Borr Drilling has been awarded new contracts and extensions for five of its jack-up drilling rigs spanning Southeast Asia and the Middle East.
Borr said the awards increased its backlog by approximately 2,530 days, excluding optional periods.
The jack-up rig ‘Gunnlod’ secured a contract with an undisclosed operator in Southeast Asia, expected to commence in direct continuation of its current contract. The work will cover 11 wells with an anticipated duration of 186 days plus options.
Its ‘Mist’ unit also had options exercised by Thailand’s PTTEP for a total duration of approximately 3.5 months and it is now expected to remain contracted with the company until Q4 2022.
Meanwhile ‘Saga’ has secured a contract with another undisclosed operator in Southeast Asia. The contract will commence in direct continuation of its current contract with Hess until mid-Q3 2022. Work will involve a one-well drilling program with an anticipated duration of 45 days.
In addition, Borr said it has secured long-term contracts in the Middle East with an undisclosed operator for two more jack-up drilling units, though the units were not named.
These contracts have a firm duration of three years plus options each and are expected to commence in the second half of 2022.
These awards increase the company’s contracted fleet to 20 rigs out of a total of 23 delivered rigs.
Borr Drilling said it remains in “constructive discussions” with its lenders in relation to the deferral or refinancing of its debt maturing in 2023 and expects such discussions to be successfully concluded on or before 30 June, 2022.
In December the company announced it had had reached agreements with its largest creditors, the Singaporean yards, to refinance and defer a combined $1.4 billion debt maturities and delivery instalments from 2023 to 2025.
The agreement saw the company commit to making cash repayments on the accrued costs and capitalised payment-in-kind interest owed to the yards during 2022 and 2023, in addition to other amendments made in January 2021 negotiations.
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