Offshore staff
SINGAPORE – Sembcorp Marine subsidiary PPL Shipyard has reached an agreement in principle to defer remaining payments due from Borr Drilling from 2023 to 2025.
In October 2017, Borr and its subsidiaries entered agreements to purchase nine Pacific Class 400 jackup drilling rigs from PPL for a total of around $1.3 billion, with Borr making an upfront down payment of about $500 million.
The balance of $800 million was to be paid within five years of the rigs’ respective delivery dates of the Rigs, plus interest at market rates.
Borr took delivery of all nine rigs progressively during November 2017and January 2019, and eight of the rigs are presently contracted and in service.
According to Sembcorp, the outlook for jackup drilling has been improving, and the company supports Borr Drilling request to take advantage of conditions to generate more operating cash flow, in order to service its debt service obligations and strengthen its balance sheet.
12/28/2021
