Baker Hughes discloses SEC probe over projects affected by U.S. sanctions

Business

Oilfield services provider Baker Hughes said the Securities and Exchange Commission is conducting an investigation into the company’s sale of products in projects that were impacted by U.S. sanctions.

Baker was notified in December of the SEC’s formal investigation into its records and internal controls related with sales at the impacted projects, the company disclosed in its annual regulatory filing on Thursday. (bit.ly/3kqsNfS)

The Houston, Texas-based company added that it is providing the information sought by the SEC.

Baker Hughes did not specify the exact details of the investigation or which projects it was focused on. Reuters had reported on Thursday that Baker Hughes and 17 other firms recently quit work on Russia’s Nord Stream 2 natural gas pipeline and avoided being sanctioned for it.

The company said it has also initiated a review with the assistance of external legal counsel regarding the company’s internal controls and compliance related to U.S. sanctions requirements.

Baker said since the SEC investigation and the company’s internal review are ongoing, it could not anticipate the timing, outcome or impact of the investigation or review.