Baker Hughes Awarded Integrated Coiled-Tubing Drilling Contract for Dubai Petroleum Establishment’s Margham Gas Storage Project
Baker Hughes (BKR) has secured a multi-year contract with Dubai Petroleum Establishment (DPE) to provide integrated coiled-tubing drilling services for the Margham Gas storage project. The project aims to enhance Dubai's energy supply stability by enabling switching between natural gas and solar power.
The contract expands Baker Hughes' involvement in the Margham Gas project, where they are already supplying Integrated Compressor Line (ICL) units for gas storage, injection, and export. The company will implement their CoilTrak™ coiled-tubing bottomhole assembly system, which enhances reservoir connectivity through efficient slim-hole multilateral drilling.
This integrated solution combines coiled-tubing drilling, under-balanced drilling, and the CoilTrak™ system to maximize reservoir contact during horizontal drilling, important for underground gas storage operations. The project supports Dubai's transition towards lower-carbon energy capabilities.
Baker Hughes (BKR) ha ottenuto un contratto pluriennale con Dubai Petroleum Establishment (DPE) per fornire servizi integrati di perforazione con tubi coiled per il progetto di stoccaggio di gas di Margham. L'obiettivo del progetto è migliorare la stabilità dell'approvvigionamento energetico di Dubai, consentendo il passaggio tra gas naturale e energia solare.
Il contratto amplia il coinvolgimento di Baker Hughes nel progetto di gas di Margham, dove stanno già fornendo unità di Integrated Compressor Line (ICL) per lo stoccaggio, l'iniezione e l'esportazione del gas. L'azienda implementerà il sistema di assemblaggio di fondo CoilTrak™, che migliora la connettività del serbatoio attraverso una perforazione multilaterale slim-hole efficiente.
Questa soluzione integrata combina la perforazione con tubi coiled, la perforazione sotto-bilanciata e il sistema CoilTrak™ per massimizzare il contatto con il serbatoio durante la perforazione orizzontale, fondamentale per le operazioni di stoccaggio del gas sotterraneo. Il progetto supporta la transizione di Dubai verso capacità energetiche a basse emissioni di carbonio.
Baker Hughes (BKR) ha asegurado un contrato de varios años con Dubai Petroleum Establishment (DPE) para proporcionar servicios integrados de perforación con tubería enrollada para el proyecto de almacenamiento de gas de Margham. El proyecto tiene como objetivo mejorar la estabilidad del suministro energético de Dubái, permitiendo el cambio entre gas natural y energía solar.
El contrato amplía la participación de Baker Hughes en el proyecto de gas de Margham, donde ya están suministrando unidades de Integrated Compressor Line (ICL) para el almacenamiento, inyección y exportación de gas. La empresa implementará su sistema de ensamblaje de fondo CoilTrak™, que mejora la conectividad del reservorio a través de una perforación multilateral de orificio delgado eficiente.
Esta solución integrada combina la perforación con tubería enrollada, la perforación bajo equilibrio y el sistema CoilTrak™ para maximizar el contacto con el reservorio durante la perforación horizontal, lo que es importante para las operaciones de almacenamiento de gas subterráneo. El proyecto apoya la transición de Dubái hacia capacidades energéticas de bajo carbono.
베이커 휴즈 (BKR)는 두바이 석유 공사(DPE)와 마르감 가스 저장 프로젝트를 위한 통합 코일 튜빙 드릴링 서비스를 제공하는 다년 계약을 체결했습니다. 이 프로젝트는 자연가스와 태양광 간의 전환을 가능하게 하여 두바이의 에너지 공급 안정성을 강화하는 것을 목표로 하고 있습니다.
이 계약은 베이커 휴즈의 마르감 가스 프로젝트 참여를 확대하며, 이미 가스 저장, 주입 및 수출을 위한 통합 압축기 라인 (ICL) 유닛을 공급하고 있습니다. 이 회사는 효율적인 슬림홀 다각형 드릴링을 통해 저수지 연결성을 향상시키는 코일트랙™ 코일 튜빙 바닥 조립 시스템을 구현할 것입니다.
이 통합 솔루션은 코일 튜빙 드릴링, 언더밸런스 드릴링 및 코일트랙™ 시스템을 결합하여 수평 드릴링 중 저수지 접촉을 극대화합니다. 이는 지하 가스 저장 작업에 중요합니다. 이 프로젝트는 두바이가 저탄소 에너지 능력으로 전환하는 데 기여합니다.
Baker Hughes (BKR) a obtenu un contrat pluriannuel avec Dubai Petroleum Establishment (DPE) pour fournir des services de forage intégrés avec tubage enroulé pour le projet de stockage de gaz de Margham. Ce projet vise à améliorer la stabilité de l'approvisionnement énergétique de Dubaï en permettant le passage entre le gaz naturel et l'énergie solaire.
Le contrat élargit l'implication de Baker Hughes dans le projet de gaz de Margham, où ils fournissent déjà des unités de Integrated Compressor Line (ICL) pour le stockage, l'injection et l'exportation de gaz. L'entreprise mettra en œuvre son système d'assemblage de fond CoilTrak™, qui améliore la connectivité du réservoir grâce à un forage multilatéral à trou mince efficace.
Cette solution intégrée combine le forage avec tubage enroulé, le forage sous-équilibré et le système CoilTrak™ pour maximiser le contact avec le réservoir lors du forage horizontal, ce qui est important pour les opérations de stockage de gaz souterrain. Le projet soutient la transition de Dubaï vers des capacités énergétiques à faibles émissions de carbone.
