Offshore drilling unit of Malaysia’s Velesto Energy has won a contract for one of its jackup rigs from Phu Quoc Petroleum Operating Company (PQPOC) in Vietnam.
The contract was awarded to the 2013-built Naga 4 jackup, which was hired to drill over 40 wells for the Vietnamese firm.
The deal for the independent-leg cantilever jackup drilling rig has an estimated contract value of over $40m.
Drilling operations are set to begin in the first half of 2026, with the contract expected to enhance Velesto’s rig utilisation and contribute positively to its financial performance in 2026 and 2027.
This latest agreement is supporting Velesto’s strategic expansion into the Southeast Asian market, most notably Vietnam.
PQPOC was established and nominated by Petrovietnam to operate two blocks offshore Vietnam and develop the Block B Gas Project. The partners in the project are Petrovietnam, Petrovietnam Exploration Production Corporation, MOECO, and PTTEP.
The framework for the project development is to supply over 5bn standard cubic meters of gas per year to customers in the Southwest region of Vietnam.
