Plexus wins contract extension from Shell

Oil and gas services firm Plexus Holdings has been awarded a two-year contract extension with Shell in Brunei.  

Plexus said on Thursday that the contract extension is for the provision of wellhead and mudline equipment and that it covers the supply of both high pressure / high temperature (HPHT) and standard pressured systems and services.

This is the fourth contract signed between Plexus and Brunei Shell Petroleum (BSP) and is an extension of the current four-year framework agreement between the parties, which began in late 2012.

Under this framework agreement, in April 2015 the company received purchase orders from Shell to supply both HPHT and standard pressured wellhead systems and services for three exploration wells in Brunei.

Plexus CEO Ben van Bilderbeek said: “For our wellheads to be fully utilized we need to see a pick-up in exploration activity from current historic low levels. Encouragingly, with production set to fall following the recent OPEC meeting agreeing to cuts, demand for hydrocarbons predicted to continue to grow, and mature fields in decline, we believe the seeds are in place for the next cyclical upturn to take root.

“While we see the remainder of this financial year as challenging, we believe that 2017/18 financial year will be a turning point both for Plexus and the wider exploration industry.”

The beginning of 2017 has been fruitful for Plexus. Aside from this contract extension with Shell, Plexus won two contracts in January from Centrica and Masirah Oil.

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