Borr Drilling Limited (BORR): History, Ownership, Mission, How It Works & Makes Money

Wondering how Borr Drilling Limited solidified its standing in the demanding offshore jack-up rig sector throughout 2024? Recording total operating revenues of $758.2 million and a robust adjusted EBITDA of $351.3 million for the fiscal year, the company showcased considerable operational prowess, achieving technical fleet utilization around 99.3% by the year's end. This performance helped secure a substantial contract backlog valued at $1.66 billion entering 2025. Are you keen to understand the strategic decisions, ownership structure, and operational model that fueled these results and drive its revenue generation?

Borr Drilling Limited (BORR) History

Founding Timeline

Year established

Borr Drilling Limited was established in August 2016.

Original location

The company was registered in Hamilton, Bermuda, establishing a significant operational presence in Oslo, Norway.

Founding team members

Spearheaded by Tor Olav Trøim, the company aimed to capitalize on the downturn in the offshore drilling market by acquiring modern assets at distressed prices.

Initial capital/funding

The venture launched with significant backing, raising approximately $155 million through an initial private placement in August 2016, quickly followed by further equity raises to fund ambitious acquisition plans.

Evolution Milestones

Transformative Moments

Aggressive Fleet Build-Up (2017-2018)

The counter-cyclical strategy of acquiring a large, modern jack-up fleet during a market trough fundamentally shaped the company's scale and market position.

Dual Public Listings (2018-2019)

Listing on both the OSE and NYSE enhanced visibility, liquidity, and access to global capital, crucial for funding operations and managing debt.

Navigating the Downturn and Restructuring (2020-2022)

Successfully managing significant debt obligations and securing stakeholder support during a challenging period proved the company's resilience and strategic financial management.

Capitalizing on Market Upcycle (2023-Present)

Leveraging its modern fleet to secure contracts at improved day rates as the offshore drilling market recovered, driving revenue growth and improving the balance sheet into late 2024.

Borr Drilling Limited (BORR) Ownership Structure

Borr Drilling Limited operates as a publicly traded entity, meaning its shares are owned by a diverse group of investors rather than a single private owner or family. This structure subjects the company to regulatory oversight and reporting requirements associated with public listings.

Borr Drilling Limited's Current Status

As of the end of 2024, Borr Drilling Limited is listed on both the New York Stock Exchange (NYSE) under the ticker BORR and the Oslo Stock Exchange (OSE) under the same ticker. Its public status means ownership is distributed among various shareholders, reflecting confidence and interest from the broader investment community.

Borr Drilling Limited's Ownership Breakdown

The company's ownership is primarily composed of institutional investors, alongside retail shareholders and company insiders. Understanding this distribution is key for potential investors seeking insights into market sentiment and control dynamics. For a deeper dive into who holds Borr Drilling shares, you might find this analysis useful: Exploring Borr Drilling Limited (BORR) Investor Profile: Who’s Buying and Why?

Borr Drilling Limited's Leadership

The strategic direction and day-to-day operations of Borr Drilling are guided by its experienced leadership team. As of the close of 2024, the key figures leading the organization include:

• Patrick Schorn: Chief Executive Officer (CEO)
• Paal Kibsgaard: Chairman of the Board

This leadership team is responsible for navigating the complexities of the offshore drilling market and driving the company's performance and strategic initiatives.

Borr Drilling Limited (BORR) Mission and Values

Borr Drilling Limited articulates its corporate identity and long-term goals through a focus on operational excellence and shareholder value in the offshore drilling sector. The company emphasizes efficiency and safety, underpinning its strategic direction and cultural foundation.

Borr Drilling's Core Purpose

The company centers its operations around providing modern, high-specification jack-up drilling rigs to serve the offshore oil and gas industry worldwide. Their approach prioritizes maximizing asset utilization and maintaining a competitive cost structure, aiming for superior returns for stakeholders, which is further explored in Exploring Borr Drilling Limited (BORR) Investor Profile: Who’s Buying and Why?. Safety and environmental responsibility are presented as integral components of their operational philosophy.

Official mission statement

Borr Drilling does not publicly promote a distinct, formalized mission statement in its readily available corporate communications as of early 2024. However, its operational strategy implies a mission focused on leading the premium jack-up rig market through efficiency and advanced technology.

Vision statement

Similarly, a specific vision statement is not explicitly articulated in public disclosures. The company's actions and strategic reports suggest a vision centered on becoming the preferred provider of modern jack-up rigs, setting industry standards for performance and safety.

Company slogan

Borr Drilling does not utilize a widely publicized company slogan.

Guiding Principles and Values

While not always listed formally, Borr Drilling's operations and communications highlight several core principles:

• Safety First: Ensuring the well-being of personnel and the protection of the environment are paramount in all operations.
• Operational Excellence: Striving for high efficiency, reliability, and uptime for their fleet of modern rigs. For instance, achieving technical utilization often exceeding 98% across active rigs is a key performance indicator reflecting this.
• Cost Discipline: Maintaining a lean operational model and competitive cost structure to enhance profitability and shareholder value.
• Modern Fleet Focus: Concentrating on technologically advanced, premium jack-up rigs built after 2011 to meet evolving client demands for performance and safety.
• Shareholder Value Creation: Aligning strategic decisions and operational performance with the goal of delivering sustainable returns to investors.

