With the drilling market slowing, Baker Hughes, Halliburton and SLB are leveraging their expertise in power generation and cooling to serve the burgeoning data centre sector. These oilfield service companies are now providing power solutions to tech companies, using gas-fuelled power units that can be built and activated much faster than traditional utility plants. This pivot addresses the increasing power demands of AI data centres, which traditional utilities often struggle to meet.
Baker Hughes has seen a rise in net income due to data centre contracts, contrasting with income declines experienced by competitors. These off-grid solutions, while potentially temporary, offer faster and more reliable power for AI firms. The shift signifies a reshaping of both the energy and tech sectors, with oil and gas firms hoping that increasing power needs at data centres will be a boon for their infrastructure.
This move allows energy companies to enhance seismic data processing, optimise reservoir simulations, and improve drilling precision using AI and high-density data centres. Companies are also using AI-driven predictive maintenance to reduce equipment failures and downtime.
