Plexus Share News (POS)

LONDON (Alliance News) - Plexus Holdings PLC Tuesday said one of its existing customers has made an additional order worth around GBP600,000 to the company, representing the third contract to be secured by Plexus since the start of 2016.

Plexus is an oil and gas engineering services business that is focused on its proprietary POS-GRIP friction-grip wellhead technology, which was designed by the company's founder and chief executive, Ben van Bilderbeek.

Plexus said Tuesday that one of its existing customers, Det Norske Oljeselskap ASA, has made an additional purchase order for Plexus to provide surface wellhead and mudline equipment services for an exploration well on the Norwegian Continental Shelf, offshore Norway.

The work will begin in July this year and is worth a total of around GBP600,000 to Plexus.

Plexus will supply its standard pressure 18-3/4 inch 15M surface wellhead and mudline system, and the well will be drilled over 40 to 60 days using the Maersk Interceptor Jackup class rig.

"This will be the eighth Det Norske well to use Plexus' POS-GRIP wellhead equipment since 2012, highlighting how the company continues to win repeat business from its blue chip customer base," Plexus said.

CEO van Bilderbeek said the order was particularly encouraging because of the drop in activity in the North Sea and the overall climate within the sector, as companies continue to battle lower oil prices by scaling back investment and hunkering down.

The contract is the third to be won by Plexus since the start of 2016, building on contract wins in Malaysia and Oman.

"With licensing agreements recently secured for the major Chinese and Russian markets and a hub serving the wider Asian markets in place, we are well placed to replicate internationally the historical success we have had in the North Sea, which has seen Plexus become the dominant supplier of jack-up exploration wellhead equipment," said van Bilderbeek.

Plexus shares were up 0.9% to 41.0 pence per share on Tuesday morning.

By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance

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