Borr Drilling Limited (BORR) How It Works

Borr Drilling operates by contracting its fleet of modern, high-specification jack-up offshore drilling rigs to oil and gas companies worldwide for exploration and development drilling campaigns. The company focuses exclusively on the shallow-water jack-up market, managing rig deployment, operations, and maintenance to maximize uptime and efficiency for its clients.

Borr Drilling Limited's Product/Service Portfolio

Borr Drilling Limited's Operational Framework

The company's operational framework centers on maximizing the utilization and profitability of its rig fleet. This involves securing contracts at competitive day rates, efficiently mobilizing rigs between locations, and maintaining high operational uptime through rigorous maintenance schedules and skilled crewing. As of late 2024, the active fleet maintained exceptional economic utilization, reaching 99.4% in Q3 2024, reflecting strong demand and operational performance. Average equivalent dayrates for the fleet were approximately $125,600 per day during Q3 2024, with market rates continuing to strengthen towards year-end. Operational teams manage complex logistics, ensure compliance with stringent international safety and environmental regulations, and work closely with clients to meet specific drilling program requirements.

• Contract Acquisition and Management: Securing charters through competitive bidding and negotiation.
• Rig Activation and Deployment: Preparing and moving rigs to operational locations globally.
• Crewing and Training: Staffing rigs with qualified personnel and ensuring ongoing competency.
• Maintenance and Certification: Implementing planned maintenance systems and ensuring rigs meet class and regulatory standards.
• Health, Safety, Environment, and Quality (HSEQ): Upholding strict performance standards across all operations.

Borr Drilling Limited's Strategic Advantages

Borr Drilling benefits significantly from operating one of the youngest and most technologically advanced jack-up rig fleets in the industry. This modernity translates into higher efficiency, better safety performance, and greater appeal to clients, particularly for complex drilling programs. The company maintains a strong focus on operational execution, consistently achieving high utilization rates, as evidenced by performance throughout 2024. Their strategic positioning in key shallow-water markets allows them to capitalize on regional demand trends. Furthermore, a significant contract backlog, reported at approximately $1.94 billion at the end of Q3 2024, provides revenue visibility and stability. This operational focus aligns closely with the Mission Statement, Vision, & Core Values of Borr Drilling Limited (BORR).

Borr Drilling Limited (BORR) How It Makes Money

Borr Drilling primarily generates revenue by contracting its fleet of modern jack-up offshore drilling rigs to oil and gas companies worldwide. These contracts stipulate a daily rate (day rate) for the use of the rig and associated services.

Borr Drilling Limited's Revenue Breakdown

Borr Drilling Limited's Business Economics

The company's profitability hinges fundamentally on two key levers: securing high day rates for its rigs and maintaining high utilization rates across the fleet. Operating expenses (OPEX) per rig are a critical factor, representing the daily cost to keep a rig operational; managing these costs effectively directly impacts margins. The offshore drilling market is cyclical, heavily influenced by oil and gas prices which drive exploration and production spending by Borr's customers. Rig reactivation costs, incurred when bringing stacked rigs back into service, also represent significant, albeit periodic, capital outlays that impact near-term cash flow but enable future revenue generation. Investors often track these dynamics closely; Exploring Borr Drilling Limited (BORR) Investor Profile: Who’s Buying and Why? offers insights into market perceptions.

• Day Rates: The primary income source, negotiated per contract based on rig specification, location, contract duration, and prevailing market conditions.
• Utilization: The percentage of available rig days that are generating revenue under contract. High utilization (above 90%) is crucial for profitability.
• Operating Expenses (OPEX): Daily costs including crew, maintenance, insurance, and onshore support. Efficient OPEX management is key.
• Capital Expenditures (CapEx): Includes rig reactivations, upgrades, and periodic surveys.

Borr Drilling Limited's Financial Performance

As of the end of the 2024 fiscal year, Borr Drilling demonstrated strong financial performance driven by a tightening jack-up market. Total operating revenues for the year were estimated to be robust, likely exceeding $850 million, reflecting significantly improved day rates and high fleet utilization. Adjusted EBITDA saw substantial growth, trending towards or exceeding $400 million for the full year, showcasing improved operational leverage. Technical utilization remained exceptionally high, consistently above 98%, while economic utilization hovered around a strong 95%. The average contracted day rate for the fleet saw marked improvement throughout 2024, finishing the year with leading-edge fixtures securing rates well above $150,000 per day, pulling the fleet average significantly higher compared to previous years.

Borr Drilling Limited (BORR) Market Position & Future Outlook

Borr Drilling Limited enters 2025 positioned as a key player focused exclusively on the modern jack-up rig segment, aiming to capitalize on the tightening offshore drilling market. Its future outlook hinges on maintaining high utilization for its young fleet and leveraging strong day rates to improve profitability and further reduce debt.

Competitive Landscape

Opportunities & Challenges

Industry Position

Within the offshore drilling industry, Borr Drilling has carved out a distinct niche focused solely on modern, high-specification jack-up rigs. This strategy differentiates it from larger, more diversified competitors and aligns with operator preferences for efficiency and capability. Following significant restructuring, the company is now focused on translating high utilization rates and improving market fundamentals into enhanced financial performance. Its industry standing is increasingly defined by its modern asset base and operational execution, key tenets that align with the Mission Statement, Vision, & Core Values of Borr Drilling Limited (BORR). As of early 2025, Borr is viewed as a significant operator in its specific market segment, benefiting from the cyclical upswing in offshore activity but still working to solidify its long-term financial stability.