New Contract

14 Apr 2008 07:00

Plexus Holdings Plc14 April 2008 Plexus Holdings PLC / Index: AIM / Epic: POS / Sector: Oil equipment & services 14 April 2008 Plexus Holdings PLC ('Plexus' or 'the Company') £800,000 Contract Win with Sterling Resources (U.K.) Ltd Plexus Holdings PLC, the AIM quoted oil and gas engineering services business,has reached an agreement with international oil and gas exploration, developmentand production company, Sterling Resources (U.K.) Limited ("SterlingResources"), to supply, subject to completion of relevant contract terms, theCompany's proprietary POS-GRIP(R) wellhead systems and mudline suspensionsystems for a seven-well 10,000 psi, exploration drilling programme in the NorthSea and Romanian Black Sea. The potential value of the contract is estimated at£800,000, with revenues commencing in the third quarter of 2008. Plexus will provide Sterling Resources with its proprietary POS-GRIP rentalwellhead equipment, mudline suspension equipment and associated services.Additionally, the Company will supply for the first well, the drillingcomponents of its innovative M2S (Mudline to Subsea) cross-over system, whichenhances the capability to convert a jack-up drilled exploration well to producesubsea. This agreement marks a new working relationship between the twocompanies, which Plexus hopes to build further upon in the future. Plexus CEO Ben van Bilderbeek said, "This contract expands the inventory ofexploration wells that can be converted to subsea production, using our uniqueM2S conversion system. Plexus is developing the capability to become a turnkeysupplier of the wellhead technology required to pre-drill and complete surfaceand subsea production systems. As a main supplier of exploration wellheadtechnology for jack-up rigs in the North Sea, Plexus is ready to respond tochanges in the way the oil and gas industry operates, particularly bearing inmind the recent introduction of the new Corporate Manslaughter Act legislation.Plexus' technology has for a long time been focused on improving safety, whilstreducing complexity, improving seal technology, and saving rig-time. We areprepared to perform when operators seek to meet more stringent operatingconditions." * * ENDS * * For further information please visit www.posgrip.com or contact: Ben van Bilderbeek Plexus Holdings PLC Tel: 020 7589 8555Graham Stevens Plexus Holdings PLC Tel: 020 7589 8555Elizabeth Kennedy Brewin Dolphin Tel: 0141 221 7733Ken Fleming Brewin Dolphin Tel: 0141 221 7733Felicity Edwards St Brides Media & Finance Ltd Tel: 020 7236 1177Isabel 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 andgas engineering, and services business based in Aberdeen, with an office inLondon and a presence in Houston, Texas. It has developed and patented a methodof engineering for oil and gas field wellheads and connectors, POS-GRIP, whichinvolves deforming one tubular member against another to effect gripping andsealing. POS-GRIP wellhead systems have to date been used or selected to be used in over120 oil and gas wells by international companies including BHP Billiton, BGInternational, BP, Brunei Shell Petroleum, Centrica, ConocoPhillips, Gaz deFrance, Global Santa Fe, Maersk, Petro-Canada Trinidad & Tobago, RWE, Repsol,StatoilHydro, Silverstone Energy, Talisman Energy, Tullow Oil, and Wintershall. The Company plans to accelerate the roll out of POS-GRIP technology as asuperior alternative to current wellhead technology. It has particularadvantages in HP/HT and X-HP-HT oil and gas environments for which there isincreasing demand throughout the world. The Company's long-term goal is todevelop POS-GRIP technology as the future industry standard for wellhead design.This objective includes the distribution of POS-GRIP technology throughlicensees to maximise market penetration. This information is provided by RNS The company news service from the London Stock Exchange