Real Madrid announced on Monday that it has reached an agreement to extend the contract of striker Gonzalo Higuain.

The Argentinean, who is currently on World Cup duty in South Africa, has signed a new deal until the end of June 2016.

Higuain will receive an important increase in his salary to around four million dollars a season, which reflects his increasing influence in the team.

The striker joined Real Madrid from River Plate in December 2006 and has improved continually ever since his arrival in the capital of Spain. He has scored 49 league goals in the last two seasons, 22 in the 2008-9 campaign and 27 last season when he was his club's top scorer in the competition with one more than Cristiano Ronaldo.

In all, he has scored 64 goals in 141 appearances for Real Madrid and the new deal should end speculation over his future at the club.

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