KUALA LUMPUR (Dec 12): Velesto Energy Bhd shares rose as much as 4.1% this morning after it bagged a US$30 million contract from Abu Dhabi's Mubadala Petroleum LLC to provide jack-up drilling rig to undertake drilling services for the Pegaga development drilling programme.
At 9.15am, Velesto was up 2.74% or 1 sen to 37.5 sen, valuing it at RM3.08 billion. The stock had earlier risen to a high of 38 sen.
Velesto said its indirect wholly-owned subsidiary Velesto Drilling Sdn Bhd has received a letter of award from Mubadala Petroleum’s entity MDC Oil & Gas (SK 320) Ltd for the proposed services.
"The contract is to drill seven firm wells with an expected commencement date envisaged for the second quarter of 2020," it added.