Baker Hughes Hydrogen Strategy 2025: Dominating the Value Chain with Key Acquisitions and Projects

From Components to Cornerstone: Baker Hughes’ Commercial Pivot in Hydrogen and Ammonia Projects

Baker Hughes executed a decisive strategic pivot in 2025, transforming from a component supplier into an integrated solutions provider for the global hydrogen and ammonia economies. This shift is most prominently highlighted by its landmark agreement to acquire Chart Industries for $13.6 billion and its selection as a core technology partner for the world’s largest low-carbon energy projects. The company’s actions demonstrate a clear strategy to deliver technology across the entire value chain, from production and liquefaction to transport and end-use, solidifying its position in both blue and green hydrogen pathways.

• Between 2021 and 2024, Baker Hughes focused on validating its foundational technologies and forming early-stage partnerships. Key activities included supplying advanced hydrogen compression for the NEOM Green Hydrogen Complex, developing its 100% hydrogen-ready NovaLT™ gas turbines, and signing Memorandums of Understanding with major developers like Fortescue Future Industries (FFI) and ADNOC.
• Starting in 2025, the strategy accelerated from validation to large-scale commercial execution. The acquisition of Chart Industries integrated world-leading capabilities in cryogenics and liquefaction, creating a comprehensive end-to-end technology portfolio that few rivals can match.
• This new integrated capability was immediately validated by the selection of Baker Hughes to supply a comprehensive suite of technologies, including compressors, turbines, and carbon capture, for the Blue Point Number One project in Louisiana, set to be the world’s largest low-carbon ammonia plant.
• The company also advanced into new end-use markets by partnering with Hanwha to develop a ~16 MW, 100% ammonia-capable gas turbine, directly targeting the decarbonization of the hard-to-abate maritime sector.

Baker Hughes’ 2025 Investment Strategy: A Multi-Billion Dollar Push into Hydrogen and Ammonia Leadership

The company’s financial commitments in 2025 reflect its aggressive strategy to build out its hydrogen and ammonia capabilities. The acquisition of Chart Industries represents a transformative capital deployment, supplemented by targeted investments in R&D and next-generation technologies to secure a long-term competitive advantage.

Table: Baker Hughes’ Strategic Investments in Hydrogen & Ammonia (2021-2025)

Mapping the Alliances: How Baker Hughes’ Hydrogen Partnerships Evolved in 2025

Baker Hughes has built a global network of partnerships to secure market access, de-risk technology development, and embed its solutions in flagship projects. The evolution from exploratory MoUs in 2021-2024 to binding commercial and joint development agreements in 2025 signals a major acceleration in its market strategy.

Table: Baker Hughes’ Key Hydrogen & Ammonia Partnerships (2021-2025)

Baker Hughes’ Global Reach: North America and Middle East Drive Commercial Growth in 2025

Baker Hughes expanded its geographic focus from foundational partnerships in Europe and the Middle East to securing large-scale project contracts in the U.S. and solidifying its role in Saudi Arabia’s giga-projects in 2025.

• Between 2021 and 2024, Europe was a key region for technology validation, including the Snam Adriatic Line partnership in Italy and the hydrogen testing facility in Florence. Simultaneously, the Middle East was central for large-scale green hydrogen ambitions, marked by collaboration on the NEOM project in Saudi Arabia and a partnership with ADNOC in the UAE.
• In 2025, North America emerged as a major commercial battleground. Baker Hughes secured its role as a key technology supplier for the Blue Point Number One project in Louisiana, demonstrating its ability to win contracts for world-scale blue ammonia facilities in the U.S.
• The company’s position in Saudi Arabia was reinforced as the NEOM Green Hydrogen Project, where Baker Hughes supplies critical compressors, reached 80% completion, cementing its role in one of the world’s most significant green energy undertakings.
• Asia-Pacific partnerships also intensified, notably through the joint development agreement with South Korea’s Hanwha for ammonia turbines and collaboration with Australia’s Provaris Energy for compressed hydrogen transport.

