Borr Drilling Ltd 6-K, filed May 20, 2020
Borr Drilling Ltd (BORR)
6-K
2020-05-20
For: 2020-05-20
View Original
Added on
April 10, 2026
About this 6-K
Borr Drilling Ltd filed this 6-K on May 20, 2020.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of May 2020
Borr Drilling Limited
S. E. Pearman Building
2nd Floor 9 Par-la-Ville Road
Hamilton HM11
Bermuda
(Address of Principal Executive Office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Financial Statements and Exhibits.
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Exhibit
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Description
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Press release dated May 20, 2020
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| 99.2 |
Fleet status report May 2020
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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BORR DRILLING LIMITED
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Date:
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May 20, 2020
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By:
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/s/ Svend Anton Maier
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Svend Anton Maier
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Chief Executive Officer
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Exhibit 99.1
Borr Drilling Limited Announces Trading Update, Including Key First Quarter 2020 Financial Information
Hamilton, Bermuda, May 20, 2020: Borr Drilling Limited (“Borr”, “Borr Drilling”, “we” or the “Company”) (NYSE: BORR, OSE: BDRILL) announces a trading update, including
a limited financial analysis of the three months ended March 31, 2020.
This trading update given today is in lieu of the Company’s usual quarterly report and includes the Company’s Statement of Operations and a Balance Sheet for the first
quarter 2020 as an appendix prepared in accordance with US GAAP.
The Chairman of the Board, Paal Kibsgaard, commented:
“I am pleased with the first quarter financial results, where we in spite of operational challenges linked to COVID-19, saw a sequential increase
in operating revenues of 12% to $104.1 million, and Adjusted EBITDA reaching $25.4 million, an increase of $23.6 million compared to the fourth quarter 2019.
The first quarter financial performance was driven by “Saga”, “Idun” and “Prospector 1”, all generating revenue for a full three months, and by
lower operating expenses, as our rig activation program continued to wind down, as well as lower G&A costs compared to the fourth quarter 2019.
In response to the COVID-19 pandemic, the Company has taken a range of operational and business continuity measures to protect the health and
safety of our people, both onshore and offshore, and also to ensure that we can continue to serve our customers. With the weaker short-term outlook for oil prices and offshore activity, we have also implemented a company-wide cost reduction plan,
to reduce annual operating and G&A expenses by a further $35 million.
The Company continues to work on improving cashflow and strengthening the balance sheet through tight control of both operating expenses and
working capital. With 6 newly activated rigs unemployed due to reduced offshore activity, the liquidity required for rig classification and mobilization to secure new contracts is expected to be minimal.
The Company has, as a result of the weakened market, actively entered into discussions with the shipyards and creditors to create a liquidity
runway until 2022 even in an unlikely low scenario without any further contracts. These discussions are showing material progress, and the board expects the process to be finalized in the near-term.
In April, the Company sold the “B152” and “Dhabi II” rigs for total proceeds of $15.8 million, and Borr continues to be involved in other tender
processes which might lead to sale of some modern assets.
Looking at the total jack-up market, the number of contracted units have decreased from 387 to 371 units in the last 2 months, as a result of the
COVID-19 pandemic, and we expect this number to reduce further. However, as global oil demand is anticipated to rebound in the coming year, we expect that some of the supply reductions and shut-ins will be slower to recover. This could lead to the
development of a more constructive oil market over the course of 2021, and a subsequent improvement in offshore drilling.”
1
Highlights in the first quarter 2020
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Q1 - 2020
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Q4 - 2019
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FY 2019
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|
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Total operating revenues
|
|
104.1
|
92.9
|
334.1
|
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Adjusted EBITDA
|
|
25.4
|
1.8
|
(2.6)
|
|
Operating loss
|
|
(26.8)
|
(30.2)
|
(150.7)
|
|
Net income/(loss)
|
(87.0)
|
(60.3)
|
(299.1)
|
| ● |
Operating revenues increased by 12% quarter on quarter to $104.1 million
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| ● |
Adjusted EBITDA in the first quarter 2020 of $25.4 million, an increase of $23.6 million over Q4 2019
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| ● |
The results from the Company’s integrated service operation in Mexico has improved significantly through increased efficiency. The operation is showing strong
results adjusted for the start-up costs and is confirming Borr’s capabilities.
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| ● |
The improvement in Mexican operations includes a reversal of $18.3 million from the geological event in fourth quarter 2019 which has now been booked as revenue and
collected from Pemex. This has led to a positive adjustment of the Q4 numbers.
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| ● |
As a function of the weaker market, the Company has thoroughly reviewed its cost structure.
Actions have already been implemented to reduce the annual run-rate of overall operational cost and G&A with $35 million compared to the Company’s original budget.
