Mark Hughes is confident that Richard Dunne will sign a new contract with Manchester City.
The Blues skipper appeared destined for the Eastlands exit this summer as uncertainty reigned over the future over former boss Sven Goran Eriksson.
A host of Premier League clubs were believed to have expressed an interest in his services, with Portsmouth seemingly the front-runners in that race.
However, with Hughes having swapped the hot-seat at Blackburn for that at City, Dunne appears satisfied that stability has been restored.
The new boss held clear-the-air discussions with the club captain earlier this week, and is convinced that the situation will be resolved in the near future.
"I've spoken to Richard, he's on holiday abroad at the moment but I've had a discussion with him and I've told him my feelings on the situation," Hughes told City's official website.
"Obviously I'm very keen for him to remain at the club, and we're working in that direction.
"It's a little bit difficult because he's away at the moment, but I'm sure that when he's back this will be resolved very quickly.
"We have offered Richard a substantial deal, there may be more negotiations to be done but I am very hopeful that he will continue to be a Manchester City player."
The deal currently on the table would put Dunne into the top wage bracket at City, but Hughes is adamant that it would be money well spent having played alongside the uncompromising defender at Everton back in 2000.
"He does not shout about himself from the rooftops, he does not do that much press apart from what he has to as our captain," said Hughes.
"There are some players out there who promote themselves more but the key is what you do on the pitch, and he has been outstanding in that respect.
"I played alongside him, and even though it's a while ago now I know his qualities very well.
"He's been outstanding at City, he's key to what we are trying to do here and if we can, we'll make sure we do everything we can to keep him."