Mercedes has confirmed that Nico Rosberg will remain with the team after the German signed a 'multi-year' deal with the championship leaders.
Rosberg joined the team at the start of 2010 and has since claimed six victories and eight pole positions and leads the title battle ahead of this weekend's German Grand Prix.
The deal, which was signed on Monday, does not specify the exact length of Rosberg's contract extension.
"I am very proud to drive the Formula One Silver Arrow of the modern era," he said. "As a German, the heritage of Mercedes-Benz is very special for me, and I am proud to be able to represent the best car brand around the world.
"It has been a difficult road to get to where we are now - but everybody kept believing and, thanks to the fantastic support from Mercedes-Benz, we are now leading the way in Formula 1.
"There has been big progress during the past year, building up our structure, management and capability for the future. We have an awesome team and I am confident that we have the right people in place at every level. I'm looking forward to the next years together, when we will keep pushing to win even more races - and, hopefully, championships."
Head of Mercedes Motorsport, Toto Wolff, says Rosberg's deal provides the squad with stability.
"This new contract brings us important stability and continuity for the future and I am delighted to be able to make the announcement in time for the home race of Mercedes-Benz and Nico in Hockenheim," he said.