Baker Hughes Hydrogen Strategy 2025: From Oilfield to Energy Tech Leader

Baker Hughes Hydrogen Projects 2025: From Pilots to Commercial Scale

Baker Hughes has decisively shifted from pilot-scale hydrogen-blend demonstrations to securing full-scale commercial contracts for integrated systems, targeting high-demand sectors like data centers and industrial decarbonization. This strategic pivot from testing to execution is validated by a portfolio of commercial agreements in 2025 that leverage the company’s entire technology stack. The variety of applications, spanning power generation, future fuels, and carbon capture, signals a maturing market that is moving beyond exploratory phases and demanding comprehensive, commercially viable solutions.

• Between 2021 and 2024, Baker Hughes focused on technology validation through pilot projects, such as the successful test of a hydrogen-blend gas turbine at Enel’s Fusina power plant with Snam and a contract to supply hydrogen-ready equipment for the TERNA pipeline in Greece. These early projects established the technical feasibility of its turbomachinery with hydrogen blends.
• The year 2025 marked a transition to commercial deployment with significant contracts to supply hydrogen-ready NovaLT™ gas turbines to firms like TURBINE-X Energy Inc. specifically for the power-intensive U.S. data center market, addressing an immediate and high-growth commercial need driven by the AI boom.
• The company’s commercial scope expanded beyond power generation to include integrated industrial decarbonization projects, such as providing compressors and carbon capture technology for a new low-carbon ammonia plant in Louisiana and contributing to the SYRIUS steel decarbonization project with partner Elcogen.
• This progression from testing hydrogen blends in existing infrastructure to delivering complete, hydrogen-ready power and CCUS solutions for new markets like data centers and ammonia production demonstrates widening industry adoption and validates the commercial readiness of Baker Hughes’ technology.

Baker Hughes Hydrogen Investment Analysis: Funding the Energy Transition

Baker Hughes’ investment strategy evolved from foundational, ecosystem-building commitments between 2021-2024 to a landmark, transformative acquisition in 2025. This demonstrates a clear escalation in capital deployment designed to capture a leadership position across the entire hydrogen and CCUS value chain.

Table: Baker Hughes and Competitor Clean Energy Investments (2021-2025)

Baker Hughes Partnership Ecosystem: Building the Hydrogen Value Chain

Baker Hughes strategically transitioned from forming foundational technology partnerships between 2021-2024 to executing commercially-focused collaborations in 2025 designed to secure market share in high-growth adjacencies like data centers, maritime, and industrial decarbonization.

Table: Baker Hughes Strategic Clean Energy Partnerships (2021-2025)

Baker Hughes’ Global Hydrogen Footprint: From Europe to North American Growth

Baker Hughes has strategically expanded its primary geographic focus from foundational hydrogen projects and R&D in Europe to major commercial deployments and integrated infrastructure development in North America.

• The 2021-2024 period was characterized by building a European hub for hydrogen technology development. This included establishing a world-class hydrogen testing facility for its turbines in Florence, Italy, securing a contract for a hydrogen-ready pipeline with TERNA in Greece, and running a successful pilot at the Fusina power plant in Italy.
• In 2025, the company’s commercial center of gravity shifted decisively to North America. This is evidenced by multiple contracts to supply hydrogen-ready turbines for the U.S. data center market with customers like TURBINE-X and the development of a 256 MW power project with Frontier Infrastructure.
• Further reinforcing its North American push, Baker Hughes secured a technology supply agreement for a large-scale, low-carbon ammonia plant in Louisiana and is deploying advanced drilling and power systems for a major geothermal project in California.
• While North America became the primary growth market in 2025, Baker Hughes maintains its global strategy through key partnerships in the Middle East with ADNOC Gas for methane-to-hydrogen technology and in Asia with Hanwha for developing ammonia-fueled turbines.

Baker Hughes Hydrogen Technology: Advancing from R&D to Commercial Validation

Baker Hughes’ hydrogen technology has rapidly progressed from component-level R&D and pilot demonstrations to commercially validated, integrated systems deployed in revenue-generating projects.

