Australian marine services provider Bhagwan Marine Limited has secured a contract from a major oil and gas operator to remove oil tanker moorings and navigation buoys at Barrow Island, marking a strategic step into a wider offshore decommissioning programme.
The award is seen as an entry point into a broader pipeline of asset retirement projects linked to ageing infrastructure in the region. The scope of work will allow the company to demonstrate its technical capabilities in nearshore and shallow-water environments, where demand for efficient removal solutions is expected to grow.
Bhagwan Marine said it is developing a removal methodology that could be replicated across similar projects, positioning the firm to capitalise on a rising number of decommissioning campaigns. Many offshore operators face comparable challenges as legacy infrastructure reaches the end of its operational life, particularly in mature basins.
The company has been steadily building its credentials in this segment. In 2024, it completed the Thevenard Island project, one of Australia’s largest offshore decommissioning undertakings. The campaign involved the removal of nine platforms and required approximately 180 offshore personnel, with more than 850,000 hours worked. The project underscored Bhagwan Marine’s ability to manage complex operations while maintaining safety and efficiency standards.
Since then, the company has expanded its portfolio through additional assignments, including work on Northern Endeavour operations in the Timor Sea, as well as projects involving the Harriet Alpha and Angel platforms offshore Western Australia. These engagements have strengthened its presence in the evolving decommissioning market.
Industry projections indicate that Australia is entering a prolonged phase of offshore asset retirement, driven by ageing oil and gas infrastructure. Estimates suggest total decommissioning liabilities could reach US$60bn, with the bulk of activity concentrated in Western Australia and the Gippsland Basin. Assets slated for removal include platforms, pipelines, wells and subsea installations, creating sustained demand for specialised marine contractors.
Bhagwan Marine’s leadership believes the latest contract reinforces its long-term strategy to expand in this space. Managing director Loui Kannikoski said the company has been positioning itself to capture emerging opportunities across Australia’s offshore basins.
He added that the development of scalable and cost-effective removal techniques will be critical as decommissioning activity accelerates over the coming decade. With its fleet, engineering expertise and operational experience, Bhagwan Marine aims to secure a larger share of what is expected to be a multi-billion-dollar market.
Two Malaysian companies are coming together to support the growth of offshore energy services locally and across the region.
Oil and gas services provider Handal Energy and BumiRaya Petroleum have signed a joint venture agreement to establish a special purpose vehicle that will support the offshore crane services market.
Offshore lifting and other specialist services will play an integral role in the ongoing development of Malaysia’s energy sector, and the wider region, supporting projects and maintenance on new and existing platforms in all areas from well interventions through to decommissioning.
A statement posted to the Malaysian stock market noted that the joint venture expects a “big order book” from the oil and gas sector, as it targets “hundreds of offshore platform opportunities” across the Asia-Pacific region.
The collaboration aims to combine Handal’s financial strength and technological foundation as a listed company with BumiRaya’s flexibility in professional engineering services and market expansion, said BumiRaya managing director Taha Sheikh Mohammad.
“Through our partnership with Handal, BumiRaya will enhance its corporate image and share the advantages of a listed company in financing, such as private placements, rights issues, or bond financing, which will provide the financial impetus for future large-scale expansion.”
Handal will hold a 60% stake in the joint venture, while BumiRaya will hold 40%.
Taha Sheikh Mohammad added that BumiRaya recently completed a RM1 million (US$252,000) crane project from Petra Energy, and currently has 63 similar potential contracts, which it plans to transfer to the joint venture for execution.
According to the statement, there are currently 420 offshore cranes in the region.
Handal, which has experience in manufacturing, refurbishment, repair, leasing and engineering services, owns 15 cranes ready for immediate operation, supporting various offshore platforms.
BumiRaya, a private company established in 2012, holds 12 Petronas operating licenses and is focused on providing specialised technical services, including project management for offshore pedestal cranes and lifting equipment.
Its track record includes work on numerous large-scale projects off Malaysia, Thailand and Brunei, with clients such as Hess and Petronas.
“Looking ahead, with oil prices expected to remain high in the coming years, Handal and BumiRaya are optimistic about order growth,” the statement concluded.
“Both parties believe that this joint venture will more effectively integrate resources, providing a one-stop solution from crane upgrades, such as hydraulic and electrical system updates, to crane leasing, fully capitalising on the golden opportunities presented by the oil and gas industry's recovery.”
Global energy technology group SLB, through its OneSubsea joint venture, has been hired for more work on Malaysia’s first deepwater field, which has now been in production for almost 20 years.