Baker Hughes (BKR) hat einen mehrjährigen Vertrag mit Dubai Petroleum Establishment (DPE) abgeschlossen, um integrierte Coiled-Tubing-Bohrdienstleistungen für das Margham-Gasspeicherprojekt bereitzustellen. Das Projekt zielt darauf ab, die Stabilität der Energieversorgung Dubais zu verbessern, indem der Wechsel zwischen Erdgas und Solarenergie ermöglicht wird.
Der Vertrag erweitert das Engagement von Baker Hughes im Margham-Gasprojekt, wo sie bereits Integrated Compressor Line (ICL)-Einheiten für die Speicherung, Einspeisung und den Export von Gas liefern. Das Unternehmen wird sein CoilTrak™-Coiled-Tubing-Bodenbaugruppen-System implementieren, das die Reservoirvernetzung durch effizientes Slim-Hole-Multilateralbohren verbessert.
Diese integrierte Lösung kombiniert Coiled-Tubing-Bohrungen, unterbalancierte Bohrungen und das CoilTrak™-System, um den Reservoirkontakt während der Horizontalbohrungen zu maximieren, was für die unterirdischen Gasspeicheroperationen wichtig ist. Das Projekt unterstützt Dubais Übergang zu kohlenstoffärmeren Energiefähigkeiten.
- Multi-year contract secured for integrated coiled-tubing drilling services
- Expansion of existing business relationship with Dubai Petroleum Establishment
- Additional revenue stream from previously secured ICL units contract
- None.
Insights
Baker Hughes' multi-year contract with Dubai Petroleum Establishment represents a strategic expansion of their footprint in the Margham Gas storage project. This builds on their previous supply agreement for Integrated Compressor Line units, showcasing the company's ability to cross-sell complementary technologies and secure additional business from existing customers.
The deployment of their proprietary CoilTrak™ coiled-tubing bottomhole assembly system highlights Baker Hughes' technological differentiation in a competitive oilfield services market. This system enables more precise horizontal drilling that maximizes reservoir contact – a critical capability for efficient underground gas storage operations.
From a business perspective, this contract demonstrates two key strengths: First, Baker Hughes is successfully leveraging its diverse technology portfolio to deliver integrated solutions spanning both upstream drilling and midstream compression. Second, the company continues building its presence in the strategically important Middle East region, where national energy companies are making significant investments in infrastructure modernization.
While the financial terms remain undisclosed, the multi-year nature of the contract provides Baker Hughes with improved revenue visibility in their Oilfield Services & Equipment segment, which represents a substantial portion of their overall business.
This contract positions Baker Hughes at the intersection of conventional energy optimization and low-carbon transition – a strategically valuable space as energy systems evolve. The Margham Gas storage project exemplifies the critical role natural gas infrastructure plays in balancing intermittent renewable generation, specifically enabling Dubai to "switch between natural gas and solar power" as needed.
Underground gas storage facilities like Margham represent essential flexible capacity in increasingly complex energy systems. By improving drilling efficiency and reservoir connectivity through their CoilTrak™ technology, Baker Hughes is helping create the infrastructure necessary for Dubai to increase its renewable penetration while maintaining energy security.
What's particularly notable is how this project repurposes a mature field for new energy transition applications. This approach – maximizing value from existing assets while supporting decarbonization – aligns perfectly with the pragmatic path most regions are taking toward lower-carbon energy systems.
For Baker Hughes, this contract reinforces their strategic positioning as an "energy technology company" rather than simply an oil services provider. By delivering solutions that bridge traditional and emerging energy needs, they're demonstrating adaptability to changing market demands while maintaining relevance in key hydrocarbon-producing regions that are themselves navigating energy transition challenges.
- CoilTrak™ system allows for increased reservoir connectivity through efficient slim-hole multilateral drilling
- Project strengthens Dubai’s low-carbon energy capabilities
- Award follows major order for Baker Hughes’ Integrated Compressor Line (ICL) units
HOUSTON and LONDON, March 26, 2025 (GLOBE NEWSWIRE) -- Baker Hughes (NASDAQ: BKR), an energy technology company, announced Wednesday a multi-year contract with Dubai Petroleum Establishment (DPE), for and on behalf of Dubai Supply Authority (DUSUP), to provide integrated coiled-tubing drilling services for the company’s Margham Gas storage project.
The project will provide stability to Dubai’s energy supply by strengthening the system’s ability to switch between natural gas and solar power.
Providing the coiled-tubing drilling increases Baker Hughes’ overall support of the Margham Gas project, which draws upon the mature field of the same name. Already set to supply the company’s Integrated Compressor Line (ICL) units for gas storage, injection and export, Baker Hughes’ broad portfolio is helping to create a reliable power system with reduced emissions.
“Baker Hughes has built a reputation as a leader in coiled-tubing drilling and mature assets solutions, and we bring a track record of success across the region to this important project,” said Amerino Gatti, executive vice president of Oilfield Services & Equipment at Baker Hughes. “Our integrated solutions approach combines industry-leading technology and expertise across the energy value chain to help DPE scale-up and develop reliable, secure and lower-carbon power solutions for their country.”
The project brings together Baker Hughes’ expertise in integration of coiled-tubing drilling, under-balanced drilling and the company’s industry-leading CoilTrak™ coiled-tubing bottomhole assembly (BHA) system. CoilTrak allows operators to more effectively navigate the subsurface environment during horizontal drilling to maximize reservoir contact, which is crucial for underground gas storage.
About Baker Hughes
Baker Hughes (NASDAQ: BKR) is an energy technology company that provides solutions to 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.
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Brian Reynolds
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brian.reynolds@bakerhughes.com
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FAQ
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