San Matias Pipeline lets gas turbine contract to support Argentina’s LNG export plan

San Matías Pipeline, the unit spearheading construction of a pipeline to transport gas to Southern Energy SA's (SESA) floating LNG (FLNG) project in the Gulf of San Matías, Argentina, has let a contract to Baker Hughes to support the country’s effort to accelerate LNG exports.

The order consists of three NovaLT™16 gas turbines equipped with three centrifugal compressors, along with commissioning services, spare parts, special tools, and remote monitoring and diagnostic capabilities. The equipment will be installed at a gas compressor station near Allen, Río Negro, to support the transportation of natural gas from the Vaca Muerta formation to the Gulf of San Matias through a 36-in. OD pipeline, providing feed gas to Southern Energy’s two floating LNG vessels.

The project marks the first use of Baker Hughes’ NovaLT™ gas turbine technology in South America.

SESA, founded in 2024, holds Argentina’s first long-term LNG export agreement through a contract finalized in March with Germany’s Securing Energy for Europe GmbH (SEFE), committing 2 million tonnes/year (tpy) of LNG for an 8-year term with deliveries starting in late 2027.

SESA consortium partners are Pan American Energy (30%), YPF (25%), Pampa Energía (20%), Harbour Energy (15%), and Golar LNG (10%), targeting 2027–2028 production starts.