Prospector 5 Sinks Off Gabon; Five Missing, Borr Shares Down 9.7% Pre-Market
BORR sits 37% above its 52-week low of $2.89.
Summary
Borr Drilling's Prospector 5 jack-up sank offshore Gabon after a punch-through during preload operations, and five of the 115 personnel aboard are still missing. The company confirmed 110 were brought ashore safe and search efforts continue. Shares are down 9.7% pre-market Monday, the first trading session since the incident. The rig was drilling for BW Energy, which holds a 73.5% stake in the Dussafu Marine license; BWEFF fell as much as 14% Monday. This follows the October 25 Reuters report of the punch-through and the October 26 confirmation of the 110 safe personnel, and comes after director Tor Olav Troim's roughly $44 million of open-market buying in mid-October. The immediate stakes are the missing workers, potential rig total loss, and contract and insurance exposure on a unit that was actively working.
At the time of this announcement, BORR was trading at $3.97 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $1.4B. The 52-week trading range was $2.89 to $6.66. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Seeking Alpha.