Rig operator Borr Drilling has reached an agreement with its lenders and yards, which ensures the company's operations until mid-2022. The deal includes postponement of the delivery of five rigs by two years.
A new, deep downturn in the drilling industry is expected to cause "a wave" of restructurings, projects Nordea Markets. The bank expects to see a high number of rigs taken off-market over the coming years. So does Maersk Drilling's CEO.
Borr Drilling continues its hunt for cash with a new share emission to, among others, its majority owner Tor Olav Trøim. The company also sold a rig for scrapping last week. Creditor negotiations continue.
Borr Drilling is negotiating with its creditors to find a solution that can safeguard it until 2022, even in a scenario without further contracts, informs the company in an update. The company books a large deficit in the first quarter of the year.
The big slide in the oil price comes as a setback to the recovery in the rig sector, which is already becoming protracted. This could at worst trigger restructurings, ABG Sundal Collier's analyst tells ShippingWatch.
Four of the world's biggest rig companies all booked major deficits in the third quarter, and only one company lands in an overall plus for 2019. The fifth, Maersk Drilling, did not publish its bottom line. "We provide the figures we provide at the moment," the company's CEO Jørn Madsen says to ShippingWatch.
Borr Drilling nearly doubled its bottom line deficit in the second quarter, reveals the company's financial report. The drilling company also secured a major credit facility in the quarter and presented the new price of its stock on the New York Stock Exchange.
Setbacks in Borr Drilling and Golar LNG stock hit investor Tor Olav Trøim with losses totaling USD 222 million in asset values in one year, according to a Norwegian newspaper which reports that the sum corresponds to what Trøim received from Seadrill in 2014.
Rig operator Borr Drilling has secured financing for its newbuild program with a new credit facility of USD 645 million. Despite a deficit in the first quarter, management is optimistic about the future.