Ivanovic has reportedly turned down offers from Italy.
The report suggests that terms have been agreed between the club and the Serbian over a new deal, with the defender set to sign a new one-year deal with an option for a further year if he plays a certain amount of games next season.
Ivanovic also attracted interest from Italy but has turned down the opportunity to sign pre-contract agreements with Inter Milan and Fiorentina.
There were some concerns earlier on in the season about the form of the 32-year-old as he seemed to struggle, but his form has seen a move in the right direction in recent weeks.
There is an indication that captain John Terry will also be presented with a new deal soon as the club continues to operate its policy of offering shorter term deals to players over 30.
After a troublesome season for both the club and the player it is a sign of faith in Ivanovic that he still has something to offer, and his experience in the dressing room can be invaluable going forward when the side will look to stage a recovery from the start of next season.