OSLO (Bloomberg) - Seadrill Ltd., a Norwegian oil-rig operator with stakes in drillers Scorpion Offshore Ltd. and Pride International Inc., said the companies have complementary assets that could be combined.

"They have attractive assets," CEO Alf Thorkildsen said yesterday in an interview. "There could be reason to merge those. But so far we haven't been able to find the right tune to dance to. It takes two to tango."

Seadrill, controlled by billionaire John Fredriksen, has a 9.5 percent stake in Houston-based Pride and 38.6 percent in Bermuda-based Scorpion. It said last month it is seeking a role in consolidating the industry, in the so-called jack-up and deepwater markets. That could include merging with Scorpion or combining the companies' jack-up rigs, Mr. Thorkildsen said.

Pride operates 23 rigs and has four under construction, while Scorpion has six jack-up rigs and one being built, according to the companies' websites. Jack-ups have legs that extend to the sea floor. Seadrill, based in Bermuda and run from Norway, operates 33 rigs and has seven under construction.

"We've always been open to consolidation," Anthony Gallegos, vice-president of business development at Scorpion, said by telephone from Houston. "Seadrill would be an obvious candidate. The two fleets put together would be a great combination."

Scorpion rose 0.4 krone, or 1.2 percent, to 33.3 kroner in Oslo trading, the highest closing price in 16 months. Seadrill increased 1.8 percent to 139.9 kroner, while Pride climbed 3.9 percent to $29.19 as of 11:53 a.m. in New York.

Kate Perez, a Pride spokeswoman, said she could not comment on discussions regarding mergers and acquisitions.

Last month Seadrill reported a fourth-quarter profit of $379 million following a loss a year earlier. Demand increased after crude prices last year recovered from their 2008 slump, rising the most since 1999. The price rebound prompted oil explorers to reconsider shelved spending plans, potentially boosting rental rates for rigs.

Seadrill is "well-positioned" to consolidate the industry, Frank Harestad, an analyst at Pareto Securities, said in a March 3 note. "Scorpion could serve as a vehicle for a pure-play jack-up company, while adding Pride's floaters would give Seadrill the second-largest high-end floater fleet in the world."

Seadrill plans to complete its share listing in the US in March or April, Mr. Thorkildsen said. "If M&A opportunities should materialise, it's an appropriate place to be for raising funds," he said.

The company on February 25 raised its quarterly dividend to 55 cents a share from 50 cents. "We have the potential to raise it to 60 cents," Thorkildsen said, without giving a timeframe.

Seadrill may sell and lease back units to free up cash for the dividend once there's a market for it, Mr. Thorkildsen said. The company has nine units free of liens and available as collateral for debt that could free up as much as about $2.5 billion in cash, he said. Seadrill has no "imminent" plans to sell its two oldest jack-up rigs, West Larissa and West Janus, he said.

The company, whose clients include Exxon Mobil Corp., Royal Dutch Shell Plc and Chevron Corp., got a $445,000 day rate for its most recent contract, a February order for the deepwater West Gemini rig.

Rates for deepwater units should return to about $500,000 in 2012 as higher demand absorbs the extra rigs coming in this year and next, Mr. Thorkildsen said.

Seadrill expects to announce a contract for its West Leda jack-up rig in the next two weeks, which may fetch about $140,000 a day, Mr. Thorkildsen said, declining to identify the client.