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Subsequent events
| ● |
Borr continue to be involved in tender processes which might lead to sale of certain modern assets, with the target to further strengthen the liquidity position.
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The Company has sold “B152” and “Dhabi II” with associated backlog for total proceeds of $15.8 million in April, resulting in an estimated accounting gain of $11.8
million, which will be recorded in the second quarter 2020.
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| ● |
In May, the Company took delivery of 4.26 million Valaris shares under its forward contracts and subsequently sold 1.7 million of the shares in line with its
previously communicated strategy.
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| ● |
On May 19, 2020, we signed an agreement to sell the “MSS1” for recycling for proceeds of $2.2 million. The book value of the rig was impaired down to its sale value
at the end of the first quarter 2020, and the rig was classified as held for sale. The sale is expected to close in the second quarter 2020.
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| ● |
Borr has, in response to the weakening market, taken an active approach to enter into discussions with its lenders and shipyards with the target to lower the
Company’s cash break even rates for the next two years and thereby significantly strengthen the Company’s liquidity situation. The lenders and shipyards recognise the current challenging environment. Significant progress has been made based
on a proposed arrangement with lenders including shipyards which includes postponement of certain yard commitments, adjustment in covenants and reduced amortisation as
well as deferring cash interest payments. Management believes that such a solution, if concluded, will give the Company a runway for the next two years even in the unlikely scenario where no new contracts are obtained or renewed. At the end
of the first quarter of 2020 and into the second quarter 2020, the Company also received certain waivers from its lenders, including a waiver of its minimum free liquidity threshold as well as interest payment deferrals.
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2
Summary Financial Information
Consolidated Statements of Operations (Financial Performance & Operating
Results)
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Summary of financial data, in $ million
|
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Q1 - 2020
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Q4 - 2019
|
|
Total operating revenues
|
|
104.1
|
92.9
|
|
Rig operating and maintenance expenses
|
|
(70.4)
|
(81.6)
|
|
General and administrative expenses
|
|
(10.0)
|
(15.4)
|
|
Operating loss
|
|
(26.8)
|
(30.2)
|
|
Loss from Equity method investments
|
(2.8)
|
(7.4)
|
|
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Total financial income (expenses)
|
|
(51.2)
|
(18.0)
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Net loss
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(87.0)
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(60.3)
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The business has largely performed in line with expectations in Q1 2020, with earnings growth driven by the deployment of “Saga”, and “Idun” and “Prospector 1” earning
for a full three months. Operating expenses have decreased primarily due to “Odin” now being employed in our joint venture, as well as less reactivation costs affecting the income statement. The results have been impacted by delayed start-up of
contracts in Mexico, where Borr carries the full operating cost until commencement. As of today, four of the rigs have commenced operation, and the last rig “Njord” is expected to commence operations shortly.
Set forth below is a reconciliation of Net Loss to Adjusted Earnings Before Interest, Tax and Depreciation (“Adjusted EBITDA”) for the periods
presented
|
(in $ millions)
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Q1-2020
|
Q4-2019
|
|
Net loss
|
(87.0)
|
(60.3)
|
|
Depreciation of non-current assets
|
32.4
|
27.1
|
|
Impairment of non-current assets
|
18.4
|
-
|
|
Amortisation of contract backlog
|
-
|
1.6
|
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Loss from equity investment
|
2.8
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7.4
|
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Financial (income) expense
|
51.2
|
18.0
|
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Income tax expense
|
6.2
|
4.7
|
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Amortised mobilisation cost
|
4.5
|
5.8
|
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Amortised mobilisation revenue
|
(3.1)
|
(2.5)
|
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Adjusted EBITDA *
|
25.4
|
1.8
|
|
In $ million
|
Q1-2020
|
Q4-2019
|
||
|
Mexico Joint Venture EBITDA
|
Drilling
|
IWS
|
Drilling
|
IWS
|
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Net income (loss)
|
(0.5)
|
(5.3)
|
3.3
|
(18.5)
|
|
Total financial income (expenses)
|
0.1
|
2.0
|
(0.2)
|
0.4
|
|
Income tax expense
|
0.2
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0.0
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1.5
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0.6
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Amortised mobilisation cost
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2.8
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(0.9)
|
5.3
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0.7
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Amortised mobilisation revenue
|
(0.7)
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0.0
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(0.7)
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0.0
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Adjusted EBITDA *
|
1.9
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(4.2)
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9.2
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(16.8)
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In the table above we have labelled our Mexican joint venture companies as either Drilling or IWS, depending on whether they provide drilling or integrated well
services.
