KUALA LUMPUR (July 5): Barakah Offshore Petroleum Bhd's share price climbed as much as 16% or 2 sen today following the group's announcement yesterday it had secured a contract extension from Petronas Gas Bhd.

At 3.28pm, the stock pared some of its earlier gains and was up half a sen or 4% at 13 sen, after 52.1 million shares were traded, giving it a market capitalisation of RM111.5 million. In the past one year, the stock has slumped some 77.5%.

Yesterday, Barakah said PetGas has given it a one-year extension on a repair and maintenance contract for the Sabah-Sarawak gas pipeline, ending Nov 30 this year.

Barakah said the scope of the contract includes inspection, testing, repair and maintenance of the pipes and related infrastructures to maintain the pipeline integrity.

The original contract was for two years from Dec 1, 2015 to Nov 30, 2017, with an option to extend for another year which has now been exercised.

The value of the contract would depend on the number of work programmes carried out in the contract duration based on unit rates specified in the contract.