Nico Terol, the final 125cc world champion, will remain with the Aspar Moto2 team for the next two years.
The 24-year-old Spaniard has scored points seven times this season, but hasn't finished higher than twelfth.
Nevertheless, team owner Jorge Martinez 'Aspar' has full confidence in Terol's long-term four-stroke potential.
"I am delighted to officially announce the contract renewal with Nico Terol,” he said. “We remain committed to a rider born and raised in the 'Cradle of Champions' [junior racing series in Valencia]. He was last year's 125cc World Champion with the Mapfre Aspar Team, and the year before he was also runner-up with us.
“This season he has taken an important step in Moto2, especially in the last few races, but I hope that at the remaining GPs until the season finale he continues to improve.
“I'm completely confident, and we knew that when coming up to Moto2 he would need time to adapt. But we have made this commitment because we believe that next year he will be fighting for the top positions in every race."
Terol admitted he has found adapting to the 600cc class harder than expected.
"I am delighted to have the support of the Mapfre Aspar Team next year,” he began. “This season is a little trickier than we expected; but in any case, it is part of our learning curve in Moto2, and we are preparing for next year.
“Having cleared up my situation with the team right now, gives me extra motivation to give everything in the final part of the championship. I'm very happy to continue with the same technical team, as our rapport is great.
“I am convinced that in Moto2 next season, we will be fighting for top positions. I want to thank Jorge for trusting me, for the effort he made to keep me in their structure, and for giving me one of the best motorcycles.”
Former Moto2 champion Toni Elias
began this season alongside Terol, but left after Mugello with Jordi Torres brought in to take his place.