Velesto secures new drilling contract for Naga 4 in Vietnam

PETALING JAYA: Velesto Energy Bhd has been awarded a drilling contract by Phu Quoc Petroleum Operating Company in Vietnam.

Under the contract, the oil and gas firm said its Naga 4 jack-up rig will undertake drilling activities for more than 40 wells.

Operations are expected to commence in the first half of 2026. The contract is expected to contribute positively to the Group’s rig utilisation and financial performance of 2026 and 2027.

Velesto president Megat Zariman Abdul Rahim said the contract award reflects continued confidence in the group’s operational capabilities and underscores its 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.”

Velesto said this long-term contract marks the group’s strategic expansion into the South-East Asian market, particularly Vietnam.

“With this new win, Velesto continues to demonstrate its competitiveness and strong positioning in the regional drilling industry.

“Naga 4 is a premium independent-leg cantilever jack-up drilling rig with drilling depth capability of 30,000 feet and has a rated operating water depth of 400 feet.”