Malaysia's Lianson Fleet Group has entered into a non-binding term sheet with Petrovietnam Drilling and Well Service Corporation (PVD) to establish a joint venture focused on offshore drilling services. The agreement was signed on November 18, 2025.
The proposed joint venture aims to own and charter drilling rigs, as well as provide drilling-related services, decommissioning, and other oil and gas services. The initial asset target for the new entity is the ownership of two jack-up rigs, with Malaysia designated as the primary target market.
Under the indicative terms, LFG will hold a 51 per cent stake in the joint venture, while PVD will hold the remaining 49 per cent. The management composition is expected to include three directors from each company. The new entity will be incorporated in Malaysia, subject to mutual agreement and regulatory approvals.
LFG stated that the partnership represents a strategic opportunity to broaden its participation in the offshore oil and gas value chain within the ASEAN region. The company aims to leverage PVD's technical expertise and established regional presence to capitalise on renewed drilling activity and sustained upstream investment in Southeast Asia.
The parties intend to execute a definitive shareholders agreement to finalise the joint venture in the first quarter of 2026.
