Plexus Holdings soared today as the small oil and gas service provider said a licensee had signed a deal with energy giant Gazprom.
The contract becomes the first major deal for its Russian licensing partner LLC Gusar, which has will supply so-called pos-grip equipment to Gazprom.
Shares in Plexus rocketed 28.6 per cent by late afternoon London time, to 58.50p, bringing Plexus’s market value to nearly £59m.
Chief executive Ben Van Bilderbeek hailed the “breakthrough” order, which it has been working towards since partnering with Gusar in the beginning of 2016. Plexus did not reveal the value of the order.
Finance director Graham Stevens told City A.M. the company hopes that the deal would “lead on to bigger and better things,” with Gazprom and other firms in Russia.
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He said the company is tendering for more contracts as it tries to convince more drillers to take on its pos-grip technology, which is used to seal gas wells.
“The world is crying out for gas-proof technology,” Stevens said.