U.S. oilfield services provider Baker Hughes Co. said on July 30 it had authorized Baker Hughes Holdings LLC to repurchase up to $2 billion of its common units.
The move comes as oil and gas companies keep their focus on shareholder returns over spending to expand production, even as crude prices climb to their highest levels since 2018.
Chevron Corp. also said on July 30 it planned to resume share buybacks this quarter at an annual rate of $2 billion to $3 billion, after halting purchases last year.
Royal Dutch Shell Plc, TotalEnergies SE and Equinor ASA are also resuming buybacks.
Shares of Baker Hughes were up 1.3% to $21.44 in mid-morning trading. Benchmark Brent crude were broadly flat at $76.18/bbl.
With this new project, water will now comprise over 25% of the total company’s contract operations backlog.
Rig market utilization levels in the U.S. are expected to gradually increase between 2020 and 2025, but other global markets are predicted to make a speedier comeback.
The EPSm contract approach is an example of open innovation that delivers wells on a partial turnkey basis.