#Bermuda #Hamilton #Borr Drilling #Prospector 1 #Natt

Borr Drilling Limited Announces New Contract Commitments

Borr Drilling Limited (NYSE: BORR) has recently made headlines with the announcement of new contract commitments for its premium jack-up rigs, bolstering its operations in the North Sea and West Africa. This strategic move is expected to significantly enhance the company’s revenue stream and solidify its position in the offshore drilling industry.

Contract Overview

In the North Sea, the Prospector 1 has successfully secured binding Letters of Award (LOAs) from both Dana Petroleum and ONE-Dyas, two key players in the oil and gas sector. The contract with Dana Petroleum involves drilling one well with an estimated duration of 30 days, starting in November 2025. This contract showcases the confidence that industry leaders have in Borr’s operational capabilities.

Meanwhile, the ONE-Dyas contract covers three wells over a timeframe of 210 days, anticipated to commence in December 2025. This contract directly follows the completion of the previous work, ensuring continuity for the Prospector 1. Furthermore, this contract offers options that may increase the job duration by an additional 210 days, providing further revenue potential for Borr Drilling.

In West Africa, the rig Natt has been contracted by New Age to perform drilling on one well scheduled to begin in November 2025. This contract is expected to last around 60 days, contributing to the company’s portfolio in African waters.

Overall, these new commitments are set to cover a total of 300 days, representing a combined revenue backlog of more than $43 million. Importantly, this figure does not take into account potential revenues from options, mobilization, and demobilization payments which could further enhance financial returns.

Operational Updates

Additionally, prior to these announcements, the LOA for the rig Odin in Mexico has successfully converted into a formal contract, with operations already underway. This development highlights Borr's ability to transition from interest letters to binding agreements effectively, securing revenue and operational continuity.

Forward-Looking Statements

Borr Drilling maintains a focus on transparency concerning future projections. In the related press release, the company emphasizes the forward-looking statements that characterize its contracts. Such statements are subject to various risks and uncertainties, which may cause actual results to differ significantly from the anticipated figures. Critical considerations include operational performance under contract, the exercise of contract options, and the company's capacity to convert letters of intent (LOIs) into contracts. This further reflects the inherently volatile nature of the oil and gas industry.

Industry Implications

The recent commitments by Borr Drilling signal a positive outlook for the company and the wider drilling sector, particularly given the growing demand for offshore drilling services as energy markets stabilize. With global energy prices recovering and a renewed interest in exploring untapped regions, these contracts place Borr Drilling in a competitive position to leverage forthcoming opportunities.

Investors and stakeholders will undoubtedly be watching closely as the company continues to build on this momentum. The contracts not only signify immediate revenue but also establish a foundation for long-term growth within a fluctuating industry landscape.

For further inquiries, interested parties can contact Magnus Vaaler, CFO, at +44 1224 289208 for additional information regarding the company’s strategic updates and future direction.