Lianson Fleet Group (LFG) has signed a non-binding term sheet with PV Drilling, a subsidiary of PetroVietnam, to review potential cooperation in the offshore oil and gas services sector, with a focus on the jack-up rig market. The announcement was made in Kuala Lumpur on 18 November.

Both companies intend to form a joint venture in Malaysia, with LFG holding 5% and PV Drilling holding 49%. The proposed entity would examine activities that include owning drilling rigs, chartering rigs, providing drilling-related services, and supporting decommissioning operations. The initial plan sets a target of two jack-up rigs for deployment in Malaysia. LFG stated that, subject to customary conditions, a shareholders’ agreement is expected to be completed by the first quarter of 2026.

PV Drilling is part of the Vietnam National Industry-Energy Group (PetroVietnam). LFG executive chairman Lim Chern Wooi said the planned collaboration aligns with the group’s intention to diversify its service offerings and reinforce its position in Southeast Asia. He noted that combining LFG’s offshore support vessel capability with PV Drilling’s rig expertise and established market presence would enable both parties to address the growing drilling activity in the ASEAN region.

Nguyen Xuan Cuong, president and CEO of PV Drilling, said that the two companies’ operational experience in supplying drilling rigs and related services, along with LFG’s resources and infrastructure in Malaysia, would support the creation of an integrated service platform designed to meet market requirements. He added that the cooperation is expected to provide stable and cost-efficient solutions for exploration and production (E&P) projects and deliver additional value for E&P operators in the region.