Aker BP deal boosts Plexus Holdings shares

Shares of wellhead engineering firm Plexus Holdings spiked as it received its first purchase order from Aker BP.

The company will supply surface exploration wellhead equipment for Aker BP’s Hyrokkin and Nordfjellet standard pressure exploration wells, offshore Norway, in a deal with £700,000.

Aker BP has drilled recent wells in record time and any subsequent wells that are to be drilled in this project will use Plexus' POS-Speed connector to add additional time savings.

Each of the wells are expected to take around 30 days to drill.

Plexus said there is the potential for the contract to be extended to include additional wells in the future.

Aker BP was formed out of the merger of Det Norske and BP’s Norwegian business last year.

Ben van Bilderbeek, chief executive of Plexus, said: “Over the years, we have enjoyed a long-standing relationship with Det Norske, having been awarded a total of nine purchase orders from the leading Norwegian operator since 2012.

“We are therefore delighted to have won this latest contract from the new entity Aker BP.

“Importantly, Plexus did not win this potentially multi-well contract based solely on our unblemished track record supplying Det norske with our best in class wellheads, but also thanks to our constant efforts to further build on and deliver the already industry-leading time, safety and cost savings our equipment offers,” added Mr van Bilderbeek.

Plexus shares closed almost 9% higher to 71.5p.