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Contracts with Customers | 12 Months Ended
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Dec. 31, 2021
Revenue from Contract with Customer [Abstract] |
Contracts with Customers | Note 5 - Contracts with Customers Contract Assets and Liabilities Accrued revenue is classified as a current asset. When the right to consideration becomes unconditional based on the contractual billing schedule, accrued revenue is recognized. At the point that accrued revenue is billed, trade accounts receivable are recognized. Payment terms on invoice amounts are typically 30 days. Deferred mobilization and contract preparation revenue include payments received for mobilization as well as rig preparation and upgrade activities, which are allocated to the overall performance obligation and recognized ratably over the initial term of the contract. The following presents our contract assets and liabilities from our contracts with customers:
| As of December 31,
(In $ millions) | 2021 | 2020
Accrued revenue | 20.2 |  | 20.3 |
Current contract assets | 20.2 |  | 20.3 |
Current deferred mobilization and contract preparation revenue (1) | (3.9) |  | (2.6) |
Current contract liability | (3.9) |  | (2.6) |
Non-current deferred mobilization and contract preparation revenue (2) | (2.5) |  | — |
Non-current contract liability | (2.5) |  | — |
Total contract liability | (6.4) |  | (2.6) |
(1) Current deferred mobilization and contract preparation revenue is included in "Other current liabilities" in our Consolidated Balance Sheets (see Note 19 - Other Current Liabilities). (2) Non-current deferred mobilization and contract preparation revenue is included in "Other non-current liabilities" in our Consolidated Balance Sheets. Total movement in our contract assets and contract liabilities balances during the years ended December 31, 2021 and 2020 are as follows:
(In $ millions) | Contract assets | Contract liabilities
Balance as of December 31, 2019 | 31.7 | 5.6
Performance obligations satisfied during the reporting period | 20.3 | —
Amortization of revenue | — | (15.9)
Cash received, excluding amounts recognized as revenue | — | 12.9
Cash received against the contract asset balance | (31.7) | —
Balance as of December 31, 2020 | 20.3 | 2.6
Performance obligations satisfied during the reporting period | 20.2 | —
Amortization of revenue | — | (5.9)
Cash received, excluding amounts recognized as revenue | — | 9.7
Cash received against the contract asset balance | (20.3) | —
Balance as of December 31, 2021 | 20.2 | 6.4
Timing of revenue The Company derives its revenue from contracts with customers for the transfer of goods and services, from various activities performed both at a point in time and over time, under the output method.
| For the years ended December 31,
(In $ millions) | 2021 | 2020 | 2019
Over time | 234.7 |  | 288.8 |  | 314.2 |
Point in time | 10.6 |  | 18.7 |  | 19.9 |
Total | 245.3 |  | 307.5 |  | 334.1 |
Revenue on existing contracts, where performance obligations are unsatisfied or partially unsatisfied at the balance sheet date, is expected to be recognized as follows: As at December 31, 2021:
| For the years ending December 31,
(In $ millions) | 2022 | 2023 | 2024 onwards
Dayrate revenue | 392.4 |  | 88.2 |  | 15.3 |
Other revenue (1) | 19.4 |  | 8.5 |  | 1.8 |
Total | 411.8 |  | 96.7 |  | 17.1 |
(1) Other revenue represents lump sum revenue associated with contract preparation and mobilization and is recognized ratably over the the firm term of the associated contract in "Dayrate revenue" in the Consolidated Statements of Operations. Contract Costs Deferred mobilization and contract preparation costs relate to costs incurred to prepare a rig for contract and delivery or to mobilize a rig to the drilling location. We defer pre‑operating costs, such as contract preparation and mobilization costs, and recognize such costs on a straight‑line basis, over the estimated firm period of the drilling contract. Costs incurred for the demobilization of rigs at contract completion are recognized as incurred during the demobilization process.
| As of December 31,
(In $ millions) | 2021 | 2020
Current deferred mobilization and contract preparation costs | 17.2 |  | 5.7 |
Non-current deferred mobilization and contract preparation costs (1) | 4.4 |  | — |
Total deferred mobilization and contract preparation asset | 21.6 |  | 5.7 |
(1) Non-current deferred mobilization and contract preparation costs are included in "Other non-current assets" in our Consolidated Balance Sheets (see Note 17 - Other Non-Current Assets). For the year ended December 31, 2021, total deferred mobilization and contract preparation costs increased by $15.9 million, as a result of $28.5 million additional deferred contract preparation and mobilization costs of the rigs "Norve", "Idun", "Natt", "Skald", "Groa","Gerd", "Mist" and "Ran", offset by amortization of $12.6 million. Practical expedient We have applied the disclosure practical expedient in ASC 606-10-50-14A(b) and have not included estimated variable consideration related to wholly unsatisfied performance obligations or to distinct future time increments within our contracts, including dayrate revenue. The duration of our performance obligations varies by contract.

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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -URI http://asc.fasb.org/topic&trid=49130388 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130551-203045 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 13 -Subparagraph (b)(2) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130556-203045 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130550-203045 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130558-203045 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 606 -SubTopic 10 -Section 50 -Paragraph 12 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045 + Details
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