Wins Subsea Contract

3 Sep 2007 07:01

Plexus Holdings Plc03 September 2007 Plexus Holdings PLC / Index: AIM / Epic: POS / Sector: Oil equipment & services 3rd September 2007 Plexus Holdings PLC ('Plexus' or 'the Company') Moves into Subsea Market with Order Win from AGR Petroleum on behalf of Silverstone Energy Ltd Plexus Holdings PLC, the AIM quoted oil and gas engineering services business,has secured a purchase order from AGR Petroleum ('AGR') to supply a subseacross-over wellhead system enabling the conversion of pre-drilled wells tosubsea production for AGR's client Silverstone Energy Ltd ('Silverstone'), aleading North Sea focussed oil and gas company. This order represents animportant milestone for Plexus as it marks the first subsea application for itsPOS-GRIPTM technology and method of engineering. The initial order is forapproximately £250,000 and additional revenue is expected for rental equipmentand service support during installation, which is scheduled for Q1 2008. AGR is managing the drilling and completions side of the project forSilverstone, including equipment selection and well operations. Another vendoris supplying the subsea Xmas tree and wellhead protection structure, whichinterfaces with the Plexus wellhead. The POS-GRIP M2S adjustable subsea cross-over wellhead system ('M2S') isdesigned for use in Jackup depth waters, is rated at 5,000 psi, and is readilyupgradeable for high pressure/ high temperature ('HP/HT') applications, as itincorporates Plexus' metal to metal POS-GRIP activated HGTM seals. The M2Sproduct development will allow for the conversion of pre-drilled explorationwells into subsea production, as well as drilling and completion of subsea wellsfrom Jackups. The Directors therefore expect increased interest in the subseacapabilities of POS-GRIP, particularly from our North Sea and Far East customersin the medium term. Plexus CEO Ben van Bilderbeek said, "POS-GRIP technology is our proprietarymethod of engineering which to date has focused on the supply of surfacewellhead systems. This first subsea production application, together with thepreviously announced product development for POS-GRIP technology to be used onsemi-submersible drilling rig operations in deepwater, takes Plexus directlyinto the increasingly important subsea marketplace. As we have previously workedwith AGR on a number of projects, I am delighted to further strengthen ourrelationship with them as well as embarking on a new relationship withSilverstone". * * 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 8555Ken Fleming Bell Lawrie Tel: 0141 221 7733Isabel Crossley St Brides Media & Finance Ltd Tel: 020 7242 4477Felicity Edwards St Brides Media & Finance Ltd Tel: 020 7242 4477 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-GRIPTM, whichinvolves deforming one tubular member against another to effect gripping andsealing. POS-GRIP wellhead systems have to date been used in over 100 oil and gas wellsby international companies including BHP Billiton, BP, Brunei Shell Petroleum,ConocoPhillips, Gaz de France, Global Santa Fe, Maersk, Petro-Canada Trinidad &Tobago, Repsol, 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 oil and gas environments for which there is increasingdemand throughout the world. The Company's long-term goal is to develop POS-GRIPtechnology as the future industry standard for wellhead design. This objectiveincludes the distribution of POS-GRIP technology through licensees to maximisemarket penetration. This information is provided by RNS The company news service from the London Stock Exchange