So I would say that is our position at this moment. I cannot express in a different way than just say that this is the key priority for management at this moment and the first opportunity that we have to refinance, we will.
Unidentified Company Representative: All right. Thank you, Patrick. The second one, it was mentioned earlier that direct negotiations are increasing as customers want to speed up the recontracting process. What is Borr Drilling strategy here in terms of the risk of fixing out rigs on long-term contracts in an increasing day rate market.
Patrick Schorn: Okay. I’ll let Bruno answer that in more detail. But I think in general, there is always this concern that in an up market, you are getting too much of your capacity too early on in the cycle committed by which you forgo the higher day rates. I think we’re very clear on that. And I think we have shown a very good discipline with looking at the open contract space that we have in ’24 and beyond. I mean in ’24, it stands at 30% open. So us being able to fully benefit from the increasing market rates. So I think that is one thing to it. On the other thing, and that’s what we’ve always said as well, the more we are starting to approach the $200,000 per day, we are certainly willing to take some fairly long-term type of contracts, meaning that, yes, you will forgo any increase over that.
But I think that with that, we have a fantastic return on the investments that we make. So that is, in general, the view on it. But maybe Bruno, you can give your view on some of this more from a global view of where you see rates go and how we feel about that.
Bruno Morand: Sure. Sure, Patrick. And I think it’s important to note that oftentimes, direct discussions, direct negotiations with customers, relate to rigs that are currently operating in their respective regions. I think over the years, we’ve demonstrated how disciplined we have been in terms of fixing, waiting for the right opportunities, finding the right opportunities and it’s no different at the moment. Obviously, with the market as tight as it is at the moment, incremental requirements on the regions oftentimes result in rig shifts across regions, which is something that we consider very carefully as well. To the same tune that maintain rigs contracted with our customer is of value to us. it is of huge value to our customers as well to avoid mobilizations, avoiding idle periods and so on and so forth.
So in these negotiations, we’re obviously very mindful of all of these aspects to ensure that we secure the best deal possible. Out with that, I think it’s important to highlight that over the course of the cycle and not leading the rates, it’s obviously a function of how mindful and disciplined we are in the market, but it’s a lot of function of the quality of our assets and the quality of our operations. And we see in a lot of ways, the contract that we’re negotiating with the customers, they’re coming to us because they’re familiar with the results that we are currently delivering for them or that we have delivered for them in the past. So I think that’s something that we consider very carefully as well in our negotiations. I’ll probably leave it to that but the bottom line is the discipline that we show to the cycle stays intact, irrespective of that being a tender or direct negotiation.
Patrick Schorn: Thank you, Bruno. I think with this, we have reached the end of the questions. I would like to thank you very much for your interest and attention to the story that we have to tell and we look forward to talking to you again real soon. Thank you.
Operator: This concludes today’s webcast and conference call. Thank you for participating. You may now disconnect.
