Japan’s Eneos Drilling Signs Contract to Supply Jack-Up Rig Offshore Vietnam

Japan’s Eneos Drilling, a subsidiary of Eneos Xplora, has recently inked a deal with Japan Vietnam Petroleum Company (JVPC) to provide a jack-up rig for a drilling project offshore Vietnam. This agreement will see the Hakuryu-14 rig deployed in Block 15-2, located off the coast of Vung Tau, Vietnam, for a two-well drilling campaign lasting approximately 110 days. The operation is scheduled to commence between the end of May and mid-June 2025.

The Hakuryu-14 rig, constructed by PPL Shipyard in 2018, boasts a water depth capacity of 400 feet and utilizes a Baker Marine Design for its self-elevating cantilever jack-up drilling system.

The signing of this contract follows JVPC’s recent renewal of a production-sharing agreement for Block 15-2 with PVEP, a subsidiary of PetroVietnam. The new 25-year contract, effective from April 7, 2025, aims to sustain exploration activities at the Rang Dong and Phuong Dong fields within the block.

Block 15-2 spans an area of approximately 415 square kilometers in the Cuu Long basin, hosting the Rang Dong and Phuong Dong fields with an average water depth of 57-60 meters. JVPC reports that the block has yielded over 250 million barrels of oil as of September 2024, with a remarkable safety record of zero lost time injuries in over two decades.

The Rang Dong field houses MODEC’s floating storage unit (FSO) capable of handling 60,000 barrels of oil per day and storing up to 350,000 barrels. The FSO is contracted until at least April 2026, with potential extensions until 2028 through additional options.

Since acquiring its stake in Block 15-2 in 1992, JVPC has overseen the discovery and development of the Rang Dong and Phuong Dong fields. The company will retain a 45% interest and operatorship in the new PSC, with PVEP holding the remaining 55% share, as per their agreement outlined in a 2021 memorandum of understanding.

This new partnership underscores the commitment of both parties to sustain and enhance oil and gas production in Block 15-2 beyond the previous contract expiration, ensuring continued cooperation and operational success in Vietnam’s offshore energy sector.