Safety, quality and reliability remain critical for Guyanese suppliers, says Baker Hughes

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Guyanese suppliers seeking work with tier one oil and gas companies must meet strict safety, compliance, quality, and reliability standards, Baker Hughes Caribbean Area Director Jon Rhodes said.

Rhodes made the comments at the fourth annual Local Content Summit 2026. There, he outlined Baker Hughes’ procurement outlook and supplier expectations.

Baker Hughes is one of ExxonMobil’s tier one service companies in Guyana. Rhodes said health, safety, and environment requirements are non-negotiable in the oil and gas industry.

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“We expect suppliers we have not only to be visibly and safely aware, but to drive that safety culture within their organizations, basically manage their risk, report risks, and show continuous improvement when it comes to safety,” Rhodes said.

He said suppliers must also have strong governance, internal controls, and auditable systems.

“[That’s] also a non-negotiable we expect people to be,” he added. 

Rhodes said Baker Hughes also looks at quality, technical competence, reliability, on-time execution, and responsiveness. “You’ve got to be able to consistently deliver, you’ve got to be technically competent, you’ve got to have documented systems to show that you can deliver the work that you’re bidding for, and you’re delivering,” he said. “These are the kind of things I look for when I look at a supplier.” 

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Rhodes said Baker Hughes was already compliant with 16 of the 40 sectors under Guyana’s Local Content Act when the legislation came out in 2021. By the end of 2025, he said, the company was fully compliant with 25 sectors. He said the remaining 15 sectors are not used by Baker Hughes.

Rhodes said Baker Hughes’ annual spend on local suppliers, employment, and capacity development is about US$45 million.

He said the company recently issued a tender for additional warehousing space and another facility to support increased activity in Guyana. The contract is expected to be worth about US$5 million to US$10 million.

More than 20 local suppliers submitted compliant responses.

“We’re currently evaluating those responses as we seek to deal with the increased activity that we’ve got coming,” Rhodes said.

Baker Hughes is also hiring 18 additional employees in Guyana. Rhodes said future opportunities for suppliers will grow as ExxonMobil and other operators continue drilling, exploration, and development work offshore Guyana.

He added that suppliers should take a long-term view of the sector, noting that Baker Hughes expects to be in Guyana for more than 20 years.

“I expect the suppliers, they have to see that kind of outlook as well, a long-term outlook, not just try and make all their money in the first year,” Rhodes said.

Rhodes said more than 55% of Baker Hughes’ workforce in Guyana is Guyanese and the company continues to train and develop local employees.

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