Shares in Plexus Holdings PLC (LON:POS) gushed higher after it was awarded another oil well equipment contract in Oman worth US$285,000 with revenues expected to start this month.
The deal is for a second well from Masirah Oil Ltd, a British Virgin Islands based company, which is majority owned by REX International Holdings Limited (REXIH: Singapore).
Plexus will supply its wellhead technology for use at the Karamah-1 exploration well offshore Oman.
Chief executive Ben Van Bilderbeek said: "Aside from the positive impact on our revenues, it further increases our visibility in this important oil and gas region.
"The Middle East is one of the few regions in the world where drilling activity has remained relatively stable during the current downturn.
"As a result, it is a key area of focus for us, as we look to expand the geographic footprint of our best in class equipment.
"The superior qualities of our wellheads in terms of performance, reliability and safety have no geographic boundaries, and as a result we are confident we can replicate, on a global basis, the historic success we have had in the North Sea where Plexus is firmly established as the dominant supplier of jack-up exploration wellheads."
Karamah-1 follows the successful drilling by Masirah last year of the Manarah-1 well, which was drilled using Plexus' POS-GRIP wellhead equipment.
Karamah-1 is the second of a multi-well programme which could extend to a third well, subject to results.
Plexus shares spurted almost 8% higher on the day to 82.5p.