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Highlights

  • Upland has entered an asset acquisition agreement with Vanguard Drilling Limited.
  • The acquisition covers Vanguard’s proprietary drilling intellectual property, management systems, and selected personnel.
  • Upland Drilling Services Sarawak will act as the regional operational hub.

Upland Resources (LSE:UPL) is working on opportunities in Southeast Asia, with an initial focus on Sarawak. Over the past seven years, the company has developed a project on a block in northern Sarawak, identified as block SK334.

Asset Acquisition Agreement

On 1 October 2025, the company announced it had signed an Asset Acquisition Agreement with Vanguard Drilling Limited (Vanguard). The agreement covers Vanguard’s proprietary intellectual property, drilling management systems, and the integration of selected senior personnel into Upland’s operations.
Vanguard’s CEO, Josh Galloway, will join Upland as Head of Drilling Services and will manage the establishment of Upland Drilling Services Sarawak (UDSS) under Upland Big Oil (UBO).

Transaction Details

The acquisition covers the Vanguard Business Management System (VBMS), which integrates drilling safety protocols, operating procedures, manuals, risk frameworks, and competency development modules. Vanguard’s Mission Control Project Management Software, built on Salesforce with AI capabilities, provides real-time tracking of project costs, schedules, logistics, and risk management

Selected Vanguard personnel, including senior drilling specialists, engineers, and project leaders, will be seconded to Upland projects as required to maintain operational continuity. Consideration for the acquisition is structured as performance-based milestone payments, linking Vanguard’s long-term value creation to Upland shareholders and stakeholders.

Upland Drilling Services Sarawak (UDSS)

Upland Drilling Services Sarawak (UDSS) will serve as Upland’s regional operational hub, handling drilling and workover campaigns from start to finish. The unit will implement VBMS and Mission Control to manage cost, logistics, and drilling efficiency. Senior Vanguard personnel will be deployed to projects in Sarawak, Brunei, and Indonesia to ensure knowledge transfer and operational continuity. Local workforce development will be supported through Vanguard’s competency frameworks.

Strategic Rationale
The agreement enhances Upland’s operational and technical capabilities ahead of licensing and PSC awards. Vanguard’s operational experience, including onshore LOC rigs such as the Huisman LOC 400 #6, will support Upland’s upcoming work programs. The Mission Control AI platform will facilitate project forecasting, scheduling, and cost oversight. UDSS operates a regional platform that supports internal projects and provides services to third parties in exchange for production or project equity.

Comment from Vanguard CEO
Josh Galloway, CEO of Vanguard Drilling Limited, added:
"Vanguard has always prided itself on operational discipline and safety leadership. Integrating with Upland allows us to apply those strengths on a larger scale, in some of the most exciting growth markets in the world. Over recent months, my team and I have been working closely with Upland and are genuinely excited by the emerging potential. I have also participated in a number of constructive engagements with regulators and government representatives, which has reinforced the strong alignment between Upland and its stakeholders. I am delighted to join Upland as Head of Drilling Services, where we will ensure the successful execution of Upland's projects. Together, we are building an operator with distinctive capabilities and a compelling growth profile for shareholders."

Next Steps
The transaction is scheduled to close within thirty days. Additional updates will be provided after the execution of binding contracts.

UPL shares traded at GBX 1.75 per share on 1 October 2025, up 9.38% from its last close of GBX 1.60, with a market capitalization of £24.19M