It highlights the growing role of specialist technology and support, including well and intervention services, as the country’s offshore sector matures.
In this latest project, SLB OneSubsea has been awarded an engineering, procurement and construction (EPC) contract by PTTEP Sabah Oil Limited, for various services on the Kikeh field, the country’s first deepwater oil and gas development, which started producing since 2007 — when the first subsea tree manufactured by SLB OneSubsea in Malaysia was deployed.
PTTEP Sabah Oil Limited is a subsidiary company of PTT Exploration and Production Public Company Limited (PTTEP).
“Building on our long-standing collaboration with PTTEP, this award supports the next phase of the development of Malaysia’s deepwater resources,” said Mads Hjelmeland, CEO of SLB OneSubsea.
“With more than two decades of experience supporting PTTEP’s subsea projects, our team is well positioned to deliver safe, efficient and integrated execution across all three recent contract awards.”
The contract expands SLB OneSubsea's role in delivering integrated subsea production systems (SPS) for PTTEP's deepwater portfolio offshore Malaysia and marks the third major SPS award from PTTEP in the last 12 months.
As part of the EPC contract, SLB OneSubsea will deliver comprehensive SPS equipment for the second development of the Kikeh 3B project, including three subsea trees, a manifold, a subsea distribution unit and integrated control systems, along with project management and associated services.
Project execution will run through 2026 and 2027, supported by SLB OneSubsea's manufacturing and services facilities in Malaysia.
“Today, SLB OneSubsea continues to work alongside PTTEP to expand production, at water depths of 1,300-1,400 metres, while increasing local manufacturing of high-value subsea equipment and systems, strengthening local supply chains and building expertise and capabilities in the region,” the company noted in a statement.
Velesto Energy Berhad has kicked off 2026 on a strong note, securing a long term drilling contract from PETRONAS Carigali Sdn. Bhd. for its NAGA 2 jack-up rig. The deal spans a firm period of five years, with operations already underway as of February 2026 and expected to run through to 2030.
For a company that operates in one of the more demanding corners of the energy sector, this kind of contract is no small thing. A five year commitment from one of the region's most prominent operators signals genuine confidence in Velesto's capabilities and track record. It also gives the Group something that every drilling company values deeply — visibility. Knowing where your assets will be deployed, and for how long, makes planning far more straightforward and keeps revenue streams steady even when market conditions shift.
Megat Zariman Abdul Rahim, President of Velesto, said, "The award marks an important milestone for Velesto and an excellent start to 2026. The five-year engagement for NAGA 2 reflects our continued progress in maximising the utilisation of our core assets while strengthening earnings visibility. We appreciate the trust placed in Velesto and remain committed to delivering safe operations and consistent performance throughout the contract period."
The rig at the heart of this contract is no ordinary piece of kit. NAGA 2 is an independent leg cantilever jack-up drilling rig built to handle serious operational demands. It carries a drilling depth capability of 30,000 feet and is rated for operating water depths of up to 350 feet, making it well suited for the offshore environments found across Malaysia and the broader Southeast Asian region.
This latest award fits neatly into Velesto's wider strategy of disciplined asset management and focused execution across its core operating markets. With NAGA 2 now firmly committed for the next five years, the Group looks to be in a solid position heading into the rest of the decade.
PT Pertamina has signed a memorandum of understanding (MOU) with global drilling giant Halliburton to accelerate the deployment of advanced well construction and stimulation technologies in Indonesia.
Under the MOU, the two companies will evaluate opportunities for various advanced well services, Halliburton reported in a media statement.
This will include: multi-stage hydraulic fracturing, acid stimulation, advanced cementing services, as well as the potential application of closed-loop automation and artificial intelligence capabilities to improve drilling and fracturing performance in selected onshore fields.
According to Simon A. Mantiri, president director of PT Pertamina, the collaboration forms an integral part of the Indonesian state energy firm’s sustainable transformation of upstream production, increasing national lifting and ensuring reliable energy supply.
“With the support of advanced technology and global expertise, we are confident that mature fields can be revitalised and optimised to unlock their full potential, enabling the fields to, once again, be productive and contribute to national energy production,” he said.
Martin White, senior vice president, Asia Pacific, Halliburton, said his team brings global experience to local field operations to improve stimulation effectiveness and optimise production.
“Halliburton integrates proven unconventional methodologies with localised reservoir insights to improve performance, strengthen local capabilities, and deliver technology-based solutions that maximise asset value for our customers,” he noted.
