Malaysia’s Velesto Energy is setting the stage to cut development costs for operators by launching an integrated offshore model with ICON Engineering to deliver rig-installed wellhead platforms (RIWHPs) for offshore oil and gas field developments in Malaysian waters.
The signing ceremony for the strategic alliance was held in Kuala Lumpur on October 15, 2025, bringing together Velesto’s track record in safe and efficient jack-up operations with ICON’s expertise in engineering and installing RIWHPs. As a result, the move is interpreted to enhance project efficiency and create new opportunities across the offshore value chain.
This model is said to offer operators a practical and cost-efficient way to develop shallow-water and marginal fields by integrating drilling and platform installation within a single offshore campaign, simplifying implementation, reducing capital requirements, and ensuring predictable delivery.
Commenting on this, Megat Zariman Abdul Rahim , President of Velesto, highlighted: “By aligning Velesto’s offshore drilling expertise with ICON’s innovative platform solution, we are delivering practical, cost-efficient outcomes for operators.
“This collaboration simplifies execution, enhances project assurance and builds Malaysia’s capability to deliver fast, fit-for-purpose offshore developments, keeping our upstream sector competitive and resilient in the years ahead. For Velesto, this marks an important milestone and reflects our continued focus in extending the role of our rigs beyond drilling.”
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The Asian giant describes this collaboration as a significant advancement for Malaysia’s offshore industry, introducing a first-of-its-kind delivery model that combines local expertise, operational excellence, and engineering innovation within a streamlined execution framework.
David Field , Managing Director of ICON, emphasized: “ICON has pioneered rig-installed platforms worldwide. Our approach consistently reduces development costs and risks by eliminating the need for large heavy-lift vessels.
“This collaboration enables operators to combine platform installation and well drilling under an integrated scope, simplifying interfaces and project delivery. Jack-up rigs are ideal assets for both drilling and construction. The combined resources of Velesto and ICON provide Malaysian operators with a unique and seamless service offering.”