GBP 1.15M Contract Win with Talisman Energy

RNS Number : 1082O

Plexus Holdings Plc

08 October 2012

 



 

Plexus Holdings PLC / Index: AIM / Epic: POS / Sector: Oil equipment & services

8 October 2012

Plexus Holdings PLC ('Plexus' or 'the Company')

Additional £1.15 Million Two Well Order from Talisman Energy

Plexus Holdings PLC, the AIM quoted oil and gas engineering services business and owner of the proprietary POS-GRIP® friction-grip method of wellhead engineering, is pleased to announce it has received Purchase Orders worth £1.15 million from Talisman Energy Inc. (TSX:TLM;NYSE:TLM) ('Talisman'), an independent upstream oil and gas operator to supply its proprietary POS-GRIP High Pressure/High Temperature ('HP/HT') and standard pressure POS-GRIP wellhead and mudline suspension equipment for two wells in the Norwegian North Sea.  Revenue from this order is expected to commence immediately.

The new purchase orders form part of an existing contract with Talisman, as announced on 14 July 2009.  The first purchase order is for the supply of the Company's standard 10,000 psi equipment for the Isbjørn well.  Drilling is due to commence shortly, whilst the second purchase order is for the supply of the Company's POS-GRIP® 18-3/4" 15,000 psi HP/HT wellhead equipment for the Frode well where drilling is due to start in April 2013.  Both the Isbjørn and Frode wells are being drilled from the Maersk Giant rig which has recently arrived in Norway after undergoing upgrades and class renewal work.  The Company expects to receive further orders for future drilling from the rig in due course.

Plexus CEO Ben van Bilderbeek said: "We continue to receive multiple orders for our proprietary equipment from both existing as well as new customers, especially in the Norwegian exploration market.  Not only does this highlight the level of current activity in the oil and gas sector but also the growing awareness among leading operators of the best in class qualities of our POS-GRIP wellhead and mudline suspension equipment.  Combined with our other initiatives, including our collaboration with heavyweight participants in the sector to develop a safer subsea wellhead, utilising Plexus' patented POS-GRIP technology, I believe we are well on the way to building Plexus into a first port of call wellhead supplier to the oil and gas industry."

**ENDS**

For further information please visit www.posgrip.com or contact:

Ben van Bilderbeek	Plexus Holdings PLC	Tel: [phone]
Graham Stevens	Plexus Holdings PLC	Tel: [phone]
Jon Fitzpatrick	Cenkos Securities PLC	Tel: [phone]
Ken Fleming	Cenkos Securities PLC	Tel: [phone]
Felicity Edwards	St Brides Media & Finance Ltd	Tel: [phone]
Frank Buhagiar	St Brides Media & Finance Ltd	Tel: [phone]

Notes to Editors:

Plexus Holdings PLC, which began trading on AIM in December 2005, is an oil and gas engineering and services business, which supplies wellhead and mudline suspension equipment for exploration and production applications.  Based in Aberdeen, with offices in London, Cairo, Kuala Lumpur and a presence in Houston, Texas, it has developed and patented a friction-grip method of engineering for oil and gas field wellheads and connectors, POS-GRIP®, which involves deforming one tubular member against another to effect gripping and sealing.

The Company plans to accelerate the roll out of POS-GRIP wellhead equipment as a superior alternative to current technology and for it to become the future industry standard for wellhead design.  In particular, the technology has advantages in High Pressure/High Temperature (HP/HT) and Extreme HP/HT (X-HP/HT) oil and gas environments, for which there is growing global demand and where Plexus is being increasingly recognised as the supplier of choice.  Importantly, the Company is focussed on extending its proprietary technology into an increasing number of subsea applications.  In line with this, in March 2011 the Company launched an initiative to develop a new subsea wellhead design, HGSS™, utilising its friction-grip technology in collaboration with key oil and gas operators and service companies. Royal Dutch Shell, Wintershall, Maersk, Tullow Oil and the UK entity of the world's largest offshore drilling company have joined the initiative to date. The HGSS subsea wellhead design will include a combination of key features never before seen in a subsea wellhead which include being rated to 15,000 psi, 4,000,000 pounds of 'instant' casing lockdown capacity, annulus pressure monitoring and access for 'bleed off' capability to address sustained casing pressure ('SCP') issues which are recognised by the API as a serious industry problem, and rigid metal annular seal technology qualified to match the performance of premium casing.  Development is expected to be completed by mid 2013 calendar year.

To date, POS-GRIP wellhead systems have been used or selected to be used in over 150 oil and gas wells by international companies including Apache Energy Australia, BHP Billiton, BG International, Bowleven plc, BP, Brunei Shell Petroleum, Cairn Energy, Centrica, ConocoPhillips, Dana Petroleum, Dubai Petroleum, GDF SUEZ, Global Santa Fe, Maersk, Niko Resources, Petro-Canada Trinidad & Tobago, Red Sea Petroleum Operating Company, Repsol, RWE, Senergy Limited, Shell Egypt, StatoilHydro, Silverstone Energy, Talisman Energy, Tullow Oil, and Wintershall.

 

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