Malaysia’s rig owner Velesto, a subsidiary of Velesto Energy, has won a new multi-well drilling assignment for one of its jack-up rigs off the coast of Vietnam, Southeast Asia.
This drilling contract with Phu Quoc Petroleum Operating Company (PQPOC) in Vietnam will enable Velesto’s NAGA 4 jack-up rig to undertake drilling activities for more than 40 wells, supporting the Malaysian player’s strategic expansion into the Southeast Asian market, particularly Vietnam.
While operations are scheduled to begin in the first half of 2026, this deal is expected to contribute positively to the firm’s rig utilization and financial performance in 2026 and 2027. With a drilling depth capability of 30,000 feet, the NAGA 4 premium independent-leg cantilever jack-up drilling rig has a rated operating water depth of 400 feet. Megat Zariman Abdul Rahim , President of Velesto, emphasized: “This contract award reflects continued confidence in our operational capabilities and underscores our ability to deliver safe, efficient, and high-quality drilling services.
“It also supports our focus on securing value-accretive projects that strengthen earnings visibility and optimise fleet deployment. We are proud to be a partner for PQPOC on this very important project and look forward to contributing to its success.” During an interview with Offshore Energy , Velesto’s President, spotlighted three key pillars as the Malaysian firm’s focus areas, encompassing digitalization , sustainability , the shifting energy landscape in Asia, and how the company is positioning itself to seize opportunities in the region.
Rahim, who is convinced that gas will remain in high demand, has confirmed that Velesto will pursue carbon capture, utilization, and storage (CCUS) alongside greener alternatives to diesel, such as green methanol , to power offshore rigs in its quest to decarbonize its operations.