As a result of being able to invoice most of the revenue associated with the unplanned geological event experienced in the fourth quarter 2019, our IWS joint venture
has subsequently recorded and collected $18.3 million of incremental revenue in the fourth quarter 2019. Previously, the Company had not recorded that revenue. The Drilling results are largely in line with expectations. The IWS results are composed
of underlying operational profit of $2.6 million, driven by improved integrated service execution, offset by corporate start-up costs for the increase of the fleet from two to five rigs of $6.8 million.
* Note - The Company uses certain financial information calculated on a basis other than in accordance with accounting principles generally accepted in the United States (US GAAP) including
Adjusted EBITDA. Adjusted EBITDA as used above represents our periodic net loss adjusted for: depreciation and impairment of non-current assets, amortization of contract backlog, loss from equity method investments, total financial (income)
expense net, income tax expense and amortisation of deferred mobilisation costs and revenue. Adjusted EBITDA is included here by the Company because the Company believes that the measure provides useful information regarding the Company’s
operational performance.
3
The IWS company in Mexico has also been successful in establishing a factoring agreement, which we believe will improve the timing of receipt of cash payments with
attractive terms. We currently have four rigs operating through our joint venture in Mexico, with a fifth rig being deployed shortly.
The Board is pleased with the operational performance in Mexico. After some initial start-up challenges the operation continues to improve, verified by the fact that
wells completed in the recent months have been 20-30% ahead of the estimated schedule. This confirms Borr’s ability to act as an integrated drilling service provider. Combined with a modern and efficient fleet, this knowledge is expected to
differentiate us materially from other drilling providers and give us a competitive edge going forward.
Fleet development Operations and Contracts
|
As of May 20, 2020
|
Total
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Operating /
Committed
|
Available
|
Cold Stack
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Under
Construction
|
|
Modern Jack-Ups
|
30
|
12
|
11
|
2
|
5
|
|
Standard Jack-Ups
|
1
|
0
|
0
|
1†
|
0
|
|
Total Jack-Ups
|
31
|
12
|
11
|
3
|
5
|
|
Semi - Submersible
|
0
|
0
|
0
|
0
|
0
|
|
Total Fleet
|
31
|
12
|
11
|
3
|
5
|
|
# rigs
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Activated/
Under activation
|
Yet to be activated
|
Under construction
|
Sum
|
|
Modern jack-ups
|
18
|
5
|
5
|
28
|
The technical utilisation for the fleet was 99.7% in the first quarter of 2020. The economic utilisation in the first quarter 2020 was 97.5%.
Our order backlog as of May 20, 2020, totalled approximately $395 million.
In April 2020, the Company was awarded two contracts in Malaysia for 365 days and 200 days respectively for the rigs “Saga” and “Gunnlod”, expected to commence in Q3
2020. The contracts were awarded after the oil price collapse, and total backlog for the rigs is expected to be $57 million including mobilisation.
On April 30, 2020, we sold “B152” and “Dhabi II” with associated backlog for total proceeds of $15.8 million in April, resulting in an estimated
recordable gain of $11.8 million, which will be recorded in the second quarter 2020.
On May 19, 2020, we entered into an agreement to sell the semi-submersible MSS1, built in 1981, for recycling. The sale is expected to bring in total
proceeds of $2.2 million, and we recorded an impairment charge of $18.4 million in the first quarter 2020.
The Company received notices of early suspension of contracts from Exxon Mobil for the rigs “Gerd” and “Groa”, which were working in Nigeria under contracts originally
committed until April 2021 and May 2021, respectively. The rigs will be suspended from the original contract with the possibility to return to operations. The rigs discontinued operations in May 2020, however they will receive dayrate payments for
the period until mid-September 2020, and we expect to reach an agreement to receive this as an upfront lump-sum payment shortly. The Company expects to export the rigs from Nigeria in May/June 2020, and it is estimated that approximately $30
million in import guarantees will be released, freeing up commitments from financing banks.
“Mist” has received a notice of termination of its contract from the independent Australian oil company Roc Oil for work in Malaysia, which had estimated start up in May 2020 for estimated duration of 210 days.
For more details about the contract status of the Company, please be referred to the Company’s fleet status report dated May 20, 2020.
† Incl. Eir, which is under sales agreement, expected to be concluded in 2020, subject to conditions
4
Preparation of Financial Information
As noted earlier in this report, the Company has not prepared its traditional quarterly report, nor has it yet filed its audited Annual Report on Form 20-F for 2019,
as allowable under COVID-19 related exemptions in Norway and the US. In addition, the financial data included in this press release has been prepared by, and is the responsibility of, Borr Drilling Limited’s management. PricewaterhouseCoopers LLP,
the Company’s incumbent Auditor, has not audited, reviewed, compiled, or applied agreed-upon procedures with respect to the preliminary financial data. Accordingly, PricewaterhouseCoopers LLP does not express an opinion or any other form of
assurance with respect thereto.
