Borr Drilling Ups Backlog by $21MM

Borr Drilling Limited reported Monday that it has entered into a new contract and letters of intent for three of its currently warm-stacked rigs.

The recent awards, which will raise the number of Borr’s committed and contracted rigs to 14 and add approximately US$21 million to its total backlog, also present good prospects for additional backlog on the three drilling units, the company noted in a written statement.

According to Borr’s most recent fleet status report, PTTEP has contracted the Gunnlod and Saga jack-ups and ROC Oil has secured the Mist rig – with all three drilling units bound for offshore Malaysia.

Borr reported that PTTEP has hired the Gunnlod from next month until at least March 2021, with an option to extend the contract into the third quarter of next year. It also stated PTTEP has committed to the Saga for one year starting this September, with an extension option to the fourth quarter of 2022. ROC’s contract for the Mist will run from September of this year until next March, with an option to extend the term into the third quarter of 2021, Borr added.

“The tender activity in the jack-up market troughed in March/April this year caused by the negative development in the oil price,” Borr stated.

Borr added that it now sees “clear signs of increased activity levels,” buoyed by crude oil trading near $40 per barrel.

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