Jack-up drilling rig, the Velesto NAGA 7, owned by Malaysia-based Velesto Energy Bhd, has sunk off Malaysia while under deployment to oil company ConocoPhillips.
NAGA 7 is an independent-leg cantilever jack-up rig that was delivered in January 2015. It has a drilling depth capability of 30,000ft and a rated operating water depth of 375ft. The rig was hired by ConocoPhillips in March to drill up to three wells. The commencement of drilling was tentatively set for H1 2021. The contract was valued at about $8m.
The board of directors of Velesto Energy Berhad said that the incident occurred at the worksite due to a “rapid penetration into the formation” on Monday May 3rd.
The NAGA 7 rig tilted and subsequently sank.
Velesto said that drilling activities had not started and no well had yet been drilled. All personnel onboard were safely evacuated to rescue vessels.
The company said that it was investigating the incident and was evaluating options.