Forward looking statements
This announcement includes forward looking statements. Forward looking statements are, typically, statements that do not reflect historical facts and may be identified
by words such as "anticipate", "believe", "continue", "estimate", "expect", "intends", "may", "should", "will" and similar expressions and include expectations regarding industry trends including offshore activity levels and outlook for oil prices
and demand, expected impact of cost savings initiatives including improvements to cashflow and balance sheet strengthening measures, liquidity expectations, expectations as to global jack-up rig count, contract backlog, rig sales, commencement of
rig operations, discontinuation of rig operations, discussions with shipyards and creditors regarding waivers and amendments to our loan facility including the expected terms of those amendments and expected benefits to the Company and status of
such discussions and other non-historical statements. The forward-looking statements in this announcement are based upon various assumptions, many of which are based, in turn, upon further assumptions, which are, by their nature, uncertain and
subject to significant known and unknown risks, contingencies and other factors which are difficult or impossible to predict and which are beyond our control. Such risks, uncertainties, contingencies and other factors could cause actual events to
differ materially from the expectations expressed or implied by the forward-looking statements included herein. In addition to the important factors and matters discussed elsewhere in this report, important factors that, in our view could cause
actual results to differ materially from those discussed in the forward looking statements include risks relating to the amendments we are discussing with lenders and shipyards, including the risk that we may not be able to agree such terms with
such parties or if we do agree such terms such parties may not obtain necessary board/credit committee approvals necessary for such amendments, risks relating to executing definitive documentation for such amendments if agreed, risks relating to
our debt instruments including risks relating to our ability to comply with covenants and the risk of cross defaults, risks relating to our liquidity including the risk that we may have insufficient liquidity be able to fund operations, we may be
unable to raise necessary funds through issuance of additional debt or equity and may have to delay or cancel discretionary capital expenditures, we may be unable to obtain extension or additional waivers or unable to meet our obligations under our
debt instruments or waiver conditions resulting in cross defaults and that we may be delisted from the New York Stock Exchange as well as those in our most recent annual report and in the section entitled “Risk Factors” in our filings with the
Securities and Exchange Commission.
About Borr Drilling Limited
Borr Drilling Limited is an international drilling contractor incorporated in Bermuda in 2016 and listed on the Oslo Stock Exchange from August 30, 2017 under the
ticker BDRILL and New York Stock Exchange from July 31, 2019 under the ticker BORR. The Company owns and operates jack-up rigs of modern and high specification designs and provides services focused on the shallow water segment to the offshore oil
and gas industry worldwide. Please visit our website at: www.borrdrilling.com
May 20, 2020
The Board of Directors
The Board of Directors
Borr Drilling Limited
Hamilton, Bermuda
Questions should be directed to Magnus Vaaler: VP Investor Relations and Treasury, +47 22 48 30 00
Financial statements included in appendix:
5
|
Borr Drilling Limited
Unaudited Consolidated Financial Statements
Unaudited Condensed Consolidated Statement of Operations
(In $ millions except per share data)
|
|
3 months to
March
31, 2020
|
3 months to
March
31, 2019
|
12 months to
December
31, 2019
|
||||||||||
|
Operating revenues
|
||||||||||||
|
Dayrate revenues
|
93.3
|
51.9
|
327.6
|
|||||||||
|
Related party revenues
|
10.8
|
-
|
6.5
|
|||||||||
|
Total operating revenues
|
104.1
|
51.9
|
334.1
|
|||||||||
|
Gain on disposals
|
0.3
|
-
|
6.4
|
|||||||||
|
Operating expenses
