Force India say Sergio Perez will remain with the team for the 2015 season.
Team co-owner Vijay Mallya confirmed he has exercised an option on Perez's contract and is in talks about extending it for a further 12 months.
Mallya said: "The possibility came of extending Checo's contract for 2016 as well and that is under negotiation."
Mexican Perez, 24, is currently 11th in the drivers' championship in his first season with Force India.
The former McLaren and Sauber driver, who made his Formula One debut in 2011, has a best finish of third at Bahrain in this season's championship.
The move to extend his stay at Force India means Perez will again partner German Nico Hulkenberg at the Silverstone-based team for next season.
Perez is competing at the Brazilian Grand Prix this weekend, with Nico Rosberg posting the fastest times in both of Friday's practice sessions ahead of Mercedes team-mate and championship leader Lewis Hamilton.