Malaysia’s Icon Offshore has confirmed media reports that it is in talks to acquire a drilling rig from compatriot Perisai Petroleum Teknologi.

Local media reported that Icon was preparing to buy Parisai’s subsidiary which owns the jack-up Perisai Pacific 101 for $40 million.

Perisai originally ordered the rig from Singapore’s Sembcorp Marine in May 2012 for $208 million, while contracts for two sister rigs were cancelled in 2017 following the expiry of deferment agreements.