|
||||||||||||
|
Rig operating and maintenance expenses
|
(70.4
|
)
|
(57.1
|
)
|
(307.9
|
)
|
||||||
|
Depreciation of non-current assets
|
(32.4
|
)
|
(23.9
|
)
|
(101.4
|
)
|
||||||
|
Impairment of non-current assets
|
(18.4
|
)
|
(11.4
|
)
|
(11.4
|
)
|
||||||
|
Amortisation of acquired contract backlog
|
-
|
(7.4
|
)
|
(20.2
|
)
|
|||||||
|
General and administrative expenses
|
(10.0
|
)
|
(10.1
|
)
|
(50.4
|
)
|
||||||
|
Total operating expenses
|
(131.2
|
)
|
(109.9
|
)
|
(491.2
|
)
|
||||||
|
Operating loss
|
(26.8
|
)
|
(58.9
|
)
|
(150.7
|
)
|
||||||
|
Loss from equity method investments
|
(2.8
|
)
|
-
|
(9.0
|
)
|
|||||||
|
Financial income (expenses), net
|
||||||||||||
|
Interest income
|
0.2
|
0.3
|
1.5
|
|||||||||
|
Interest expense
|
(21.6
|
)
|
(13.0
|
)
|
(70.4
|
)
|
||||||
|
Other financial income (expenses), net
|
(29.8
|
)
|
14.5
|
(59.2
|
)
|
|||||||
|
Total financial expenses, net
|
(51.2
|
)
|
1.8
|
(128.1
|
)
|
|||||||
|
Loss before income taxes
|
(80.8
|
)
|
(56.2
|
)
|
(287.9
|
)
|
||||||
|
Income tax expense
|
(6.2
|
)
|
(0.2
|
)
|
(11.2
|
)
|
||||||
|
Net loss
|
(87.0
|
)
|
(56.4
|
)
|
(299.1
|
)
|
||||||
|
Net loss attributable to non-controlling interests
|
-
|
(1.5
|
)
|
(1.5
|
)
|
|||||||
|
Net loss attributable to shareholders of Borr Drilling Limited
|
(87.0
|
)
|
(54.9
|
)
|
(297.6
|
)
|
||||||
|
Basic loss per share
|
(0.79
|
)
|
(0.52
|
)
|
(2.78
|
)
|
||||||
|
Diluted loss per share
|
(0.79
|
)
|
(0.52
|
)
|
(2.78
|
)
|
||||||
|
Weighted-average shares outstanding
|
110,818,351
|
105,068,351
|
107,478,625
|
|||||||||
|
Condensed Consolidated Statement of Comprehensive Income (Loss)
|
||||||||||||
|
Net Loss after income taxes
|
(87.0
|
)
|
(56.4
|
)
|
(299.1
|
)
|
||||||
|
Unrealised gain (loss) from marketable securities
|
-
|
(7.3
|
)
|
(6.4
|
)
|
|||||||
|
Unrealized loss from marketable securities reclassified to Statement of Operations
|
-
|
-
|
12.0
|
|||||||||
|
Other comprehensive gain (loss)
|
-
|
(7.3
|
)
|
5.6
|
||||||||
|
Total comprehensive loss
|
(87.0
|
)
|
(63.7
|
)
|
(293.5
|
)
|
||||||
|
Comprehensive loss for the period attributable to
|
||||||||||||
|
Shareholders of Borr Drilling Limited
|
(87.0
|
)
|
(62.2
|
)
|
(292.0
|
)
|
||||||
|
Non-controlling interests
|
-
|
(1.5
|
)
|
(1.5
|
)
|
|||||||
|
Total comprehensive loss
|
(87.0
|
)
|
(110.1
|
)
|
(293.5
|
)
|
||||||
6
|
Borr Drilling Limited
Unaudited Consolidated Financial Statements
Unaudited Condensed Consolidated Balance Sheets
(In $ millions except per share data)
|
|
March 31, 2020
|
December 31, 2019
|
|||||||
|
ASSETS
|
||||||||
|
Current assets
|
||||||||
|
Cash and cash equivalents
|
13.2
|
59.1
|
||||||
|
Restricted cash
|
93.8
|
69.4
|
||||||
|
Trade receivables
|
45.7
|
40.2
|
||||||
|
Jack-up drilling rigs held for sale
|
8.5
|
3.0
|
||||||
|
Prepaid expenses
|
9.0
|
8.1
|
||||||
|
Deferred mobilization and contract preparation cost
|
22.3
|
19.3
|
||||||
|
Accrued revenue
|
32.7
|
31.7
|
||||||
|
Tax retentions receivable
|
11.6
|
11.6
|
||||||
|
Due from related parties
|
17.8
|
8.6
|
||||||
|
Other current assets
|
21.7
|
26.9
|
||||||
|
Total current assets
|
276.3
|
277.9
|
||||||
|
Non-current assets
|
||||||||
|
Property, Plant and Equipment
|
6.7
|
7.3
|
||||||
|
Jack-up rigs
|
2,793.1
|
2,683.3
|
||||||
|
Newbuildings
|
201.4
|
261.4
|
||||||
|
Deferred mobilization and contract preparation cost
|
0.5
|
3.5
|
||||||
|
Equity method investments
|
39.9
|
31.4
|
||||||
|
Other long-term assets
|
11.2
|
15.2
|
||||||
|
Total non-current assets
|
3,052.8
|
3,002.1
|
||||||
|
Total assets
|
3,329,1
|
3,280.0
|
||||||
|
LIABILITIES AND EQUITY
|
||||||||
|
Current liabilities
|
||||||||
|
Trade accounts payables
|
29.4
|
14.1
|
||||||
|
Amounts due to related parties
|
0.2
|
0.4
|
||||||
|
Unrealized loss on forward contracts
|
91.1
|
64.3
|
||||||
|
Accrued expenses
|
59.9
|
62.1
|
||||||
|
Onerous contracts
|
16.8
|
71.3
|
||||||
|
Other current liabilities
|
34.5
|
37.5
|
||||||
|
Total current liabilities
|
231.9
|
249.7
|
||||||
|
Non-Current liabilities
|
||||||||
|
Long-term debt
|
1,808.8
|
1,709.8
|
||||||
|
Other liabilities
|
21.4
|
22.7
|
||||||
|
Liabilities from equity method investments
|
6.2
|
3.7
|
||||||
|
