Signing ceremony with Baker Hughes Senior Vice President for Climate Technology Solutions Alessandro Bresciani, Raban Al Safina Executive Vice President Hussain Saihood, witnessed by Iraqi Prime Minister H.E. Mohammed Shia' Al Sudani
Project aims to reduce emissions at the Bin Umar plant in South-Eastern Iraq, using Baker Hughes’ portfolio of emissions abatement solutions
Memorandum of understanding signed in Washington, D.C., in the presence of the Prime Minister of Iraq, amid broader U.S.-Iraq engagement
Washington D.C. – April 19, 2024 – Baker Hughes, an energy technology company, announced Friday it has signed a memorandum of understanding (MoU) with Iraq-based Halfaya Gas Company (HGC) with the objective of setting the basis to establish a collaboration for a gas flaring reduction project at the Bin Umar gas processing plant in southeastern Iraq. The signing took place in Washington, D.C., in the presence of H.E. Mohammed Shia' Al Sudani, prime minister of the Republic of Iraq, during the prime minister’s official visit to the United States to strengthen bilateral ties and facilitate new private sector initiatives, including enhancing the resilience and sustainability of Iraq’s energy ecosystem.
The MoU shall lay the groundwork for Baker Hughes and HGC to collaborate by leveraging Baker Hughes’ proven technology and experience in developing and implementing deflaring solutions, including the supply of critical turbomachinery and process equipment, a pre-Front End Engineering and Design (FEED) study of modular gas processing skids, and supporting the project’s selected FEED contractor in developing the plant design.
HGC is a special purpose company, owned by Raban Al Safina for Energy Projects (RASEP), that was established to deliver a new gas processing plant to serve the onshore Bin Umar field. In late 2023, the Iraq Ministry of Oil (MOO) awarded a build-own-operate-transfer (BOOT) contract to HGC. The field produces 40,000 of barrels per day and over 150 million of standard cubic feet per day of associated sour gas, currently flared or used (untreated) as a fuel gas for a nearby power plant. HGC’s Bin Umar gas plant will convert waste gas into treated dry gas, Liquefied Petroleum Gas (LPG) and condensate for domestic use and export.
Through the deployment of Baker Hughes’ portfolio of emissions abatement technologies, HGC will aim to reduce emissions and improve the efficiency of its gas processing plant by reutilizing the gas that would otherwise go to waste, supporting HGC and Iraq’s overall prioritization of gas projects to meet the country’s power needs and to curb flaring.
The collaboration builds on Baker Hughes’ existing and successful work with Iraq's state-owned South Gas company for the construction of modular gas processing plants at the Nasiriya and Gharraf oil fields in the Dhi Qar province to capture and treat gas that would otherwise be flared.
About Baker Hughes
Baker Hughes (NASDAQ: BKR) is an energy technology company that provides solutions for energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner, and more efficient for people and the planet. Visit us at bakerhughes.com.
