Borr Drilling — Capital/Financing Update 2017

Oct 6, 2017

Borr Drilling Limited continues to consolidate the market for premium jack-up rigs with the acquisition of nine premium rigs from PPL

Borr Drilling Limited continues to consolidate the market for premium jack-up rigs with the acquisition of nine premium rigs from PPL

Hamilton, Bermuda, 6 October 2017

Borr Drilling Limited ("Borr Drilling" or the "Company")

today announces the signing of a Master Agreement for the

acquisition of nine premium jack-up rigs from PPL Shipyard

Pte Limited ("PPL"). The acquisition will increase the Borr

Drilling fleet to a total of 26 jack-up rigs once all rigs

under construction have been delivered and 22 of the rigs

are built after 2000. The Company continues to deliver on

its strategy to acquire premium jack-up drilling rigs at

attractive prices and consolidate ownership in the premium

segment of the overall jack-up rig fleet.

The acquired rigs have been built or are under construction

at PPL's yard and are of a well-known design consistent with

the Company's existing fleet. A large fleet of similarly

designed rigs facilitates operational excellence and cost

synergies. Seven out of the nine rigs have drilling packages

from Cameron (a Schlumberger Limited company) while all nine

rigs have Cameron BOP's.

Total consideration for the transaction is expected to be

approximately USD 1.3 billion. Borr Drilling has secured

optional delivery financing of the Rigs of approximately USD

0.8 billion on attractive terms. The lender is entitled to a

limited market based mechanism based on uplift in market

value, less capital cost of the acquired rigs from 6 October

2017 until the repayment date of the financing.

Borr Drilling will take delivery of the first of the rigs in

Q4 2017 with the remaining rigs being delivered quarterly

thereafter until the last rig is delivered in Q1 2019. Borr

Drilling has agreed to pay a pre-delivery instalment of

approximately USD 500 million in the short term while the

remaining purchase price is payable on delivery of each

individual rig, which is fully financed by the delivery

financing. Completion of the transaction with PPL is subject

to equity financing being secured by the Company.

Please see attached an updated company presentation with

details about the acquisition.

About Borr Drilling

Borr Drilling is an international drilling contractor that

owns and operates jack-up rigs of modern and high-specification designs providing drilling services to the oil and gas exploration and production industry worldwide in water depths up to approximately 400 feet. With a low cost base, a strong and experienced organisational culture, combined with a unique capital structure,

specification designs providing drilling services to the oil

and gas exploration and production industry worldwide in

water depths up to approximately 400 feet. With a low cost

base, a strong and experienced organisational culture,

combined with a unique capital structure, Borr Drilling

specification designs providing drilling services to the oil and g

and gas exploration and production industry worldwide in water

water depths up to approximately 400 feet. With a low cost base,

base, a strong and experienced organisational culture, combi

combined with a unique capital structure,

specification designs providing drilling services to the oil

and gas exploration and production industry worldwide in

water depths up to approximately 400 feet. With a low cost

base, a strong and experienced organisational culture,

combined with a unique capital structure, Borr Drilling is

built to make a difference.

Additional information about Borr Drilling can be found at w

www.borr

www.borrdrilling.com.

Questions should be directed to:

Simon Johnson, Chief Executive Officer

Phone: + 971 4 448 7501

Rune Magnus Lundetræ, Deputy CEO and Chief Financial Officer

Phone: +47 900 88 411