Onerous contracts
|
54.5
|
-
|
||||||
|
Total non-current liabilities
|
1,890.9
|
1,736.2
|
||||||
|
Total liabilities
|
2,122.8
|
1,985.9
|
||||||
|
Stockholders’ Equity
|
||||||||
|
Common shares of par value $0.05 per share: authorized
137,500,000 (2019: 137,500,000) shares, issued 112,278,065 (2019: 112,278,065) shares and outstanding 110,818,351 (2019: 110,818,351) shares at March 31,
2020
|
5.6
|
5.6
|
||||||
|
Additional paid in capital
|
1,891.8
|
1,891.2
|
||||||
|
Treasury shares
|
(26.2
|
)
|
(26.2
|
)
|
||||
|
Accumulated deficit
|
(664.9
|
)
|
(576.7
|
)
|
||||
|
Equity attributable to the Company
|
1,206.3
|
1,293.9
|
||||||
|
Non-controlling interest
|
0.0
|
0.2
|
||||||
|
Total equity
|
1,206.3
|
1,294.1
|
||||||
|
Total liabilities and equity
|
3,329.1
|
3,280.0
|
||||||
7
Exhibit 99.2
Client Enquiries: marketing@borrdrilling.com Investor Enquiries: ir@borrdrilling.com 20th May
2020 Fleet Status Report
Ran New Contract; June 2020 to Sep 2020, Centrica Storage, UK. Gerd Notice of Early
Termination effective May 2020; 180 days notice is applicable pursuant to Contract provisions. Groa Notice of Early Termination effective May 2020; 180 days notice is applicable pursuant to Contract provisions. MSS1 Early Termination
effective March 2020; Early Termination Fee is applicable pursuant to Contract provisions. In line with Borr's long term strategy to focus on the operations of its core assets, the unit has been sold in May 2020 for recycling. Norve Finished
operations in early April 2020, around three months before previously estimated. Prospector 5 Perenco elected not to proceed with the previously announced contract for the Rig. B391 In line with Borr's long term strategy to focus on the
operations of its core assets, the unit has been sold in March 2020 for recycling. Dhabi II Sold effective from April 1, 2020; Borr will continue to operate the rig under a services agreement which will ensure continuity of the unit for its
Customer. B152 Sold effective from April 1, 2020; Borr will continue to operate the rig under a services agreement which will ensure continuity of the unit for its Customer. Mist Received notice of Early Termination from Roc Oil effective
May 2020; Early Termination Fee is applicable pursuant to Contract provisions. Saga LOA: Aug 2020 to Aug 2021, PTTEP, Malaysia. Gunnlod LOA: Aug 2020 to Feb 2021, PTTEP, Malaysia. Borr DrillingFleet Status Report - 20th May 2020 This
summary is provided as a courtesy and is not intended to replace a detailed review of the Fleet Status Report. This summary contains information on letters of intent/award and advanced negotiations. Letters of intent/award or advanced
negotiations may not result in an actual drilling contract.Forward Looking Statements:The statements described in this status report that are not historical facts are "Forward Looking Statements".Forward Looking Statements reflect management’s
current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. No assurance can be given that the expectations expressed in these Forward-Looking Statements
will prove to be correct. Actual results could differ materially from expectations expressed in, or implied by, the Forward-Looking Statements if one or more of the underlying assumptions or expectations proves to be inaccurate or is
unrealised. These include, but are not limited to, changes to commencement dates, contract duration, earned day rates, locations and other contractual terms; risks relating to the delivery of drilling rigs under construction; sale and purchase
of drilling units; oil and gas prices; and risks associated with international operations generally.No Forward-Looking Statement contained in herein or expressed elsewhere should be relied upon as predicting future events.We undertake no
obligation to update or revise any Forward-Looking Statements to reflect events or circumstances that occur, or which we become aware of, after the date hereof, except as otherwise may be required by law. Letters of Intent / Negotiations New
Contracts / Extensions / Amendments Borr Drilling - Fleet Status Report - May 2020
Tivar KFELS Super B Bigfoot Class 400 ft Under Construction KFELS shipyard, Singapore Rig
