Borr Drilling, an offshore drilling player, has secured a batch of deals for four jack-up rigs in the Middle East, Southeast Asia, and North America. The firm also shed more light on the contracting state of play across the rest of its jack-up fleet.
With an estimated contract revenue of more than $129 million and a combined duration of approximately 1,300 days, including fixed-priced options, the new contract commitments for four of its premium jack-up rigs bring the total number of contracted rigs to 23 out of Borr Drilling’s fleet of 24 units.
“In line with our strategy to optimize near-term fleet utilization, these new commitments provide strengthened revenue visibility and increase our contract coverage to 84% at an average dayrate of $144,000 for 2025 and 45% at an average dayrate of $141,000 for 2026,” highlighted the rig owner.
The firm’s Arabia II rig, which is currently warm stacked, has won a binding letter of award from an undisclosed customer in the Middle East. This deal, set to begin in September 2025, is anticipated to have a firm duration of 500 days, plus a 200-day unpriced option. Borr Drilling explains that the contract includes an additional performance-based incentive that rewards superior performance.
The Thor and Gunnlod rigs have also landed a binding letter of award from an undisclosed customer in Southeast Asia. The first jack-up will undertake a well-based program with an estimated duration of 240 days starting in October 2025.
On the other hand, the second rig is slated to start a 100-day program in September 2025, following the completion of its current contract. Both rig agreements include one fixed-priced optional well, each estimated at 80 days.
Last but not least, the Odin rig has received a 30-day temporary suspension notice from Pemex in Mexico, effective early June. The rig owner explored alternative deployment options in the aftermath of the notice.
As a result, a letter of intent has been secured from an undisclosed independent oil company in Mexico for a 60-day accommodation program expected to commence in July. The assignment includes priced options for drilling works that could keep the rig contracted through Q2 2026.
Following this award, Borr Drilling claims that four of its seven rigs in Mexico are now committed to independent customers. The rig owner has secured 13 new commitments year-to-date 2025, equating to 3,010 potential contract days and $366 million in potential contract revenues, including firm term and priced options.
The drilling player recently took delivery of the final unit in its multi-rig series from Seatrium almost a year before its due date.