Baker Hughes’ Technology Trajectory: From R&D Validation to Commercial-Scale Deployment

Baker Hughes‘ technology strategy matured from testing and validation between 2021 and 2024 to large-scale commercial deployment and full value chain integration in 2025.

• The earlier period was defined by technology validation, culminating in the opening of a dedicated hydrogen testing facility in March 2024 and the successful testing of its NovaLT™ turbine on 100% hydrogen. The company also made strategic investments in next-generation technologies like solid oxide electrolysis with Elcogen.
• In 2025, the technology moved to commercial scale. Baker Hughes is now supplying a full suite of technologies, including its proprietary Autothermal Reforming (ATR) process, for the world-scale Blue Point Number One blue ammonia plant.
• The acquisition of Chart Industries was a critical step, integrating commercially-ready liquefaction, storage, and transport technologies into its portfolio, which allows Baker Hughes to offer comprehensive, end-to-end solutions.
• Development of end-use applications accelerated with the Hanwha partnership to create a 100% ammonia-capable gas turbine, with a full engine test targeted by the end of 2027, proving a clear path to commercializing new technologies.

SWOT Analysis of Baker Hughes’ Hydrogen and Ammonia Strategy

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

Future Outlook: Integration and Execution Are Key to Baker Hughes’ Hydrogen Dominance

The successful integration of Chart Industries by mid-2026 and the flawless execution of contracts for giga-projects like Blue Point Number One will determine if Baker Hughes can solidify its position as the indispensable technology provider for the hydrogen economy.

• The primary indicator of success in the coming year will be the smooth integration of Chart Industries‘ operations and technology portfolio to realize the projected synergies and deliver a seamless, end-to-end offering to customers.
• The market will closely monitor progress on the 100% ammonia-capable gas turbine being co-developed with Hanwha. The full engine test targeted for the end of 2027 is a critical validation point for the company’s strategy to enter the marine decarbonization market.
• Future order intake will be the clearest signal of market adoption. Watch for new announcements of integrated technology packages that combine Baker Hughes‘ traditional strengths in turbomachinery with Chart‘s expertise in liquefaction and storage.

Frequently Asked Questions

What was the most significant change in Baker Hughes’ hydrogen strategy in 2025?
In 2025, Baker Hughes made a decisive pivot from being a component supplier to an integrated solutions provider for the hydrogen and ammonia value chains. This transformation was primarily driven by its landmark agreement to acquire Chart Industries for $13.6 billion, enabling the company to offer a comprehensive portfolio from production and liquefaction to transport and end-use.

Why was the acquisition of Chart Industries so important for Baker Hughes?
The acquisition of Chart Industries was a transformative move because it integrated world-leading capabilities in cryogenics, liquefaction, and storage into Baker Hughes’ existing portfolio of compression and turbine technology. This resolved a major gap in its offerings and created a vertically integrated technology leader capable of delivering end-to-end solutions that few rivals can match.

What types of hydrogen projects is Baker Hughes involved in?
Baker Hughes is active across multiple hydrogen pathways. It is a core technology partner for major ‘green’ hydrogen projects like the NEOM Green Hydrogen Complex and ‘blue’ hydrogen/ammonia projects such as the Blue Point Number One plant in Louisiana, where it supplies technologies including Autothermal Reforming (ATR) and carbon capture. The company has also invested in ‘turquoise’ hydrogen technology through its partnership with Ekona Power.

How is Baker Hughes planning to enter new end-use markets like maritime?
Baker Hughes is targeting new end-use markets through strategic partnerships to develop specific applications. A key example is its joint development agreement with Hanwha to create a ~16 MW, 100% ammonia-capable gas turbine. This project directly aims to decarbonize the hard-to-abate maritime sector, with a full engine test targeted by the end of 2027.

What are the main risks to Baker Hughes’ hydrogen strategy going forward?
The main risks include the significant integration challenge of the $13.6 billion Chart Industries acquisition and the execution risk tied to the successful and timely Final Investment Decisions (FIDs) of the giga-projects it supports. As an integrated solutions provider, the company’s success is now more heavily dependent on the overall progress of these large-scale projects, and it faces increased competition from other integrated players like Air Products and Linde.