Borr Drilling, a Bermuda-based offshore drilling contractor, has secured contract extensions for three of its premium jack-up rigs currently working off the coast of Mexico.
The company announced that the rigs Galar and Gersemi have each received two-year firm extensions that will take effect immediately after their current contracts expire. The renewed agreements also include two additional one-year unpriced options and updated commercial and payment terms.
Additionally, the Njord jack-up rig has been granted an extension through April 2026. All three rigs have been operating for Pemex, Mexico’s state-owned oil company, since 2019.
Borr Drilling stated that the total value of these contract extensions is approximately $213 million, excluding options. The company is also engaged in active discussions with Pemex regarding potential long-term contract extensions for contracts set to expire in the second quarter of 2026.
Furthermore, Borr Drilling confirmed that it recently received about $19 million in payments from Pemex for its ongoing operations in Mexico. “These collections, coupled with recent initiatives in Mexico to strengthen Pemex’s finances, support the company’s confidence in the continued normalization of payment activity moving forward,” Borr Drilling said.
The Galar (built in 2017), Gersemi (built in 2018), and Njord (built in 2019) are all of the PPL Pacific Class 400 design, capable of drilling to depths of up to 30,000 feet (9.14 km) and operating in water depths of 400 feet (0.12 km). Each rig has the capacity to accommodate 150 personnel.
Earlier this month, Borr Drilling terminated two other contracts in Mexico for the Odin and Hild jack-up rigs due to the recent implementation of international sanctions affecting one of its counterparties.