Delivery in July - 2020 Heidrun KFELS Bigfoot B Class 400 ft Under Construction KFELS shipyard, Singapore Rig Delivery in October - 2020 Vale KFELS Super B Bigfoot Class 400 ft Under Construction KFELS shipyard,
Singapore Rig Delivery in January - 2022 Var KFELS Super B Bigfoot Class 400 ft Under Construction KFELS shipyard, Singapore Rig Delivery in March - 2022 Gyme PPL Pacific Class 400 400 ft 2018 Available Singapore Warm
Stacked Skald KFELS Super B Bigfoot Class 400 ft 2018 Available Singapore Warm Stacked Thor KFELS Super B Bigfoot Class 400 ft 2019 Available Singapore Warm Stacked Hermod KFELS B Class 400
ft 2019 Available Singapore Warm Stacked Heimdal KFELS B Class 400 ft 2020 Available Singapore Warm Stacked Hild KFELS Super B Class 400 ft 2020 Available Singapore Warm Stacked Norve PPL Pacific Class 400 400
ft 2011 Available Cameroon Warm Stacked Gerd PPL Pacific Class 400 400 ft 2018 Available Cameroon Warm Stacked Groa PPL Pacific Class 400 400 ft 2018 Available Cameroon Warm Stacked Mist KFELS Super B Bigfoot
Class 350 ft 2013 Available Malaysia Warm Stacked Prospector 1 1 F&G, JU2000E 400 ft 2013 Available Netherlands Warm Stacked Gunnlod PPL Pacific Class 400 400 ft 2018 Available March - 2020 July -
2020 Singapore Contract Preparations and Mobilization PTTEP August - 2020 February - 2021 Malaysia LOA Available November - 2019 January - 2020 Singapore Contract Preparations and Mobilization Saga KFELS Super B
Bigfoot Class 400 ft 2018 Eni February - 2020 June - 2020 Vietnam Operating PTTEP August - 2020 August - 2021 Malaysia LOA Idun KFELS Super B Bigfoot Class 350 ft 2013 Hoang Long November - 2019 May -
2020 Vietnam Operating JVPC May - 2020 September - 2020 Vietnam Committed with option to extend Galar PPL Pacific Class 400 400 ft 2017 Available November - 2019 March - 2020 Singapore Contract Preparations and
Mobilization PEMEX April - 2020 October - 2021 Mexico Operating Njord PPL Pacific Class 400 400 ft 2019 Available November - 2019 April - 2020 Singapore Contract Preparations and Mobilization PEMEX May -
2020 November - 2020 Mexico Committed Gersemi PPL Pacific Class 400 400 ft 2018 PEMEX August - 2019 February - 2021 Mexico Operating Grid PPL Pacific Class 400 400 ft 2018 PEMEX August - 2019 February -
2021 Mexico Operating Odin KFELS Super B Bigfoot Class 350 ft 2013 Available December - 2019 February - 2020 Mexico Contract Preparations PEMEX March - 2020 August - 2021 Mexico Operating Frigg 1 KFELS Super A 400
ft 2013 Shell December - 2019 December - 2020 Nigeria Operating Neptune May - 2019 April - 2020 Netherlands Operating Prospector 5 1 F&G, JU2000E 400 ft 2014 Available April - 2020 September - 2020 United
Kingdom Warm Stacked CNOOC October - 2020 April - 2022 United Kingdom Committed with option to extend Ran 1 KFELS Super A 400 ft 2013 Spirit EnergyCentrica Storage April - 2019June - 2020 June - 2020September - 2020 United
KingdomUnited Kingdom OperatingCommitted with option to extend Natt PPL Pacific Class 400 400 ft 2018 First E&P April - 2019 April - 2021 Nigeria Operating with option to extend Rig Name Rig Design Rig Water Depth (ft) Year
Built Customer / Status Contract Start Contract End Location Comments Huldra KFELS Bigfoot B Class 400 ft Under Construction KFELS shipyard, Singapore Rig Delivery in July - 2020 Premium Jack-Ups Borr DrillingFleet Status Report - 20th
May 2020 Jack-Ups Under Construction Borr Drilling - Fleet Status Report - May 2020
Rig Name Rig Design Rig Water Depth (ft) Year Built Customer / Status Contract Start Contract
End Location Comments Borr DrillingFleet Status Report - 20th May 2020 Atla F&G, JU 2000 400 ft 2003 United Arab Emirates Balder F&G, JU
2000 400 ft 2003 Cameroon Eir 2 F&G, Mod VI Universe Class 394 ft 1999 United Kingdom Not Marketed Operating / Committed Cold Stack Under Construction 30 12 2 5 1 0 Total
Jack-Ups 31 Semi - Submersible 0 0 Total Fleet 31 12 11 3 5 1 - HD/HE Capability. 2 - Asset under sales agreement subject to conditions Premium Jack-Ups Standard Jack-Ups 11 Forward Looking
Statements:The statements described in this status report that are not historical facts are "Forward Looking Statements".Forward Looking Statements reflect management’s current expectations and assumptions, and are subject to inherent
