Borr Drilling Limited Enters into New Contract, an Extension and Receives an Loa, Adding USD 35.1 Million over Approximately 480 Days to the Total Backlog
January 11, 2021 at 06:15 am
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Borr Drilling Limited has entered into a new contract, an extension and received an LOA, adding USD 35.1 million over approximately 480 days to the total backlog, with good prospects for additional backlog on these units. The previously announced LOI for the Norve, which is currently warm stacked, has been converted into a contact for two wells plus one option with BW Energy which is expected to commence operations in Gabon during April 2021. In Asia, the Idun has been awarded an LOA to commence operations in the first quarter of 2021, increasing the number of active rigs for the Company in Asia to a total of four. The contract's estimated duration, excluding options, is for a period up to 12 months. The company also announced a contract amendment on the Prospector 1 with the existing customer, One Dyas, for three optional wells, of which one has already been exercised. In addition the Prospector 1 has received an LOI for four wells plus options for operations in the North Sea, which has an estimated period of seven months. The recent awards will bring the total number of committed and contracted rigs up to 13, and are encouraged about this increased activity in the shallow water jack-up drilling market. Borr has four additional warm stacked rigs that can be brought into operation without significant activation capex.
Borr Drilling Limited is an offshore shallow-water drilling contractor providing offshore drilling services to the oil and gas industry. The Companyâs primary business is the ownership, contracting and operation of jack-up rigs for operations in shallow-water areas (in water depths up to approximately 400 feet), including the provision of related equipment and work crews to conduct oil and gas drilling and workover operations for exploration and production customers. It owns approximately 22 rigs with an additional two jack-up rigs. Its rigs include Skald, Groa, Idun, Thor, Norve, Gerd, Natt, Ran, Odin, Gersemi, Grid, Galar, Njord, Prospector 1, Saga, Prospector 5, Mist, Gunnlod, Frigg, Gyme, Hermod, Heimdal and Hild. It operates in significant oil-producing geographies throughout the world, including the North Sea, Mexico, West Africa, Southeast Asia, and the Middle East. The Company contracts its jack-up rigs primarily on a daily rate basis to drill wells for its customers.
Borr Drilling Limited Enters into New Contract, an Extension and Receives an Loa, Adding USD 35.1 Million over Approximately 480 Days to the Total Backlog