The contract was expected to start in 3Q 2019. In January, the rig received a six-well contract with three option wells.
The West Vencedor recently completed its work with Petronas offshore Myanmar.
The company said the rig will now stay in Southeast Asia to be marketed for additional opportunities.
Seadrill Partners is expected to receive a lump sum early termination payment in 3Q 2019 of about the amount of adjusted EBITDA that would have been earned under the firm term of the contract and backlog will decrease by $20 million.