The Finnish international´s current contract ends in the summer although there is a two-year option that can be taken up if both parties reach agreement.
Larsson said: "When Mikael is fit, like he is now, and getting a few games under his belt, everyone knows what he can do. He got a hat-trick in the last home game and was fantastic and Mikael and James McFadden have looked really good together lately as a partnership. It is important to keep a proven goalscorer at the club, definitely."
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