Crystal Palace have introduced an option in Jean-Philippe Mateta’s contract to extend his stay at the club until 2027.
The Frenchman, 27, would enter the final 18 months of his contract at the start of the year and his current contract expires in June 2026.
But sources familiar with the deal told BBC Sport Palace have exercised the option to keep him at Selhurst Park for another two-and-a-half years.
The club has not yet officially confirmed the news.
Mateta and the Eagles have been in talks over a new contract in recent months amid his goalscoring form.
The forward is keen to play European football during his career and has ambitions to represent France at the World Cup in 2026.
Mateta has been a key player for Crystal Palace and has been improving since Oliver Glasner took charge of the team.
He scored 11 goals in the final 10 games of last season as the Eagles finished in 10th place before registering five goals with the French national team at the Olympic Games, where the team won a silver medal.
The striker has scored seven goals and provided two assists in 21 appearances in all competitions so far this season.
Palace are currently 16th in the Premier League table and will be away to Bournemouth on Boxing Day (December 26).