(Alliance News) - Plexus Holdings PLC on Thursday said it won a purchase order that will contribute to this year's revenue, for a surface production wellhead system and equipment.
Shares in the Worthing, West Sussex- based company were up 6.7% at 8.00 pence each on Thursday morning in London.
The engineering services provider said it has been awarded a purchase order for a POS-GRIP surface production wellhead system for a "leading North Sea operator", which Plexus didn't name.
The placed order includes associated spares and valve equipment and will be used for a new gas well in the North Sea.
The wellhead equipment is scheduled for delivery in the second quarter of 2022.
Plexus will receive milestone payment for the order following the date of the signing of the purchase order through to completion.
The duration of the contract is expected to be 120 days with most of the revenue to be booked during the current year.
In the previous year Plexus' revenue totalled GBP2.0 million, accompanied by a pretax loss of GBP4.3 million.
"Securing an order for POS-GRIP wellheads in the current challenging climate is positive, particularly when one considers the long lead times associated with the award of such contracts, the ongoing Covid-19 pandemic and the continued volatility in global oil and gas markets," Chief Executive Ben Van Bilderbeek said.
"With a growing pipeline of opportunities, we are hopeful that this latest order will prove to be a bellwether, as we start to emerge from the global Covid-19 pandemic induced malaise that has impacted our industry."
By Abby Amoakuh; abbyamoakuh@alliancenews.com
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Plexus (POS)