Centrica hires Plexus for wellhead & mudline equipment services

Business & Finance

Oil and gas services firm Plexus has signed a four-year framework agreement with Centrica for surface wellhead and mudline equipment services for jack-up exploration wells in the North Sea, off Norway. 

Plexus previously supplied Centrica with its wellhead equipment for several wells in the North Sea including those on the Butch exploration and appraisal wells, now known as the Oda projects, between 2012 and 2014.

The company said on Monday that, under the terms of the agreement, Centrica could request up to three one-year extensions following the end of the initial four-year term.

Plexus CEO Ben Van Bilderbeek said: “To secure a framework agreement with a longstanding customer is in our view a testament to the excellent track record we have built up over the years, particularly in the North Sea.”

Centrica stated that the North Sea is a focus area for the company and that this framework agreement would also come into play when new exploration well opportunities arise.

Van Bilderbeek added: “While the agreement is specifically for supplying exploration wells in the Norwegian North Sea, we are confident that we can use this as a platform from which we can tender for future business with Centrica in other geographies and other markets such as production and subsea.

“Together with the recent announcements of agreed production cuts by both OPEC and certain non-OPEC producers, we are hopeful that the point at which supply and demand reach equilibrium has been brought forward, and that as a result exploration activity will soon begin to pick up from today’s historic lows.”

Plexus recently received an order for the supply of POS-GRIP Tersus Mudline equipment and a 10,000 psi adjustable wellhead for the Karamah-1 well offshore Oman from Masirah Oil. That was an order for a second well offshore Oman from Masirah after the Manarah-1 well contract awarded last year.