Sunday's announcement on Schalke's website said that Huntelaar's contract, which was set to expire at the end of the current season, had been extended until June 30, 2015.

Negotiations had been ongoing between the club and the Dutch national team player for some time, and Huntelaar's decision to stay was a relief to Schalke sporting director Horst Heldt.

"We had agreed to enter the decisive phase of negotiations in the next few months," he said in a statement. "So now I'm even happier that Klaas-Jan has given a clear signal to the whole team for the second half of this season."

Huntelaar has been with the team since signing his contract in August, 2010 after coming from AC Milan. Last season, he became the third Schalke player in Bundesliga history to take the league's goal-scorers title.

He also broke a Schalke record for goals scored in all competitions that dated back to 1941. Adding together his Bundesliga, German Cup, and Europa League goals, Huntelaar scored 48 times for the Royal Blues.

"I thought long and hard about this decision," Huntelaar said. "I've always felt good at Schalke, with the team and the fans. I want to give a positive sign, because I believe in our team and I think we can still get a lot done in the second half of the Bundesliga season. And, we of course stand a chance in the Champions League against Galatasaray."

Schalke resume play in the Bundesliga on January 18 against Hannover. In the Champions League, their first-leg round of 16 match against Galatasaray in Istanbul is on February 20. They were eliminated in the round of 16 of the German cup, losing at home last week 1-2 to Mainz.