Simeone has worked wonders since his arrival at the club last year, leading them to the Europa League, and they currently lie second in the Spanish league.
El Mundo Deportivo report that the Argentine is set to be offered a new deal during the winter break.
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Summer 2016 is set to be a very exciting time for football fans, as this is when the long awaited Euro 2016 tournament kicks off.
Since Guus Hiddink arrived at the helm, Chelsea have improved considerably after a tricky start to the campaign.