Will Mercedes extend Hamilton's contract?

Lewis Hamilton's long-awaited new deal with Mercedes could be announced at the showcase race of the Formula One season in Monaco next week.

Dismissing media reports that the protracted negotiations had become deadlocked over money, the double world champion indicated everything was on track with an announcement imminent.

"You'll see it in Monaco -- I will have some news for you in Monaco," the Briton told reporters after Sunday's Spanish Grand Prix in Barcelona.

Media reports have indicated that the 30-year-old, who leads German teammate Nico Rosberg by 20 points in the championship after five races, could net more than $40 million a year under the new contract.

Hamilton is out of contract at the end of this season and the saga of his negotiations has kept the media busy since last year, when the talks were put on hold for him to concentrate on the title battle.

He told reporters before the Malaysian Grand Prix in March that it was 99.6 percent done with only some 'legal stuff' remaining.

The BBC reported in March that Hamilton, who has conducted his own negotiations with Mercedes, would earn about the same basic salary as in his first contract with the team he joined in 2013.

However other sources indicated the terms would be more lucrative, to reflect his success and status.

Hamilton, who won the first of his two titles with McLaren in 2008, is already one of the three highest paid drivers in the sport with Ferrari's Sebastian Vettel and McLaren's Fernando Alonso reckoned to earn at least as much.

The champion finished second in Spain, beaten for the first time this season by Rosberg.