The locally incorporated joint venture GEMS Services (a BH Company) is leveraging integrated technologies to support the oil and gas industry in Equatorial Guinea across upstream, midstream and downstream operations, including digital solutions. Energy Capital & Power (ECP) spoke to General Manager, Manuel Masa Alogo, about the evolution of the company in Equatorial Guinea’s oil and gas sector.
Baker Hughes was one of the first oil and gas service providers to operate in Equatorial Guinea. Following a series of acquisitions, how has the structure of the company evolved since then?
From two separate companies to one major energy service provider company, Baker Hughes Inc. (BHI) was acquired by GE Oil & Gas in 2017, evolving into the BHGE company. By 2020, GE decided to release BHGE as a standalone company, giving birth to the new Baker Hughes company (BH). In Equatorial Guinea, since 2013, we have been operating as GEM Services EG S.A.R.L., a local incorporated joint venture between Equatoguinean company Grupo Memba and BH. Under its local identification of GEMS, BH provides a value-added service to operators in the oil and gas sectors, and by combining legacy GE and BHI expertise, BH has become a full stream service provide and digital solution. Over the past years, GEMS (a BH Company) has served in a mostly supportive capacity for customers in the maintenance of turbomachinery equipment in Punta Europa Complex, and other offshore platforms, with long-term service agreement to provide preventive and restorative services on equipment.
BH is an energy technology company with broad, multi-sectoral expertise spanning over 120 countries. How have the company’s full stream capabilities given it a competitive edge over other international service providers?
BH is an energy technology company that takes energy forward, making it safer, cleaner and more efficient for people and the planet. We develop and deploy the most advanced technologies to serve energy and industrial companies looking for more efficient, more reliable and cleaner solutions. Our diverse portfolio of technologies and solutions are transforming how industry works today and in the future. Our oilfield technology and services help companies operate efficiently and predictably, ensuring that projects are executed right the first time and assets consistently perform at peak productivity.
How is BH leveraging integrated technologies to advance Equatorial Guinea – and the continent at-large – on its path toward net-zero emissions?
It is important to highlight that fossil fuels currently produce the most energy consumed worldwide. The BH portfolio is enriched by digitalization, artificial intelligence and automation capabilities that enable remote operations, reduce risk and drive decarbonization efforts. Our energy technology solutions are helping energy and industrial companies achieve their ambitions on the path to net zero. We are delivering the most efficient solutions today and investing in the future decarbonization of the energy system.
To what extent do you see GEMS supporting Equatorial Guinea’s post-COVID-19 recovery in the oil and gas sector?
We are strategically positioning ourselves for an increased participation in the 2022-2024 forecast growth in Equatorial Guinea. We have a long-term view of the market and are actively pushing to increase our visibility and contribution to the oil and gas sector, as well as economic growth at-large in Equatorial Guinea. Given the current expertise of the company, we are ready to support the industry in upstream, midstream and downstream operations, including digital solutions.
The Ministry of Mines and Hydrocarbons has made clear its desire to grow the participation of local service providers within the sector. What is your approach to local content development and technical training?
The internal BH policy demands the usage of local capacity. This policy enhances local capacity building, which consequently reduces operating cost and increases profit. GEM Services EG S.A.R.L, (a BH Company) has a target of nationalizing its entire workforce, a strategy driven by BH internal policy. Currently, GEMS is about 89% local and continues working towards achieving 100% This internal policy helped BH be ahead of the Ministry degree in term of compliance with local content.
What is your message to potential investors looking at upstream and service opportunities in Equatorial Guinea?
Equatorial Guinea has proven to be a viable place to invest and do business. There is a wide range of oil and gas companies operating in Equatorial Guinea, from international majors to smaller juniors and independents. All of them conducting their business in a safe and secure nation. Equatorial Guinea is still mostly a greenfield country with a lot of opportunities ready to be exploited. GEMS (a BH Company) is strategically positioning itself for increased participation in the anticipated upstream renaissance in Equatorial Guinea, with a long-term view of the market and actively pushing to increase its visibility and contributions.
ECP, in partnership with the Ministry of Mines and Hydrocarbons, announced the launch of its Africa Energy Series: Equatorial Guinea 2021 campaign – comprising a report and documentary – that will serve as a critical tool to navigate the energy investment landscape of one of Africa’s more mature petroleum-producing markets. To participate in the upcoming Africa Energy Series documentaries, please contact [email protected] and to advertise or sponsor, please contact [email protected].
