Borr Drilling has announced contract extensions for three of its premium jack-up rigs and provided an update on collections in Mexico.
The rigs Galar and Gersemi have each been awarded two-year firm contract extensions that will commence in direct continuation of their existing contracts in Mexico. The extensions also include two one-year unpriced options and improved commercial and payment terms. In addition, the rig Njord has received a contract extension through April 2026.
The contract value of the extensions is approximately $213 million(1), excluding options. The Company remains in active discussions with its customer in Mexico regarding long-term extensions for contracts that expire in the second quarter of 2026.
Additionally, the Company recently received payments of approximately $19 million for its operations with Pemex. These collections, coupled with recent initiatives in Mexico to strengthen Pemex finances, support the Company’s confidence in the continued normalization of payment activity moving forward.
(1) The Company provides the rigs to its customer on a fixed-rate bareboat charter; however, the contract value in this release is adjusted to a gross dayrate-equivalent basis.
Source: Borr Drilling
