Client Sanctions Prompt Borr Drillings to Cancel Two Jack-Up Rig Deals
October 27, 2025
Offshore drilling contractor Borr Drilling has terminated two of its drilling contracts following the recent implementation of international sanctions affecting a counterparty.
The terminations relate to the contracts for the Odin and Hild jack-up rigs in Mexico that had firm commitments until November 2025 and March 2026, respectively.
“The company remains fully committed to adhering to all relevant international laws and sanctions frameworks and to maintaining the highest standards of corporate governance and compliance,” Borr Drilling said.
The company did not state which sanctions specifically were the reason behind the termination of the contracts, but based on the company’s latest fleet drilling report from August 2025, the Hild jack-up rig was contracted by Fieldwood Energy until the end of first quarter of 2026, with one additional option for two months.
Worth noting, Fieldwood Energy sold a 50% operating stake in the Area 4 offshore block in Mexico to Russia’s Lukoil in 2021, as part of a deal valued at around $435 million.
In February 2022, Fieldwood Energy E&P México became part of Lukoil.
When it comes to Odin jack-up rig, Borr Drilling announced in late August 2025 that the rig started operations offshore Mexico under the contract that was converted from the previously announced letter of award (LOA) with an undisclosed client.
