Last checked at 8 Jun 2009 07:00
Plexus Holdings PLC / Index: AIM / Epic: POS / Sector: Oil equipment & services
8 June 2009
Plexus Holdings PLC ('Plexus' or 'the Company')
£1.2 million Contract Win with RSPOC
Plexus Holdings PLC, the AIM quoted oil and gas engineering services business, has signed an agreement with Red Sea Petroleum Operating Company ('RSPOC') to supply its proprietary POS-GRIP® High Pressure/High Temperature ('HP/HT') exploration rental wellhead systems for wells being drilled in the Red Sea.
The value of the contract is estimated at £1.2 million with revenues commencing in December 2009. This could increase to £2.4 million if RSPOC takes up its option to increase the order if further wells are required.
RSPOC will utilise Plexus' POS-GRIP, HP/HT 18.75 inch single stack with blow out preventer ('BOP'), for enhanced safety and its time and cost saving capabilities. The agreement is the first working relationship between Plexus and RSPOC, and one which the Directors are hopeful will be strengthened in the future. Importantly, this agreement marks another step for Plexus' geographic expansion strategy, as the Company builds its position and establishes its reputation in North Africa.
Plexus CEO Ben van Bilderbeek said: "We are delighted to have secured yet another contract win in the North African region which is in addition to existing contracts with BP Egypt and Shell Egypt.
"In terms of the recent economic downturn, I believe the Company is in a strong position to weather the current storm due to the continuing demand for its products and the increasing recognition being given to our proprietary technology. Additionally, with new debt facilities of £5 million in place and the weakening of Sterling over the last 12 months having the potential to boost our growing non UK activities and international contract wins, we look forward to the future with confidence."
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For further information please visit www.posgrip.com or contact:
| Ben van Bilderbeek | Plexus Holdings PLC | Tel: 020 7589 8555 |
| Graham Stevens | Plexus Holdings PLC | Tel: 020 7589 8555 |
| Alex Dewar | Brewin Dolphin | Tel: 0845 213 2076 |
| Felicity Edwards | St Brides Media & Finance Ltd | Tel: 020 7236 1177 |
| Isabel Crossley | St Brides Media & Finance Ltd | Tel: 020 7236 1177 |
Notes
Plexus Holdings PLC
Plexus, which began trading on AIM in December 2005, is an established oil and gas engineering, and services business based in Aberdeen, with offices in London, Kuala Lumpur, and a presence in Houston. It has developed a patented a method of engineering for oil and gas field wellheads and connectors, POS-GRIP, which involves elastically deforming one tubular member against another to effect gripping and sealing.
POS-GRIP wellhead systems have been used in over 130 oil and gas wells by international companies including BHP Billiton, BG International, BP, Shell, Brunei Shell Petroleum (BSP), Centrica, ConocoPhillips, Gaz de France, Global Santa Fe, Maersk, Petro-Canada , RWE, Repsol, StatoilHydro, Silverstone Energy, Talisman Energy, Tullow Oil, and Wintershall.
The Company plans to accelerate the roll out of POS-GRIP technology as a superior alternative to current wellhead technology. It has particular advantages in HP/HT and X-HP/HT oil and gas environments for which there is increasing demand throughout the world. The Company's long-term goal is to develop POS-GRIP technology as the new standard for all wellhead systems. This objective includes the distribution of POS-GRIP technology through licensees to maximise market penetration.