• Between 2021 and 2024, the company focused on de-risking its core technology, culminating in the January 2024 launch of its Florence, Italy, test facility. This facility validates the performance of its NovaLT™ turbines with up to 100% hydrogen, providing the technical confidence required for commercial offerings.
• The year 2025 represents the transition to commercial validation, marked by supply contracts with companies like TURBINE-X. These agreements move the NovaLT™ from a test-bed asset to a commercial product being deployed to solve real-world energy challenges for data centers.
• The company’s technological scope has matured from focusing on individual components like turbines to delivering integrated systems. The partnership with Frontier Infrastructure is a key example, where Baker Hughes provides a bundled solution including power generation, carbon capture, and storage for a complete project.
• The $13.6 billion acquisition of Chart Industries in 2025 represents the most significant technological step-change. This move shifted Baker Hughes’ strategy from primarily in-house development and partnerships to acquiring mature, market-leading cryogenic technology, providing an end-to-end portfolio for the hydrogen and CCUS value chains.

SWOT Analysis: Baker Hughes’ Hydrogen Strategy Evolution

Table: SWOT Analysis of Baker Hughes’ Hydrogen Strategy (2021-2025)

2026 Outlook: What to Watch in Baker Hughes’ Hydrogen Execution

The critical indicator for 2026 will be the successful operational and financial integration of Chart Industries, which will determine if Baker Hughes can fully capitalize on its new end-to-end technology portfolio to dominate the clean energy systems market.

• Monitor the company’s ability to successfully cross-sell its legacy turbomachinery with Chart’s newly acquired cryogenic solutions. The key metrics will be combined revenue growth and announcements of integrated project wins that leverage both “hot” and “cold” technologies.
• Track the commercialization of the 100% ammonia-capable gas turbines being developed with Hanwha. The first commercial deployment, expected in the 2026-2027 timeframe, will be a critical proof point for the company’s strategy to decarbonize the maritime sector.
• Watch for the scaling of data center contracts beyond the initial 256 MW project with Frontier Infrastructure. The number and total megawatt capacity of new agreements for the NovaLT™ turbines will signal market traction in this high-growth sector.
• Look for major supply agreements stemming from partner Elcogen’s new 360 MW solid oxide cell factory. Orders for green hydrogen projects, like the SYRIUS steel decarbonization initiative, will validate the strategic investment and supply chain strategy.

Frequently Asked Questions

What was the biggest change in Baker Hughes’ hydrogen strategy in 2025?
The biggest change was the shift from pilot-scale technology demonstrations to securing full-scale commercial contracts. While earlier years focused on proving the feasibility of hydrogen-blend turbines, 2025 saw Baker Hughes signing deals to deploy its technology in high-demand sectors like data centers and industrial plants, signaling a move from testing to commercial execution.

Why was the acquisition of Chart Industries for $13.6 billion so important for Baker Hughes?
The acquisition of Chart Industries was a transformative move because it gave Baker Hughes critical in-house cryogenic technology for liquefying and transporting hydrogen and CO2. This acquisition resolved a previous weakness, allowing Baker Hughes to transition from a component supplier to an end-to-end solutions provider across the entire hydrogen and carbon capture value chain.

How is Baker Hughes targeting the energy needs of the booming AI and data center market?
Baker Hughes is targeting the data center market by supplying its hydrogen-ready NovaLT™ gas turbines for power generation, as seen in its contract with TURBINE-X. Furthermore, it has partnered with Frontier Infrastructure to offer a complete solution that bundles power generation with carbon capture, utilization, and storage (CCUS), addressing both the high energy demand and the decarbonization goals of this rapidly growing sector.

How has Baker Hughes’ geographic focus for its hydrogen business changed?
Initially (2021-2024), Baker Hughes’ focus was on building a European hub for hydrogen R&D and pilot projects, with key activities in Italy and Greece. In 2025, the company’s commercial center of gravity shifted decisively to North America, evidenced by major contracts for U.S. data centers and a large-scale low-carbon ammonia project in Louisiana.

Who are Baker Hughes’ main competitors and what threats do they pose?
The report identifies pure-play fuel cell manufacturers like Bloom Energy as key competitors. The primary threat, highlighted in the SWOT analysis, is that these competitors are also aggressively targeting the lucrative data center market. For example, Bloom Energy secured up to $5 billion in financing from Brookfield specifically to deploy its technology for AI and data center power, creating intense competition for market share.