Financial Wire

Borr Drilling Flags Rig Restarts, New Award; Dayrates Average $134,000 for 2026

-- Borr Drilling (BORR) said Monday its fleet recovery and new contract lifted 2026 coverage to 70% at about $134,000 dayrate amid Middle East disruptions.

The company said its Arabia III rig resumed offshore Saudi Arabia operations in late March, marking progress after earlier disruptions tied to geopolitical tensions in the region.

The Groa in Qatar and Arabia II in the UAE have received notices to restart, with both expected to resume work during April, the company said.

The Forseti rig, managed by a third party under a bareboat charter arrangement, is also preparing to restart operations in Qatar.

In the Gulf of America, the Odin rig faced delays due to additional maintenance work but is now expected to begin its contract with Cantium during April, the company said.

In Southeast Asia, the Skald was awarded a firm contract by an undisclosed client, with operations set to kick off in the second quarter of 2026 and continue for an estimated six-month period.

Following these updates, full-year 2026 contract coverage stands at 70%, with first-half coverage at 78% and second-half at 62%, alongside an average dayrate near $134,000, the company said.

Chief Executive Officer Bruno Morand said teams managed disruptions linked to Middle East tensions effectively, maintaining safe operations while positioning the fleet for a gradual return to activity.

He added that rising commodity prices and heightened energy security concerns are driving stronger demand, with customers accelerating tender awards and advancing drilling plans, positioning the company's fleet to capture growing activity.

Price: $6.04, Change: $+0.14, Percent Change: +2.37%

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Borr Drilling Flags Rig Restarts, New Award; Dayrates Average $134,000 for 2026 | Financial Wire