A new deadline has now been set for the contact talks to be completed at the end of February before pre-season testing in March.
Mercedes will look to dominate again before a raft of major regulation changes in 2022 designed to level the field.
Toto Wolff has signed a new contract at the Silver Arrows and wants to continue with Hamilton.
“From my point of view, we had such a successful run at championships in the past seven years, that there is no reason not to continue,” Wolff said when asked about his team’s relationship with Hamilton.
“He [Hamilton] is on the top of his game and he will be for a while. And that’s why continuing together is a no brainer.