule Energy contracted Baker Hughes to provide subsea equipment and services for the Agogo offshore oilfield in Angola. In this case Azule required ‘’that we build the trees in Angola, putting supply chains around a local vendor and developing them’’, says Adeyemo. Baker Hughes subsequently ramped up a receiving facility with the necessary overhead crane and testing equipment to assemble subsea trees and manufacture manifolds for installation. 

“Today they have been able to successfully deliver manifolds and 10 of the 34 required trees,” Adeyemo says. “Several have been successfully deployed subsea, and the project is on schedule to produce oil by Q3 2025.”

He adds that Baker Hughes previously built a similar project in Nigeria and has the capability in Ghana. “We can scale this up anywhere in SSA in response to customer and country requirements.” 

Mature asset interventions and business culture initiatives

In addition to greenfield projects, Baker Hughes also brings the capacity to intervene on mature assets to improve their productivity. 

“In Nigeria, we’ve been able to successfully intervene on eight wells using equipment based on a purpose-designed Marine Platform Limited vessel, and we are currently doing the same in Angola for Azule in conjunction with Ocean Installer vessel” Adeyemo says.

Together, ensuring efficient production from existing wells, and bringing new fields into development will help deliver ongoing energy security to the region.

Over more than a decade, Baker Hughes’ localization strategy has contributed to economies and communities across SSA. For the people employed by Baker Hughes in their home countries, the company is a beacon of diversity and inclusion and contributes to a strong working culture and opportunities for all members of society.

“In 2025, we will focus on driving our culture with every channel partner. We want to make sure that less advantaged people are given opportunities.” Joseph says. ‘’Localization is a journey for Baker Hughes. If we continue that journey, we can make a positive impact on the lives of people in Sub-Saharan Africa every day” he adds.