“The MoU also expands Halliburton’s unconventional completions footprint in Indonesia and emphasises how the company’s collaborative approach maximises asset value.”
A Victorian parliamentary inquiry has heard warnings that ageing subsea pipelines in Bass Strait could leach hazardous contaminants into the marine environment, while also presenting a major opportunity for domestic steel recycling.
Witnesses appearing before the Legislative Council Environment and Planning Committee’s inquiry into decommissioning oil and gas infrastructure highlighted serious concerns over the legacy pollution from offshore facilities in Victoria’s Gippsland region.
Fern Cadman, Fossil Fuel Industry Campaigner at the Wilderness Society, told the committee that around 800 km of subsea pipelines in the Gippsland offshore area contain naturally occurring radioactive materials, mercury, hydrocarbons, and heavy metals.
These substances pose risks to human health and the environment.
“Even if buried, eventually they will degrade, and all that is going to end up in the environment,” Cadman said.
Stan Woodhouse from Friends of the Earth echoed these fears, noting that contaminants can bioaccumulate and transfer through the food chain.
“If we leave it on the seabed, it will end up on our dinner plates,” he said.
The groups urged full removal of the pipelines before corrosion advances, rejecting industry claims that removal is too difficult.
Cadman countered, “Industry says it’s too hard to remove them, but engineers say almost anything can be done, you just have to be prepared to pay for it and use the right tools.”
The committee is examining the scale, legal ownership, and structure of Victoria’s oil and gas infrastructure, including offshore wells, pipelines, high-pressure transmission systems, low-pressure distribution networks, and projects in Commonwealth waters.
In contrast, Jerusha Beresford, Sustainability Adviser at the Australian Steel Institute (ASI), presented decommissioning as a strategic resource for Australia’s circular economy.
The first phase of Bass Strait platform retirements is expected to yield 60,000 tonnes of high-grade steel from 12 platforms, with much more anticipated over the coming decade.
Beresford called for prioritising local recycling into domestic steel manufacturing rather than export.
“We are strongly recommending that the scrap steel recovered from the decommissioning of the Bass Strait oil and gas infrastructure is recognised as a valuable national resource,” he told the committee.
Demand for steel in renewable infrastructure is projected at about 400,000 tonnes annually through to 2030, making retained scrap essential.
Recycling scrap dramatically cuts carbon intensity compared with primary production from iron ore and coal, supporting low-emission steelmaking via electric arc furnaces (up to 90% recycled content) or enhanced blast furnace processes.
Economic benefits are substantial: every 10,000 tonnes processed locally generates 37 jobs and AUD$4.8mn in value-add, versus just AUD$1.3mn if exported.
Without regulation, contractors may export scrap for short-term profit, as past patterns suggest.
Beresford described the moment as a “once-in-a-generation” chance to bolster manufacturing, create employment, and advance sustainability in an industry employing 100,000 people and generating AUD$30bn yearly.
The committee’s report is due by June 2026.
Asia Pacific is preparing for a steady year of high impact exploration in 2026, with around 10 to 12 significant wells expected across the region.
While global exploration remains measured, activity here reflects a careful balance between ambition and financial discipline. Operators are focusing on frontier areas with the potential to unlock sizeable new plays, particularly in deep water settings.
Offshore Papua New Guinea, attention centres on the long anticipated Mailu prospect. This well is expected to test a frontier deep water carbonate play that could open a new chapter for exploration in the area. In Malaysia, deep water activity will also gather pace. The Jampuk and Langka prospects are both set to probe carbonate systems that remain lightly explored but technically promising.
Indonesia is likely to see renewed frontier drilling. Petronas may spud Akbar 1 in the Bobara production sharing contract in eastern Indonesia. If it proceeds, the well will bring an end to a twelve year pause in frontier deep water drilling in that region. At the same time, Eni continues its exploration efforts in the Kutei Basin, where it is drilling the large Miocene fan prospect known as Geliga. Success there could strengthen confidence in the wider basin.
In India, ONGC and Oil India are due to wrap up their frontier campaigns in the Andaman and Kerala Konkan basins in early 2026. The next phase of high impact drilling could then shift towards deeper waters, led by Vedanta Cairn India in the Krishna Godavari basin block KG DWHP 2017 1.
Australia is also expected to re enter the exploration scene. Santos is planning a return to drilling in the Roebuck Basin from late 2026, targeting potential Triassic plays at Curie and Ara. This marks a long awaited step back into frontier activity for the company.
Overall, Asia Pacific’s 2026 drilling programme signals cautious optimism, with several wells capable of reshaping the region’s exploration landscape.
