The 27-year-old’s current contract expires in 2012, but the club are keen on extending it further.
Benitez expects the fellow Spaniard to sign a new deal in the near future.
“We are very happy with him,” he said.
“He has been improving every single year and he will improve more because goalkeepers have more time in their career.
“He’s always positive and he’s one of the best in the training sessions because his attitude is always good.
“It depends on the agent and what the player wants but Pepe is very happy here in Liverpool so I don’t see a big problem.
“The team-mates love him because he’s a very good example.”
