Lorenzo Simonelli, chairman and CEO of Baker Hughes, comments on Saudi Aramco's decision not to increase its production capacity to 13 million barrels of oil per day. Although he has not yet spoken to Aramco for details, Simonelli believes that the company will continue with its plans to increase capacity over the long term, despite the possibility of reassessing the timescales in the light of market dynamics.

He also discusses the current volatility and logistical challenges associated with the conflicts in the Red Sea region, but says that this has not yet impacted Baker Hughes.

Simonelli discusses the pause imposed by the US government on new liquefied natural gas (LNG) export projects to countries without a free trade agreement, a decision that could affect 12-16% of Baker Hughes' forecast orders. However, he remains confident that this situation will not have a negative effect on the company in 2024 and hopes that the US will reconsider its position in the future.

The CEO highlighted efficiency and technological innovation as key factors for the industry, noting that even a 1% improvement in mature oilfield performance could meet two to three years of consumer demand.

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