Malaysia’s Vantris Energy continues its corporate transformation after rebranding from Sapura Energy in 2025 with work on projects in support of the country’s offshore sector.
Its indirect wholly-owned subsidiary, Sapura Offshore Sdn Bhd, has been awarded work orders for offshore transportation and installation (T&I) services in Malaysia by Petronas Carigali Sdn Bhd.
The awards comprise the provision of T&I services for offshore facilities at the Sepat Integrated Redevelopment Project and the Belud South Greenfield Development Project.
Work on both is set to commence early this year by the group’s engineering and construction (E&C) arm, with Belud South anticipated for completion by the end of 2027, and Sepat by the third quarter of 2029.
The company said in a statement that it also marked a “strategic shift” towards opportunities with lower-risk contracting models.
“These contracts demonstrate Vantris Energy’s offshore T&I capabilities, and our continued focus to deliver sustainable performance across our core businesses, prioritising opportunities aligned with our capabilities, regional strengths, and risk appetite,” said Vantris Energy CEO Muhammad Zamri Jusoh.
With a stronger balance sheet following its restructuring in late 2025, the company is keen to strengthen its business across all areas of operation.
Vantris Energy is also active in numerous other areas, including oil well intervention and decommissioning.
The company also last month announced the divestment of its 40% equity interest in L&T-Sapura Shipping Pvt. Ltd., which owns and operates the LTS3000 heavy-lift and pipelay vessel.
The company sold up to its joint-venture partner, Larsen & Toubro Limited (L&T), in a deal valued at US$30.5mn, consisting of equity consideration and the full repayment of the outstanding shareholder’s loan and accrued interests owed to the group.
It marked another step in Vantris Energy’s ongoing efforts to streamline, strengthen and optimise its asset portfolio, according to Jusoh.
The Asia-Pacific offshore decommissioning market is steadily gaining importance within the wider global offshore decommissioning industry.
Although the region still lags behind North America and Europe in terms of total market value, it is expected to record strong growth over the coming years. This expansion is being driven by aging offshore oil and gas infrastructure, evolving regulatory frameworks, and rising environmental concerns, all of which are pushing operators and governments to prioritise end of life asset management.
Market research indicates that the APAC offshore decommissioning market in 2024 was valued at around US$1.5bn, with expectations that it will grow to more than US$3.5bn by 2035 at a CAGR approaching 7.8 % from 2025 to 2035. Major offshore producing nations including China, India, Japan, South Korea, Malaysia, Thailand, and Indonesia are playing a central role in this expansion. According to GM Insights, the Asia-Pacific market alone is forecast to grow at a CAGR of over 6 % through 2034, supported by the ageing of offshore assets and stronger regulatory oversight.
China currently holds the largest share of the regional market, supported by strict environmental standards and a significant number of ageing offshore installations. India is also emerging as a strong growth market, driven by supportive policies and shifts in national energy strategies. Meanwhile, Japan and South Korea are placing greater emphasis on advanced technologies and safety focused decommissioning methods, while countries such as Malaysia, Thailand, and Indonesia continue to develop their decommissioning capabilities as offshore fields mature.
Technological progress including robotics and remotely operated vessels, along with closer collaboration between stakeholders, is helping to reduce costs and address logistical challenges. Despite hurdles such as high execution costs and regulatory complexity, increasing environmental scrutiny and scheduled asset retirements position the APAC offshore decommissioning sector as a key growth area through 2035, creating long term opportunities for service providers and technology innovators.
T7 Global Bhd secured a new offshore work order through its wholly owned subsidiary, Tanjung Offshore Services Sdn Bhd, marking another milestone in its growing relationship with PETRONAS Carigali Sdn Bhd.
In a filing with the bourse, the group said the contract covers integrated well plug and abandonment services together with project management team support for the Zuhal East well. The work order is scheduled to take effect from Nov 17, 2025 to March 31, 2026, positioning the group for steady activity over the coming period.
The latest award follows T7 Global’s earlier appointment as a panel contractor under PETRONAS Pan Malaysia contract. Under that programme, the group provides integrated well continuity services covering intervention, workover and abandonment, reinforcing its role across the upstream oil and gas value chain.
T7 Global said the new contract is expected to make a positive contribution to the group’s earnings and net assets for the financial year ending Dec 31, 2025 and beyond until the contract expires. This outlook aligns with the group’s broader strategy to strengthen long term revenue visibility in the energy services sector.