uncertainties, risks and changes in circumstances that are difficult to predict. No assurance can be given that the expectations expressed in these Forward-Looking Statements will prove to be correct. Actual results could differ materially from
expectations expressed in, or implied by, the Forward- Looking Statements if one or more of the underlying assumptions or expectations proves to be inaccurate or is unrealised. These include, but are not limited to, changes to commencement
dates, contract duration, earned day rates, locations and other contractual terms; risks relating to the delivery of drilling rigs under construction; sale and purchase of drilling units; oil and gas prices; and risks associated with
international operations generally.No Forward-Looking Statement contained in herein or expressed elsewhere should be relied upon as predicting future events.We undertake no obligation to update or revise any Forward-Looking Statements to
reflect events or circumstances that occur, or which we become aware of, after the date hereof, except as otherwise may be required by law. Available Cold Stacked
Jack-Ups 1 2 Borr Drilling - Fleet Status Report - May 2020
Atla Balder Eir 2 Premium Jack-Ups Jack-Ups Under Construction Cold Stacked
Jack-Ups - HD/HE Capability.- Asset under sales agreement subject to conditions. Borr DrillingFleet Status Report - 20th May 2020 Rig
Name Location 2020 2021 2022 2023 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Gyme Singapore Warm Stacked SkaldThor Hermod HeimdalHild Norve Gerd
Groa MistProspector 1 1GunnlodRan 1 Saga IdunFrigg 1 Gersemi Grid Natt Galar Njord OdinProspector 5 1 Singapore Warm Stacked Singapore Warm
Stacked Singapore Warm Stacked Singapore Warm Stacked Singapore Warm
Stacked Cameroon BW Energy Warm Stacked Cameroon Exxon Warm Stacked Cameroon Exxon Warm
Stacked Malaysia Vestigo Warm Stacked Netherlands Total Warm Stacked Singapore / Malaysia Contract Prep & Mob LOA
- PTTEP United Kingdom Spirit Energy Centrica Opti on Vietnam / Malaysia Mob Eni Mob LOA - PTTEP Vietnam Hoang
Long JVPC Opti on Nigeria Shell Mexico PEMEX Mexico PEMEX Nigeria First
E&P Option Mexico Mob PEMEX Mexico Mob PEMEX Mexico Mob PEMEX Netherlands /
United Kingdom Neptune Warm Stacked CNOOC Option Huldra KFELS shipyard, Singapore Rig Delivery in July - 2020 ` Tivar KFELS shipyard, Singapore Rig Delivery in July -
2020 Heidrun KFELS shipyard, Singapore Rig Delivery in October - 2020 Vale KFELS shipyard, Singapore Rig Delivery in January - 2022 Var KFELS shipyard, Singapore Rig Delivery in March -
2022 United Arab Emirates Cameroon United Kingdom Option Available Under Construction Borr Drilling - Fleet Status Report - May 2020
Rig
Name Location 2020 2021 2022 2023 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Borr DrillingFleet Status Report - 20th May 2020 Forward Looking Statements:The statements described in
this status report that are not historical facts are "Forward Looking Statements".Forward Looking Statements reflect management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in
circumstances that are difficult to predict. No assurance can be given that the expectations expressed in these Forward Looking Statements will prove to be correct. Actual results could differ materially from expectations expressed in, or
implied by, the Forward Looking Statements if one or more of the underlying assumptions or expectations proves to be inaccurate or is unrealised. These include, but are not limited to, changes to commencement dates, contract duration, earned
day rates, locations and other contractual terms; risks relating to the delivery of drilling rigs under construction; sale and purchase of drilling units; oil and gas prices; and risks associated with international operations generally.No
Forward Looking Statement contained in herein or expressed elsewhere should be relied upon as predicting future events.We undertake no obligation to update or revise any Forward Looking Statements to reflect events or circumstances that occur,
or which we become aware of, after the date hereof, except as otherwise may be required by law. Borr Drilling - Fleet Status Report - May 2020
|
Borr Drilling - Fleet Status Report - May 2020
|