Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Plexus suspends dividend, cuts 50 jobs as losses hit £3.5million

Plexus Russia
Plexus chief executive Ben Van Bilderbeek

Plexus Holdings, the Aberdeen-based engineering firm, has suspended its dividend to shareholders as it reported a £3.5million loss in the second half of 2015 and reduced its headcount by 50.

The firm, headed by chief executive Ben van Bilderbeek, reported revenues falling to £6.76m, down from £13.5m in the same period in 2014.

Plexus said: “In the current low oil price environment and resulting reduction in exploration drilling activity it is prudent to suspend the payment of dividends. The company will look to reinstate the dividend at the earliest opportunity.”

The company said the oil price downturn had impacted its core rental business of its proprietary POS-GRIP friction-grip exploration wellhead equipment to major international oil and gas customers around the world, resulting in a 50% reduction in sales revenue and had led to 50 redundancies earlier this month.

The impact was particularly felt in the UK North Sea where it has been reported that investment is expected to fall by almost 90% with fewer exploration wells anticipated than at any time since data started being collected in the late 1970s.

The company continues to look for an initial prototype order for its innovative Python subsea wellhead launched at Offshore Europe in Aberdeen last September.

Plexus said it is also collaborating with Aquaterra to develop HP/HT dual marine risers to provide a safer, technically superior and cost efficient solution for use on jack-up rigs.

Van Bilderbeek said: “Having successfully deployed our wellhead equipment in over 400 wells around the world, we believe that the superior performance, reliability and safety of our equipment is now proven.

“We are confident that when exploration activity reignites we will be well placed to pick up where we left off before the downturn took hold. The basis of such confidence is perhaps best illustrated by the £3.3m Total E&P Norge AS Solaris exploration well contract win in June 2015 for a technically challenging Ultra High Pressure High Temperature well offshore Norway.

Recommended for you

More from Energy Voice

Latest Posts