The announcement also comes shortly after a leadership transition. Slightly over a month ago, Azman Yakim was appointed group chief executive officer, taking over from Tan Kay Zhuin after three years in the role. Despite the upbeat developments, the group’s shares slipped half a sen or 1.69 percent to 29 sen at the noon break, valuing T7 Global at US$261.8million.
Halliburton and the Agency for Science, Technology and Research (A*STAR) in Singapore have announced the launch of the Next-Generation Energy Xccelerator Joint Lab, or NEX Lab.
This S$35mn initiative aims to accelerate the development and commercialisation of advanced well completion technologies for the energy industry.
“NEX Lab brings together Halliburton's global expertise in well completions and A*STAR's multidisciplinary research capabilities to advance cutting-edge technology that shapes the future of energy and the Future of Completions,” said Shawn Stasiuk, Senior Vice President of Halliburton’s Completion and Production Division.
“The combination of our strengths will deliver innovative solutions that support customers within the full spectrum of completion technologies, including low-carbon applications for the evolving energy landscape.”
In a statement, Halliburton said that NEX Lab will serve as a collaborative hub for research, engineering and testing.
The aim is to streamline the transition from early-stage innovation to field deployment by integrating design, prototyping and validation activities all under one programme.
“By integrating Halliburton’s global expertise with the local innovation ecosystem, NEX Lab will increase demand for specialists in high-value technical roles and build a more competitive, future ready talent pool for Singapore,” it noted.
The project is also supported by the Singapore Economic Development Board (EDB) with Alvin Tan, Singapore's Minister of State for Trade and Industry, officiating at the launch event.
Prof Lim Keng Hui, Assistant Chief Executive of A*STAR's Science and Engineering Research Council, said the collaboration with Halliburton will help to translate research into real-world solutions.
“Through NEX Lab, we will work with Halliburton to build advanced manufacturing and energy technology capabilities in Singapore and create opportunities for our scientific and engineering talent to deliver impact beyond the joint lab. NEX Lab will also help develop and qualify local suppliers, strengthening resilient, high-value energy supply chains.”
Halliburton has collaborated with A*STAR since 2019 through the A*STAR Advanced Remanufacturing and Technology Centre's industry consortium, investing more than S$2mn in R&D and embarking on projects focused on materials and design improvements, workflow and inspection automation, and sensor development.
Lim Wey-Len, Executive Cice President of EDB, said NEX Lab exemplifies Singapore's leadership in advanced manufacturing and innovation.
“We welcome more collaborations with global energy leaders like Halliburton, so that companies can develop breakthrough solutions from Singapore that strengthen their global competitiveness and advance the energy transition.
“This collaboration will also create meaningful upskilling and innovation opportunities for local enterprises and our workforce.”
MFE Inspection Solutions has launched MFE Offshore, a dedicated new division focused entirely on subsea and offshore operations.
Designed to meet the demanding needs of offshore oil and gas, offshore wind energy and wider maritime industries, the new division strengthens MFE’s commitment to delivering reliable inspection technology and real world expertise where conditions are at their toughest.
Offshore environments are unforgiving. Equipment must perform under constant exposure to saltwater, extreme weather, restricted access and complex subsea conditions. Recognising this reality, MFE Offshore has been built to support operators with tools and systems that work beyond controlled environments and perform consistently in the field.
Dylan Duke, CEO of MFE Inspection Solutions, said,“Offshore inspections are incredibly complex, and demand more than just good equipment. For over 30 years, MFE has supported industrial inspections by helping customers choose the right tools, train their teams, and build workflows that actually work in the field. MFE Offshore formalizes that approach for subsea and offshore operations, bringing together specialized technology, deep technical support, and experienced offshore leadership."
Unlike traditional inspection providers, MFE Offshore follows a consultative model. The team works closely with clients to understand operational challenges, identify suitable inspection technologies and provide hands on training. Support continues well beyond deployment, ensuring teams remain confident and effective long after equipment is delivered.
Wendy Post, General Manager of MFE Offshore added,“Offshore personnel don’t have the luxury of trial and error. Harsh environments, limited access, and tight inspection windows mean everything has to work the first time. MFE Offshore was built to support those realities, helping operators find inspection tools designed for offshore use, training teams to deploy them correctly, and staying engaged long after the equipment arrives.”
MFE currently supports more than 9,000 companies worldwide and delivers over 26,000 hours of technical training each year. With the introduction of MFE Offshore, the company expands its mission to empower inspection teams with dependable technology, expert guidance and long term support tailored specifically to offshore and subsea operations.
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