Borr Drilling, an offshore drilling player with its corporate base in Bermuda, has secured 13 contracts year-to-date, enhancing its backlog by adding 2,250 days and $274 million in jack-up rig deals.

Borr Drilling completed the acquisition of five premium jack-up rigs from Noble Corporation in January 2026 for a total purchase price of $360 million. The firm also entered into agreements to acquire five more premium jack-up rigs via a new 50/50 joint venture for a total purchase price of $287 million.

With 13 new deals in 2026, representing more than 2,250 days of backlog, the rig owner is optimistic about the offshore drilling market fundamentals in the future. The company also recognized contract commitments of a further 772 days upon completing its acquisition from Noble Corporation.

After quarter-end, the company closed an offering of $300 million aggregate principal amount of senior unsecured convertible notes due 2033, with proceeds primarily used to repurchase existing convertible bonds due 2028.

The Gerd jack-up rig concluded operations with Lime Petroleum in Benin in mid-February 2026 and started work with Foxtrot International in the Ivory Coast in direct continuation of its previous assignment. The Grid rig finished work with New Age in Congo in mid-March 2026 and began operations with Halliburton in Angola in late March 2026.

The Natt rig ended its job with Eni in Congo in mid-March 2026 and commenced operations with SNEPCO in Nigeria in late April 2026. The Gunnlod rig wrapped up its assignment with HLHV JOC in Vietnam in early April 2026 and kicked off operations with TLJOC in the same country in mid-May 2026.

While the Skald rig brought to an end its gig with Medco Energi in Thailand in mid-April 2026, the Idun rig drew to a close its job with PTTEP in Thailand in late April 2026, and the Groa rig concluded operations with QatarEnergy in Qatar in late April 2026.

On the other hand, the Odin rig’s assignment with Cantium has been delayed to June 2026. The Forseti rig, which was released from its work with QatarEnergy LNG in May 2026, remains under a bareboat charter agreement with Noble until December 2026.

Bruno Morand, Borr Drilling’s Chief Executive Officer, commented: “Our operational performance in the first quarter of 2026 resulted in technical utilization of 99.4% and economic utilization of 97.0%. Revenue for the period was $247.0 million, while first-quarter adjusted EBITDA was $88.5 million, primarily impacted by the late contract start-up of the Odin, in addition to a credit loss provision of $8.4 million.

“In the quarter, the Odin completed its mobilization from Mexico to the U.S. Gulf where operations were expected to start in February. However, start-up was delayed by additional contract preparation work and regulatory approvals. Looking ahead, we expect second quarter results to continue to be affected by the delayed start-up of the Odin, now anticipated to commence late June, as well as rigs transitioning between contracts.”

Borr Drilling reported in its latest fleet status report that options were exercised for the Joro jack-up rig from March 2026 to May 2026 by Siemens Energy in Germany. The Ran rig secured an extension from April 2026 to September 2026 with Eni in Mexico. The Skald rig won a contract from June 2026 to November 2026 with  Vestigo Petroleum in Malaysia.

The Thor rig obtained not only a contract from July 2026 to October 2026 with PVEP-Cuulong in Vietnam but also another deal from October 2026 to March 2027 with an undisclosed player in the same country.

The Sif rig secured a letter of intent (LOA) from July 2026 to October 2026 with an unnamed company in Suriname. The Prospector 5 rig got an LOA from July 2026 to May 2027 with BW Energy in Gabon.

Morand elaborated: “Our contracting strategy continues to focus on covering near-term uncontracted days, balancing day rates with contract tenor. Since our last earnings report, we have secured eight contract commitments, representing over 1,100 days of additional firm work. Our full-year 2026 contract coverage increased to 71% at an average day rate of approximately $137,000 and coverage in the second half of the year now stands at 65%, as compared to 48% in our prior earnings report.

“In the first quarter, we entered into an agreement for the acquisition of five premium jack-up rigs through a new joint venture in Mexico with an attractive valuation and financing structure. Upon closing, our fleet will in effect expand to 34 modern rigs. In April, we strengthened our capital structure through a $300 million convertible note offering, used to largely repurchase our existing 2028 convertible bonds. This transaction extended our maturity profile, lowered our financing cost, and increased the conversion price.”

The firm’s unaudited results for the three months that ended on March 31, 2026, show a total operating revenue of $247 million, a decrease of $12.4 million or 5% compared to the fourth quarter of 2025. The first quarter adjusted EBITDA was $88.5 million, a drop of $16.7 million or 16% compared to the fourth quarter of 2025.

Morand emphasized: “While the Middle East conflict has created near-term uncertainty, key tenders in the region continue to progress, with some modest delays. More broadly, in our view, recent events have strengthened the longer-term outlook for the sector, providing for a higher oil price and a renewed focus on energy security.

“Shallow-water basins continue to represent an attractive resource, offering low-cost, short-cycle barrels that enable our customers to respond rapidly to the market backdrop. Due to the planning and budgeting processes of our customers, we expect that improved activity and day rates will lag the oil price development by 6 to 12 months, as evidenced after the military invasion of Ukraine, when day rates strongly increased.

“Therefore, we are increasingly confident about the company’s prospects for 2027 and 2028 as we expect the disruptions from the conflict in the Middle East to be both substantial and long-lasting. With this backdrop, Borr Drilling’s expanded fleet is well placed to support our customers’ demand and deliver long-term shareholder value as the cycle develops.”

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